Changes

In 1939, Congress eliminated separate limits on bonds and other types of debt, and created the first aggregate limit that covered nearly all public debt. This gave the Treasury freer rein to manage the federal debt as it saw fit. Thus, the Treasury could issue debt instruments with maturities that would reduce interest costs and minimize financial risks stemming from future interest rate changes. The debt limit then was $45 billion with total debt of $40.4 billion.

In 1939, Congress eliminated separate limits on bonds and other types of debt, and created the first aggregate limit that covered nearly all public debt. This gave the Treasury freer rein to manage the federal debt as it saw fit. Thus, the Treasury could issue debt instruments with maturities that would reduce interest costs and minimize financial risks stemming from future interest rate changes. The debt limit then was $45 billion with total debt of $40.4 billion.

During [[World War II]] the debt ceiling was raised each year from 1941 through 1945, where it topped out at $300 billion. After the war, it was reduced to $275 billion. The [[Korean War]] was mostly financed by higher [[tax]]es rather than increased debt, and the limit remained at $275 billion until 1954. After 1954, the debt limit was reduced twice and increased seven times, until March 1962 when it again reached $300 billion, its level at the end of World War II.<ref>[http://www.senate.gov/CRSReports/crs-publish.cfm?pid='0E%2C*P%5C%3F%3D%23%20%20%20%0A ''The Debt Limit: History and Recent Increases,''] Congressional Research Service, March 7, 2011.</ref>

During [[World War II]] the debt ceiling was raised each year from 1941 through 1945, where it topped out at $300 billion. After the war, it was reduced to $275 billion. The [[Korean War]] was mostly financed by higher [[tax]]es rather than increased debt, and the limit remained at $275 billion until 1954. After 1954, the debt limit was reduced twice and increased seven times, until March 1962 when it again reached $300 billion, its level at the end of World War II.<ref>[http://www.senate.gov/CRSReports/crs-publish.cfm?pid='0E%2C*P%5C%3F%3D%23%20%20%20%0A ''The Debt Limit: History and Recent Increases,''] Congressional Research Service, July 1, 2011, pdf pps. 9-10.</ref>

The United States Debt Ceiling has been raised approximately 84 times since the early 1900's.  The table below gives details on the year, and the amount that the ceiling was raised.

The United States Debt Ceiling has been raised approximately 84 times since the early 1900's.  The table below gives details on the year, and the amount that the ceiling was raised.