Speaker of the House Kevin McCarthy speaks to the media in National Statuary Hall following the House passage a bill focusing on the debt ceiling on April 26, 2023, in Washington, D.C. Credit: Matt McClain / The Washington Post / Getty

We are now somewhere between one and three months away from the U.S. hitting its debt ceiling limit, running out of accounting gimmicks and being unable to pay its bills.

The exact day when the U.S. will run out of cash isn’t known, since ongoing revenue streams are always something of a matter of informed guesswork, but the Treasury estimates it’s very soon. Earlier this year, Treasury Secretary Janet Yellen estimated that the doomsday date would hit in June. Then, with better-than-expected tax revenues coming in, analysts said it could be sometime in August. Now, Yellen has again said the doomsday date could be as early as June 1.

Whenever the government runs out of wriggle room, however, economists are pretty much unanimous in warning that the damage of Congress not raising the debt ceiling — or […]

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