Raiing the Debt Limit

[Anonymous]

Short term. Damn you, spell correction

[Anonymous]

I think the most likely possibilities are either a default due to miscalculation and/or political calculation or an agreement that includes a tax increase, which Obama could call a victory, but that is small enough for Boehner to also call a victory.

Such an agreement would surely lose tea party votes in the House and would likely require Democratic votes to pass. In the Senate, it would probably get votes from both parties. So both Obama and Boehner could boast of a bipartisan agreement for the good of the country and bask in the glory of statesmanship.

There is also the possibility that Obama would cave, either through weakness or because of the calculation that he would gain more from independents' anger at GOP intransigence than he would lose from liberals' anger at his abandoning the cause.

Are there any other likely scenarios? How do you rate the probabilities? I think the statesman scenario (my favorite) is probably least likely, but I don't know which of the other two is more likely.

I did not mention Boehner giving in, since I don't think the tea party would allow it.

[Anonymous]

I have to wonder if we're headed for another shutdown scare, similar to the situation this spring.

[Anonymous]

"The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies. … Increasing America’s debt weakens us domestically and internationally. Leadership means that “the buck stops here.” Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better."

This quote comes from a politician who voted against raising the debt ceiling. My how things have changed.

[Anonymous]

Anonymous wrote:I have to wonder if we're headed for another shutdown scare, similar to the situation this spring.

I read this a few months ago and I think it is exactly what is going to happen:
http://www.slate.com/id/2293892/

[Anonymous]

If I believe my family has slipped too far into debt, is the answer to stop paying my mortgage and send my credit rating into the toilet? Do I stop buying food for my kids? Clearly, the answer is that I need to increase my income so I can pay for the necessities and cut back on my discretionary spending.

[Anonymous]

Anonymous wrote:"The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies. … Increasing America’s debt weakens us domestically and internationally. Leadership means that “the buck stops here.” Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better."

This quote comes from a politician who voted against raising the debt ceiling. My how things have changed.

Yes they have. We had an economic meltdown between now and 2006, which cost us a lot. Did you forget that?