What would consumers do if they could arbitrarily print money or raise their credit limit every time they got out of debt? Well, you don’t have to wonder at this hypothetical—the U.S. government is showing you in real-time.
Vox Day addresses two of the main arguments for raising the ceiling:
- Not raising the debt ceiling will threaten creditor confidence in the value of U.S. treasuries and they may reduce the amount of U.S. debt they are willing to buy.
- The debt ceiling should be raised one last time to extract spending concessions from the Democrats.
He blows both of these arguments out of the water in a recent article. Well worth the read.