As long as the US can borrow in its own currency, then there is no possibility of default, as indicated by (c) in kewp’s post. Nations that have defaulted in the past usually borrowed in dollars rather than their national currency.
kewp-
I see 2 reasons for the Fed to increase the monetary base so drastically.
1) GDP = MV, and V is clearly slowing drastically.
2) Debt destruction is clobbering digital dollars. The increase in the monetary base is an attempt to partially make up for that phenomenon, but unlikely to be sufficient until banks start to lend more aggressively.
