[ur-whale]

> You are claiming that defaulting on sovereign debt would have no consequences?

First, at the sovereign level, it only has consequences if the lender has more guns than you.

Seconds, most "debt" in OECD countries is not owed to sovereign entities, but to the countries population themselves, who if push comes to shove will just have to accept that their bonds are worthless if it is ever legislated to be thus.

[syshum]

>> who if push comes to shove will just have to accept that their bonds are worthless if it is ever legislated to be thus.

Yea, the history of the world is full of populations just accepting their governments new policies to screw them over..

There are never any consequences to that, the people just shrug and say them the breaks and go about their day

<<sarcasm>>

[ur-whale]

> <<sarcasm>>

Which is why it is much better to achieve the same goal via inflation, where after a couple of decade a 100$ T-bill isn't worth a cheeseburger.