"But whatever the ultimate source of absorption (ie *who buys US long-term bonds*), the math dictates pretty simply that – absent an AI productivity boom that proceeds at precisely the right pace – the monetary base will need to expand to maintain the stability of the Treasury market, government finances, and ultimately US hegemony. While the mainstream press runs with the popular balance sheet hawk narrative, we encourage readers to keep their eyes on the system’s hard constraints and to not be surprised when the appetite for balance sheet rectitude winds up in the same heap as DOGE."
-@Ten31

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