DEFAULT EQUALS DISASTER; Congressional Record Vol. 157, No. 110
(House of Representatives - July 21, 2011)

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                        DEFAULT EQUALS DISASTER

  (Mr. CARNEY asked and was given permission to address the House for 1 
  Mr. CARNEY. Our Nation is lurching towards an August 2 deadline to 
avoid defaulting on the national debt. If Congress doesn't act, the 
United States will face an economic calamity that could easily have 
been prevented.
  If we don't raise the debt ceiling, the world will lose confidence in 
the U.S., and its credit rating will be downgraded from its current 
bullet-proof AAA grade. Interest rates will rise, which will slow the 
fragile economic recovery and risk pushing the economy back into 
recession. Higher interest rates on U.S. Treasuries would also 
seriously affect ordinary Americans. A default would force consumers to 
pay more for mortgages, car loans, and other borrowing. Losing our AAA 
credit rating will increase the government's interest payments on the 
national debt, making it even more difficult to get our fiscal house in 
  Let's face it. A default would be a financial disaster for the 
country. We can't afford it. But we shouldn't just raise the debt 
ceiling. We should use it as an opportunity for both sides to agree on 
a plan to reduce the deficit by $4 trillion over the next decade. The 
so-called Gang of Six has come forward with a bipartisan plan to do 
just that. It's comprehensive, balanced, and it's right for the 
country. It's not perfect but it's all we have.
  It's time to do the right thing for the country.