Though the showdown unnerved investors and prompted threats of a second U.S. debt downgrade in a little over a decade, proposals to abolish the debt ceiling have gained little traction in Congress in recent years.
But Democrats did not try to abolish the debt ceiling when they controlled the White House and both chambers of Congress in 2021 and 2022.
'OUTLIVED ITS USEFULNESS'Some budget hawks who previously supported the debt ceiling now argue that the growing dysfunction in Washington has made the risk of default too great.
Absent those reforms, many budget experts say the debt ceiling is the only way to force some sort of fiscal restraint.
"I would never just drop the debt ceiling and do nothing else in its stead.
Persons:
we've, Mike Rounds, Janet Yellen, Steve Ellis, We're, Bill Foster, Barack Obama, Brian Riedl, Riedl, MacGuineas, Andy Sullivan, David Morgan, Scott Malone, Chizu
Organizations:
Republicans, Democratic, White, Republican, Taxpayers, Democrats, Congress, Biden, Manhattan Institute, Center, Budget, Thomson
Locations:
U.S, Washington, United States, Denmark