Why is an economic depression bad for consumers even though prices are cheaper?

Question

Why is an economic depression bad for consumers even though prices are cheaper?

In: 88

Answer 1

Most comments here already give the reasons why

So hence usually middle income and high income earners are only able to benefit from an economic depression (due to strong savings and less likely to be laid off)

That is only if they behave in a contrarian manner (for example, spend more during a recession and save and invest during a strong economy)

In the GFC, stock valuations and the housing market crashed. Mortgages went underwater.

But meanwhile you also hear stories of people being able to finally afford to buy a home thanks to the GFC, having waited for a deep housing market crash or correction.