Here's Why Republicans Are Serious About a Default

THE STREET ^ | 1/14/2013 | Joe Deaux

[tentmaker]

NEW YORK (TheStreet) -- Investors should understand why some Republicans are willing to allow the U.S. to default on its debt.

President Barack Obama on Monday took a preemptive approach to criticize Republicans on the looming debt-ceiling clash, as he said they had the choice between acting responsibly and paying Congress' bills, or acting irresponsibly by allowing the economy to crash.

[tentmaker]

This article is 100% Democratic talking point lies. It takes it for granted that if the debt limit is not lifted, there will automatically be a default and blames that on Republican politics. The Republicans need to get their heads into the game and stop allowing the Democrats to frame the issues in the media like this.

There will be no default on the debt no matter what happens. The issue is whether or not we will continue with unlimited borrowing or put a responsible limit on our debt and begin working to pay it down. The last downgrade to US credit was issued because there was no serious fix to the spending problem. If spending is not reduced now, there will be another downgrade that hurts our credit. President Obama and the Democrats are intent on pushing our debt as high as they can because it suits their political agenda of growing the size of government, in spite of the fact that it is dangerous to our economy. Any damage to the economy will be their fault, not the fault of the Republicans who are trying to fix the problem by reducing spending.

[YHAOS]

Refusing to raise the Debt ceiling will not cause a default . . .

But, Repubics lack the courage to refuse to raise the the Debt Ceiling. Repubics love to spend money we don't have just as much as 0bamatrons.

[SeekAndFind]

Here’s the bottom line — our current budget deficit of over a trillion dollars a year came as a result of making the crisis and stimulus spending we made in 2008 the BASELINE for current spending.

That yearly one trillion dollar deficit is the MAIN REASON why we have to continue borrowing money we don’t have.

Has anybody ever asked this question — HOW WERE WE ABLE TO PAY OUR DEBTS BEFORE 2008-2012 AT THE SAME TIME DEFEND THE COUNTRY, AND PAY FOR SOCIAL SECURITY, MEDICARE AND MEDICAID?

Simple, WE DID NOT SPEND AS MUCH MONEY AS WE ARE DOING NOW.

SOLUTION: GO BACK TO THE 2008 BUDGET and USE THAT AS THE BASELINE FOR ANY ENSUING BUDGET.

We have MORE THAN ENOUGH revenue to service our debts.

[SeekAndFind]

Republicans ought to coalesce around the Connie Mack PENNY PLAN ( Supported by Senators Rand Paul, Marco Rubio and Pat Toomey ).

The Mack Penny Plan is simple — eliminate one penny out of every federal dollar spent.

Doing this would balance our budget by 2019 and restore economic freedom by reducing spending and bringing fiscal discipline to Washington.

The Penny Plan continues to gain support and now has 70 cosponsors in the House of Representatives, as well as support from key senators like Marco Rubio, Pat Toomey and Rand Paul. If America’s families can cut one penny, or more, out of every dollar in their budgets, so can Washington.

Here are a few questions about Mack’s plan:

• Does the math work — would it balance the budget in eight years?

• How would Mack get to that 1 percent cut each year — would it be across the board in every area, including Social Security and Medicare?

• Is it really gaining support? Or is it stalled?

Mack has a fact sheet that shows the numbers for H.R. 1848, the One Percent Spending Reduction Act.

Mack got the idea from the One Cent Solution. The founder, Bruce Cook, is a businessman from Georgia and a graduate of Harvard Business School.

The math works like this: For six years, the federal government would reduce spending by 1 percent each year. In the seventh year, funding would be capped at 18 percent of gross domestic product, which measures the size of the overall economy. By the eighth year, the plan would balance the budget and save $7.5 trillion over 10 years.

If Congress and the president couldn’t reach an agreement about what to cut, the plan would trigger automatic across-the-board spending cuts.

Mack’s website shows the 1 percent reduction each year:

FY 2012 – $3.382 trillion*, less 1 percent => $3.348 trillion cap
FY 2013 – $3.348 trillion, less 1 percentt = > $3.315 trillion cap
FY 2014 – $3.315 trillion, less 1 percent => $3.282 trillion cap
FY 2015 – $3.282 trillion, less 1 percent => $3.249 trillion cap
FY 2016 – $3.249 trillion, less 1 percent => $3.216 trillion cap
FY 2017 – $3.216 trillion, less 1 percent => $3.184 trillion cap

At the beginning of fiscal year 2018, it sets an overall spending cap of 18 percent of gross domestic product.

The Penny Plan sets a framework for reducing spending. It will be up to Congress and the president to work together to determine how best to achieve those spending reductions.

(BTW, Connie Mack LOST his Senate race in Florida in 2012).

[SeekAndFind]

Here is the Bill that will help solve our spending ( and of course, our DEBT ) problem.

H.R.1848
Latest Title: One Percent Spending Reduction Act of 2011
Sponsor: Rep Mack, Connie [FL-14] (introduced 5/11/2011)      Cosponsors (70)
Related Bills: S.1316

Click here for the link.

