Biden warns US economy that “meteor crashes” in debt struggle | Joe Biden

Joe Biden accused “reckless” Republican Warning for driving the US government into historic default: “Meteorite is heading in the direction of a collision with our economy.”

The presidential intervention came because the federal government had a cap on the amount it could borrow and only Congress had the power to raise or lower it.

The US Treasury says it will not be able to pay the bill by around October 18 unless Congress raises its current debt limit of $ 28.4 trillion. Failure can cause the first US default in modern history and cause havoc in the US and global economies.

In the bitter era, the problem became an acid test of Washington’s dysfunction.Senate Republicans Action blocked twice Democrats raise the cap, claiming they can act alone using a trick known as budgetary adjustment.

“If default leads to self-harm and the economy crosses the cliff, they won’t raise it.” Biden said In a speech aired on Monday, he noted that some of the debt was borne by Donald Trump and had nothing to do with his own spending plans.

“”Not only are Republicans refusing to do their jobs, they are threatening to use their power to prevent us from doing our jobs: the economy from catastrophic events. To save. Frankly, I think it’s hypocritical, dangerous, and shameful. Their obstruction and irresponsibility never know the limits, especially as we pave the way for us to get out of this pandemic. “

Historically, both parties have naturally voted to raise the limit. Democratic Party By doing so three times under Trump, he joined the majority of the Republican Senate.

At the end of last month, the House of Representatives sent a bill to the Senate to suspend restrictions on state treasury borrowing until the end of 2022. However, Senate Republicans can use a procedure called filibuster to prevent Democrats. Pass the measure.

Senator reportedly ruled last week that a majority leader, Chuck Schumer, could use a settlement process to bring a debt restriction bill to the Senate’s seats and pass it with a simple majority. bottom.

Doing so does not jeopardize the Democratic Party’s efforts to submit a second bill to the Senate floor under a settlement, according to MPs.that is Trillion dollar bill By accepting Biden’s national agenda, expanding social welfare and addressing the climate crisis, Democrats are now Discussion..

However, Schumer ruled out using the settlement to raise the debt cap, and Biden dismissed it as a “complex” and “cumbersome” process compared to the current bill before the Senate. bottom.

Biden said: “Democrats fulfill our responsibilities and obligations to this country. We don’t expect Republicans to play their part. They made it clear from the beginning. We’re in vain. We just ask them not to use procedural tricks to prevent them from doing the work they don’t do.

“Meteorites are heading in a direction that clashes with our economy. Democrats are happy with all the work that stops it. Republicans have to get us to work. Don’t get in the way. Please. You don’t want to help save the country? Don’t get in the way so you don’t destroy it.. “

Moody’s, a financial analysis firm, could lose nearly 4% in economic activity, lose nearly 6 million jobs, reach unemployment near 9% and sell out stocks if it doesn’t take action. Is warned. $ 15 trillion in household wealth and rising interest rates on mortgages, consumer loans and business debt. The US credit rating will be downgraded.

Biden said: “Republicans say they won’t play their part in avoiding this unnecessary calamity, so that’s fine, but they need to stop playing Russian roulette. U.S. economy.. Paying the debt you have already acquired is one thing. Requesting a majority to pay the debt you have already acquired is another thing. That’s wrong. Let the Democrats vote for this week’s debt cap increase, rather than sabotage or further delays.

The Senate Democrats will vote this week on measures to raise debt caps. Schumer suggests that the Senate must maintain its session throughout the weekend and may enter an adjournment scheduled for next week if no progress is made.

He urged his colleague to: “We must deliver a bill dealing with debt restrictions to the president’s desk by the weekend. Duration. The United States will fulfill our obligations in a timely manner, and the full trust and credibility of the United States will never be questioned. We cannot afford to wait until October 18th, as it is our responsibility to reassure the world.

“The result of approaching is [deadline] Dates are disastrous for our economy and can have a devastating impact on American families. “

But Republicans continue to dig deeper, claiming that debt restrictions are their responsibility, as Democrats control the White House, the House of Representatives, and the Senate.

Senate minority leader Mitch McConnell, Said in a letter to Biden: “Parliamentary lieutenants understand that when informed to work nearly three months ago, the unified democratic government does not want sleepwalking towards an avoidable catastrophe. is needed.”

Washington believes that default is unthinkable until it suddenly becomes unthinkable. Reporters asked Biden on Monday: “Can we guarantee that the United States will not reach its debt cap? Will it not happen?”

Biden replied: “No, I can’t. It’s up to Mitch McConnell.

“I can’t believe it’s the end result because the result is so disastrous. I can’t believe it. But can I guarantee it? If possible I can’t... “

Biden warns US economy that “meteor crashes” in debt struggle | Joe Biden

Source link Biden warns US economy that “meteor crashes” in debt struggle | Joe Biden

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