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We’re Getting Even Closer To Washington DC Making Its Biggest Blunder Since The Financial Crisis
We’re getting even closer to March 1, the day the “sequester” kicks in, and automatic across-the-board spending cuts go into place that would slam the military and harm the economy.
The latest talk from this weekend’s Sunday shows indicate no change.
The GOP seems willing to take the cuts. There’s virtually no movement.
SEQUESTER UPDATE: VERY LITTLE MOVEMENT – President Obama heads into the State of the Union this week with very limited evidence that Republicans are inclined to accede to his demand that any sequester replacement include an equal amount of spending cuts and revenue increases through tax reform. The only slight movement over the weekend came from Sen. John McCain (R-Ariz.) on Fox News Sunday. … Asked about the issue, McCain said: “Would I look at some revenue closers? Maybe so. But we’ve already just raised taxes. Why do we have to raise taxes again?” (Never mind that hanging hope on McCain is a thin reed given the issue has always been the House) … Meanwhile, House Minority Leader Nancy Pelosi said on Fox that there have already been “plenty of spending cuts.’ She left Republicans aghast when she added: “It is almost a false argument to say we have a spending problem.”
Even folks like Bill McBride of Calculated Risk — who has been pretty sanguine on the whole fiscal cliff/sequester story — is now thinking that he was wrong, and that the cuts are likely to go into place.
Of course, the State Of The Union is tomorrow, and it seems very likely that this will be discussed.
And given how Washington can get a lot done in just the final days of any manufactured “crisis”, there’s still plenty of time.