5 Ways the Fiscal Cliff Drama Could Play Out
WASHINGTON – The high stakes cat-and-mouse affair familiarly known as the fiscal cliff is rapidly approaching an end game with few clues to the final outcome.
House Speaker John Boehner (R-Ohio), the GOP’s lead negotiator on how to best whittle down the federal debt, has grudgingly conceded that taxes paid by those earning $250,000 and above per annum will have to rise in order to address a still-ailing economy. Boehner and his allies want to accomplish that fete without raising tax rates.
But President Obama, to this point, isn’t buying, telling the Business Roundtable on Wednesday that “it is not possible for us to raise the amount of revenue that’s required for a balanced package if all you are relying on is closing deductions and loopholes.’’
“We’re not insisting on rates just out of spite or out of any kind of partisan bickering,’’ Obama told the nation’s business leaders. “But rather because we need to raise a certain amount of revenue.’’
Senate Republican Leader Mitch McConnell of Kentucky is equally critical of the president’s package, thickening the fog over how a deal might ultimately emerge.
“With just a few weeks to go before a potentially devastating and entirely avoidable blow to the economy, the president proposed a plan that the members of his own party won’t even vote for,’’ McConnell said Thursday. “So I think it’s safe to say at this point that the president isn’t interested in a balanced agreement. He’s not particularly interested in avoiding the fiscal cliff. And he’s clearly not interested in cutting spending.’’
The origins of this ongoing budget debate can be traced back to actions taken by the Obama administration and the 112th Congress. Unable to agree on ways to hack the national debt, which now exceeds $16.3 trillion, the two factions decided to send the issue to a joint congressional panel, known as the Super Committee, with instructions to decrease the deficit by $1.2 trillion over 10 years.
Legislation creating the Super Committee set several initiatives into motion if their efforts went belly up – lower tax rates adopted during the administration of President George W. Bush would expire, automatic spending cuts in discretionary spending and defense would go into effect, and more families would find themselves targeted by the alternative minimum tax.
The Super Committee failed so the provisions contained in the Budget Control Act of 2011 are slated to go into effect on Jan. 1, 2013. Economists warn the changes could spark a recession. It was Federal Reserve Chairman Ben Bernanke who coined the term “fiscal cliff,’’ telling the House Financial Services Committee in February that “a massive fiscal cliff of large spending cuts and tax increases” was approaching.
A number of fiscal cliff scenarios are circulating, many of which stand little to no chance – some conservative lawmakers in the House, including Rep. Louie Gohmert (R-Texas), are taking the opportunity to advance the implementation of a “flat tax’’ that would set low rates with few, if any deductions. The proposal has attracted limited support.
Any agreement is going to require give-and-take from both sides. Elements in several plans floating around will undoubtedly find their way into the final package – if one emerges.
Some of the scenarios include:
The White House
President Obama has long been advocating what he refers to as “a balanced approach.’’ His proposal would reduce the deficit by about $4 trillion over 10 years by raising tax revenues a total of $1.6 trillion and implementing about $600 billion in program cuts, with most of that money coming from Medicare and Medicaid. The plan also counts on $1 billion in savings as a result of the end of the wars in Iraq and Afghanistan and $1 trillion in cuts that already have gained congressional approval.
Republicans remain adamantly opposed to the tax portion of the package, which would raise the top income tax bracket – families with incomes of $250,000 or more per annum – from the 35 percent set during the administration of President George W. Bush to the 39.5 percent adopted under President Bill Clinton. The president also wants to hike the tax rates on capital gains from 15 percent to 23.8 percent.
Obama also has slipped in some provisions close to his political heart, like $200 billion in new spending to bolster a sagging economy and removing congressional authority over the federal debt limit.
House Republicans
The Boehner plan is a bit more ambitious than the one circulated by the White House, calling for a deficit reduction of $4.6 trillion over 10 years. The plan would retain the tax rate cuts imposed during the administration of President George W. Bush – including the 35 percent top rate – but pull in an additional $800 billion over 10 years by either killing some tax breaks or deductions or by capping deductions at a certain amount, maybe $50,000.
