Debt has two types:
Debt on appreciating assets like Real estate or stocks or for company operations/financing.There is a risk associated with it. They are good debts as you will get better returns.
Debt on depreciating assets: Cars, credit cards…etc. They are bad debts.
Each and every debt, we need to look at case to case.
Entire US is credit based economy, domino effects are there during downturn.
Knowing issues of growing debt, FED increases interest rate so that correction gets into economy. As long as we are protecting our self safely,well within limits, we can proceed with limited good debts.
Fully cash based is ideally good, but too hard to attain that financial independence stage.