Posted at Hartmann Report on Apr. 27, 2023
Kevin McCarthy Wants a “Debt Ceiling Depression” - Will SCOTUS Give It To Him?
The US government has never, in our country’s entire history, defaulted on its debt. Neither, in recent history, have most other advanced democracies. Debt default is very much a Third World thing…
Kevin McCarthy is playing with fire, and he’s on very shaky constitutional grounds.
He believes that he can hold hostage payments for goods bought and services already provided to the federal government — debts of the United States — in exchange for forcing the Biden administration to go along with draconian cuts to veterans benefits, food stamps (SNAP benefits), Medicaid, the Inflation Reduction Act (particularly its subsidies for green energy), and the permanent establishment of Trump’s massive tax cuts for billionaires.
Republicans started using the so-called “debt ceiling” — based on a law passed back in 1917 — as a cudgel to beat up Democratic presidents in 1995 during the Clinton administration. It was one of Newt’s “bright ideas.”
Clinton and Obama went along with the GOP, but now their demands have become so extreme that President Biden is threatening a veto (if the bill even gets through the Senate, which it probably won’t).