The Tragedy of the McCarthy-Biden Debt-Limit Bill

[bigheadfred]

June 5, 2023
The Tragedy of the McCarthy-Biden Debt-Limit Bill
By Robert A. Taft

A CNN poll revealed that 60 percent of Americans wanted meaningful cuts before a debt limit rise. Another 15 percent wanted the United States to default. Only 25% wanted the debt ceiling raised unconditionally.

The concern was that the United States would default on its debt. This was a fearmongering falsehood. Treasury Secretary Janet Yellen never produced actual numbers, and she changed the default date several times. The truth of the matter is that the federal revenue cash flow would easily have covered all debt payments while temporarily delaying some contract payments.

Nonetheless, in an overwhelming bipartisan vote (the House -- 314 to 117, and Senate -- 63 to 36), Congress voted to give President Biden unlimited spending for the remainder of his term.

Even the New York Times declared that the new debt limit bill will not save a penny or cut a dime from government spending. Over the next two years Biden will have access to $14 trillion of new spending, $4 trillion that will not be covered by tax and revenue income. The Congressional Budget Office estimates the bill will save $2.1 trillion over six years, but since there are no statutory caps in place, the 2.1 trillion is a fiction. In fact, supplemental requests for natural disasters and the Ukraine war will add to the $14 trillion.

https://www.americanthinker.com/articles/2023/06/the_tragedy_of_the_mccarthybiden_debtlimit_bill.html

[bigheadfred]

I thought the bill was a dog from the beginning.

[DefiantMassRINO]

The Debt Ceiling is not an effective cudgel for reducing Government spending because of its apocalyptic potential ... like juggling with live hand grenades.

The budget process is the real world mechanism for limiting Government spending.

Debt Service costs will become a problem with rising rates.

The big disappointmet is with DC Republicans who spend like drunken sailors with Repub Presidents and only find fiscal conservatism when they want to sabotage a Dem President.

Jan, 2017 to Jan, 2019 was the GOP's opportunity to show its fiscal conservtaive stripes, and they whiffed.

[Bigun]

The Debt Ceiling is not an effective cudgel for reducing Government spending because of its apocalyptic potential ... like juggling with live hand grenades.

The budget process is the real world mechanism for limiting Government spending.

Debt Service costs will become a problem with rising rates.

The big disappointmet is with DC Republicans who spend like drunken sailors with Repub Presidents and only find fiscal conservatism when they want to sabotage a Dem President.

Jan, 2017 to Jan, 2019 was the GOP's opportunity to show its fiscal conservtaive stripes, and they whiffed.

I think actual currency with REAL value attached would be MUCH more effective but what do I know.

At least drunken sailors spend their own money generally speaking.

[Bigun]

I thought the bill was a dog from the beginning.

I'm pretty sure you were correct!

[Cyber Liberty]

This article hits the nail square on the head.  There is now nothing to stop the Rats and Pubbies from running up a lot more than $4 Trillion, and they will.

McCarthy's crowning achievement:  A Bill that got more Dems than GOP voting for it.