DEBT CEILING AND YOU.
How about you?
The ordinary person does not know the workings of the government; professional politicians do. Therefore, 65% of almost all the polls will put people on the side of the government "not raising the debt ceiling".
Nobody wants to have a debt hovering over his or her head; and borrowing is not a common occurrence for everyone. So, when people are told about more borrowing, they are forced to assume that more debt is being piled up on them.
Now, in all honesty, who wants that?
In government, as in normal business operations, borrowing, in nine cases out of ten, is for expansion or growth; it is a means of wriggling out of a bad situation, and making ready to remedy the causes of that situation. It is a chance that businesses take each and every single day.
Moreover, politicians know for a fact that the debt ceiling must be raised to give any government ample room to manage its current fiscal responsibilities by having enough funds to be set aside in readiness to resolve immediate or "nagging" problems.
Therefore, the high poll numbers for not raising the debt ceiling become quite understandable; because, under normal circumstances, people do not want to incur debt.
However, if they are told that raising of the debt ceiling is just a stop-gap measure that any government takes to come out of emergencies, then they tend to oblige to that rational.
That is the position in which President Barack Obama's government finds itself, and in that sense, raising the debt ceiling becomes necessary, not only for his administration, but for the country as a whole.
People are saying that the current recession is bad enough, but if they have to wait for the deadline set for August 2nd, 2011 to go by, the government will have to find another way to meet its financial obligations. It will be in default for not being able to pay all its debts; but If it does cover most of them, it (government) will be alright.
However, the aftermath of a default for the man in the street will be different. Gas and food prices will go up, rent and mortgages will have to be topped up, businesses of all kinds will have to pay high interest rates to remain operational; and all that will go to boost the high unemployment rate, and of course, jack up even more an exorbitant cost of living for everyone.
That will be the scenario at the lowest level of society. Yet, on the high level, Wall Street, which happens to be the gauge of the economy, will be having a hard time rearranging or recouping from mortified transactions. America's AAA trading position will be downgraded; and the whole financial world will be turned upside down.
Is that what people like you and me want? They will blame the Obama government, but it will be too late; and those who want the president's downfall will have succeeded. However, the whole country will be the loser.
The Democratic Party members of Congress are saying that the debt ceiling must be raised to get America out of trouble; but the Republican members (and some may have good intentions) are arguing that to be a state of degradation must be the only option that the nation must choose. Many people will disagree with those Republicans; and the question is, whether their choice is fair or acceptable to all Americans?
I don't think so; how about you?