While many of us wonder what might be the long-term ramifications of a government default and shutdown if the debt ceiling is not raised by August 2, for many people this is not merely an academic exercise but a real and immediate danger.
Recall that about half of American households are ‘economically fragile’ in the sense that in an emergency they could not lay their hands on $2,000 within 30 days. They live from paycheck to paycheck. What will happen to such households if government employees get furloughed and don’t get paid or to similarly situated seniors if the social security checks don’t go out? How will they pay their rent and mortgages?
This should be a sobering reminder that politics is not a game. Ordinary people get hurt.