“The deficit is already a tax, in and of itself, in that it causes inflation and devaluation of money.
“It’s also a flat tax.
“And largely exported abroad to non-USA holders of dollars and t-bills.”
But not entirely.
It’s people like me that have bank balances that have been paying too.
I’ll only be paying for a few more years. My money is disappearing, along with the ability of the USA to play fiat money games.
If you think the Chinese are going to be playing much longer you are in for a shock. They’ve learned to lend to other countries at stiff terms and interest rates. They get some territory they can effectively call their own after any default.
Their ability to "call it their own" may be dependent upon their being able to field troops there against any government deciding to try to expropriate. Then again, with the millions of excess men, they might find that a good feature.