The case for breaching the debt ceiling

the debt ceiling, by contrast, is a one-and-done move. Once Treasury proves itself willing and able to borrow more than the debt ceiling, it need never fear the ceiling again.sovereign-debt experts Anna Gelpern, Adam Levitin and Stephen Lubben. "It does not give Congress the power to renege on these contracts."

"Treasury is bound to pay," they conclude. "If Congress does not raise enough revenue to pay for appropriated commitments, then the president’s only choice is to borrow." In other words: The president's constitutional obligation to borrow the money trumps any debt-ceiling obligation not to.international economic strategist Patrick Chovanec.

A lawsuit alleging the new borrowing was illegal would surely make it to the Supreme Court in record time. But even if the justices were broadly sympathetic to the plaintiff and found against the executive, the remedy would not be to force the U.S. to default on its debt.Any borrowing above the debt limit would be unauthorized by Congress. But so long as the debt continued to be issued and serviced, markets wouldn't mind.

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