The United States is facing a series of collapses in terms of its credit security as Washington remains in a financial stalemate,, says Jack Lindblad of Green Party of LA County Council.
œWe™re in a series of collapses of mortgage-backed securities of the credit. Another credit level is forming over the sale of certain bonds for long term bonds the Treasury is doing to lower interest rates.” Lindblad told Press TV on Tuesday.
œBusinesses are not putting people to work,” he added.
Lindblad said that as the deadline for Washington to avoid a debt default is approaching, “this credit mix of uncertainty and volatility will eventually degrade the credit rating of US borrowing in the Federal Reserve.”
As the US government shutdown nears its third week, Republicans and Democrats in Congress have been unable to strike a deal over the budget and raise the nation™s borrowing authority.
The core of the dispute between congressional leaders is about federal spending, and how long a stopgap measure that would reopen the government should last. Another area of dispute is over Obama™s single legislative achievement, the Affordable Care Act also known as Obamacare, which Republicans want defunded or delayed.
Commenting on Obamacare, Lindbald said it is œa capitalist enterprise where there is exchanges and you have to shop the exchanges if you have a certain income and buy insurance to avoid a fine.”
However, he criticized the Republicans who œhave used the government shutdown to prove their own point that they want to let free enterprise run ramped or capitalism run ramped and not provide healthcare so that the government does not provide healthcare at all.”
The Republicans are œlooming with this momentum of shutting down the government to actually throw the US into a default so that the US is maxed out on its credit card on its credit worthiness,” he noted.
The White House on Tuesday rejected a new proposal by House Republicans to raise the nation™s debt ceiling to prevent a debt default less than two days before the deadline.
œThe president has said repeatedly that members of Congress don™t get to demand ransom for fulfilling their basic responsibilities to pass a budget and pay the nation™s bills,” White House spokeswoman Amy Brundage said in a statement on Tuesday.
A default is imminent with no agreement over raising the country™s $16.7 trillion debt ceiling by October 17.
AT/HJ
Copyright: Press TV