The Corner

Debt Ceiling and Reg Relief: Looking Back to 1996

 

Earlier this week in NRO, Wayne Crews and I made the case for including regulatory relief in a debt ceiling package. Further research shows there is a precedent for including reg relief measures in a debt ceiling deal.

In 1996, after months of deadlocking on budget negotiations that resulted in a government shutdown and a six-month delay in hiking the debt limit, regulatory reform measures were attached to the Contract with America Advancement Act, a debt hike package passed by the Republican Congress and signed by President Clinton.

I write on the details of this package in a blog post at CEI’s OpenMarket.org. As I note in the post, “The debt ceiling was breached for half a year in the mid-90s — at that time the shutdown took precedence in the headlines over the debt ceiling breach — and there was no catastrophe to speak of.”

All the more reason for Congress to exercise its prerogative to approve new borrowing — a prerogative, as I have written, that stems from the Constitution Article I, Section 8 and is not dampened by the 14th Amendment — to push for spending cuts and for a “ceiling” on overregulation.

— John Berlau is director of the Center for Investors and Entrepreneurs at the Competitive Enterprise Institute.

Most Popular

Media

How American Journalism Died

In 2017, the liberal Shorenstein Center on Media, Politics, and Public Policy at Harvard University found that 93 percent of CNN’s coverage of the Trump administration was negative. The center found similarly negative Trump coverage at other major news outlets. The election year 2020 has only accelerated ... Read More
Media

How American Journalism Died

In 2017, the liberal Shorenstein Center on Media, Politics, and Public Policy at Harvard University found that 93 percent of CNN’s coverage of the Trump administration was negative. The center found similarly negative Trump coverage at other major news outlets. The election year 2020 has only accelerated ... Read More

Battleground Arizona

At an August 11 Trump-campaign event in Mesa, Ariz., the state’s Republican governor, Doug Ducey, noted in his remarks introducing Mike Pence that President Trump and the vice president “have visited the state of Arizona more than any other presidential administration in the history of our country,” adding: ... Read More

Battleground Arizona

At an August 11 Trump-campaign event in Mesa, Ariz., the state’s Republican governor, Doug Ducey, noted in his remarks introducing Mike Pence that President Trump and the vice president “have visited the state of Arizona more than any other presidential administration in the history of our country,” adding: ... Read More