Strategic oil wars and bailouts are expensive. During his presidency, George W. Bush raised the US debt ceiling 7 times.
Now, with a Democratic president in office, some Republicans have suddenly decided that deficits are bad, and to use the debt ceiling as a pawn in a game of brinkmanship.
Failing to raise the debt ceiling would raise US probability of default, which would in turn cause an increase in interest rates (investors buying US debt would wish to be compensated for the increased risk), and the economy would suffer hugely as a result. Those who are downplaying the repercussions simply don't know what they are talking about.
Personally, I don’t think it matters whose politics you believe, or whether you think taxes should be raised or not. Using a routine matter from one administration (raising the debt ceiling) to manufacture an artificial crisis in another is deplorable. Make no mistake, this "crisis" is as artificial as Boehner's tan.
In his native German, “Boehner” is pronounced, “Boner.” These days, it just seems so appropriate.
Stop the political posturing. Get it done.
____
“I can end the deficit in 5 minutes. You just pass a law that says that anytime there’s a deficit of more than 3% of GDP, all sitting members of Congress are ineligible for re-election. Now you’ve got the incentives in the right place.”
Warren Buffett
____
Related Link: (as often happens, The Onion describes the situation better than the real news).
Congress Continues Debate Over Whether Or Not Nation Should Be Economically Ruined
____
See also:
Tan Stewie from trevor on Vimeo.
