Skip to comments.White House, Republicans Strike Tenative Deal To Raise Debt Ceiling
Posted on 07/30/2011 8:21:33 PM PDT by Beaten Valve
ABC News has learned that Republicans and the White House have struck a tenative deal to raise the debt ceiling before the Aug. 2 deadline.
It's not done yet, but here is the framework of the tentative deal they have worked out, according to a source familiar with the negotiations:
(Excerpt) Read more at blogs.abcnews.com ...
Because that is all total balderdash. They are raising taxes. There will be no real cuts. And there will be no "balanced budget amendment."
All there will be is another $2.8 TRILLION dollars in debt, with interest.
quote above is excerpt from Article V of the US Constitution on process for amending the document....
“Let this article sink in
If true then - well then I don’t know what happens. We sink.”
I agree. Unfortunately people are so busy celebrating “a deal” that they don’t look at what the deal really is.
We are on a downward spiral and unless we elect a fiscally responsible president and Congress, who also have some courage, we may be passing the point of no return to become a third world country and nobody will bail us out, you can be sure of that.
LOL -- thanks for the levity, even if it is all too true!
If this bill is killed, I could care less, the debt ceiling is not raised.
I believe there is wording that indicates “except if the country is at war” somewhere which invalidates almost everything!
Also what effect will the deadline of the continuing budget resolution expiring in September 2011 have on the whole picture? If any?
And, what if we win the Senate in 2012 by partly losing now? Veto proof. Two majorities with veto proof margin of the third makes Obambi a hangover.
A gamble we could/might lose but if we win, then we have a solution - instead of a certainty of a total Obama created and led disaster if we cannot have a chance at the Senate majority.
this a phony PR release by the Soros Media machine and the All Barack Channel is a true Soros front group.
No, the economy won’t turn around. But look at the polls. It shows 40% still love this guy? And I believe another 10%, at least, will vote for him when the time comes.
obama looked bad on this deal. It would have been nice if he would be looking bad in oct 2012.
The Reid bill will become the alternative to the Boehner bill. The alleged Obama-Rep deal will use it as the vehicle to replace the Boehner bill with the Senate’s version. If it is passed in the Senate, it will go to the House for approval. By the Constitution, any appropriations bill must be initiated in the House. That was the whole purpose of the Boehner bill, i.e., to give the Senate the vehicle to propose an alternative. The Senate has changed the vote on the bill from 1 AM to 1 PM on Sunday. I assume that the alleged deal will be reflected in the new Reid bill.
The primary goal of the Republicans in this has been identical to Obama’s EVERY SINGLE STEP OF THE WAY.
you and Rush are correct.
and soon it will be obvious, to the most casual observer.
and it is our children who will pay the price.
Is that even constitutional? I don't like If/Then statements regarding passage.
The RINO-Dem Coalition no doubt wins their plan but the TEA Party really wins in the end I think.
The rating agencies were in on the fix. Amazing timing to start talking downgrade in the midst of the negotiations. If they were objective, our bonds should have been downgraded many months if not years ago when it became obvious that our spending and liabilities were unsustainable and the pols had absolutely no will to reform.
Maybe the time horizon makes sense for AAA though, not sure how forward looking they rate. 1 year, 5, etc. Seems nuts though when we are peddling 30 yr bonds... One thing is certain however, our bonds will be downgraded sooner rather than later. Inevitable.
I am getting confused
Can someone tell me which coconut shell the ball is currently located on? I missed the last hand movement. /sarc
I believe there is wording that indicates except if the country is at war somewhere which invalidates almost everything!
If this is true all obama has to do is get into a war. He just got us into one in Libya without congressional approval and congress didn’t do a darn thing about it except complain.
>> No tax increases.
Not an issue before this “debt crisis”, so it’s not like Boehner accomplished anything here.
“The Super Committee”
I’ll look for that in the Constitiution.
All for Vampire-Care timing, for the iron hand of Big D.C.
“Thou Shall Not Steal” Exodus 20:15
‘Then its utterly useless.’
So you would have preferred massive tax increases, no vote on a BBA, no reduction at all in proposed spending increases, which is what Obama was saying less than a week ago.
This is going to be a very hot few days or week coming.
A committee! We’re saved!!!
Well, I hope the real Tea Party "wins." But not the phony Republican astroturfed Tea Party. They overwhelmingly supported raising the debt ceiling by trillions of dollars.
The real Tea Party had better figure out how to actually vet candidates, to tell the sheep from the goats. Because last time it was mostly the goats who made it through the chute.
I have no opiniion on any of this until I see the legislation. My default position is no debt ceiling increase but that was never going to happen with this group of Republicans so my approval depends on whether they’ve made our current problems worse or not.
The one thing I want to take issue with is this obsession over a debt ceiling fight next year. Who damn well really cares. The debt isn’t going to magically disappears and that remains an issue. The #1 issue next year is JOBS. That and gas prices are all voters will be focusing on.
Yup, government-speak 101—baseline budgeting. Add the extra spending from stimulus to baseline and a $900B INCREASE is CONSIDERED A CUT BY OMB?!?!?! Can’t decide if we are in Twilight Zone, 1984, Atlas Shrugged or ALL THE ABOVE :( eh, all the above!
I agree with you that our bonds are overrated and it is a matter of time. In my opinion, the agencies would not have the guts to downgrade this coming week if this deal passes. I suspect that the agency has the ability to have different ratings based on maturity, but that it may be too confusing for the markets to digest.
