The Impending Financial Disaster: US Debt Ceiling and Its Consequences.

Congress must address the debt ceiling, a legal cap on how much the US can borrow, on a regular basis. Democrats insist on a "clean" debt ceiling increase, while Republicans want spending cuts in exchange for approving any increase. The US risks defaulting on its loans if the debt ceiling is not raised or suspended, which could cause a massive economic crisis. The Treasury Department is running out of accounting tactics to buy more time, and a default could happen as early as June 1. If the US breaches the debt ceiling, it will not be able to pay its bills, and the US would almost certainly enter a severe recession. Several options have been proposed to raise the debt ceiling, including minting a platinum coin, invoking the 14th Amendment, and issuing quasi-debt.