Maria Cardona's article 'Tyranny of 87' on CNN blog sums it well that 87 tea party congress members are holding the country, its financial system and the world's economy hostage.
It may be unkind to say it, but U.S. public deserves what is coming their way. After all, they elected this zealot group of 87 tea party activists who have no clue of the harm they are about to inflict on the nation. They say that to avoid default, just pay the interest on debt and stop all social security and medicare checks. This will leave millions of Americans in despair, but that does not bother them as long as there are no tax increase on the rich and loopholes remain open for big corporations to avoid taxes.
What the U.S. needs at this time is to carefully nurture its economy back to health, even if it requires more stimulus or Quantitative Easing 3. But the actions of Republicans, especially the group of 87 could cause a recession all over again with more job losses adding to the already high 9% unemployment.
Handing veto power to a group of unknown idealists of the opposing party, only two years after electing a new President was a huge mistake.
Showing posts with label US Debt Ceiling. Show all posts
Showing posts with label US Debt Ceiling. Show all posts
Saturday, July 30, 2011
Tuesday, July 26, 2011
US: Tea Party is to blame for the impending default
The intransigence of Republican Party, especially their Tea Party component to raise debt ceiling is sending Canadian Dollar, Gold and Swiss Franc soaring. The markets consider these safe havens in case of a US default. If a default occurs August 2, 2011 onwards, the Tea Party will be to blame for creating havoc with US and World financial systems.
The debt ceiling was raised 17 times under Reagan, 4 times under Bush Sr. 4 times under Clinton and 7 times under Bush Jr. The Republican Party has only now developed consciousness or is it that their game play has gone too far?
The Tea Party's ideology is warped. In a country where every dollar spent, only 62 cents are raised in revenue and the rest is borrowed, Tea Partiers refuse to increase revenue sources. Granted that US spending is out of control and needs to be reigned in, but most of the extra spending in last ten years has been on expensive wars.
The Republican lawmakers who rave and rant against Government spending are themselves guilty of appropriating funds by way of entitlements for their pet projects, whether these are productive or not - like the bridge to nowhere in Alaska. They tag entitlements to any bill that passes Congress.
Although this fight between Tea Party and President Obama seems mostly ideological, but there may be some undercurrents of racism here. In 2010 elections, some Tea Party zealots suggested that African Americans should not vote as they don't understand democracy. It seems that Tea Party has a one point agenda - remove Barack Obama from office, no matter what the cost to country's economy.
To prevent default, if moderate Republicans do come to a last minute agreement with President Obama, Tea Party may try to stall the bill in Congress. If they cannot, they will probably field their own Presidential candidate in 2012. This could rip the Republican Party as their votes will split against Obama.
The debt ceiling was raised 17 times under Reagan, 4 times under Bush Sr. 4 times under Clinton and 7 times under Bush Jr. The Republican Party has only now developed consciousness or is it that their game play has gone too far?
The Tea Party's ideology is warped. In a country where every dollar spent, only 62 cents are raised in revenue and the rest is borrowed, Tea Partiers refuse to increase revenue sources. Granted that US spending is out of control and needs to be reigned in, but most of the extra spending in last ten years has been on expensive wars.
The Republican lawmakers who rave and rant against Government spending are themselves guilty of appropriating funds by way of entitlements for their pet projects, whether these are productive or not - like the bridge to nowhere in Alaska. They tag entitlements to any bill that passes Congress.
Although this fight between Tea Party and President Obama seems mostly ideological, but there may be some undercurrents of racism here. In 2010 elections, some Tea Party zealots suggested that African Americans should not vote as they don't understand democracy. It seems that Tea Party has a one point agenda - remove Barack Obama from office, no matter what the cost to country's economy.
To prevent default, if moderate Republicans do come to a last minute agreement with President Obama, Tea Party may try to stall the bill in Congress. If they cannot, they will probably field their own Presidential candidate in 2012. This could rip the Republican Party as their votes will split against Obama.
Saturday, July 23, 2011
Is the Republican Party about to commit Harakiri? One hopes not.
After voting to raise US Debt Ceiling a record seven times in George W. Bush's eight years presidency, the Republican Party is now dragging its feet to raise it once unless they get their way - further reduction in taxes for the rich and drastic cut in social services for the poor i.e. medicare, social security etc. While Bush reduced taxes of his own accord, Republican Party never insisted on cuts to social services during his presidency.
By not increasing the debt ceiling, Republicans are holding US and world economy hostage as without the increase, US Government will most certainly start to default on its obligations from August 2, 2011 onwards. The debt ceiling should have been raised in May 2011, but Republicans have been playing hard ball, but now it is time for Republicans to deliver.
After pulling out of talks with President Obama Friday, the Speaker of the House probably realizes his folly and is now desperately trying to come up with a solution before the Asian markets open Monday. Though he has left it rather late, but one hopes that his efforts will bear fruit.
The Wall Street is extremely worried that if debt ceiling is not raised, default by US Government is imminent. If that happens, all hell may break lose in the financial markets. It is time for Wall Street and big Corporations (the main financiers of Republican party) to impress upon them that unless a deal is done within hours, all further funding to Republican party will cease.
Most Americans know what is going on and a majority of them are with President Obama on this. Perhaps the President should set a final deadline of 12 Noon (EST) Sunday and if no agreement is in place, he should go directly to the American public and take them into confidence. They should know who is playing havoc with their future.
By not increasing the debt ceiling, Republicans are holding US and world economy hostage as without the increase, US Government will most certainly start to default on its obligations from August 2, 2011 onwards. The debt ceiling should have been raised in May 2011, but Republicans have been playing hard ball, but now it is time for Republicans to deliver.
After pulling out of talks with President Obama Friday, the Speaker of the House probably realizes his folly and is now desperately trying to come up with a solution before the Asian markets open Monday. Though he has left it rather late, but one hopes that his efforts will bear fruit.
The Wall Street is extremely worried that if debt ceiling is not raised, default by US Government is imminent. If that happens, all hell may break lose in the financial markets. It is time for Wall Street and big Corporations (the main financiers of Republican party) to impress upon them that unless a deal is done within hours, all further funding to Republican party will cease.
Most Americans know what is going on and a majority of them are with President Obama on this. Perhaps the President should set a final deadline of 12 Noon (EST) Sunday and if no agreement is in place, he should go directly to the American public and take them into confidence. They should know who is playing havoc with their future.
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