CBO Directors: Default Would be a "Dangerous Gamble"

The Christian Science Monitor reports:

If a stalemate over increasing the US debt limit persists, the potential decision to let the US government default on its debt "would be a dangerous gamble, " says Congressional Budget Office Director Douglas Elmendorf.

Speaking Tuesday at a Monitor-hosted breakfast for reporters, Mr. Elmendorf admitted his staff economists could not predict with precision what would happen if a default takes place. "It is difficult to know for sure what would happen because we have no recent experience with our federal government defaulting on its obligations. That’s what makes it a gamble," he said.