@newsopinionsandviews@masto.ai
That's not how the #DebtCeiling works.
For #Biden to float debt that he doesn't have the authority to issue would be to create debt instruments that could not legally be enforced or collected on later.
That proposal gets the mechanism of US public debt exactly backwards.
Or to put it a different way, the debt ceiling is enforced by the Constitutional grant of authority to the Legislative Branch. The Executive can have no say in enforcing that since it's not his to enforce.
@volkris @newsopinionsandviews
“…debt instruments that could not legally be enforced or collected on later”
This includes the implicit assumption that the future congress will be as determined as the current one to crash the world economy.
The current Congress didn't pass the legislation setting up this dangerous situation. That was the last one. This Congress has already voted on a cleanup of the mess, though.
So you have that story backwards.
As for implications, also keep in mind that any Congress might not be particularly interested in sanctioning a president who tries to bypass the coequal branch, and breaks the law to issue debt that threatens US debt in general.
If the purchasers of that debt have to take a haircut in order to protect checks and balances, well, Congress might be pretty interested in that outcome.
@newsopinionsandviews@masto.ai
