Middle Class Would Pay Heavy Price for Default
We all agree that the United States is the best country in the world. So why are some Republicans arguing it’s okay for us to not pay our bills like we live in some third world country? Not only would a default hurt our country’s hard-earned reputation as the world’s most stable economy, it would devastate our economy.
Middle class families would pay a heavy price if our country defaulted. Interest rates would jump, raising the cost of mortgage payments, credit cards, utilities, and even food. And the resulting fall in stock prices would hurt families’ savings, pensions and retirement accounts.
Even President Reagan agreed the U.S. must never default, telling Congress:
The United States has a special responsibility to itself and the world to meet its obligations. It means we have a well-earned reputation for reliability and credibility – two things that set us apart from much of the world.
We must honor our nation’s reputation and protect American families. It’s time Republicans did just that by joining us to pass a balanced approach to deficit reduction and avoid default. Then we need to stay at the table and focus on the issue most important to American families: jobs!