If McCarthy’s Concessions Enable the Next Debt Crisis—Bring It On! By David Stockman

We’ll see if the Republican holdouts can actually force even a dime’s worth of cuts in the federal budget. From David Stockman at lewrockwell.com:

Yes, 15 votes and the slings and arrows of MSM opprobrium were well worth it. That’s because the GOP’s anti-McCarthy insurrection obtained concessions which just might slow America’s headlong rush to fiscal armageddon. And just in the nick of time!

We are referring, of course, to the Speaker elect’s promise that there will be no more debt ceiling increases without off-setting spending cuts; and that in the event of a double-cross a single Member of the House may table a motion to vacate the Speaker’s chair.

Talk about a sword-of-Damocles!

Never has one been hung over a more deserving target with such meritorious exactitude.

Indeed, the proof that Congress has finally done something meaningful about the nation’s appalling fiscal process was tipped by the New York Times, which headlined the matter on Sunday as “McCarthy’s Deal For Gavel Raises Fears on Debt Limit”:

Economists, Wall Street and political observers are warning that the concessions he made to fiscal conservatives could make it very difficult for Mr. McCarthy to muster the votes to raise the debt limit.….That could prevent Congress for doing the basic tasks of keeping the government open, paying the country’s bills and avoiding default on trillions of dollars of debt.

Oh, for Pete’s sake!

As we amplify below, there is zero risk of a default in the absence of a debt ceiling increase, and, more importantly, Congress has NOT been doing the basic tasks of fiscal governance for decades.

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