Washington

Analysis: Despite chaos and risk, Washington sticks with its debt ceiling

Published

1 year ago

June 2, 2023

Analysis: Despite chaos and risk, Washington sticks with its debt ceiling

WASHINGTON, June 2 (Reuters) – The latest standoff over the U.S. debt ceiling, resolved just days before the government faced a devastating default, has prompted some to call for the country to ditch its self-imposed borrowing limit.

That’s not likely to happen any time soon.

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.

Republicans have shown no interest in abandoning a point of leverage that they have used to win trillions of dollars in spending cuts from Democratic administrations.

“There’s no other way to address the spending habits that we’ve got,” said Republican Senator Mike Rounds.

This year’s debt standoff and the past two major ones — in 2011 and 2013 — all played out with a similar power divide in Washington, with a Democratic president and Senate majority, and Republican control of the House of Representatives.

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. Now they lack the means to do so.

Last November, after Democrats lost their majority in the House of Representatives but before the Republican majority was sworn in, Treasury Secretary Janet Yellen warned Democratic lawmakers to deal with the debt ceiling then to avert a crisis. Her calls went unheeded.

As a result, Washington will have to confront the issue again before the current agreement expires on Jan. 1 2025.

‘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.

“If it was ever a useful tool, it’s outlived that usefulness and it’s time to get rid of it,” said Steve Ellis, president of Taxpayers for Common Sense, a watchdog group that dropped its support for the debt ceiling earlier this year.

The United States is one of only two industrialized countries that requires policymakers to approve payments for debts it has already incurred. The other country, Denmark, has raised its limit high enough to render it irrelevant.

“We’re really the only country that does this to ourselves, and it has proven a complete failure in limiting the deficit in any way,” said Democratic Representative Bill Foster, who has written legislation that would abolish the debt ceiling.

Foster’s bill has drawn the support of 44 House Democrats, and he says Republicans have told him privately they support the idea. But none have endorsed it publicly.

Similar legislation in the Democratic-controlled Senate has likewise failed to pick up Republican support.

Congress has voted to raise or suspend the debt ceiling 21 times since the last time the country posted a budget surplus in 2001.

During that time, the debt load has grown from 27% of GDP to 98%, government statistics show, as lawmakers have signed off on wars, tax cuts and economic stimulus packages while expanding safety-net programs.

But the debt ceiling has occasionally proven useful as a way to force lawmakers to face the consequences of their tax and spending policies.

Congress paired several debt-ceiling hikes with bipartisan budget deals in the 1980s and 1990s that led to the balanced budgets by the end of the century.

More recently, Republicans leveraged a debt-ceiling vote to win more than $1 trillion in spending restraint from Democratic President Barack Obama in 2011, and $1.3 trillion from Biden this time around.

“The debt limit is a terrible tool to address deficits, but it’s the only one we’ve got,” said Brian Riedl, a fellow at the conservative Manhattan Institute.

Riedl and other independent budget experts have floated ways for Congress to reckon with the national debt while taking the threat of default off the table.

The Bipartisan Policy Center has suggested that the debt ceiling could be raised automatically when Congress passes an annual budget, while Riedl says the budgeting process itself should be less siloed and flexible.

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. It is the only fiscal speed bump there is,” said Maya MacGuineas of the Committee for a Responsible Federal Budget.

Reporting by Andy Sullivan; additional reporting by David Morgan; editing by Scott Malone and Chizu Nomiyama

Our Standards: The Thomson Reuters Trust Principles.

Andy Sullivan

Thomson Reuters

Andy covers politics and policy in Washington. His work has been cited in Supreme Court briefs, political attack ads and at least one Saturday Night Live skit.

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Washington

Washington State Football: Keys to Victory at Oregon State

Published

7 hours ago

November 22, 2024

Press Room

Washington State Football: Keys to Victory at Oregon State

The Cougars suffered just their second loss of the year last weekend against New Mexico and, by many accounts, it was a shocker. Ranked well within the Top 25 and playing a team with a losing record, albeit on the road, WSU was expected to win. Now at 8-2 Jake Dickert’s squad is tasked with bouncing back and they might have the perfect opportunity to do just that against an Oregon State unit that has been in a tailspin as of late.

Here’s what Washington State needs to do on Saturday to avoid a second straight defeat and get back on the right track.

Move Past Last Week

First and foremost, the Cougs need to forget the loss last weekend. The New Mexico debacle is over and done with, and it ought to be treated as such. Dwelling on the misfortunes that plagued them a week ago will only spell bad news against an Oregon State squad that is desperately looking to salvage whatever it can from a season. If WSU comes into this one and lets that loss give them a disadvantage in any aspect, that might be all OSU needs to get a leg up. Essentially, they can’t let the Lobos beat them twice.

In order to mentally rebound from the toll of their second loss the best thing for WSU might be to get back to the basics in all phases of the game. The offense needs to rediscover and reaffirm what has made it so competitive all year. The defense has to wash their collective minds of the poor showing in Albuquerque. If Dickert can get the team back to what they were before last week… and there’s no reason to believer he can’t… they’ll be just fine.

