To facilitate global transactions the Government keeps book on its spending and its revenue and balances the difference with borrowing. This legitimizes the dollar.
And this is the thinking that is killing the American economy. How many more decades of decline do you need to see it’s SNAFU? Why not just reinstate the gold standard if we are going to hamstring our economy by all the rules that we used to defend a useless gold reserve? Our income inequity and trade deficits will eat us alive slowly while we act like a bunch of bed wetting wimps every time we see a defict. It is the strength of the private sector economy that “legitimizes” the dollar, not a bunch of meaningless number crunching about how much fiat currency is in circulation.
If we lose the ability to produce and consume in the domestic economy what difference will any of those numbers make? If your kids think a third world country with no debt is a great inheritance they will be ecstatic with you. This is especially true when the “debt” is actually the real assets they will inherit, not a mortgage on the country they have to pay with taxes. All you did was take all of your gold standard antiquated thinking and shove it up the ladder to our trade. I’ll say it again: the only people who question the “legitimacy” of the dollar are Americans who buy the BS their politicians shove down their throats. The rest of the world is comfortable with currency creation for their own economies because they don’t have remnants of a failed Confederacy working to destroy their governments from within.