The US Government has been spending around US$50 billion a day for the last year... and they're about to run outta cash!
Background: Imagine waking up in 2021 with this news: JLo got back together with Ben Affleck, COVID is still plaguing our lives and the US Government is about to run outta cash.
What happened: The US Government has been spending around US$50 billion a day for the last year. And it has a national debt now stands at $28.43 trillion. It's kinda hard to even conceive.. but it feels like a lot. Now, US Treasury Secretary Janet Yellen has warned that the Government will literally run out of money by October 18 - if something doesn't change.
What else: Now, US Treasury Secretary Janet Yellen has warned that the Government will literally run out of money by October 18 - if something doesn't change. And if it's not resolved, it could have massive repercussions for the global economy.
💡Just like our credit cards have limits, the US Government also has limits to its debts. That debt limit is called the debt ceiling.
💡The debt ceiling is a limit on the national debt that can be incurred by the U.S. Since it was introduced back in 1917, this 'limit' been raised 78 times.
💡So why don't they just raise it now? Well, they probably will.. But for now - it’s become a political game between Joe Biden's Democrats and the Republican party... a game with real-life consequences.
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