Treasury Department out today, with a statement that the total US debt will soon be within $100B of the current ceiling and this will trigger a request by the Obama Administration for an automatic increase in the current ceiling by $1.2T. Story at CNBC.
Well Congress apparently also doesn't care as they are on break until January 17th and only have 15 days to deny the Obama Administration request and then it is automatically approved.
What happened to all of the political posturing around this issue that we were treated to this past summer? Where is it this time? This whole concept of a "debt ceiling" is an unnecessarily self-imposed constraint on the absolute fiscal authority of the US Government.
The previous debate and delay surrounding this legislation over the summer was a complete waste of time and energy and led to damaging fiscal drag that hurt the nations economic output this year, at least we will avoid that media circus this week as we head into the new year.