Why spend when you can buy tomorrow even cheaper? A deflationary currency is not a good idea.
(And before you ask, I'm posting this using pen and paper with IP-over-carrier-pigeon.)
It doesn't have to stop all purchases to have a negative economic effect.
b) Marginal utility of every extra unit of money decreases when a person holds more of them. Couple that with falling prices and you have the killer of deflationary spiral.
A nice theory, though. The deflationary spiral one. But just a theory. Never happened.
You have no concept of history or the problems associated with a gold standard do you?
b) Are saying the well-off never squander money on stupid things?
Is the last sentence some kind of "ad hominem"? Because, it would be a pity.
b) I really have no idea where you're trying to take b.
"Is the last sentence some kind of "ad hominem"? Because, it would be a pity."
An ad hominem would be if I said your arguments were invalid because of who you are, that's what it means. I was making an observation about your ignorance based on the content of your arguments, entirely different.
I think that's not applicable to bitcoin since it's as comfortable to pay with microbitcoins as with bitcoins.
"but then a deflationary spiral started in 1931."
Yes, there was a deflationary event. As there were many before, and the last one before in 1920-1921, when the wholesale prices fall by a whopping 40%. But a deflationary event does not make a deflationary spiral.
There were also a lot silly activism both from the part of the Hoover and Roosevelt. The later speaking, beside other things about outright nationalization, and driving thus the busyness investment into ground..
So a lot happened than which make the Great Depression Great but deflationary spiral is not THE explanation.