Republicans and Democrats acknowledge that if the U.S. debt ceiling limit is not raised, it will have severe consequences for our nation’s economy. However, the two political parties disagree about what needs to be done before raising it.
Many Republicans say American spending has been too risky and that Congress needs to find ways to cut the country’s spending habits before raising the debt limit. Democrats counter that the debt ceiling needs to be raised soon before things get worse.
Former chief economist of the Congressional Budget Office Wendy Edelberg joined Detroit Today to discuss the current standoff between Democrats and Republicans over the U.S. debt ceiling.
Listen: Should the U.S. raise its debt ceiling?
Wendy Edelberg is the director of The Hamilton Project and a senior fellow in Economic Studies at the Brookings Institution. She previously served as the Chief Economist at the Congressional Budget Office. She says
“I want you to imagine your employer saying, ‘Not only am I not paying you when I said I would, I’m not sure that I will pay you.’ Wouldn’t you have a different feeling about your employer if that happened,” asks Edelberg.