{"id":601252,"date":"2021-07-23T14:21:35","date_gmt":"2021-07-23T18:21:35","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=601252"},"modified":"2021-07-23T14:21:39","modified_gmt":"2021-07-23T18:21:39","slug":"yellen-tells-congress-to-take-extraordinary-measures-to-avoid-debt-crisis","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/yellen-tells-congress-to-take-extraordinary-measures-to-avoid-debt-crisis\/","title":{"rendered":"Yellen Tells Congress To Take \u2018Extraordinary Measures\u2019 To Avoid Debt Crisis"},"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\">22<\/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%2Fyellen-tells-congress-to-take-extraordinary-measures-to-avoid-debt-crisis%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=601252&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--><div><img decoding=\"async\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2021\/04\/fb_image-1146.jpeg?w=1200&amp;h=800&amp;ixlib=react-9.0.3\" class=\"ff-og-image-inserted\" \/><\/div>\n<p><span>Treasury Secretary Janet Yellen warned lawmakers that \u201cextraordinary measures\u201d are necessary to avoid a debt crisis.<\/span><\/p>\n<p><span>Two years ago, Congress suspended the debt ceiling \u2014 a measure that bars the federal government from taking on a certain level of national debt \u2014 until July 31, 2021. Yellen informed Congress that the Treasury Department will stop selling State and Local Government Series securities \u2014 a primary mechanism through which the government finances its debt \u2014 on July 30.&nbsp;<\/span><\/p>\n<p><span>Congress must therefore act within the next week to prevent the federal government from defaulting.<\/span><\/p>\n<p><span>In a <\/span><a href=\"https:\/\/home.treasury.gov\/news\/press-releases\/jy0290\"><span>letter<\/span><\/a><span> to House Speaker Nancy Pelosi (D-CA), Yellen admonished Congress to protect \u201cthe full faith and credit of the United States\u201d as soon as possible:<\/span><\/p>\n<blockquote readability=\"16\">\n<p><i><span>Increasing or suspending the debt limit does not increase government spending, nor does it authorize spending for future budget proposals; it simply allows Treasury to pay for previously enacted expenditures. The current level of debt reflects the cumulative effect of all prior spending and tax decisions, which have been made by Administrations and Congresses of both parties over time. Failure to meet those obligations would cause irreparable harm to the U.S. economy and the livelihoods of all Americans.&nbsp;<\/span><\/i><\/p>\n<p><i><span>Even the threat of failing to meet those obligations has caused detrimental impacts in the past, including the sole credit rating downgrade in the history of the nation in 2011. This is why no President or Treasury Secretary of either party has ever countenanced even the suggestion of a default on any obligation of the United States.<\/span><\/i><\/p>\n<\/blockquote>\n<p><span>As <\/span><a href=\"https:\/\/www.dailywire.com\/news\/republicans-ask-for-spending-cuts-as-congress-prepares-for-debt-ceiling-battle\"><span>The Daily Wire<\/span><\/a><span> reported on Thursday, some conservatives are using Congress\u2019 need to address the debt limit in order to promote fiscal responsibility. According to a letter sent to leadership in both parties:<\/span><\/p>\n<blockquote readability=\"10\">\n<p><i><span>With record amounts of government spending over the past two years accompanied by historic levels of inflation, in addition to the dramatically changed fiscal conditions of the country over the past five decades, it is imperative for Congress to take meaningful steps now to place our country\u2019s finances on a more sustainable and appropriate path. The upcoming expiration of the debt limit suspension provides an opportunity for Congress to do just that and instill some responsible and real controls over government spending.<\/span><\/i><\/p>\n<\/blockquote>\n<p><span>The lawmakers suggested enacting spending-to-GDP targets, debt-to-GDP targets, and a balanced budget amendment to the Constitution.<\/span><\/p>\n<p><span>Last week, Fitch Ratings \u2014 one of the \u201cBig Three\u201d credit rating agencies on Wall Street\u2014 <\/span><a href=\"https:\/\/www.dailywire.com\/news\/pointing-to-national-debt-ratings-agency-issues-negative-outlook-for-us-aaa-creditworthiness\"><span>issued<\/span><\/a><span> a \u201cNegative Outlook\u201d on the United States\u2019 creditworthiness due to rising levels of debt. Though the United States kept its \u201cAAA\u201d rating, Fitch explained that the outlook \u201creflects ongoing risks to the public finances and debt trajectory.\u201d<\/span><\/p>\n<p><i><span>The Daily Wire is one of America\u2019s fastest-growing conservative media companies and counter-cultural outlets for news, opinion, and entertainment. Get inside access to The Daily Wire by becoming a <\/span><\/i><a href=\"https:\/\/www.dailywire.com\/subscribe\"><i><span>member<\/span><\/i><\/a><i><span>.<\/span><\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Treasury Secretary Janet Yellen warned lawmakers that \u201cextraordinary measures\u201d are necessary to avoid a debt crisis.Two years ago, Congress suspended the debt ceiling \u2014 a measure that bars the federal &#8230;<\/p>\n","protected":false},"author":1,"featured_media":2315279,"comment_status":"close","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-601252","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/601252","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\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=601252"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/601252\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=601252"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=601252"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=601252"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}