eli5 If the U.S. is in so much debt, how do they remain one of the most powerful & influential countries in the world?

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I feel like the United States is always meddling in other countries affairs and yet still climbing further into debt. Kind of like someone giving you advice on a golf course who is terrible themself. Is it the military presence? Economic relationships?

In: Economics

27 Answers

Anonymous 0 Comments

First off the US isn’t that terrible since most countries are in debt. [(list of countries).](https://en.m.wikipedia.org/wiki/List_of_countries_by_external_debt) Secondly, most of that debt is to its own citizens in bonds. You may have heard of a grandma buying a bond for their grand kid when they are born and because of the interest it’s worth twice as much by the time the kid is an adult. Many of these bonds have been destroyed so it will never be cashed in even though the interest for it will keep getting counted. Also much of the international debt was caused by caused by corrupt leaders thinking, “this money will make people love me and the debt won’t be my problem in a few years”.

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