Morris Pearl Wikipedia, Net Worth, Biography, Age, Wife, Facebook
Morris Pearl Wikipedia, Net Worth, Biography, Age, Wife, Facebook – The US officially reached its $31.4 trillion debt ceiling today. To avoid an economically disastrous default, the Treasury Department will now turn to taking “extraordinary measures” during the coming months.
The following remark was made in response by Morris Pearl, the chairman of the Patriotic Millionaires and a former managing director at BlackRock, Inc.
Today’s debt ceiling hike puts us one step closer to a financial meltdown. A default would start a full-scale financial crisis around the world and cause millions of Americans to suffer greatly economically.
It’s not required to take place. The debt ceiling can easily be raised, as Congress has done previously 78 times. Even better, they ought to do away with it totally. The only benefit of the debt ceiling is that it gives radical politicians a chance to hostage-take the global economy.
That’s exactly going to happen now. The debt ceiling will be used as leverage by congressional Republicans to force significant spending reductions for entitlement programmes like Medicare and Social Security.
We have a system in place to manage our spending. Congress enacts laws to control spending. The Republicans are attempting to create a crisis about the total level of spending because they are aware that they will not succeed in getting people to vote to cut back on government programmes that truly assist people.
It would be similar to if your spouse gave you a budget to stick to when you went shopping, then when the credit card bill was due, they threatened to withhold payment unless you agreed to cut back on the cost of your monthly medications.
Republicans will yell and rage about “fiscal irresponsibility,” but don’t be fooled—the argument they make is absurd. New spending cuts will do nothing to prevent a default since the debt ceiling and federal spending are two very different things. The only action that could be deemed “fiscally irresponsible” is to put the whole US economy at risk in an effort to eliminate what little of our already weakened social safety net remains.
The Democrats, led by President Biden, claim to have learned their lesson from earlier, equally absurd debt ceiling battles with the Republicans and would not budge on proposed expenditure cutbacks. This is the way to proceed.
There isn’t anything to “negotiate.” Democrats must take all necessary measures to stop Republicans from wrecking the world economy or slashing Social Security and Medicare.