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Discussion: (7 comments)

  1. Max Planck

    by James Pethokoukis

    “OK, so Team Obama is proposing $4 trillion in debt reduction. About $1.6 trillion would come immediately via tax hikes — both higher rates and lower deductions — from wealthier Americans. So based on that, this plan is roughly 60% spending cuts, 40% tax hikes. Balance?”

    Pity the GOP whackjobs couldn’t accept the compromises the President made last August- the split was 83% cuts, and 17% revenue. But because of a piddling increase of 4.9% on less than 4% of the population, it was deemed by the GOP as the equivalent of the renunciation of the Virgin Birth.

    Now, politically, the GOP is at sea. But it doesn’t act like it.

    So why don’t you just get in line and do what the American people voted the President in office to do?

    1. Maxiee boy,
      You must have an inferiority complex and some kind of mental retardation; really.
      “…it was deemed by the GOP as the equivalent of the renunciation of the Virgin Birth.”
      Are you a Mark Alan Siegel follower?

  2. Counting is hard too! Just kidding, great post, but Obama’s plan is missing WAY more than just #4, and the Dims (sic) don’t really have a plan, and the GOP is in control of the purse strings….oh, you get it. None of this stuff matters much when the two wolves get together with the sheep for lunch and so on.

  3. Todd Mason

    Well,no. Consumer debt (and dampened demand) is the big problem. The housing bust wiped out $7 trillion in home equity and submerged roughly one third of all mortgages (i.e. the house is worth less than the note on it.) Unlike the $13 trillion in federal debt, households have no way to print more money and zero options if sh*t happens. Needless to say, consumers are hunkered down, and business is sitting on $1 trillion in cash because they can’t see any demand in the future. Agreeing on ANY cliff climbdown would go along way to reassuring business, if not consumers. The last thing we need is more supply side BS. Been there. Done that .It doesn’t work.

  4. what happened to the 2% payroll tax expiration?

    that’s about 100 billion….

    is the GOP “concerned” about the tax increases on folks paying into FICA?

  5. One cannot help but see the unfortunate prediction of Alexis de Tocqueville coming to fruition in this chart:

    “The American Republic will endure until the day Congress discovers that it can bribe the public with the public’s money.”

    As of this morning, $16.3 trillion in bribes have been paid according to the Associated Press in its tabulation of Federal Government debt outstanding.

    1. Of interest ought to be what we spent “extra” to get to the 16T+ debt….

      it was not all “entitlements”.

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