What is Debt Ceiling? [HD]

Debt Ceiling Defined - as part of the expert series by GeoBeats.

Debt Ceiling Defined

We’ve all heard, and we’ve seen in the news, that our country is reaching its debt ceiling. But few of us really understand what that means, or know how it impacts us personally. So, the debt ceiling, let’s see if we can make it apply in a more familiar situation. Say in your household you have a certain number of credit cards and you have access to certain lines of credit. Well, over time, if you max out all your credit cards and all your lines of credit, basically the creditors, the banks, will say you cannot borrow any more. So that’s the situation we’re faced with as a country; and there are some who argue that we should raise that ceiling, meaning we should be allowed to borrow more, just like going to your own bank and saying, can I please borrow more, because this is a tough situation; and there are others that say we need to not borrow more, we need to focus on paying down the debt. So that’s the general situation, that’s what it means, and it’s going to take a collaborative effort to figure it out, because it’s a pretty complex problem. But we all have to work together, and it will get resolved.

1. By: geobeats.com
2. Categories Travel & Outdoors
3. Views 37
4. Added :15-Jul-11
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