Consider this doomsday scenario: Catastrophic impacts felt by every American.
A broad range of government payments stopped, limited, or delayed, including military salaries, Social Security, and Medicare payments, interest on debt, unemployment benefits, and tax refunds.
Sharply higher interest rates and borrowing costs, declining home values, and reduced retirement savings for Americans.
In sum, a financial crisis more severe than the crisis from which we are only now starting to recover.
My words? Not a single one!
They are all taken directly from a widely distributed Treasury Department letter dated exactly one week ago.
The letter is addressed to Speaker of the House John Boehner.
The signer is Treasury Secretary Tim Geithner.
And his single purpose is absolutely clear:
To implore Congress to act urgently — to raise the nation’s debt limit and let the federal government continue borrowing to its heart’s content. As long as Congress can agree to that one piece of legislation, goes the appeal, the United States can avoid the doomsday scenario with no further ado. (read more)
