The Debt Ceiling Impasse: The Myth of Grand Bargains and the Jobs Deficit

by Guest Wed Jul 27, 2011 7:42 am

Even if we ultimately get the touted "Grand Bargain," and even if it's satisfying to both sides -- the "Win-Win" Unicorn that Obama is always fantasizing about -- it's not going to be grand for anybody who correctly identifies unemployment and our economy's anemic growth as the biggest crises we're facing.

Indeed, no version of the Grand Bargain we've heard so far will have any impact on the real problems that are affecting people's lives right now, or even in the foreseeable future. After the champagne has been uncorked and lots of backs have been slapped in DC, the lives of regular Americans will not be better -- indeed, they will almost certainly be worse. President Obama likes to say, as he did during his Twitter forum in early July, that "everything is on the table." But that was never true, because jobs and growth never even made it close to the table.

http://www.huffingtonpost.com/arianna-huffington/the-debt-ceiling-impasse_b_909314.html

by Guest Wed Jul 27, 2011 9:46 am

I agree, we need a jobs package, but you know it will never get through, particularly if the President presents the idea. We've seen it too many times.

In all fairness though, I was watching Bloomberg this morning very early, 5 am, Moodys and S&P are the driver of the "grand bargain". They don't want a clean bill, they want a plan to reduce the deficit in order to not downgrade. They have said this all along. Now they are holding them hostage as well. It just can't be a short term extension, it has to include a plan, not necessarily cuts and revenues, but a 10 year plan overall and they don't signal they will accept any form of extension to continue the debate either.