Debt ceiling

Warren Buffett has proposed a solution to the US debt ceiling impasse:

“I could end the deficit in 5 minutes. You just pass a law that says that anytime there is a deficit of more than 3% of GDP all sitting members of congress are ineligible for reelection.”

I wont source this, its everywhere.

I have another alternative – a more incremental approach. It grew from this:

A separate question is whether it would be logistically feasible for the federal government to suddenly stop the payments that it is institutionally accustomed to make. Felix Salmon explains:

purely as a practical matter, it’s far from clear that it’s even possible to stop making the 3 million payments that Treasury makes automatically every day. Doing so involves a massive computer-reprogramming effort which I’m sure could not be implemented overnight– and for political reasons nobody is going to get started on such an effort until after all hope is lost for a deal in Congress.

Found at Econbrowser, here:

OK, so if its going to be difficult to stop making payments I reckon the Treasury needs to get started on this task right now by stopping payments to all elected members of Congress, and the President (and in one week, if agreement is not reached, extended to all elected officials in the US). Once the paychecks dry up to these clowns they might either (a) focus on resolving the issue or (b) quit in disgust and go find another job. Both solutions are a win.

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