this post was submitted on 24 Apr 2025
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politics

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[–] clutchtwopointzero@lemmy.world 21 points 15 hours ago (2 children)

Also, China has a shitload of US debt that they can use as leverage

[–] dryfter@lemm.ee 3 points 57 minutes ago

Which makes the debt ceiling fight that's coming up even more interesting. (article from March 24th)

The U.S. is most likely to default on its $36 trillion national debt sometime between mid-July and early October if Congress doesn’t act, the Bipartisan Policy Center predicted Monday.

......

Debt limit forecasters are expected to release a narrower X-date prediction after most tax receipts have landed at the IRS in April. While it’s “quite unlikely,” there is still a possibility that the U.S. could run out of borrowing power in early June if that gush of tax revenue comes in far below projections, the Bipartisan Policy Center cautioned.

The cost-cutting efforts of the Department of Government Efficiency effort headed by Elon Musk could also affect cash flow enough to change the X-date prediction, along with the strength of the economy, tariffs and any new spending or cuts Congress approves, the center said.

Given how DOGE is inflating it's cost cutting savings by over $140 Billion, the tariff trade war, and congress' habit of pushing things to the brink when their luck is going to run out sooner or later -- this could get ugly quick.

[–] DragonTypeWyvern@midwest.social 5 points 5 hours ago (1 children)

Which is why Trump tried to declare it void, as a very stupid person.

[–] ILikeBoobies@lemmy.ca 2 points 1 hour ago* (last edited 1 hour ago)

Hey now, if there’s one thing Trump is knows it’s declaring bankruptcy