US Debt Default Threatens Global Financial Stability.
Harvard economics professor Kenneth Rogoff has warned that the US defaulting on its debt obligations could spark a global financial crisis. He explained that the Republicans are trying to get everything all at once, which is not how any country runs its fiscal policy. The US Treasury may not be able to pay all of the government's bills as early as June 1 if Congress does not raise or suspend the debt limit before that time. The IMF cautioned last week that a US default would have "very serious repercussions."