EDIT: (I should have read to the end): I disagree with Pickety on his "maximum allowable budget" committee. It's an unnecessary violation of sovereignty, and I

EDIT: (I should have read to the end): I disagree with Pickety on his "maximum allowable budget" committee. It's an unnecessary violation of sovereignty, and I think that sovereignty is important. If bankruptcy norms existed, they could create a market discipline. As government approached the intervention threshold, their bonds would decrease a little in value. Also in my governments-can-declare-bankrupcy world, this can happen a lot sooner and the defaults can be much smaller.