As U.S. Nears Dangerous Possibility of Default, Rep. Peters Urges Immediate Start of Reconciliation Process
October 6, 2021
SAN DIEGO – Today, Rep. Scott Peters (CA-52) released the following statement ahead of a vote in the U.S. Senate to suspend the debt ceiling and ensure America pays its bills on time:
“Minority Leader Mitch McConnell and Senate Republicans, who racked up over $7 trillion in debt under President Trump, have turned what was once a nonpartisan issue into a bitter and deeply dangerous political fight. Their shameless obstruction to help raise the debt ceiling puts the fate of our economy in serious jeopardy,” said Rep. Peters. “I call on President Biden and Congress to start reconciliation immediately, even as we explore other avenues. This may be our only way to avoid default.”
The United States has never defaulted on its obligations to pay its accrued debt. Economists and financial experts agree that failing to increase the debt limit would have catastrophic consequences. Not paying the government’s bills would diminish the full faith and credit of the United States, throw global markets into turmoil and threaten the economic security of millions of Americans.
According to U.S. Secretary of the Treasury Janet Yellen, the United States is on track to default on the country’s debt on October 18, 2021, giving Congress two weeks to pass a bill that raises the debt ceiling. Congressional Democrats have attempted to suspend the debt ceiling twice and Republicans have blocked both measures.