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1

Anything about a currency collapse or runaway inflation due to a renunciation of the US debt thus the world's lost faith in the dollar? Fed confiscation of gold? 90% tax rates in order for the Fed to afford foreign trade? All four of those are just about guaranteed, I get that it probably feels better to worry about the other things...

2

@1 None of these things are guaranteed. One is more probable than the others. No reason for the US to ever renunciate its debt as long as we have a machine that makes money. The Fed isn't going to take your gold or increase your tax rate to 90%. That's just paranoid nonsense (unless you're last name is Bezos). There will be a brutal price to pay for the Federal debt but the currency may be something other than inflation.

Back to the subject at hand, the planet is going to get a lot warmer and all the ice will melt. We know what that looks like. It's happened before. Don't know how people will react to the changes but houseboats is an interesting idea.

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@2 Just about guaranteed. Or are we going to cautiously work to pay it down? How, austerity budgets? Which president is going to sign up to be the least popular person in history? Maybe we won't actively renounce the debt, we'll just ignore it. However that will be hard to do when it gets into the $30 trillion neighborhood. We'll be happy with a 1% growth because if it wasn't for debt interest payments it would have been 6%! Why wouldn't they take your gold? It will be one of the few things other countries will accept as payment. They did this in 1933. They'll do it again. Since you are an oldwhiteguy, I am sure you remember it being illegal to own until the early '70s. You do say brutal price so I assume you're not an MMT, but what do you think the brutal price will be? Eventually QE won't keep the wolves from the door. Think it through.

4

@3 America was on the gold standard in 1933. Now, by contract, we pay our debts with little pieces of green paper. We can make as many of them as we need.

There is a Mr. Mudede on this site that writes about economic issues occasionally. Perhaps that would be a good place to discuss your concerns.


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