Q&A: US debt-ceiling deal

President Obama says the US risks being tipped back into recession

Republican and Democratic leaders have reached a tentative agreement on raising the US debt limit and avoiding default.

A day after its passage by the House of Representatives, the bill is expected to be approved by the Senate on Tuesday and be signed by President Barack Obama, before becoming law.

What is the proposed deal?

What is the debt ceiling?

Why can't the Obama administration borrow more?

What is the problem this time round?

What have been the positions of both sides?

What happens if no deal is reached by 2 August?

What do academics say would happen if the US defaulted?

Surely the US would not default on its debts?