{"id":1922683,"date":"2023-05-02T09:56:45","date_gmt":"2023-05-02T13:56:45","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-caves-to-gop-demand-for-debt-ceiling-talks\/"},"modified":"2023-05-02T10:01:13","modified_gmt":"2023-05-02T14:01:13","slug":"biden-caves-to-gop-demand-for-debt-ceiling-talks","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-caves-to-gop-demand-for-debt-ceiling-talks\/","title":{"rendered":"Biden Caves to GOP Demand for Debt Ceiling Talks"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fbiden-caves-to-gop-demand-for-debt-ceiling-talks%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1922683&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Biden Summons Congressional Leaders to White House Amid Risk of Default<\/h2>\n<p>The United States government could run out of cash to pay its bills as early as June, according to Treasury Secretary Janet Yellen. This has prompted President Joe Biden to call for a meeting with the four <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/elder-a-tale-of-top-is-leaders-killed-under-two-administrations\/\" title=\"ELDER: A Tale Of Top IS Leaders Killed Under Two Administrations\">top congressional leaders<\/a> at the White House on May 9. The risk of an unprecedented default has added new urgency to political calculations in Washington, where Democrats and Republicans are preparing for a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/heres-how-joe-manchin-kyrsten-sinema-fare-in-their-own-states\/\" title=\"Here\u2019s How Joe Manchin, Kyrsten Sinema Fare In Their Own States\">months-long standoff<\/a>.<\/p>\n<h3>Invitations Extended to Key Leaders<\/h3>\n<p>Biden has invited Republican House Speaker Kevin McCarthy, House Democratic leader Hakeem Jeffries, Senate Majority Leader Chuck Schumer, and Republican leader Mitch McConnell to the meeting. Biden had previously said he would not negotiate over the debt ceiling increase, but will discuss budget cuts after a new limit is passed. Congress has often paired debt-ceiling increases with other budget and spending measures.<\/p>\n<h3>Spending Cut Demands<\/h3>\n<p>House Republicans passed a bill to raise the debt limit last week that includes steep cuts to spending from healthcare for the poor to air-traffic controllers, which the Democratic-controlled Senate and Biden say they will not approve. The April 26 bill passed by the Republican-led House would slash tax incentives for solar energy and implement $4.5 trillion in spending cuts &#8211; or about 22% &#8211; in exchange for a $1.5 trillion increase in the U.S. debt limit.<\/p>\n<h3>Risk of Default Within Weeks<\/h3>\n<p>A potential default within weeks &#8220;is not a position befitting of a country considered the bedrock of the financial system, and only adds uncertainty to an already shaky economy,&#8221; said budget analyst Shai Akabas at the Bipartisan Policy Center. Yellen&#8217;s vagueness on the actual default date is due to some fiscal events in June that could buy some breathing room. If Treasury can make it past early June benefit payments, it could take in significant cash from <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/biden-caves-to-gop-demand-for-debt-ceiling-talks\/\" title=\"Biden Caves to GOP Demand for Debt Ceiling Talks\">quarterly estimated tax payments due<\/a> on June 15, analysts say. Then Treasury could float until June 30, when it would be able to tap $143 billion in borrowing by suspending reinvestment of maturing securities held by the government retirement funds.<\/p>\n<h3>Debt Ceiling Battles Likely to Persist<\/h3>\n<p>Nonetheless, the U.S.&#8217;s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/democrats-prepare-for-possibility-of-divided-government-in-2023\/\" title=\"Democrats Prepare for Possibility of Divided Government in 2023\">debt ceiling battles<\/a> are likely to persist for years to come, with benefit programs like Social Security and Medicare accounting for the largest category of the budget and projected to grow dramatically as the population ages. As the current debate heats up, Biden, who is seeking re-election in 2024, is using the House Republican proposal to tag his opposition as an economic threat to local economies.<\/p>\n<p><strong>Source:<\/strong> Reuters<\/p>\n","protected":false},"excerpt":{"rendered":"<p>of its financial obligations unless lawmakers raise or suspend the debt ceiling. This move comes as the U.S. economy continues to recover from the pandemic, and the government has been spending heavily to support businesses and individuals. The meeting with the congressional leaders is a crucial step in finding a solution to this looming financial crisis. President Biden is determined to avoid a repeat of the 2011 debt ceiling crisis, which led to a downgrade of the U.S. credit rating and caused turmoil in financial markets. The stakes are high, and the clock is ticking. Will Congress act in time to prevent a financial disaster? All eyes are on Washington as the nation waits for a resolution.<\/p>\n","protected":false},"author":66,"featured_media":1922684,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[544],"tags":[3620,17206,10142,5487,4368,6203,3745],"class_list":["post-1922683","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-free-beacon","tag-biden","tag-caves","tag-ceiling","tag-debt","tag-demand","tag-gop","tag-talks"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1922683","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1922683"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1922683\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1922684"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1922683"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1922683"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1922683"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}