Dr. David Ribar, a professor of economics in the Bryan School of Business and Economics, was interviewed by WGHP Fox 8 regarding what would happen if a debt ceiling deal is not reached.

“It’s the shutdown on steroids,” he explained.

Ribar stated that after October 17, the federal government will have to stop spending because “since May the government has been using what are called ‘extraordinary measures’ to shift money from one account to another to another to another, to pay its bills.”

“Some say the federal government should cut the credit card if it can’t pay its bills. The other side of the argument is–the government has so many obligations cutting the credit card now could result in an economic disaster,”  he continued. “This would be a contraction in the economy, and you will see unemployment shoot back up almost immediately.”