As the wrangling in Washington continues over raising the debt ceiling, the possibility of military families not getting their paychecks is looking more and more like it could become a reality. According to the Guardian, Federal Reserve Chairman Ben Bernanke told Congress yesterday that if the debt ceiling isn't raised, funding for social security payments, Medicare, and military pay would be the first to go.
Although some lawmakers are playing with the notion that not raising the debt limit won't be as harmful to the United States (and its military) as economists theorize, JPMorgan Chase CEO Jamie Dimon is waving the red flag of alarm. He told reporters today:
"No one can tell me with certainty that a U.S. default wouldn't cause catastrophe and wouldn't severely damage the U.S. or global economy. And it would be irresponsible to take that chance."
Austin, Texas television station KVUE has this report on what military families could face if lawmakers fail to raise the debt ceiling:
