Global debt saturation? So why not just cancel much of the debt?

[Johan293]

Hey!

I don´t know if debt and growth can continue to expand or not. Some say no.
And i am no economist but if so why can´t much the the global debt be erased if enough central banks help each other taking control of the markets so they don´t go crazy?

Could they then not issue interest free debt together for whatever project seems necessary and create a great global economy and at the same time for example lower CO2 output substantially?

 

[Bleipriester]

Capitalism cannot suspend itself.
However, debt making will work for quite a while but not forever. The earlier you start to reduce it the easier it will be.

 

[Dekster]

Hey!

I don´t know if debt and growth can continue to expand or not. Some say no.
And i am no economist but if so why can´t much the the global debt be erased if enough central banks help each other taking control of the markets so they don´t go crazy?

Could they then not issue interest free debt together for whatever project seems necessary and create a great global economy and at the same time for example lower CO2 output substantially?

Debt can continue to grow. It just won't stimulate GDP as it does. You could certainly cancel some debt if you want, but what you are doing in the process is canceling social security, government pension, insurance and institutional reserves, and a lot of little old people savings bonds when you do. You do realize people own that debt?