4 ms·
There is one obvious choice here, the policy is inflation and always has been.
by grey-area 9d ago
There is one obvious choice here, the policy is inflation and always has been.
- iririririr 9d agoyet many "third world" countries managed to pay their debts just fine. some even more than once in recent history. American exceptionalism even in failure?
- RussianBot9580 9d agoHow is it failure? You use your military to force trade to occur using your tokens. You control the supply of said tokens. You leave some other loser holding the bag for your debts. You win.
- iririririr 9d agoBecause they cannot force the world to buy their meme token anymore. Either they pay up and joing the world being a good credit-score conscious citizen or they get the boot. And people still think they don't have a political choice because it is impossible to pay it up. You are all alienated and going to the double down disaster.
- DarkmSparks 9d agoFrom the adminstration Fed independance is about tempering that policy so UST still has buyers.
- grey-area 9d agoFed policy is explicitly controlled inflation (2% target).
- pjc50 9d ago2% inflation isn't going to inflate away the debt any time soon. It's basically as close to zero as can be realized without going under.
- grey-area 8d agoIt is not in fact close to zero, it is significant inflation, particularly as they tend to float over the target (3-4%). At 2% over just 25 years money loses 60% of its value. That is not insignificant, and of course with higher rates it loses value quicker.