Does anyone else find it funny that those convinced that customers will have a reduced incentive to spend deflationary money forget the seller of goods and services have an equally increased incentive to sell. So won't we simply see the price change to reflect this and things carry on as always? Same with stock. The store will have the same disincentive pay for stock that is losing value (relative to depreciating currency) as the supplier will be incentivised to sell his goods? I kinda like that theory but truth is I don't know how it will turn out. Fact is, neither do those who are convinced their arguments are correct!
If the PC and consumer electronics industries could figure out how to adapt to a situation where stock is losing value relative to currency (BTW, bitcoin is appreciating, not depreciating) then other kinds of merchants in a bitcoin world should be able to adapt too.
You forget that the price of stock is lowerbound and selling bellow or at the same value the merchand is taking a hit, and that hit gets bigger as time ticks. The only way for a merchant to stay in bussiness is to offload the risk to A) consumer by Preorder/prepay B) producer to delay payment until sold.
So if we have a C_onsumer, M_erchant, P_roducer, someone must accept the cost of depreciation Time. And here we only have the Shipping time, if you add Production Time, Return of Investment Time. You have simply stoped the economy.
I am talking on experience here. I live in F*** Greece, we are deflating for 4 years now. The only economists I know that think deflationary currency is a neat idea is Wolfgang schaeuble, and german banksters who sit on shitloads of Euros, You want to see the future of Bitcoin? look at Europe NOW.