Debt Ceiling

Debt Ceiling Hostage Takers Accuse Obama Admin. of Being the Real Hostage Takers

Congressional Republicans are angry because internal documents show the Treasury Department, the White House, and Federal Reserve officials privately discussed the possibility of prioritizing certain debt payments in the event of a debt default while publicly saying doing so would be a terrible idea.

It is a terrible idea and avoiding a national default would obviously be a much better idea, but Republicans believe this is evidence of a conspiracy.

“These internal documents show the Obama Administration took the nation’s creditworthiness and economy hostage in a cynical attempt to create a crisis so the President could get what he wanted during negotiations over the debt ceiling,” said House Financial Services Chairman Jeb Hensarling (R-TX).

“The Administration owes it to the American people to be honest and transparent about its debt ceiling contingency plans.”

The only reason we're talking about this is because congressional Republicans held the debt ceiling hostage on an annual basis between 2011 and 2015. On more than one occasion, a national default was averted at the 11th hour of the last day. Moreover, Congressional Republican leadership relied on Democratic votes to raise the debt ceiling on more than one occasion. Raising the ceiling would not have been possible without Democratic assistance.

For Pete's sake, his unwillingness to default on the national debt and crash the world economy is among the reasons why former Speaker of the House John Boehner is no longer with us. The calls for his resignation reached a crescendo each time the ceiling was raised.

The Treasury Department has responded to Congressman Hensarling by saying the department was "forced to consider a range of options" to deal with a "catastrophic" default. The department noted that prioritizing certain payments would be the "least harmful option" in the event of a default, but a default would obviously be a goddamn disaster regardless of how it's handled.

Debt ceiling shenanigans will almost certainly plague the next president unless it's a Republican. In that case, it will once again be seen as a routine matter.

  • GrafZeppelin127

    Debt ceiling shenanigans will almost certainly plague the next president unless it’s a Republican. In that case, it will once again be seen as a routine matter.

    Republicans love to punish the country for having the gall to elect Democrats.

  • waspuppet

    Another to add to the list of Ways Republicans Are Like My Ex-Wife: “All you had to do was do everything I wanted, exactly how I wanted it, as well as anticipating a couple of things I haven’t gotten around to wanting yet, and we wouldn’t be having this conflict. Why do you insist on having a fight?”

  • muselet

    The Rs have tried repeatedly to extort the Obama administration into giving them everything they want. Every time, they argue that they aren’t shutting down the government, it’s the IslamoFascistCryptoCommunistKenyanUsurper who’s shutting down the government, reality be damned.

    Anyone who votes for an R because that’s the Party of Fiscal Responsibility is delusional.

    The scariest paragraph at the link:

    But findings that the government may have some wiggle room to minimize debt limit damage could play into future talks, as lawmakers looking to extract concessions could feel less pressure to act.

    Translation: the next time the vandals decide to blow up the world economy just for shits and giggles, they’re not going to take “no” for an answer.

    Sleep tight.

    –alopecia

  • japa21

    Much the same way households sometimes have to prioritize which bills they are going to pay and in which order in a certain month when funds run low. And the GOP keeps saying how we should run the government like a household (which is, of course, nonsense).