Lew seems all for the rise in debt ceiling, yes!
“Preparing for a financial apocalypse.” – Yalman Onaran.
This is what seems to have become the refrain given the financial situation prevalent all over the United States. The uncanny shadow that the debt canopy casts over the nation seems here to stay. Even while some hopeful heads reared themselves as alternatives to the Congress raising the debt limit, they seem to have disappeared for good. This comes in the face of Jacob J. Lew, the US Treasure Secretary having egged the Congress on as far as raising the debt limit is concerned and that too with an ever advancing deadline. The Treasury Secretary finds it imperative to raise the nation’s debt ceiling since it’d be a step aimed towards maintaining the promise made to the creditors.
Lew stands to announce his beliefs regarding the fact that there seems to be no alternative as such as far as raising the debt limit is concerned and that too regarding paying the bills is concerned. It’s almost as though the “full faith and credit of the United States” needs to be honored as much as possible. There have been accounting steps employed and that too for the purpose of avoiding the breach of the debt limit is concerned. These were essentially measures that had been used at the time if a fiscal impasse. This fiscal impasse had basically been responsible for the purpose of the government shutdown and that too partially.
In fact, the deadlock regarding the debt ceiling had spurred the formation of a Senate-House conference committee. This committee had essentially been served with a December 13h deadline as far as the various ways of resolving the disputes are concerned between the Republicans and Democrats. US lawmakers seem undecided about whether or not ending tax breaks of wealthy Americans would be a part of the deal. There’s also the concern of finding a replacement for the automatic spending cuts that had been approved back in 2011. This has also gone on to trim the funds dedicated towards defense as well as domestic programs.
Lew went on to praise the essential of a corporate tax change plan effectively and this came after the discussion with none other than Senator Max Baucus who’s a Democrat from Montana. Baucus being the chairman of the Senate Finance Committee had also gone on to release a proposal. This proposal effectively zeroed in on the US companies that’d face a minimum tax which would be imposed on what they’d earn around the world. This is of course touted as the most significant proposal of the senator as far as revamping the tax code is concerned.
Lew also went on to speak about the significant characteristics shared with the President’s framework as far as the bipartisan ‘convergence’ is concerned. This is between the Democrats and the Republicans effectively. The Treasury Secretary further went on to reiterate his optimism regarding the Volcker rule ban on proprietary trading. This will be published soon with the end of the year drawing near.
The Treasury Secretary is also known to have visited 5 Asian nations and that includes China and Japan too. He also opines about how serious the Chinese leadership is regarding the opening up of the economy. He further suggests pressing them to move faster and this is what is to be seen.