Excerpt from AP story, full link provided below
The House Republican rank and file were advised in a GOP meeting that, barring action by Congress, the government would be able to pay only about half its bills after Aug. 2, and separately that a default could cost the government trillions of dollars in the form of higher interest rates on the debt.
"No matter what 50 percent you choose to pay, there are things in that 50 percent you don't pay that would have really severe consequences," Rep. John Campbell, R-Calif., said afterward.
"There are people out there who keep saying we don't need to increase the debt limit at all. I think this was a way of saying, the people who are saying that need to look at the practical consequences of what they are saying."
*I* think "[we] the people" who are saying "we don't need to increase the debt limit at all" (a MAJORITY I might add) are telling YOU that you need to look at the consequences of FOREVER spending MORE money than you are taking in!
Consumer debt is consistent with bankruptcy filings
Research by the Federal Reserve indicates that household debt is at a record high relative to disposable income. Some analysts are concerned that this unprecedented level of debt might pose a risk to the financial health of American households. A high level of indebtedness among households could lead to increased household delinquencies and bankruptcies, which could threaten the health of lenders if loan losses are greater than anticipated.
We the people can't do it! Personal Bankruptcy Filings by Quarter
Seems the American people CANNOT simply "increase their debt ceiling as needed"
Influence of Total Consumer Debt on Bankruptcy Filings
Trends by Year 1980-2009
Here is an interesting "political view" of recent debt ceiling debates.
And CRS Report for Congress: The Debt Limit: History and Recent Increase for a more detailed look.
Here are the last few lines from the report above..
"Unless federal policies change, Congress would repeatedly face demands
to raise the debt limit to accommodate the growing federal debt in order to provide the government with the means to meet its financial obligations."
I don't hear much talk, lately, about the millions of American citizens being forceably removed from their homes to help out banks balance sheets.
Why are the American people being shut out of this debate exactly like they were shut out of the Healthcare debate?! Why are all the negotiations taking place between politicians behind closed doors?
You politicians think we are stupid in "fly-over" country. Well guess what?! We think you are about the stupidest people on the planet. And that's not to mention self indulgent, greedy, corrupt and arrogant!
HERE is what I see you talking about now.. "require a steady decline in spending as a percentage of the overall economy over the next decade." NOT cuts, but "a steady decline in MORE SPENDING!"
Have you politicians ever considered the fact that maybe we need an economy based on something other than predatory lending and usury?! Something other than a debt-based ponzi scheme economy?! Or is the plan simply to kick the American consumer to the curb and replace them with a growing middle class, full of potentially new debt slaves, in China?
Here's story that got me irritated today.. Lord..
Debt Showdown: Obama Presses for 'Something Big'