[imtringued]

>The idea that when purchasing power increases people spend absolutely nothing is the basis if this rationalization for inflation, and it isn’t supported by logic or experience.

That's not necessary. Simply reducing spending to the bare minimum possible is enough. Humans don't need that much to survive.

>They actually spend more and more productively, because instead of barely getting by they are able to accumulate capital and start businesses.

Well, first of all, why would you start a business if your money works for you? It would be a waste of money. Secondly, if everyone is starting their businesses instead of buying things then who is going to buy the things those businesses provide? Nobody? Isn't an oversupply of goods just going to drive prices even lower, causing companies to close down? Would you really risk starting a company when you know that in the future your potential income will be even lower than today?