What Happens When the Money Runs Out?
Treasury Secretary Jacob J. Lew has said the U.S. government will exhaust its ability to borrow more on Oct. 17, triggering a possible default on federal obligations. Though no precedent exists, a study by the Washington-based Bipartisan Policy Center suggests that the government may attempt to pay some or all of its bills under one of two scenarios.
Published Oct. 15, 2013
1 – Payments to providers 2 – Active military and veterans benefits
3 – Unemployment/Housing and Urban Development (HUD)/Temporary Assistance for Needy Families (TANF)
Source: Bipartisan Policy Center
GRAPHIC: DAVE MERRILL / BLOOMBERG VISUAL DATA