The Books of Bokonon

Bill McBride decided to publish a blog post he wrote, but shelved, in 2014. It may be an "old" post, but it is as timely as ever: As far as the "debt ceiling", the "debt ceiling" sounds virtuous, when, in reality, the vote is about whether or not to the pay the bills - and not paying the bills is reckless and irresponsible. The "debt ceiling" is redundant (once a budget or a continuing resolution is passed, then the impact on the debt is pretty much known). This is like someone not paying their credit card bill to teach themselves not to use so much credit! Irresponsible. I prefer the term "default ceiling" because that is what it is. He's right, you know. Refusing to pay debts is irresponsible, and there is a reason why lenders are reluctant to loan money to anyone who defaults on their debt obligations, whether they're individuals, businesses, or nations. A lot of folks in the US probably have long forgotten the last time ...

A little over a decade ago, the GOP-led House of Representatives played a game of chicken with the Obama Administration, nearly plunging us all into a global depression, and briefly leading to a downgrade in our nation's credit rating. Sometime between this summer and early next year, depending on how things go, we may see a repeat performance. V ox is reviving its explainer on what the Biden Administration can do to prevent disaster . It will look eerily similar to the options Obama had available. As the Vox article notes, Obama eventually gave in somewhat to what the Tea Party faction of the GOP Caucus insisted on in exchange for a debt ceiling increase. Perhaps Biden will draw the same conclusion. Then again, Biden has presided quite differently from Obama, so it's possible we'll see more of a real fight this time around.  So much comes down to how many in the GOP Caucus are willing to work with the Democratic minority (it would only take a handful, given the very narrow...