President Joe Biden took to social media on Wednesday to slam House Speaker Kevin McCarthy's debt ceiling proposal, blasting "huge cuts" and "threats" to default on U.S. debt.
When Speaker McCarthy went to Wall Street, he did not tell the wealthy it was time to start paying their fair share of taxes. Instead, he proposed huge cuts to programs that millions of Americans count on and threatened to become the first speaker to default on our national debt.
— Joe Biden (@JoeBiden) April 19, 2023
The 320-page proposal by McCarthy aims to raise the debt ceiling by up to $1.5 trillion as needed through March 2024, but trades that increase for rollbacks of Biden programs, which were passed through a Democrat-run Congress last year even though the country cannot afford them.
Student loan forgiveness, which is already being challenged in court, would be canceled. along with the repeal of a dozen different clean energy subsidies authorized in the ill-named Inflation Reduction Act.
Work requirements for those receiving federal aid would also be instituted and unspent COVID relief funds would be reclaimed, according to CBS News.
McCarthy's Limit, Save, Grow Act would save a total of $4.5 trillion in spending reductions now and in the future, a significant reduction that will help to prevent future inflation and other economic woes.
Republicans have vowed that they will not raise the debt ceiling without cuts and rollbacks in order to get closer to balancing the budget. The federal government spent $1.4 trillion more than it brought in in 2022 and much more than that during COVID-19.
That kind of deficit spending is unsustainable, but Democrats think the answer is "raising taxes on the rich" despite basic math showing that higher taxes for the wealthiest Americans cannot resolve the deficit.
The U.S. has already reached its debt limit, but won't reach the point of default on its debut until summer.
Biden's social media comments echo comments he made about Republicans during a speech at the Union of Operating Engineers Local 77 Training Center earlier in the week.
Biden said of McCarthy's proposal, "You and the American people should know about the competing economic visions of the country that are really at stake right now. Just two days ago, the speaker of the House, Kevin McCarthy, went to Wall Street to drive home the MAGA economic vision for America."
Before the proposal was released, Biden and McCarthy both expressed optimism about being able to agree on terms to raise the debt ceiling.
Now, partisan talking points are kicking in, and the rhetoric is heightening.
Still, both sides are facing a deadline that will bring tremendous pressure to agree on a plan so that the country remains solvent and default does not cripple the economy.