President Obama and the Congressional folks have hopefully finally cut a deal to prevent the U.S. going into default. This deal will also immediately cut some spending now and more in the future by "super Congress." If they're trying to market themselves as superheroes, I ain't buying.
The first initial cuts would equal $917 billion over ten years which will permit the Pres to raise the debt cap by $900 billion, which is now at $14.3 trillion bucks. No word on why House Speaker John Boehner told his peeps that figure during his presentation as the Dems said the figure for the first cuts is closer to a trillion.
The next set of cuts for $1.5 trillion, would be decided by an evenly divided committee of 12 lawmaker dudes between the two parties. These cuts would need to be shown by Thanksgiving. Let's hope the spirit of the holiday puts these suits in a festive mood.
Some peeps feel President Obama got one victory out of this and that is the second round of cuts don't go into effect until 2013. This is when Bush's expire. This will in turn have a new round of deficit reduction that is all cuts with no revenues. Which means this will give the White House what it was unable to do last year. It will give the White House a leg to stand on in ending tax cuts on the rich.
However President Obama is not too happy with this super committee of 12 lawmakers as he feels all cuts should have been accomplished. In other words, why wait, let's get to it! White House officials also say there will be no unemployment extensions in the final package of this deal. Obama's administration had protested an extension be apart of the deal when negotiating with Boehner. However when those talks crumbled, unfortunately so did the unemployment insurance. According to
HuffPost Politics, a Sr. aide in Obama's camp claims the President will continue to fight for the extension in the months to come.
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