The most economics work that I do these days is balancing my household accounts, paying my bills on time, and making sure that we carry no debt aside from our mortgage. I’ve moved long past the days of ECON 101 and the college classes that I once took. But even I heard Donald Trump’s comments on being “the king of debt” with more than a healthy dose of concern.
Well, Trump is doubling down on his love of debt. And we don’t need to worry about defaulting – not when the Treasury can just print more money!
“I said if we can buy back government debt as a discount. In other words, if interest rates go up and we can buy bonds back as a discount, if we are liquid enough as a country we should do that. In other words, we can buy back debt as a discount,” the presumptive Republican nominee said in a telephone interview on CNN’s “New Day.”
Those who said he wants to buy debt and default on it are “crazy,” he added.
“This is the United States government. First of all, you never have to default because you print the money. I hate to tell you. So there’s never a default. But the point is it was reported in the New York Times incorrectly,” he said, referring to a critical Times article that ran on Friday.
All hail the King of Debt.