The problem with applying Appel's argument in practice is that it only shows that copying garbage collection is better if you are willing to waste RAM. In practice, if you had a 1 MB working set and 100 MB of RAM, you would probably want to use most of the extra 99 MB for caching even slower levels of your storage hierarchy.
Moving garbage collection does have some other potential benefits; it can provide guarantees regarding fragmentation, and it can improve spatial locality of data.