December 20, 2012 at 4:15 am #175033
Will the White House and Congress come together and forge an 11th-hour compromise averting the so-called "Fiscal Cliff"?
What are the odds that they will or won't?
The New York Times reports:
"Hopes for a broad deficit-reduction agreement faded on Wednesday as President Obama insisted he had offered Republicans “a fair deal” while Speaker John A. Boehner moved for a House vote as early as Thursday on a scaled-down plan to limit tax increases to yearly incomes of $1 million and up, despite Senate opposition and Mr. Obama’s veto threat."
* All views and opinions expressed herein are those of the author only.
December 20, 2012 at 4:23 am #175047
I think the odds are 60% to 40% that some sort of a compromise will be reached by Jan. 1, 2013. However, it certainly will not address most of the major underlying issues. Any deal will most likely kick the can down the road.
It's a real shame our elected officials in Washington don't have more backbone to craft an effective bi-partisan solution.
December 20, 2012 at 11:13 pm #175045
The Wall Street Journal reports: How Did Fiscal Talks Hit Impasse Again?
"After a brief and happy stretch of several days in which negotiations to avoid the fiscal cliff seemed to be humming along nicely, they have gone into the ditch once again. In a nutshell, it appears that the deficit-cutting deal House Speaker John Boehner (R., Ohio) was negotiating with President Barack Obama was either not fulsome enough in spending cuts or not coming together fast enough—or both—to sell to House Republicans. That led Mr. Boehner to offer up his now famous Plan B, which does little more than extend current tax rates for everybody with incomes under $1 million a year."
Further, according to the WSJ:
"In other words, despite meaningful movement by both the president and the speaker in the last week, the situation seems stuck again where it has been for more than a year, in an ideological divide between the White House and the bulk of House Republicans. For those hoping for a comprehensive deal, though, the danger is that Plan B has become an acceptable stopping point for many House Republicans. Many in the GOP now seem to believe the two real alternatives are this bare-bones extension of tax rates for most Americans on the one hand, or a dive off the fiscal cliff on the other. The vote on Plan B could end up making that the big deal more elusive rather than easier to find, at least for now."
December 26, 2012 at 2:30 pm #175043
David ... your predictions (compromise, kicking the can down the road) are right on. Unlike the stock market, where past performance does not guarantee future results, politicians in Washington have shown again & again that they consistently dodge the tough decisions. They always seem to find a way to avoid meeting the requirements by enacting some temporary/partial/half-a** smoke & mirrors legislation. We (the taxpayers) are paying good money but are not getting much value from our elected officials.
December 28, 2012 at 9:28 am #175041
I agree with you both here. I'm honestly getting tired of the Republican's GOP standoffs every December. They at the Whitehouse need to grow up. This is our lives they are playing with here.
December 28, 2012 at 2:44 pm #175039
Maybe the real bipartisan deal is to go over the cliff and gain tax revenue at any cost...
December 28, 2012 at 5:37 pm #175037
Alan L. GreenbergParticipant
Let's remember how we got in this situation to start. It was because our dysfunctional Congress couldn't craft a budget - so they did the usual. Delay the problem until after the election and obscure the issue in language which, when it comes time for action, puts nobody in particular to blame and transfers responsibility for execution of the plan. Does anyone remember who was on that blue ribbon panel which failed to come up with a budget?
My gut feeling as a crusty old fed who has been around a long time is that we will see more of the same. Smoke, mirrors, vague language and a stopgap solution which someone will have to address later.
December 29, 2012 at 3:53 am #175035
They need to come to a deal before Monday. Hopefully our country won't downgrade , meaning our ratings will drop from 3 stars down to 2 stars because it can't pay it's bills. Time to cooperated guys in the White house. People's financial is at stake here. Hello?
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