Many voices are pointing out something very interesting about this next showdown in March; now that Obama got his broadly supported “tax the rich” policy passed into law – it’s the other side that has to bring forth some real and specific cuts in entitlement programs the next time, cuts that no one really wants.
And it might seem like they’ve painted themselves further up in the corner for each fight that passes – but it’s also worth remembering that Bush and Reagonomics NEVER added up. It was all on credit. It is and always was, dysfunctional policy.
From the Cloakroom:
(..) However, the White House knew what they were doing when they separated the tax and spending issues in this fiscal cliff deal. They secured more than $600 billion in new revenue by getting Republicans to agree to raise taxes on the wealthiest Americans. Now they will force the GOP to detail the cuts they want in popular entitlement programs like Social Security and Medicare. That’s not something House Speaker John Boehner or Senate Minority Leader Mitch McConnell want to do.
The “leverage” Republicans think they have over President Obama if he doesn’t agree — not raising the debt ceiling — threatens to force the United States to default on its debt obligations and potentially throw the world economy into recession.