LÖVE

Nil

You're drawing your world wrong, see my attachment for what is actually happening.

You're also creating your circle shape with non-zero offset, which is probably what caused the confusion. Line 16 in circle.lua should be: I've only added "debugWorldDraw" to main.lua and called it in love.draw. Rest of your code is untouched except for enabling mouse cursor / disabling borderless for my convenience.