President-elect Donald Trump's latest intervention threatens to disrupt crucial government funding negotiations just days before a potential shutdown.
According to ABC News, Trump declared there would be a government shutdown unless Congress extended or eliminated the debt ceiling while simultaneously placing responsibility for any shutdown on President Joe Biden.
The former president's stance comes after successfully derailing a House Republican-proposed government funding bill, highlighting his continued influence over congressional Republicans.
His demands focus specifically on addressing the debt ceiling issue during Biden's administration rather than waiting until his potential return to office in 2025.
Trump expressed serious concerns about the potential consequences of reaching the government borrowing limit, comparing it to the economic crisis of 1929. He emphasized the psychological impact of breaching the debt ceiling, suggesting it could either be inconsequential or catastrophically damaging to the economy.
Trump stated to ABC News' Jonathan Karl in a phone interview:
The interesting thing is, [the debt ceiling] possibly means nothing, or it means [the] depression of 1929. Nobody really knows. It means nothing, but psychologically it may mean a lot, right? In other words, it doesn't have a real meaning other than you've violated something. And that may be just, one day, half a story, or it may lead to the depression of 1929 and nobody wants to take the chance, except the Democrats.
The timing of Trump's intervention is particularly significant, as Congress faces a Friday night deadline to pass a funding bill to prevent a shutdown of major federal services. His focus remains primarily on the debt ceiling rather than specific spending levels in the current funding bill.
The former president's stance has created additional pressure on House Speaker Mike Johnson, whose leadership abilities are being tested by this crisis. Trump's comments about Johnson's survival depending on his strength reveal the delicate position the Speaker finds himself in.
In addressing the potential impact of a government shutdown, Trump emphasized his belief that any negative consequences would reflect poorly on the current administration. He referenced his previous attempts to convey this perspective to former House Speaker Kevin McCarthy.
Trump appeared less concerned about specific spending provisions, including $100 billion in disaster relief aid and $10 billion in farmer assistance, focusing instead on the broader debt ceiling issue. His strategic approach aims to force action on the debt ceiling during Biden's presidency rather than dealing with it during his potential second term.
The immediate challenge facing Congress involves passing essential funding legislation by the Friday deadline to prevent a government shutdown. Trump's intervention has complicated these negotiations by introducing the debt ceiling as a non-negotiable condition.
The federal government is projected to hit its borrowing limit in spring 2025, which would coincide with the early months of the next presidential term. This timing has influenced Trump's strategy to address the issue during Biden's current term.
A successful resolution will require navigating complex political dynamics, including Trump's influence over Republican lawmakers and the practical needs of government operations. The situation remains fluid as congressional leaders work to prevent a shutdown while addressing the broader debt ceiling concerns.
