Economic Program | Idea Brief

A Better Way to Handle the Debt Ceiling

by David Kendall

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To break the stalemate over the debt ceiling, Third Way is proposing a commonsense solution that would automatically raise the debt limit as long as fiscally responsible debt targets are achieved. If we fail to meet those targets, we would then fall back to our current system. This change would enable fiscal certainty and responsibility, all while avoiding the threat of default.

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