Steve Mnuchin knows a thing or two about defaults. Unfortunately, those things primarily involve dealing with people who owe him money defaulting, by which we mean allegedly bum-rushing them out of their homes illegally with bogus documents and then gaming the foreclosure auctions that resulted from the robo-signed papers sent forth from his bank. Now, he may be charged with representing the defaulter, in this case the United States government, because he’s maybe not as good at being Treasury secretary as he was at running a shady mortgage lender.
Mnuchin is hurtling toward his first fiasco, unable to get Congress, let alone his colleagues in the Trump administration, on board with a strategy to raise the federal limit on governmental borrowing.
His struggles are casting doubt on whether the political neophyte, who made his name on Wall Street, has the stature in Washington to press through a vote on a measure that former treasury secretaries of both parties have said is critical to preserving the nation’s reputation for financial stability….
Mnuchin’s push on the debt ceiling was undermined from the start within the White House by Mick Mulvaney, the director of the Office of Management and Budget…. Mulvaney publicly questioned Mnuchin’s call for a clean vote, saying that he would prefer spending cuts or other budget changes as part of any proposal to increase the debt ceiling. Some White House and Treasury officials were incensed to see Mulvaney break ranks….
Of course, other White House officials, notably the top one, think none of this is a big deal because who needs to borrow money when you can print it?