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>which I or my children will have to pay back at some point Which is not as relevant as you think, since if your kids have to pay it in 50 years, deflation wil
by ChrisLomont 8y ago
>which I or my children will have to pay back at some point
Which is not as relevant as you think, since if your kids have to pay it in 50 years, deflation will have made it effective 1/4 as much or so. And if the current spending results in more total wealth at that point than if the spending was not done, then everyone is better off.
Not all deficit spending is bad economics, in the same way buying a house or paying for college is on average a positive economic move in the long run.
- polotics 8y agoYou wrote deflation, but I think you meant inflation: with deflation the purchasing power of the $5000 borrowed would go up, not down.
- notarealaccount 8y agoEither word, this commenter, doesn't know too much about what they are commenting on.
- dang 8y agoMaybe not, but please don't post unsubstantive comments here. And certainly not personal attacks, which this dips a toe into. https://news.ycombinator.com/newsguidelines.html https://news.ycombinator.com/newsguidelines.html
- ChrisLomont 8y agoCorrect - my mistake. The point is the same however - sovereign debt does not work like household debt, especially when the debt is denominated in a currency the sovereign controls, as is the case in the US.