If the debt is in US dollars (which it is) then they actually...

If the debt is in US dollars (which it is) then they actually owe less in real terms.

Thats the easy way to pay off debt - you owe $1 trillion than all you have to do is inflate your currency so much that $1 trillion buys you a loaf of bread. Sell a loaf of bread and then pay off all your debts!

The losers are the holders of that debt - thats why I'd be moving out of US treasuries into gold or other assets.

Thats a simple analogy but close to what the US are trying to acheive.

A rising currency is the baddie - you need to sell more and more just to pay off the same amount of debt.