Eli5: how can the world be in debt?

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I just genuinely don’t understand how it works, like couldn’t you realistically just creat more money. Isn’t it just like a number in a bank account? Am I really dumb?

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Anonymous 0 Comments

For the second part of your comment, no, we can’t.

More money = Less worth. Imagine if there was only one singular dollar in a society with 100 people, that would be a very valuable bit of currency because only one person has it. Now imagine if there were 100,000,000 dollars in that society with 100 people. Everyone would have 1 million dollars, so it’d be a lot less valuable thanks to its reduced rarity

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