Obama’s Debt Ceiling Power Grab
President Obama’s Treasury Secretary Tim Geithner rolled out a plan to essentially eliminate our nation’s debt ceiling. The Obama administration’s desire to marginalize Congress and give itself a blank check is not only bad politics, but it’s also bad policy.
Heritage has more:
This new power is part of the “deal” the President offered to House Republicans on the fiscal cliff. His “deal” is massive tax hikes, more government spending, and the ability for him to send that government spending skyrocketing through the stratosphere without any vote of Congress. One White House official describes this proposal as “resolv[ing] the debt limitwithout drama.”
This issue has come up before. As Heritage’s J.D. Foster wrote in 2011:
Congress could dispense with the periodic ritual of raising the debt limit. It could simply give Treasury the authority to borrow such funds as are needed to carry out the deficit consequences of current fiscal policy. This would be the easier course politically, but Congress has wisely chosen not to take it. The nation is far better served when Congress is forced to acknowledge the net effects of its policies as reflected in the necessity of raising the debt limit to maintain that course.
As unpleasant as it may be, congressional debate over increasing the debt limit is an opportunity for Congress to consider vital course corrections on federal spending, including entitlement spending, which is growing unchecked.
Just a few short years ago, Obama said, “This rising debt is a hidden domestic enemy”and that “interest payments are a significant tax on all Americans—a debt tax thatWashington doesn’t want to talk about.”