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Monetizing debt would not change the fact that more debt would mean higher nominal payments, inflation would reduce real income and real consumption.

• eli_gottlieb 14y ago
  Correction: 74% of the American population carries net debt, even if it's "good debt". Inflation would act as a mini-jubilee to rebalance the economy between producers and financiers.
  • encoderer 14y ago
    In the long-term, sure, it may have some wealth transfer effects. But in the short term it's tragic for most people. Interest rates through the roof. Inadequate incomes. Etc. Or to borrow a meme, "periods of high inflation have been great for the middle class" said nobody ever.
    • eli_gottlieb 14y ago
      That assumes America has much of a middle class left.