In addition, the GOP would reduce Medicaid and Medicare spending by $900 billion and introduce additional cuts in discretionary spending by $300 billion.
Simpson-Bowles
There remains a slim possibility that White House and lawmakers may turn to the report issued by the National Commission on Fiscal Responsibility and Reform, popularly known as Simpson-Bowles, after the two chairmen, former Republican Sen. Alan Simpson (Wyo.) and Erskine Bowles, a Democrat who served as chief of staff during the Clinton administration.
The panel was established by Obama in 2010 to offer “policies to improve the fiscal situation in the medium term and to achieve fiscal sustainability over the long run.’’ The final report failed to garner sufficient support from commission members to serve as an authoritative proposal. But it offers some ideas that may serve as a guidepost.
Simpson-Bowles cuts the deficit by a little over $4 trillion over 10 years with a “balanced’’ plan — two-thirds spending cuts and one-third tax reform. The final report called for lowering tax rates — the top rate would fall from 35 percent to 29 percent – but increasing revenues by $1.2 trillion by repealing a host of tax breaks, deductions, and credits. The plan also seeks to simplify the tax code.
It also achieves $485 billion in healthcare savings and establishes a formula to limit healthcare spending growth. The package further called for an additional $300 billion in savings from programs like agriculture and federal retirement and limited future spending growth to one percent below inflation, saving about $625 billion.
Simpson-Bowles was overwhelmingly rejected in the House and never fully embraced by Obama, although Treasury Secretary Tim Geithner has sung its praises.
Kick the can
Both sides maintain that delaying major decisions on how best to reduce the deficit is a bad idea – but it remains a possibility.
This scenario simply calls for retaining current tax rates while repealing the budget-cutting provisions contained in the Budget Control Act of 2011 – thus protecting the military and health programs from looming cuts.
The result would be leaving major budget and tax decisions to future congresses and administrations. The idea is reviled but, given the partisan gap, still a possibility. The nonpartisan Congressional Budget Office (CBO) maintains, however, that extending tax cuts and canceling the automatic spending cuts should result in modest growth over the short term and no major economic hit.
“The worst thing that can happen, frankly, from my perspective, is if they just kick the can down the road,’’ Defense Secretary Leon Panetta said during a recent speech before the Center for a New American Security. “All that would wind up doing is continuing to present a shadow over the Defense Department and for that matter the rest of government as to what would happen and that’s the damn last thing I need.’’
Do nothing
Support for simply letting the provisions contained in the Budget Control Act of 2011 go into effect has gained currency. Sen. Patty Murray (D-Wash.), who served as chairman of the Super Committee, has expressed a willingness to jump if Republicans refuse to compromise on taxes.
Under the fiscal cliff, all Bush-era tax cuts will expire, including those aimed at the middle class. It also calls for across-the-board spending cuts, technically known as sequestration, broadens the alternative minimum tax, and kills the current 2 percent Social Security payroll tax cut. Defense and healthcare programs would be particularly hard hit.
Under this scenario, the CBO estimates the deficit would be cut by about $560 billion. But the agency also warns that the nation’s gross domestic product could fall dramatically, forcing another recession that could result in the loss of an estimated 2 million jobs.
Obama insists it won’t come to that.
“Now, we’ve seen some movement over the last several days among some Republicans,’’ Obama told the Business Roundtable. “I think there’s a recognition that maybe they can accept some rate increases as long as it’s combined with serious entitlement reform and additional spending cuts. And if we can get the leadership on the Republican side to take that framework, to acknowledge that reality, then the numbers actually aren’t that far apart.”
“Another way of putting this is we can probably solve this in about a week; it’s not that tough. But we need that conceptual breakthrough that says we need to do a balanced plan; that’s what’s best for the economy; that’s what the American people voted for. That’s how we’re going to get it done.’’
For the first time in our nation’s history the people are completely controlled by an authoritarian that hates America, Caucasians and Jews; placated by an opposition party that keeps kissing his butt as the way to make things work.
