Debt Limit Talks, Cut Cap & Balance, and What is the Principled Thing To Do?

I have been watching this whole debt debate and as it rages on it seems that the debt ceiling negotiations are getting nuttier by the day.   We are seeing the clash of philosophies go head to head.  Democrats and Obama believe in playing the class warfare card.  The President refuses to mention with specificity even one thing that he is willing to cut from the budget.  In contrast the President has laid out in great specificity how he wants to tax the "rich". He wants to raise taxes while Republicans do not.  IMO, the crux of the problem lies with Obama.  The philosophies of both the conservatives and liberals are so far apart that they don't agree on much, if anything, in the way of how to fix the debt problem.  While the President likes to portray the GOP as being ideologically entrenched and unwilling to compromise his own words have shown that this is a case of the pot calling the kettle black.  For example, Eric Cantor realized that the two sides are two far apart to agree on a "grande bargain" so he stated that he would be willing to move a a short-term debt limit increase alongside smaller spending cuts but then Obama, the man-child President, said to Cantor “Eric, don’t call my bluff." Then according to Eric Cantor he told reporters that “He (Obama) shoved back and said ‘I’ll see you tomorrow’ and walked out."  Obama has shown that he can't stand to be challenged politically, and that he takes it personally so I can believe that this happened the way Eric Cantor portrayed the event. 


Do you think that Eric Cantor was political posturing? Or do you think that Obama was political posturing?

Back in 2009 Obama stated that he wasn't looking to raise taxes until possibly 2013.  But now he is so entrenched and committed to raising taxes. 

"So, when you hear folks saying, “Well, the president shouldn’t want massive job killing tax increases when the economy is this weak.” Nobody’s looking to raise taxes right now. We’re talking about potentially 2013 and the out years."

So why does Obama want to raise taxes when our economy is so weak and on the verge of a double dip recession?  We shouldn't be raising taxes on anyone while our economy is so weak. 

What is a principled stance for the Republicans?  Do you think that it would be irresponsible for the GOP not to raise the debt ceiling or would it be irresponsible for them to raise the debt ceiling?  Or should the GOP raise the debt ceiling ONLY IF the President and Congress goes along with their Cut Cap and Balance Pledge?  Or a similar plan? In all likelihood it would seem that in all probability that there is going to be some sort of compromise by both parties.  Or do you think that the GOP should stand firm and risk the U.S. hitting the debt ceiling?  And thus possibly defaulting?  Then we have President Obama who is using fear mongering tactics, saying we may not have enough money to pay out social security, medicare and medicaid, and military benefits in order to put pressure on the Republicans.  If the debt ceiling isn't raised then Obama might actually be forced to make some immediate and necessary budget cuts but that is something he isn't willing to do.

The Weekly Standard explains that the revenues would cover social security, medicaid and medicare, and military benefits.

The BPC study found that the United States is likely to hit the debt limit sometime between August 2 and August 9. “It’s a 44 percent overnight cut in federal spending” if Congress hits the debt limit, [Jay Powell of the Bipartisan Policy Center]said. The BPC study projects there will be $172 billion in federal revenues in August and $307 billion in authorized expenditures. That means there's enough money to pay for, say, interest on the debt ($29 billion), Social Security ($49.2 billion), Medicare and Medicaid ($50 billion), active duty troop pay ($2.9 billion), veterans affairs programs ($2.9 billion).

I just saw this on Eric Cantor's Facebook Page: "This debate is not a question of personalities; it is about doing what is right for the country."  


I agree.  

The Cut, Cap, and Balance Plan consists of :  



1.  Cut - We must make discretionary and mandatory spending reductions that would cut the deficit in half next year.

2.  Cap - We need statutory, enforceable caps to align federal spending with average revenues at 18% of Gross Domestic Product (GDP), with automatic spending reductions if the caps are breached.

3.  Balance - We must send to the states a Balanced Budget Amendment (BBA) with strong protections against federal tax increases and a Spending Limitation Amendment (SLA) that aligns spending with average revenues as described above.




Then we have Mitch McConnell's plan which would basically cede power to Obama and allow him to raise the debt limit three times during the rest of his term. This lame brain idea would put the onus of the blame for the skyrocketing debt on Obama.  That option would mean that both parties would be kicking the can down the road.  Old Geezer Mitch must have left his brain at home that day because this plan is absurd.  The American people don't want McConnell to wave the white flag of defeat to Obama & Co.  The American people want solutions and not political chicanery. Clueless McConnell needs to stop playing political games and instead concentrate on trying to find a solution to the debt crisis, stop acting like a wimp and stand up to Obama.  


In your opinion what do you think is the principled position for the Republicans?  What are your thoughts on the debt and debt ceiling issues?