On the recordJuly 28, 2011
I rise today to speak about the looming August 2 deadline. This is when the Department of the Treasury estimates the Federal Government will officially hit the $14.2 trillion debt ceiling. We all know we are at the point where we are because we have a fundamental difference in principle on how our government should be run. At the same time, most agree that our country cannot go into default, so we are in a very tough situation with a very short time period. That is why I am concerned about the delay on this issue. Delay means harm--harm to Americans and harm to our economic recovery, especially as we grapple with a 9.2-percent unemployment rate, which is the elephant in the room. We must address jobs if we are going to have an economy that is thriving and in a recovery period. A jobless recovery is not a recovery. The administration's reluctance to resolve this crisis has brought the very real potential of a downgrade in our country's triple A bond rating. As we get closer to next Tuesday, Standard & Poor's and Moody's and other rating agencies await the details of the final debt agreement. Then they will determine if our Nation's triple A credit rating will be downgraded. The implications of the rating could affect consumers at a very bad time. It could include a rise in interest rates on home loans, on small business loans, on student loans, and credit cards. Yesterday the stock market fell nearly 200 points, a 1.6-percent drop.…
