The Limited Times

Now you can see non-English news...

US Congress: tough dispute over debts - US Treasury Secretary warns: "The consequences are catastrophic"

2021-10-07T01:47:33.529Z


Unless Congress raises or suspends the debt ceiling, the US government is at risk of default. Treasury Secretary Janet Yellen warns of “catastrophic” consequences.


Unless Congress raises or suspends the debt ceiling, the US government is at risk of default.

Treasury Secretary Janet Yellen warns of “catastrophic” consequences.

Washington - Treasury Secretary Janet Yellen believes that a US government default would lead to a “recession”.

If Congress does not raise or suspend the debt ceiling in time, there is a risk of “catastrophic” consequences, warned Yellen on TV broadcaster CNBC.

"I absolutely expect that this would also cause a recession," said the minister.

The behavior in Congress endangers the recovery of the US economy from the Corona * crisis and is "irresponsible," said Yellen.

The Treasury Department has warned the US could run out of money by October 18.

A default would damage confidence in the creditworthiness of the world's largest economy, which could trigger a financial crisis and economic turmoil.

US President attacks Republicans: Playing "Russian roulette" with the US economy

The two parties in Congress blame each other in the dispute over the ceiling increase.

The Democratic President Joe Biden * only accused the Republicans on Monday of blocking the increase for political reasons and thus playing "Russian roulette" with the US economy.

A default would jeopardize the US dollar's reserve currency status and lead to higher interest rates for US consumers, he warned.

also read

BDI lowers economic forecast - weaker private consumption

The economic crisis remains visible.

The Federal Association of German Industry (BDI) has now corrected its forecast for the rest of the year downwards.

BDI lowers economic forecast - weaker private consumption

Pink clinic fights for abortion rights in the United States

The Pink House is the last abortion clinic in Mississippi.

Opponents of abortion harass pregnant women before they come to the premises.

This fight will soon also be fought in the Supreme Court.

Pink clinic fights for abortion rights in the United States

Biden proclaims "new era" of diplomacy at UN speech

Under Donald Trump, the United States withdrew from the Paris Climate Agreement; at the United Nations, Trump preached about "America First".

Joe Biden strikes a completely different note in the general debate.

Biden proclaims "new era" of diplomacy at UN speech

The last applicable debt limit expired in July.

Since then, the Ministry of Finance has taken “extraordinary measures” to prevent a payment default.

So far, Republicans and Democrats have still agreed to raise the limit - albeit often after trembling and several rounds of negotiations.

(dpa) * Merkur.de is part of IPPEN.MEDIA.

Source: merkur

All news articles on 2021-10-07

You may like

News/Politics 2024-02-18T05:11:33.375Z
News/Politics 2024-02-14T05:50:58.596Z
News/Politics 2024-02-23T12:42:35.372Z

Trends 24h

News/Politics 2024-03-27T16:45:54.081Z
News/Politics 2024-03-28T06:04:53.137Z

Latest

© Communities 2019 - Privacy

The information on this site is from external sources that are not under our control.
The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.