The doomsday scenarios if the U.S. defaults
Today on \u201cPost Reports,\u201d what could happen if the United States government fails to raise the debt limit by the deadline.
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Yesterday, President Biden met with congressional leadership to talk about the \u201cX date\u201d; that\u2019s the date after which the Treasury projects the U.S. government would no longer be able to pay its bills. The \u201cX date\u201d is June 1, and if a deal isn\u2019t struck by then, the United States would default on its debt.
If the United States were to default, that could mean a variety of catastrophic economic consequences: millions of federal workers furloughed; Social Security and Medicare payments suspended; a stock market collapse; an economic recession.
White House economics reporter Jeff Stein explains these \u201cdoomsday\u201d scenarios and breaks down what could happen to the U.S. economy, and even the global economy, if a deal isn\u2019t reached.