[quote=The-Shoveler]It’s more about reducing the years in labor it takes to pay off your current debt than anything else.
Or reducing the value of your current debt.[/quote]
That’s only one side of the balance sheet. For someone who’s in debt that’s favorable. For the person holding that debt as an asset it’s a negative. The reason I feel deflation and default is a better outcome is because at least in that scenario some debts will still be worth something. In a hyper inflationary situation all debts are worthless.
The problem that we have when looking for economic solutions is we tend to ignore the repercussions on the other side of the balance sheet. Would it be good to reduce our overall debt. Yeah it would of course that means the people on the other side of the balance sheet have to take losses. Who are those people, well it’s going to pension funds, retirement portfolios and wall street.