By Russell Berman
The can cannot be kicked down the road again. The deadline cannot be delayed. It’s now or … well, no one wants to contemplate what happens if there’s no sign of a debt-reduction deal by July 4. The dollar or capital markets, or both, could explode.
As Vice President Joe Biden’s group of negotiators returns to the bargaining table this week, there’s at least one thing that unites Republicans and Democrats working to bridge a partisan chasm on fiscal policy: They know that time is running out to agree to lift the $14.3 trillion debt limit and end fears of a first-ever default by the U.S. government.
While the Treasury Department has set an Aug. 2 deadline for Congress to approve an increase, negotiators are pushing to have a framework in place by Independence Day, according to people briefed on the talks.