Part 5/14:
Governments’ Only Real Option: Debasement
A core theme Doyle discusses is the artificial nature of current monetary policies. He explains that most governments lack feasible solutions other than "debasement"—printing money to inflate away debt. "Default or austerity are politically unpalatable," he states, leaving the inflationary approach as the primary means to manage debt burdens.
He clarifies, "The government’s best strategy is to work over time by printing currency, thereby reducing the real value of liabilities." This approach, while disastrous for savers and fixed-income earners, is rational from a political standpoint as it delays necessary fiscal pain.