“The debt limit does not authorize new spending commitments. It allows the government to finance existing legal obligations that Congress’ and Presidents of both parties have made in the past” — Paul Ebeling
Failing to increase the debt limit would have catastrophic economic consequences. It would cause the government to default on its legal obligations, an unprecedented event in American history.
That would precipitate another financial crisis and threaten the jobs and savings of everyday Americans putting the United States right in a deep economic hole, just as the nation is recovering from its recent recession.
Congress has always acted when called upon to raise the debt limit.
Since Y 1960, Congress has acted 78 times to permanently raise, temporarily extend, or revise the definition of the debt limit; 49 times under Republican Presidents and 29 times under Democratic Presidents. Congressional leaders in both parties have recognized that this is necessary.
Have a prosperous day, Keep the Faith!