How a debt ceiling default would devastate the middle class

[Manishican]

Not sure if it will be this bad.

https://www.washingtonexaminer.com/policy/economy/debt-ceiling-default-would-devastate-middle-class

[Manishican]

7 million jobs will be gone. Stock market will fall 1/3rd. Not sure if this is true

[BommaliNinnodhala]

When a country defaults, it can have significant impacts on the financial well-being of individuals. Here are some potential effects on their money in the bank, assets, and mortgage loans:

Money in the bank: most developed countries have deposit insurance schemes in place to protect deposits in the event of bank failures or insolvency. Therefore, it is unlikely that depositors will lose their money in the bank due to a country default. However, there may be restrictions on withdrawing money from banks or on the movement of capital out of the country, which could impact the ability of depositors to access their funds.

Individual assets: A country default can trigger economic instability, which can lead to a decline in the value of individual assets such as stocks, bonds, and real estate. This can result in significant losses for investors and homeowners, depending on the severity of the default and its impact on the broader economy.

Mortgage loans: A country default can lead to currency devaluation, interest rate hikes, and changes in property values. These factors can make it more difficult for borrowers to service their mortgage loans and can lead to higher default rates and foreclosures.

It's important to note that the impacts of a country default on individual finances will depend on many factors, including the specific circumstances of the default and the country's economic policies. Therefore, it's important for individuals to monitor the situation closely and seek professional advice if they are experiencing financial difficulties as a result of a country default.

[Manishican]

Republicans want to keep spending at 2022 levels but Democrats not listening. High chances this time.

[pakeer_saab]

8 hours ago, BommaliNinnodhala said:

When a country defaults, it can have significant impacts on the financial well-being of individuals. Here are some potential effects on their money in the bank, assets, and mortgage loans:

Money in the bank: most developed countries have deposit insurance schemes in place to protect deposits in the event of bank failures or insolvency. Therefore, it is unlikely that depositors will lose their money in the bank due to a country default. However, there may be restrictions on withdrawing money from banks or on the movement of capital out of the country, which could impact the ability of depositors to access their funds.

Individual assets: A country default can trigger economic instability, which can lead to a decline in the value of individual assets such as stocks, bonds, and real estate. This can result in significant losses for investors and homeowners, depending on the severity of the default and its impact on the broader economy.

Mortgage loans: A country default can lead to currency devaluation, interest rate hikes, and changes in property values. These factors can make it more difficult for borrowers to service their mortgage loans and can lead to higher default rates and foreclosures.

It's important to note that the impacts of a country default on individual finances will depend on many factors, including the specific circumstances of the default and the country's economic policies. Therefore, it's important for individuals to monitor the situation closely and seek professional advice if they are experiencing financial difficulties as a result of a country default.

get out of stock market other than 401K in this quarter

it will be too late by july 2023

 

[Manishican]

This would trigger a recession and interest rates might fall

[Gaali_Gottam_Govinda]

They wont default.... edho kukka hadavidi chesi last extend chestaru..... last 50 years nundi idhe nadustundi