The Massive Debt Bomb is Going to Explode: ‘We Are Reaching a Limit’

Debt now defines us.
Personal and household debt is at unprecedented historical levels. Many Americans are stretched many times past their limit with no hope of getting out of the black. Student loan debt is its own huge bubble, waiting to burst, and perhaps big enough to trigger another crisis in its own right. Dozens of states and cities are on the verge of default, as are places like Puerto Rico.
Then there’s federal government debt. The next round of drama in the debt ceiling charade is coming up this fall. Partisan politics will be showcased, and programs targeted for cuts, before Congress once again rubber stamps putting the country into further rounds of endless debt. The Fiscal Times reports:
In July, Lew warned Congress that the government’s use of ‘extraordinary measures’ to continue to finance the government on a temporary basis without breaching the current $18.1 trillion debt ceiling would last through Oct. 30.
Fears of provoking yet another debt ceiling crisis that would threaten a first-ever default on U. S. borrowing have hung over Washington for months.

This post was published at shtfplan on September 10th, 2015.