[PeterPrinciple]

... Once the inevitable happens and we have a run on our currency, we will be able to pay those bills at cents on the (current) dollar.

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That is one scenario. Just like us as individuals, it may sound good to leverage but if you don't have a job to pay off your leveraged debt, it doesn't matter, you lose everything.

If the govt can't collect taxes nor borrow new money to pay off old debt, it loses everything.

I have worked with bankrupt businesses in the 80’s. All that debt was going to be paid with inflated dollars. Didn't happen that way. The value of the assets dropped to 1/3 value and the lenders got very nervous.

Think about what happened to the Soviet Union.............

[juno67]

“If the govt can’t collect taxes nor borrow new money to pay off old debt, it loses everything.”

What do you mean? The government of the US is not like the businesses you saw bankrupted in the 80’s. When it has debts it can’t pay, it just revs up the printing press and pays out the dollars. Just like other governments have done the world over that have their own currencies. The result is a devaluation of the currency, of course. But nobody comes in and repos the roads, bridges, rails, etc...