RENO, Nev. (MyNews4.com & KRNV) -- Economists along with our nation's treasury anticipate that by October 17, 2013 our government will hit their borrowing limit.
University of Nevada, Reno professor Dr. Elliott Parker argues the debt ceiling crisis is much more significant of an issue for the economy than the government shutdown.
"The United States federal government has never defaulted intentionally on its debt," Dr. Parker says.
The debt ceiling is $16.7 trillion.
Government officials expect after Oct. 17 the U.S. will have about $30 billion spend, but the United States normal daily expenditures is reported to be about $60 billion.
When News 4 sat down with Dr. Parker he explained he can't say exactly what the treasury will do at that point, but likely they'll have to start writing IOU's, because the money won't be there.
"So if your grandparents get their Social Security check and they need it to pay their rent and they're told that basically the federal government does not have the money to pay their social security check. How are they going to feel about that?" Dr. Parker begs the question.
In order for that not to happen. Congress needs to vote on a continuing resolution.
"I never thought we'd get this far," Dr. Parker says.
Dr. Parker says he remains optimistic, but a vote is hard to imagine while government is at an impasse.