Coming soon to a news service near you, the latest round in the new American Game of Politics… Debt Ceiling Debate Round…. We Lost Count!
What is different this time around? Well folks, this time the American people are starting to see through the excrement. Today, the President held a press conference and touched on the debt ceiling. In this conference he made the point that this is money that Congress has already allotted. This was an excellent point but I think the Republicans missed it. Missed what? The one thing that has been missing from this debate since day one. CONGRESS APPROPRIATES THE MONEY. This whole President spends the money is only half the issues. What Congress has been avoiding and putting on the President is the fact he gets the money from them. The President spends the money that Congress tells him to spend. Bush wants to invade Iraq, remember the funding debate in Congress. Why would there be a funding debate in Congress if the President could just spend the money? So where is the problem? It is Congress who spends the cash and then complains when they run out of money and blame it on who ever is in office. I will give you a perfect example. The new Joint Strike Fighter was originally going to have one engine made by one company. Congress hated that idea so kept the plane with two engines, (Interchangeable but not on the plane at the same time.) They did this so to have two separate engine manufactures involved. The Pentagon said they didn’t need it. The President say they didn’t need it but Congress spent the money anyway.
Now we have the House saying they are willing to have a government shutdown or default to get more cuts in spending. Spending that they authorized and pushed for, but hey what is truth when you can be misleading? Will this throw the economy further in the toilet. Yes and drown the Tide E Bowl man along with it. (If you don’t get that, your not old enough so don’t worry about it.) Why will it hurt? Two reasons why a government shut down or default will hurt. The first reason is people won’t get pay checks. Some government workers will but some won’t so that will sting but that won’t rupture the economy. This part will. BUSINESSES HATE UNCERTAINTY. Plain and simple. Remember the recent tax debate. The whole reason why the markets were sketchy wasn’t cause they were going to get taxed. Companies are used to fighting the taxes and have become pretty good at getting around them or putting them off etc. It isn’t that corporations and businesses like taxes they hate them but as long as they know they are going to happen they will adapt and get innovative. What is more damaging to an economy is uncertainty. They don’t know what is coming or when. If they can’t plan for something or they can’t anticipate something they get jittery. Investors get jittery and companies start holding off on producing more product or hiring or they freeze raises etc. It is simple economics at its best and worst.
I realize nothing I say here will make a difference in Congress. I just hope that you the reader realize what you are being told by Congress and Washington in general isn’t what it seems. Congress can cut spending and can even overide a veto it is in their power to do so. They know they don’t have the numbers to push this so a minority is holding the country hostage till they get their way and they are going to take us all down the drain to get it.