economics

India
January 1, 2013 10:56pm CST
what is debt free economy? does this affect one nation or world as a whole? i also read that if all debt were paid in full there would be no money at all so how can we implement this system ? thank you
1 response
@veganbliss (3903)
• Adelaide, Australia
14 Jan 13
Welcome to MyLot! It depends upon the context you are reading it in. I can't see how such a system is possible to implement today when there is so much debt inequality in the nations of the world. I'm not saying it's impossible, just that I don't see it happening anytime soon. If a nation is debt-free or better still, in surplus (as ours was until Labor came along & spent it all & them some, & then some more & then sold off all the assets &...), then it means such a lucky country is spending its own money & either not borrowing or paying back anything borrowed very quickly. Any country with debt is paying a lot of money in interest repayments in order to service that debt. Such a situation would positively benefit the nation, but may have a negative effect on the rest of the world, indirectly.