Sarah Palin: If Obama Chooses To Default, He Should Be Impeached

It’s unconscionable for Obama to scare the world markets by teasing the idea that we could default because the only way that could actually happen would be if he deliberately chose to do so.

Sarah Palin 1

Obama’s Debt Default is on His Shoulders While We Shoulder His Impeachable Offenses

Apparently the president thinks he can furlough reality when talking about the debt limit. To suggest that raising the debt limit doesn’t incur more debt is laughably absurd. The very reason why you raise the debt limit is so that you can incur more debt. Otherwise what’s the point?

It’s also shameful to see him scaremongering the markets with his talk of default. There is no way we can default if we follow the Constitution. The Fourteenth Amendment, Section 4, requires that we service our debt first. We currently collect more than enough tax revenue to service our debt if we do that first. However, we don’t have enough money to continue to finance our ever-growing federal government (with our $17 trillion dollar national debt that has increased over 50% since Obama took office). That’s why President Obama wants to increase the debt limit. He doesn’t want to make the tough decisions to rein in government spending. So, he’s scaremongering the markets about default, just as he tries to scaremonger our senior citizens about their Social Security, which, by the way, is funded by the Social Security Trust Fund and is solvent through 2038.

Don’t get the wrong idea: : It would not be good for the United States to refuse to increase the debt limit, nor would it be sustainable long-term. Moreover, there can be very real financial consequences to refusing to extend the debt ceiling.

That being said, all money doesn’t run out after October 17th. Money continues to come in, just not enough to pay all of our bills.

In interviews with more than a dozen GOP lawmakers, the Republicans rejected the notion that Washington could default on its debt unless a borrowing increase is approved before Oct. 17. For the United States to actually default, these Republicans argue, the Treasury Department would have to stop paying interest on its debts–something GOP lawmakers claim is inconceivable.

“There’s always revenue coming into the Treasury, certainly enough revenue to pay interest,” said Rep. Justin Amash, R-Mich. “Democrats have a different definition of ‘default’ than what we understand it to be. What I hear from them is, ‘If you’re not paying everything on time that’s a default.’ And that’s not the traditionally understood definition.”

…Republicans don’t dispute the risks of toying with Treasury’s Oct. 17 deadline. (In fact, some expressed concern about scaring Wall Street.) Rather, they seem determined to correct what they view as a blatant misconception of what truly constitutes a default on the nation’s debt.

“We’re not going to default; there is no default,” said Rep. Mick Mulvaney, R-S.C. “There’s an [Office of Management and Budget] directive from the 1980s, the last time we got fairly close to not raising the debt ceiling, that clearly lays out the process by which the Treasury secretary prioritizes interest payments. Tim Geithner understood that, because the last weekend in July of 2011 he was in New York City telling the primary dealers that we were not going to default on our debt.”

Mulvaney even went so far as to say Obama and White House officials have been dishonest when warning of default: “If the president wants to lie to the public, I can’t stop him.”

The money will be there to pay our debt and the Constitution requires us to do exactly that. So, if Obama were to refuse to pay our debts, it would be an unconstitutional act of economic sabotage that would merit impeachment. Let’s hope that the debt ceiling is raised and that if Obama insists on taking us over the cliff, he won’t try to deliberately damage the United States economically that way.

Leave a Comment

Permalinks


Share this!

Enjoy reading? Share it with your friends!

Send this to a friend