Unless the United States Congress raises the so-called "Debt Ceiling," the US Treasury will run out of money and could default on its debts. According to Treasury Secretary Janet Yellen, this could happen as soon as June 1st.

Republicans in Congress are using the threat of an unprecedented US default and the chaos that would ensue as a bargaining chip in negotiations with the Biden administration. At time of recording Congress did not appear to be close to raising the debt ceiling. A US debt default is not a totally remote possibility. 

Joining me to discuss the global implications of a US default is Monica de Bolle, senior fellow at the Peterson Institute for International Economics.  We briefly discuss what we mean by the breaching the debt ceiling and then have a conversation about the geopolitical implications of a self-inflicted US default. And in the second half of our conversation we dial in on what a US default would mean for economies in the developing world, including poorer countries in Asia and Africa that are themselves already deep in debt.