I recently changed my site from a static homepage to point to the latest post. In doing so, clicking the previous page link at the bottom of the blog returned a page not found error.
Google searches presented various options including changing the number of posts displayed in settings etc, none of which worked.
As a static home page site, I use Filosofo’s Home-Page Control plugin. The problem was resolved by changing the home page setting in the plugin from WordPress default to Blog.