One way to lessen the impact of borrowing from foreign countries is to foster a weak dollar.  In essence we borrow today with a strong dollar and pay back in the future with a weak dollar.

The first queston that comes to mind is why any sane foreign country would put up with a plan like this?

The answer appears in the above named article in the Asia Times.

Ok, the butler did it.

Faced with the unprecedented growth of the US budget deficit and the prospect of an increasingly weaker dollar compared with the yen reducing the value of Treasury debt held by Japan, economists in Tokyo are calling for the administration of president-elect Barack Obama to issue US Treasuries denominated in yen and other currencies. The issuance of foreign currency-denominated US Treasures would reduce the perceived risk of holding the debt.