Legislative battles in Washington over once pro-forma actions on debt and transport infrastructure have raised deep concerns over the government's ability to enact sustained job-building and economic-recovery programs--and undergird U.S. competitiveness.
C. Fred Bergsten interviewed by Christopher Alessi
While Congress is likely to raise the U.S. debt ceiling ahead of the August 2 deadline, lawmakers will still need to hash out a long-term deficit-reduction package to avoid market disruption and preserve U.S. global standing, says economist C. Fred Bergsten.
The current level of political dysfunction and ideological polarization in Congress is beyond the norm. A broken legislative branch risks plunging the United States into an economic catastrophe and damaging the nation's global standing, writes Norman Ornstein.
A new proposal by the bipartisan "Gang of Six" to reduce deficits by nearly $4 trillion could gain traction among House Republicans, with polls showing greater public support for raising the debt ceiling as the August 2 deadline approaches, says CFR's Sebastian Mallaby.
This analysis outlines eight reasons why the "Theory of Inevitable Compromise"--that Republicans and Democrats will ultimately hammer out a deal to raise the nation's debt ceiling ahead of August 2--may not hold true in this instance.
President Obama today used his bully pulpit to press Republicans for a deal on raising the U.S. debt ceiling but both sides appear set to take their dispute to the final moments, as financial markets watch anxiously, writes CFR's James Lindsay.
Learn more about CFR’s mission and its work over the past year in the 2015 Annual Report. The Annual Report spotlights new initiatives, high-profile events, and authoritative scholarship from CFR experts, and includes a message from CFR President Richard N. Haass. Read and download »