The real fight isn't the fiscal cliff

[Larry T. Spider]

Some are now predicting that the real fight will not be over averting the fiscal cliff. The Republicans are already giving in on tax increases and the Democrats will certainly give in on just enough cuts to get the deal done. But, the real fight will be on when the debt ceiling needs to be raised again in March or April. The Republicans could wimp out again then too, but I think they will have the political high ground after making concessions on taxes. The actual debt number will be smacking Americans in the face instead of a political ploy to get both side to the table. Lets hope that we can manage some decent cuts this month then follow them up with another round of cuts a few months later.

 

[mop]

but why would that be any different than the last 2 times we ran up against the debt limit? i hope you are right, but i am not seeing it.

 

[Larry T. Spider]

The last time was the first time that the Republicans wanted to put up a fight at all. It will be different next time because there is no election looming. If the Republicans cave on the fiscal cliff and on the next debt ceiling while only getting minor cuts, the third party talk will really heat up. Expect the tea party to start ramping up before the debt ceiling gets raised as well.