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>You can cancel debts of the past and borrow for the future

who's going to lend you money "for the future" if you've just shown that you will arbitrarily "cancel debts of the past"?

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The fed is effectively doing this right now with low interest rates. Diluting old debts (pay off early 2000s mortgage with modern wages) and cheapening the cost of new ones, (borrow at 4% when inflation is running around 5%). We all buy into it for one reason or another but the ultimate thing underpinning this dynamic is that capital trusts the US the most amongst all other debtors.

The winds are shifting on that... The fed actions are a large part of why.

It is extremely arrogant to believe that the world will continue to allow the USD to be manipulated by the fed with no action by other nations.

It is a denial of history, combined with a Normalcy bias that have people falsely believing the USD will always be king

Personally I would love to see other nations and organizations get to the level of trust the US has with creditors. Alternatives are being sought, but the the same time, I'm not seeing any particular institution taking the lead.

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