I’m pessimistic myself, but so far, this is more of a “win” for us than I expected considering it looked like Boehner was in full on retreat mode earlier.
‘If what doesnt happen?’
If the Congress doesn’t make the required 1.8 trillion in reduced spending, it can either pass the BBA OR see automatic 1.8 trillion in across the board cuts.
Oh, we will pay the price, we are right now. Commodities aren't spiking because of scarcity, but weakness of the dollar. Interest rates are being kept artificially low and inflation is being mis-calculated. It is very soon we ALL start paying the piper.
How many times have we heard this story?
My guess is the Left will be apoplectic about it.
There some people here that are not happy unless they are bashing Boehner. Your point is well taken since 0bama would have to own up to cuts in entitlement.
The coconut shells are actually US Treasuries, and the ball is the cash to cover the face value of one Treasury. This bill stops the increase in the number of coconut shells on the table in about 10 years. That is all you need to know.
All true. Everything you said.
I trust “greedy” free market capitalists and the market more than I trust greedy politicians and polls.
The fact that the Dow and Treasury rates haven’t moved much is proof that they always knew that politicos would cave and revert to the easy path.
‘He just got us into one in Libya without congressional approval’
Only because he insists that it is NOT a war.
An increase in the debt ceiling means more spending and more taxes. This isn’t a victory for Conservatism, this is a victory for big government establishment types. When you have big government idiots like Boehner, Reid, Obama and McConnell at the negotiating table, you get this confusing mixture of “revenue increases (more taxes), a raise in the debt ceiling (more taxes) and dollar-for-dollar cuts (no real cuts). Forget about the BBA, because that’s not going to happen as long as Dingy Harry is in charge of the Senate and Hussein is in the WH.
I agree that inflation is being understated but I also think that the reason we are not experiencing hyperinflation is because the banks are thankfully sitting on huge portion of the cash that has been pumped to them by the Fed. If they were actually loaning that money out, I shudder to think what would be happening to the dollar.
I don't care what they cackle about and sign, I know a bit about statistics, and what they're agreeing to is not going to even tap the brakes on this rate of progression. Or to put more bluntly, "They's accerleratin' and there's nothin' stoppin' em."
We've been thrown a bone folks, and now we're supposed to STFU! Well to hell with that! We the People know we're talking about the survival of our sacred republic. Rally and Fight! Game On!
Oh, and BTW, here's our National "in and out" budget, you know, just like at home. . Paychecks in, Bills out, you know the drill. Looks like a Whoops and Oh Oh to me:
58% entitlements. . . "that we can't touch". . .
So, if any of you rats think this is all going to be fixed before Obama's birthday, I have news for you: The sleeping giant is now really awake, more informed, and even Madder than Before!
“So you would have preferred massive tax increases, no vote on a BBA, no reduction at all in proposed spending increases, which is what Obama was saying less than a week ago.”
Oops! I didn’t realize I was addressing an Establishment groupie...
Yes, yes, of course... the “only” other alternative to any of this is what you suggest. (Seriously, that’s like some argument that a leftist would come up with...)
CNN/ORC INTERNATIONAL POLL JULY 18 TO 20, 2011 Question 25 Would you favor or oppose a constitutional amendment to require a balanced federal budget? Base = Total Sample Total Men Women White Non-White ...- - - - - Favor 74% 74% 75% 76% 72% Oppose 24% 25% 24% 23% 27% No opinion 1% 1% 1% 1% 1% Sampling Error +/-3.0 +/-4.5 +/-4.5 +/-3.5 +/-7.5
Good observation. I would add that a lot of cash is moving to other havens (gold, overseas investments, etc.) instead of becoming job creating capital. Our business climate is too risky for many investors. Second, the Dodd-Frank Bill places onerous restrictions on banks that is limiting the velocity of money. No amount of liquidity is going to solve our economic problem.
FR's bright and shining ray of hope speaks again.
Why don't you just change your tagline to "We're All Gonna Die!!!"
The only critical question is how much of this is in FY2012?
It occurs to me that if the Republicans really wanted a balanced budget amendment they would have passed one during the recent years in which they controlled both houses of Congress, and, if they really wanted to balance the budget they would have simply refused to raise the debt ceiling.
If a BBA is part of this deal, it means exactly NOTHING. It’s political cover. Nothing more, nothing less.
I agree with you. Tho I am verry skeptical, I am going to listen to Levin and Limbaugh on Monday—they have a very savvy and reasoned way of looking at news/politics. It will be interesting to see how these threads go on Monday.
I am so tired of seeing the kicking the can down the road. I grieve for my children and upcoming grandchildren.
I feel the the GOP had a chance to do something and didn’t. I feel very short-changed. Maybe Monday, maybe in a few months I will be proven wrong—I really hope so, but for now, I am verry skeptical and disappointed.
“I agree that inflation is being understated “
It’s being checked by mass unemployment and buffering trickle down food stamp program.
The cost of fuel/gasoline/food is massive inflation real tax, with Big D.C. being insulated with proportional cost increases.
Thou Shall Not Steal Exodus 20:15
They'll cut enough to buy you a cup of coffee.
As long as it's cheap coffee.
And we need to let you know that you'll be on the hook for an additional $10,000 for each member of your family.
Thanks for doing your part to replenish Obama's stash!
Can’t have a balanced budget if there’s no budget to balance.... The BBA is just red meat to get Conservatives on board with this sham.