Debt Ceiling (Noun)
Meaning
The maximum borrowing power of a governmental entity.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The government must raise the debt ceiling soon to avoid defaulting on its existing loans and obligations.
- Failure to increase the debt ceiling would lead to severe financial consequences, such as delayed social security payments.
- Raising the debt ceiling allows the government to continue its current spending without cutting any programs or services.
- The United States Congress votes periodically to approve an increase in the national debt ceiling.
- The national debt ceiling has been raised multiple times in recent years due to continued government spending and budget deficits.