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Washington impasse

Rob Mudge

The budget deadlock in Washington remains unresolved. Positions on both sides are so entrenched that a compromise looks unlikely - ahead of this week's debt ceiling deadline. DW looks at what's at stake.

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A protester displays a placard as he joins others in a demonstration in front of the US Capitol in Washington, DC, October 3, 2013, urging congress to end the federal government shutdown. The political crisis gripping Washington could trigger a 'catastrophic' US debt default, the Treasury warned Thursday, as America limped into day three of a government shutdown. Despite the looming danger to the US and world economies, there was no sign that either President Barack Obama or his Republican foes were ready to give ground. AFP Photo/Jewel Samad (Photo credit should read JEWEL SAMAD/AFP/Getty Images) — Image: Jewel Samad/AFP/Getty Images

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The budget deadlock in Washington remains unresolved. Positions on both sides are so entrenched that a compromise, however weak, looks increasingly unlikely - ahead of the debt ceiling deadline.

DW looks at what's at stake.

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ARCHIV - Die Projektion einer 100-Dollar-Note ist am 21.04.2010 während einer Veranstaltung im US-Finanzministerium in Washington D.C. zu sehen. Foto: Astrid Riecken/epa (zu dpa: «US-Haushaltsstreit nährt den Traum vom eigenen Staat» vom 12.10.2013)

ARCHIV - Die Projektion einer 100-Dollar-Note ist am 21.04.2010 während einer Veranstaltung im US-Finanzministerium in Washington D.C. zu sehen. Foto: Astrid Riecken/epa (zu dpa: «US-Haushaltsstreit nährt den Traum vom eigenen Staat» vom 12.10.2013)

Betting on the dollar

The dollar remains strong after the 11th hour agreement raising the US debt ceiling. But how long?

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Interview with Marcel Fratzscher

The president of the German Institute for Economic Research thinks the US will find a way to avoid default and reach a compromise on the debt ceiling.

An American flag is shown with a dollar bill in the middle, both with cracks superimposed on them (c) picture-alliance/chromorange

An American flag is shown with a dollar bill in the middle, both with cracks superimposed on them (c) picture-alliance/chromorange

Debt debate

The US is again looking to up its debt limit, but what good is a limit that changes so often?

U.S. President Barack Obama delivers remarks on the government funding impasse at M. Luis Construction, a local small business in Rockville, Maryland, near Washington, October 3, 2013. Obama travelled to the business to highlight the impacts that a government shutdown and default would have on the economy. The U.S. government shutdown entered its third day on Thursday with little sign of compromise between Republicans and Democrats and concerns grew about the economic consequences of a prolonged stalemate. REUTERS/Jason Reed (UNITED STATES - Tags: POLITICS BUSINESS HEALTH)

U.S. President Barack Obama delivers remarks on the government funding impasse at M. Luis Construction, a local small business in Rockville, Maryland, near Washington, October 3, 2013. Obama travelled to the business to highlight the impacts that a government shutdown and default would have on the economy. The U.S. government shutdown entered its third day on Thursday with little sign of compromise between Republicans and Democrats and concerns grew about the economic consequences of a prolonged stalemate. REUTERS/Jason Reed (UNITED STATES - Tags: POLITICS BUSINESS HEALTH)

US debt dilemma

Obama calls on Republicans to show flexibility, while they blame him for the continuing stalemate.

A tattered U.S. flag is blown by the wind in Key West, Florida Friday Sept. 10, 2004. After enduring the passage of Hurricanes Charley and Frances, Florida is bracing for the possible arrival of Hurricane Ivan. (AP Photo/Dario Lopez-Mills)

A tattered U.S. flag is blown by the wind in Key West, Florida Friday Sept. 10, 2004. After enduring the passage of Hurricanes Charley and Frances, Florida is bracing for the possible arrival of Hurricane Ivan. (AP Photo/Dario Lopez-Mills)

US debt talks

Without an agreement, the insolvency of the world's largest economy is no distant possibility.

