Bipartisan Lawmakers Preparing Plan to Avert Debt-Ceiling Crisis

True!

The threat of default is not a valid or effective political weapon.

Americans do not support Republicans playing chicken with the nation's good faith and credit. It's reckless and irresponsible.

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The public takes Biden's side in the debt ceiling debate, with broad support for handling debt payments and federal spending as separate issues, along with extensive worry about the impacts of a default. The GOP leadership also faces skepticism about its probe of anti-conservative bias in federal agencies; most see this as an attempt to score political points, not a legitimate inquiry.

Biden has a wide advantage on one urgent and contentious issue, the debt ceiling. Just 26% of Americans adopt McCarthy's position that Congress should allow the government to pay its debts only if the administration agrees to cut federal spending. A broad 65% instead align with Biden's view that the issues of debt payment and federal spending should be handled separately.

Even among Republicans, fewer than half – 48% – support coupling debt payment with cuts in federal spending. That drops to 22% among independents and 10% of Democrats.

Underlying these results is broad worry about the consequences of default: A vast 82% are very or somewhat worried that a government default would damage the economy. That includes a majority, 53%, at the top end of the scale, "very" concerned.

Notably, this concern is bipartisan – about eight in 10 adults across the political spectrum are concerned about the economic impacts of a default, and being very concerned peaks among Republicans, at 59%.

That said, about two-thirds of Americans favor separate discussion of the debt limit and federal spending regardless of whether they're more or less worried about the impacts of nonpayment.

[https://www.msn.com/en-us/news/poli...t-risk-in-political-disputes-poll/ar-AA179EL4]
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Fake news. Debt service payments are only 8 cents on the dollar of incoming receipts. The GOP demands that Classified Joe prioritize those payments and the issuing of Social Security Checks. The GOP will now allow Classified Joe his ilk to destroy Social Security and our Credit Rating.

 

No, it is not. See below

That graph only includes the debt securities held by the public, and not the debt securities that is also held by the Department of Treasury. You need to include both, with is why it is 130% of GDP. then we have the "IOUs" from Social Security as well.

Current market value is not how it is done. It only shows what the bond yield rate is to the value of those debt instruments in nominal dollars. However, for that debt instrument to mature, it is will be at face value, not market value, which is how the debt to GDP calculation is measured.

 

I did not see any bipartisanship in that?

is that the... we wont kill the economy if you agree to our demands kinds "bipartisanship"

someone tell me what dems get, and what repubs get

 

I do not support any government shutdowns whatsoever. I don't care who is in charge, Dems or GOP, but the government should not be shut down.

 

when have Republicans in power cared what the voters want, they want the economy to crash, so they can blame it on Biden

 

These are marketable securities, but, they could hold them to maturity, and of course they market them all the time, so let's look at it both ways:

Debt to the Penny from the US Treasury 12/30/2022 Total debt including intergovernmental holdings = $31,419,689,421,557.90

https://fiscaldata.treasury.gov/datasets/debt-to-the-penny/debt-to-the-penny

Annualized GDP end of 2022 = 26,132.458B

U.S. Bureau of Economic Analysis, Gross Domestic Product [GDP], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/GDP, February 6, 2023.

Divide it out, it's 120% of GDP Raising the debt ceiling to 135% of GDP would mean raising the debt limit by almost 4 trillion dollars. The government in an entire year spends $6T, now, before COVID it spent $4.8T. You are asking for a debt ceiling increase of almost the ENTIRE pre-covid annual federal spending, just to get through from some time in the summer to 9/30/2023?

That's completely unreasonable.

The GOP will raise enough to get to 9/30/2023 in exchange for a penny or so on the dollar reductions in discretionary spending between mid summer or when ever the agreement is made and the rest of the fiscal year.

Most working and middle class family in America have been cutting more than that during the entire Biden presidency. The idea Biden and the Dems would destroy the credit rating of the United States and destroy Social Security over a few cents of discretionary spending dollars, over just a few months is utterly ridiculous. That may be their bluff, but, it's not particularly convincing.

 

Then do you support Biden doing so by refusing to negotiate with the House? When he rails at them tomorrow night for not giving him what he wants will you buy it?

 

It is Biden refusing to negotiate playing chicken with all that good faith and credit and it will be his job to make sure our good faith and credit is not threatened if he continues to be obstinate about it and saying my way or no way and no negotiation about it.

 

The President refuses to play chicken with Republicans who threaten the good faith and credit of the United States.

