I am currently using Mishkin's textbook "Economics of Money, Banking and Financial Markets." The chapter on financial crises starts with the causes of financial crises.
One reason given is the Unanticipated Decline in the Price Level. I quote "In economies with moderate inflation, which characterize most industrialized countries, many debt contracts with fixed interest rates are typically of fairly long maturity (ten years or more). In this institutional environment, unanticipated declines in the aggregate price level also decrease the net worth of firms. Because debt payments are contractually fixed in nominal terms, an unanticipated decline in the price level raises the value of borrowing firms' liabilities in real terms, but does not raise the real value of firms' assets."
I get that as the value of money is increasing over time (deflation), the real value of the debt is increasing. What is the reason for asset values to not be rising? If the nominal value of the assets stay the same, then assets will be rising in real value (as money is becoming more valuable). Am I missing something obvious?