As part of the Republicans’ debt ceiling plot, the party recently come up with one of the worst ideas in the history of bad ideas: a debt prioritization scheme. As Axios reported, Treasury Secretary Janet Yellen has already rejected the GOP’s unfortunate pitch.
Treasury Secretary Janet Yellen is ruling out a potential proposal from House Republicans that calls for triaging payments after the exhaustion of “extraordinary measures” to avoid default on the federal debt. … The draft GOP proposal, reported by The Washington Post, would buy time on the debt limit. But the debt prioritization it leans on would essentially be picking winners and losers on who gets paid, pitting Social Security recipients against, say, U.S. military personnel.
Speaking briefly to reporters during a diplomatic visit to Senegal, the cabinet secretary, explained, “Treasury systems have all been built to pay our bills, to pay all of our bills when they are due and on time and not to prioritize one…
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