Biden warns of economic repercussions if Republicans vote against raising debt ceiling

Fox News reported late last month that over 100 Republican House members had signed on to a letter in which they promised to vote against raising the debt ceiling.

That has President Joe Biden issuing dire economic predictions, even warning that such a move by members of the GOP in the lower chamber could push the country into a recession. 

“Without a single Republican vote”

“Democrats have embarked on a massive and unprecedented deficit spending spree. Without a single Republican vote, they passed a $1.9 trillion ‘Covid relief’ bill in March,” the Republicans’ August letter declared, according to Fox.

“Now they have passed a $3.5 trillion Budget Resolution, again without a single Republican vote,” the lawmakers went on to complain.

Republicans said that “[i]n order for this spending to occur, our nation’s debt limit will have to be increased significantly.”

“Because Democrats are responsible for the spending, they need to take responsibility for increasing the debt ceiling,” they charged.

“In a bipartisan fashion”

But as The Daily Wire noted on Sunday, the president has responded with a letter of his own in which he cautioned state governments that a failure to raise the limit would lead to disastrous results.

“Raising or suspending the debt limit does not authorize new spending commitments,” the president explained, according to The Daily Wire. “It simply enables the government to pay for obligations that Congresses and presidents of both parties have already approved.

Biden went on: “We expect Congress to act promptly to raise or suspend the debt limit and protect the full faith and credit of the United States — just as it did in a bipartisan fashion three times during the prior Administration and about 80 times since 1960.”

“If the U.S. defaults”

Biden also claimed in his letter that refusal to raise the debt ceiling by the GOP “could cause a recession” in which “growth would falter, unemployment would rise, and the labor market could lose millions of jobs.”

According to The Daily Wire, he alleged that “if the U.S. defaults on its debt — cities and states could experience a double-whammy: falling revenues and no federal aid as long as Congress refuses to raise or suspend the debt limit.” This, the president said, would mean “critical state services will be at risk for budget cuts, from education to healthcare to pensions.”

Fox Business reported Monday that the House Rules Committee is meeting to draft a continuing resolution that is aimed at extending government funding through early December.

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