> You are conflating, I assume intentionally, the legal proceeding bankruptcy Wrong. The macroeconomic "fear" of disinflation is that people will not be able

> You are conflating, I assume intentionally, the legal proceeding bankruptcy Wrong. The macroeconomic "fear" of disinflation is that people will not be able to make interest payments and default on their debt. This will cascade because those debt issuers also have debts of their own, and there will be an unwinding. Sometimes a good old jubilee is what you want.