is america really going broke?, page-17

Saturn,

They aren't 'monetizing the debt', the so called 'debt' is money that has already been earned by other countries by selling American's goods and services.
They offer treasuries so as to remove excess liquidity from the banking system, that's not 'monetizing debt'.

You refer to the way congress spends money into existence by the fed, but that isn't debt monetization either, who do they owe the money too, themselves?

If America never spent another dollar into existence, then eventually the whole system would equilibriate with everyone holding their USD. But if the US economy is able to produce 1 more bananna then it can now, and no more money was put into the economy, it would eventually result in deflation (on a minute scale, but you get the point).



Do you see your last point isn't really true then? Because if the US never deficity spent another dollar into existence, then any economic output increase would result in deflation... Same dollar's chasing more good's.
So the US needs to keep creating dollar's while it keeps experiencing any form of economic productivity growth.

Unfortunately this is a rather hard thing to judge and why America is not in the greatest position's, but they just aren't broke.