Tuesday, November 2, 2010

The Republican House Will Not Raise the Debt Ceiling ?

Remembering that the current Republican Party is far more rightist than 1994 - not raising the debt ceiling will crash the economy, mean outright default on bond payments, and globally spell the end of the American empire.

Think Progress reiterates:

Failure to do so (raise the debt ceiling) would almost certainly result in a devastating government shutdown and default on government debt, causing an economic catastrophe, but increasing debt spending is anathema to the far-right tea party rhetoric that has come to dominate the GOP.

It's amazing how fast it is all coming apart.

1 comment:

Fatboy said...

If it happens, it will be fascinating. Times of economic or monetary turmoil should draw investors into the US dollar and Treasuries. But, if the US is at the center of the turmoil clearly it won't. Where's the new safe haven? Gold, euro, AUD, yen? If a tipping point like this comes the fallout would be spectacular.