Debt Ceiling End Game?

[skyhook77sfg]

President Obama has said that he will not resort to the various powers open to him to keep the government running should Congress fail to deliver a debt ceiling increase. This is a suspicious statement, as it is not credible that a president would leave troops at war unpaid and without supplies, Social Security checks unsent and stand aside while the US dollar collapses and the credit rating of the US government is destroyed.

There are national security directives and executive orders already on the books, as well as the 14th Amendment, that Obama can invoke to set aside the debt ceiling. Congress would sigh with relief that Obama had prevented the lawmakers from destroying the country.

So what might be going on?

One possibility is that the political theater is operating to bring about otherwise politically impossible cuts in the social safety net. If the drama continues to the absolute deadline without a deal, Obama, who perhaps favors cutting the safety net as much as do the Republicans, would have to accept the Republican package in order that the troops are not cut off from supplies, Social Security checks can continue to go out, and the dollar be saved. Having opposed the Republicans to the last minute, Obama can say that he had no other recourse.

What American wants the troops deserted on the field of battle and the elderly without groceries? Who other than the rich can stand the higher prices from dollar devaluation?

It would be a perfectly orchestrated scenario for getting rid of the New Deal and the Great Society that use up money that could be spent on wars and bailouts and tax cuts for the rich.

If the American public is not sufficiently softened up by August 2, the political theater can continue with temporary debt ceiling increases until things really begin to crack. On July 15 S&P put all AAA-rated insurance companies on CreditWatch citing ties to the US sovereign credit rating. On July 25, the US dollar fell to a new low against the Swiss franc, and gold reached a new high. Some more of this, and the public will see benefit cuts as preferable to economic armageddon.

If Bush and Cheney were still in office, they would use the debt ceiling impasse to seize more power from Congress. Obama, however, might be so well aligned with financial interests that the opportunity he sees is to cut Social Security, Medicare and education loose from the federal budget. Then Wall Street can privatize them.

Whatever emerges from the debt ceiling impasse, it will not be in the interest of the American people.

http://www.globalresearch.ca/index.php? ... &aid=25792

[Mr. Perfect]

Interesting new take on liberal thought. Where Obama is the villain and the pure ideal is the worship of Ponzi schemes.

[AzariLoveIran]

[AzariLoveIran]

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Below is how the debt reached from $43 billion in 1919 to $14,294 billion now.

Most of this 14 trillion dollars have been accumulated since Reagan :


During Reagan $1.0 trillion

During Bush I $1.6 trillion

During Clinton $ 1.6 trillion (when he left office on January 2001, the country was for the first time --since a long time-- producing surplus (began reducing debts)

During Bush II $ 5.7 trillion (with two unpaid wars and two massive tax cuts + $500 billion present to pharmaceuticals (Medicare Part I) unpaid for.

During Obama $ 2.2 trillion

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Total $ 12.1 trillion

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February 2010 - $14.294 trillion
December 2009 - $12.394 trillion
February 2009 - $12.104 trillion
October 2008 - $11.315 trillion
July 2008 - $10.615 trillion
September 2007 - $9.815 trillion
March 2006 - $8.965 trillion
November 2004 - $8.184
May 2003 - $7.384 trillion
June 2002 - $6.4 trillion
August 1997 - $5.95 trillion
March 1996 - $5.5 trillion
August 1993 - $4.9 trillion
April 1993 - $4.37 trillion
November 1990 - $4.145 trillion
October 1990 - $3.23 trillion
November 1989 - $3.1227 trillion
August 1989 - $2.87 trillion
September 1987 - $2.8 trillion
August 1987 - $2.352 trillion
July 1987 - $2.32 trillion
October 1986 - $2.3 trillion
August 1986 - $2.111 trillion
December 1985 - $2.0787 trillion
November 1985 - $1.9038 trillion
October 1984 - $1.8238 trillion
July 1984 - $1.573 trillion
May 1984 - $1.52 trillion
November 1983 - $1.49 trillion
May 1983 - $1.389 trillion
September 1982 - $1.2902
June 1982 - $1.1431 trillion
September 1981 - 1.0798 trillion
September 1981 - $999.8 billion
February 1981 - $985 billion
December 1980 - $935.1 billion
June 1980 - $925 billion
September 1979 - $879 billion
April 1979 - $830 billion
August 1978 - $798 billion
October 1977 - $752 billion
June 1976 - $700 billion
March 1976 - $627 billion
November 1975 - $595 billion
February 1975 - $577 billion
June 1974 - $495 billion
December 1973 - $475.7 billion
October 1972 - $465 billion
March 1972 - $450 billion
March 1971 - $430 billion
June 1970 - $395 billion
April 1969 - $377 billion
June 1967 - $358 billion
March 1967 - $336 billion
June 1966 - $330 billion
June 1965 - $328 billion
June 1964 - $324 billion
November 1963 - $315 billion
May 1963 - $309 billion
July 1962 - $308 billion
March 1962 - $300 billion
June 1961 - $298 billion
June 1960 - $293 billion
June 1959 - $295 billion
September 1958 - $288 billion
February 1958 - $280 billion
July 1956 - $278 billion
August 1954 - $281 billion
June 1946 - $275 billion
April 1945 - $300 billion
June 1944 - $260 billion
April 1943 - $210 billion
March 1942 - $125 billion
February 1941 - $65 billion
June 1940 - $49 billion
December 1939 - $45 billion
December 1919 - $43 billion


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[Endovelico]

[noddy]

this has been my rant for a long time now.

[Simple Minded]

Endovelico,

That article spells out what so many have predicted.....

Looks like the four generational cycle playing out in real time.

"Succesive generations overcorrect the excesses of previous generations!"