[Republicans] Biden Democrat Spending Spree | U.S. Debt Limit DEFAULT + Stock Market Crash

The U.S. economy is poised for a strong recovery from the coronavirus pandemic, but faces risks from a widespread labor shortage and rising infections among the unvaccinated. The decline in optimism likely reflects the economic uncertainty triggered by a number of external factors such as the spread of the highly contagious delta variant, return-to-work delays, inflation and supply chain disruption, among other issues despite the boosted unemployment benefits officially ending September 6th. Meanwhile the White House is warning state and local governments about severe cuts to disaster relief, Medicaid, infrastructure grants, school money and other programs if Congress fails to raise the U.S. debt limit. The treasury department as engaged in extraordinary measure to keep the government running after the suspended debt limit was reinstate in August at a level of $22 trillion, about $6 trillion less than the current total debt load which will be exhausted by October, creating the potential for default. For clarification, the debt limit is the amount of money congress allows the treasury to borrw. It was suspended three times during the Trump administration. Mitch McConnel said he will not sanction further increases and that the Democrats have the ability to go it alone. With a Democratic President, a Democratic House, and a Democratic Senate, Democrats have every tool they need to raise the debt limit. It is their sole responsibility and Republicans expressed they will not facilitate another reckless, partisan taxing and spending spree. President Biden countered that Republicans are to blame for the rising deficit and that his plans for child care, schooling, health care, infrastructure and adapting to climate change will be fully paid for in the long term. The risk of a recession and turmoil in the financial market would make it harder for states and cities to borrow, while also playing havoc with public pension investments.