What happens if the rest of the system calls the Tea Party out?
If they reverse the situation now and go budget + debt ceiling are a tied issue (which of all the bills out there would have to be the most closely aligned unlike pork barrel additives).
Tea Party can come and play or cause the USA to not pay its dues.
Credit rating dips and therefore interest rates go up a couple of points maybe 0.1%
US dollar loses its gloss as a steady bet therefore money is diverted out of it to more stable safe economies. Means the ability to service debt goes down as the USD dips a couple of percentage points. This is more damaging then the credit rating slip as it changes people's thinking and attitudes towards the dollar. Hearts and minds of stock brokers are more fickle and the outcome more damaging then fundamentalists.
So that is a mix of internal and external.
Debt ceiling not being raised means that essential government employees aren't getting payed either. That includes the military and I expect it would have a knock on effect in funding and infrastructure to states.
Suddenly it is not just non essential white collar government employees its also all the employees. It is also all those who rely on contracts to the government and their employees will feel the pinch.
This will hit everyone in every economy and there is no way tea party members will be immune to this. Mind you their survivalist factions will be having wet dreams and spam.
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