Kady you misunderstand how modern money actually works though.
Sighs. Sure. I am ready for another convoluted explanation which attempts to add complication to something that is actually quite simple. Fire away.
The government “debt” is simply the dollars in circulation for the private sector to use for their own purposes. No printing presses required; it’s just digits entered on a computer.
Obviously. It doesn’t matter squat to my point if there is actually a printing press or an ENTER button. The point is that the Fed balance sheet grew in order to liquify the financial institutions.
Trillions were created instantly after the GFC to save the banks. There was no inflation.
Correct. But that is not because high levels of debt are not inflationary, as one of the prior posters pointed out. In this case, there was no inflation (yet) because there are other variables in the equation, which in this case abrogated the inflationary effect (so far). If you want to discuss the mechanism as to WHY there has been no inflation effect (in this case, and as of yet) I’ll be glad to explain.
The real limit to all spending is the real resources available for purchase.
Then we’re back to “just print up (sorry, ENTER up) a million and hand it out”.
Taxes don’t fund government.
Excellent news. Then there’s no reason for us to pay them. Let’s just let the government cook up the cash and let us keep ours.