Alva Review-Courier -

By JOSH BOAK 

EXPLAINER: How ominous is the debt limit problem?

 

January 18, 2023



WASHINGTON (AP) — On the brink of hitting the nation's legal borrowing limit on Thursday, the government is resorting to "extraordinary measures" to avoid a default.

Sounds ominous, right?

But -- take a breath -- the phrase technically refers to a bunch of accounting workarounds. Yes, accounting.

Because the debt cap limits the issuance of government bonds — a way the U.S. borrows money — these workarounds shift money among accounts and should keep the government open through at least June, according to a letter last week by Treasury Secretary Janet Yellen.

In theory, President Joe Bi...



For access to this article please sign in or subscribe.

 

Reader Comments(0)

 
 

Our Family of Publications Includes:

Arc
Newsgram

Powered by ROAR Online Publication Software from Lions Light Corporation
© Copyright 2022