With respect, Rich, your correspondent needs to get out of the House more. The $7 billion that he calls “a real, enforceable cut for FY2012″ represents what the government of the United States currently borrows every 37 hours.
If the CBO’s scoring is correct — that it reduces the 2012 deficit by just $1 billion — then the ”cut” represents what the United States borrows every five hours and 20 minutes. In other words, in the time it takes to photocopy and distribute Boehner’s “plan,” the savings have all been borrowed back.
As for the rest, I’m philosophically opposed to “entitlements” because they strike at one of the most basic principles of representative government — that a parliament cannot bind its successor. But the same objection applies to jelly-spined legislators announcing grand plans for bazillions of savings years after their term of office has expired. Who knows what’ll be happening in 2017? Maybe North Korea will accidentally nuke the South Sandwich Islands and we’ll be expected to chip in for reconstruction.
That leaves now. And, in terms of spending now now now, the entire political class has made itself a global laughingstock. A month of shuttling back and forth between the Capitol and the White House for “a real, enforceable cut” of $1-7 billion? Boehner might as well have gone to the Turks & Caicos for July and worked on his tan.
Downgrade’s a-comin’.
I think it was coming anyway Mark. This whole negotiations process is just whitewash. Once the downgrade happens Obama can blame the GOP, and the GOP can blame Obama.
Meanwhile, my prime+2 signature loan (which is adjustable rate) along with my business lines of credit will probably end up with a double-digit prime rate. Say goodbye to 4 employees. I'll do it myself, and spend the profits on ammo for my shotgun.
Ruinous debt is not going to be moderated by a change in Congress or the White House next year, by which time another $2T will have been added to the debt.
Reply to this commentLinkReport AbuseHokkoda, Derb has basically been saying the same thing. A crash is inevitable at this point. Let's quit stalling, and just get it over with.
Could we even realistically pay back the trillions we already owe without drastically inflating the currency? Probably not.
Reply to this commentLinkReport AbuseI guess I'm in good company then. And, we've already drastically inflated the currency (2x the monetary base in 3 years). That little party is about to come to a tragic end.
A downgrade is the household equivalent of a home going into foreclosure. The bank is GOING to get paid one way or the other. In the case of the debt, if we're going to devalue our currency, then they're going to make us give them more of that devalued currency (interest rates).
It's becoming more clear every day that this has been Obama's intention from the start. You can't rebuild something unless you first turn it into rubble.
Reply to this commentLinkReport AbuseSend the Ryan Plan or Cut-cap-and balance to Senate, wait for them to send the Senate plan back, then decide something in conference and vote again. Isn't that how a law is made? If the Pres wants to veto, he vetos. Why all these "negotiations" and "deals" to fool the people? Boehner fooled us once with his "historic" deal to cut a couple of millions a few months ago, how could he expect to fool his Congressional colleagues to support him again? They have to worry about their own employment next year.
Reply to this commentLinkReport AbuseIndeed, all well said...
Who doesn't want drastic spending reduction?
What does Mr. Steyn, one of the finest, suggest the Republicans in the House do?
Again, the reality strikes again, nothing serious will be attempted with Democrats in charge of the White House or the Senate.
If Republicans gain a modest reduction without the Democrats raising spending or taxation, it is another small victory.
I don't like terms like "political class" in this Country. Americans are the Government, and we have made a mess of this enabling the Democrats. It is all too easy to pass along the blame - as Obama loves to do.
Today, we see the same confused offering from the sound side, which represents a real problem. Are we serious? Are we interested in removing the real problems to the mess? Or are we going to fumble in dramatic ways once again, like the recent debacle in Delaware?
We all know a downgrade should come, after the Democratic Partisans foolishly raised spending 5% of GDP - wanting even more. Today they are checked, thanks to the Republicans in the House. Tomorrow if we are fortunate, we have an opportunity to truly address the folly, repealing all of the Democratic Partisan disaster.
The Debt Ceiling itself is not so important, it is already obscene in it's height. A little more isn't going to alter Our regretful lot, and a trillion cut here - to be readdressed in a MERE 6 Months is actually another victory, considering the enormous limitations provided by fine Our Constitutional system.
The choice is Ours, and the sideline Punditry Class, (just joking with the labels provided by the fine Mr. Steyn), should get off the couch and enter the arena if they are so grand. The analysis game is easy, so is cynicism. I am all for making fun of politicians, especially the imperfect Republicans. Who is perfect? Or when did some of Our most talented Pundits - Analysts in the conservative arena begin to live in a world of political fiction?
Reply to this commentLinkReport AbuseHear hear, Old Fan. Snark is entertaining, and fine in its season, and Mr. Steyn does it better than practically anyone. Useful it generally is not.
Buying a little time is all that was possible, and more than most expected we'd get. And we haven't gotten even that yet.
Reply to this commentLinkReport Abuse"Again, the reality strikes again, nothing serious will be attempted with Democrats in charge of the White House or the Senate."
