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The time for that passed. This is about agreeing to pay for spending that happened.

• wang_li 3y ago
  Spending that’s already planned. There’s plenty of income to pay our debt obligations. Just not enough to pay all the other planned spending as well. The US should rollback spending to prepandemic levels. There’s no reason why extraordinary events should be a one way ratchet.
  • throwawaymobule 3y ago
    first opportunity I've had to pull out the 'nothing is so permanent as a temporary government program' Friedman quote from the 80's.
  • chii 3y ago
    Too many people stand to benefit from those spending plans for their rollback to be politically viable. This is what the republicans want to count on - to force some kind of political concessions from the democrats one way or another. It's a form of playing chicken at the highest level.
  • smileysteve 3y ago
    Happened, not planned. On June first, the US is predicted to not be able to pay interest on debt it already owes.
    • wang_li 3y ago
      Planned. The US debt is currently $31 trillion. The monthly servicing costs for this debt (as of 2022) is approximately $35 billion dollars. The US has roughly $270 billion dollars per month in income tax receipts. When the US hits the debt ceiling the Treasury will no longer be able to get new loans, but as far as servicing the existing debt, no problem. The US has no need to default on the debt if there is no deal on the debt ceiling, it will just have to cut future spending.