Pentagon is sounding the alarm on the debt ceiling crisis. There is a real threat of the U.S. government potentially defaulting on its loans. On Wednesday, in fact, the Pentagon wade into the political mire. Thus warning Congress that it had a failure to act would, in fact, harm America’s ability to defend itself. Then, take care of its troops.
Pentagon: U.S. Defaults
“The undermining the economic strength if the United States defaults on which our national security rests,” Defense Secretary Lloyd Austin. This was said in a statement on Wednesday. “Moreover, it would, possibly also do serious harm to service members and their families. As a result, because as secretary, I would have no authority or ability to ensure that our service members, civilians, or contractors would be then paying in full or on time.”
America’s International Reputation is at Stake
Doling out benefits to 2.4 million military veterans is something the department may not be able to do. Also, issue payments to federal contractors, Austin said. In fact, America is defaulting on its loan that would undermine its international reputation, he adding, “as a reliable and trustworthy economic and national security partner.”
The department may not be able to dole out benefits to 2.4 million military veterans nor issue payments to federal contractors, Austin said. America is defaulting on its loans. That would undermine its international reputation, he added, “as a study, reliable and trustworthy economic and national security partner.”
There is an increasingly tense standoff between the White and Republicans in Congress. The Pentagon chief’s very stark warning does come amidst the increasingly tense standoff. This would be between the White House and Republicans in Congress. Plus those who have oppose Democratic attempts to raise America’s debt limit. This is a way to rail against President Joe Biden’s domestic investment agenda.
On Wednesday, President Joe Biden said that a failure to extend the government’s borrowing authority could set off a global financial crisis. Moreover, the potential for disaster was echoed in a current analysis note from the Council on Foreign Relations, which documented the likely domestic and international fallout. On October 18th, Congress is facing a deadline when the Treasury Department does say it will no longer have the funds that are necessary to handle the debt the nation has already been accruing.