I respectfully disagree. The purpose of inflation in this context is to "kill the debt", because the US cannot pay out $17T or even maintain interest payments, with "non-inflated" dollars. That is why all of this is just hand-waving and subversive, mis-directing PR.
The reason Japan is such a bad example is precisely inflation. But its death-nell was asset inflation, not cpi. Housing stocks and Bank loans were massively overinflated and never allowed to correct. The notion that this "inflation" should have been corrected with "other inflation" is one of those laughable bits of rediculousness.
Likewise, the US in a funk caused by Asset inflation. Fighting it with price inflation will be interesting. Take a look at the London property market. Do you think raising the price of consumer goods will help? Wont people just be encouraged to park their cash in property (ie, real goods?). Right now, they are trying to "make housing more affordable" by interest rate subsidies (inflationary). Doesn't seem to be making anything more affordable, though.
The reason Japan is such a bad example is precisely inflation. But its death-nell was asset inflation, not cpi. Housing stocks and Bank loans were massively overinflated and never allowed to correct. The notion that this "inflation" should have been corrected with "other inflation" is one of those laughable bits of rediculousness.
Likewise, the US in a funk caused by Asset inflation. Fighting it with price inflation will be interesting. Take a look at the London property market. Do you think raising the price of consumer goods will help? Wont people just be encouraged to park their cash in property (ie, real goods?). Right now, they are trying to "make housing more affordable" by interest rate subsidies (inflationary). Doesn't seem to be making anything more affordable, though.