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DEMOCRATS WEIGH GOP OFFER FOR SHORT-TERM DEBT-LIMIT EXTENSION


PARTIES HAVE BEEN AT IMPASSE AS POSSIBLE U.S. DEFAULT LOOMS

Budget Deficits and Debt Are Growing. Do They Still Matter?
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Budget Deficits and Debt Are Growing. Do They Still Matter?

As the federal debt and budget deficits grow in Washington, it’s unclear whether
Democrats and Republicans are concerned. WSJ's Gerald F. Seib examines where
each party stands on the issue. Photo illustration: Todd Johnson
By
Siobhan Hughes
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SIOBHAN HUGHES

 * Biography
 * @siobhanehughes
 * Siobhan.hughes@wsj.com

,
Andrew Duehren
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ANDREW DUEHREN

 * Biography
 * @aduehren
 * andrew.duehren@wsj.com

and
Lindsay Wise
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LINDSAY WISE

 * Biography
 * @lindsaywise
 * lindsay.wise@wsj.com

Updated Oct. 7, 2021 12:52 am ET

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WASHINGTON—Senate Democrats were poised to accept a GOP proposal to defer the
showdown over the debt ceiling until later this year, lawmakers said, as
administration officials and corporate executives issued dire warnings about the
dangers of a possible government default.

The proposal would extend the debt ceiling into December, provided that
Democrats affix a dollar amount to the debt level. A deal could pave the way for
a procedural vote in the Senate soon, to be followed by final passage sometime
later this week. The House will still have to pass the legislation, which is
expected to be signed into law by President Biden.

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