The USA and Chin have the highest debt in the world but i don’t understand the concept of them being some of the wealthiest countries, does that debt need paying off? How do they get this debt? Ultimately it just doesn’t make sense to me.
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Other people have stated some of the economics behind this but it’s important to note it also kind of applies to people as well. Rich people get offered a lot more credit and can take out bigger loans, because they’re more likely to pay it back. Whereas when you’re just starting out, you have 0 debt, but also 0 dollars.
With governments, there’s a whole lot more at play, but still: not all debt is bad debt.
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