October 14 | Marketplace

Here's Exactly What Will Happen If We Default On Thursday | by Sabri Ben-Achour

Marketplace — Here's the worst-case scenario: The U.S. Treasury misses a payment. As markets open from Tokyo to New York, “you’re gonna see stock markets sell off,” says Eric Stein, co-director of global income with investment management firm Eaton Vance. As markets fall, they wipe out a lot of wealth along the way -- think about your 401(k). In fact, Stein says markets would react before any payment is missed. And that market movement alone would be dramatic enough to force politicians to act.

Read the transcript and listen to the replay at the Marketplace website.