Battle Brewing Over Federal Debt Limit

White House Defends Obamas Senate Vote against Raising Debt Ceiling But Warns of Catastrophe If GOP Doesnt Raise Debt Ceiling
Wednesday, January 05, 2011 By Fred Lucas President Barack Obama is saluted as he arrives at Andrews Air Force Base, Md., Tuesday, Jan. 4, 2011, from Vacation in Hawaii. Col. Lee DePalo, commander of the 11th Wing, is at left. (AP Photo/Carolyn Kaster) Washington (CNSNews.com) - The Obama Administration is warning of catastrophic consequences if Congress does not increase the Debt ceiling, the legal limit on how much the Federal Government can borrow, but Obama held a different view on th...

Manhattan Moment: Focus on spending, not a debt limit showdown
As the president prepares his State of the Union Speech, he must worry that another regular Washington event will overshadow it: the vote to increase the National Debt ceiling. But instead of concentrating on this figure, the president and congressional leaders should focus on The Economy. That way, global markets - the real Regulators of the Debt ceiling -- will be less likely to decide that we can't borrow any more, even if the pols say it's OK to do so. Today's Debt Limit is nearly $14.3 tril...

Will He Say He Has No Choice or Will He Use Seigniorage?
The media and much of the blogosphere are framing the coming Debt ceiling decision as one in which the Republican-majority House may refuse to extend the Federal Debt ceiling, thus forcing both a Government shut-down, and also a possible default of the US in paying its Debt obligations to its creditors. Republicans saying they will not vote to extend the ceiling see this as an opportunity to force Spending Cuts out of the Democrats and the Obama Administration. This second round of hostage-takin...

Obama on the Debt Limit: Then and Now
Yahoo! Buzz In 2006, Sen. Barack Obama voted against raising the Debt ceiling to allow the U.S. to borrow more money, saying Washington was saddling future generations with its out-of-control spending. Now, his administration is implying that those who say the same are irresponsible. Asked on Wednesday about the seeming contradiction, White House Press Secretary Robert Gibbs said that in 2006, the outcome of the vote to raise the legal borrowing authority was not in doubt, and therefore the ...

House passes new rules package
The House wrapped up the first day of the 112th Congress on Wednesday by approving a new rules package that will enact some significant changes to matters ranging from the Debt ceiling to members' Voting Rights. The new rules passed on a party-line vote, with 240 Republicans voting in favor and 191 Democrats opposed. Democrats tried earlier Wednesday to block the package. Earlier Wednesday, the House rejected a resolution by Del. Eleanor Holmes Norton (D-D.C.) that would have directed a committ...

Ron And Rand Paul Disagee Over How To Fight Debt Ceiling Battle
Congressman Ron Paul and his son, new Senator Rand Paul , together appeared on Fox News with Neil Cavuto, and after some joking between the Pauls about whether the House or the Senate was better, the conversation turned serious with the Debt crisis. Neither Paul was in favor of raising the Debt ceiling outright, but the two disagreed on what it would take for them to get on board and avoid the catastrophe warned of by Austan Goolsbee, chairman of the White House Council of Economic Advisers, if ...

As National Debt Obama Ran Up Tops $14 TRILLION (with a T), Obamas Architect of Economic Disaster Whines About Debt Limit
Well, look, it pains me that we would even be talking about this. This is not a game. You know, the Debt ceiling is not something to toy with. If we hit the Debt ceiling, that’s essentially defaulting on our obligations, which is totally unprecedented in American history. The impact on The Economy would be catastrophic. That would be a worse financial economic crisis than anything we saw in 2008. No doubt defaulting on U.S. obligations would be bad, but Goolsbee’s missing the point. ...

Republicans Push Obama, Dems on Spending Cuts
Republicans became the majority party in the U.S. House of Representatives on Wednesday, and they said they're ready to do what voters screamed for on Election Day -- and that's to stop the spending. This effort may lead to some brutal battles between President Barack Obama, Democrats on Capitol Hill and the newly-empowered Republicans. Politicians always make promises to cut spending, but the new Republican majority, backed by Tea Party power, may have the fervor and numbers to really do it....

Political Quote of the Day
Name that speaker: The fact that we are here today to debate raising America’s Debt Limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies. … Increasing America’s Debt weakens us domestically and internationally. Leadership means that ‘the buck stops here. Instead, Washington...

