GOP going for Debt Ceiling Default

[gounion]

Biden and McCarthy meet today over debt-ceiling standoff:

Senior White House officials sought to reinforce their position ahead of time, writing in a memo Tuesday that Biden would press McCarthy to commit to avoiding a debt default and to releasing a budget showing where the GOP wants to rein in funding.

“Any serious conversation about economic and fiscal policy needs to start with a clear understanding of the participants’ goals and proposals,” top economic adviser Brian Deese and Office of Management and Budget Director Shalanda Young wrote.

The White House plans to release its budget proposal on March 9, offering what officials hope will provide a clear contrast with Republicans’ demands and sharpen the public debate over lifting the debt ceiling.

The government hit its borrowing limit in January and estimates it may only be able to pay its bills into June without an increase. The U.S. has never intentionally defaulted, and Congress in recent years routinely voted to increase its borrowing limit under both the Trump and Biden administrations. Pointing to that track record, Democrats have insisted on passing a clean increase yet again, arguing the need to avoid economic catastrophe is too great to haggle over the debt ceiling.

The last time the U.S. came close to default, in 2011, the standoff rattled global financial markets and prompted a downgrade of the country’s credit rating. Should the government breach the debt ceiling this time, economists predict it would trigger an immediate recession and tank the stock market.

Still, House Republicans have relished a fight over the debt ceiling, fueled by a conservative faction that blocked McCarthy’s path to the speakership until he made a series of commitments that included using the debt ceiling to force spending cuts.

First, let's be clear - during the Trump administration when they could have cut spending, they didn't. They easily passed a debt ceiling increase THREE TIMES while Trump was President. And the Trump administration added 25 percent of our debt in his four years.

They WERE going to demand cuts to Social Security and Medicare, until Trump broke their bubble and told them NOT to touch either of them.

Here's what's funny. JoeMemphis has told us over and over and over that business doesn't like uncertainty. So why did Joe vote for, and supports THIS uncertainty?

I think it's mostly because the right knows to win the next election, they have to destroy our economy and somehow blame it all on Biden.

[Motor City]

Explains what the debt ceiling is and why its being invoked constantly and who benefits from it.

https://www.youtube.com/watch?v=NR6n7ANHbu4

[gounion]

Saw a piece from the right that said the big corporate funders would be calling these idiot Congressmen and telling them to quit the bullshit, and not to destroy the economy.

The thing is, they need to do something to destroy the economy and blame it on Biden for 2024. A strong economy and inflation tamped down will ensure a win all around for the Dems.

[ZoWie]

Right, it doesn't look as much as it did that the Fed will cause a deep recession that the GOP could run on, so now they have to cause one themselves and blame someone else. It's also known as burning the Reichstag.

[Number6]

I don't think we'll default on the debt. McCarthy has a losing hand in that if he does lead the House in defaulting on the debt the economic impact on the nation will come back to bite the republicans in the ass in 2024 in the national, state, and local elections. If he does make a deal to approve raising the debt ceiling then he''ll look weak, losing to Biden on the issue, and the crazies in his party will demand a new Speaker. Remember, McCarthy accepted the right of any one member to call for a new vote for Speaker.

[Glennfs]

I don't think we'll default on the debt. McCarthy has a losing hand in that if he does lead the House in defaulting on the debt the economic impact on the nation will come back to bite the republicans in the ass in 2024 in the national, state, and local elections. If he does make a deal to approve raising the debt ceiling then he''ll look weak, losing to Biden on the issue, and the crazies in his party will demand a new Speaker. Remember, McCarthy accepted the right of any one member to call for a new vote for Speaker.

I understand that was pretty common prior to Pelosi

[Motor City]

I don't think we'll default on the debt. McCarthy has a losing hand in that if he does lead the House in defaulting on the debt the economic impact on the nation will come back to bite the republicans in the ass in 2024 in the national, state, and local elections. If he does make a deal to approve raising the debt ceiling then he''ll look weak, losing to Biden on the issue, and the crazies in his party will demand a new Speaker. Remember, McCarthy accepted the right of any one member to call for a new vote for Speaker.

If they default on the debt ceiling congress will borrow money and pay it back with interest to people that lobby congress and donate to politicians like themselves.

[Glennfs]

It isxa shame the democratic party is rrfusingvto negotiations and taking such a public hard stance with their clean bill demands.
Once again putting the party over the USA

[gounion]

It isxa shame the democratic party is rrfusingvto negotiations and taking such a public hard stance with their clean bill demands.
Once again putting the party over the USA

The GOP voted three clean bills during the Trump administration. There is a time to debate spending, and that's on the spending bills.

But then you guys have to figure out how to destroy the economy before November 2024. You can win with news like "the unemployment rate is now lower than it has been since 1969. When you were a kid.