Schumer confirms White House considering ignoring debt limit

The Washington Examiner ^ | July 1, 2011 | Conn Carroll

[opentalk]

This morning we speculated that Treasury Secretary Tim Geithner was seriously considering just ignoring the statutory debt limit by claiming it was superseded by section Four of the 14th amendment. Sen. Chuck Schumer, D-N.Y., confirmed that that course of action has been considered by the White House. Talking Points Memo‘s Brian Beutler reports on a conference call with Schumer today:

I asked Schumer, a lawyer, whether, in his view, the administration had the power to continue issuing new debt even if Congress fails to raise the debt limit. He acknowledged that the question’s been discussed, but said the White House probably shouldn’t go there just yet.

[emphasis mine] Considering the ease with which Obama has violated bankruptcy law, refused to enforce voter fraud laws, and ignored the War Powers Act, what is stopping him from ignoring the debt ceiling.

[swatbuznik]

How much trouble will I be in if I don’t file taxes this year?

[Jeff Vader]

if he’s prepared to do this, he’s probably prepared to ignore the next election as well

[PDGearhead]

Seems like some of the top Republicans should voice their thoughts about about what would happen if Obama does ignore the debt ceiling.

They should speak loudly now.

[bert]

If the law can be ignored, the law can be ignored.

Presidents get no special treatments

[shield]

The pubbies are allowing it...so not to upset a 12% minority of blacks...however, there will be a point reached...the pubbies in the house will have NO choice. He has done so many impeachable offenses...enough will be enough.

[screaminsunshine]

Since we elected idiots to the House.

[Eva]

The Senate already has their third stimulus ready to go. The proposed bills are sitting in committee, waiting for a vote. Here's a list of the infrastructure bills.

Proposed infrastructure and development bills in the Senate

There are others, also, regarding farm rules and subsidies. The Democrats want to end the farm subsidies for all farmers making over $250,000, but they don't want to keep the money in the treasury, they already have a plan to funnel the money to favored Democrat donors, Goldman Sachs and Warren Buffet's BNSF. The plan is to lift the restrictions on farmers in the Northwestern states and allow them to grow as much grain and soy beans as they want as long as they ship it to China through a Goldman Sachs terminal and over Buffet's rail lines, both of which will receive billions of tax dollars through the various stimulus bills.

[screaminsunshine]

They have Laryngitis.

[EBH]

Mr. Druckenmiller acknowledged by 1996 that the Republican budget shutdown strategy had failed, and he agrees today that the worst outcome would be a technical default that still doesn’t muster enough pressure to force the Beltway to change its spending habits. This possibility “scares the hell out of me because I don’t know whether Obama would cave. I tell you one thing, if [Obama officials] believe what they’re saying, they’ll cave. If they believe this is Armageddon and this is worse than Lehman and this is the greatest catastrophe ever, they’ll cave.”

But what if Mr. Obama hangs tough, Republicans cave, and there is no spending reform between now and the 2012 elections? Would Mr. Druckenmiller sell his Treasurys? “Everything else being equal, that would be a big sell factor, not a buy factor. One of the reasons I bought the Treasurys a ways back was I thought [House Budget Chairman Paul] Ryan was serious. I mean I heard some serious things that I hadn’t heard in a long time.” When President Obama responded to Mr. Ryan with a harsh partisan attack instead of a serious policy proposal, “that made me feel not as good about my Treasurys as the day before. But I’m still long them,” he says.

http://online.wsj.com/article/SB10001424052748703864204576317612323790964.html

Wonder what Mr. Drunkenmiller would say about ignoring the debt ceiling today? Is this the doesn’t cave factor?

[musicman]

[Christian Engineer Mass]

Section 4.

The validity of the public debt of the United States, authorized by law,

[Wolfstar]

Impeach him? Never happen. Conservatives shot that wad with Bill Clinton. Not likely to happen again for at least a generation, probably longer.

[Eva]

Shield, I don’t know what’s going on with Govtrack, but the link I posted says that the infrastructure and development category is no longer being used, but here is the list, anyway. It was there yesterday and I still had it open.

This is just a sampling of the third stimulus bill that the Democrats have waiting to go.

