Could a Trillion-Dollar-Coin End the Debt Debate?

Could a Trillion-Dollar-Coin End the Debt Debate?

Assessment

Interactive Video

Business, Social Studies

University

Hard

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The video discusses the U.S. debt ceiling, which limits government borrowing to pay for past spending. Some Republicans oppose raising it, risking a default. A proposed solution is minting a trillion dollar coin, but its legality is uncertain and could lead to lawsuits. The coin could also affect the Fed's independence and increase inflation. Ultimately, the coin is not seen as a viable long-term solution to the debt ceiling issue.

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2 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

How might the Federal Reserve react to the minting of a trillion dollar coin?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

What is the overall conclusion about the effectiveness of the trillion dollar coin as a solution?

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