America is one week out from a potential government default and there’s still no deal between House Republicans and President Biden on the debt limit. But House Speaker Kevin McCarthy, R-Calif., told reporters there’s no reason for Americans who rely on payments from the government to make backup plans.
“No, I wouldn’t worry about that. There’s money that comes into the government every single day,” McCarthy said Thursday morning, May 25.
There are reports of possible delays in Social Security payments and paychecks for government workers, including members of the military. Some economists suggest having an emergency savings account ready just in case. But McCarthy said he’s optimistic a deal will be finalized on the tight timeline.
“Nothing is agreed to overall but we know exactly where we need to be to be able to solve this problem,” McCarthy said.
Polling on how Americans feel about the negotiations is mixed.
A new CNN poll found that 24% of Americans believe Congress should raise the debt ceiling no matter what, while 60% believe Congress should raise the debt ceiling and cut spending at the same time.
A new Monmouth University poll found that 51% of Americans believe spending and the debt limit should be dealt with separately, while 25% think the debt ceiling should be tied to negotiations over spending on federal programs.
But Rep. Dusty Johnson, R-S.D., told Straight Arrow News, Republicans are not worried about polling as they work toward a deal with the White House.
“This is bigger than polling. This is about the future of the United States of America. This is about staving off insolvency. This is about making sure that we return fiscal sanity. I know that the American people, once this deal is done, are gonna appreciate the fact that Republicans tried to make sure we moved in the right direction,” Johnson said.
Treasury Secretary Janet Yellen wrote a letter to congressional leaders that stated it is highly likely the U.S. government will not be able to satisfy all of its obligations by early June, possibly as early as June 1. Yellen wrote that she’ll continue to keep Congress updated, and said the government’s borrowing costs have already increased substantially for securities maturing in early June.
