The Flinchum File

Thoughtful Economic Analysis and Existential Opinions
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A One-Handed Clap

With kudos to the President and the Speaker, we now have a tentative deal to raise the debt ceiling. Of course, there is always something for each person to disagree with, and here is mine.

The deal on the table merely postpones the expiration of the new debt ceiling for almost two years. We’ll have another opportunity to lose our AAA credit rating in January of 2025, allowing more grandstanding Congressional extremists to put us at-risk . . . AGAIN This debate needs to be killed – permanently! It has been a curse of stupidity carried by Congress since 1918. Sooner or later, the extremists will carry us over the edge. Why take that chance for something that doesn’t work? Has our debt level decreased? Has it reduced our annual deficit or just re-arranged the deck chairs of accounting?

The risk is that we could lose our credit rating for no reason. The benefit is that Congressional extremists get to grandstand even more. Is that benefit worth the risk?

Never have term limits looked so attractive . . .