Example One - The Australian Debt Clock

Example Two - Reserve Bank of Australia

Example Three - National Review Online

Our Debt is More Than All the Money in the World

	"Just a reminder: We are in trouble. I have argued that the real national debt is about $130 trillion. Let’s say I’m being pessimistic. Forbes, in a 2008 article, came up with a lower number: $70 trillion. Let’s say the sunny optimists at Forbes got it right and I got it wrong. For perspective: At the time that 2008 article was written, the entire supply of money in the world (“broad money,” i.e., global M3, meaning cash, consumer-account deposits, checkable accounts, CDs, long-term deposits, travelers’ checks, money-market funds, the whole enchilada) was estimated to be just under $60 trillion. Which is to say: The optimistic view is that our outstanding obligations amount to more than all of the money in the world. Global GDP in 2008? Also about $60 trillion. Meaning that the optimistic view is that our federal obligations outpace the entire annual economic output of human civilization."

Example Four - All the Banks in the World

Example Five - Australian Reserve Bank RBA

href="http://www.sec.gov/cgi-bin/browse-edgar?company=Commonwealth+of+Australia&CIK=&filenum=&State=&SIC=&owner=include&action=getcompany" target="_blank">

Example Six - When the principal is created, the interest is not.

Example Seven - Australian Money

Example Eight

	The Guardian UK Have we got more debt than money? Patrick Collinson. The Guardian. 9 April 2008 UK ... "As individuals, we owe £1200 billion in mortgages. On top of that we have loaded another £220 billion on to our credit cards and personal loans. Are we really so leveraged that we don’t have the money to repay our debts? The £1200 billion in mortgage debt is more than matched by the value of the UK’s housing stock. According to the Halifax, the total value of Britain’s houses at the end of 2007 was £4000 billion. At banks and building societies we have deposits worth £556 billion. In our wallets, there’s around £48 billion in cash. It’s not enough to cover the debt, but good for a few rainy days’ repayments."

Example Nine - The Economist Global Public Debt

Example Ten - CIA World Factbook

Example Eleven - Monopoly Money Example.

Example Twelve - FED

	verginiahammon I’m hoping you or someone on the blog can help with a US question. I’ve taken 2 spreadsheets from the FED: Money_Stock M3-(available from 1958-2006, when it was discontinued) and compared the numbers from the FED’s "Total outstanding debt by sector,"(which includes a breakdown into financial and nonfinancial sectors). For the years available for M3, the ratio of debt to M3 ranges from 24.3% to 46.4%, with an average of 36%. What does this mean? How can there be roughly 3 times as much debt as money, if money is created by debt?

Example Thirteen - Simon Thorpe

	Total Global Debt and Money Supply : Twice as much debt as there is money A week or two back, I raised the question of how it was possible that total debt within the Eurozone (i.e public sector debt and private sector debt combined) could be 2.5 times higher than the total Eurozone money supply. Specifically, the debt at the end of 2011 was €23.78 trillion, whereas the money supply measured by M3 was only €9.76 trillion. Does this 2.5:1 ratio of total debt to money supply apply outside the Eurozone? Well, to find out, I have compiled data for the 39 countries in the BIS Private Sector Debt database and then added in the numbers for Public Sector (which I got from a very nice World Debt Clock website done by the Economist) to get total debt. I then used the data on money supply provided by a remarkable site called Trading Economics where you can get money supply data by clicking on each country’s link. Money supply numbers are not always standard, but most of the time you can get either M2 or M3. I had to multiply the numbers by the USD exchange rate to get the money supply in dollars. So, here is the result.

