Debt ceiling standoff: Biden banks on Republicans shouldering the blame

President Joe Biden is anticipating that congressional Republicans will shoulder the majority of the blame while they are embroiled in a debt ceiling confrontation.

However, former President Barack Obama’s debt ceiling standoff with Republicans in 2011 demonstrated that lawmakers jeopardize the country’s credit rating if they continue to struggle with the problem.

Biden is urging Republicans to propose a budget before he meets with House Speaker Kevin McCarthy (R-CA) to discuss Federal debt and the debt ceiling. Biden believes that the GOP should increase the debt limit without preconditions. McCarthy, on the other hand, is firm that Republicans will not raise the debt ceiling unless Biden approves reducing the amount of debt.

As both sides talk past one another, Republicans are “the only ones working to prevent a default right now,” according to Republican Study Committee spokeswoman, Miranda Dabney. She explained that “any negative consequences will be the result of Biden’s refusal to engage with Republicans.”

The Republican Study Committee’s playbook offers a more centrist GOP approach to potential debt ceiling negotiations, as opposed to the spending plan of the more conservative House Freedom Caucus. The Main Street Caucus and Republican Governance Group are also influencing the process.

Biden has demanded that Republicans come up with a budget before he engages in any discussion, however, McCarthy has expressed willingness to discuss their negotiating principles, such as returning non-defense spending to pre-inflationary levels, restricting out-year growth, redirecting COVID-19 funds, and strengthening work requirements for those without dependents who can work.

Despite conceding that “we don’t see anything from House Republicans,” White House press secretary Karine Jean-Pierre has called for “a separate conversation about our nation’s fiscal future,” while emphasizing the need for Congress to address the debt limit as soon as feasible.

Observers have predicted Republicans may suffer reputationally with the public during budget standoffs, as in the 2011 fight, when then-President Obama’s approval ratings plummeted. The country’s S&P Global Rating was also downgraded from AAA to AA+ in the same dispute.