Close Enough For Government Work

With national issues so well covered by my fellow bloggers and alternative (read: accurate) media, I seldom see my viewpoints not expressed elsewhere.  Often, my opinions are drawn and formed from these proven sources.  And sometimes it's what's not said.  And what I'm still not hearing is a real "why" not raising the national debt ceiling will be an avoidable catastrophe.

No plan, not even the Ryan Budget/Plan will solve the problem.  The plans currently on the table are absurdly weak, unfocused pain now, relief in the out years that never arrives.  What will arrive is devaluation, inflation and/or default.  That for sure will be catastrophic.

So put me down for not raising the debt ceiling now, at least not as proposed so far.  It's not going to pretty, but it won't be a year or two from now either.  We may indeed see an even uglier side of our leaders.  The cuts required will affect almost everyone.  Words like impeachment, indictment and recall may be heard.  There may be violence.  But finally, the welfare/bureaucratic state and yes, the military/industrial complex will literally be put on trial.

We could want a more orderly process, like some Republicans envision by winning the Senate and Presidency in 2012.  I don't know if we have the time.  Even then I can't imagine anything short of a President Bachmann and a Congress to match having the courage to truly act effectively.  We won't like the idea of the Arsonist In Chief allocating the money, but as long as he can't spend what none of us has it's close enough for government work.

Stop the madness now, out in the open.

Comments

[Hiram]

My position is that the president should use his power under the 14th amendment to raise the debt ceiling while simultaneously announcing that he will not be a candidate for re-election.

Problem solved.

[The Big Stink]

Welcome to Hiram World - where the solutions are always nuanced, and the problems are never so great that they can't be muddied by morally relative over-analysis.

[Hiram]

Was there some sort of moral relativism to my solution to the problem? Was it even an "analysis"?

Whether something is constitutional or not, is not as such a moral issue. Moral things can be unconstitutional. Constitutional things can be immoral. I am not sure, as a practical matter, that the president has the power to lift the debt ceiling under the fourteenth amendment. But I am sure he does have the power under the constitution to prevent America from defaulting on it's debt.

Is there any relativity here?

[Speed Gibson]

I think someone said of Arne Carlson, that if DFL proposed burning down the Capitol, he'd say no, phase it in over 3 years. And so it seems here, Armageddon on the installment plan.

[J. Ewing]

Put me in the "H*!! NO" camp as well. I like Sean Hannity's solution of "pass 'cut, cap and balance,' then sit back and fold your arms." Unless Obama or the Senate Democrats pass a complete plan of their own, there is nothing to compromise with. When Aug. 2 arrives and the world does not end (because the government has lots and lots of money coming in to pay the debt, the interest, SS and Medicare, soldier pay, VA and a few others with money left over) the public may wake up to the fact that there is no POSSIBLE way to "default," and that Democrats and Obama have been flat-out lying-- using "economic terrorism"-- to continue their wild spending spree.

[Hiram]

I don't think there should be compromise either. The president should just walk away from the table and lift the debt ceiling under his own powers.

"When Aug. 2 arrives and the world does not end (because the government has lots and lots of money coming in to pay the debt, the interest, SS and Medicare, soldier pay, VA and a few others with money left over) the public may wake up to the fact that there is no POSSIBLE way to "default,""

It is my assumption that the debt ceiling must be raised because there isn't enough money to fund obligations. If I am incorrect, surely there will be no default on August 2nd and there isn't anything to worry about.

[J. Ewing]

There will be no default. The amount required to pay bondholders required interest and cover redemptions is about $20 Billion per month. The amount coming into Treasury is about $200 Billion per month. The only "default" would be a manufactured one, in order to create chaos that could be blamed on Republicans.

[Hiram]

If we have enough money to pay our obligations, there will be no default. But if we do have enough money, whats all the fuss about?

Bankrupts dont get to choose which debts they pay.

[J. Ewing]

Except the federal goverment cannot go bankrupt. They can only default on their legal obligations and, if that happens, they simply change the law! Federal courts have already ruled that Social Security is not an obligation, and that Congress can reduce or even eliminate benefits at any time. But there are far less important commitments that the government has made, like to implementing Obamacare, studying the mating habits of who-knows-what-now, and bailing out every one of Obama's pals in business.

It looks now like Aug. 2nd will come and the sky will not fall as Obama and his cronies have promised. Then we'll see if the kiddies can grow up and get something done. The Republican House has passed two plans already. Reid and Obama should man up and pick one before they look any more the doofuses than they already do.

[hiram]

"Except the federal goverment cannot go bankrupt."

Why not? If it can't pay it's debts?

"It looks now like Aug. 2nd will come and the sky will not fall as Obama and his cronies have promised. "

That does seem to be the case, another reason why the president should walk away from the table. Apparently, the debt ceiling is meaningless. We will simply spend the money anyway.

[Hiram]

By the way, Social Security doesn't contribute to the deficit. At least not usually. It's been in surplus for a long time. In bankruptcy, you default on debts, not on positive sources of revenue.