Pres. Obama set a list of dates - required by the house, than to pass on to the Senate, the budget cuts, tax hikes, etc. The huge issue is that the house may take its time to pass on the bill to the US Senate. If the bill is not acceptable, the Senate has to send it back to the house and the house will have to vote on the senate version. If the republican Senate is not in agreement, and time runs out, than the USA has gone into a voluntary default. US Credit rating tanks. The economy will not go into a recession; but sink everyone into a global depression and harsher financial crisis. We are at war (more of less, in Iraq, Afghanistan, Pakistan, Libya, etc. This is awful and everyone in this country can go bankrupt when loans are declined, interest rates sky rocket and wall street tanks. This might be a doomsday scenario for mankind as poverty is real, housing is in a bust. Already, companies must plan for such crisis and limit/halt hiring. The republicans have completely sabotaged America. I actually believe there may be no way to stop this fiasco. Only thing i see is the republicans placing a temporary extension in lifting the debt ceiling. I do believe that we are not aware of all the strings that are attached. The games will continue as the US economy will slow though this procedure. Most important, we can not accept deep medicare/medicaid cuts/ changes. We can not move to a private system for such, and we can not allow increase of age for seeking medicare. Beware, that certain language may be included that appears as a cut; but, it really will be a correction in the requirements to seek medicaid. The massive health care bill had a language problem (when it passed and was signed in to law) allowing couples below the age of 65, making 65,000.00 per year to be eligible for free medicaid. States do not have the money to pay this and current medicaid in many states is given to singles earning - below 12,000/yr. Therefore, some cuts, changes are required as our present tax code is not set up to allow this. Yes, taxes must go up for the wealthy and this shall be a huge battle as well. ...Jake
Please read:
Obama: 'Nothing can be off-limits' in budget
By ERICA WERNER - Associated Press | AP – 10 hrs ago
WASHINGTON (AP) — President Barack Obama said Saturday that "nothing can be off-limits" in the budget debate — even though Republicans have said tax increases are. The president said every tax break and federal program must come under scrutiny.
With an Aug. 2 deadline looming to raise the government borrowing limit, the president used his weekly radio and Internet address to call on Congress to make a deal.
He also renewed his call for Congress to eliminate some tax breaks for the well-off as part of any agreement. Republicans want deep spending cuts without any tax increases while Obama and Democrats call for what they term a "balanced" approach. That means one that also includes new revenue in the form of higher taxes for some, though Democrats steer clear of using phrases like "tax increases" or "higher taxes."
"Now, it would be nice if we could keep every tax break, but we can't afford them," Obama said. "Because if we choose to keep those tax breaks for millionaires and billionaires, or for hedge fund managers and corporate jet owners, or for oil and gas companies pulling in huge profits without our help — then we'll have to make even deeper cuts somewhere else."
"Nothing can be off-limits, including spending in the tax code, particularly the loopholes that benefit very few individuals and corporations," the president said.
Lawmakers and the administration are seeking deficit cuts in the range of $2.4 trillion over the coming decade to balance a similar increase in the debt limit — one that's large enough to keep the government afloat past the November 2012 election. Currently the debt limit is $14.3 trillion, and Treasury Secretary Timothy Geithner says it must be raised by Aug. 2 to avoid defaulting on the government's financial obligations for the first time in the nation's history.
With both sides dug into their positions, it's not clear how compromise will be reached, though the Senate canceled its plans to take a July Fourth recess next week in order to stay in Washington and work on the problem.
Obama expressed confidence a deal could be made and instead of singling out Republicans as the barriers to agreement, he directed his message to Democrats and Republicans alike.
"We've got to cut the deficit, but we can do that while making investments in education, research and technology that actually create jobs," the president said. "We can live within our means while still investing in our future. That's what we have to do. And I'm confident that the Democrats and Republicans in Congress can find a way to give some ground, make some hard choices, and put their shoulders to wheel to get this done."
Republicans used their weekly address to criticize Obama on the economy and renew their opposition to tax increases.
"The president and Democrats in Congress must recognize that their game plan is not working. It's time to acknowledge that more government and higher taxes is not the answer to our problem," said Sen. Dan Coats, R-Ind. "It's time for bold action and a new plan to address our current crisis."
Coats said that it was time for the government to "stop spending money we don't have and to enact policies that will grow our economy and get Americans back to work."
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