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What Happens If The United States Defaults On Its Debt?

What Happens If The United States Defaults On Its Debt?

NDTV
Friday, October 1, 2021 6:55 PM GMT

After narrowly avoiding a shutdown of the US government, President Joe Biden's Democratic lawmakers and the Republican opposition face an even more high-stakes task: forging an agreement to raise the country's borrowing limit or risk a catastrophic default.

Washington: After narrowly avoiding a shutdown of the US government, President Joe Biden's Democratic lawmakers and the Republican opposition face an even more high-stakes task: forging an agreement to raise the country's borrowing limit or risk a catastrophic default.

Here's what you need to know about the debate over the US debt limit:

What is the debt limit?

The debt limit is the legally established maximum on how much the United States can borrow to pay the government's bills for everything from social welfare programs to salaries for the military.

Read full story on NDTV
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