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How to think about the US debt battle
Deep breath. Now repeat after me: the US government is not going to default on its debt. If you don't believe me, ask Tim Geithner. He would say the same thing - if he could be sure that no Republican was listening. That doesn't mean there's nothing to worry about, looking at the sorry saga unfolding in Washington this week. You just need to worry about the right things. Both sides have an interest in talking up the risk of a formal default. Especially the treasury department - because it's Mr Geithner who will have to decide which bills to pay if it hits the debt limit without a deal with Congress. But, as I pointed ... (full story)