This Planet Money episode discusses the history and potential future of the U.S. debt ceiling, also known as the X-Date, the point at which the U.S. government risks defaulting on its obligations. The episode revisits the 2011 debt ceiling crisis, highlighting the efforts of Shai Akabas and Jay Powell (current chair of the Federal Reserve) to educate lawmakers and the public about the dangers of breaching the debt ceiling. It explains the "extraordinary measures" used to delay the crisis and the potential for new, more drastic measures. The episode then transitions to 2025, with Akabas expressing concern about the current political climate and the potential for another debt ceiling crisis, projecting the next X-Date to be between August and early October. The podcast emphasizes the need for fiscal responsibility and difficult decisions on spending and taxes to avoid long-term economic consequences.
