This is how much governments are hurt when there are no taxpayers. They need those taxes to pay coupons on government bonds Otherwise they will be borrowing say 16% more per annum to afford 5% per annum in bond coupons. Thankfully Bank of Japan doesn't expect any bond coupons. They are lending the Government of Japan 100.1 Yen for every 100 Yen they expect back at maturity. So in other words Bank of Japan is willing to suffer a small loss raising for negative yield by lending to the government Other countries may not be so fortunate to last this long with yield curve control (i.e. fixing the price of all bonds)

DON’T PANIC US Establishment will never spend their wealth on retail goods to cause inflation. So think of government borrowing and spending as a type of delayed gratification for the elites. Bond holders own a share of your future taxes. They will never get taxed either.

MSM is acting surprised why the deficits are higher even with higher interest rates. https://www.washingtonpost.com/business/2023/09/03/us-debt-deficit-rises-interest-rate/ Answer: USA cannot afford to spend less. It CAN afford to spend more. USA used to increase spending by 8% p.a. so as to pay last decade’s 2% bond coupons. Now it has to increase spending by 16% p.a. so as to pay this decade’s 5% bond coupons. If spending does not increase this much, the bond coupons cannot be paid.

#Glowyim are tired

The Precession of Simulacra