The truth is that the United States doesn’t need, and shouldn’t have, a debt ceiling. Every other democratic country, with the exception of Denmark, does fine without one. There’s no debt limit in the Constitution. And, if Congress really wants to hold down government debt, it already has a way to do so that doesn’t risk economic chaos—namely, the annual budgeting process. The only reason we need to lift the debt ceiling, after all, is to pay for spending that Congress has already authorized.... For the U.S. to default now, when investors are happily lending it money at exceedingly reasonable rates, would be akin to shooting yourself in the head for failing to follow your diet.
From James Surowiecki at the New Yorker via Calculated Risk.
I totally agree with Surowiecki's analysis. Alas, Tea Party Republicans, rather than grown ups, are in charge in the House of Representatives and they could care less about responsible government, the nation's credit rating, or the well being of our country, and are blinded by a less taxes, less spending agenda, reality and reason be damned.