On Wednesday, the House Speaker, Kevin McCarthy, planned to raise the debt ceiling by $1.5 trillion for a year, attempting to cut major parts of President Joe Biden’s agenda.
What is the Complete Story?
A debt ceiling bill called the Limit, Save, Grow Act of 2023, introduced by Kevin McCarthy, would save American taxpayers more than $4.5 trillion.
It would do by limiting discretionary spending, eliminating Biden’s student loan forgiveness plan, and retrieving unspent pandemic-related funds.
What is a Debt Ceiling Bill and How Can It Impact Biden’s Agenda?
Let’s dive deep into this bill. It is a limit on the amount of money that the US government can borrow to fund its operations. However, the government can’t borrow more money if the debt ceiling bill is not raised.
It could also severely affect the US economy and global financial markets. Many times in the past, raising the debt ceiling bill has become a political issue. Most of the Congress members used it as leverage to push their own policy goals.
Now, it is possible that McCarthy planning to raise the debt ceiling bill could limit spending on Biden’s agenda. However, cutting the major components of Biden’s agenda through this bill would likely face opposition from Democrats in Congress.
It would become a critical issue for the functioning of the government and the stability of the economy.
What Kevin McCarthy Has to Say on this Debt Ceiling Bill
During a sitting between President Biden, McCarthy, and Senate Majority Leader Chuck Schumer, McCarthy asked to negotiate over the debt limit and address the issue. But he didn’t mention whether the bill has enough support to pass.
Unfortunately, Biden refused to negotiate. He made a statement that we’ve introduced a plan to increase the debt limit, and now they can’t give any excuses to refuse to negotiate.
However, McCarthy hasn’t announced any date when he is going to bring the bill to a vote in the White House. During an interview with NBC News on Wednesday, he said it is still unclear whether he had the support to pass the bill.
The Democratic-controlled Senate would stop the bill even if the House GOP passes it.
Karine Jean-Pierre, White House press secretary, said the House had maintained it would never negotiate on the debt ceiling. And Congress should agree on increasing and addressing any budgetary concerns separately.
However, she was aware of McCarthy’s plan to raise the debt ceiling bill but condemned it as playing politics around Congress’s duty.
During a speech in Maryland, President Biden said MAGA Republicans in Congress are threatening to default on the national debt that took 230 years to accumulate.