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Everything will be great until the default happens. After that, everything will still be great, we will just have less reputable friends. That's how spirals wor
by 1970-01-01 6mo ago
Everything will be great until the default happens. After that, everything will still be great, we will just have less reputable friends. That's how spirals work.
- bryanlarsen 6mo agoAs long as the debt is denominated in US dollars, default is a choice. The US cannot be forced into default; it can always choose to inflate away the debt instead. Default itself will cause massive inflation, default is not a way to prevent inflation.
- dh2022 6mo agoInflation means more money chasing the same amount of goods and services. How will default cause massive inflation? Will the amount of money in circulation increase?
- bryanlarsen 6mo agoDefault makes dollars roughly worthless, so you need a lot more of them to buy anything.