For whatever their reasoning that is what the American people said that they want. It is what the got. And there is more than a good chance that we will live this way for the rest of our lives.
When one jumps off of cliffs it’s a good idea to know what’s at the bottom before one leaps.
Amen and amen!!! We must repudiate the federal debt, end the Fed, and prohibit government, at any level, from borrowing.Government must, as must we all, learn how to live within its mean.We must return to the gold standard and also phase out the tincupper programs.Those who are objects of charity must turn to their families, friends, church, etc.Government must be drastically reduced in size and cost.Most of it is unconstitutional and almost all of it is unnecessary.
Candidates for public office must be able to document their eligibility. And the franchise must be withdrawn from all who do not meet the standards to run for president. It won’t happen, but it surely needs to happen.
Years and years ago, before you were born, a President named George Bush proposed some tiny weeny, pathetic and measly tax cuts, and proposed them for 20 years. Which meant if you were forty years old when it happened you would never see a deeper tax cut in your working life.
And everyone smiled.
The competing proposals re the fiscal cliff measure themselves as to how much anticipated savings will occur over a period of ten years. A every one smiles.
Why not legislate now for the next 150 years? No one knows that the tax collection or spending reductions will be more than 3 years out anyway.
And everyone smiles.
Just go over the cliff and call out these liars. It’s like the Matrix “There is no spoon.” There is no cliff.
Y2K?
Absolutely!
With the media the way it is, minds need to be concentrated by economic grief.
Obama and his buddies have no idea where the money comes from. They think it’s all about them.
For more on this theme see “The Fatal Flaw” at:
http://john-moloney.blogspot.com/
I’ll take the sequestration spending cuts since they are the only serious one.
Bonus points for getting a conservative revolt against Boehner and the Dem Lite leadership.
It’s time for a complete reboot of the GOP.
my balance
President Obama has long been advocating what he refers to as “a balanced approach.’’ His proposal would reduce the deficit by about $4 trillion over 10 years by raising tax revenues a total of $1.6 trillion and implementing about $600 billion in program cuts, with most of that money coming from Medicare and Medicaid.
Since the fiscal deficit for 2011 – the last year for which figures are available – was $1.3 trillion it is bafflegab to talk about reducing the deficit by 4 trillion. Presumably Obama means the debt. At the current rate of deficit financing, the debt will increase 13 trillion over 10 years. Obama’s balanced approach will result in a National Debt of 25 trillion in 10 years, rather than 29 trillion. Whoopee!!
America has been hit by an ICBM. An Incompetent Clueless Boneheaded Marxist.
It’s actually worse that that when you factor in the “Washingtonspeak”.
The Kenyan Marxist has increased annual federal spending by over $1.3 Trillion, which increase is now included in the Federal “baseline” for spending (that’s the amount below which it will never fall). So the annual budget and deficit (as projected by the federal budgeting process) will include that amount plus some percentage for growth each year. Naturally, no cuts in payments to parasites will be considered.
BTW, while I do like your ICBM acronym, I think the first two descriptors are incorrect. The Kenyan Marxist is an advocate of the Cloward-Pivens strategy which is to “overwhelm the system” (America’s economy) by stealing from producers and making payments to parasites causing a collapse which will be followed by an all-encompassing socialist state. Now that it’s inside the government, that remains the Kenyan Marxist’s goal…. In short, no “incompetence” or cluelessness” is involved. It knows exactly what it is about. The goal is to reduce America to a third world state, destroy our freedoms and standard of living and steal our wealth for the benefit of the great global collective run by “those who must be obeyed”. Your, interpretation of incompetence is, IMHO, too kind to an overt enemy.
Yes! And we can tack “moslem” right after marxist. Obama has supported ever islamic jihadist rebellion in the middle east and now almost all arab countries are jihadist. Obama is the Traitor-in-Chief. And Boehner is his lackey.
Yes. When writing these kinds of articles, one must be very careful to define terms; are you talking about debt or deficit, what is your baseline (the so-called “baseline” budget, which automatically increases each year, or a past budget for a particular year) and so forth. Also, the so-called “fiscal cliff”, the sequestration triggered by the mentioned Supercommittee is only part of the problem; the U.S. debt crisis caused by our continuous borrowing and the impending collapse of Medicare and Social Security are far more important.
