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February 2, 2011 - by Donny Shaw

In other words, if the Republicans in the House do not pass a debt limit increase, this bill would automatically enforce a deep domestic austerity program. The guiding idea here is to avoid an international default scenario that could permanently destroy U.S. creditworthiness by, apparently, defaulting instead on legal obligations at home, like Social Security payments and benefits for veterans. Toomey himself noted in a recent op-ed that if his bill was triggered, "projects would be postponed, some vendor payments would be delayed, certain programs would be suspended, and many government employees might be furloughed."

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