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Open original source ↗Eric is correct in multiple aspects here. Large swaths of government spending are inflation-indexed. And deficits as currently constructed contribute to the wealth divide.
And yet, bonds underperformed virtually everything in the 2020s.
Why?
Because the US inflated it away. 😉
Quoted context
These are the quoted author’s words.
The US cannot inflate its way out of its fiscal problems. This is a myth. All the future obligations are index-linked to inflation. All you’ll do with this idea is widen the wealth divide between the recipients of the inflation-indexed payments and wage earners.
EPBResearch ↗