“Some of my Republican friends want to take the economy hostage,” charge Mr. Biden - NY Times
"Cash will not be available to repay bond holders and other creditors for the loans that have already come due. Nor will there be cash to pay the military, or the millions of other federal employees and pensioners, or the beneficiaries of Social Security, Medicare, Medicaid and other entitlement programs. And that's just the payroll, leaving aside all the purchases and contract work." - NPR
What do the Republican hostage takers want? What are they threatening to do? Is it worth paying their ransom of cuts to Medicare, Medicaid, Social Security, cutting federal services and throwing millions out of work? We visualized the NPR article "Why we have a debt ceiling, and why this trip to the brink may be different".
When the economy is U.S. economy is shut down, everyone will be hurt? Would you negotiate with hostage taker and pay their ransom demand? Follow the impact of Republican hostage taking and see how it would hurt you with this map.
Republicans take the economy hostage
How to use this map
What is the Debt Limit?
The debt limit is a law, that allows the government to issue bonds to finance itself. "To make up the deficit and pay off debts, the Treasury sells securities, like bonds. The bond buyer gives the Treasury cash to pay the deficit, and in exchange the Treasury eventually pays the buyer back that money plus interest.
The debt limit caps how much debt the Treasury can take on to pay back the deficit incurred in previous years. As of Jan. 18, the Treasury has taken on the maximum $31.4 trillion in debt currently allowed — meaning we've hit the debt limit. The debt limit amount is decided by Congress." - NBC
How many times has the debt ceiling been raised?
Why does the deficit only become an issue for Republicans when they want to cut social safety programs? But not when they are giving tax cuts to their wealthy donors?
"The debt limit has been lifted 78 times. Since 1960, the limit has been lifted 78 times. Democrats have been in the White House for 30 of those years and worked with Congress to get 29 of those increases.
Republican have raised the limit 49 times. Republican presidents have done it 49 times. For most of that time, raising or suspending the limit was just the last stitch in the federal budget and spending process.
Ronald Reagan raised the limit over 12 times. The limit and the debt neared the trillion-dollar level for the first time late in the 1970s. Ronald Reagan made that a major campaign issue in 1980, but while he was in office the limit was raised more than a dozen times and reached $2.8 trillion.
Biggest deficit percentage increase under Republican President Bush. In 1990, under President George H.W. Bush, the limit was set at more than $4 trillion, making the 1980s the decade with the biggest percentage increase in the debt and the debt limit. - NPR
Take Away: The U.S. policy is to not negotiate with terrorists. The same should apply for those who would hold Medicaid and Social Security hostage for their political agenda.
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