The problem with Republicans pushing the envelope in their blackmail may come early. The economy is already hurting from Republican shenanigans, due to falling consumer confidence. Extremist Republicans realize that failure to raise the debt ceiling would be a catastrophe. But they embraced even more extremist wing nuts, and they are wagging the elephants tail. Meanwhile, Obama’s posturing is driving the left to distraction.
Washington is struggling to reach a deal on the debt ceiling, and American consumer confidence is slipping. Do these facts have anything to do with each other?
Andrew Tilton, an economist at Goldman Sachs, thinks so. In a note published Tuesday, Tilton wrote that a recent drop in the Reuters/University of Michigan Consumer Sentiment Index — a closely watched consumer confidence report — could be related to the ongoing debt ceiling gridlock.
The Michigan index fell in July from 71.5 points to 63.8 points — a two-year low, Reuters noted. The drop took many by surprise — the index was expected to rise slightly in July, according to economists polled by Bloomberg News.
Nor is Michigan the only polling body to find waning consumer confidence this summer…
Inserted from <Huffington Post>
Banksters are panicking, because US bonds could be degraded at any time.
Rachel Maddow considers the possibilities with E.J. Dionne.
Visit msnbc.com for breaking news, world news, and news about the economy
No wonder Goldman Sachs is jerking the GOP leash.
Of course, Obama knew it was safe to support the gang of six proposal. It contains revenue enhancements. Lawrence O’Donnell explains and explores with David Frum.
Visit msnbc.com for breaking news, world news, and news about the economy
Had Republicans taken the grand deal, as Frum suggested, Obama would have faced a major political crisis, but Republicans are predictable for intransigence.
Obama is still playing the "adult in the room" role. Obama talks about cutting the big three, but knows he will never have to do it. I am still convinced that there will be no deals that cut benefits. The left’s big concern here is not Obama. It is whether Republicans can back off from insaniTEA.
24 Responses to “Republicans Continue to Flirt with Debt Disaster”
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I agree, TomCat! It’s whether the Republicans can back off from the insaniTEA! 👿
Good to see you back! 😈
Thanks Johnny.
I will believe that he has no intentions on any changes in SS, Medicare and medicaid when this is all over. Did we have a money bet about a month ago on this..or did you just blow me off saying’ he’d never do that? Tom even if this is political kabuki on his part maybe it does show he doesn’t really give a shit, just like the republican teabuggerer’s about throwing that scare into granny. That sure as hell make me want to engage when they ALL use me as a pawn. <–snark
As for the CCI, I personally tell people to spend only what needs be spent and turn off every thing except utilities. Remove as much personal capital from the market and economy as possible and keep it liquid and then when they crash the current bubble there is at least going to be some individual middle class wealth that will not transfer upwards.
On another note have you ever looked at the breakdown of the who the Federal Debt is owed to? Fucking well over 60% of it is owed to Americans by the American government. Seems they have been raiding more than Social Security for quite awhile now.
Glad you're feeling better old Buddha
Mark, I know we don’t have a money bet, because I don’t gamble, but I would never blow you off either. As I see it, he doesn’t have a choice. Unless Republicans believe his posturing, we lose. There is no way to make them believe without fooling most of his base too.
Most of that 60% is split mutual funds, pension funds, and bank “cash” reserves.
Thanks
Their Kabuki Theater is driving me nuts!
You hadn’t already arrived there? 😉
Welcome back!
Glad you’re better.
Thanks!
The entire Republican party needs a good swift kick in the ass.
Charles : YESYESYES!!!!
I soooo agree! 🙄
I have to disagree.
The Democratic party needs a kick in the ass.
The Republican party needs a kick in the elephant.
🙄
Hey… I have a thought. I know we don’t always agree on things (although lots of times we do) but it occurred to me the other day that the ultimate problem with Congress has to due with their powers under the Commerce Clause. I don’t run a blog but I thought it might be a worthwhile idea to start talking about a Constitutional Amendment to alter or abolish the Commerce Clause. That is, after all, the root of the problem. Scotus has made it pretty clear they’re not inclined to listen to 10the Amendment arguments. So fine. Change the Commerce Clause. Crazy or worthwhile? What say you?
Cletus, I can’t say one way or the other, because I’m not sure what you have in mind. However, amending the Constitution is easier said than done, as it requires super-majorities in both houses and ratification by 3/4 of state legislatures.
I agree with TomCat, plus, if it was any easier to alter the Constitution than it already is, we would have fallen apart, as a nation, a long time ago, instead of now. 👿 Pardon my cynicism! 😈
My question ? How in the hell can this insanitea be stopped ?? They pay no attention at all to any of the polls which tell them clearly the American People want NO CUTS to SS , or Medicare , No cuts to programs that will hurt people , Increased taxes to corporate and the top 1% at least a return to the Pre Bush tax structure– as well as cuts to the bloated military— They are courting disaster –
Phyllis, the only way I see to stop it is in the voting booth.
Pres. Obama appears to have a sense of responsibility without an abundance of conviction, which is annoyingly weak, but at least it’s sane.
Repubicans’ conviction for “tax cuts, tax cuts, tax cuts” without ANY sense of responsibility is stark raving mad.
Too well said.
Exactly! That is mad! And irresponsible!
I think Obama is just going to use the 14th Amendment and tell them to go fuck themselves, especially if Moodys downgrades us. This is a catastrophic event that is about to occur and the Repubs are playing games with it and if they really want to see what will happen if we go over the cliff. What a bunch of narcissistic , infantile, stupid bunch of jerk offs. 😡
Lisa the problem is that the 14th does not vest the executive with enforcement. That is a court power. However, once a crisis actually happens, he can claim special executive privilege. Even then Republicans will use that as an excuse to impeach, so it’s a last resort.
You’re right, TomCat.
Aren’t I always? 😉
😎