The debt ceiling is a terrifying, confusing, amorphous monster. But there’s a slide show that can at least give you everything you need to know about it.
We’re not even totally in the clear on a shutdown over funding the government, but Congress is already onto the next fiscal crisis. Treasury Secretary Jacob Lew sent a letter to Congress on Wednesday saying that if Congress doesn’t act to raise the debt ceiling, the government will be left with just $30 billion in cash. “If we have insufficient cash on hand,” Lew wrote, “it would be impossible for the United States of America to meet all of its obligations for the first time in our history.”
This is something to be legitimately frightened about. House Republicans, while they look as if they are getting ready to retreat on the budget fight, are gearing up to go very, very hard on the debt limit. It’s impossible for congressional leadership to say how this will end, much less your humble media prognosticator.
But how exactly did we get here? And what exactly could we be looking at? The Bipartisan Policy Center has put together a slide show with literally anything you could possibly want to know about the mechanics of the debt limit, how the government has been able to hold off on “extraordinary measures” for this long, and why October could be a fiscal apocalypse.
The center, even after Lew’s letter, is predicting that the U.S. government will no longer be able to meet its financial obligations between October 18 and November 5. Here’s why.
What We're Following See More »
"Less than two weeks before Donald Trump accepted the Republican presidential nomination, his campaign chairman offered to provide briefings on the race to a Russian billionaire closely aligned with the Kremlin, according to people familiar with the discussions. Paul Manafort made the offer in an email to an overseas intermediary, asking that a message be sent to Oleg Deripaska, an aluminum magnate with whom Manafort had done business in the past, these people said. 'If he needs private briefings we can accommodate,' Manafort wrote in the July 7, 2016, email.
"The Federal Reserve left its benchmark interest rate unchanged and said Wednesday that it would begin to withdraw some of the trillions of dollars that it invested in the American economy after the 2008 financial crisis. The widely expected announcement reflected the Fed’s confidence in continued economic growth...most Fed officials predicted in a new round of economic forecasts that the Fed would increase rates later this year."
Special Counsel Robert Mueller "has asked the White House for documents about some of President Trump’s most scrutinized actions since taking office, including the firing of his national security adviser and F.B.I. director...Mueller is also interested in an Oval Office meeting Mr. Trump had with Russian officials in which he said the dismissal of the F.B.I. director had relieved 'great pressure' on him."