For the second day in a row, Republicans in the US Senate blocked President Joe Biden’s bid to increase the debt limit of the government, triggering the fear of a complete shutdown of the government. The funding of the Federal government is going to expire on Thursday. The borrowing authority of the country will run out around October 18. Democrats who control the house of representatives and Senate are working very hard to mitigate both these disasters as it could plunge the country into a financial crisis. In addition to that, senators are also pushing for the implementation of the legislative reforms of the Biden government.
Mitch McConnell, the Republican leader, insisted that the government should use a parliamentary provision to lift the $28.4 trillion debt limit rather than asking the Republicans to vote in the favor of the resolution. However, the Democrats emphasized that the debt of $5 trillion on the nation was due to excessive tax cuts and spending executed by the Trump administration. Hence, the Republicans can’t wash their hands off the resolution.
President Joe Biden had already cancelled his visit to Chicago to promote his policies and agenda on the Covid-19 vaccine. The president has to work in unison with the progressive and moderate wings of the Democrats to pass policies as he holds a very thin majority and requires support from all quarters to get it through the process of legislation. It is important to note that the phenomenon of fiscal brinkmanship has become a hallmark of US parliament politics where the Democrats and Republicans are taking increasingly partisan approaches to prove their point rather than putting the interest of the country first. It will be interesting to witness whether the Democrats can avert these two approaching fiscal disasters.