Americans approve.

"The public takes Biden's side in the debt ceiling debate, with broad support for handling debt payments and federal spending as separate issues."

[https://www.msn.com/en-us/news/poli...t-risk-in-political-disputes-poll/ar-AA179EL4]

 

That is a different argument Blues.

Raising the debt ceiling is nothing new. It is something that congress has done time and time again no matter who was president and who was in charge of the house. Now, the other side of the argument is what, where, why, when, and to what extent to spend. And that really has nothing to do with the debt ceiling directly. It may be indirect, but there is no casual effect. Congress can simply do this by not have any riders in any amendments to spending bills. None of it. Congress can also negotiate on the budget and not on the debt ceiling too. But raising the debt ceiling is for money that is already incurred, as in obligated. That is it.


But with history, Congress tried this and the compromise was sequestration. Even the die-hard conservatives didn't like it because it also hurt the US military and our ability to defend ourselves.

Want to get rid of fraud, waste, and abuse, start with the procurement process in the DoD. Then start with how the military pays for $10000 for toilet seats and so forth. We have very expensive toys now and planes costing $80 to $100 million per unit, subs that cost $2 billion per unit and counting, and so forth. Our military budget is number one and the next 25 countries combined will match our single military budget. That should tell you something.

 

If you want to negotiate by playing Russian Roulette, then be my guest Blues. Eventually, it will catch up to you.

The problem is the GOP. What they want is to get rid of the Democratic programs and put more money into the GOP programs. They also want to cut Social Security and Medicare, not even tough the US miltiary and refuse to acknowledge that their own rider amendments in the budgetary process is where the problem really occurs. They complain about the spending of the infrastructure bill on one hand and then start to praise to the constituents that they brought jobs into their district because of that infrastructure bill. The GOP has come across a party of dishonesty. Even when the government is shut down, GOP persons, like Ted Cruz, would not acknowledge that it was their fault but everyone else's. Hence the problem here.

 

Republican are doing this, they already made it clear, so if we have a shut-down, it's all on Republicans

Republican are holding the country hostage... they are the bad guys in this story

 

Honoring debts that one incurred in the past, and thereby maintaining the nation's good faith and credit, is a disparate matter from accruing debts in the future.

Holding that "good faith and credit" hostage unless legitimately-legislated programs one doesn't like are defunded, rather than honestly debating their merits and those of proposed programs, is thuggery.

Around a quarter of the country's $31 trillion national debt that has accrued over 230 years occurred during the 4 years that Trump was president. How did McCarthy and his merry men vote on spending bills then?

 

Republicans are the ones trying to get a deal, are waiting to start negotiating it is BIDEN who is refusing to do anything so do you support him holding the country hostage and refusing to negotiate?

 

There is no Russian Roulette. The problem is an obstinate President who refuses to negoatiate. How can you blame the side that is begging to come to a negotiate settlement instead of the party who refuses to negotiate and is willing to shutdown the government? Stop making your false allegations about what Rep want to do and tell me what Biden and the Dems want to do to stop the spending madness that we cannot sustain?

 

Republican are the ones holding America hostage, what are their demands

 

It is THE argument because it is Biden who has this at a standstill and is willing to shutdown the government. All the rest of your post has no bearing until he backs down and agrees to a negotiation between refraining spending and increasing the debt limit. Then you can move on to reforming the procurement process in ALL of government I am all for it but that is not what is holding up this process.

 

Yes they asked the phony question



The government will continue to pay it's debt regardless if spending is cut or not or an agreement is not reached and the debt ceiling expires. You DO realize money STILL comes into the treasury?

They should
Handle spending and the debt as a joint matter continuing to pay oyr obligations.
Handle spending and the debt as separate matters.

The President is the one PLAYING CHICKEN willing to hold his line refusing to negotiate and willing to shutdown the government, it doesn't have to shutdown but that is what he will do so he can blame Republicans for not doing only what he wants.

 

People making demands are willing to negotiate and something can get done. People refusing to negotiated and demand their way or no way are the ones holding America hostage.

 

yes, hostage takers like to make deals to set the hostages free, what are the republican demands

 

And those who do not want to free them refuse to negotiate and demand either they get what they want or they blow up the plane.

 

are republicans gonna blow up the economy?

 

Biden will due to his obstinacy he is the one refusing to move.

 

I’m sure you meant to say not instead of now…Just trying to set the record straight and prevent any play on a likely typo.