Robert ReichJan 26, 2023

The “both-sides" reporting on the debt ceiling by the mainstream media is preposterous.

This fight is being waged solely by the Republican Party.

When Trump was in power, Republicans voted to increase the debt limit three times. Now they refuse.

The GOP owns this crisis.

Show threadMikeJan 26, 2023
@rbreich the myth of it all is there is no debt crisis. To be honest the only problem with Republican tax cuts was it allowed for an increase in wealth gap between the obscenely wealthy and the rest of us. Other than that it didn't matter because the debt, or debt/GDP is of little relevance. It, in an of itself, does not cause inflation so where's the problem? It's all made up, it's all drama. No, our grandchildren will not have to pay it back. No, China doesn't own us. All of that is silliness.
Show threadHello World
@MikeBon @rbreich Are you suggesting that defaulting won’t increase interest rates? We haven’t even defaulted and yet we have 10% inflation. We either pay it or continue to print money.
Jan 27, 2023 at 12:52pmWeb
Show threadMikeJan 27, 2023
@helloworld @rbreich no I'm not suggesting that at all. The U.S. government can always produce the $ to pay its debts. This is the fact that many people don't understand. Whether congress elects to authorize the spending is what causes defaults not whether the government has the $. In a fiat economy the government can always buy what the market has for sale. What they should buy is really the question not can they find the $. Inflation is the real constraint to spending. Taxes do not fund.
Show threadHello WorldJan 27, 2023
@MikeBon @rbreich The fed is supposed to be the check on government spending. It’s like giving the kids the credit card. This will obliterate markets.