Charles Dharapak, File/APIn his announcement last night of the deal between Congress and the White House to raise the debt ceiling, President Obama declared that Washington leaders now "should be devoting all of our time" to addressing the country's broader economic woes. But the agreement could itself have a major impact on the struggling economy, if it passes Congress.
So what's the deal likely to mean for ordinary Americans?
Of course, the most important short-term impact of the plan, which would cut at least $2.4 trillion in spending over the next decade, is that the U.S. will avoid defaulting on its debt. That's unquestionably a positive. Economists had warned that a default would be disastrous for everyone, throwing world financial markets into chaos and ushering in higher interest rates for years, or even decades.Read More »from Debt ceiling deal: What’s the impact on the economy, ordinary Americans?