Larson on the Default Prevention Act

Washington – “This markup today was completely unnecessary. Rather than working on a bill to provide certainty to U.S. and global markets by raising the debt ceiling, Republicans injected more instability into our economy by essentially admitting their willingness to default on our debt. The last time Republicans threatened to stop paying our bills, the S&P downgraded our credit rating. As a result—and combined with the government shutdown—the economy lost an estimated $24 billion in three months. With many Americans just getting back on their feet and countless more still looking for work, we cannot afford to play chicken with the debt ceiling again.

“As my colleague Mr. Kind said today, ‘a default, is a default, is a default.’ While the Republicans want to create a façade of responsibility, in reality their actions are reckless. We risk catastrophe by not raising the debt ceiling.

“Today was not about policy—it was about politics. A small but vocal minority in the Republican party are threatening to shut down the entire federal government over Planned Parenthood. They have consistently pushed their party leadership to default on our obligations. Rather than take responsibility by funding our government and raising the debt ceiling, the Republican leadership has decided to jeopardize the full faith and credit of the United States government to placate a small fraction of the GOP.

“A democracy is dependent on the will of a majority, and most people believe it would be financially and morally irresponsible for the United States to default on its bills. Raising the debt ceiling should not be a partisan issue. Congress has acted many times under both Democratic and Republican Presidents to ensure our obligations are met, including 18 times under President Reagan, 8 times under President Clinton, and 7 times under President George W. Bush.

“There are members of the Ways and Means Committee on both sides of the aisle who are serious, talented, and dedicated to the citizens of this country. Instead of wasting time discussing what would happen if we defaulted on our bills, we should do the responsible thing and raise the debt ceiling. It is time to move on to the important work we should be tackling in a bipartisan manner, like reforming the tax code and reducing the cost while improving the quality of healthcare.”

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