Tag Archives: default

Is the Debt Ceiling Constitutional? The Debt Limit Option President Obama Can Use

By BRUCE BARTLETT, The Fiscal Times April 29, 2011 Debt Ceiling: Complete Coverage The vast majority of those commenting on raising the federal debt limit are certain that Congress will act in time to forestall a debt default, which would occur if the Treasury lacked sufficient cash to pay interest due that day or to redeem maturing securities. The smart money says that Congress could not possibly be so stupid as to permit a default and will ... Read more

China warns U.S. debt-default idea is “playing with fire”

By Emily Kaiser Reuters, June 8, 2011 (Reuters) – Republican lawmakers are “playing with fire” by contemplating even a brief debt default as a means to force deeper government spending cuts, an adviser to China’s central bank said on Wednesday. The idea of a technical default — essentially delaying interest payments for a few days — has gained backing from a growing number of mainstream Republicans who see ... Read more