Changes

The '''Federal Debt Limit''', commonly known as the '''debt ceiling''', is the overall limit on federal government borrowing, as authorized by [[Congress]].  It is similar to an individual's credit card limit.

The '''Federal Debt Limit''', commonly known as the '''debt ceiling''', is the overall limit on federal government borrowing, as authorized by [[Congress]].  It is similar to an individual's credit card limit.

According to the [[Constitution]], the Congress must approve all borrowings on behalf of the United States.  Before the 20th century, Congress approved all bond issuances separately and explicitly.  With the introduction of the debt ceiling, the treasury now had a line on which it could borrow as needed, without having to go back to Congress for borrowings under the ceiling.

According to the [[Constitution]], the Congress must approve all borrowings on behalf of the United States.  Before the 20th century, Congress approved all bond issuances separately and explicitly.  With the introduction of the debt ceiling, the treasury now had a line on which it could borrow as needed, without having to go back to Congress for borrowings under the ceiling. Raising the debt ceiling is not the same thing as spending more money, since spending is dictated by the Federal [[Budget]], but it does allow the Federal Government to meet any existing financial obligations.

== Components of the debt ==

== Components of the debt ==