U.S. ‘Insolvent’? Treasury Report Sparks Alarm — Here’s What It Actually Means for Americans
WASHINGTON, D.C. — Viral claims that the federal government has declared itself “insolvent” are spreading rapidly online, alarming Americans already uneasy about inflation, debt, and the long-term stability of the economy. But there’s a crucial distinction: the U.S. Treasury did not declare bankruptcy — and legally, it can’t. What did happen is more nuanced —