USA taking 'extraordinary measures' to avoid default as debt ceiling hit
Posted: Sat Jan 21, 2023 7:04 pm
U.S. taking 'extraordinary measures' to avoid default as debt ceiling hit
https://www.cbc.ca/news/business/us-deb ... -1.6719148
The countdown toward a possible U.S. government default is in the offing, and frictions between President Joe Biden and House Republicans are raising alarms about whether the United States can sidestep a potential economic crisis.
The Treasury Department on Thursday said in a letter to congressional leaders it has started taking "extraordinary measures" as the government has brushed up against its legal borrowing capacity of $38.381 trillion US. An artificially imposed cap, the debt ceiling has been increased roughly 80 times since the 1960s.
Markets so far remain calm, given that the government can temporarily rely on accounting tweaks to stay open and any threats to the economy would be several months away. Even many worried analysts assume there will be a deal.
https://www.cbc.ca/news/business/us-deb ... -1.6719148
The countdown toward a possible U.S. government default is in the offing, and frictions between President Joe Biden and House Republicans are raising alarms about whether the United States can sidestep a potential economic crisis.
The Treasury Department on Thursday said in a letter to congressional leaders it has started taking "extraordinary measures" as the government has brushed up against its legal borrowing capacity of $38.381 trillion US. An artificially imposed cap, the debt ceiling has been increased roughly 80 times since the 1960s.
Markets so far remain calm, given that the government can temporarily rely on accounting tweaks to stay open and any threats to the economy would be several months away. Even many worried analysts assume there will be a deal.