Biden to Meet with Congressional Leaders to Avert Potential U.S. Debt Default and Protect Small Business Owners

The United States is facing a potential default on its debt for the first time in history, and economists are warning of the dire consequences it could have on the economy. Treasury Secretary Janet Yellen has expressed her concern that Congress could hurt small business owners if a deal is not reached over the debt limit.

Small business owners like Larkin, who runs TargetGov, a company that helps businesses pursue federal contracts, are worried about the potential impact of a default. Larkin says it would cause their clients to reduce their spending, which would have a negative effect on her business.

President Joe Biden is set to meet with congressional leaders next week to try to find a solution to the impasse. Senate Minority Leader Mitch McConnell has said that he will be bringing the message to the White House meeting that the President and the Speaker need to reach an agreement.

The debt limit is the statutory limit on how much the U.S. government can borrow, and the government has less than a month before it could start defaulting on its payments. Biden is considering other, more arcane avoidance measures, but it is unclear if they will be enough to prevent a default.

Economists are warning that a default could have serious consequences for the economy, and small business owners are particularly vulnerable. It is hoped that the meeting between Biden and congressional leaders will result in a deal that will prevent the U.S. from defaulting on its debt.