Infographic: The US Debt Ceiling Crisis - Local Politics, Global Implications

By: EW News Desk Team   Date: 29 July 2011

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EW News Desk Team

Always on the look out for the latest news to monitor the state of the world economy.

EconomyWatch, News Desk Team

 

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29 July 2011

According to the U.S. Treasury, by next Tuesday, August 2 the U.S. Congress must reach consensus and pass some kind of agreement to allow the U.S. Government to borrow beyond the $14.3 trillion debt ceiling, which was last raised on February 12, 2010. Failure to do so will leave the U.S. government with insufficient funds to continue its payments, including its upcoming debt obligations. This “default,” if it happens, would downgrade America’s credit rating, increase its borrowing costs, and create havoc as yet unknown on world markets.

Related: Downgrade Doldrums: US Credit Rating May Drop Even if Debt Deal is Reached

See the Slide Show >>> 2011 World Economy Vital Statistics

More than half of America's public debt is currently held by foreign investors. Check out who's owed what:

us debt ceiling

Source: American Dream, American Debt, by OANDA


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