What would happen if the U.S. did not raise the debt ceiling? The U.S. would be unable to issue new bonds. If this were the case, the treasury would be forced to print a great deal more money. Hyperinflation (Already a danger) would become a reality. The economic shock that would result from this would be worldwide. The most productive economy in the world would begin to shut down as producers stopped production. The barter system could not possibly replace the dollar in the world economy and some other currency would have to become the worldwide reserve.
I am a firm believer that most wars have an economic origin. It was no coincidence that the greatest war in mankind's history was immediately preceded by the greatest economic downturn in man's history. By doing so, we could end up triggering a world war. After all, many parts of the world are more vulnerable than we are. We have a recession; some other countries go into a depression.
. In general principal, I am for stopping the rise in debt and a reversal of the government takeover of our economy. Maybe we need to be weaned off debt like a drug addict. A major problem here is that we live in a republic. We elect our leaders. (A bad sign here: Just look at who we have elected this last time) In other words, we will probably change our minds once things begin to change. Then we would elect new people to reverse the process.
Maybe we really do need to just take it. We will need to be prepared for disaster, although it will be less so than if we just allow things to continue. This is why I say that our republic is in danger. I don't believe that we have the political will anymore. We just may be forced into a situation where we have a leader who can just do it. An Agustus, if you will. Things would get much better, but absolute power will be impossible to remove.