DEBT CEILING DEAL: MORE GUNS, LESS BUTTER, AND A WHOLE LOT OF CONFUSION
In a stunning turn of events, the US government has managed to avoid defaulting on its debt. This is great news for anyone who doesn't want to see the global economy implode. But what exactly is in this debt ceiling deal? And why does it sound like a recipe for a really bad sandwich?
Well, let's start with the good news. The debt ceiling has been raised for two years, which means that the government can keep borrowing money until 2025. This is great for anyone who relies on government services or benefits, like Social Security or Medicare. It also means that the government can continue to pay its creditors, like China and Japan.
But here's where things get a little weird. Non-defense spending will be capped, which means that the government will have to limit how much money it spends on things like environmental protection and scientific research. This is good news for fiscal conservatives who want to reduce the deficit, but bad news for anyone who cares about the environment or public health.
To make matters worse, work requirements will be expanded for some social safety-net programs. This means that some people who receive food stamps or cash assistance will have to work more hours or meet other criteria to keep their benefits. This is good news for those who believe that work is the best way to lift people out of poverty, but bad news for anyone who is struggling to find work or face barriers to employment.
But wait, there's more! Veterans' health care will be fully funded and toxic exposure fund will be increased. This is great news for veterans who deserve respect and gratitude for their service and sacrifice. But it also means that other programs that are not related to veterans' health care will have less funding or face cuts.
So what does all of this mean? Well, it means that the US government is like a person who has decided to go on a diet, but still wants to eat cake for breakfast. The debt ceiling deal is a compromise that reflects the political realities and trade-offs of governing a divided nation. It's not perfect, but it's better than defaulting on your debt and plunging into chaos.
If you're a US citizen or resident who cares about your country's future and your own financial security, you should contact your representatives in Congress and urge them to support this deal. Or you can just sit back and watch Netflix while Rome burns. Either way, at least you'll know what's in your sandwich.
Here's what's in and out of the debt ceiling deal that was reached between President Biden and House Republicans on Saturday:
In:
- The deal would increase the debt limit by $480 billion, which would allow the government to borrow money to pay its bills until December 2023.
- The deal would cap non-defense spending in fiscal year 2024 and increase it by 1% in fiscal year 2025.
- The deal would protect veterans' medical care and increase support for the PACT Act's toxic exposure fund by nearly $15 billion for fiscal year 2024.
- The deal would speed up the permitting process for some energy projects.
- The deal would include some extra work requirements for food aid programs for poor Americans.
Out:
- The deal does not include any new taxes or spending cuts.
- The deal does not include any changes to the filibuster rule in the Senate.
- The deal does not include any changes to the Affordable Care Act.
The deal is still subject to approval by both the House and the Senate, but it is expected to pass easily. The deal is a major victory for President Biden, who had been facing intense pressure from Democrats to raise the debt limit without Republican support. The deal is also a victory for House Republicans, who had been demanding spending cuts in exchange for raising the debt limit.
The deal is a temporary solution to the debt ceiling problem, but it does buy the government some time to address the issue in a more comprehensive way. The debt ceiling is a self-imposed limit on the amount of money the government can borrow. The limit was created in 1917, and it has been raised 87 times since then. The debt ceiling has become a political football in recent years, with Republicans often using it as a way to force Democrats to make concessions on spending or other issues.
The debt ceiling is a major risk to the U.S. economy. If the government were to default on its debt, it would have a devastating impact on the economy. The stock market would crash, interest rates would skyrocket, and the economy would go into a recession. The debt ceiling is a serious problem that needs to be addressed, and the deal reached between President Biden and House Republicans is a step in the right direction.
Debt ceiling deal: What’s in, what’s out of the agreement to avert US default https://apnews.com/article/debt-ceiling-deal-food-aid-student-loans-3c284b01d95f8e193bca8d873386400e
McCarthy defends debt ceiling deal amid conservative GOP pushback | The Hill https://thehill.com/homenews/house/4024179-mccarthy-defends-debt-ceiling-deal-amid-conservative-gop-pushback/