It’s 23 days until the government runs out of money and defaults on the debt, according to Secretary Yellen’s June 1 deadline announcement, which may or may not be true. As federal spending in the first seven months of FY ’23 through April skyrockets and the deficit for the full fiscal year is careening toward $2 trillion, though, a June 1 deadline or something close to it is plausible.
With congressional leaders heading to the White House for a meeting with President Biden, Speaker McCarthy, who has the only plan in town to increase the debt ceiling plus much needed budget reforms, has indicated the need for a debt budget deal in principle by next week.
The Senate Republican leader, Mitch McConnell, had a strong statement: “The solution is clear. It’s been clear for months. President Biden needs to negotiate on spending with Speaker McCarthy. The speaker has been at the table since February. House Republicans are the only people in town who have passed any bill that prevents default…. Senate Democrats have no plan, no proposal.”
Not a peep coming from the Senate and House Democratic leaders, Charles Schumer and Hakeem Jeffries. It seems like right up until the 4 p.m. meeting, President Biden and his commissars were badmouthing Speaker McCarthy’s common-sense solution.
So, one key question is whether there will be any serious negotiations at this White House meeting, whether Mr. Biden will have any proposals that Mr. McCarthy could take back to his Republican conference.
Also, if it is now 23 days before a possible debt default D-Day, it is also two days before the Title 42 D-Day. This is an unstoppable, catastrophic story.
The Biden administration has no plan to replace Title 42, and hundreds of thousands of illegal detainees could be released into the interior of the U.S. What’s more, hundreds of thousands of illegals are poised to enter the U.S. because the Bidens insist on open borders and their failed “catch-and-release” program.
Key entry points in San Diego, El Paso, and Brownsville are already flooding with illegals. Possibly as many as 140,000 illegals are massing along the Guatemala border to head into the U.S. This is a catastrophe on many fronts.
The U.S. under Mr. Biden’s policies has an open border and has essentially given up its sovereignty. The Mexican drug cartels have the upper hand, and you have sex and child traffickers thriving along with drug trafficking — and, if all that weren’t awful enough, this is a catastrophe in sheer humanitarian terms.
Where are these people going to go when they come into the U.S.? How will they be housed and fed and cared for? What the Bidens are doing is absolutely cruel.
They have no respect for the human beings crossing into this country illegally; they have no respect for U.S. law; and they have no respect for the safety of American citizens who may well be put at risk, as crime waves almost always accompany migrant waves.
Paying off Treasury bills and maintaining the credit-worthiness of the U.S. is certainly important, but if the U.S. government was delayed 10 days in paying the interest on the 10-year bond in return for $4 trillion or $5 trillion of reduced spending, I’m all for it.
What is happening on our southern border, though, and what the Bidens have done to destroy law, order, sovereignty, and humanitarian well-being, is a far greater sin.
Now, save America: Pass the McCarthy bill. Also, save America: Close the border.
From Mr. Kudlow’s broadcast on Fox Business News.
Larry Kudlow was the Director of the National Economic Council under President Trump from 2018-2021. His Fox Business show "Kudlow" airs at 4 p.m &. and his radio show airs on 770 ABC from 10:00 a.m. to 1:00 p.m.