Federal Debt Ceiling

[sbriggman]

Hi,

I'm interested in what other people think about all the media hype around the federal debt ceiling. Do you think there would be severe economic consequences if the government fails to raise it by august 2nd?

Also, do you think the S&P or Moody's is warranted in downgrading the US?

I just wrote a blog post on the matter and am interested in what other people think.
XXXXX-edited-Meister

 

[Oddball]

If you're interested in what other people think, then stick around and find out rather than redirecting traffic to your blog.

Poor form, dude.

 

[sbriggman]

I'm posing a question to find out what other people think. They can decide whether or not they want to see my opinion which I wrote as an article on my blog.

 

[waltky]

Uncle Ferd wantin' to know if Nancy Pelosi is up for a round o' hide-the-salami?...

Obama, Republicans make debt sausage
Jul 22, 2011 - The debt debate has had its share of food metaphors -- President Obama says lawmakers have to "eat our peas," while John Boehner says talking to the White House is like "dealing with Jell-O" -- but a more familiar description is apt as a government default looms.

Sausage making. That's what happening as Obama and Boehner tried to fashion a "big deal" with a lot of different parts -- as Republicans say they will oppose any efforts to increase taxes -- as Democrats worry that proposed budget cuts will damage essesntial programs, such as Social Security and Medicare. Administration officials say they are looking for a deal that can pass both the Republican House and the Democratic Senate -- and get substantial support from members of both parties.

Oh, and they need to do this by Aug. 2, the day the Treasury Department says it will lose its authority to borrow money to pay the nation's bills; a default looms, unless Congress finds a way to raise the $14.3 trillion debt. "This is about how the sausage gets made in Congress," said White House spokesman Jay Carney. While White House officials say they are not close to deal, Obama and Boehner are said to be working to revive a "big deal" that would raise the debt ceiling while reducing the debt by $4 trillion over ten years.

The parties are discussing budget cuts of up to $3 trillion, as well as up to $1 trillion of new tax revenues, to be determined partly through tax reform. Some Democrats say the tax pledges are too squishy, but Obama promoted the idea at a meeting of party leaders last night. House Republicans say they already have a plan -- the "Cut, Cap, and Balance" proposal that passed the House and is now pending in the Senate. It has no taxes and also calls for a balanced budget amendment to the U.S. Constitution. Meanwhile, Senate leaders Mitch McConnell and Harry Reid are discussing a fall-back plan, a series of complex legislative maneuevers that would basically force Obama to raise the debt ceiling on his own.

MORE

 

[iamwhatiseem]

I would like peoples opinion on X.
I wrote a blog here www......com
On this subject I wrote a blog, what is your opinion.
I write blogs.

 

[sbriggman]

I wrote a blog post on the federal debt ceiling because it's a topic I'm interested in. I posted on this forum because I want to hear other people's points of view and connect with like-minded people who believe the media is making this out to be more of a financial crisis than it really is.

Unfortunately, as your response exemplifies, it's been difficult to find actual intelligent conversation about the debt ceiling with people who actually are interested in the economy.

 

[BruceB73]

I looked up this discussion forum thinking there might be some interesting insight into the topic, not to see a big discussion of whether or not someone should have written a blog. By the way, it seems the link has been edited out anyway.

So, here's what I don't get. Why is it that Obama says cooperation but means you have to do it my way? Is he so deathly afraid that he won't get re-elected that he won't negotiate an intermediate debt ceiling? Seems to me that he doesn't really want to address the problem before the election for fear of loosing out to the Republican pressure. I agree with him that it's past time to get serious. But when I say cooperation, I mean both sides. I'm very much against a tax on "rich" but favor some tax reform. The only tax reform that Obama talks about though is targeted to those over $250K per year (by the way, clearly he's never visited the area between Washington and NYC or he'd know that $250K+ doesn't make you "rich"). I think Boehner has accepted some tax reform, why can't the President accept an intermediate increase in the ceiling? Seems to me we have a deal if that can happen.

 

[iamwhatiseem]

I looked up this discussion forum thinking there might be some interesting insight into the topic, not to see a big discussion of whether or not someone should have written a blog. By the way, it seems the link has been edited out anyway.

So, here's what I don't get. Why is it that Obama says cooperation but means you have to do it my way? Is he so deathly afraid that he won't get re-elected that he won't negotiate an intermediate debt ceiling? Seems to me that he doesn't really want to address the problem before the election for fear of loosing out to the Republican pressure. I agree with him that it's past time to get serious. But when I say cooperation, I mean both sides. I'm very much against a tax on "rich" but favor some tax reform. The only tax reform that Obama talks about though is targeted to those over $250K per year (by the way, clearly he's never visited the area between Washington and NYC or he'd know that $250K+ doesn't make you "rich"). I think Boehner has accepted some tax reform, why can't the President accept an intermediate increase in the ceiling? Seems to me we have a deal if that can happen.

Everytime I hear Obama say "it is time to get serious about debt reduction"...it is like an alcoholic calling for prohibition.