[PeterPrinciple]

We’re far from bankrupt - since our entire monetary system is based on debt

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IT works until it doesn’t. Don’t you think that was the situation with the major world power?

[politicket]

IT works until it doesn’t. Don’t you think that was the situation with the major world power?

The fact that our entire monetary system (and those of virtually the entire world) are based on debt means that games can be played for centuries.

"Debt" is simply the promise to pay back money with either our individual future labor, and/or the future labor of others.

All "money" we hold is just "claims on the future labor of others" - which is why we can use those claims to pay off debt in any form. Once the debt goes away - then the claim on the future labor of that debt also vanishes (the money supply goes down by the amount of the debt paid off).

If one understands this concept, then it can be seen that "claims on future labor" can be made infinitely. It's sort of like on big ponzi scheme.