At the end of the month, deep, automatic sequestration cuts are due to kick in, hurting the economy, the Defense Department, and the general public. Policymakers have until the end of the month -- three weeks from Thursday -- to deal with the policy before the $1.2 trillion in cuts begin.
Today, President Obama said he and Congress have already approved more than $2.5 trillion in deficit reduction, and get to $4 trillion "with a balanced mix of spending cuts and more tax reform," with the latter including changes "so that the wealthiest individuals and corporations can't take advantage of loopholes and deductions that aren't available to most Americans."
Is there time for a major budget agreement and a tax-reform compromise? Of course not, which is why Obama suggested Congress pass "a smaller package of spending cuts and tax reforms that would delay the economically damaging effects of the sequester for a few more months until Congress finds a way to replace these cuts with a smarter solution."
And, of course, Republicans immediately rejected the idea and threatened to do deliberate harm to the economy.
House Speaker John Boehner (R-Ohio), who sometimes seems confused about what the sequester actually is, said in a statement:
"President Obama first proposed the sequester and insisted it become law [1]. Republicans have twice voted to replace these arbitrary cuts with common-sense cuts and reforms that protect our national defense [2]. We believe there is a better way to reduce the deficit, but Americans do not support sacrificing real spending cuts for more tax hikes [3]. The president's sequester should be replaced with spending cuts and reforms that will start us on the path to balancing the budget in 10 years [4]."
This is deeply silly, and I have to assume even Boehner knows how wrong his statement is. Indeed, it's why I felt the need to annotate it.
The sequester [1] wasn't "first proposed" by Obama; it was the GOP alternative to automatic tax hikes. Republican alternatives [2] to sequestration cuts -- slashing public investments in domestic policy -- were obviously ridiculous and not intended as a serious attempt at a bipartisan compromise.
Obama isn't proposing tax hikes [3]; he's proposing savings through closed tax loopholes, which is exactly what Boehner himself suggested a couple of months ago. And calling for a plan that is made up of 100% spending cuts [4] is obviously neither "bipartisan" nor "balanced."
This is all deeply stupid. We know the economy shrinks when there are deep spending cuts -- we received a dramatic reminder on Friday -- and we know the economy will do fairly well this year unless congressional Republicans make it worse on purpose. Boehner takes this knowledge and insists on more deep spending cuts and threats that will make the economy worse on purpose.
Why? Because he claims to be desperate to reduce the deficit -- the deficit that (a) he helped blow up during the Bush/Cheney era, and (b) is already shrinking dramatically anyway.
What's more, in the larger context, note that the whole point behind the sequester was it was intended to force both sides to the negotiating table to strike a balanced deal. Instead, congressional Republicans are pretending this policy wasn't their idea, and don't want to negotiate at all.
Even by the standards of the House GOP, we're dealing with a truly ridiculous set of circumstances.
Update: Note that today isn't the first time Boehner has seemed unnervingly confused about the basics of the sequester.
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I wonder what color the sky is in Boehner's little fantasy world...
A rusty orange, sort of like the color of his fake tan.
ewe
I here someone tell that J.Boner has his own line of personal Tissue's now , They only come in the color of Orangish-Red , he uses them soo much that his entire face and hands are stained ! He sure does Impress himself , doesn't he !? He also has aline of Bobble-head dolls of each of the members of Congress , and All of them are defective , in-that their heads fall-off constantly ! Heheheheheeeeeeee.........
Marmalade sky's?
They'll give the president a balanced deal. They'll balance their hatred for him with their hatred for tax raises on the wealthy. Then they'll consider their hatred for the poor.
Then they'll say, "Balance this, Barry!"
They are as fair and balanced as their propaganda channel, Fox.
#1, Grumpyliberalbastard,
It is the colour of the finest Scotch. I believe he even dreams in that colour, and in fact, makes his skin nearly that colour! (He flubbed the skin part, too orange.)
Boehner doesn't even make sense. He really is that stupid. He only sounds half- sensical because someone else is writing his speech. He is just a notch over Palinese speak. His stupidity and reckless condescension is destructive to all of us. Why isn't the media calling him out on this nonsense? The fourth estate is now just becoming an estate. He's hoping...no he's counting on the ignorance of the public...on low information reporters to treat him as knowledgeable and serious which he is neither.
