Raising the Debt Ceiling

Congress is once again considering raising the debt limit. When did that start?

Congress will be revisiting this issue in December.

The Fed could buy defaulted Treasuries or swap Treasury bonds that weren’t in default for those that were.

If Congress fails to raise or suspend the debt limit, it won’t cause a government shutdown. But it could mean a failure to pay Social Security benefits and federal salaries. 

There are more disasters than Congress budgets for. And the federal fiscal year coincides with peak hurricane and wildfire season.

A higher debt limit does not mean funding more government programs. It is paying for the bills already due.