Sunday, July 24, 2011

Debt-Ceiling Talks Reaching the Critical Stage for President Obama and the Democrats


Your Black World reports.

The debt-ceiling deadline is fast-approaching, with leadership from both the Democratic and Republican parties bickering over the final arrangements.  The Democrats rejected a Republican proposal to raise the ceiling in a two-step process, but both sides are concerned about a negative reaction in Asian markets if a deal is not reached soon.

Congressional leaders gathered on Saturday to discuss the situation, with the meeting consisting of Senate Majority Leader Harry Reid, Sen. Mitch McConnell and Nancy Pelosi.  That is when the Republicans presented their plan.

The Republicans are set on only raising the debt ceiling for the remainder of 2011, which would throw off the Democrats as they work to get Barack Obama reelected.  The increases in the debt ceiling are contingent upon major cuts in entitlement programs, primarily those affecting the poor.

"The Democrats who run Washington have refused to offer a plan," Boehner aide Michael Steel said to the press.

"Now, as a result, a two-step process is inevitable. Like the president and the entire bipartisan, bicameral congressional leadership, we continue to believe that defaulting on the full faith and credit of the United States is not an option," he said.

Nancy Pelosi had equally strong words about the negotiations.

"The delay in bringing forth a solution springs from the Republicans' decision to walk away from 98 percent of the American people to protect the assets of the top 2 percent of the wealthiest people in our country," she said.

Harry Reid had this to say.

"I hope that Speaker Boehner and Leader McConnell will reconsider their intransigence. Their unwillingness to compromise is pushing us to the brink of a default on the full faith and credit of the United States. We have run out of time for politics. Now is the time for cooperation," he said.

Boehner has broken off talks with President Barack Obama and the White House.  His decision to walk away puts the nation at risk of defaulting on its debt for the first time in American history.  This would shatter global confidence in the financial stability of the U.S. government and send the economy into a tailspin.

1 comment:

Anonymous said...

A cliff hanger for Hollywood. I wonder who is hacking their phones. Have you noticed that the Fed, which is not apart of our government but holds sway over our currency and holds many if not all of our assets, is letting us dig the hole in which we will bury ourselves. Legislative action will not change the outcome. Nations are meant to function independently and contribute to the soundness of the family of nations. Those who worship money will fall when their idol falls.