The debt ceiling is a terrifying, confusing, amorphous monster. But there’s a slide show that can at least give you everything you need to know about it.
We’re not even totally in the clear on a shutdown over funding the government, but Congress is already onto the next fiscal crisis. Treasury Secretary Jacob Lew sent a letter to Congress on Wednesday saying that if Congress doesn’t act to raise the debt ceiling, the government will be left with just $30 billion in cash. “If we have insufficient cash on hand,” Lew wrote, “it would be impossible for the United States of America to meet all of its obligations for the first time in our history.”
This is something to be legitimately frightened about. House Republicans, while they look as if they are getting ready to retreat on the budget fight, are gearing up to go very, very hard on the debt limit. It’s impossible for congressional leadership to say how this will end, much less your humble media prognosticator.
But how exactly did we get here? And what exactly could we be looking at? The Bipartisan Policy Center has put together a slide show with literally anything you could possibly want to know about the mechanics of the debt limit, how the government has been able to hold off on “extraordinary measures” for this long, and why October could be a fiscal apocalypse.
The center, even after Lew’s letter, is predicting that the U.S. government will no longer be able to meet its financial obligations between October 18 and November 5. Here’s why.
What We're Following See More »
"Even as he acknowledged the importance of an open internet, FCC Chairman Ajit Pai on Wednesday set his telecom agency on a course to scrap the tough, broad net neutrality protections imposed by the Obama administration. During a major speech in Washington, D.C., Pai outlined the need for a total revision of existing federal rules that seek to prevent companies like AT&T, Charter, Comcast and Verizon from blocking or slowing down web content, including the movie or music offerings from their competitors." Separately, Pai told Reason's Nick Gillespie that the Clinton Administration "basically got it right when it came to digital infrastructure. We were not living in a digital dystopia in the years leading up to 2015."
The White House on Wednesday laid out its plan for tax reform, with Treasury Secretary Steven Mnuchin saying it would be "the biggest tax cut and the largest tax reform in the history of our country." The tax code would be broken down into just three tax brackets, with the highest personal income tax rate cut from 39.6 percent to 35 percent. The plan would also slash the tax rate on corporations and small businesses from 35 percent to 15 percent. "The White House plan is a set of principles with few details, but it’s designed to be the starting point of a major push to urge Congress to pass a comprehensive tax reform package this year," said National Economic Council Director Gary Cohn.
U.S. Immigration and Customs Enforcement today established the Victims of Immigration Crime Engagement (VOICE), as called for in a presidential executive order from January. The new office's website states that its staff "will be guided by a singular, straightforward mission—to ensure victims and their families have access to releasable information about a perpetrator and to offer assistance explaining the immigration removal process."