Obama got his tax increase. Now- we do need the balance.
Except it's nowhere near balanced, and the imbalance is heavier toward cuts. Not just cuts, but cuts to peripheral areas, not the problem ones like overspending on medication through Medicare (because allowing Medicare to negotiate would just be HORRIBLE... for the inflated profits of the drug corporations) or unneeded, never-to-be-finished, money-sucking advanced strike fighters (to shoot down that wily Al Qaeda air force, so wily it's never been seen).
Conservatives liked to claim that the tax increase on the rich wasn't going to be enough to really dent the problem, and that's why it shouldn't have been done (as if a step in the right direction is worthless unless it covers the whole distance at once). I agree that it wasn't ever going to do it... which is why the corporations need to be next. When welfare for corporations is eliminated and proper tax rates are paid, then you'll see some balance.
Well, if you can significantly reduce the corporate tax rate- you will see bunches of job growth. Or, you can raise taxes on the poor and working class by increasing the cost of doing business- and raising prices- yeah, it's an indirect tax, but it would be significant by the time it worked its way through the system. Love the way grumpy liberals think the labor pool is fixed- and the price structure is fixed- that the only thing that will change is a reduction to the 6% return on sales the average company makes.
The corporate tax rate is effectively in the low teens... and you want it lower? Man, whatever drugs you're smoking are seriously mind-altering.
I don't think the labor pool is fixed... but I do believe the game is fixed, as in rigged, as in corporations are artificially manipulating both the labor market and government policy to keep control, to keep jobs scarce, and to force workers to settle for less and work more. And that belief has evidence in its favor.
Yep- it is still higher than almost any other country.
As someone who has been in the hiring process for quite some time- It would really be nice if people would take a job- and then actually show up to work it. Pay is irrelevant- awol is now the norm even among highly paid positions. Ask the average person on the factory floor who has been there for a while- those who have a practice of showing up for work- and see what they think of regs like FMLA, etc. Yeah- it's rigged- against the person who actually wants to come to work everyday- they get the shaft because of regs.
Someone who knows a lot more about economics than you disagrees: http://mediamatters.org/research/2012/05/01/the-truth-about-the-us-corporate-tax-rate-the-r/184586
I have zero idea what you're talking about; people are not restricted by regulations from working every day of the week if they like. YOU may be restricting them because you don't want to pay overtime, or give them benefits, like you should be doing anyway, but the bad ol' feds aren't stopping people from working.
Yeah- I wouldn't give much credence to krugman. Would it surprise you he is considered an idiot by anyone that doesn't worship at the liberal alter?
If you mean conservatives, who have been consistently wrong on the economy to the point of nearly causing its collapse, then I'm not surprised. Idiots consistently reject the facts in favor of their own erroneous ideas, after all; just look at you, for example.
Expect the mainstream media to call Boehner out on his lies in 3...2...1...
Oh, wait...
Vokoban,#2,
Exactly. We are all holding our breath, right?
Speaker Boehner, like all of the deficit scolds, is either totally misinformed or refuse to confront actual facts. Probably both.
If he wants to see what "sequestering" would do to the US economy, all he - and his cohorts in Big Right - need do is look at Britain. Austerity there has destroyed the country, sending it into a triple dip recession. The Austrian school and its austerian fellow-travellers live in some sort of parallel universe divorced from the reality world where most of the rest of us live.
The recovery is still fragile, and still hasn't touched enough people. Hopefully, the president will stand as tough on this as he did on the other non-issue, going over the "fiscal cliff." Unfortunately, much of the Washington media - including NBC's sad embarrassments of "journalists," Chuck Todd and David Gregory - will continue to treat Republican positions as being worthy of discussion.
