Greek Economic Crisis Could Impact U.S. As Debt Ceiling Negotiations Continue
June 22, 2011 by Special To Personal Liberty
European officials are currently considering the second bailout for Greece in a year, something that some experts say could greatly impact the United States economy.
“We’ve discovered that the United States is very interconnected with the rest of the globe in the last couple of years,” Jon Hilsenrath, The Wall Street Journal‘s chief economic correspondent, said on ABC’s Good Morning America. “Our economy is very vulnerable to shocks right now. It’s not like we were in the 1980s and the 2000s when there were shocks like Hurricane Katrina or the tech bubble burst, and the economy kind of sailed right through.”
The impact of a Greek bailout comes at a difficult time for America, as lawmakers debate the merits of raising the debt ceiling. Fox News reports that negotiators have given a July 1 deadline for a decision to be reached.
Vice President Joe Biden, who is helping to oversee the negotiations, says that the deadline is needed so that both Republicans and Democrats can take a compromise and sell it to their caucuses in anticipation of Aug. 2, the date Treasury Secretary Tim Geithner has given as the time when America would begin defaulting on its debts.