When $8.18 Trillion Isn't Enough

Yesterday, Treasury officials told Senate aides that without an increase in the nation's $8.18 trillion debt limit, the government "would default on obligations for the first time in history sometime during the week of March 20." The Senate will have to take up the issue soon since "federal default is considered unimaginable because it would rattle bond markets, force interest rates higher and shake the economy." The debt limit increase to around $9 trillion would be the fourth increase in five years. "I don't think the leadership wants to have any debate on this, and I think the reason is pretty clear," stated Finance Committee ranking member Max Baucus (D-MT). "It's embarrassing. Natl. Debt Clock hits $8.268 TRILLION