We have until Nov 3 to avoid defaulting on our debt.   Trump wants Republicans to “extract a pound of flesh” in return to approving a debt ceiling increase.  Exactly what the pound of flesh would be,  Trump wouldn’t say, but it’s obvious that there has to be something there for Trump to say that the Republicans won on the debt issue.

Jack Lew talks about self inflicted wounds on the American economy.   Trump gets a bit more graphic,  but no substance.

Republicans +1,  US  -100.

There is no issue. Or perhaps I should say that there is no issue of substance.     We spent the money, now we have to pay up.

If you attach conditions to a debt ceiling bill,  you are destroying the democratic process by letting a small minority extort demands in return for doing what we have to do to avoid sovereign default.

Trump likes that as it draws attention to him.  Saying how stupid the Obama government because they keep increasing the debt gets higher ratings.   Blaming Obama for the national debt is really dumb, as it has been grew under both Republican and Democrat Presidents.

Sovereign default  is, unfortunately,  highly destructive to our economy and businesses.  And unnecessary.

We have never defaulted on our debt payment,  counter to the nonsense coming out of  Fox news,

The Tea Party could care less about the ramifications of not paying our debt.   It  just wants more Fox news  air time on the  trillion dollar debt.

Stay tuned,

Dave Lord