We have already heard about Government Shutdown in the US. A government shutdown occurs when a government discontinues providing services that are not considered “essential.” These are, however, signs of major economic collapse.

According to the World Bank “The US and world economies face higher interest rates, falling confidence and slower growth if the US Congress does not raise the $US16.7 trillion borrowing cap.”

The US Treasury has said that it would run out of adequate cash to pay all the country’s bills as early as October 17 without a debt cap increase.

http://www.independent.co.uk/news/world/americas/us-budget-battle-imfs-christine-lagarde-tells-americas-lawmakers-they-risk-tipping-world-into-recession-8877239.html