Posted on 10/08/2013 7:19:57 PM PDT by BCrago66
In any negotiation, the key question is, what is the default status? That is, what happens if you don’t make a deal? If you are negotiating a business transaction (e.g., a merger), the default status is that the transaction doesn’t occur and the parties walk away. If you are trying to settle a lawsuit, the default status is that the case goes to trial and both parties take their chances. Where the default status is more favorable to one party than the other, that party has bargaining power.
(Excerpt) Read more at powerlineblog.com ...
1) The U.S. will still be taking in billions of dollars per day, more than sufficient for debt service, which is less than 10% of the budget. So we will continue to service the debt, and everyone knows it.
2) On matters of the debt & budget, the American public is more sympathetic to Republican positions. So post failure to raise the debt limit, the public debate shifts to conservative turf.
3) Not raising the debt limit is the functional equivalent of operating under a balanced budget amendment. So after a failure to raise the debt limit, the legislative debate will necessarily shift to how to life within our means. And because Americans will reject the Democrat solution of massive tax increases - not just on the rich but on the middle class - that means the debate moves to how & where to cut government.
So the House Republicans have to be encouraged not to cave on this one.
I would add my own point: The House has a civic/patriotic duty NOT to cave. The House members have to preserve the institutional prerogatives of the House - the legislative branch with the power of the purse - as a bulwark against executive tyranny.
They are printing money because no one will buy our debt. This means we ran past the “real” debt limit a long time ago.
No one in Washington is serious who isn’t talking about which unnecessary or unconstitutional departments of government they are going to eliminate or hand down to the states. No one is talking about anything like that, which means no one is serious about dealing with the deficit. If you are spending twice what you bring in, your government is twice the size it needs to be. But no one in either party is prepared to say that out loud except for maybe someone in the Paul’s household.
Works for me.
No CR! No debt ceiling hike!
Ever notice how the President can take giant tracts of federal land by declaring them “national monuments”? The next President should do this with all National Parks....as a prelude to handing them over to the various States. Our politicized National Park Service has proven themselves unworthy stewards of these territories.
So that’s one “serious” proposal. Which I stole from Instapundit.
Not even close to true.
Think Boehner will see, hear or take this advice? No. But there is always hope—most always worthless in the cause of what is right.
So far the big complainers of default have been the Chinese, Japanese and IMF. They must need to keep buying our debt to maintain their bubble economy ? They must know we could still service the debt.
Too bad our members of Congress don’t understand this.
...who stole the idea from Rand Paul. Getting the feds out of the Park biz was part of his budget plan.
Did you see this one?
http://www.freerepublic.com/focus/f-news/3076090/post
It’s the best column re: the “debt ceiling” I have yet seen.
I Think we have a Winner!
An EXCELLENT piece.
Very important and timely.
I’ve passed this along to a large number of very high level movers and shakers, including quite a few congressman, to make sure they didn’t miss it.
Thank you for helping to get this out. Others really need to do the same. This needs the widest possible circulation.
As Obama might put it, “You can’t go out and buy an X-Box for X dollars if you have less than X dollars on your debit card.”
Back to the top.
I know personally that this made it to a couple congressmen, but apparently not to our incredibly inept leadership. God help us!
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