First, Obama is quoted in this article: “We’re not insisting on rates just out of spite or out of any kind of partisan bickering,’’ Obama told the nation’s business leaders. “But rather because we need to raise a certain amount of revenue.’’
The President has said to the gathered business leaders something he knows to be untrue. He DOES want to raise rates out of the pure spite of his base. He does this a lot. Some might take this to mean he is an habitual liar. A rise in rates is simply to placate and appease his base, who, with his encouragement for years, are filled with envy and spite of those making $200+ grand/year. There is no tax rate problem in the U.S. As has often and rightly been said, there is a government spending problem.
Second. the Dems say that, because there will be no war spending after a couple of years, the money not being spent on war will be a cut in government spending. So, in this crazy and dangerous world of tyrants on the rise here and being overthrown there, the Dems are guaranteeing us there will be no war for the U.S. in the foreseeable future. That is simple BS.
Obama refuses to do the math.
It’s impossible to tax our way out of debt.
Thus saith Obama “we can solve this in about a week, it’s not that tough” He’ll just suspend the laws of cause and effect, speak wealth into existence, command the debt to flee away. Or maybe he’ll just take the 25 trillion out of his stash.
http://www.youtube.com/watch?v=rG2hW5oKyN0
He can do it. He can calm the raging seas and slow the erosion of the earth. He can clean the air and purify the waters. He can enrich the poor and the oppressed while he pacifies the angry possessors of wealth. He can enrich all lives, while eliminating the drudgery of entrepreneurial effort.
None of these clowns are serious because government spending is designed to increase year by year without any action by Congress. All the fight over is the rate of growth and who’s programs get money. Passing this nonsense or not will have no effect. More to the point, none of this dog and pony show addresses the fact that the Fed is printing the vast majority of our debt now out of thin air because no one will buy US debt paper anymore, couldn’t even if they wanted to because there isn’t enough money in the world to cover it. The deficit is actually several times higher than the government says it is because of this bookkeeping gimmick. Eventually this house of cards is going to come tumbling down unless they really get serious and overhaul the entire budgetary system.
So; Now that Obama has been gifted another term, he has also been bestowed with economic wisdom?
He has never had the expertise to even get any of his financial suggestions deliberated by his own Party.
What makes anyone think he has the savvy to understand anything fiscal now?
And besides; With the running record of disaster Washington has governing anything efficiently, what’s changed with this regime?
The only actual change I see is the Democrat Party now thinks it’s empowered to perform prostate exams on all Republicans.
How could the Dems not feel empowered to perform prostate exams? The Republicans consistently have their pants on the ground anyway.
Right; And my experience with anyone in Washington is that they have two zippers in every pair of pants; Front and back.
And they always have the back open for lobbyists.
“I think there’s a recognition that maybe they can accept some rate increases as long as it’s combined with serious entitlement reform and additional spending cuts.”
And just what are those reforms and cuts? We have to “pass it to see what’s in it?” Fool me once, shame on you. Fool me twice, shame on me.
Next.
If the game was fiscal cliff, then the driver would be the one to slam on the brakes. The game is chicken. Both pork pie parties are aimed for each other to see who will flinch or compromise.
Let them crash on Jan.2. There will be plenty of pain to redistribute. Then from the bottom of the cliff, when the blame game settles, both parties might try to seriously reconstuct the govt. instruments of the economy. They might even pass a budget. The congress may take back the regulatory and fiscal reigns. They may revise the tax code. They may redefine “fair”. They may fix “stupid.”
The president continues to confuse higher “revenues” with higher rates. He gets an “F” in econ 101, but an “A” in class warfare. The man is either ignorant or evil.
Truly ,he could be both!
Obama is lying and double-dealing, contradicting himself at every turn.
He refuses to take yes for an answer.
I have to wonder if he’s even leaving behind his advisors like Plouffe and Axelrod at this point.
