the national debt was something used to create national debt
No. A federal debt is a debt that is owned to the federal government. A home mortgage is a debt that is owed to the lending agency, be it a bank, a mortgage company, etc.
debt and bankruptcy
There are 3 types of debt a government can occur (Export Debt), (Import Debt) and (Social Debt). Export Debt (money owed to the government from Another Country that isn't paying) Import Debt (money owed to another country by the government) Social Debt: This is what I am assuming you are referring (the deficit). The deficit is money borrowed on "future" income from collectible taxes and fees from the governments citizens. They borrow against it (like a credit card). Its money owed to themselves. Its not a true debt in the conventional sense. However if left upaid then the government can't honour future benefits to its citizens and the country would collapse (like Greece and Spain).
In1789 the national debt totaled more than $52 million!
Debt peonage (wage slavery) is when an employer compels a worker to pay off a debt with work.
Debt peonage
The system of sharecropping is similar to debt peonage. In sharecropping, farmers work the land in exchange for a share of the crops, often leading to cycles of debt and dependency similar to debt peonage. Both systems exploited individuals by trapping them in cycles of debt and labor.
Debt Peonage was practiced in Peru from the 16th century until 1950. This was the practice wherein workers has to meet a required working time in a week and that they are not allowed to go beyond the land assigned to them.
The peonage system is a system of involuntary servitude used to pay off debt to creditors. The peonage system affected Latin America by encouraging slavery in Latin American countries.
Pay off debts through labor
A system of involuntary servitude n which the laborer is forced to work off a debt. This was mostly used on Mexicans and African Americans.
Peonage in Latin America was a system of debt bondage where laborers worked to pay off debts owed to landowners or employers. It created a cycle of poverty and exploitation, trapping workers in a form of modern servitude. Despite being outlawed in many countries, remnants of peonage still persist in some rural areas.
debt peonage (apex)
Debt peonage
having to stay at one job just to pay what you owe
Debt peonage existed in various regions around the world, but it was particularly prominent in the Americas, including the southern United States, Mexico, and parts of South America. This system exploited laborers by trapping them in a cycle of debt, often preventing them from being able to escape or improve their circumstances.