The horrible new economics and the USD

The USD may appreciate a great deal from here. It is possibly set to break out.

If we get much higher market yields in the bond and lending markets, the dollar will appreciate. If we get deflation as a result, the dollar will appreciate.

If we default, the dollar will appreciate as borrowing costs and deflation occur.

The wealthy with piles of cash will see the value of the cash increase. Future tax rates would be lower if there is no interest to pay on the current debt.

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