And just like that, the talk of the economy changes. For the last 6 months, there’s been a lot of talk about new jobs, stock market success, and overall market confidence. Of course, Donald Trump is happy to claim all of the credit for this economic shot in the arm we’ve been experiencing, and that’s fine. However, how will he handle this: A situation where he is clearly responsible for the downturn, however temporary it may be. Now after the good run, it seems we’re about to be face to face with the federal debt ceiling.
After back to back speaking engagements that gave two completely different versions of Donald Trump to the American people, Wall Street is lagging behind. The housing market sales have dropped to an 11-month low, and jobless claims are on the rise.
As if that weren’t fun enough, Trump is now lashing out at Republican leaders over the idea of raising the debt ceiling. He had indicated on twitter he had asked Paul Ryan and Mitch McConnell to attach it to a bill signed related to veterans, which we are now hearing they did not do.
Paul Ryan insists that there are options that exist for Congress, however, if the debt limit is not lifted by September 29th, there is a very real possibility that Congress will fail to meet financial obligations.
With the treasury department having stated they are already under “extraordinary measures” to remain current with existing obligations, medical care for veterans is hemorrhaging, and the POTUS needs to dig up billions to see his wall constructed, it seems evident the stage is set to turn around any positive economic progress we may have been making.
While it’s to be understood that there are dependencies on government programs, that will never go away, and in fact, will always grow and mutate into an even larger dependency. The proper approach is not to raise the debt limit but to minimize spending, cut programs, and make fiscally wise decisions that can help generate profit revenue and attack this debt issue in a serious manner.
You can read more from Vinny Marshall on Think Liberty here.