The BPC projects that the "X date" on which the extraordinary measures will be exhausted will arrive sometime this summer or early fall, depending on fluctuations in spending and tax receipts. "In the coming months, revenues during tax season will be the biggest single factor affecting the X date," BPC Economic Policy Director Shai Akabas told FOX Business. "If the final revenue from 2022 taxes is lower than projected, the X date would arrive sooner – and conversely, if revenue is higher, the date would move back. Past standoffs over the debt limit have featured similar brinksmanship, and in one notable case from the last decade, were volatile enough to rattle financial markets. Such credit downgrades can potentially raise governmental borrowing costs, although the other major rating agencies, Moody's and Fitch, kept the U.S. at their highest credit rating.
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