Tuesday, August 2, 2011

If THIS Budget Deal is a "Victory", I'd Sure Hate to Suffer a Defeat!

The current deal...

Adds at least $7 trillion to our debt over the next 10 years. The deal purports to "cut" $2.1 trillion, but the "cut" is from a baseline that adds $10 trillion to the debt. This deal, even if all targets are met and the Super Committee wields its mandate - results in a BEST case scenario of still adding more than $7 trillion more in debt over the next 10 years. That is sickening. Never, ever balances.

The Super Committee's mandate is to add $7 trillion in new debt. Let's be clear: $2.1 trillion in reductions off a nearly $10 trillion,10-year debt is still more than $7 trillion in debt. The Super Committee limits the constitutional check of the filibuster by expediting passage of bills with a simple majority. The Super Committee is not precluded from any issue, therefore the filibuster could be rendered moot. In addition, the plan harms the possible passage of a Balanced Budget Amendment. Since the goal is never to balance, having the BBA as a "trigger" ensures that the committee will simply report its $1.2 trillion deficit reduction plan and never move to a BBA vote.

It cuts too slowly. Even if you believe cutting $2.1 trillion out of $10 trillion is a good compromise, surely we can start cutting quickly, say $200 billion-$300 billion per year, right? Wrong. This plan so badly backloads the alleged savings that the cuts are simply meaningless. Why do we believe that the goal of $2.5 trillion over 10 years (that's an average of $250 billion per year) will EVER be met if the first two years cuts are $20 billion and $50 billion. There is simply no path in this bill even to the meager savings they are alleging will take place.

5 comments:

Z said...

to say nothing of the huge defense cuts everyone in the world knows about now.
This is no joyous day; this is another day when a stupid person calls his credit card company and tells them he's max'd out but would they raise his limit.

-FJ said...

I can't get excited over this battle. It was a whole lot of sound and fury resulting in a mere dent in the deficit. The Tea Party shouldn't squander its' political capital so recklessly. It needs to pick and WIN the battles it picks. The important ones... like WHO gets a seat at the table... NOT "what is being served".

-FJ said...

We need the power to WRITE our OWN Menu, NOT just order from someone else's.

Silverfiddle said...

Agreed. It is no victory for budget reform, but it is a tea party victory of sorts. The GOP really pimp slapped the liberals, despite only controlling a third of the game.

More importantly, the GOP comes out stronger than they went in, and are well positioned for the 2012 elections. That is the only thing that matters now: Booting Obama and taking over the senate. Then, and only then, can the GOP enact true reform.

-FJ said...

I've got a feeling that every troll-gunslinger in town is going to be coming after us now. Hang onto your hat, sf, the ride's likely to get a little bumpy from here to Nov. 2012.