Debt default would 'permanently' weaken US, says Treasury Secretary Janet Yellen

US Treasury Secretary Janet Yellen issued a fresh plea for Congress to raise the federal debt ceiling on Sunday, arguing a default on US debt would trigger a historic financial crisis.

US Treasury Secretary Janet Yellen issued a fresh plea for Congress to raise the federal debt ceiling on Sunday, arguing a default on US debt would trigger a historic financial crisis.

In a Wall Street Journal opinion piece, Yellen said that the crisis triggered by a default would compound the damage from the continuing coronavirus pandemic, roiling markets and plunging the US economy back into recession at the cost of millions of jobs and a lasting hike in interest rates.