Has there ever been a good argument for why deflation is bad? Or empirical evidence?

TL;DR

I just have never seen a good argument against deflation or a empircal study of a country whose currency deflated then it went into economic turmoil it is usually inflation that causes this.

This actually is austrian related because Peter Schiff talked about this with the tech boom, how computers went down in price yet profits of those companies went up throughout the 90s and 2000s. People still ran out to get the newest computer or Iphone. A computer was like 5 grand in 1990 by 2010 you could get a laptop for like 300 bucks and yet the whole time these companies profits continued to increase. The rate of innovation was so quick that places like Best Buy, Staples, Comp u.s.a. had to keep taking losses on old inventory, fire sale it and replace with with new inventory and profits increase business expanded. Look at how quickly TVs, music players and telephones changed during this time period also.

Alan Greenspan in the early 2000s justified his choices for monetary policy because there was a risk of deflation but why is this bad? And did his choices to stop deflation make the economy better?

Orginally David Hume and by extension Adam Smith figured deflation would be bad because people would hold their cash as products went down in price and businesses would lose money. But this was in a period where most commerce was agriculture so inventory was limited.

A good example of inventory deflating and profits going up is Gamestop in the 2000s. When xbox 360 came out all the ps2, xbox and gamecube games began to drop in price yet 2007 was still their best performing year despite huge inventory losses in value. Again, this isn’t to defend gamestops as a business but they took huge inventory impairments and yet still managed to make huge profits.

The other thing people dont realize about deflation is if products and profits are deflating this lowers interest rates and allows for refinancing bringing busines back to profitability. Roughly revenue – costs and interest is income.