Free money Alan Greenspan on the debt ceiling.
Nov. 7 (Bloomberg) -- Former Federal Reserve chairman Alan Greenspan said the U.S. election yesterday perpetuated the political status quo and hasn’t increased the probability of resolving the nation’s fiscal challenges.
Alan Greenspan is wrong. The debt ceiling serves an important purpose.
There is no doubt the annual debt ceiling battle has become something of a circus sideshow, but it's also the only time the media, and the occasionally even citizens, pay attention to deficit and government spending issues. If the debt ceiling were eliminated, the opportunity for budget discussion would disappear.