Post by Oscar Knight on Oct 15, 2013 17:45:49 GMT -6
New House Republican plan dead before arrival as default looms
Because the cash-strapped U.S. government needs to borrow cash to pay for existing programs, failure to raise the debt limit means that not long after Oct. 17 the government will not be able to pay all of its bills.
That raises the prospect of a default on America’s public debt as well as on other obligations like Social Security payments, which would send a shock wave through the fragile global economy. Independent economists have warned that the international financial system’s reliance on the American economy (and U.S. Treasury bills) mean that the global economy could face a fresh contraction, possibly a severe recession.
The key parts of the plan would have kept the government open through mid-December and grant the Treasury Department authorization to borrow through February. But the proposal also includes a stipulation that members of Congress, their staff and administration officials--including President Barack Obama--be forced obtain health insurance coverage through the exchanges established under Obamacare. Unlike most Americans, they would also not be eligible to receive federal subsidies to offset the cost of those plans or seek financial help from their employer
news.yahoo.com/debt-ceiling-deal-in-congress-161907863.html;_ylt=ApU4dMyIQhwqeyGGA66lAzgJVux_;_ylu=X3oDMTI5bmhoMzF0BG1pdANBVFQgMyBTdG9yeSBKdW1ib3Ryb24gSG9tZSBDYWNoZWQEcG9zAzgEc2VjA01lZGlhQXR0V2lkZ2V0cm9uQXNzZW1ibHk-;_ylg=X3oDMTFkcW51ZGliBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3BtaA--;_ylv=3
That raises the prospect of a default on America’s public debt as well as on other obligations like Social Security payments, which would send a shock wave through the fragile global economy. Independent economists have warned that the international financial system’s reliance on the American economy (and U.S. Treasury bills) mean that the global economy could face a fresh contraction, possibly a severe recession.
The key parts of the plan would have kept the government open through mid-December and grant the Treasury Department authorization to borrow through February. But the proposal also includes a stipulation that members of Congress, their staff and administration officials--including President Barack Obama--be forced obtain health insurance coverage through the exchanges established under Obamacare. Unlike most Americans, they would also not be eligible to receive federal subsidies to offset the cost of those plans or seek financial help from their employer
news.yahoo.com/debt-ceiling-deal-in-congress-161907863.html;_ylt=ApU4dMyIQhwqeyGGA66lAzgJVux_;_ylu=X3oDMTI5bmhoMzF0BG1pdANBVFQgMyBTdG9yeSBKdW1ib3Ryb24gSG9tZSBDYWNoZWQEcG9zAzgEc2VjA01lZGlhQXR0V2lkZ2V0cm9uQXNzZW1ibHk-;_ylg=X3oDMTFkcW51ZGliBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3BtaA--;_ylv=3
