U.S. House Speaker John Boehner, R-Ohio, said Friday that there should not be a long-term increase in the debt ceiling until the U.S. Senate passes a budget.
“We are going to pursue strategies that will obligate the Senate to finally join the House in confronting the government’s spending problem. The principle is simple: no budget, no pay," Beohner said, in excerpts from his House GOP retreat remarks.“A long-term increase in the debt limit that is not preceded by meaningful and responsible reductions in government spending might avert a default, but it would also invite a downgrade of our nation’s credit that damages our economy, hurts families and small businesses and destroys jobs,” Boehner said.
The U.S. Senate has not approved a formal budget resolution in about four years, with Congress relying on stop-gap funding measures, called "continuing resolutions," to keep the U.S. government operating.
Joseph Lazzaro, U.S. Editor, served as Managing Editor of New York-based financial news web sites WallStreetEurope.com/WallStreetItalia.com, 1999-2004, and as Economics...