The United States will repay its debt in 12 days if Congress doesn’t act
The battle for the building over how to increase the loan limit will come to the fore on Wednesday afternoon when Republican A procedural vote on raising the loan limit is expected to be filibuster.
A vote scheduled sometime after 2 p.m. would require 60 years. But Republicans are very clear that they equally intend to vote against it.
As a punishment for spending trillions of dollars without GOP input through budget reconciliation, Republicans want Democrats to use the same process to raise the debt limit. Minority leader Mitch McConnell, R-Ky., says Republicans have no demands and do not intend to compromise – they are closed in their protests.
And even the most liberal GOP members like Sen. Mitt Romney, R-Utah, are on board with the strategy.
What if Congress fails to raise the debt limit?
“There’s already an existing carve where Democrats can do it themselves—it’s called reconciliation,” Romney tweeted Tuesday in response to a commenter who suggested changing the filibuster to raising the debt limit.
So the Democrats’ plan will fail. And with 12 days until the US defaults on its debt, they don’t have another, according to Treasury Secretary Janet Yellen.
Some Democrats have indicated they may be open to raising the debt limit through conciliation if they want to at all. But majority leader Chuck Schumer, D.N.Y., has said it’s not on the table.
Others have batted around the idea of partially nuking filibuster to raise the loan limit. But Sen. Joe Manchin, DW.V.A. rejected that idea on Monday. Noticing a filibuster for a loan limit can make it a slippery slope for other issues to be liquidated as well.
“We have other tools we can use,” Manchin said. “And if we have to use them, we should.”
And yet more Democrats have said that the Treasury should print a $1 trillion coin, or that President Biden should claim the power to unilaterally raise the debt limit. But experts have dismissed them as it is likely to create such panic and uncertainty in the economy that systematic lifting of debt limits is meant to be avoided.
With all 12 days until the US defaults on its debt.
Meanwhile, Republicans have repeatedly said they will not budge and help Democrats raise the debt limit.
“The majority don’t need our votes. They just want a bipartisan shortcut around procedural hurdles that they can overcome on their own,” McConnell said on the Senate floor this week. “And they want that shortcut so they can go back to partisan spending as quickly as possible. They want a bipartisan shortcut to go back to the more partisan hardball! And Republicans have spent two and a half months explaining they don’t have to. will get. “
He added: “The majority needs to stop lulling into another preventable crisis. Democrats need to deal with the debt ceiling. We’ve given them a road map and three months’ notice. I suggest that.” Our allies go ahead.”
The fact is, either party can guarantee that the loan limit goes up if it decides to do so.
Republicans can vote for a procedural “cloucher” vote, then allowing Democrats to pass a final debt limit increase across party lines.
Or Democrats could use the same reconciliation process they are more than happy to use on their massive spending bills this year.
But so far neither side seems to be bumbling.
Only for 12 days until the US defaults on its debt.
Granthshala Business’ Jason Donner contributed to this report.