alt Hacker NewsThis is true for corporate bonds, but governments plan on generating their bond revenue by taxing citizens (which I guess could be a whole separate conversation on whether or not that’s productive) and by printing more currency, which seems rather circular in logic.
You're conflated stocks and flows though.
It's bad for the economy when money is turned into a stock and just literally sits.
It's fine for the economy if the government forces a flow from it's citizens (taxes) when it then spends that money.
Printing money also produces a flow so that's fine for the economy too. The issue with printing money is not whether or not the US economy will continue to exist, it's whether or not the government will (in more of the USSR -> Russia sense and not anarchy sense).