Ben ‘Bankster Boy’ Bernanke coined the term fiscal cliff, when trying to spur the Super Committee to reach a deal. He intended it to sound scary, and the news media love it, because it could not be more conducive to sound bites. Failure to act before the end of the year is just not as catastrophic as it sounds. Republicans love fear, because they use it to commit economic terrorism against America in the form of blackmail. Way back in July, I said we should not fear the fiscal cliff. Lately, I’ve seen that some pretty high powered experts share that view, such as Paul Krugman.
To say the obvious: Democrats won an amazing victory. Not only did they hold the White House despite a still-troubled economy, in a year when their Senate majority was supposed to be doomed, they actually added seats.
Nor was that all: They scored major gains in the states. Most notably, California — long a poster child for the political dysfunction that comes when nothing can get done without a legislative supermajority — not only voted for much-needed tax increases, but elected, you guessed it, a Democratic supermajority.
But one goal eluded the victors. Even though preliminary estimates suggest that Democrats received somewhat more votes than Republicans in Congressional elections, the G.O.P. retains solid control of the House thanks to extreme gerrymandering by courts and Republican-controlled state governments. And Representative John Boehner, the speaker of the House, wasted no time in declaring that his party remains as intransigent as ever, utterly opposed to any rise in tax rates even as it whines about the size of the deficit.
So President Obama has to make a decision, almost immediately, about how to deal with continuing Republican obstruction. How far should he go in accommodating the G.O.P.’s demands?
My answer is, not far at all. Mr. Obama should hang tough, declaring himself willing, if necessary, to hold his ground even at the cost of letting his opponents inflict damage on a still-shaky economy. And this is definitely no time to negotiate a “grand bargain” on the budget that snatches defeat from the jaws of victory… [emphasis added]
Inserted from <NY Times>
If no deal is reached, one will be as soon as Congress reconvenes in January, and it will be made retroactive to the first of the year. Since the Bush tax cuts will have expired, Republicans can vote for a tax cut for the middle class without voting for a tax increase on the rich. If they hold out for bonus tax breaks at the top, and refuse to cut taxes for 98% of Americans, they will no longer have ideological cover, and the political cost to them would be a disaster.
Ed Schultz and Bernie Sanders explained why Obama and the Democratic Party hold most of the cards.
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As usual Bernie said it all!
Finally, consider this. The super rich are not hurting for money. The opposite is so true that they just spent nearly a $billion trying to buy the US government for the Republican Party. Since they have so much money to flush down the toilet, shouldn’t some of that excess, stripped over the years from the poor and middle classes, be returned to benefit those people from whom they took it?
18 Responses to “Just Say NO to Blackmail!”
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NO QUARTER!
The GOP starting point of "No tax increase on anyone" is NOT a compromise.
Republicans do NOT forget and do NOT forgive. Let us not be the ones to NOT have learned that lesson.
NO QUARTER!
I agree. Disappointingly, Obama is already saying he is willing to compromise. In his last 4 years, there should be no tolerance for republican incompetence. NO COMPROMISE!
While Mr Obama used the word 'compromise' a few words later he said "I'm committed to solving our fiscal challenges, but I refuse to accept any approach that isn't balanced."
I think he has learned a lesson in the first 4 years about compromise and the Republican/Teabaggers. The more I think about this, I really think that the Democrats may just have the upper hand, even though the GOP commands the House — they can just let the Bush era tax cuts expire. And of course, the Democrats command the Senate.
I hope you are right.
I fully agree. Making the 1% pay their fair share has to be the starting point for any compromise.
President Obama has real capital to spend ! And a different attitude toward using it–He knows what the immediate job is — President Obama is by nature pragmatic , a builder — but I see him also at the point of saying –…this is what you want …and.. this is what we need… sooo , this is what I have decided , this is what we will do-
That's a good way to look at it.
I think he should take a page out of Dubya's book, use executive privilege and over ride the absurdities the Republicans demand!
Edith, I agree with this too. And their demands are absurd. Listening to Boehner talk the other day about how he knows what Obama needs to do, as if he is somehow superior to the president, was offensive. Boehner is no intellectual giant, to put it mildly. I hope Obama really takes these guys to school this time around.
Amen on Boehner's haughty demeanor. That man makes it really easy to dislike him!
There are dangers inherent in that. W claimed executive privilege in areas where there is none. I'm all for Obama using executive orders, but they have to be legal.
From time to time, I like to revisit my trusty Concise Oxford Dictionary to check the meanings of words, or better put, the nuance of meanings of words. I, like many, have referred to the Republican/Teabaggers as economic terrorists; economic terror specialists.
Terror — extreme fear.
Terrorist — favours or uses violent and intimidating methods of coercing a government or community.
Reign of terror — a period of remorseless repression.
In the context of these words, the GOP has been and is engaged in a reign of terror, economic and social terror, for the past 4 years, but has been particularly more vociferous in the past 3. They are economic and social terrorists trying to rend the fabric of American society for their own selfish ends.
Mr Obama has called for leaders from the Congress to meet with him next week to try to reach a consensus on a way forward. Mr Obama said:
John Boehner's response was that raising taxes is unacceptable.
Senator Patty Murray (D-WA) has said that she will take the discussions into the new year which means that the Bush era tax cuts will expire. Done deal! The 1% will pay a higher tax rate, and the Republican/Teabaggers didn't have to dishonour their pledge to Grover Norquist. How Norquist, a lobbyist and unelected, gained, or maybe more appropriately was allowed to gain, so much power over elected officials is beyond me. It is anathema to democracy.
The "do nothing" Congress need only to continue to do nothing and the situation will take care of itself by 01/01/13. I wonder if that will encourage Boehner and the GOP to more practical debate and solutions?
If the GOP does not cave in December, I think they well in January.
I think they better be prepared for a new President Obama during his second term. I don't think he will cave anymore.
Time will tell. Without the pressure for reelection, he will have a freer hand.
Patty I agree Obama will not cave If you remember back we decided to extend the Bush cuts it was the right thing to to but he said something don't expect me to agree in two yrs.
After this election Obama will stand with the American people and he will not take the same crap again I would bet on it
I've been voicing my displeasure with Republicans and Tea-Bags about this issue, and I didn't vote for Grover Norquist either… Let's go over the Cliff…. :mrgreen"
Nobody voted for Republican Pope Grover.