“How can you hire someone to fix roads and bridges if you pay them in pieces of paper with a rapidly declining value?”
How does your boss pay you today?
Actually, the dollar is not declining all that rapidly, and the best evidence of that is that other nations are willing to buy ten year treasury bonds at 1.4% interest. Yes, in the future it may well decline, and may do so quite rapidly. But say it declines to 50% of its present value. Then the money we use to pay off our debts would be worth only half what we borrowed, so we would come out ahead, wouldn’t we?
Just for the sake of discussion, let's say that you are 30, have no retirement savings, and owe a mortgage which is more than your house is worth. Let's say that I am retired, living off a fixed amount of conservatively invested savings and owe no mortgage.
In the scenario I described, my answer would be "it depends". Your comment, however, explains why I am so certain that inflation lies ahead. People who are in debt will be somewhat rewarded. Others may be severely penalized.