The Debt Ceiling

Everyone can go back inside. The crisis has been averted. We have just recently witnessed the Democrats and the Republicans duke it out on the United States' fiscal plan. They kept on disagreeing on the correct solution to the ever-rising debt that has accrued, and it seemed like there was no solution in sight. Things got pretty serious, and there was possibility that the U.S. would default on loans leading to a cataclysmic global economic meltdown. But the government wouldn't let something like that happen, not on their watch! They were able to finally agree on a plan—to raise the debt ceiling.

As great as that plan is, it isn't a very stable solution. The good people of Washington D.C. are essentially postponing the problem, as oppose to dealing with it now. I suppose that is better than letting the loans default, but only marginally. So instead of dealing with it now, they've made the decision to raise the debt ceiling and let the future generation deal with it. Now, if the United States Federal government was a business, it would've had to file bankruptcy decades ago.

All businesses can learn from the government—on what not to do. No banking institution would ever finance a business that continually finds itself in debt, and continues to ask for more loans. Businesses nowadays must remain extremely competitive, so if there are any loose ends in your business, make sure to tie them up. Don't get frustrated and “raise” your debt ceiling. If there's an issue with your customers, address your customers. If you need to fix a situation, do it. If you need more clients, go find them.