But apparently he has NOT yet left behind Pelosi and Reid.
I think it’s obvious to all that both sides want to go over the cliff, the Democrats out of glee and a chance to blame it on the Republicans, the Republicans because they should never make any deal with dishonorable and dishonest partners, and because the cliff is not significantly worse than any deal would be, might even be better.
The big kicker is the military side.
So go over the cliff, then seek to add funds back for critical military functions. But Obama has a bunch of tame generals over at the Pentagon who won’t even make intelligent requests. It’s bad, folks.
OBAMA: GIVE ME DICTATORIAL POWERS OR I’LL TAKE YOUR COUNTRY OUT. Well…well. The Obama has finally begun his now-open for all to see and hear demands for a dictatorship over the [former] United States of America. A few days ago, Dictator-in-Chief Barack Hussein Obama laid out his demands to Congress for not yet pushing the current USSA (aka “Amerika”) and … READ MORE: http://bwcentral.org/2012/12/obama-give-me-dictatorial-powers-or-ill-take-your-country-out/
I’m in the camp of let it go over the cliff. Granted there will be a recession, but the spending cuts that we need will be made, and if the government leaves it alone, the economy will recover (yeah they’ll leave it alone).
They voted for this in 2011 with the intention of revoking it if the super committee didn’t work (we all knew it wouldn’t).
About time they learned that actions have consequences.
There is so much waste and fraud in health care and the military, both could absorb these cuts just by cutting waste and fraud.
“But rather because we need to raise a certain amount of revenue.’’ – Obama
No, you *want* to raise more revenue – you don’t *need* to raise more revenue. Start taking a knife to what you are already spending or projected to spend and your *needs* will diminish. Although I’m not going to like what will happen if we go over the fiscal cliff (I believe we are already over it), I’m prepared to deal with it. We must starve this beast, or we will all truly end up in its belly.
It always assumes government size is optimal. Always. When your premise is bad, everything else following is destined for failure.
Never thought I would agree with the insufferably stupid Patty Murray – by accident this time. Let it go over the cliff. I want Obama to own all of it. I want these college graduates to feel the consequences of their abject stupidity for voting for cookies instead of competence. I want black America to experience Spain like unemployment, then beg to their Master to save them. Let all of their towns look like Detroit. They earned it.
And I see a day soon when Obama forces us to use our 401k plans for the purchase of T-Bills. That is coming…hopefully, we’ll finally grab a set and get desperate enough to file for divorce.
If we go over the cliff, Obama and the press will place the blame on the Republicans. As usual, truth and facts will have no bearing on the issue. Unless the Republicans are willing and able to conduct an effective all-out PR war to contradict these lies, Obama will win and the Republicans will be severely damaged, maybe to the point of losing the House in 2014.
Republicans have already allowed themselves to become the liberal whipping boy. Let it go over the cliff, Republicans are not in a position to make any difference anyway with the current liberal propaganda machine (MSM) falling in line 100% with the divider in chief’s party line babble. By going over the cliff, everyone that pays income taxes will feel the pain, not just the fabled 1% or 2% class warfare number.
But if the Republicans in the House act mostly with concern for Democrat/Leftist agenda priorities, what will it matter to retain control of the house? Best to lose it in 2014 and reconstitute a new “opposition” that is befitting the name.
When we finish going over the fiscal cliff, yes, the blame game will try to go into overdrive. From the future historical perspective, say in four years, the only way that Obama can dodge that infamy is to claim that he was never the president. (Or the biggest falsehood imaginable.)
Boehner’s part would be inconsequential in 10 years. Recession, inflation, high unemployment, depression, packing the courts: Obama gets to be an FDR parallel. The Democrats thrived in the Great Depression. Happy Days are here again.
I appreciate your concern, Jay. In a rational world with a level playing field, you would be absolutely right. But I am afraid I must agree with FrancisChalk and AntiPC.
I know the game is rigged. Of course the Republicans will get the blame. That’s why John Boehner is a stupid man IMO and needs to be replaced.
