“The White House is warning that catastrophe will strike if Congress fails to raise the limit on the national debt: With too little cash to pay creditors, the U.S. government would default. Interest rates would skyrocket. And the economic recovery would collapse. But behind the scenes, Treasury Secretary Timothy F. Geithner has already begun juggling the books to conserve cash, draining a special account at the Federal Reserve.” (Washington Post)
Actually total debt busted the limit two weeks ago, but not everything is counted — more Washington games.
FEE Timely Classic
“Does Government Always Have to Grow?” by Stephen Davies