Top Republicans Appear Unfazed By Potential for First-ever Default
Economic meltdown would follow if federal government can no longer pay its bills
With talks across Pennsylvania Ave coming down to the wire in the debate to raise the federal debt ceiling, some prominent Republicans seem fairly unconcerned about the first-ever default by the US government should Democrats and Republicans not strike a deal in time.
The federal government has hit its cap on paying its bills, and the extraordinary measures which the government has been using in the meantime will run out as early as June 1.
Although Congress has approved an increase in the government's debt limit dozens of times under presidents of both parties in past decades, House Speaker Kevin McCarthy and other House Republicans want to hold such an increase hostage to President Biden and Democrats agreeing to a raft of draconian cuts in federal spending.
That's the battle playing out right now in Washington while the clock ticks towards an economic meltdown.
Well-known Republicans like Rep Marjorie Taylor Greene, of Georgia, and Republican National Committee Chairwoman Ronna McDaniel appeared to be unconcerned about the economic calamity which will befall the nation should the debt limit not be raised in time and the government default.
Speaking on his podcast, former advisor to Donald Trump, Steve Bannon and Greene falsely implied that the potential for default is a kind of fiction.
“There’s plenty of cash,” Bannon said.
“There’s plenty of cash. It comes flooding in every day. And what do they do over there, the Treasury? They just keep printing more money,” Greene agreed, before adding that House Republicans are “not sweating this at all.”
“Well, here’s what’s happening in our conference. We’re not sweating this at all. No one is freaking out. No one is concerned about this mystery date that [Treasury Secretary] Janet Yellen has thrown out like it’s going to — like it’s going to actually crash America,” Greene said. “The only people worked up about the mystery date is probably the New York Stock Exchange. I mean, let’s be real about exactly what it is. Regular Americans living their lives day in and day out don’t worry about the government shutting down.”
Separately, the head of the Republican Party appeared to look at default only for the boost that it might give Republicans politically.
“I think we have to look at Biden’s numbers. That’s where I think Republicans should be paying attention to his low approval. This is not a president that the American people feel is doing a good job in their behalf,” she said. “The vast majority of Americans feel like we’re not heading in the right track. And you look at this debt ceiling crisis, you look at us about to default, and you see that the president took 90 days out from negotiating, he refused to come to the table with Republicans.
“Republicans have put a plan on the table and this is an MIA president when it comes to problems that the American people are facing, whether it’s energy independence, whether it’s fentanyl, whether it's a broken border, whether it’s crime surging in our streets,” McDaniel added, repeating a number of familiar right-wing talking points. “This is a president that is failing the American people. So I think that bodes very well for the Republican field.”
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