Those predicting hyperinflation - the basis for the prediction is a loss of confidence in the currency leading to debasement.
Japan’s 2 lost decades is a result of a failure to lose confidence in the yen. I don’t know why this is so. I don’t know if their debt is not yet sufficiently large for the Japanese people and the world to have lost confidence in it, or if it is because the Japanese and others know that the Japanese people have the ability to pay down the debt over time with high savings rates.
In any event, the lost decade of Japan’s deflationary era is a result of confidence in the yen.
I have to wonder if the dollar will get the same benefit being based on a nation of historically over-consuming people with miniscule savings rates. What is it that the US post-FIRE economy is supposed to do that will let us grow the economy and pay down the debt? I don’t know.
Default is coming, just a matter of how. I take it your conclusion is that the US government will one day tell China, Japan, Canada and the Saudis, “thanks for the bond money, we can’t pay you, sorry”.
And if we did that, would that result in more deflation or collapse of the currency?
Just watch Japan. Japan is 21 years ahead of the U.S. on this path. If Japan ever defaults someday, then you've probably got a couple of decades before the U.S. follows suit.