I still think he is privately bluffing, but imagine playing the “I will blow all of it up” card for… what does McConnell even want, the Dems not to pass their very weak $3.5T infrastructure bill?
Really sucks that Biden won’t propose a bigger spending bill as a fuck you to McConnell after he sets off the debt bomb.
I am calling it now. If they don’t raise the debt ceiling, the Federal Reserve will buy defaulted treasuries for full price and sell from their massive reserve of treasuries to compensate.
The Fed is basically a rogue agency with vast powers, I can see them doing whatever it takes. Hell, just print money and buy treasuries with it.
The old Platinum Penny idea has been floated a number of times.
“Just mint a coin with $1 Quintillion Dollars written on it and deposit it in the Treasury and then you have unlimited money forever, the end”.
Technically possible. But too ballsy for any sitting President to try just yet.
One question: If worst case scenario comes to pass, will this crash the housing and rental markets?
Don’t they do this literally every year? This is congress’ whole schtick, saying “oh nooo big bad scary debt ceiling coming up give me what I want mr. president or I won’t raise this arbitrary number on the imaginary wealth that we create despite knowing that we will inevitably have to raise it anyways because both the domestic and global economic economic systems depend on it.”
