[OB1kNOb]

Look up "hyperinflation". The country owes so much more than it has that accounting games will soon fail (watch the treasury bond markets) and the only way to pay up is to (A) confiscate all income thru insanely high taxes (as if 50%+ wasn't crazy already), and (B) start printing dollars (dollars is what was agreed for payment dollars is what it will be paid in - devaluation wasn't prohibited in the contract).

Not to mention 3) confiscate all IRA's and 401K pension plans to help pay down government debt, offering a government provided annuity pay out in return. They are already making rumblings about that idea.

[ctdonath2]

Well, yeah, the idea is take all wealth however confiscation can be tenuously justified.

I just had a hideous thought.
Taxes impute ownership to the collector. Gov’t could just “pay” someone by reassigning the power to collect taxes. Example: as property taxes mean your land isn’t yours, the gov’t could just negotiate a deal whereby creditors would accept your property tax payments (indefinitely) in lieu of normal interest/principle payments - to wit, transferring ownership of your property to, say, People’s Republic of China.
(Why not?)