It’s a Deal, Kind Of.
Posted by Warren Peterson on August 1, 2011
Looking at the PowerPoint summary put out by Speaker Boehner’s office, it appears the Republican controlled House won the day. Of course there is enough wiggle room to weasel out of some of the provisions. For example, the multi-trillion dollar spending cuts are over ten years with no restrictions on actions of future Congresses. This concern is offset by no increase in taxes and the opportunity to pass a balanced budget amendment to the Constitution. But it is just that, an opportunity, a requirement to vote on an amendment between October 1 and year-end 2011. Also, the debt ceiling is raised by less than $900 billion forcing Obama to come back to the well in February 2012 for an additional $1.5 trillion ceiling increase. He gets it if either the balanced budget amendment is passed or spending cuts equivalent to the debt limit increase are enacted.
Considering that polls show the GOP/Tea Party is being blamed for this crisis and Democrats control both the White House and Senate, Republicans should vote for this deal. If it fails to pass, let it be because the Democrats oppose it. Declare victory and concentrate on implementing the plan especially the section on a balanced budget amendment.