Trouble with U.S. debt limit: Why does it matter to the world?
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The U.S. has hit its legislated debt ceiling of $31.4 trillion. So the White House lost little time in calling on the U.S. House to raise the limit on federal borrowing. The U.S. Congress has to vote on raising the debt ceiling, but the Republicans hold a slim majority in the House. And Republicans, led by Kevin McCarthy, have sought major cuts in government programs for the next 10 years. The Democrats and Republicans are in tense negotiations, but not raising the debt ceiling would lead to a U.S. government default as early as June 1. What is the debt ceiling? And why does the debt ceiling have such a massive impact on the U.S. and the world?
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