Saturday, July 30, 2011

How Europe Will Feel The Pinch If The US Defaults

Bettina Seidel, Ben Knight

The world markets are still hoping for a last-minute deal to save the day, but the fronts on the US Capitol seem entrenched. So what happens now? Will the world economy collapse if the US defaults on August 2?
Republicans and Democrats in the United States are stuck in bitter negotiations over raising the US debt above its current $14.3-trillion (10-trillion-euro) ceiling. At the moment, the two sides are simply muddling through from one day to the next. As soon as a deal seems to be within reach, it retreats to the horizon. Votes on possible solutions in the House of Representatives constantly get postponed.

No comments:

Post a Comment

Everyone is encouraged to participate with civilized comments.