SPRINGFIELD, Ill. (IRN) — U.S. Sen. Dick Durbin (D-Ill.) says the House defeat of a debt limit increase was a “political tactic.”
The debt limit must be raised by Aug. 2, Durbin says, and it’s the majority party’s responsibility to do it. If they don’t, the U.S. would default on its bonds, causing interest rates to jump. “It could trigger, in the words of Treasury Secretary Geithner, another recession, even worse than the one we just went through. That would be the height of political irresponsibility,” he said.
But Durbin agrees with the political point that House Republicans are making – that rising debt is unsustainable and must be addressed.
All Republicans voted against the resolution to raise the debt limit. Democratic votes were mixed, but all Illinois Democrats voted yes except U.S. Rep. Jerry Costello (D-Belleville).
The statutory debt limit of $14.3 trillion was reached last month, but the Treasury Department is able to borrow from government funds for a while, making Aug. 2 the projected drop-dead date.
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