The debt ceiling has made its way into the news recently, with reports saying that the USA has reached the federal debt limit. In today’s episode, Grant is going to discuss what the debt ceiling is, the reason for having a debt ceiling in the USA, and what kind of consequences there will be if the government is unable to come to an agreement.

[04.18] The debt ceiling – Starting the conversation, Grant explains the reasons why only a few countries in the world have debt ceilings.

[10.43] Removing debt ceiling – Grant shares why he thinks the debt ceiling should be removed.

[16.00] Run out of money – We talk about what happens when the US government runs out of money.

[22.40] The last time – We talk about what happened the last time when the debt ceiling passed the limit.

[27.15] Stability – Grant explains why 50–60% of the world’s trade transactions happen in US dollars.

Resources

White House regroups after McCarthy’s debt ceiling success –

politico.com/news/2023/04/27/white-house-regroups-mccarthy-debt-ceiling-success-00094273

 

Explaining the U.S. Debt Limit and Why It Became a Bargaining Tool –

nytimes.com/2021/09/27/us/politics/us-debt-ceiling.html

 

The fight over the debt ceiling could sink the economy. This is how we got here –

npr.org/2023/03/23/1163448930/what-is-the-debt-ceiling-explanation