Despite plenty of drama and public rhetoric in the battle over the U.S. debt ceiling, President Obama and House Speaker John Boehner have not yet reached a compromise. The deadline is looming as is the possibility the country will have to default on its $14.3 trillion of debt. As time marches on, analysts are starting to think seriously about what would happen if no deal can be reached. A vote was expected today in the House on Boehner’s last bid to increase the debt limit and cut spending — but that all fell apart last night when Tea Party Republicans refused to vote for it.
Louise Story, Wall Street and financial reporter for our partner, The New York Times, and Todd Zwillich, The Takeaway’s Washington correspondent report on where the talks stand and what sorts of services will be cut in the event of a default.