only if the interest rate you pay on the debt is lower than inflation. let’s say, if inflation is 3% and your interest rate is 5%, you still make additional 2% real debt every year. if however inflation is 5% and your interest rate is only 3% then you win.
only if the interest rate you pay on the debt is lower than inflation. let’s say, if inflation is 3% and your interest rate is 5%, you still make additional 2% real debt every year. if however inflation is 5% and your interest rate is only 3% then you win.