$38.8 Billion in U.S. Treasury? For These Billionaires, That’s Nothing.
The cash balance at the Treasury Department is now lower than the net worth of some of the world’s richest people.
https://www.nytimes.com/2023/05/26/us/politics/cash-us-treasury-billionaires.html?
 | This isn't a crisis. This is a plot.The corporate media refuses to tell the American people what this is: a cynical political and media strategy devised by Republicans in the 1970s, fine-tuned in the 1980s, and since then rolled out every time a Democrat is in the White House. |
Thom Hartmann, May 26, 2023
"The only thing wrong with the U.S. economy is the failure of the Republican Party to play Santa Claus." —Jude Wanniski, March 6, 1976
As the Fitch credit rating service puts the United States on “watch” for a possible downgrade and Democrats dither about the 14th Amendment, Republicans just declared the House of Representatives in a break because, from their point of view, there really is no crisis.
In fact, from the GOP’s perspective, it’s all going according to plan.
As Teagan Goddard’s Political Wirenoted yesterday:
"RNC Chair Ronna McDaniel told Fox News that the U.S. potentially defaulting on its debt ‘bodes very well for the Republican field.’”
It’s no accident or coincidence that the threat of a failure to pay the nation’s bills never once happened during the presidencies of Reagan, Bush, Bush, or Trump. Or that it didhappen every single time during the presidencies of Clinton, Obama…and, now, Biden.
You could even call it a conspiracy: there’s an amazing backstory — with a unique name — here. And it all started with a guy named Jude Wanniski, who literally transformed American politics with a plan that the American mainstream media, astonishingly, continues to ignore.
Biden must resist Republican debt ceiling demands. Here’s what he needs to do instead
US economy out of touch with lives of most Americans. Biden must resist GOP debt plan that would make things worse
By Sen. Bernie Sanders
We are at a pivotal moment in American history. In the coming days, decisions will be made with respect to our federal budget and the national debt that could impact the lives of virtually every American in our country for decades to come.
In my view, the debate we are having on the debt ceiling is about our national priorities. It is about what we value as a nation and whose side we are on.
At a time of unprecedented wealth and income inequality, when the top 1% has never had it so good and when three people on top own more wealth than the bottom half of our society, do we finally demand that the billionaire class start paying their fair share of taxes? Or do we shower the wealthy and well-connected with trillions of dollars in new tax breaks?
At a time when corporations are making enormous profits by jacking up the price of health care, prescription drugs, gasoline and groceries, do we finally end the huge loopholes that exist in our rigged tax code that allow large corporations to avoid paying their fair share of taxes?
Or do we eliminate the corporate minimum tax passed last year that prevents giant profitable corporations from paying nothing in federal income taxes after making billions in profits?
At a time when we pay, by far, the highest prices in the world for prescription drugs do we finally take on the greed of the pharmaceutical industry and substantially reduce the price of what Medicare and the American people pay for life-saving medicine?
Or do we continue to allow the pharmaceutical industry to bankrupt Medicare and cancer patients by charging outrageously high prices at the pharmacy counter?
At a time when the United States spends more on the military — $877 billion — than the next 10 nations combined, do we finally begin to eliminate the enormous waste, fraud and cost over-runs that exist at the Department of Defense?
Do we address the information revealed in a recent "60 Minutes" investigation that documented the billions in price gouging that defense contractors steal from taxpayers? Or do we continue to appropriate more money for the Pentagon than our generals have requested?
Sadly, the Republicans have made their priorities abundantly clear throughout the budget negotiations.
If Congress does not agree to impose massive cuts on the needs of working people, the elderly, the children, the sick and the poor — they will allow, for the first time in our history, the U.S. to default on the national debt.
This action will have a devastating impact on our economy, destroy millions of jobs and cause interest rates on mortgages and auto loans to skyrocket.
The hypocrisy of Republicans in Washington is truly breathtaking. Over and over again, we hear from the Republican leadership about how deeply concerned they are about the large deficit and national debt that we have.
Really? If that's the case, why have they been pushing for the complete repeal of the estate tax which benefits a handful of multi-billionaire families and would increase the federal deficit by $1.8 trillion?
Why are they pushing for an extension of the Trump tax breaks that disproportionately benefit the wealthy and large corporations and would increase the federal deficit by $3.5 trillion?
Why do they want huge increases in defense spending that would increase the national debt by hundreds of billions of dollars?
While defaulting on our nation's debt would be a disaster so would enacting the budget Republicans passed in the House in April. Here are just some of the estimated impacts of what is included in their budget to cut non-defense discretionary spending by at least 22% next year:
In other words, while the top 1% owns more wealth than the bottom 90% of our population, and when 60% of our workers are living paycheck to paycheck, the Republican budget would cause massive suffering for the most vulnerable people in our country.
The willingness of Republicans to hold the world's economy hostage to their Draconian and cruel demands has made it extremely difficult to enact a bipartisan budget deal at this time.
So where do we go from here?
In my view, there is only one option. President Biden has the authority and the responsibility under the 14th Amendment of the Constitution to avoid a default.
The language in that amendment is quite clear. It says, "The validity of the public debt of the United States ... shall not be questioned." This is a constitutional guarantee that the U.S. will always pay all its debts, period.
This is not a radical idea. Making sure that the United States continues to pay its bills regardless of whether the statutory increase in the debt ceiling is raised or not is an idea that has been supported by Republicans and Democrats.
Back in 2016, then-President Donald Trump was correct when he said: "This is the United States government. First of all, you never have to default because you print the money."
Using the 14th Amendment would allow the United States to continue to pay its bills on-time and without delay, prevent an economic catastrophe, and prevent huge cuts to health care, education, childcare, affordable housing, nutrition assistance and the needs of our veterans.
It must be exercised.
Now is not the time to cave in to GOP hostage takers on the debt ceiling. Now is the time for President Biden to use the 14th Amendment to protect working families and prevent an economic catastrophe.
Add your name if you agree:
We must stop Trumpian fascism
We must stop Trumpian fascism |
https://open.substack.com/pub/robertreich/p/the-danger-is-now?utm_campaign=post&utm_medium=email