What austerity? UK spending keeps going up every year without fail. You must be thinking of somewhere else....
http://www.marketminder.com/img/Fisher-Investments-UK-Goverment-Spending.jpg
http://www.nationalreview.com/corner/299233/show-me-savage-spending-cuts-europe-please-veronique-de-rugy#
http://www.bloomberg.com/news/2012-06-26/britain-posts-larger-than-forecast-deficit-as-slump-hits-taxes.html
Shooter-
You're going wading in a diving pool. The fringe economists like Dominique DeRugy who try to push the claim that there's been no austerity use meaningless numbers or a 30,000 foot view to mislead their readers. The I.M.F., World Bank, and even the U.K. Chancellor George Osborne and P.M. David Cameron admit that there has been austerity. The contraction program has as much to do with areas that are cut as the bottom line. There have been deep cuts to social spending programs in the U.K. that only are evident when making a comparison to their previous baseline. The cuts, as seen in the graph, were frontloaded and have had an effect on the people, but little effect on the ultimate goal.
http://4.bp.blogspot.com/-XOkXQEIS8A8/UQVT09buaQI/AAAAAAAAAPU/BEOWyHb3WaQ/s1600/imf+fiscal+adjustment.jpg
http://www.guardian.co.uk/business/2012/oct/09/austerity-continues-david-cameron-imf-warning
I say let it come to pass. A little austerity obviously can't hurt the GOTP (and the idiots that vote for them)!
Puhlease, the GOTP don't really want to "reduce the deficit" - they just want to be seen as "fiscally responsible". Yet their rhetoric about "fiscal responsibility" denies the facts that under the GOTP deficits are what they create.
Not to mention that they probably believe that if the deficits are high by the 2016 elections, they'll be rewarded with the White House.....Hey, they still believe in pipe dreams - I'm just wondering what's in the pipes they're smoking....
I would say that pipe contains Weed laced with Coke. But judging by their delusions, it's more likely Weed laced with Angel Dust. One of the effects of marijuana is pseudo-intellectual dribble trying to be passed off as a coherent thought process. Angel Dust induces hallucinations, which does explain why they believe the dribble is fact and the reality they live in is real.
Republicans across the country are proceeding as if last year's election never even happened. The GOP is in a fantasyland of denial and dangerous obstinacy. Real Americans are being abated by a conservative agenda of, by, and for the super rich elites. Austerity for the masses, tax cuts for yachts is the conservative playbook. Working folks are bearing the brunt of the GOP's backwards attempts at governing policy. We need the president to step in and protect folks, not author false compromises and giveaways to the most extreme conservative elements in this country. Elections have consequences. The GOP must be made to understand this point. - progressive
That's not true. They know that the election happened -- after all, the people of the United States gave them a mandate by returning them to absolute control of the Legislature.
Tsk. Why do you folks hate democracy?
Shooter242 #6.2
We progressives are not the folks who hate democracy. Those that watched the majority of this country vote against their policies in the Presidential and Congressional elections who insist on getting their way do. The question here is why do you support those who hate democracy?
You know what "balanced deal" means, don't you Democrats?
Well, in the past it's meant that we placed our hands flat on the ground to keep from falling over and I think that's what the right would like for us to do now.
I hope we're smarter than that now . . .
Disgustedwithitall,
Is it like, Fair and Balanced? LOL
Sort of like, "We'll lie, we'll swear to it, and you Dems will live with it!"
"Because we hold you hostage....Ha, ha, ha, ha ....ha............"
India...
That laugh wasn't nearly evil enough...
From the Republican Freshman Handbook...
We need to cut the defense budget, even if it means hurting the economy. We can't keep spending endless piles of cash and flushing it down the Pentagon toilet on the basis that it will save jobs. We need to be high speed rail, roads, and bridges, not tanks and bombs.
A-fecking-men! Thus, let it happen, cut the military and military contractors off at the testicles. We have spent enough on death machines and training killers, thanks!
I am pessimistic that any meaningful defense cuts will come without the sequester. We all know the meme...if you cut defense, you must be weak on security, and it is only a couple of steps away from being called a commie, an Al Qaeda lover, or....French! The sequester defense cuts allow both sides some plausible deniability, so they can claim it isn't their fault that defense got cut, but is due to the unreasonable guys on the other side of the aisle. I hate the social program cuts that come with the sequester, but I hate the waste, fraud and corruption that the Pentagon represents and abets even more.
This is Obama being really smart: the people will have only the GOP to blame if defense and its jobs gets cut. That's why Boehner is not being dumb, but trying to combat Obama's strategy, by claiming "Obama wanted it." People are no longer stupidized by you, Mr. Boehner, and your crazy party.
Sorry, but I think you folks need to take a step back and view what's going on right now in light of what President Obama has said and done in the past. And before you ask, I voted for him in both elections.
