Over his tenure, John Boehner significantly influenced US fiscal policies. Though attempts to cut government expenditure defined John Boehner’s tenure, the national debt kept rising. The elements causing the rise in national debt under this Republican Speaker of the House’s from 2011 to 2015 direction are explored in this article.
Fiscal Policies and Debt Ceiling Negotiations — The Grand Bargain
Attempts to strike a “grand bargain” with President Obama to handle the country’s financial woes defined Boehner’s term. These talks sought to lower the deficit by means of income raises mixed with expenditure cuts. But the inability to obtain a complete consensus resulted in temporary policies devoid of any appreciable reduction of the national debt.
Debt Ceilings Standoffs
Under Boehner’s leadership, a series of debt ceiling stand-offs intensified the threat of default. Usually resulting in last-minute bargains that increase the debt ceiling without resolving the fundamental fiscal problems, these standoffs can be defined. The uncertainty and brinkmanship these negotiations brought about added to market volatility and higher borrowing rates.
Effect of Sequestration: Automatic Spending Cut
The Budget Control Act brought sequestration—a set of automatic expenditure cuts meant to impose financial discipline—in 2011. Although sequestration sought to lower the deficit, it also resulted in all-around cuts impacting non-defense as well as defense expenditure. These measures were deemed ineffective as they did not address the root causes of the national debt.
The Economic Impact
Using sequestration produced conflicting financial results. Although it temporarily helped to lower the deficit, it also slowed down government expenditure in important sectors such as infrastructure and education, therefore hindering economic development. This thus affected income generation and helped to explain the rising national debt.
Endpoint
During his House Speaker term, John Boehner worked to solve the country’s financial problems by means of discussions and expenditure cuts. But the inability to negotiate all-encompassing agreements combined with the debt ceiling’s economic effects and sequestration’s implications helped the national debt to keep rising. Boehner’s leadership sought to encourage fiscal restraint, but the complexity of the political terrain and economic reality finally resulted in a rise in the national debt during his tenure.