Since Boehner is there for the foreseeable future, he needs to do one of two things, completely ignoring the media. Treat the media as if they didn’t exist. Either Boehner needs to come out on the national stage and say, “Our media is corrupt, as is our President. Obama’s plan will fail as it doesn’t even address our real problems. This tax the rich is a ruse. It won’t put a dent in our ballooning deficit, won’t create jobs and will probably cause us to lose more – in most certainly doesn’t do a thing to create any incentive to hire. Unfortunately, this last election demonstrated too many Americans are economically illiterate and have fallen for all of these lies. 48% of us have irreconcilable differences, believe YOUR President is not a serious man, and gives us no choice but to simply carry forth with those consequences.”
And Boehner needs to get up and walk out, not coming back until after the New Year, acting as if nothing has happened.
Or, Boehner can simply cave and let Obama have everything he wants without resistance, and when the market tanks, remind the American public that they were warned that Obama’s plan was a sham and lie.
As long as Obama can continue to milk the cow with the free public teat without being accountable for anything, he wins.
Let the American public suffer the consequences of their vote. We’ve got to make it obvious that Obama owns all of this…and there is nothing bipartisan about the man.
Style point: saying the Bush tax cuts were “imposed” is like saying “the governor imposed a pardon on the convicted inmate” or “the IRS imposed a massive refund on me.”
Also, how many times does Obama have to sign “the Bush tax cuts” into law before they are no longer “the Bush tax cuts?”
“I think there’s a recognition that maybe they can accept some rate increases as long as it’s combined with serious entitlement reform and additional spending cuts.”
Cuts? I guess we’ll have to “pass it to find out what’s in it” as far as any cuts you might be willing to make. Fool me once, shame on you. Fool me twice, shame on me.
Next.
We’ve been ALL OVER this topic on Common Cents…
http://www.commoncts.blogspot.com
Go off the cliff and no debt limit increase.
Time for Washington to live on a budget.
It will hurt but like ripping off a bandage it is necessary.
I’ll tell you how it will play out:
Act I: Bad times for all. Dems blame the GOP.
Act II: The electorate is to ignorant — let’s face it, too damn dumb — to know what happened.
Act III: People turn to government for help.
Epilogue: Democrats have us back on the antebellum plantation, just like old times. We Americans are become a people of the government, by the government, and for the government. But there will always be Tara.
Roll end credits.
millionaire democrats don’t want to close loopholes, then they can’t hide their assets from the government octopus. they want to keep beating the bush pun intended. they would rather go off the cliff and let the middle class foot the bill, the poor will bleed also. the military cuts won’t go until next fiscal year starting in July. Obama doesn’t own anything, not bengazi not gun running, not the economy. America will survive this guy, maybe rationing and victory gardens, will be the norm. instead of shooting and robbing each other so martial law can be enacted, we should consider helping our neighbors out in the coming darkness.
Actually, the Federal fiscal year starts in October. Some states start in July, but the Feds have always started in October.
Maybe it is just me, but if Republicans refuse to raise the debt ceiling, we force a balanced budget? Yeah – it will hurt. But, if it isn’t done, America will cease to exist as an economic entity in a decade. All of these other plans don’t even address the debt, nor our unfunded liabilities. What are we really talking about here, except political posturing. Republicans will be blamed anyway, I say we enjoy the ride over the cliff and then stop them cold.
I used to be optimistic and think that the American people would wake up and realize that being a country of self reliant, well educated individuals is the way to keep our country great. I was born at the end of the baby boom and have raised my children to believe what I believe. But it is obvious that the majority of the American populous did not. And with that I say there is no cliff to go over. It is a long, slow and painful decline of the greatest country in world history. The only people that can turn this ship around are the ones that voted for this socialist in the first place. They have only known prosperity in their lifetimes. Until they see the horrors of socialism and the central planning (and by that time it will be to late), they will not understand how little they control their own destinies. It will take many years to play this out and it will go way beyond Obama’s tenure. This is only the beginning of the beginning.
The solution is simple: Fire the government.