Status
S.Res. 177: A resolution designating the week of May 15 through May 21, 2011, as “National Public Works Week”.
Passed Senate
May 16, 2011
H.R. 2216: NADBank Enhancement Act of 2011
Introduced
Jun 16, 2011
H.R. 2220: Derek M. Hodge Virgin Islands Improvement Act of 2011
Introduced
Jun 16, 2011
S. 1220: Fulfilling U.S. Energy Leadership Act of 2011
Introduced
Jun 16, 2011
S. 1164: Transportation Empowerment Act
Introduced
Jun 9, 2011
H.R. 2091: Freight Rail Infrastructure Capacity Expansion Act of 2011
Introduced
Jun 2, 2011
H.R. 2030: Green Infrastructure for Clean Water Act of 2011
Introduced
May 26, 2011
S. 1115: Green Infrastructure for Clean Water Act of 2010
Introduced
May 26, 2011
S. 1048: Iran, North Korea, and Syria Sanctions Consolidation Act of 2011
Introduced
May 23, 2011
S. 1001: Alternative Fuel Vehicles Competitiveness and Energy Security Act of 2011
Introduced
May 16, 2011
S. 1000: Energy Savings and Industrial Competitiveness Act of 2011
Introduced
May 16, 2011
H.R. 1907: Infrastructure Facilitation and Habitat Conservation Act of 2011
Introduced
May 13, 2011
H.R. 1901: To create and encourage the creation of jobs for youth, and for other purposes.
Introduced
May 13, 2011
S. 981: National Defense Authorization Act for Fiscal Year 2012
Introduced
May 12, 2011
H.R. 1861: Infrastructure Jobs and Energy Independence Act
Introduced
May 12, 2011
S. 948: Promoting Electric Vehicles Act of 2011
Introduced
May 11, 2011
S. 942: Transportation Infrastructure Grants and Economic Reinvestment Act
Introduced
May 10, 2011
S. 939: Sustainable Water Infrastructure Investment Act of 2011
Introduced
May 10, 2011
S. 936: American Infrastructure Investment Fund Act of 2011
Introduced
May 10, 2011
H.R. 1802: Sustainable Water Infrastructure Investment Act of 2011
Introduced
May 10, 2011
S. 892: Consolidation of Department of Energy and Environmental Protection Agency Act of 2011
Introduced
May 5, 2011
H.R. 1703: American Steel First Act of 2011
Introduced
May 3, 2011
H.R. 1685: Electric Drive Vehicle Deployment Act of 2011
Introduced
May 3, 2011
S. 826: Infrastructure Facilitation and Habitat Conservation Act of 2011
Introduced
Apr 14, 2011
S. 813: Cyber Security Public Awareness Act of 2011
Introduced
Apr 13, 2011
S. 800: Safe Routes to School Program Reauthorization Act
Introduced
Apr 12, 2011
S. 747: Safe and Efficient Transportation Act of 2011
Introduced
Apr 6, 2011
H.R. 1395: Leading and Expediting Aerotropolis Development Act of 2011
Introduced
Apr 6, 2011
H.R. 1338: Focusing Resources, Economic Investment, and Guidance To Help Transportation Act of 2011
Introduced
Apr 1, 2011
S. 615: Fiscal Accountability and Transparency in Infrastructure Spending Act of 2011
Introduced
Mar 17, 2011
S. 652: Building and Upgrading Infrastructure for Long-Term Development
Introduced
Mar 17, 2011
H.R. 1122: Freight FOCUS Act of 2011
Introduced
Mar 16, 2011
S. 413: Cybersecurity and Internet Freedom Act of 2011
Introduced
Feb 17, 2011
H.R. 763: Safe and Efficient Transportation Act of 2011
Introduced
Feb 17, 2011
S. 372: Cybersecurity and Internet Safety Standards Act
Introduced
Feb 16, 2011
S. 371: Focusing Resources, Economic Investment, and Guidance to Help Transportation Act of 2011
Introduced
Feb 16, 2011
H.R. 688: Department of Transportation Bonding Assistance Authority Act of 2011
Introduced
Feb 14, 2011
S. 326: Federal Surface Transportation Policy and Planning Act of 2011
Introduced
Feb 10, 2011
S. 21: Cyber Security and American Cyber Competitiveness Act of 2011
Introduced
Jan 25, 2011
S. 2: Middle Class Success Act
Introduced
Jan 25, 2011
S. 131: Axe the Stimulus Plaques Act
Introduced
Jan 25, 2011
S. 4: Make America the World’s Leader in Clean Energy Act
Introduced
Jan 25, 2011
S. 1: American Competitiveness Act
Introduced
Jan 25, 2011
H.R. 402: National Infrastructure Development Bank Act of 2011
Introduced
Jan 24, 2011
H.R. 404: Renewable Fuels for America’s Future Act of 2011
Introduced
Jan 24, 2011
H.R. 341: TIFIA of 2011
Introduced
Jan 19, 2011
H.R. 235: Cut Unsustainable and Top-Heavy Spending Act of 2011
Introduced
Jan 7, 2011

[Ditter]

read later

[Hoodat]

Ah, so this is how fascism works.

[Cboldt]

-- That would make all the Chicken Little screeching from the democrats a steaming pile of dog poo, wouldn't it? --

Yes, it would. No shutdown, the spending parts of the law would be superior over the conflicting debt limit.

[LibLieSlayer]

Do it rats... and you will force an unwilling boehner to cry and then start impeachment proceedings.

LLS

[Cboldt]

-- Why not eliminate the debt limit? What purpose does it serve if it can be raised so easily? --

The debt limit is a Congressional sham on the public. They pass laws that say "spend 4 trillion of the 3 trillion you have, but don't borrow money."

The purpose of the debt limit was and is ostensibly to prevent Congress from passing the excessive spending in the first place. The debt limit only constrains Congress. It's like a Congressional rule, you can't break it, and neither can the president.

[TennTuxedo]

It would be more evidence that the ultimate goal of the democrats in raising the debt ceiling was to create another “stimulus” to redistribute even more of our nation’s dwindling wealth to liberal special interests.

[mewzilla]

Barry’s making George III’s government look like pikers...