Obama administration proposes scrapping limits on national debt

The Obama administration Friday proposed eliminating the "debt ceiling," allowing the federal government to increase spending and borrowing without limit.

CNS News reports journalist Al Hunt, host of Bloomberg TV's “Political Capital,” asked Treasury Secretary Timothy Geithner if he believes “we ought to just eliminate the debt ceiling.”

“Oh, absolutely,” Geithner chimed.

It would be up to Congress to eliminate the debt ceiling.  Republicans and Democrats agreed last year to raise the debt limit by $2.4 trillion to a record $16.394 trillion.  "As of the close of business on Thursday, the Treasury had only $154.3 billion of that $2.4 trillion in new borrowing authority left," CNS reports.