Thursday, October 10, 2013
A short term clean deal? GOP even wants to eliminate "extraordinary measures" by Treasury
So, they’re talking.
There is scuttlebutt is a possible six-week extension of the debt ceiling, but no immediate ending to the government shutdown. The current CNN story is here, but it could change again this evening.
However, the Washington Post reports, the GOP wants to eliminate the “extraordinary measures” that the Treasury has used since May to get around the debt ceiling. Given the Fourteenth Amendment, that might well be unconstitutional. The Wonkblog story is here.
There also some rumors that Obama had rejected a short term deal without reopening the government, but the rumors change every fifteen minutes. The most accurate account seems to be that there are competing plans even among “those Republicans”, link. I think we need Barney Frank back. As of 8:30 PM, CNN says there is “no deal” yet but talks continue.
There were some stories, as on ABC, that a few Republicans still want to hold the line and overturn Obamacare completely, to avoid another “entitlement program”. Never mind that it is private insurance.
What happened to the supposed Clean Vote in the House, where there were supposed to be enough votes? What happened to Obama's bypass of the fact that other presidents have allowed negotiations over the debt ceiling?
The debt ceiling deniers continue to talk. It seems extremely probable to me that the Treasury can pay bond interest first. It’s also scary to me that apparently there is no legal obligation to pay Social Security recipients, because technically FICA is a “tax”. The only real pressure is “political”. As I’ve noticed, some right wing commentators want to go cold turkey on benefits, or at least heavily means test them immediately. Most Republicans in the Tea Party, however, claim publicly that the federal government will be able to pay all entitlements (including Social Security), military and veteran’s payments as well as bond payments without raising the debt ceiling. But the math just doesn’t support that “faith”. John Cassidy had opined that America needed a mild stock market crash over this issue now to bring both the debt and dent ceiling deniers to their senses, link here.