Democrats Should Try To Stop The Debt Ceiling Cycle of Insanity Republicans Subject America To!

The Democrats are right it is absolutely wrong this pattern by the Republican Party that every time there is a need to raise the debt ceiling the Republican Party takes the U.S. economy hostage and says we will cause a Great Depression era crisis unless you agree to massive spending cuts. The Democrats are fully in the right with their position that they aren't going to be subject to extortion like this and if that means the Republicans don't pass a clean raising of the Debt Ceiling and it causes the country's economy to go off the cliff so be it, it is totally on the Republicans. However, the Democrats could use the current cross roads to try to take the country off this "game of chicken" merry-go-round the country is on; the idea is to offer to Republicans we will play this "extortion of government spending cuts" game one more time with you but the condition is that you agree to pass provisions into law that permanently does away with the national debt ceiling so that that if the future when the Treasury secretary needs to borrow money to pay the nation's financial obligations the Treasury need only issue the Treasury bonds or notes as needed there is no restrictions limiting such issuance from an amount standpoint! Specifically, the Democrats could offer that they would agree to cut federal spending and/or change government policy through law that would reduce the nation's budget deficit by two trillion dollars over ten years and by three trillion if the Republicans agree to close loop-holes in the tax code. So the Democrat leadership don't get snookered in this arrangement where they agree to this negotiation and reach these deficit reduction numbers and then Republican and Democrat members of Congress don't pony up their votes to pass the deal with the provisions in the bill doing away with the debt ceiling the Democrat leadership should require that 228 House members and 62 Senate members sign a letter to them committing to the deal! Democrats need to remember about the limits of spending and raising taxes it can all be summed up in the reference of Nancy Pelosi on the 2017 Tax Cuts legislation where she said that such legislation will bring Armageddon on America; Democrats need to remember the national debt cannot be permitted to grow unchecked because it will bring economic Armageddon on America where Sovereign Debt investors treat America like such investors treated the country of Greece in 2009/2010 demanded sky high interest rates and wouldn't buy their debt; cutting the growth of the national debt will eventually have to be done why not do it now if a good reason presents itself!

The Democrats could reach these numbers and not significantly hurt their low and moderate income and working American constituents. Areas where this could be done when the Biden Administration came into office they changed the formula for the impact of fossil fuel production on the climate making it much more strict and in the process suppressing domestic fossil fuel production this is incredibly stupid policy the American people need this fossil fuel the only thing the current administration is doing is making it more expensive and the price more unstable as demand increases meaning in part as inflation in America falls and consumer and business spending increases fuel prices will unduly rise as supply is pressured thereby driving up inflation thereby causing multiple economic problems which definitely will impact tax revenue. By law stop this restriction on the fossil fuel industry let the needs of the American people drive domestic production. You have common sense energy and power infrastructure permitting reform needed in America; the West Virginia natural gas pipeline called Mountain Valley is still stuck in the government bureaucracy for getting needed regulatory approval and this is for a pipeline that by the reasonable people standard is indisputably needed by the state of Virginia. America is a great country because of its character and it isn't good character to have people receiving public assistance that can work and for no good reason don't work the federal government should not be encouraging and supporting this extreme irresponsibility by some of its citizens. Washington should change its policy so that people don't get SNAP assistance people don't get Medicaid people don't get Temporary Assistance For Needy families if they are not working and they don't have a valid reason like they are disabled or they have children at the age where they need childcare or have a child or adult living with them that are disabled and need their care.

There is a lot of areas Washington could save money and being responsible calls for. One thing that strikes me as bad policy is that there is an income limit for getting the ev credit on new cars which makes perfect sense however if that wealthy American whose income is over the limit goes and leases an EV car the leasing company gets a tax credit that seems to be an unfair loophole to me leasing companies that do long-term leases should be restricted in getting this tax credit by the by the income of lessee of the vehicle this back door for getting the EV tax credit should be locked! You have all these tax credits for renewable energy in the power industry which drives down the cost of renewable energy generation below fossil fuel energy generation driving ever increasing amounts to be shuttered and not to be built however the geniuses in Washington don't factor in that wind and sun availability don't always cooperate in generating this renewable energy due to the natural variations in the weather which necessitates the need for fossil fuel power generation plus fossil fuel power generation is needed for surge in usage like during extreme warm temperatures. This government credit program driving out fossil fuel power production is leaving power utility company customers in the lurch where they cannot get needed power and the problem is getting worse over time; this problem is such a concern to authorities in Texas they are talking about passing legislation that funds building fossil fuel power plants and funds them to stay in operation so that when the ordinary power generation plants fail the state's utilities these reserve power plants can be brought on line. The bottom line is Washington should stop skewing the market in favor of renewable power generation with its tax credits, it is basic common sense!

Washington specifically the White House should be preparing the American people and the World for this June 1 deadline where America won't have the incoming tax revenue to pay all its bills. This Executive Branch position of we don't want to announce a plan because that will provide some legitimacy to the Republican position, Republicans will claim there is no crisis our efforts to cut federal spending is responsible is not acceptable; the financial markets need to know there is a good plan and the tens of millions of people whose incomes will be put at risk need to be put on notice to prepare for them not to receive their paycheck. The White House should have a payment priority list; payment of Treasury bonds and notes in the top category with a great and unfailable cushion , next Social Security payments, next all federal workers except members of Congress and the President, next all Medicare/Medicaid/Federal employees health insurance, etc. The White House should come out and say that come June 1 there is a ban on all new federal employee hiring except for critical national security jobs (members of Congress may rebel and hire anyway and the White House should be crystal clear those people will not be paid, no ifs ands or buts). Come June 1 no new federal contracts will be permitted unless it involves the vital health and safety of one or more individuals and vital national security interests contracts relating to the funding of military aid to Ukraine and funding for clearly needed military weapon systems to fight a war to defend Taiwan. Teams of people will be set-up to vet contracts and for those Republicans who see themselves as great friends of the industrial military complex they will be quite surprised at the military equipment procurement contracts not being approved. Emphasis should be put on the goal of making it clear to right wing Republicans and all Republicans that support this extortion agenda are right wing that the days of you just spouting off your rhetoric about this issue and not paying a price are over, the political pressure on you Republicans will definitely become real and will grow! The White House should not pause their effort to be responsible and come up with a plan to guarantee no default on Treasury bond or note debt and save the country from the certain economic collapse that would ensue because many right wing Republicans are so arrogant and irresponsible that they will come out against the needed financial cushion such a plan necessitates calling for its shrinkage and in so doing they will risk one of the two major credit rating companies that still give Treasury debt a Tripple AAA rating down grading that debt which if that were to take place it would trigger a massive sale of Treasury bonds causing strain on the financial markets that would be unpredictable; the Republicans will continue to prove themselves the bad guys over this whole issue!

 

Uh oh. Democrats better come up with a balanced budget so they don't add anything else onto the debt.

Democrats are going to shut down the government if they can't get their way.
They'll continue to spend too much money in the budget and then won't have enough to finish out the year.

But the joke is they'll try to blame Republicans for that, accusing them of not letting them borrow more money!

Here's a question I'll leave with you: Why does the debt ceiling need to be continuously raised?
Is that at all not disturbing to some of you?