Is Republican Debt Ceiling Threat a Bluff?
Posted at noon on Sept. 3
House Republicans have made it clear that they will not raise the debt ceiling without spending cuts and that they are ready for a fight, but Josh Barro argues that “Republicans are full of it.”
“If Republicans were to stage another debt ceiling showdown over entitlement reform, they would have to (1) threaten to cause an economic crisis unless (2) they are given a package of reforms that many Republican officials don’t even want, which (3) would also happen to be hugely unpopular with voters.”
“So why is Boehner making debt ceiling threats again? Well, for one thing, it’s August, and in August, Republican House members go to town halls… But also, the debt ceiling won’t hit until mid-October, while a government shutdown must be averted by September 30, and Boehner needs an explanation of why he won’t back efforts to shut down the government unless Obamacare is defunded… The platinum coin isn’t needed.”