By Josh Book and Kevin Freaking.
WASHINGTON (AP) – President Joe Biden on Monday told Republican senators to get out of the way and allow Democrats to suspend the nation’s debt ceiling on their own, hoping to give the U.S. government credit as a Senate Republican. Prevents dangerous defaults. Leader Mitch McConnell refused to support his party.
Biden’s criticism comes as Congress faces an October 18 deadline to allow the government to borrow more to operate after a total public debt of .4 28.4 trillion. The House has passed a measure to suspend the debt limit, but McConnell is forcing Senate Democrats on a cumbersome process that could last weeks and go against the deadline with little margin for error. Can brush
Both Biden and McConnell have promised that the country will survive the default, yet public fighting and political position threaten economic decline. The global economy relies on the stability of US Treasury notes, and unpaid debt could crush financial markets and push the United States into recession. Biden said the debt limit applies to borrowing that has already taken place, including that of former President Donald Trump, and that Republicans are hurting the country by blocking the suspension.
“They need to stop playing Russian roulette with the US economy,” Biden said at the White House. Just get out of the way. If you don’t want to help save the country, get out of the way so you don’t destroy it.
Once a regular vote, the need to increase the nation’s debt ceiling has become increasingly biased. It has become the Republican’s favorite political weapon to either demand concessions or force Democrats to vote unpopular in order to get more loans. McConnell has linked the vote to Biden’s multibillion-dollar tax and economic agenda awaiting congressional approval. But Biden says the price tag for his project will be “zero” in terms of debt, which will be paid by raising taxes on corporations and the rich, who are House Democrats who earn more than 400,000 a year. , Or more couples. More than $ 450,000
Biden said he intended to speak to McConnell, who dug up one of his letters to the president.
“We have no list of demands. For two and a half months, we have only warned that because your party wants to govern alone, it must also handle the debt limit alone,” the Kentucky senator said in Monday’s letter. Written
Financial markets have been relatively calm with interest rates on 10-year Treasury notes falling below 1.5 percent. The rate is slightly higher than at any time set last year as the corona virus epidemic spreads, but it is still lower than at any other time in the nearly 60-year data tracked by the Federal Reserve.
Treasury Secretary Janet Yellen has said the government will cut its cash reserves on October 18, a ceremony she said would potentially lead to a financial crisis and a recession. Senate Majority Leader Chuck Schmidt warned Monday that it would be dangerous for the economy to come anywhere near that deadline.
In a letter to Democratic senators, Schumer said, “Even approaching the X-date could have devastating consequences for our economy and for American families, increasing the cost of borrowing for the average American.” And in the long run, it could be an obstacle to our economic recovery. “
Democrats and Republicans are debating how to extend the debt ceiling. Republicans are urging Democrats to go it alone with the same legislative tool that is already being used to test and pass Biden’s plan to expand safety, health and environmental programs. Democrats say raising the debt limit has traditionally been a two-way street, and that the debt limit was set by the presidents of both parties.
If the debt issue is not resolved this week, the Senate will likely be forced to sit next weekend and possibly next week when the senators were scheduled to return to their home states, Schmidt said. ۔
Schumer also discussed the current state of the game with the bilateral 1 trillion infrastructure bill that has already passed the Senate and is stuck in the House, as well as Biden’s large, 3.5 3.5 trillion effort on social programs and the environment. Concentrated which will be tax deductible. He noted that the president traveled with the House Democrats on Friday to seek support for both measures.
“It encouraged them to stay together, to compromise, and to find a sweet spot that would allow us to get our work done,” Shammar said. “I totally agree with their sentiments – if we put our differences aside and find a common ground within our party, we can do it together.”
Biden will travel to Michigan on Tuesday to promote his legislative plan as talks resume in Washington. Democratic Sen. Joe Manchin of West Virginia and Kirsten Cinema of Arizona have said they will not return the 3.5 3.5 trillion bill. And many House Democrats will not support a small two-way infrastructure plan unless they reach a comprehensive agreement.
AP Congresswoman Lisa Muscaro contributed to this report.