U.S. politicians are in the thick of a debate that is fascinating, urgent, passionate, stubborn and potentially highly dangerous both for the American economy and for the country's political reputation and standing in the world.
It is a tragic measure of the purblind failure of leaders of both parties — I am tempted to say all parties because there are so many squabbling factions — that they are playing a game of chicken just when there are so many doubts about the recovery and whether the U.S. can any longer be trusted as a global leader.
The argument is over whether to raise the $14.3 trillion ceiling on U.S. federal debt, a level that was reached May 16. Unless and until Congress raises the ceiling it means that the U.S. government cannot borrow any more money. Treasury Secretary Timothy Geithner has said that he can juggle with the accounts until Aug. 2, the outside limit.