Sorry, we couldn’t think of a more polite way to put this… this MSNBC segment (via FireDogLake) is just about the dumbest thing we could imagine seeing on the debt ceiling.
In an attempt to clarify and simplify what this is is all about, reporter Richard Lui dresses up as “spending” and stands under a ceiling, which he compares to a credit card borrower’s credit limit, which the US is about to butt up against.
There are three ludicrous things here:
- First of all, the debt ceiling is not a credit limit. Credit card limits are set by your lender, and they’re not self imposed.
- Second, there’s no cap on spending. It’s the gap between spending and revenue that matters.
- At the end, Liu says that it might not be that bad we break through it, because it just means we’ll have to tighten our built. Um… sorry. Nobody believes that the current debt ceiling can be maintained, even with aggressive Paul Ryan-like austerity.
Watch for yourself:
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