As the US federal debt reaches a record-high of $31.4tn, the government is running out of time to raise its borrowing limit. Republican House speaker, Kevin McCarthy, outlined his plan at the New York Stock Exchange, which involved sharp spending cuts in exchange for an increase in the debt ceiling. However, President Joe Biden and the Democrats refuse to negotiate, insisting on a clean proposal to raise the borrowing limit. This faced criticism from both sides, as some House Democrats are beginning to question Biden's refusal to sit down with McCarthy. Senator Joe Manchin has asked Biden to come to the table, stating that it is reasonable to disagree with a specific debt ceiling approach, but "we will achieve a historic default if President Biden continues to refuse to even negotiate". Unless an agreement is made by July, the federal government will run out of money, causing damage to multiple sectors. With elections on the horizon, both sides are determined to win this war of words, making the possibility of an agreement appearing slim.