What happened the last time Rs controlled all the levers of power? We got medicare part D, NCLB and WMD search in Iraq ...
Reply to this commentLinkReport AbuseThere is much conservative silliness at play. Take the balanced budget amendment. If it somehow passed this week and 2/3 of the states suddenly ratified it, the GOPers would have to immediately cut $700 billion from current spending. If Boehner and the GOPers cannot figure out how to cut $1.2 trillion in future cuts, how in the world could he cut $700 billion in current spending? And don't blame Obama or the Dems . . . because they are not backing this idiotic bill. Just show me, cons, how you would go about cutting the $700 billion right now!
Reply to this commentLinkReport AbuseB-Rob - Sure. Pass the BBA and we'll find a way, right quick. That's the whole point of passing the law, to force these numbskulls to make real cuts.
Now, you show us Obama's plan for the deficit. I'll wait.
Reply to this commentLinkReport Abuse"to force these numbskulls to make real cuts"
Really? How would a Constitutional amendment stop these monkeys from spending us into oblivion? Who's going to enforce it?
The Beltway has been ignoring the Constitution for decades: no reason they'll pay heed to more of it.
Reply to this commentLinkReport AbuseB-Rob, you illustrate one of the problems with the BB Amendment. So Boehner is left with 2 options: raise taxes substantially and/or push expenses down to the states (who by the way have their own problems).
The BB Amendment is simply an admission by politicians that they are too irresponsible with the budget and need the constitution to tell them when to stop spending.
It's really very, very silly and a waste of time.
Reply to this commentLinkReport AbuseThe BB Amendment is simply an admission by politicians that they are too irresponsible with the budget and need the constitution to tell them when to stop spending.
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Politicans seem to be the only ones left who haven't figured that out.
Reply to this commentLinkReport AbuseThe point is there was not a trillion cut but less than 10 billion. The only budget that matters is next years. 5,10,20,50 plans, yes even Ryan's, are meaningless.
Reply to this commentLinkReport AbuseFor starters there is in excess of $100 Billion still unspent from stimulus - How about cutting that?
Reply to this commentLinkReport AbuseThat's something, but so is using a squirt to put out a forest fire.
Reply to this commentLinkReport Abusewell, it's 100X more than Boehner's $1B cut...why not demand the unspent money be returned?
Most believe the stimulus was a failure so it should be an easy sell.
Reply to this commentLinkReport AbuseMuch to Thomas Freidman's chagrin, democracy is a clumsy, tedious and at times messy business.
There has been no shortage of people deriding this Boehner plan, as well as the last one. And, I'm sure there will be just as many crying bloody murder when the next one finally emerges. I'm not happy about it either, but unless someone unearths a magical debt genie (and 13-more GOP Senate seats), we're going to have to address this problem incrementally.
Unfortunately, Rome wasn't built in a day, and neither was this debt. If conservatives want substantive, meaningful change to remediate the debt problems we have created over the last 60 or so years, then they're going to have to start by winning more than one election. And, they're going to have to do more than win one-half of one-third of government.
They might start by picking Senatorial candidates that aren't bat-guano crazy, or functionally illiterate (Do you hear me MD? Are you picking this up Nevada?) or both. If Boehner had an actual legislative partner in the Senate, rather than a union bag man, perhaps this deal would be a bit more attractive. He doesn't. That's not his fault, that the hand he was dealt.
Boehner is also smart enough to realize that the media is looking for ANY way to hang this economy on the GOP. Don't underestimate the stupidity of your fellow Americans. They are POWERFUL stupid. If Boehner et. al take the fall for the economic malaise that is about to settle over the country, then Obama - like FDR before him - will coast to reelection, and possibly pick up the House on his way.
Then what? You'd be hard-pressed to cite a country that embraced more liberty and more economic freedom in the immediate aftermath of economic turmoil. It's not a coincidence the New Deal came after the Great Depression and not before.
Reply to this commentLinkReport AbuseIf Boehner can force Obama to sign a debt limit increase that guarantees this issue will come again during the height of the election, then that will be a substantial victory. Elections are about choices. And I agree that the GOP better nominate some rock-solid Conservatives next year.
A downgrade is coming no matter what we do, like a home foreclosure...at some point you are just too far gone. Let Obama explain why the debt ceiling went up, but we got downgraded anyway. Those will be fun Town Halls for him, especially once the geezers screaming "I paid into it" sort of tenderize his nose before the main event.
Reply to this commentLinkReport AbuseRome may not have been built in a day but it surely is being destroyed in a day.
Reply to this commentLinkReport AbuseCannot agree with you. Real goal is to defeat Obama and win Senate. As Democrat Wynn said: Nothing good can happen in this country while Obama is in the office.
And if he is in the office for another 4 years we will not have a country.
People were stupid enough to vote for him the first time, though with his resume he would not be hired for middle management position, they definetely can do it again.
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