How are all the deficits, debts and loans of a nation tracked, and do they know the exact balance?
I might be very naive to how all of this works.
In: Economics
The same as how all other wealth is tracked.
Stating how much money or debt one has is directly related to how much money they invest in financial wizards to give you those figures.
If one doesn’t invest in good financial wizards, then they are liable to get caught in some strange money scheme or have all their hidden debts exposed.
If they invest heavily and carefully on the number and skill of really good financial wizards, then you could literally maintain a failing company (or even an individual millionaire or billionaire) without anyone ever knowing.
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