President Obama is once again misleading people in a sad attempt to create a panic he hopes will be blamed on his opponents.
Moody’s has flatly stated our credit rating is not tied to the debt limit, and not raising it does not risk default.
“The government would continue to pay interest and principal on its debt even in the event that the debt limit is not raised, leaving its creditworthiness intact,” Moody’s Investor Services reports today.
“The debt limit restricts government expenditures to the amount of its incoming revenues; it does not prohibit the government from servicing its debt. There is no direct connection between the debt limit (actually the exhaustion of the Treasury’s extraordinary measures to raise funds) and a default,” writes Moody’s.
This is the third time this year Obama has tried to rule by creating false panic. First, it was sequestration, then it was his current shutdown; and now he’s making false claims about the debt ceiling and default.
These cheap scare tactics may work in Chicago street organizing, but it is no way to lead a nation. They certainly haven’t created prosperity. Americans want Obama end to his partisan theatrics. It’s time for Democrats to reopen the government and begin to talk with Americans about getting our debt and spending under control.
Congressman Steve Stockman
Photo credit: SS&SS (Creative Commons)