Blocked budget

Despite some positive signs, the US budget gridlock continues just days ahead of the debt deadline.

Furloughed federal workers join a rally with Congressional Progressive Caucus to demand a vote to end the government shutdown, outside the U.S. Capitol in Washington, October 4, 2013. House Republicans held their ground on Friday in a standoff with President Barack Obama over the U.S. government shutdown, accusing him of intransigence and not caring about the impact on the American people as the crisis dragged into a fourth day. REUTERS/Jonathan Ernst (UNITED STATES - Tags: POLITICS BUSINESS HEALTH EMPLOYMENT) - eingestellt von gri

Furloughed federal workers join a rally with Congressional Progressive Caucus to demand a vote to end the government shutdown, outside the U.S. Capitol in Washington, October 4, 2013. House Republicans held their ground on Friday in a standoff with President Barack Obama over the U.S. government shutdown, accusing him of intransigence and not caring about the impact on the American people as the crisis dragged into a fourth day. REUTERS/Jonathan Ernst (UNITED STATES - Tags: POLITICS BUSINESS HEALTH EMPLOYMENT) - eingestellt von gri

Furlough frustration

Once busy government employees have suddenly found themselves with a lot of time on their hands.

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US government shutdown delays free trade talks with EU

Negotiations on a free trade agreement between Europe and the US are being pushed back because of the government shutdown in Washington. American officials canceled their scheduled trip to Brussels this week. The potential deal has supporters and opponents on both sides of the Atlantic.

John Zangas, who identified himself as a federal employee, protests against the current government shutdown at the U.S. Capitol in Washington, October 2, 2013. REUTERS/Jonathan Ernst (UNITED STATES - Tags: POLITICS CIVIL UNREST BUSINESS EMPLOYMENT TPX IMAGES OF THE DAY)

John Zangas, who identified himself as a federal employee, protests against the current government shutdown at the U.S. Capitol in Washington, October 2, 2013. REUTERS/Jonathan Ernst (UNITED STATES - Tags: POLITICS CIVIL UNREST BUSINESS EMPLOYMENT TPX IMAGES OF THE DAY)

Obamacare

The US health care law, has led to a government shutdown. But what is all the fuss about?

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US Treasurer: the 'threats have to stop'

The fight among lawmakers in Washington over the federal budget and the US debt ceiling is causing significant damage.

Tourists stand next to a sign announcing the closure of the Statue of Liberty, a U.S. National Park, due to the U.S. Government shutdown near the ferry dock to the Statue of Liberty in Battery Park in New York, October 1, 2013. REUTERS/Mike Segar

Tourists stand next to a sign announcing the closure of the Statue of Liberty, a U.S. National Park, due to the U.S. Government shutdown near the ferry dock to the Statue of Liberty in Battery Park in New York, October 1, 2013. REUTERS/Mike Segar

Closed for business

While US workers wonder when their next paycheck will come, the next economic showdown looms.

A member of the U.S. House of Representatives walks down the steps from the House Chamber as he exits the U.S. Capitol after the Republican-led House again voted to link funding for the U.S. government to include a delay of "Obamacare" in Washington, September 30, 2013. The U.S. government was on the edge of a major shutdown as Congress remained in partisan deadlock on Monday over Republican efforts to halt to President Barack Obama's healthcare reforms using a temporary spending bill. REUTERS/Jim Bourg (UNITED STATES - Tags: POLITICS BUSINESS TPX IMAGES OF THE DAY)

A member of the U.S. House of Representatives walks down the steps from the House Chamber as he exits the U.S. Capitol after the Republican-led House again voted to link funding for the U.S. government to include a delay of "Obamacare" in Washington, September 30, 2013. The U.S. government was on the edge of a major shutdown as Congress remained in partisan deadlock on Monday over Republican efforts to halt to President Barack Obama's healthcare reforms using a temporary spending bill. REUTERS/Jim Bourg (UNITED STATES - Tags: POLITICS BUSINESS TPX IMAGES OF THE DAY)

Investors worried

The US government shutdown has made the financial world uneasy.

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