4 : Confidence in a currency lasts until it is gone. After it is gone, so is the feeling of safety. When the feeling is gone, the strength of the currency can o

4 : Confidence in a currency lasts until it is gone. After it is gone, so is the feeling of safety. When the feeling is gone, the strength of the currency can only be defended by tight fiscal policies. Edit: Just to clarify. Other currencies exist, some may be seen as safer than dollars if a populist government is wrecking the economy there. Also, there is always stocks, real estate, precious metals and possibly crypto. 5 : Yes. So next time the expectation will be that it is ok to do this. Which it is, until the time that confidence is lost. 7 : Watching from the outside, America seems to be radicalizing, as is the rest of the West. New generations no longer seem to understand the risks of fascism or socialism. And finally, I agree, 20% is not necessarily a nightmare. But keep in mind that the US had general growth exceeding the inflation in 79. UK, for instance, had stagflation, which is quite a bit more demanding. In order to reign in the inflation, fiscal tightening is a necessity, or the inflation may become permanent.