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Stopping issuance of new Treasury debt, and getting the Fed to just monetize IOUs wouldn’t invalidate existing debt notes (unless the Treasury just “paid them out” with the newly created money.)

No, it would simply destroy the existing “value” of the currency, just as in all cases of debasement in history.



How would it do that when currency is just another type of debt note.

There are no silver coins any more. You can't debase something that has no base.

People either save or spend. If they spend then it is taxed, and tax withdraws money from the system solving the problem.

The problem is excess savings. We don't need to pay people to save.




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