ABSTRACT

Debt Limit Suspensions [Updated December 27, 2021]   [open pdf - 740KB]

From the Document: "From 2013 until 2019, Congress chose to suspend the statutory limit on the amount of federal debt outstanding for set periods of time, rather than increase the limit by a dollar amount. On October 14, 2021, however, Congress chose to increase the debt limit [hyperlink] by the fixed amount of $480 billion. On December 16, 2021, another act [hyperlink] increased the debt limit by $2.5 trillion. Debt limit suspension acts, by contrast, are silent on dollar amounts. A suspension defines a minimum interval before Congress is compelled to address the debt limit again. Once the suspension ends, the debt limit is reset to accommodate the increase in federal debt during the suspension period. The U.S. Treasury, with the help of 'extraordinary measures [hyperlink],' can pay federal financial obligations for some time after a suspension ends, allowing Congress more time to consider how to address the debt limit before Treasury's capacity to pay is exhausted."

Report Number:
CRS Insight, IN11829
Author:
Publisher:
Date:
2021-12-27
Copyright:
Public Domain
Retrieved From:
Congressional Research Service: https://crsreports.congress.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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