A country with a flat tax or a consumption tax and a constitutional amendment to require a balanced budget would do great with fiat money.

It would also never have a large military or be able to fight wars of any size, or build massive infrastructure. On the one hand it would dramatically shrink GDP and encourage savings, which we need. It would also help conserve the environment. On the other hand since we have such a large debt, don’t you think that shrinking GDP which as a corollary shrinks tax revenues, we’d be slitting our own throats?

I know this post is a bit derivative, maybe jficquette can open a new thread to discuss?