“What we’ve been talking about today is not really the debt ceiling because I don’t accept that as a kind of legitimate way of looking at it because the only issue — the only issue that matters is the size of government,” Steyn said.
“The bigger government gets, the more wasteful , the more unproductive it gets, the more stupid it gets,” he explained. “And that’s why we shouldn’t be talking about it in terms of the debt ceiling and the debt limit. The world will set America’s debt limit, and the world is already doing that.”
Steyn argued there are some assumptions that can’t be taken seriously in this debate, particularly that the rest of the world will invest one-fifth their gross domestic product in U.S. Treasury bonds. He said there is not any proof that other nations would be willing to buy that much American debt. So the real “debt limit” will be based on how much the world is willing to lend, which is partly tied to our own government’s fiscal responsibility.
“Accepting the terms of this debate is nuts and Republicans should be mad about this,” Steyn said. “The Republican leadership should be saying, ‘We don’t want to play this game. You can play this game yourselves. We want to talk about the size of government. We want to talk about lowering spending. You guys spend too much.’”