News
Washington Times | ‘Wiggle room’ seen on Aug. 2 debt deadline
For one, federal revenues came in stronger than expected in recent weeks, giving the Treasury an extra $14 billion in cash to spend on Social Security and other payments after Aug. 2, one analysis found.
WSJ | Companies Bracing for U.S. Default
The unthinkable is finally becoming reality for U.S. companies, who are beginning to take real steps to prepare for the possibility of a U.S. debt default.
CNN Money | Betting $4.8 billion on a U.S. default
A small camp of investors are betting that the U.S. government will default on its debt, and they're putting $4.8 billion of their chips on the table.
WSJ | Facing a Hit Over Debt in Alabama
In a move to avoid the largest municipal bankruptcy in U.S. history, holders of more than $3 billion in debt issued by Jefferson County, Ala., are working on a rescue that would leave them with steep losses.
Econ Comments
Washington Times | BIRNBAUM: Devilish details of the debt debate
Cutting spending is easy in the abstract but hard when people gripe.
Daily Caller | Cut, Cap and Balance: Seven reasons the GOP must hold the line
The passage of “Cut, Cap and Balance” in the House of Representatives is a game-changer. It is also the ground on which the GOP must stand, fight and win, especially now that a July 18-21 CNN poll shows that two-thirds of Americans support the House’s approach.
WSJ | For Obama, Golden Opportunity Is Fading
President Aimed to Broker Grand Deficit-Reduction Deal but Now Finds Himself Scrambling to Marshal Public Opinion.
Politico | Why we need 'Cut, Cap, and Balance'
The debt is our problem, not the debt limit. The consequences of not aggressively attacking it now are severe.
Cato Institute | Some Austerity
The Reid plan would theoretically cut spending by $2.7 trillion over ten years. Even if that were true, it would still allow our national debt to increase by some $10 trillion over the next decade.
Barron's | A Fate Worse Than Debt
Downgrade may pose as great a threat as a U.S. default if Washington destroys Hamilton's legacy.
WSJ | The GOP's Reality Test
Republicans who oppose Boehner's debt deal are playing into Obama's hands.
Blogs
NRO: The Corner | The Size of Our Debt and Why It Matters
Basically, while it is true that raising the debt ceiling soon will allow Treasury to continue to pay all of its bills (most of them stemming from past spending and commitments), it won’t address our inability to pay our future bills and avoid future default.
Reports
CBO | Analysis of the Impact on the Deficit of the Budget Control Act of 2011 as Proposed in the Senate
The Congressional Budget Office (CBO) has estimated the impact on the deficit of the Budget Control Act of 2011, as proposed in the Senate on July 25, 2011.
CBO | Analysis of the Impact on the Deficit of the Budget Control Act of 2011 as Proposed in the House
The Congressional Budget Office has estimated the impact on the deficit of the Budget Control Act of 2011, as posted on the Web site of the Committee on Rules on July 25, 2011.
