This Is What Gets Defunded If The Treasury Has To prioritise Payments

It’s been assumed — but never confirmed — that if we hit the debt ceiling, that The Treasury could prioritise payments, continuing to make bond coupon payments and entitlements, while shutting off other spending.

The Bipartisan Policy centre has put together a presentation (.pdf) on the debt ceiling, and what prioritization would look like (via Stone Street Advisors).

These two charts show it all.


NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at