Obama is the ONLY LEADER of U.S. EVER PREDICTED IN THE HEBREW(NO, NOT GREEK) INSPIRED SCRIPTURES & IS CALLED THE “FORBIDDEN FOREIGNER” IN DEUTERONOMY 17:15(OBAMA IS THE “ONLY” NON ANGLO-SAXON EVER(THAT’S 6,000 YEARS FOLKS) TO RULE OVER ANGLO-SAXONS OF THEIR OWN ACCORD, AT LEAST OUR SINGLE LARGEST MAJORITY WOMEN’S ACCORD! WELCOME TO ADAM’S WORLD, EVEN “BEFORE” THE 1ST MURDERER WAS EVER BORN! NEXT: COMES THE TWO-WITNESSES OF REVELATION, CHAPTER 11 & ONLY 72,000 anglo-saxon women & 72,000 anglo-saxon men(6,000 from each of the 12 tribes) will be left alive after their 3 1/2 year testimony AGAINST U.S.! That includes the tribe of Joseph(English descent replacing Dan(Irish), also has written in Revelation, chapter 7. That’s a 7-11 & WE DESERVE IT! WATCH!
Beats me why you think you Conservatives have any credibility on debt issues. It was your policies that ran up the debt under Reagan and the two Bushes, and the proposals your leaders have put out to deal with the fiscal cliff crisis are smoke and mirrors, elite cynicism packaged for the consumption of the gullible tools that make up the mass of the party.
Come to think of it, since this whole fiscal cliff crisis was conjured up by right-wing pols for transient political advantage, the only decent thing for Republicans to do now is to enter a monastery to atone for their earlier behavior.
True, Reagan did create a 1.5 trillion deficit. He also managed to create 17 trillion in new wealth over eight years.
Let’s contrast that with your little savior Obama. Obama has managed in half the time to create 4 times the debt. Problem is, our economy has actually contracted under Obama.
And your insipid blog is a testament to your profound influence, sport. Zero comments in the last four posts – textbook of a legend in his own mind.
I believe going over the fiscal cliff is actually what Obama wants. I think he is licking his chops at getting tax increases on the middle class. He holds us in contempt anyway. We’re the narrow minded bitter clingers. We also are the dependable drones, getting up and going to work everyday and paying our taxes. And, as with all of the scenarios postulated in this article, he can blame the Republicans for getting what he wanted in the first place.
You guys are missing the most obvious endgame-let us go off the cliff, then the Barack, Harry and Nancy come riding in with the solution.
After we go over the cliff, the Dems wait a few days, and then introduce legislation reinstating EVERYTHING that went away, except tax breaks for those earning over $250k. After every taxpayer sees the hit to their paycheck from expired tax cuts, how many will angrily call their Congressman to vote for the Pelosi-Reid Reinstatement Act of 2013? THEY ALL WILL. And Republicans will cave. THe DEms come out heroes from this.
http://wherearemykeys.typepad.com/where_are_my_keys/2012/12/five-scenarios-on-the-fiscal-cliff-plus-a-bonus.html
I’d be really surprised if they do this, as Obama has yet to exhibit any evidence that he gives a damn about anything but his own power, reparations, his stupid ideology, etc.
Nice try though & I will be back to congratulate you if your scenario does indeed come to pass, but I just don’t see what’s in it for Obama.
Obama only knows how play winner take all and he has to win. There is no sense of reality. The big question is how can the Media not call him out?
The main point here, which almost everyone is missing, is that Obama is a moslem-communist traitor who is deliberately trying to destroy the America he hates so much. He is “succeeding” with the help of a perverted media and a cowardly congress. A majority of americans apparently want this psychopath in charge of their lives. A sane society would have institutionalized him long ago. Those of us who despise his amorality and his contempt for our Constitution will fail to organize and we will be picked off, one by one. And the majority, including the 40% who failed to vote because they don’t give a damn, will also pay the price for their ignorance and sloth. They love evil, they want evil, they’ve got evil. Now just listen to them screaming in agony in the FEMA torture camps or being gunned down as they protest in the streets, or becoming chattel; slaves to the Frankenstein monster they created and nurtured. Enjoy, bozos!