> inflation doesn't increase the dollar amount owned
In theory no, but when old debt matures, it is often paid by issuing newer debt that is financed at the higher rate. So in practice inflation does increase the dollar amount owned unless the government actively reduces the debt.
In theory no, but when old debt matures, it is often paid by issuing newer debt that is financed at the higher rate. So in practice inflation does increase the dollar amount owned unless the government actively reduces the debt.