Here's the scenario: A businessman had been travelling in his car for a long time and stops off one afternoon in a small town where he finds a motel. The owner of the motel told him a room would cost $100 so the businessman pulled the cash out of his wallet and gave it to him. When the businessman went upstairs, the motel owner went across the street to pay the bakery owner $100 that he owed her for providing breakfast snacks for his motel. The bakery owner then went over to the farmer's house and gave him $100 that she owed for eggs and milk for her bakery. The farmer then went into town to see a prostitute that he owed $100 to for services already rendered. The prostitute then takes the $100 to the motel owner because she had been using rooms there. Because the businessman arrived, everyone was now out of debt.
Then the businessman went downstairs and said he doesn't like the room and has decided to leave town, so the motel owner gives him his $100 back. It was the businessman who seemingly pulled them all out of debt but he's leaving with his $100. Are people really out of debt and better off? The answer is no.
The motel owner wouldn't have another $100 to spend at the bakery because the businessman took it away. Then a chain of events takes place as the $100 is no longer going round and around in their local economy to pay for things like eggs, milk, muffins, and for the farmer, a prostitute.
If the money were generated and sustained in their own economy, it would continue to serve the community, but in this case, it was basically borrowed cash, they just didn't know it. It was pseudo money.
This is what our Federal Government does by pumping borrowed cash (some foreign), into our economy. Money that would eventually be pulled back from U.S. citizens through things like increased taxes and higher borrowing rates.