I have been following the manufactured debt crises all week.
The latest word, from Bloomberg, is that President Obama and the hell raisers in the House have struck some sort of deal that the Congress could vote on Sunday afternoon. A key worry for those of us who do not want to see any social security or Medicare cuts is that the proposal suggests there will be such cuts, automatically, if certain other objectives of the Republicans aren’t met by Thanksgiving. Blame the Tea Party–and particularly any local organizers of it–if you find your check reduced come next January. It’s no different than if that Tea Party person broke into your house and stole the money.
To me, this has been a lot of shit. Congress has already authorized the spending. This whole “debt limit” thing has basically gone from being some sort of marker that contained the overall spending, over many budget years, into a weapon that could be employed by an overall minority to blackmail the rest of us into accepting their agenda. Or rather, maybe I should call it the agenda of their billionaire paymasters.
In the days of the New Deal, with the bad economy and unemployment of the 1930s, the solution was to cut down the billionaires (raise revenue off progressive taxation and spend it on public works, including World War II). Now, it seems the only solution the hijackers in Congress will allow is that it’s sucked out of all of us and funneled to the multimillionaires who have so much already.
For most of the last century, America had no problem spending 20% or even 25% of GDP. Now, the Tea Party minority in Congress is saying that this cannot be any more than 15% of GDP—which would eliminate Medicare at minimum, and part of Social Security. Wouldn’t it be a lot easier just to eliminate federal spending in the states that take more federal dollars than their citizens pay in to the U.S. treasury in taxes? (This would be, basically, most of the states of the Confederacy and any boxy or quadrilateral state you see on a map.)
Lord knows whatever shitty deal Obama boxed himself into with this one, they are going to suck him dry to prevent a technical default on Tuesday.