Former Trump Aide Smells 'Politics' Behind June 1 Debt Ceiling Deadline: 'I Don't Believe That Janet Yellen Is Stupid'

Former chief of staff to President Donald Trump said that he believes the June 1 deadline to raise the debt ceiling and avoid default is unnecessary, despite Treasury Secretary Janet Yellen‘s repeated warnings. 

What Happened: Mick Mulvaney, in an interview with NewsNation's ‘The Hill,' said, "For the treasury secretary to miss the date, that's fine. To miss it to the wrong side, that's unheard of."

The former White House aide suggested that the default deadline was likely later. "I don't believe that Janet Yellen is stupid," he said, adding, "I think she's a very smart lady. So, it gives me the impression there's some politics in that. And I know if I'm thinking that there are other Republicans on the Hill who are thinking that."

Mulvaney’s comments came after Yellen reiterated her warning to Republican lawmakers that the U.S. could run out of cash as early as June 1.

"Time is running out. Every single day that Congress does not act, we are experiencing increased economic costs that could slow down the U.S. economy," the Treasury secretary also said at an event Tuesday.

Why It Matters: Biden and House Speaker Kevin McCarthy met on Tuesday to discuss the debt ceiling crisis. After a month-long standoff, the two leaders agreed to negotiate directly on a deal.

“We’re going to come together because there’s no alternative,” Biden told reporters at the White House.  "We will not default. Every leader has said that.”

Photo by Gage Skidmore on Flickr