U.S. debt ceiling agreement gets thumbs up from business groups, jeers from some on political right

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The reviews are starting to come in as details emerge about the debt ceiling agreement reached by President Joe Biden and House Speaker Kevin McCarthy.

Even before seeing those details, some lawmakers were criticizing the deal as not doing enough to tackle the nation's debt, while others worried it's too austere and will harm many low-income Americans.The legislation will probably need support from a significant number of lawmakers from both parties to clear the closely divided House and gain the 60 votes necessary to advance in the Senate.

GOP leaders knew all along that they would lose some members' support in any compromise with a Democratic-led White House and Senate. The question has always been whether the deal would pick up enough Democratic support to offset those defections.As much as some Democrats dislike what is roughly a spending freeze on non-defense programs next year and chafe at work requirements being extended to more food stamp recipients, initial reaction has been circumspect as they await more details.

"To my colleagues who have serious misgivings about this deal, I say this is far better than defaulting," Coons said. "And so what do the numbers look like at the end of the day, I'm not sure," said Jayapal, chair of the Congressional Progressive Caucus. "However, it is bad policy. I told the president that directly, when he called me last week on Wednesday, that this is saying to poor people and people who are in need that we don't trust them."

The Business Roundtable, a group of more than 200 chief executive officers, called on Congress to pass the bill as soon as possible. Economists have been clear that the economy would be roiled with even a short-term breach in the nation's ability to fully pay its bills as interest rates would rise and financial markets swoon.

 

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