What If Congress Fails to Raise the Debt Ceiling?

U.S. Treasury Secretary Janet Yellen noted today, Monday, that a failure by Congress to raise the federal debt ceiling of $31.4 trillion would deal a massive blow to the U.S. economy and weaken the dollar's status as the global reserve currency. Yellen told CNBC, "President Joe Biden will have to make decisions about what to do with Treasury resources if the debt ceiling is not raised, and there are no good options." She added that Biden hoped to establish a basis for discussion and compromise on these issues with Republicans in Congress, but he will not do so while being in a pressured position.