Debt limit bill passes the House

Not even close, in spite of the media hype and hysteria, 314 aye, 117 nay.

Interesting tidbit. CBO scoring of the expanded work requirement for food assistance (apparently still 20 hrs/wk but maximum age extended from 49 to 54) says the age expansion would save money, but the new exemptions for vets and the homeless costs more, so the net impact is $2B of additional spending over 10 years.


Just saw this, well worth a few minutes:

Rep. Katie Porter’s Simple Analogy for Why the Debt Ceiling Doesn’t Work


She’s spot on. The debt ceiling doesn’t limit debt. It is scary to me that so many in Congress don’t understand that.


More the ones who do not understand in fact do understand it and are using the public. There have been four decades of lying to the public that social spending needs to be cut and taxes need to be lower. There are plenty of retirees without a pot to blank that think there is too much social spending as they munch on government cheese and if they had a tax break they’d be better off. In other words these guys are looking for ejits to support them.


I am quite sure that most congresscritters understand that very well. The periodic debt limit increases are “must pass” legislation. Any kind of “must pass” legislation, including the debt limit, has become a tool to accomplish various political ends, so there is no appetite on either side to get rid of it completely.



Guys zoom out!!

As the months progress spending needs to be redressed. Yes cut here and added to there. Laws need to be passed in conjunction.

This current entire exercise is different than emphasized. The centerpiece is the smart grid. Yep that last little item giving the executive more power to get a national grid or parts there of where needed into place. That law was not created in 2022. It needed funding.

Instead of funding it in 2022, we are cutting things here and there and using some of those funds to begin a process of federal implementation of a better grid. Only some money for now is being found. None of that money is directly earmarked for the grid. It is all the same pot of money though.

Note we have not been told what more specifically is being rushed through congress in regards to the grid? No public debate. No total ejits allowed to object.

Zoom out further we are now in a demand side economics period. In other words fiscal policy is made for economic reasons. We can not make all the decisions at once. Sometimes we add money and sometimes we cut money as usual but more often now.

Bill passed the Senate shortly after 11pm Thursday night. It heads to Biden for signature. Then the market goes nuts…

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If only we could be sure which WAY the market will go nuts…
‘Buy the rumor, sell the news’ or ‘to the moon’?

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