Fiscal Cliff

[unrepentant]

JagLover said:

unrepentant said:

The debt ceiling will have to rise. The GOP got slammed over the debacle last time when S&P downgraded. They can huff and puff but their congressmen have to face the electorate again next year. The tea party took a pasting in Nov, can't see them wanting to go before an angry electorate again in a hurry.

As far as the Republicans are concerned they had to make sure that taxes weren't raised for most Americans, which they have now achieved. There is a long time before the next congressional elections so if they are ever going to make a stand this is the ideal time.

I think you've been drinking the republican Koolaid. Most GOP congressmen couldn't give a toss about protecting the middle class from tax hikes. They were quite happy to go along with Romney's plan that would have raised taxes on middle America whilst protecting the interests of the vested interests that fund their campaigns. Even Boehner's "plan B" entended huge tax cuts to millionaires whilst shifting the burden to the middle classes.

We're going to see better than expected job numbers this week, with construction leading the way. America can deal with the defecit by growing the economy and that's what will happen. Four years on from the disaster that was the Bush regime and the US has avoided the double dip recesssions and is now growing again.

[London424]

unrepentant said:

JagLover said:

unrepentant said:

The debt ceiling will have to rise. The GOP got slammed over the debacle last time when S&P downgraded. They can huff and puff but their congressmen have to face the electorate again next year. The tea party took a pasting in Nov, can't see them wanting to go before an angry electorate again in a hurry.

As far as the Republicans are concerned they had to make sure that taxes weren't raised for most Americans, which they have now achieved. There is a long time before the next congressional elections so if they are ever going to make a stand this is the ideal time.

I think you've been drinking the republican Koolaid. Most GOP congressmen couldn't give a toss about protecting the middle class from tax hikes. They were quite happy to go along with Romney's plan that would have raised taxes on middle America whilst protecting the interests of the vested interests that fund their campaigns. Even Boehner's "plan B" entended huge tax cuts to millionaires whilst shifting the burden to the middle classes.

We're going to see better than expected job numbers this week, with construction leading the way. America can deal with the defecit by growing the economy and that's what will happen. Four years on from the disaster that was the Bush regime and the US has avoided the double dip recesssions and is now growing again.

But you aren't growing...it's all smoke and mirrors.

Go and see how they calculate GDP...then look at that mountain of debt. You'll see the 2 are linked.

[unrepentant]

London424 said:

But you aren't growing...it's all smoke and mirrors.

Go and see how they calculate GDP...then look at that mountain of debt. You'll see the 2 are linked.

At the end of the day we all have opinions and that's what makes the world go round. I live and work in middle America and I have a very positive viewpoint which is fashioned by my own experience and by talking to people here. The housing market is finally moving again, hose builders are building again and that's usually a precursor to improved growth. Improved growth will see the defecit fall quickly and I don't think it's beyond the ralm of possibility that we are going to see a big jump in growth. We'll have to see won't we?

[London424]

unrepentant said:

London424 said:

But you aren't growing...it's all smoke and mirrors.

Go and see how they calculate GDP...then look at that mountain of debt. You'll see the 2 are linked.

At the end of the day we all have opinions and that's what makes the world go round. I live and work in middle America and I have a very positive viewpoint which is fashioned by my own experience and by talking to people here. The housing market is finally moving again, hose builders are building again and that's usually a precursor to improved growth. Improved growth will see the defecit fall quickly and I don't think it's beyond the ralm of possibility that we are going to see a big jump in growth. We'll have to see won't we?

Yep...I guess it depends on your definition of growth as well I suppose.

How many years do you guess until the deficit is half what is now? So about 500-600 billion.

[unrepentant]

London424 said:

Yep...I guess it depends on your definition of growth as well I suppose.

How many years do you guess until the deficit is half what is now? So about 500-600 billion.

No idea. I'm not an economist, just a bloke with a view. I'm also looking at the total debt figure of $16 trillion which is where the long term focus has to be.

Growth improves everything and the indicators are good for growth.

I'd be more worried if I were still a UK tax payer. External debt of 500% of GDP?

[Previous]

I agree with the OP. This is an excellent strategy.

It seems that in order to deal with the fiscal cliff, America has decided to put its fingers in its ears and scream la la la very loudly, and carry on as before the recession.

Cant see any problems with that - look short term growth - must be the green shoots of recovery!!!