Ok, maybe I don't understand what this guy is advocating, but it sounds like basically just saying unilaterally ... "hey China, we just cancelled $2T in debt. We don't owe you that anymore!"

So, from a MacroEconomics point of view ... what would happen?

If I owed someone on CougarBoard $1000, (say TNT, just 'cause!), and I just said "Hey, I don't owe you that anymore" ... they can take me to a court that has can say "Yes you do still owe that" ... what is the equivalent in international country to country loans? The World Bank?

If I didn't pay, eventually TNT could get some police force to come arrest me and forcibly take the $1000 somehow. I don't really see that equivalent in internal debt except eventually a shooting war between the US and China ... which I don't think either side would do over this ....

What would China's response be .... refuse to give any new loans? Call in immediate pay back of $2T in loans to US businesses? Seize $2T in US business assets in China? NOW, THOSE actions I think could actually lead to a shooting war!!!

Would cancelling $2T in US debt to China make Germany or Japan or England less likely to give us loans in the future?

If we did cancel the debt to China, and stopped making payments and interest, what we do with the extra money?