Who does the world possibly owe $109 trillion dollars to?


Who does the world possibly owe $109 trillion dollars to?

World?s debt :

It refers to the aggregate amount of money that the world owes. It is essentially the money that all the governments, non-financial firms, and households around the globe owe. It is calculated cumulatively by obtaining global debt statistics from every country and continent. Over the years, global debt has been increasing tremendously, a factor that has raised a lot of public concern.

Answer and Explanation:

Principally, the $109 trillion is owed to the occupants of the earth. Any individual who is currently living on earth owes every other person on the planet this amount of money. Contextually, the global debt equates to the total amount of money that is currently in circulation around the world. If the debt were cleared today, there would be no money in circulation. This implies that for every amount of money in one?s possession, a similar amount is owed to someone else.

Learn more about this topic:

Long-Term Debt: Definition, Cost & Formula

from Financial Accounting: Help and Review

Chapter 8 / Lesson 7

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