'No good options' on US debt default #uspol
No good options if #Congress fails to raise the #debtlimit, Yellen says https://www.politico.com/news/2023/05/07/janet-yellen-debt-ceiling-biden-00095688 [S]ome analysts have suggested that Biden could invoke the #14thAmendment, which confirms “the validity of the public debt,” to raise the ceiling unilaterally.' Some commentators are advising #Medicare, #Medicaid, & #VA patients to schedule procedures for before June 1 in case payments to providers default. #DebtCeiling
That gets it backwards, though: the 14th doesn't grant the president power to borrow money without authorization; rather it requires him to use the money *already in the Treasury* to service debts first.
The Treasury has plenty of money to service its debts without raising the debt ceiling, just based on existing receipts and federal holdings.
To even talk about defaulting on those debts is political brinkmanship.
