Posted on 10/03/2013 8:00:48 PM PDT by Tailgunner Joe
Republican Congressman Steve King dismisses the idea the U.S. government will go into default if congress fails to raise the debt limit later this month. Obama Administration officials suggest a debt limit must be raised by October 17th and economists say failure to raise the limit could trigger a massive drop in stock markets around the globe and increase borrowing costs for consumers and businesses.
“I don’t think the credit of the United States is going to be collapsed. I think that all this talk about a default has been a lot of demagoguery, a lot of false demagoguery,” King said today on CNN. “We have plenty of money coming in to service the debt. When we stop servicing the debt, then we’d be in default. We’re a long, long ways from that.”
During the previous partisan fight in the summer of 2011 over the nation’s debt limit there was a 17 percent drop in the value of blue-chip stocks calculated in the Dow Jones Industrial Average, plus Standard and Poor’s lowered its credit rating for the United States.
“I remember the last time we came up to the debt ceiling deadline and there was all of this talk that the Tea Party was going to collapse the economy,” King said on CNN. “Even though the people that were opposed to increasing the debt ceiling essentially gave in and the debt ceiling was increased, they were still blamed for the effect on the markets.”
President Obama has said he will not negotiate on raising the debt limit and it should be a yes or no vote in congress, but Republicans have a growing list of items they want to tack onto a deal, including the go-ahead for the Keystone X-L Pipeline from Canada to Texas and as well as at least a year’s delay in implementing the Affordable Care Act.
“We need to get down to the clear part of this,” King said this morning. “The American people have rejected ObamaCare. The president is willing to put all of that on the line to save his namesake piece of legislation which I think would go down in history as the largest political tantrum ever.”
King made his comments this morning during an appearance on CNN’s “New Day” morning show. A group of CEOs from some of the nation’s largest financial institutions went to Washington D.C. yesterday and told reporters failure to raise the debt ceiling would “extremely adverse” damage to the economy.
CNN bias on full display.
“Are you willing to destroy the nation’s economy, representative King?”
Steve shouldn’t give these fools the time of day.
There’s plenty of spending that can be cut which should look just as good to a creditor.
Love the CNN shutdown clock.
I am willing for the economy to be destroyed. Once it is broke we can fix it for real. I am willing for this economy to collapse than to continue with where we are heading as a nation.
If the company is in financial trouble, the first step is to fire the CEO. Go ahead, Claire, hand Obama his walking papers.
I keep hearing that American can’t dine and run, instead they want to keep eating and hope the restaurant never closes.
The Democrat economy tanked starting in 2006. The free market is sitting on the sideline waiting for the kill. Replace and move on.
“political tantrum” -he nailed The Won exactly.
Simce CNN was taken off the Cableone system in 19 states, maybe not many people are seeing the stupid thing anyway.
And of course it had to be Steve King who said that. Pete King would never call Obama a fraud.
By not increasing the debt ceiling, the Republicans would be increasing the creditworthiness of the US Federal Government, with the bond market reacting by lowering the cost of borrowing for the turnover debt. Over time, lowering the interest expense of the FedGov.
That not a single GOP politician or pundit has mentioned this yet, shows just how totally and completely broken the US political system and mass media system are in the last few years.
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