Now that both the House of Representatives and the Senate have approved the plans, the United States has been prevented from running out of money. This has resulted in great chaos in the financial markets.
A majority was expected, says Postma. But Republican senators in particular were less enthusiastic, with 31 Senate members voting against it. “As in the House of Representatives, in the end, with the help of both sides, there was just enough support to see the deal through.”
Irritated
Partly due to doubtful Republicans, the debate lasted longer than expected. A dozen senators have come forward with amendments and additions to that agreement. They were rejected, but it took some time. “Many senators wanted to be heard. They are annoyed that they can’t have a say.’
According to Postma, the plan also contains a number of policy points that are in principle separate from the debt ceiling, but have important consequences. “It goes from food stamps to an oil pipeline.”
But President Biden and House Republican leader McCarthy negotiated it, and the House of Representatives has already agreed. Adjustments to the deal would mean that the plan would be discussed in the House again, and there was no time for that. The buyout vote came four days before the deadline set by the US Treasury Department.
Formalities to Biden
Now all that remains is to sign President Biden. A formality that will happen soon. The deadline ends on Monday 5 June. He’ll make another speech to celebrate a victory. This home-made crisis will be resolved until January 2025.”
The deal limits Biden in his policies. While initially he rightly stated that politics and the debt ceiling have nothing to do with each other. “But if you look at what ultimately came out and how frustrated Republicans in particular are, Biden has emerged victorious from this battle,” Postma says.
Over $31 million
Previously, Biden and McCarthy agreed that the federal debt could exceed the previously set ceiling of $31.4 trillion through January 1, 2025. The next vote on raising the debt ceiling will not take place before the US presidential election .