Bridger Pennington argues the US national debt isn't as dangerous as people think, pointing to the dollar's status as the world's reserve currency and the fact that other countries hold dollar-denominated debt, which keeps global demand for dollars high.
Chapters
This is why I'm not concerned with the national debt. I love hearing people online talk about, man, the national debt's like $30 trillion, and they have a little counter online that shows you it's going up every day. Having this much national debt isn't a bad thing. You gotta remember, the central bank is not run like a business. If you're the world's reserve currency, you want demand for your dollar. And one strategy would be you would flood the entire world with debt denominated in US dollars. So China, Saudi Arabia, Russia, they all have debt in US dollars. So if you are even a country like China that doesn't like using the US dollar, well, shoot, we've got all these debts that are owed. They're not owed in yuan, they're not owed in Bitcoin. Guess what they're owed in? US dollars. It insulates you and makes sure that your currency, the US dollar, is still used around the world because debts have to be paid in that, and you want those debts to be worth something in the future.