Tick, tick. August 2nd is the Debt Limit Armageddon. Or Not.

Quote:

Congress Continues Debate Over Whether Or Not Nation Should Be Economically Ruined

Should we take steps to avoid a crippling, decades-long depression that would lead to disastrous consequences on a worldwide scale? Or should we not do that?" asked House Majority Leader Eric Cantor (R-VA), adding that arguments could be made for both sides, and that the debate over ensuring America’s financial solvency versus allowing the nation to default on its debt—which would torpedo stock markets, cause mortgage and interests rates to skyrocket, and decimate the value of the U.S. dollar—is “certainly a conversation worth having.” "Obviously, we don't want to rush to consensus on whether it is or isn't a good idea to save the American economy and all our respective livelihoods from certain peril until we've examined this thorny dilemma from every angle. And if we’re still discussing this matter on Aug. 2, well, then, so be it.” At press time, President Obama said he personally believed the country should not be economically ruined.[/[/color]quote]

Source.

Glad I noticed the source. I was about to remark on both the ". . . conversation worth having." and Obama's position that he personally doesn't think it would be good to ruin the country economically. Thanks for the smile.

RNC's Health Scare Tactics

September 1, 2009 | ISSUE 45•36

A recent fundraising mailer for the Republican National Committee was accompanied by a questionnaire which intimated that any health care reform may include a provision to deny Republicans medical treatment. What do you think?

That's absurd. The legislation would merely deny Republicans anesthesia during surgery.

Lane Heater
Drain Layer

I find it absolutely appalling that anyone could believe that political affiliation would be used to determine who receives medical treatment. That's what race and socioeconomic standing are for."

Liz McEneaney
Felt Pad Cutter

But if the Republicans don't like this health care policy, wouldn't they want to be excluded?"

Grant Drucker
Hearing Officer

Push Intensifies for Larger Deal on Debt Impasse
Philip Scott Andrews/The New York Times

WASHINGTON — With the clock ticking down, President Obama and Congressional leaders began a final effort to forge a broad deficit-reduction plan even as new cracks appeared among House Republicans over how to proceed.

Representative Eric Cantor told reporters that a plan relied far too much on higher revenues to cut projected deficits.

The White House suggested for the first time that Mr. Obama might be willing to agree to a short-term increase in the debt ceiling by Congress — perhaps for a few days — if such a deal was in sight, stepping up the pressure on the two parties to come to terms.

Mr. Obama met separately at the White House with Republican and Democratic leaders. But neither side reported any substantive progress as they searched for a formula that would include deep spending cuts, cost-saving changes to entitlement programs and an overhaul of the tax code that would increase revenues by closing certain tax breaks and eliminating deductions but also lower some tax rates.

Politically, the main question remained whether House Republicans would be willing to negotiate over any package that could be construed as raising taxes, and throughout the day there were signs of internal debate among party leaders.

Maybe they'll all jump on gold, and run up the price so I can sell my five dollar heirloom gold piece. Except I won't.

Maybe German bonds if they weren't denominated in Euros.

They're close, but they're not.

I'm confused!

Congratulations Coburn


Sen. Bernie Sanders on Wednesday congratulated Sens. Tom Coburn, Mike Crapo and Saxby Chambliss on their very significant victory in negotiating a deficit-reduction plan that achieves their long-term goal of dismantling every major social program relevant to working families. The so-called Gang of Six plan that the Republican senators negotiated calls for massive cuts in Social Security, Medicare, Medicaid and virtually every program important to working families, the sick, the elderly, the children and the poor. "While I am sure that they did not get everything that they wanted, I think it's fair to say they won about 80 percent to 90 percent of what they fought for," Sanders said. "Despite President Obama's campaign promise not to cut Social Security benefits, the Gang of Six plan, which he apparently embraced, calls for massive cuts in that vitally important program."

Under the Social Security proposal, a new formula for calculating cost-of-living adjustments would cut a typical 75-year-old's yearly benefits in 10 years by $560. The average 85-year-old would see a $1,000 a year cut in 20 years. Furthermore, the proposal demands that Social Security be solvent for a 75-year period, which could include additional cuts. The proposal also cuts Medicare by $298 billion over 10 years and makes massive cuts to Medicaid.
While the spending cuts for programs that working people desperately depend upon are enforced by specific spending caps, there is no such enforcement or clarity regarding the $1.1 trillion to be raised in revenue over 10 years.

"What happens if that revenue target is not reached? There is no language that deals with that. Where does the revenue come from? That very important issue is kicked to the tax writing committees with no guarantee that hundreds of billions of dollars in new revenue will not come from the pockets of low- and moderate-income Americans," Sanders said. "While nobody knows for certain what provisions might be adopted, there is reason to expect that some of the areas that the House and Senate will be looking at include the home mortgage deduction for middle-class families, taxes on health care benefits, and increased taxes on retirement programs such as 401(k)s and IRAs. In other words, while there is a reasonable degree of specificity in terms of cuts there is only vagueness in terms of revenue."

Sanders, a member of the Senate Budget Committee, has advocated an approach to deficit reduction that matches increased revenue with spending reductions. "At a time when the wealthiest people in this country are becoming wealthier and are paying the lowest effective tax rates in modern history, when corporations are making billions of dollars and making nothing in taxes at all, Sanders said at least half of a deficit reduction package should come from ending tax breaks and tax loopholes for the wealthy and large corporations. With military spending having nearly tripled since 1997, we must take a hard look at cutting unnecessary and outdated military programs," he said.

roger, You can jump on gold, but consider this. The value of all gold exceeds the value of money in circulation at current prices.

Cycloptichorn wrote:

The 'freshman 90' are needed for nothing at all. Boehner could and can pass a debt increase limit without them in a heartbeat - by getting the support of the Dems to do so. It would hardly be the first time in history that such a thing has happened.

Precisely what I think he should do.

Asked whether GOP lawmakers supporting the House "cut, cap and balance" debt limit measure would be unwilling to ultimately compromise, Boehner said, "I'm sure we've got some members who believe that, but I do not believe that would be anywhere close to the majority. Source