[Vendome]

We’re not going to default.

The best that happens is we hold the line exactly where it’s at....for now.

[Tublecane]

Yawn. This is one of the oldest tricks in the book. Whenever your local government wants to raise taxes it’s “for the children” or cops and firemen. The stuff no one but the people getting paid off it is never threaten. Only the stuff we’d miss most.

Defaulting on debt because of a debt ceiling would be like you buying a new car after you lose your job instead of paying off the kneebreaker you borrowed from.

[Vendome]

And we did it without a budget authorizing spending for the last three years....

Deem it so #1

[RitaOK]

What a Lutz, this Joe deaux guy.

Obama already said the same. He got it out there that Repubs can’t be seen with him, the right wing media makes it impossible, leading us to infer such an appearance would hurt reelection chances for any R seen with him.

The good of their re-election, or the good of the country, he says? What a Lutz. The country is likely gone, and the R’s enabled it, plain and simple.

[Tublecane]

“There will be no default on the debt no matter what happens.”

Well, not no matter what. We have defaulted before. I’d say the likelihood is vanishingly small, and the debt ceiling and Pub politics wouldn’t have anything to do with it. Washingtonians will pick default over not being able to buy votes should they ever come to a head.

[Tublecane]

We weren’t able to do it back then, either. The last time we had a balanced budget and no debt was when freakin’ Old Hickory was president. We are worse off for spending more now, but pre-2008 wasn’t the Golden Age. We were doomed then, too. It’s just that there’s less time before our souls come due now.

[Newbomb Turk]

How about our Mulatto maniac president presenting congress with a reasonable budget and working with Harry Reid on some real spending controls.Until then we have nothing to talk about Mr President because Congress holds the purse strings.

We are not your servants and you are not our king.

You work for us and your employment can be terminated at our whim.

[Still Thinking]

You work for us and your employment can be terminated at our whim.

Apparently not, judging by what happened a couple months ago. Tons of people were whimming all over the place, yet we're still stuck with the guy.

[Perkalong]

The majority of Americans think Republicans are a bunch of hypocrites and buffoons.

The Tea Party and the GOP are in a difficult negotiating position because of the terrible reputation they have among the American people. I read a recent poll that 65% of Americans have a negative view of the Tea Party. The GOP House only has about a 12% approval rating.

Also, they didn’t seem too interested in deficits during Bush.

[joshua c]

We need to get the spending back to Pre-Obama levels.

[SkyPilot]

If Americans go one week without their Social Security checks, EBT cards being recharged, or TANF ATM cards(direct welfare cash payments), then America will have one heck of an interesting conversation.

[Yosemitest]

I read a great article by Sheriff Jim R. Schwiesow, Ret. written February 4, 2011 from "NewsWithViews.com" and here's part of it.

COMPROMISE – A DIRTY WORD
Compromise – is defined as:
“A middle way between two extremes”

If this is a literally correct definition, and I believe that it is,
what then are we to do when the two extremes at the opposite ends of the plane are
that which is moral
and that which is immoral?
Is it possible that a righteous compromise can be accomplished
when such a compromise, by the very definition of the word, must contain the elements of an extreme that is in and of itself evil or wicked ?

Compromise is as old as humanity;
compromise began as a human endeavor to attempt to escape the penalty for the transgression of God’s laws
and to mitigate or contravene the absoluteness of God’s word.
Compromise is man’s way
to lessen the seriousness of disobedience to immutable laws and dictums,
or to excuse or condone such disobedience altogether.
No good thing comes from compromise.
Man’s accommodation of transgressions by compromise is not a defense for iniquitous acts in the eyes of God.
Compromise is the devil’s invention;
God who is perfect in every way will not be conciliated by the conditions of a compromise.

Compromise was introduced into the lives of men in the Garden of Eden by that serpent of old, Satan,
and will remain with men until the Lord Jesus Christ brings this world to an end - which He will inevitable do - and establishes His Kingdom.

THE FRUITS OF COMPROMISE
Most people have come to believe
that compromise is a useful tool
and that the negotiations thereof have brought about good things and useful policies.
If one examines that belief closely it soon becomes apparent that
there are no useful results that accrue to negotiated compromise on any level.
In fact most often
compromise actually breeds dissention and strife,
which in turn leads to more compromise.
In short compromise feeds upon itself and eats up that which is just and right in the process.

To live in a world of compromise is to live in a world without absolutes,
and yet we know that the entire universe as well as the lives of men are managed, controlled, and kept within irrevocable bounds by the absolutes established by Almighty God.
We violate those bounds, via compromise of any kind, at our peril.

Political negotiations (compromise) in regard
to the step down from the safeguarding of the sanctity of life
and from the immutable right granted by God to be defended against being murdered -
as set forth in the sixth commandment
- has enabled an American medical assassination machine
that has claimed nearly double the number of lives of the combined number of military and civilian deaths attributable to World War II.

