Debt ceiling D-Day is June 1

We’ve been following the looming debt ceiling crisis since January. At that time, the U.S. federal debt ceiling, limited by law, was reached, and the government began to take so-called “extraordinary measures” to keep things running as is without going into default. However, the problem has not been solved, and it is rapidly coming to a head. U.S. Treasury Secretary Janet Yellen says that if Congress doesn’t pass a law extending the debt limit by June 1, the “extraordinary measures” will run out and we will begin to go into default. That could cause catastrophic economic results, including a deep recession, a stock market crash, a spike in interest rates, and the government’s inability to send out Social Security checks, or make interest payments on Treasury bonds.

Some people say the Republicans want to blow up the U.S. economy this way. The theory is that the Republicans, who number in the minority, can only take back the White House and full control of Congress via this big gamble of (1) crashing the economy and (2) blaming President Joe Biden and the Democrats for the crash. To that end, Republicans are holding the debt ceiling, which is the bill that must be paid for past spending, hostage to budget demands for massive cuts in future spending for veterans, the environment, renewable energy, student loan forgiveness and other crucial items, even though these are two completely separate legislative processes. Republicans may think they can get away with such hostage-taking in part because the mainstream media notoriously play the “both sides at fault” game, or even worse, may be more inclined falsely to blame President Biden for the current crisis and its possible consequences.

Is it Taps for the GOP?

As of now, the Republican Party can be fairly described as having failed miserably in the 2022 midterm elections. Considering that the party in power almost always loses many seats in Congress in the first midterms two years into a new president’s term, and given the headwinds of COVID, Russia‘s war against Ukraine, and the resulting high inflation in the U.S. and around the world, the Democrats wildly exceeded expectations of a sweeping Republican “Red Wave” this time. Specifically, the Democratic Party has retained control of the U.S. Senate with at least 50 votes (Vice President Kamala Harris can provide the 51st vote for the Democrats in case of a 50-50 tie), and it may even gain a Senate seat in the upcoming Georgia runoff election on December 6.

Additionally, Democrats have increased their number of state Governorships held, gained seats and majorities in state legislatures, defeated the Republican candidates for Secretary of State who deny the results of the 2020 presidential election (and who would have been in a position in charge of elections in their state to meddle in the 2024 elections), and, where abortion rights were on the ballot, voted to protect such rights. One only need to look at the current Republican Party meltdown, including piling on Donald Trump, to judge the political consequences of the midterms.

Nevertheless, the results of the midterm elections in the U.S. House of Representatives are still unknown. According to the Associated Press, Republicans have won 217 seats, Democrats have won 209, and the outcomes for the remaining 9 seats are still being tabulated. The magic number to gain majority control in the 435-member House is 218. Thus, a number of pundits and news media organizations are projecting that Republicans will win the narrowest of majorities, by approximately one to five seats. If that occurs, Republicans may wish it never happened. Here’s why: