The addition to the money supply that debt represents has presumably already happened, so wiping it out with newly minted dollars should have a neutral effect.

The addition to the money supply that debt represents has presumably already happened, so wiping it out with newly minted dollars should have a neutral effect. In practice, though, I suppose this would immediately be followed by a spending spree of new debt, like a boomer that just paid off their seadoo, so on the whole I suppose youre probably right.