http://mediamatters.org/research/201107180013Recently, right-wing media figures have advised congressional Republicans to refuse to compromise in the debt ceiling debate, even allowing the country to default, because, they argue, the consequences of a default could hurt President Obama in 2012. Economists agree that there could be severe consequences to the economy if the debt ceiling is not raised.
Erickson To Boehner: "Obama Knows Default Would Be His ... Legacy. ... Don't Blink. ... Hold The Freaking Line." In a July 14 RedState post, CNN's Erick Erickson offered the following message to House Speaker John Boehner:
Wash. Times: "Compromising On Taxes Would Be Disastrous, Possibly Guaranteeing President Obama's Re-Election."
Experts Agree That Failure To Raise Debt Ceiling Could Have Severe Economic Consequences
Zandi: "In A Post-Default World, Financial Markets Would Unravel And The U.S. And Global Economy Would Enter Another Severe Recession." In a July 15 Washington Post op-ed, Moody's economist Mark Zandi stated: "The Obama administration and Congress must raise the federal debt ceiling by Aug. 2. That's all there is to it." Zandi warned that failure to do so could create "another severe recession" in "U.S. and global econom
."