Payment Prioritization Is a Threat to Democracy

The idea of debt payment prioritization to avoid a U.S. default poses a threat to democracy.

Back in January, the last time we were worried about the debt ceiling, JPMorgan's chief economist said that a default on U.S. government debt would transform the world into a Hieronymus Bosch painting of hell. This is why lots of people have spent lots of time coming up with tricks to get around the impasse created by Congress, including a declaration that the ceiling is unconstitutional, aplatinum coin with a ludicrously high face value and a scheme to refinance existing bonds into new instrumentsthat are worth more. (Some of those ideas are easier to implement than others.)

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