Kevin Hassett and Abby McCloskey: Obama Rewrites Debt-Limit History - WSJ.com
Jay Jamison stashed this in Politics
Stashed in: Republicans
I hadn't known this history of debt limit negotiations.
Here's the key:
While the debt-limit kabuki inevitably roils markets as deadlines approach, the alternative absence of fiscal discipline would make government insolvency more probable in the fullness of time.
So yes, the debt-limit is a political weapon that has been wielded many times.
It is why Republicans were so confident in the deficit spending strategy last decade.
Debt limit chicken is part 2 of the Starve the Beast economic strategy: