The High Costs of Default for New York's 22nd District

A default on U.S. debt not only would devastate our economy and hurt our standing in the world, it would have serious, quantifiable consequences for American families and businesses in every district.

To help the public understand they will pay a steep and personal price if America defaults, Third Way is releasing data showing the impact of a debt default on jobs, mortgages, and Social Security for New York’s 22nd District. And these consequences would be just the start – the economic damage from a default could vastly exceed the projections in this report the longer the default drags on.

Jobs

Defaulting on our national debt means 7,100 people in New York’s 22nd District and 192,100 New Yorkers statewide could lose their jobs.

Social Security

Defaulting on our national debt could mean 111,400 households in New York’s 22nd District that could miss their monthly Social Security check. The total annual value of benefits lost in NY-22 could be as high as $2,655,000,000.

Retirement Savings

There are 109,600 residents in NY-22 nearing retirement age, and they stand to lose $20,000 each in their 401(k)s.

House Prices

A default on the debt could increase the typical mortgage for a new home in NY-22 by $243,300.

National debt

Defaulting on the debt means adding $850 billion to the national debt — $2,500 for every person in New York’s 22nd District.

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To learn more about the data and methodology for these projections, read The High Costs of Default for Americans in Every State and District, which is based on Third Way's research on The Dominoes of Debt Limit Default.