Asset value deflation rather than goods price deflation is the problem that leads to debt deflation.
The costs of deflations: a historical perspective
24 pagesby Claudio Borio, Magdalena Erdem, Andrew Filardo and Boris Hofmann
BIS Quarterly Review, March 2015
A nice companion piece to this Charles Goodhart's and Boris Hofmann's (co-author of the article you link) entitled "Deflation"
ReplyDeletehttps://www.ecb.europa.eu/events/pdf/conferences/goodhart-hofmann.pdf
They find that deflation gets ugly went it hits property prices.