Yesterday, our GOP-led U.S. House of Representatives approved the Full Faith And Credit Act (HR 807) — also derisively called the “Bankruptcy Bill” and the “Pay China First” Act. And, as with many Republican initiatives, it sounds all fair, responsible, and grown-up, while actually being quite the opposite. Because, it’s time — once again! — for the GOP to hold America’s government hostage in yet another destructive and pointless “debt ceiling debate.” Or, as Paul Krugman, the economist, more accurately calls it, economic “hostage taking.”
Bloomberg‘s Roxena Tiron reports that the “Bankruptcy Bill” would “exempt federal payments to creditors from a borrowing-limit cap,” has little chance of passing through the Senate, and would be vetoed by President Barack Obama, even if it did. Nonetheless, the GOP will use the “logic” behind this nasty bit of legislation as a cudgel to force more cuts from the Democrats.
And you know things are getting scary, when even the GOP’s leadership can’t spin it in a way that sounds even remotely appealing. Did U.S. House Speaker John Boehner really say he wants to haul the U.S. government to bankruptcy court and force us to pay off Chinese bondholders? Before we even send checks to our soldiers and veterans? It sure sounded that way, when Bloomberg TV’s Peter Cook interviewed him:
Peter Cook: Doesn’t it mean, as Democrats have suggested, that you’re basically choosing to pay China before you pay U.S. Troops?
John Boehner: Listen. Those who have loaned us money, like in any proceeding, if you will, court proceeding, the bondholders usually get paid first. Same thing here.
The discussion also covered a wide range of topics, including the bill, the debt ceiling, the economy, and the newly-passed Internet sales tax law. Click here for the complete interview. Yet delaying payments to U.S. troops so we can pay off bondholders from China — as the above snippet clearly states is the intention — is unlikely to poll well with voters.
Democrats from the House Ways and Means Committee posted highlights from the interview on YouTube.
Here’s the video:
|Elisabeth Parker is a writer, Web designer, mom, political junkie, and dilettante. Come visit her at ElisabethParker.Com, “like” her on facebook, “friend” her on facebook, follow her on Twitter, or check out her Pinterest boards. For more Addicting Info articles by Elisabeth, click here.|