Quote from: jjtech on January 06, 2014, 07:18:12 PM

Quote from: deisik on November 30, 2013, 08:31:19 PM

Quote from: Imahara on November 30, 2013, 08:01:19 PM

Quote from: deisik on November 30, 2013, 07:26:54 PM

There can no longer be "later" you refer to... If you don't buy today, the producer just won't sell tomorrow, because he will have to cut production and fire his staff... Is it really so hard to grasp?

Just because there is a fixed supply of bitcoin, that does not mean prices will have to keep going down.

If the economy is expanding, then yes, it does mean just that. The economy will be expanding with prices going down as long as the negative effects of deflation are being offset by, say, technological innovations (as it was throughout the 19th century), credit and tax policies, etc. In short, as long as producers profits aren't diminishing...

Isn't one of the problems with deflation fact that real value debt will increase?

Yes, among many others. Even pro-Austrians admit it (though they doubt some other negative effects of deflation). But, in the first place, debts aren't necessary (unless we consider taxes as debts) to run a business...

Nevertheless, it all boils down to producers profits