The White House said on Friday it is vital for Congress to quickly resolve future tax and spending feuds, and raise the U.S. borrowing authority to avoid economic uncertainty.
“It is quite clear that the economy will be better if Congress does its job and does what it routinely has done historically which is raise the debt limit without problem,” Alan Krueger, chairman of the White House Council of Economic Advisers, said in an interview on Bloomberg television.
Speaking just days after President Barack Obama and lawmakers settled a hard-fought “fiscal cliff” deal to avert tax hikes and spending cuts, he warned a battle on borrowing costs and the budget might lead the U.S. to risk a credit downgrade.
“I think we really are playing with dynamite with the debt ceiling,” Krueger said in a separate interview on MSNBC. “Just go back to August 2011, we saw confidence plunge when Congress played Russian roulette with the debt ceiling. We saw job growth grind to almost a halt. So the economy will certainly do better if Congress does what it normally does, which is raise the debt ceiling without drama.”
(Reuters)
Join the official YWN WhatsApp status
2 Responses
just as it is well known that if you have maxed your credit card limit and are having trouble making payments, the “smart” thing to do is to ask for an increase in credit card limit so you can keep spending in the style to which you are accustomed and don’t have to start paying down your debts
if congress caves in to the WH it is over for us. That will give the Obamanation of Amerika free reign to do whatever he wishes to us!!!!!