From the New York Times,
The Senate voted on Thursday to allow a further increase in the federal debt limit, permitting President Obama to borrow $1.2 trillion more to operate a government that spent about 55 percent more than it collected in revenue last year.
The 52-to-44 vote generally followed party lines, with Democrats supporting the increase in borrowing authority and Republicans opposed.
In the House last week, Republicans passed a “resolution of disapproval” to stop the increase in the debt limit. But the Senate refused on Thursday to take up that measure.
The upshot is that the debt limit will rise immediately to $16.4 trillion, from the current ceiling of $15.2 trillion.
Here is a very relevant quote from the great Professor Ludwig von Mises
What the doctrine of balancing budgets over a period of many years really means is this: as long as our own party is in office, we will enhance our popularity through reckless spending. We do not want to annoy our friends by cutting down expenditure. We want the voters to feel happy under the artificial short‑lived prosperity which the easy money policy and a rich supply of additional money generate.
Ever wonder why the world will continue to experience crisis after crisis?
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