- He's constantly trying to make a mark in history for himself with his "Grand Bargain". Every time that comes up, the first things that he throws on the table are Medicare and Social Security. Why should it be different this time?
- With the troop draw downs that have happened, this country's defense budget should be dropping significantly. We no longer waging wars. The President has already stated that he plans on taking some of the "savings" that were to be realized and use that money to beef up our presence in the South Pacific protecting Australia, etc.
- President Obama, aka "W lite" has no intention of any significant cuts to the defense budget. As long as it remains sacro sanct, the cuts will have to come from other areas.
Why do you keep insisting that the GOoPers are "confused"? You know as well as I do that the drunkard Boehner is not the least bit of confused about the sequester. He is deliberately lying for the purpose of deceiving the American people. Maybe if more people would stand up and shout "LIAR!" the message would get through.
you are right, Alan. the repubs are not confused, they are LIARS.
We will be facing difficult times these next few years as the Republican leadership begins to relearn consensus, bi-partisan politics all over again - and there's no guarantee they will be successful in their rehabilitation!
The miasma hoisted upon us by the sear lunacy of Tea Partying Republicans has taken its toll on the ability of John Boehner to do his job effectively while providing needed legislation for our nation and its people.
Boehner only has a political arsenal of half-truths, falsehoods, obfuscation and foolduggery at his disposal so long as he insists in fortifying his delusional bunker located in the lower chamber of our Congress! Count on it - if Boehner continues at this pace, we will witness more reality-challenging efforts to foil our attempts to move forward with at least a modicum of reality based deference!
Until (and if ever) the time comes when our Republican brethren can return to the table of civil discourse with desires to help instead of desires to soil the place settings, we will be held hostage to the political kamikaze of Boehner-headed Republicans! -Kevo
Kevo
I am going to agree with you save on one point. This isn't something that Happened "to" Boehner it was done "By" him, at least in as far as he is utterly complicit in aiding and abetting the rise of the tea party.
He helped give life to this monster and now I don't think he deserves any pity or sympathy when it is trying to strangle him.
That said I do think we are going to see some serious blood letting start soon, most likely after the State of the Union, and I honestly don't know who will be left standing when it's over.
"The power to destroy is the power to control." Frank Herbert, Dune.
Spaketh the Kwisatz Haderach...
Obama say--It's not nice to mess with the American people; this has gone on long enough and if it continues they will find it is definitely not nice to mess with me. (obamasay.com)
Higher tax rates, high unemployment rates, record number of people on foodstamps, stagnate growth rates.
And only 4 more years of these uber numbers...
And the leftwingnuts keep telling just how bad it was during the Bush years...
Oh god hes back again...Get the roach spray please
Nooooooooooooooo!!!!!!!!!!!!!! Not the cow over here on Maddow's blog! Nooooooooooooo.
But you notice the cow pie never states why we have high unemployment, high debt/defecit,more people on food stamps. It just wants to hate Obama some more. To hell with any facts or the reson behind it all. You'll never hear those word vcome from it's lips.
Thanks for all the love you guys!!!!
Now please pass that Kool-Aid......
You can have all the Jonestown Kool-Aid you like. The rest of us will keep on drinking Reality Springs water, which I understand you're unfortunately allergic to... so sad.
There has been a lot of "hullaballoo" about this "Memo of Understanding" betwixt a shaky Iraqi regime and the United States about "enhancements" in communication, military effectiveness and a non-dairy creamer that everyone can agree upon. We were lucky enough to purloin a copy of this memo, and the nuance and content may be objectionable to certain people who have expected a little bit more after twelve (12) years of budget-draining, soul-sucking armed conflict.
"Memo of Understanding"
To: Iraqi Joint Council, Coalition of the Semi-Interested, Tabouli Tahini Command Center, Baghdad...
From: Leon Pancetta
There seems to be a misunderstanding about the "Rules of Conflict" when it comes to sharing refrigerator space in the mobile command center, which shall be referred to as "AlphaDogOne" for purposes of this communication, in Baghdad.