The killing of innocent babies has reached record heights.
The lives of twenty-four percent of all unborn babies are delivered into the hands of the serial killers of the medical community.
A baby is murdered every twelve seconds,
and it is estimated that in this country alone there have been ninety-two million living beating hearts stilled by the bloody hands of the legal abortionists.
This conspiracy to commit murder,
this aiding and abetting of murder,
this disconnect between the forbidden pre-meditated murder of living adults and the sanctioned pre-meditated murder of living babies
has been wrought by a politically mediated compromise between
those who claim the right to murder babies
and those who know God’s absolute prohibition of murder.
And there is more.

Now continuing…compromise on morality resulted in the condoning of, and an exponential increase in, the filthy - God condemned - practice of sodomy and promiscuous sex.
For every compromise of God’s word a penalty is exacted.
Aids rapidly achieved endemic proportions, first in the United States and then in the rest world.
We were told that Aids was a disease of monkeys that had migrated to men.
The inventiveness of the scientific community and the political apologizers who defend such appalling and execrable behavior
often find fertile ground in the credulous minds of a spiritually deprived people.
I’m not done.

POLITICAL COMPROMISE CONTINUES TO DESTROY THE REPUBLIC
Today as never before in our history the dishonorable who control our social destiny via their political intrigues
subject the nation to a slow death by way of political compromise.

Compromise through ill-conceived trade agreements has destroyed domestic industry and extinguished millions of jobs.
Compromise on sound financial practices has destroyed the housing market, seriously damaged the economy and crippled small businesses.
Compromise on immigration has demolished the social structure, bankrupted state and local governments, critically imperiled national security and jeopardized the safety and well-being of the people.
And compromise on moral integrity has corrupted the youth, encouraged extreme vice and given license to social prurience.

THE BEGINNING OF THE END
In a recent article I wrote
that from this time forward
the people of this nation will not know a day of peace,
there will be no good news, each bad day will fade into another equally bad day,
and the black and ghostly apparitions of the former will blend with the grim and ghastly tidings of the new.
The Lord has departed from a people that have departed from Him and prostituted themselves before heathen gods,
a people who will in the coming days loathe themselves for the evils that they have committed in all of their abominations.
They will surely know that He is the Sovereign God who will carry out His word
to do evil unto them that defy His word and deny His Lordship over all of creation.

As I write this piece
the nation is seized by a 2,000 mile long arctic blast of an unprecedented magnitude;
each season delivers devastation of Biblical proportions.
Tornadoes ravage, floods inundate, conflagrations gobble up thousands of acres of trees and foliage and lumbering mudslides follow in the wake of these,
hurricanes terrify the coasts, and hail, ice, and snow bring cities and towns to a standstill.
Truly the day of the Lord is at hand.

One who reads these words and does NOT understand or relate to that which has been written
can be thought to possess one or more of the following character deficiencies:
deep perversion, callous indifference, abysmal illiteracy, or appalling ignorance.

Believers in God’s word know
that ignorance of a secular kind is directly attributable to a lack of spiritual discernment.

Solomon gives a litany of dangers that await the man who lacks Spiritual discernment:

“To deliver thee from the way of the evil man, from the man that speaketh froward things;
Who leave the paths of uprightness,
to walk in the ways of darkness;
Who rejoice to do evil, and delight in the frowardness of the wicked;
Whose ways are crooked, and they froward in their paths:
To deliver thee from the strange woman, even from the stranger which flattereth with her words;
Which forsaketh the guide of her youth, and forgetteth the covenant of her God.
For her house inclineth unto death, and her paths unto the dead.
None that go unto her return again,
neither take they hold of the paths of life.
That thou mayest walk in the way of good men, and keep the paths of the righteous.
For the upright shall dwell in the land, and the perfect shall remain in it.
But the wicked shall be cut off from the earth, and the transgressors shall be rooted out of it.”
[Proverbs 2:12-22]

A modern translation:

"Wicked and perverse men are scattered like land mines across the paths of our lives.
Without discernment we will soon be following them into the dark of destruction.
The adulteress, every man’s worse nightmare, will seduce those who cannot see past her beauty and promises.
Behind her attraction lies the steps that descend to hell.
No one who goes to her returns,
but how can anyone know this apart from God Himself telling us."
[Proverbs 2:12-22]

Read Compromise Is a Dirty Word for Club for Growth.

Take a good long look at where "Establishment Republicans" ALWAYS take us.

[Petrosius]

[Obama] said they had the choice between acting responsibly and paying Congress' bills, or acting irresponsibly by allowing the economy to crash.

Acting responsibly means adjusting our expenditures to match our income, living within our means.

[ctdonath2]

Reduce spending by a penny per dollar? They won’t even stand for less increase in spending.

[Darth Reardon]

HOW WERE WE ABLE TO PAY OUR DEBTS BEFORE 2008-2012 AT THE SAME TIME DEFEND THE COUNTRY, AND PAY FOR SOCIAL SECURITY, MEDICARE AND MEDICAID?

We weren't. Not even close.