GovTrack.us on Nostr: The paradox in law is intentional: The debt limit is a manufactured crisis exploited ...

The paradox in law is intentional: The debt limit is a manufactured crisis exploited by Republicans to periodically extract policy concessions under the threat of economic crisis.

If the debt limit were reached, the U.S. would default on its obligations set in law (i.e. military salaries and other feds, Social Security and related programs, grants to state police and schools, interest payments on federal debt to retirement plans and other debt holders). This could trigger a global recession.