Tag Archives: government spending

Trump, Schumer conspire on plan to repeal debt ceiling altogether

Source: Washington Post

"President Trump and Senate Minority Leader Charles E. Schumer (D-N.Y.) have agreed to pursue a deal that would permanently remove the requirement that Congress repeatedly raise the debt ceiling, three people familiar with the decision said. Trump and Schumer discussed the idea Wednesday during an Oval Office meeting. The two, along with House Minority Leader Nancy Pelosi (D–Calif.), agreed to work together over the next several months to try to finalize a plan, which would need to be approved by Congress. … Treasury Secretary Steven Mnuchin has suggested scrapping the existing debt-limit process and replacing it with one that automatically lifts the borrowing limit every time Congress appropriates future spending." (09/07/17)


Trump on debt: Even more establishment than the establishment

Source: Garrison Center
by Thomas L Knapp

"The Washington Post reports that US president Donald Trump and Senate Minority leader Chuck Schumer (D-NY) 'have agreed to pursue a deal that would permanently remove the requirement that Congress repeatedly raise the debt ceiling.' That must be a bitter pill to swallow for those who thought they were electing an 'anti-establishment' president to 'drain the swamp' in Washington, but it should be no surprise. After all, Trump built his business career on going into debt up to his neck, taking a profit when things worked out, and leaving his partners holding the bankruptcy bag when they didn’t." (09/07/17)


Debt limit showdowns can be a good thing

Source: Fox News
by Brian Riedl

"President Trump has reportedly cut a deal with Congressional Democrats to kick the can down the road on the national debt. The deal — which has infuriated Congressional Republicans — will extend the debt limit for three months (which will become six months after Treasury raids other government funds to allow even more debt). In doing so, they have rubber-stamped budget deficits that are surging back towards $1 trillion, and a national debt that is on a calamitous path to leap from $20 trillion to $92 trillion over the next 30 years. This deal surrenders what Washington truly needs: a debt limit showdown." (09/07/17)


Trump strikes a deal with Democrats to fund the government — right in front of Ryan and McConnell

Source: Rare

"President Donald Trump went around his own party Wednesday, siding with Democrats on a deal to fund the government and raise federal borrowing limits for three months — all to help speed cash to hurricane survivors. 'We had a very good meeting with Nancy Pelosi and Chuck Schumer,' Trump said after a brief White House pow-wow with congressional leaders, the Associated Press reports. 'We agreed to a three-month extension on debt ceiling, which they consider to be sacred, very important.' Trump didn’t mention House Speaker Paul Ryan or Senate Majority Leader Mitch McConnell, who were also present at the meeting but opposed the Dem-backed deal. As part of the agreement, legislators will speed a $7.9 billion hurricane relief package to the president’s desk by the end of the week, before FEMA’s annual funding dries up at the federal fiscal year’s close at the end of September." (09/06/17)


Mnuchin tries to blame coming rampage of fiscal irresponsibility on Hurricane Harvey

Source: Reuters

"U.S. Treasury Secretary Steven Mnuchin said on Thursday that Hurricane Harvey could bring forward the deadline by which the nation’s debt ceiling needs to be raised and that he is open to the borrowing cap being dealt with as part of a wider bill. 'We obviously have now the hurricane spending, which is an issue. So that’s going to have some impact on our September spending,' Mnuchin said in a interview with broadcaster CNBC, adding that it could affect the debt ceiling deadline by a couple of days. He also said projections may move around once the Treasury receives corporate tax receipts on Sept. 15." (08/31/17)


Why the US debt ceiling crisis is an opportunity in disguise

Source: PanAm Post
by John Tamny

"When politicians spend they are expropriating precious resources (physical and human) that, if left alone, would be matched with entrepreneurs and businesses on the way to major growth within existing businesses, along with the creation of countless new ones. In short, when politicians promise to spend they’re actually promising to make it more difficult for private-sector companies to expand, and in the process create work opportunities. … readers would be wise to contemplate just how much better off we’d all be if Washington hadn’t been such a sizable allocator of our precious wealth over the decades. The advances we never experienced thanks to experiments never pursued should boggle our minds, and also anger us. So much progress, so many cures, so many amazing work opportunities never realized, all thanks to Washington’s endless desire to spend the wealth that is always and everywhere created in the private sector. Which brings us to the latest discussion of the so-called federal 'debt-ceiling.'" (08/28/17)


What to expect when Congress returns

Source: Campaign For Liberty
by Norm Singleton

"Yesterday the House leadership announced that when the House comes back from August recess it will consider a 'consolidated' appropriations bill. The bill will contain the 8 appropriation bills that have yet to pass the House. The idea is to get this bill to the Senate in time to avoid another end of year, big spending budget deal rammed through Congress. I'm skeptical that this will work." (08/08/17)


The junk bond state

Source: Common Sense
by Paul Jacob

"What a pleasure — comparing notes with Nick Tomboulides, executive director of U.S. Term Limits, my old job. Speaking on a panel last week at the Young Americans for Liberty National Convention, Illinois came up. Nick agreed that if the Land of Lincoln had a term-limited legislature, we would never have heard the end of it: 'Term limits are a failure!' Illinois, you see, is a failed state, confessing the lowest credit rating in history." (08/02/17)


Now it's time for tax cuts — and Republicans are more divided than ever

Source: The Intercept
by David Dayen

"When presidents fail, it creates a snowball effect. George W. Bush couldn’t privatize Social Security and his legislative agenda never recovered. Bill Clinton’s abandonment of health care reform led it to tackle small-ball measures. Both were punished by voters for their failures in the next midterm, losing control of Congress and the ability to get anything else done. Voters don’t like losers. That’s bad news for House Republicans. Fresh off the (probable) failure to repeal the Affordable Care Act, they are pivoting to tax cuts. But along the way, for procedural reasons, they need to pass a budget." (07/21/17)


Will Trump be less of a spendthrift than his Republican predecessors?

Source: Ludwig von Mises Institute
by Ryan McMaken

"In the past here at mises.org, we've looked at several different ways of comparing government spending across presidential administrations. No matter how we look at it, we're forced to conclude that Republican presidents cannot be counted on to spend less than Democratic presidents. In this analysis, for example, we found that over the past fifty years, George W. Bush and Ronald Reagan were among the worst offenders, with Obama coming in behind third-placed Gerald Ford." (07/14/17)