if all these shenanigans kill the whole driving point of bonds anyway (the full faith and credit of US Govt) - will it ever be as easy for the treasury to issue bonds again?
If foreign investors like China dump our debt, prices will go down and yields will go up. As long as we increase our debt ceiling and don’t do anything intentionally crazy like try to renegotiate existing debt (which would be a technical default), we could always issue more treasuries at the higher rates with the caveat that more money will need to be spent servicing the debt, which requires even more debt be issued. A vicious cycle for sure.