For the last few weeks, everyone was focused on the impending sequester on March 1st. However once that day came, it seemed like a non-event. There hasn't been much public outcry from what I've seen and both sides seem to be OK with it.
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We have a political system that is the equivalent of a drunk driver. The primary culprits are the House Republicans. They are so intoxicated with their own ideology that they are ready to drive the nation’s car off the road. So how can we get these incapacitated drivers to stop before they do any more damage? If this were really a case of chronic drinkers, the answer would be an intervention to keep them off the road. In politics, the public gets to intervene through elections. We just had one, and the Republicans lost, big time. Yet it didn’t seem to make much difference. The House Republicans are still grabbing for the wheel, and the car is rumbling toward trouble.
The Republicans attempt to get the Obama administration to own the responsibility for the sequester mess, depends on ignoring the very reason why sequester was needed in the first place, which was the Republican debt ceiling threat, and on ignoring the fact who actually enacted it, the Republican controlled congress. If someone says they’re going to shoot you in the head, and you say, “Wait, why don’t you shoot me in the leg, instead?”, they can’t then get off in court by saying it was your idea to get shot in the leg. Republicans in Congress demanded a trigger mechanism, and would not accept one that included the revenues, and would have defaulted on the country’s debt without it. It is arguably a matter of opinion as to who owns the greater share of responsibility, but it seems clear that without the Republican threat of a catastrophic default, there would be no sequester mess to deal with.
This crisis is caused by falling consumer demand caused by falling incomes. In order for the system to keep on going something has to maintain the demand. Before the crisis falling incomes have been financed by refinancing ('Reaganomics' - in 1979 rate was 19%) with falling interest rates (which increased the consumer debts). With the gradually decreasing interest rate the government had to pick up the load. When the rate became ZERO this way of maintaining consumer demand was closed. Now, stopping government spending means immediate and dramatic downfall. Gradual decrease may not match with the growth of debt. No sound politicians will be willing to stop government financing (so called entitlements) there including Republicans. In this case the Republican fight against entitlements looks like the fight for power no more. On the other hand, stopping government spending and significantly lowering taxes will decrease tax collection but it will not significantly increase consumer demand consumers being burned with paying off debts. This will lead to the final destruction of the industry while we are trying to bring it back from overseas. Here we cannot stop printing money, we cannot significantly decrease government spending and we cannot significantly lower taxes. Gentlemen, we are in deep, deep hole. The debt will continue to grow. This economic system will not survive for long (read Adam Smith), and we cannot be 'slightly pregnant' anymore. Political, social, and economic leaders should start discussions on a new system right now instead of haggling over half-dead patient. Do we have intellectual power for such a discussion, that is a question?
congress et al politicos are following their own agenda (base philosphy) and are deserting the country's needs. this is no way to run a country, keep this up and we face the loss of our rights.
As usual the politicians will baffle us with BS rather than do the job we pay them for. Sequestration = Obfuscation! A step necessary to hide or correct the massive fiscal blunders that they've foisted on us. With few exceptions they're in the pockets of their respective handlers with the Republicans representing "The United Corporations of America. They all take and squander most of our tax dollars. The budget battles are actually about pirates or thieves fighting over how to split the loot.
Corporations = A group of we the people. US tax code = Crony Capitalism and more Power for the Politicians for the oppression of We the People.
Until we change our tax code we are no better then a Socialist country like Greece.
It is not the sequestration which make me worry. The sequestration at this point is likely to be a wrong decision with respect of economic upswing, since it is part of a restrictive fiscal policy, which may act against recovery of US economy. US economy is set to recover, the fundamental data are slowly improving. Sequestration was a necessary decision with respect of the uncertain outcome of the negotioations in US Congress. But all decision makers knows, that their common sense to fix the US buget is very important to restrict sequestration.
For what it might be worth, attached is a copy of an email I sent to the President 3/3/13, on the above subject. A response was requested.
Dear Mr. President,
I am highly disappointed in you and your stance and actions pertaining to the sequester issue. As our elected leader, and the one who is ultimately responsible, your lack of cooperation and willingness to work with your fellow elected officials was very noted. It is my hope, and that of the American people, that you stop your political arrogance and start leading the country toward growth and the creation of non-Government jobs.
