There really shouldn’t be many fence sitters left on the debt ceiling issue at this point. This should be one the few major issues that is not partisan driven as well. It’s really a very clear cut choice. Support raising it and you have zero credibility in my book. You are simply a sucker for the hyperbole and fear tactics in play.
The facts are that the U.S. will not default on its debt. Write it down, take it to the bank, bet the farm. At least not this year anyway. Servicing our $14 trillion dollar debt only requires approx. 6% of the tax revenue generated annually. The only feasible possibility for default would be if Treasury Secretary Timothy Geithner, at the direction of his boss the POTUS, does so intentionally. Not likely to happen. There is no option for doing so and gaining politically. All the threats being put forth are hollow. Certainly there will be some gamesmanship played with some high profile events the MSM media will eat up. How far is Obama willing to go and put us at risk in this game of chicken we just don’t know. I’ll admit that is a concern with an amateur in charge. The one thing that is for sure is that it’s not necessary.
What’s outrageous is that House Speaker Boehner is even negotiating a deal at all. Trading promises of spending cuts for raising the debt limit? Foolishness! Do you know what will happen should the debt limit not be raised? Forced spending cuts, that’s what. Why in the hell does Boehner need to bargain them away when they are guaranteed absent the debt limit raise?
The debt will be serviced first. After that will begin the process of prioritizing Federal programs. As long as Obama runs an unbalanced budget, the forced spending cuts will get dramatic by necessity. But that’s the point. He can’t avoid them. Of course, partisan politics will play a huge role at this stage as he tries to pacify his base as much as possible and make the cuts in GOP majority areas. But even minor cuts to union strongholds will bring out the venomous protesters en masse.
If you are at all unsure where you stand on this issue, please do your research. There simply is no merit to the administration’s threats at all. No double dip recession or tanking of the world economy. The cuts will be to government run or subsidized programs. These are not wealth creating programs. They will not restrict or remove investment capital from the markets. In short, nothing that would dictate a recession. A double dip is not even technically possible since we are nearly two years removed from the end of the previous one.
The administration only has the fear tactic on its side to sell. They can’t lay out the facts with our true options because it would defeat their premise. They cling to their hope that enough ignorance exists in the public arena that they can pull off their outright lies and distortions. Unfortunately, a large segment of our society falls into that category.
Make no mistake, the American public will bear the burden of the fallout if the debt limit isn’t raised. But it’s a necessary evil. Much like what is going on with the levees in the south. Picking and choosing the winners in the who gets flooded drama is extremely unpopular with those that will lose everything. But choosing a course that will protect the greatest number of people is the only real choice. Addressing the deficits and debt will chart a similar course. Many Americans dependent on the government machine will lose. But in order to address the cancerous debt issue, it has to be done.
This debt limit vote is only the beginning. However, it’s an absolute necessity. And a clear choice to boot.