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Thread: The Deficit
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Old 02-04-2018, 11:45 PM   #23
davew
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Join Date: May 2011
Posts: 22,649
Right now, when the government can borrow money at very low interest rates, there is no big problem with repayment, as they can roll-over for years. It is not like a revolving balance on a credit card with people paying 10%, 18%, 23%, ... and trying to get it paid off.

When the debt gets very high, there are government assets that can be sold such as the 28% of USA land owned by the government.





If that does not work, then inflation could be used to make old debt very small compared to current revenues. That assumes that government CAN run on positive cash flow.


PS Do you feel Trump will double the debt during his 8 years like 0bama did?
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