Speaker Boehner admitted this weekend that the road that brought us the Republican Government Shutdown will lead our nation to default and still he is threatening to hold the full faith and credit of the United States hostage to the GOP’s radical agenda.
Refusing to raise the debt ceiling poses a cataclysmic danger to the stability of our markets and the economic security of our middle class.
Failure by the world’s largest borrower to pay its debt – unprecedented in modern history – will devastate stock markets from Brazil to Zurich, halt a $5 trillion lending mechanism for investors who rely on Treasuries, blow up borrowing costs for billions of people and companies, ravage the dollar and throw the U.S. and world economies into a recession that probably would become a depression. Among the dozens of money managers, economists, bankers, traders and former government officials interviewed for this story, few view a U.S. default as anything but a financial apocalypse.
U.S. stocks declined on Monday, with the Dow industrials and S&P 500 extending a two-week losing streak amid a stalemate on Capitol Hill over preventing a government default.
187 House Democrats have signed a letter stating their support for a clean debt ceiling increase that ensures the full faith and credit of the United States of America and avoids a Republican default. It’s time for Speaker Boehner to reclaim his gavel from the Tea Party and do the right thing for our nation.