Given that Congress will not make those adjustments that will allow the US to meet its financial obligations, it may be necessary for President Obama to exercise his discretionary powers and thereby prevent the US from acting against the US.
President Obama has not imperiled the economic well-being of his nation. This is a problem he inherited. It is therefore unacceptable that Congress should deny further borrowing. There is no other option, at least not in the short term.
There is a remedy. In the long term, revisiting spending priorities and taxing all Americans, including the affluent, could lead to solvency and growth. However, between now and August 2nd, 2011, there is no long term.
In a crisis, the President of the United States has considerable discretionary power and such power he must exercise. President Obama will have to do whatever he deems necessary. That is his prerogative.