After twelve (12) years of factional fighting, looting and indiscriminate tete-a-tete between all personnel incolved, MUST we revisit the problem with the vegetable- crisper drawer for the umpteenth time? Please be advised that this "Memo of Understanding" is an agreement between all parties concerned, and even if you don't sign off on it, you have read it, and that's good enough in war.
How many times do I have to come in, first thing in the morning, and find a limp radicchio hanging out of the crisper-drawer in the main mobile command center refrigerator? I hope this memo scares the Shiite out of all of you, because I expect complete attrition and adherence to our plan of action. It's hotter than a two-peckered billygoat each and every day, and we're about ready to have a "Come to Jesus, Allah or Mohammad's Mother-in-Law" meeting in about "o-twelve-hundred" if I do not get some cooperation in this godforsaken desert.
We all agreed, at least I did, that we were going with "Cremora" for a non-dairy creamer. I said "Cremora," Petraeus said "Cremora," and I get here and I find a non-dairy creamer made in Turkey? If I wanted Turkey, I'd call Oscar Mayer...maybe those numbnuts on The Hill got "Cremora" confused with "Crimea." They are so out-of-touch it sickens me. Therefore, since we all need to be clear on the matters at hand, I reiterate:
1. IF vegetables are brought from home, they are to be placed in a zip-lock bag with a paper towel, in the bag, to promote crispiness. We are using "Hints from Heloise" as a strategic initiative, and I have several good ideas for vinegar usage which we will discuss in a different meeting.
2. "Cremora" is the Official Creamer of the Ruination of the American Society. No off-brands whatsoever will be allowed in the Theater of Operations, nor will we accept any consideration of any other non-dairy creamer. Apparently, any and all "Cremora" shipments have to originate from Cyprus, where a Mr. Harry Paratestes is working in conjunction with the Iraqi Liberation Coalition to ensure that a certain percentage of Cypriot hydrogenated palm oil is used in each single-serving of "Cremora." Quite frankly, hydrogenated palm oil gives me the skitters, and we may have to re-think our startegy with Cyprus on this crucial issue.
Unfortunately, it has come to my attention that we are in "Defcom-12" in the second stall, men's bathroom. It is being classified as a "double-flusher," and utmost care and consideration must be shown when "flying a sortie" in the men's commode area. I believe we will all be served in an efficacious fashion by employing an old Schwarzkopf manuever, the "Courtesy-flush combo," which incorporates a well-timed evacuation with a well-timed evacuation.
I want to thank each and every one of you in advance for your cooperation in this matter, and I know we can all look forward to a war with ample supplies of crisp vegetables and Cremora, or else.
Signed,
Leon Pancetta
P.S.--I had a tupperware with a half-eaten calzone in it on the bottom shelf and it is gone, and I thought I smelled pepperoni coming from Karzai's attache. I hope we don't have to revisit this again.
I don't get it but I find it hilarious none the less!
(: - )
#15 White butter? LOL
...“We believe there is a better way to reduce the deficit, but Americans do not support sacrificing real spending cuts for more tax hikes.”...
Am I reading this right?
Boehner admits that Americans prefer tax hikes to spending cuts, and he knows it, but continues to disregard US.
That's about the size of it. He has never cared what the people want. It's what his big doners want that matters to him.
Boehner, like all the GOP, wants to starve the beast. The beast to them is Medicare, Medicaid, and Social Security. The things which matter and are essential to the poor and working class are there only to be sacrificed so the rich don't have to pay a penny in higher taxes.
One of the reasons Boehner feels this way, like Cantor and Ryan, is because they ARE the rich.
That's their morality (or lack thereof).
Obummer, he needs more tax payer money.... What a shock..
But what the hell, we have 7.9% unemployment rate what a phucking accomlishment!!!!!!
I mean it was only 7.7% in Jan 2009 when Odingdong took office!!!!!!
Now thats what I call a "recovery"...
Same crap we've been hearing for the last few years. Now, why not tell the people how many JOBS bills the republicans have passed. How many have they filibustered? Get off your hate for the President and use what little brain you have left. But hell,you just hate all democrats and anybody else that doesn't think like you. Thank God not many do.
Refer to Page 215 in The Price of Politics by Bob Woodward.
The idea of a compulsory trigger (aka sequestration) originated out of the White House...
So here we are... time to stop kicking the can down the road...
Boehner has Romnesia! Call the Wahmbulance!