Tag

Political Brinksmanship

All articles tagged with #political brinksmanship

"House Freedom Caucus Strikes Blow Against Speaker Johnson Over Spending Bill"
politics1 year ago

"House Freedom Caucus Strikes Blow Against Speaker Johnson Over Spending Bill"

The House Freedom Caucus, a group of ultraconservative lawmakers, suffered a decisive defeat when the House passed a $1.2 trillion spending package, revealing the limits of their political brinksmanship. Their attempts to pressure leadership to cave to their demands failed, and their influence is waning as House Speaker Mike Johnson becomes more decisive and willing to ignore their noise. Despite some occasional successes, the caucus's refusal to compromise has led to more bipartisanship, and their power is shrinking, much to the satisfaction of Democrats.

Debt default risk spooks Wall Street.
finance2 years ago

Debt default risk spooks Wall Street.

While the chances of the U.S. defaulting on its debt are shrinking, risks remain for the banking system and global financial markets. The U.S. markets and the economy are still facing uncertainty, and a default would be a disaster. Every financial instrument in the world is priced off of the risk-free rate of U.S. debt, and a default would risk sending short-term yields higher, while riskier assets and the dollar would likely fall. Lawmakers appear to be closer together on avoiding a default, but the government may not be able to pay all its obligations as early as June 1 if a deal is not reached.