Cut, Cap and Balance

Conservatives in the house have proposed a plan called “Cut, Cap and Balance” that would consist of “substantial spending cuts, ...a statutory spending cap, and Congressional passage of a Balanced Budget Amendment to the Constitution.” 

Senators McConnell (R-KY) and Reid (D-NV) and Nancy Pelosi (D-CA) have proposed a plan that the conservatives who have proposed the “Cut, Cap, and Balance Act” have deemed the “Cut, Run, and Hide Plan.”

This plan consists of a debt ceiling increase of $2.5 trillion “without any guaranteed spending cuts or reforms.” 

According to Senator Marco Rubio (R-FL), the real problem isn’t the debt ceiling, it is the debt.  If the disaster is to be averted, then whatever plan is adopted must have a realistic, long-term solution to the debt problem. 

In my opinion, the only real solution would be harsh budget cuts.  Because of President Obama, the US has immense debt and the best solution would be to cut spending harshly, which would stimulate the economy, which would provide government revenue.  

Debt Talks Continue

The negotiations between the Republicans and the Democrats have resumed.

 House Minority Leader Nancy Pelosi said afterward that Democrats are "still hopeful for a large bipartisan agreement," one that will do "no harm to the middle class or to economic growth (and) protect Medicare and Social Security beneficiaries."

Is Nancy Pelosi supporting Paul Ryan's proposed budget?

"What is really appalling is to see our Republican colleagues essentially providing a form of extortion -- if you don't agree to deficit reduction the way we want it, we'll put all the jobs at risk, because we will allow the United States to default on its debt," said Rep. Chris Van Hollen, D-Maryland, on the CNN show "State of the Union." "That's irresponsible."

Wait... what?  The Democrats have been putting jobs at risk since they gained power.  But, I guess it wasn't irresponsible of them because they're Democrats. 


My question is which scenario is more desirable:  the United States defaulting on its debt now, and all the repercussions; or having this economic crisis dragged out indefinitely.  Look how the Democrats have handled the economy thus far.  Their leftist economic policies have failed.  However, the Republicans may have a way to avoid both scenarios.  The leftist approach has proven not to work, so why not try something that has proven to work in the past (see Reaganomics)?  To me, to allow the Democrats to enact their proposals is what is irresponsible.