Tackle, Tackle, Tackle

It’s no secret that one of the main issues last weekend for the Cougars was an inability to bring ball carriers down. Some of that can be blamed on the dynamic play of Deveon Dampier but a lot of it can be attributed to not wrapping up and failing to be sound in their tackles across the board. A repeat of that showing against Beavers playmakers such as Anthony Hankerson or Trent Walker could again yield some ugly results.

Fortunately for Washington State, they have the right guys to fix those errors. Senior linebacker Kyle Thornton is one of the best out there when it comes to making stops. He has 53 tackles this season (36 solo) and has been the enforcer for the team in the middle of the field for several seasons. Redshirt Sophomore “Buddah” Al-Qudah is also excellent in this department with a team-leading 58 stops. If these two can do what they are best at and get everyone else to follow suit, the Cougs will find a lot more success this Saturday.

Keep the Chains Moving

A surefire way to keep OSU on its toes is to keep its defense tired and to do that, Washington State needs some long, sustained drives. Moving the sticks, especially on third down, will help that happen. The Beavers allow their opponents to convert 45% of the third downs they attempt and, while that rate is somewhat high, the Cougars should aim for much more than that. Getting the Oregon State defense fatigued will go a long way.

John Mateer and company need to make sure, when they do get into third down scenarios, that they are manageable. Positive pushes on early downs is a must. Whether it be Mateer running himself, completing short and high-percentage throws to his pass catchers or strong rushes from running back Wayshawn Parker, the offense needs to stay on schedule. Little things like this will make all the difference against a foe that is struggling.

Washington

How to watch the Orlando Pride-Washington Spirit NWSL final

Published

16 hours ago

November 21, 2024

Press Room

How to watch the Orlando Pride-Washington Spirit NWSL final

The 2024 NWSL Final is as big as it gets.

Battling for the playoff title are the top two teams during the regular season, both of which survived the early stages of knockout-round postseason play.

The Orlando Pride, winners of the NWSL Shield for the best regular-season record, are the No. 1 seed that will take on the No. 2 Washington Spirit.

Orlando is led by the Brazilian icon Marta, while Washington is pioneered by rising U.S. women’s national team forward Trinity Rodman.

Here’s how and where to watch the 2024 final:

When is the 2024 NWSL Final?

The 2024 final between Orlando and Washington is slated for Saturday, Nov. 23.

What time is the 2024 NWSL Final?

Kickoff time is slated for 8 p.m. ET, 5 p.m. PT.

Where is the 2024 NWSL Final?

CPKC Stadium, home of NWSL side Kansas City Current in Missouri, is the neutral venue for the game.

How, where to watch the 2024 NWSL Final on TV

The Orlando-Washington NWSL final will be broadcast by CBS.

How, where to watch the 2024 NWSL Final online

The Orlando-Washington NWSL final will be available to stream on Paramount+.

How many NWSL championships do the Orlando Pride have?

The Orlando Pride has not yet won an NWSL championship through the playoffs.

How many NWSL championships do the Washington Spirit have?

The Washington Spirit have won one NWSL title, which transpired in 2021. It finished as runner-ups in 2016.

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Washington

Washington Nationals Hope Elite Prospect Long-Term Solution at Third Base

Published

1 day ago

November 21, 2024

Press Room

Washington Nationals Hope Elite Prospect Long-Term Solution at Third Base

The Washington Nationals have numerous issues that have led to four last-place finishes in the five seasons since their first World Series title.

But one that may be at the top of the list is third base.

Washington finished No. 29 in the league, only ahead of the historically awful Chicago White Sox, with a .589 OPS from its third base platoon. In the last five years, the Nationals have finished no better than No. 19, twice finishing No. 29, once finishing No. 28, and once No. 23.

In short, the Nationals have not had anything remotely close to quality production from the hot corner since 2019 when Anthony Rendon guided Washington to No. 2 in the league at third with an OPS of 1.010 over 646 plate appearances.

Washington could go out and spend a ton of money to acquire one of the best in the game, long being linked as a potential fit for Alex Bregman.

But what feels more likely is the organization waiting until top prospect Brady House is ready to be called up and hope he seizes the job, as pointed out by Mark Zuckerman of MASN.

If so, it would be four years in the making. The Nationals made House their first-round pick in 2021 and he’s worked his way steadily through the minor-league system. House was at Triple-A this season and watched highly-touted prospects like James Wood and Dylan Crews called up.

“Most evaluators still believe he’ll hit for power and play solid defense, but the Nationals aren’t going to hand him the job before he proves he’s ready for it,” Zuckerman wrote. “And there’s no guarantee when that will happen.”

House slashed .241/.297/.699 with 19 home runs and 66 RBI with Rochester last season. It’s possible the Nats want to see him produce more power before he’s called up. He’ll surely receive an invitation to Major League spring training, which would give him a chance to prove he’s ready. But the Nats can’t bank on it.

That doesn’t mean throwing a massive contract at Bregman, only for him to have to eventually move him to another position to make room for House. But other solutions must be ready to be deployed.

Zuckerman hypothesized that the Nats could, in the short-term could stick with Jose Tena after a decent finish to the season following his trade from Cleveland, though he continues to learn a third base position that is new to him.

More exciting prospects include Yohandy Morales and Seaver King, but both feel still a ways away from being ready and are not as highly rated as House.

Keep an eye on the Nats in the third-base market to make some kind of addition whether it be a big splash or a minor insurance policy.

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