In regard to the Federal budget, just like its citizens, the Government cannot continue to over spend its revenue. It will only lead to the down fall of our entire country. Manufacturing has become and continues to become very successful in “Doing More with Less” by adopting the principles of Lean Manufacturing and Lean Office. Over time, they have become more productive, manufacture better products, offer better services and have become more profitable. The Government needs to do the same. If you need more money, find it internally by eliminating the waste.
Sincerely,
Great letter.....hope you get a response....The only thing I would add is "stop" the give aways and The President (if truely a President) does want is best for the country and gets Congress in the same step......Not play Chicago politics and dividing the country to specifics group.
Sincerely,
Jerry
Political Arrogance? That just displays your typical right-wing ignorance and arrogance. It's congress that has been trying to do all it can to ruin this country, just so they can blame it on the President. But right-wing nuts like you are too retarded to understand basic facts.
The Republicans attempt to get the Obama administration to own the responsibility for the sequester mess, depends on ignoring the very reason why sequester was needed in the first place, which was the Republican debt ceiling threat, and on ignoring the fact who actually enacted it, the Republican controlled congress. If someone says they’re going to shoot you in the head, and you say, “Wait, why don’t you shoot me in the leg, instead?”, they can’t then get off in court by saying it was your idea to get shot in the leg. Republicans in Congress demanded a trigger mechanism, and would not accept one that included the revenues, and would have defaulted on the country’s debt without it. It is arguably a matter of opinion as to who owns the greater share of responsibility, but it seems clear that without the Republican threat of a catastrophic default, there would be no sequester mess to deal with.
I would not agree, that this was the president's intention to start sequestration. In my opinion it more likely that he was forced to do so. The sequestration is a fiscal tool, which in its impact acts somehow against his policy.
It is also not the Republicans, who you should make responsible for it. The aim of the republicans is to prevent harm of American taxpayers. After the tax relief programm has ended, amrican taxpayers have to pay the higher regular rate of social scurity tax again since the begin of this year.
I would guess, both sides should turn a little bit their positions.
Democrats would like to finance buget deficit with further tax increase, but Republicans deny this, and would like to reduce spendings.
Both positions would act as part of a restrictive fiscal policy, and thus this would not help the economy to get back on track for recovery.
What they need, is to find an agreement, which would end sequestration as soon as possible, but in the same context should help to increase economic grow. They can fix it, but both sides must change their opionion with regard of the elements of restrictive fiscal policy.
if you cut the policical members salary by 50% they would make a deal quickly reducing ones income always wake people up ????
SO FOR EVERY 35,000 DOLLARS THE GOVERMENT SPENDS THE GOVERMENT WILL SAVE 1.00 DOLLAR AND THIS IS SPENDING CUTS WHO IS KIDDING WHO
What do you mean with "government spending" ? It depends how the spend the incoming money back to economy. Especially it should be considered if they spend (more) taxpayers money, or more money which they have borrowed.
The electorate and the country is polarized, and Obama just represents the polarization. His approval rating is 47% and falling. No creditability for him or the demmies. Sequester? A mere pittance of what needs to be cut.
Look at the approval rating of congress and then make stupid comments. Conservative retard!
I agree! No budget passed by the Senate in 1400 days, throw 'da bums out. Don't forget your daily minimum dose of teflon.
'Scuse me, while I kiss da sky.
Why is it impossible to find 2_3% waste in government programs and remove it ?
Because no one wants to touch defense spending or Medicare.
Please spare me the scare tactics. Of course they will come to an agreement. The only questions are when and how much of yet another example of "kicking the can down the road" we will get. I expect little progress here. There will be new taxes, more cuts to government programs and political rhetoric. The government will grow. The problem for our fearless leaders is their programs, such as new gun controls, will be emaciated and less enforceable due to scarce funding. Ric
Increasing taxes is one of the options to reduce deficit. But IMO it is not wise to do so at this point, where economy is in the spring, and want to get to bloom. They should increase taxes, when the summer is getting to hot.
The government budget still grows (like a cancer?) even after the sequestration "cuts". It merely slows down the growth of government a trifle. Not a serious attempt at cutting the deficit. All just political theater.