Today, Explained It’s debt ceiling season
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Jan 19, 2023 
Dylan Matthews and Andrew Prokop, both writers for Vox, dive deep into the contentious world of the U.S. debt ceiling. They discuss its historical roots and the ongoing standoff between House Republicans and the White House. The conversation uncovers the possible presidential maneuvers to circumvent the debt ceiling and the quirky idea of minting a trillion-dollar coin as a solution. Tune in for insights into the implications of these negotiations and the broader impacts on fiscal policy!
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2011 Debt Ceiling Crisis
- In 2011, House Republicans used the debt ceiling as leverage to force spending cuts under the Obama administration.
- This resulted in the creation of a 'super committee' and automatic spending cuts known as 'sequestration'.
Republican Strategy
- While the Republican party's focus on spending cuts has diminished, a faction still prioritizes it.
- This faction influenced Kevin McCarthy to oppose a clean debt ceiling increase, mirroring the 2011 strategy.
Debt Ceiling Origins
- The US debt ceiling originated during World War I to give the Treasury flexibility in issuing bonds while maintaining Congressional oversight.
- Before 1917, Congress exercised stricter control over debt issuance for specific projects.