global debt is really all about risk and trust. When the US deficit spills over $100 trillion it is because the USD is still the trusted currency.
If you want to see how the FIAT system works look no further than Japan. The BoJ is happily trotting along with a $4.5 trillion balance sheet backed by loans that it underwrote. And the yen is considered a 'safe haven' currency because Japan has an incredible resillent economy, nothing more.
It's also notable the the Boj's debt is the size of the US FED's current debt. Janan's economy is one third the size of the US. Debt to GDP ratio ~260%, the US 110%.
So trust and risk are the limitators of this wonder debt scheme. Let's also be perfectly clear; the 2008 FED bailout was not an experiment.
Why not a US deficit of $1,000 trillion? It's the first squillion
