WASHINGTON, DC - Ways and Means Committee Ranking Member Sander Levin (D-MI) today issued a statement following the House passage of H.R. 692 - the “Pay China First" Act - which would prioritize payments of our nation’s debt to foreign bondholders in the case of default ahead of U.S. veterans, active duty troops, doctors, and millions more Americans:
“Congress should not even entertain the idea of defaulting on our nation’s debt. Yet, House Republicans have once again advanced a bill that would put our nation’s full faith and credit at risk. Default by any other name is default.
“We have seen how this reckless approach has had real consequences in the past - in 2011, Congress played with fire and got burned when S&P downgraded our credit rating for the first time in history. And in 2013, Republicans threatened default and shut down the government, raising the cost of borrowing for families with home mortgages, car loans, and credit card debt. Let’s not risk further damage to our economy, and instead take responsible action by raising the debt limit immediately."
