The pseudonym "Philo Vaihinger" has been abandoned. All posts have been and are written by me, Joseph Auclair.

Thursday, September 7, 2017

Trump and Schumer agree the debt ceiling should be abolished

This is much bigger than anything previously heard about that already famous meeting yesterday at the White House.

Trump says open to repeal of debt ceiling: ‘It complicates things’

US President Donald Trump said on Thursday that he discussed a permanent repeal of the debt ceiling at a meeting with congressional leaders this week and is open to the concept.

“For many years, people have been talking about getting rid of debt ceiling altogether, and there are a lot of good reasons to do that,” Trump told reporters at a meeting with the Kuwaiti emir in the White House Cabinet Room.

“So certainly, that’s something that will be discussed. We even discussed it at the meeting we had yesterday. It complicates things; it’s really not necessary,” Trump said.

This is the same guy who has repeatedly urged total abolition of the senate filibuster, an undemocratic and arguably unconstitutional rule with whose abolition I wholly agree, though a time of GOP majority control of the senate is not when I would have preferred the reform to be adopted.

WAPO is reporting Trump and Schumer have agreed on a plan to repeal the debt ceiling altogether.

But I can't read their story because of their pay wall.

Trump has a 'gentleman's agreement' with Chuck Schumer to get rid of the debt ceiling permanently

A day after Trump agreed with Democrat to suspend the debt ceiling for three months, a shorter time period than Republican leaders wanted, reports said Trump also told Democratic leaders Chuck Schumer and Nancy Pelosi that he was willing to work with them on legislation to eliminate the ceiling permanently.

. . . .

Schumer initially brought up the idea in the meeting on Wednesday, Politico reported. 

Trump replied, "Let's do it."

The idea drew immediate pushback from Republican leaders, who view the debt ceiling as an important tool to extract spending cuts and fight for fiscal reforms.

"There’s a legitimate rule for the power of the purse in Article 1 powers, and that's something we defend here in Congress," House Speaker Paul Ryan said Thursday.

The debt ceiling has been a source of frequent stress for investors and economists, since a breach of the debt ceiling could lead the federal government to default on some of its debt. 

A default would likely lead to a global economic crisis and a meltdown in markets.

Time confirms the story.

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