For the past month now, the top story in the 
news has been Washington's struggle to agree on a new budget deal. The only solution to avoid a financial default was to raise the debt ceiling. As of today, America's debt is currently at 14.3 trillion dollars. This number will now go up another trillion dollars with the new Budget Control Act of 2011, that was just signed by President Obama on Tuesday. The signing of this bill, came not a moment to soon, and saved our economy from total crisis. However it surely did not come easy.
An Impossible Negotiation
The general disagreement in this debate was how to bring revenue back to the government. On one side the democrats felt the wealthy should carry the burden, and a new increase in taxes was the fairest solution. On the other side, Republicans felt that government spending was the problem, and that the best solution was to make substantial cuts in government programs. It became quite clear from the beginning that neither side wanted to yield an ounce. President Obama had to moderate an impossible compromise, with perhaps his presidency on the line.
The Republicans were without question the children in this debate, unwilling to yield an ounce. They knew all along that they had the advantage, thanks to their control of the House of Representatives. They also knew that they had a lot less to lose than the president. Therefore both sides played a game of "chicken" for the past month, to see who would budge first. At one point it seemed as if there could have been victory for both sides, with equal compromise, and a "grand bargain" that would put an end to this debate for a long-term. However John Boehner, as weak as he is, could not please his unhappy caucus of angry Tea-Partiers, led by Mitch McConnel and Eric Cantor. The soap opera went back and forth.
At several times there seemed to be a victory for the Democrats, when Republican ideas such as their "Cut, Cap, and Balance" were quickly rejected by the Senate. Mitch McConnel provided a Plan-B option to put the entire responsibility on the president, and of course blame him once it was all settled. Truly a total act of cowardice from the Senate Minority leader. With time running out, something had to be done, and President Obama knew he would have to be the one to sacrifice. The Budget Control Act was presented Sunday Night, July 31st, passed in the House by a vote of 269-161, and on August 2nd, passed in the Senate by a vote of 74-26. President Obama quickly signed the bill that same day, to finally bring an end to this debate, and avert a terrible financial crisis.
The Budget Control Act
The bill is without question a victory for Republicans. Here are some of it's bullet points.
Politics as Usual
This past month of bickering and debate, has made one thing quite clear to the American public. And that is that Washington DC is quite simply, "broken". Our chosen leaders and politicians are unable to agree on a thing, and thus are unable to get anything done. They are unable to move this country forward, especially in this dire time of economic crisis. They care more about their political future than the sake of the country. Without a united approach, this country will never progress.
President Obama made a major sacrifice in this
bill, yet hopefully he will come off as the bigger man, who saved this country from financial crisis. Democrats and Progressives will no doubt be upset with him, myself included, yet I can only hope that their is a bigger victory that awaits. Re-election in 2012, and a new stronger approach in his second term. The sake of this country's economy is on the line. High unemployment, plunging markets, (a 500-point crash today) and it's only going to get worse. Perhaps it's time to consider a whole new and more balanced economic reform.
news has been Washington's struggle to agree on a new budget deal. The only solution to avoid a financial default was to raise the debt ceiling. As of today, America's debt is currently at 14.3 trillion dollars. This number will now go up another trillion dollars with the new Budget Control Act of 2011, that was just signed by President Obama on Tuesday. The signing of this bill, came not a moment to soon, and saved our economy from total crisis. However it surely did not come easy.An Impossible Negotiation
The general disagreement in this debate was how to bring revenue back to the government. On one side the democrats felt the wealthy should carry the burden, and a new increase in taxes was the fairest solution. On the other side, Republicans felt that government spending was the problem, and that the best solution was to make substantial cuts in government programs. It became quite clear from the beginning that neither side wanted to yield an ounce. President Obama had to moderate an impossible compromise, with perhaps his presidency on the line.
The Republicans were without question the children in this debate, unwilling to yield an ounce. They knew all along that they had the advantage, thanks to their control of the House of Representatives. They also knew that they had a lot less to lose than the president. Therefore both sides played a game of "chicken" for the past month, to see who would budge first. At one point it seemed as if there could have been victory for both sides, with equal compromise, and a "grand bargain" that would put an end to this debate for a long-term. However John Boehner, as weak as he is, could not please his unhappy caucus of angry Tea-Partiers, led by Mitch McConnel and Eric Cantor. The soap opera went back and forth.At several times there seemed to be a victory for the Democrats, when Republican ideas such as their "Cut, Cap, and Balance" were quickly rejected by the Senate. Mitch McConnel provided a Plan-B option to put the entire responsibility on the president, and of course blame him once it was all settled. Truly a total act of cowardice from the Senate Minority leader. With time running out, something had to be done, and President Obama knew he would have to be the one to sacrifice. The Budget Control Act was presented Sunday Night, July 31st, passed in the House by a vote of 269-161, and on August 2nd, passed in the Senate by a vote of 74-26. President Obama quickly signed the bill that same day, to finally bring an end to this debate, and avert a terrible financial crisis.
The Budget Control Act
The bill is without question a victory for Republicans. Here are some of it's bullet points.
- $917 billion in government spending to be cut over the next 10 years
- A super committee to create legislation that would cut an additional 1.4 trillion
- Congress must vote on a balanced-budget amendment by the end of the year
Politics as Usual
This past month of bickering and debate, has made one thing quite clear to the American public. And that is that Washington DC is quite simply, "broken". Our chosen leaders and politicians are unable to agree on a thing, and thus are unable to get anything done. They are unable to move this country forward, especially in this dire time of economic crisis. They care more about their political future than the sake of the country. Without a united approach, this country will never progress.
President Obama made a major sacrifice in this
bill, yet hopefully he will come off as the bigger man, who saved this country from financial crisis. Democrats and Progressives will no doubt be upset with him, myself included, yet I can only hope that their is a bigger victory that awaits. Re-election in 2012, and a new stronger approach in his second term. The sake of this country's economy is on the line. High unemployment, plunging markets, (a 500-point crash today) and it's only going to get worse. Perhaps it's time to consider a whole new and more balanced economic reform.
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