The Risk-Free Rate Is Not Zero Risk

The U.S. government could default but it's considered the least likely to default of all issuers of debt in the world and that's why people call it the risk-free rate because it is denominated in dollars. The treasury can always at the end of the day print more money which would just be monetizing the debt other countries that owe money are not able to do so they could actually default. But since where the world's reserve currency we're never going to default however the dollars that you get paid back by the u.s. government might be worth a lot less in the future because of inflation. I think we're at the beginning now of a long cycle of the