U.S. Treasury Secretary Paulson Asks Congress To Boost Debt Limit

[Purveyor]

Source: Associated Press

WASHINGTON (AP) - U.S. Treasury Secretary Henry Paulson on Monday said the United States may be unable to pay its bills this fall unless the U.S. Congress raises the government's borrowing authority, now capped at US$8.965 trillion.

Paulson, in a letter to legislators, estimated the government is likely to bump into the statutory debt limit in early October.

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Congress has already boosted the statutory debt limit several times during U.S. President George W. Bush's tenure. The last time Congress upped the government's borrowing authority was in March 2006 when it agreed to raise the debt ceiling by $781 billion.

Boosting the debt limit is more a matter of politics than economics.

Economists doubt Congress will refuse to raise the limit. A federal default is considered unimaginable because it would rattle bond markets, force interest rates higher and shake the economy.

---EOE---

http://www.940news.com/nouvelles.php?cat=22&id=730115

Read more: http://www.940news.com/nouvelles.php?cat=22&id=730115

[youngdem]

1. Because Repukes are the party of fiscal responsibility and the Economy is doing GREAT!

Right pukes? Right? Is that why we are now forced to raise the debt limit?

Boy, it sure is a damn good thing that Clinton fella isn't still in the White House. I was lulled into a 'false' sense of security and well being that comes from 8 years of unparalleled peace and economic expansion and reduction of the debt. Woah, was I asleep or what!?

Thanks for waking me from my dream and bringing this nightmare to my attention. Thanks a whole fucking lot Pukes.

[Cant trust em]

3. I was about to write the exact same post

[Selatius]

2. Here's a revolutionary idea: How about the government spends only as much as it takes in in taxes?

It makes so much sense!

[angryxyouth]

4. I am sooo tired of these tax and spend republicans

More debt to hand down to our children. My daughter will be buried servicing this debt while the children of these mother F#$%s will be living fat. I say don't raise the ceiling, lets suffer now instead of burring ourselves deeper.

[Massacure]

6. Republicans don't tax and spend. They spend and borrow.

[Amonester]

8. And they take in bribes (gasillion big bribes). (re.: Sibel Edmonds)

And scurry out to hide them in tax-free heavens (THAT MUST be illegal).

[smtpgirl]

5. Raise the debt limit, then the "real" debt seems like

some kind of skewed reality.

The GDP has not been over 2% since *ush took office.

Seems like the administration is in a credit card frenzy. Ran out of money, well print more.

[UpInArms]

7. Boosting the debt limit is more a matter of politics than economics.

but paying off the debt will be a matter of economics and not politics.

:eyes:

So I guess that means if you don't vote to raise the debt, it's "partisan politics"? :sarcasm:

[Fearless]

9. Just say no

the ramifications of a mass default if we keep going is far worse a problem than a voluntary one. Then again, we're not exactly known for our foresight. And they say that Americans have credit card problems; it starts from the top not the bottom.