As congressional debt-ceiling plans founder, eyes turn to executive option

Christian Science Monitor ^ | July 29, 2011 | By Gail Russell Chaddock

[Oldeconomybuyer]

There is growing pressure on President Obama to simply declare an increase in the debt ceiling by executive order and tell everyone else: Deal with it.

“If nothing passes out of here and the president is sitting at his desk on Aug. 2 with no legislation, what should he do to make sure that the country doesn’t go into default?” asks Rep. James Clyburn (D) of South Carolina, the third ranking House Democrat.

“Every president has used executive power to do big things,” he adds, citing President Truman’s integrating the Armed Forces and President Eisenhower’s integrating public schools. Invoking the 14th Amendment would be a “defining moment” for the president, he added.

House minority whip Steny Hoyer (D) of Maryland said on Thursday that the president should use 14th Amendment to avoid default, if Congress fails to act. Citing President Clinton, he said: “Better to take the action and find out later that perhaps he went beyond his authority but at least protected the credibility of the United States of America.”

But critics say that such a resort to executive powers also tends to confirm fears in world financial markets that Congress in not able to set the nation on a sustainable fiscal course.

[Oldeconomybuyer]

[elpadre]

the ages old democrat strategy of divide and conquer wins again. Hail Caesar - Hail Obama!!!!

[free me]

“If nothing passes out of here and the president is sitting at his desk on Aug. 2 with no legislation, what should he do to make sure that the country doesn’t go into default?” asks Rep. James Clyburn (D) of South Carolina, the third ranking House Democrat.
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The answer to this question is: Gather up his party’s leaders and demand that they immediately pass the best bill they can get through the house.

Somehow this option is always left out of these news stories.

[silverleaf]

“There is growing pressure on President Palin to simply declare an increase in the debt ceiling by executive order and tell everyone else: Deal with it. “

sound equally good to good ol’ Loogie Clyburn?

[Owen]

This is pointless.

The FY2011 CR expires 1 October. Any maneuver by him would buy only 6 weeks, and enrage Congress to the point where they would require a written rescinding of the order as well as other punishment of the executive and likely elimination of whatever he spent from the eventual FY2012 CR that will have to pass by 1 Oct.

There is no way out of this via unilateral action.

[RightGeek]

I’m dialing my credit card company right now telling them I am raising my credit limit on my own.

[bagman]

I have read somewhere today (probably on NRO) that the debt limit is set by statute and that an Executive Order cannot override statuatory law.

The EO option doesn’t exist.

The other objection is that the 14th Amendment deals with “public debt, authorized by law”. If the debt limit is raised by EO, then it is not authorized by law. Would you buy debt instruments which are not authorized by law and therefore may not be re-paid?

[UCANSEE2]

Would you buy debt instruments which are not authorized by law and therefore may not be re-paid?

You mean like the home mortgages ?

[Boogieman]

“If nothing passes out of here and the president is sitting at his desk on Aug. 2 with no legislation, what should he do to make sure that the country doesn’t go into default?” asks Rep. James Clyburn (D)

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Maybe he should do what he does best: hold a fundraiser.

[JoeFromSidney]

Equating "hitting the debt limit" with "default" is simply false. So long as we pay the interest on the debt, we're not in default. After that's paid, then we need to set priorities. How about the following:

• Kill Public Broadcasting;
• Kill the National Endowment for the Arts;
• Kill the National Endowment for the Humanities;
• Kill Pell Grants;
• Kill ethanol subsidies;
• Restrict unemployment payments to 13 weeks only;
• Stop all payments to never-married women with children (why should we tax intact families to subisize bastardy?)

Those ought to do for a start. There are lots of other things the Feds spend money on that could be eliminated, too.

[Mr. Lucky]

...and what sort of credit rating does the Christian Science Monitor think would be assigned to new debt issued by the executive branch without authority from Congress?

[bagman]

Exactly my point....