In Debt-Ceiling Talks, Why Give Up Anything? Concede Nothing !
After reports surfaced that President Obama is willing to cut tens of billions
of dollars from Medicare and Social Security, as part of a grand bargain in
debt-ceiling talks with Republicans, Democratic leaders swiftly sounded off
against the idea.
Since most people know that the debt limit must be raised, concede
nothing. "The Republicans know that if they don't agree to a deal and let
the debt limit hit, it's going to damage our economy.
Don't blink!
Speaking at the 2011 Aspen Ideas Festival in Colorado, Mr. Clinton also
advised President Obama to hang tough. "The White House could blink," he
said. "I hope that won't happen. I don't think they should blink."
Money Ain't a Thang !
The Artist Formerly Known As Shawn Carter comments on Barack Obama's
biggest problem. Numbers don't lie. Unemployment is pretty high. It's fucked
up, but he's trying not to be the angry black man. Arguably, the situation
would be less dire if Obama had approached the stimulus package with Jay-
Z's advice from "Money Ain't a Thang": "Ya'll shit ain't for real til y'all ship a
mil.'"
Go on Vacation; You & Boehner already agreed to 'Grand Bargain'
Before Thursday, expectations were that a debt limit increase would be tied
to $2 trillion in cuts, without touching entitlement spending (Social Security,
Medicaid, and Medicare). Now, there are some reports that $4 trillion in
deficit reduction may be in the works. In this supposed “grand bargain” with
Republicans, Democrats would agree to reform Social Security, Medicare and
Medicaid, while Republicans would agree to increase revenue by closing tax
loopholes.
The sticking point in negotiations thus far has been that Republicans have
refused to agree to a bill that included revenue increases while Democrats
have refused to agree to a bill that did not include revenue increases.
Democrats have also been reluctant to address the rising costs of Social
Security, Medicare and Medicaid.
If Tea-Pubs won't Cooperate; Use the "C-Bomb"
Use the Constitution!
Growing increasingly pessimistic about the prospects for a deal that would
raise the debt ceiling, Democratic senators are revisiting a solution to the
crisis that rests on a simple proposition: The debt ceiling itself is
unconstitutional.
What is this all about ???
- Section 4 of the 14th Amendment to the U.S. Constitution states
that: "The validity of the public debt of the United States, authorized by
law... shall not be questioned,"
- The so-called 'Debt Ceiling' is a statute passed by Congress - - it does
not trump the Constitution, i.e., the 14th Amendment.
- By declaring the debt ceiling unconstitutional, the White House could
continue to meet its financial obligations, leaving Tea Party-backed
Republicans in the difficult position of arguing against the plain wording
of the Constitution (Clarence Thomas' strict constructionist interpretation
used against him)!
So how would the "constitutional option" work?
- It's deceptively simple. The government would keep auctioning off
Treasury securities, as it has been doing, as if the debt limit didn't exist.
Investors would consider just how much they cared about the
unprecedented constitutional run-around they'd just watch happen. And
Republicans would freak out.
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