	I have ranked the 39 countries in terms of the Money Supply. China comes top with a money supply of $15.72 trillion, followed by the Eurozone ($15.2 trillion), the USA ($10.44 trillion), Japan ($10.40 trillion) and the UK ($3.19 trillion). Note that some of the Eurozone countries are effectively in the table twice (Germany, France etc) because the BIS figures include a 40th number for all the Eurozone countries, but the totals and the bottom exclude the Eurozone figures. Total Private sector debt is $89.27 trillion and Total Public Sector debt is $47.62 trillion, making a total debt level of $139.89 trillion. Adding together the money supplies of all the countries together produces a total of $68.34 trillion. That is exactly half the level of debt. In other words, even if every last cent was added together, we could still only pay off half the debt. In other words, the 2.5:1 ratio of debt to money supply that I noted for the Eurozone is a pretty typical case. The last column gives the ratio of debt to money supply for each country. For some reason, Scandinavian countries like Norway, Sweden and Denmark all have very high ratios of well over 4:1. But the USA is also up there with a debt to money supply ratio of 3.5:1. There are only five countries that actually have a money supply large enough to cover their debt (coloured in green in the table). Apparently Mexico is one of them, but this seems extremely odd - maybe an error in there somewhere. The other four are China, Hong Kong, Saudia Arabia and Luxembourg. That seems to make sense. But even if you combine all their money supply surplusses, you still only get about $18.5 trillion. So, even they are totally unable to help pay off the mountain of debt that the world has amassed. I find these figures quite incredible. They demonstrate quite clearly that those who have been lending the money that we owe can’t possibly have had the money they lent. The whole thing is a complete con. What’s the solution? Well, it seems to me that everyone should agree that we actually effectively need to temporarily double the world’s money supply and use that money to pay back this fictitious debt. The only place that this can be done is by using the Central Banks to create new debt free money and using that new money to pay off the debt. Seems like a sensible plan to me.

Example Fourteen - The New Arthurian Economics

US Debt per Dollar

Graph #1: USA Corporate Profits (blue) and Corporate Interest Paid (red)

Corporate Interest Paid, per Dollar of Corporate Profits

Example Fifteen

Example Sixteen

	andychalkley Money is created as debt under the private corporate banking system. For easy maths let’s assume interest at 10%. So $1000 of money is created by $1000 debt. After one year, there is still $1000 of money but there is $1100 debt. After two years, there is still $1000 of money but there is $1210 debt. Ho hum and we didn’t notice. National Debt arrived with Central Banks. If the entity that collects the taxes is different to the entity issuing the money, an imbalance will occur. That imbalance is called National Debt. National Debt cannot exist without private banks. International Debt arrived with international banks. International Debt would not exist if we had direct barter trade between nations. However it is not recommended as you will go the way of Sadam and Hitler and Ghadafi, if you try.

Example Seventeen

Michael Snyder

	Why is the global economy in so much trouble? How can so many people be so absolutely certain that the world financial system is going to crash? Well, the truth is that when you take a look at the cold, hard numbers it is not difficult to see why the global financial pyramid scheme is destined to fail. In the United States today, there is approximately 56 trillion dollars of total debt in our financial system, but there is only about 9 trillion dollars in our bank accounts. So you could take every single penny out of the banks, multiply it by six, and you still would not have enough money to pay off all of our debts. Overall, there is about 190 trillion dollars of total debt on the planet. But global GDP is only about 70 trillion dollars. And the total notional value of all derivatives around the globe is somewhere between 600 trillion and 1500 trillion dollars. So we have a gigantic problem on our hands. The global financial system is a very shaky house of cards that has been constructed on a foundation of debt, leverage and incredibly risky derivatives. We are living in the greatest financial bubble in world history, and it isn’t going to take much to topple the entire thing. And when it falls, it is going to be the largest financial disaster in the history of the planet. [The Economic Collapse Blog. The Global Financial Pyramid Scheme. Michael Snyder. 20 March 2013]

Example Eighteen - Anonymous Coward

Example Nineteen

There is WAY more debt in the world than there is money to repay it.

Above Top Secret.

	That’s the whole point of Usury. I always try and explain in like this to people that don’t quite ’get it’. (I realize this is an over simplification). Imagine when the whole usury thing began that there where 10 coins in existence. Someone comes along and wants to borrow said 10 coins, the lender says ’ok, but you will have to pay a 10% interest rate on the loan’. This is where the problem comes in, the borrower now owes the lender 11 coins, the original 10 coins borrowed plus 10% - 1 coin. However there are only 10 coins in existence, so the debt can NEVER be repaid. [TerryMcGuire ] http://www.abovetopsecret.com/forum/thread934808/pg1

	Following that reasoning, would it not therefore be a form of fraud to expect someone to pay back something that does not exist?

	I’m not sure who’s more of an idiot, the people running the show -- or the masses who let them run the show?

	The printing of the money is not the issue, this creates inflation. It is the NON-printing of the interest that is owed on the printing of the loan money that is the issue.

	Growth in national debt directly corresponds to a growth in the money supply. And most countries use the same type of debt based system now, so it’s a world wide debt crisis.