Worried About the National Debt? Put It On Your Credit Card
The National Debt is growing at a rate of some $4 billion dollars a day as the 112th Congress heads to Capitol Hill wringing their hands over how to slash spending. But the United States Treasury has a simple solution for how you can help: spend more. Just put the federal Debt on your personal Credit Card. You can pay for it later. With as little effort as a few mouse clicks, Private Citizens can give Uncle Sam their spare change - or their Bank Account numbers. Since 1961, the Treasury's Bureau...

David Coates: Sanity in a Time of Madness
"When you are in Washington, remember what the voters back home want -- less government and more freedom." -- Jim DeMint, welcoming Tea-Party-backed victors in the 2010 Midterm Elections This is no ordinary day in American politics. This is the day power officially shifted in the House of Representatives from Nancy Pelosi's Democrats to John Boehner's Republicans. This is the day the inmates retook the asylum. For Progressives, this shift in power necessitates an equivalent shift in strategy. ...

MESSAGING PROBLEMS: Goolsbees debt limit comments conflict with Obamas 2006 vote.
MESSAGING PROBLEMS: Goolsbee’s Debt Limit comments conflict with Obama’s 2006 vote. ...

Baghdad Bob: Senator Obama Only Voted Against Raising Debt Ceiling in 2006 Because He Knew It Would Pass Anyway
Bobby’s going out with a bang. (ABC News)- On Sunday, President Obama’s top economic adviser, Council of Economic Advisers chair Austan Goolsbee, cautioned members of Congress not to “play chicken” by voting against raising the $14.3 Trillion Debt ceiling - despite the fact that as a senator in 2006, President Obama voted that way. “I don’t see why anybody’s talking about playing chicken with the Debt ceiling,” Goolsbee told me on ABC Ne...

The Know-Nothing Congress
I expect this guy to be casting a lot of informed votes: In recent weeks, a number of high-profile Republicans have stated their intention to vote against any increase to the U.S. Debt Limit. From Sen. Mike Lee (UT) to Rep. Michelle Bachmann (MN), these Republicans are essentially stating that they are willing to risk the country defaulting on its Debt and a government shutdown if their demands are not met. Yesterday, newly-elected Rep. Mick Mulvaney (R-SC) appeared on Fox Business to talk abo...

&c;
-- Ruy Teixeira says that if Obama wins re-election, the tax-cut deal should get the credit. -- PPP thinks Mike Huckabee is the best national GOP Candidate. -- Even Bill Kristol calls conservative posturing on the Debt ceiling "irresponsible." ...

Obama Flip Flops on Debt Ceiling
White House Press Secretary Robert Gibbs defended then-Senator Barack Obama's 2006 vote against raising the Debt ceiling on Wednesday - even as he urged current members of Congress not to "play politics" with the issue. Upon casting a vote against raising the Debt ceiling in 2006, Mr. Obama said, in part: "America has a Debt problem and a failure of leadership. Americans deserve better. I therefore intend to oppose the effort to increase America's Debt Limit." Gibbs said at his daily briefing We...

Video of Juan Williams: debt ceiling a "come to Jesus moment"
The Bible does in fact reference finances a huge number of times, more than many other topics. That said, what is the point of a Debt ceiling when it continually gets raised? Funny that Williams wasn't so driven about the nations Debt problem the last 4 years when Pelosi racked up more the $5 Trillion of it. An additional silver lining to William's statement? A liberal that can use the name of Jesus. So there's that. ...

House Passes Republican Rules Package
House Speaker John Boehner of Ohio, left, walks to the floor of the House on Capitol Hill in Washington Wednesday, Jan. 5, 2011. (Credit: (AP Photo/Alex Brandon)) The House late Wednesday afternoon passed the rules package for the 112th Congress put forth by Republicans in conjunction with their takeover of the chamber. The vote was 240 to 191. "The passage of these reforms marks a first step towards restoring the House as an institution focused on listening to the people," House Speaker Joh...

Republicans take over House, dilute cuts
By Thomas Ferraro and Andy Sullivan WASHINGTON | Wed Jan 5, 2011 12:45pm EST WASHINGTON (Reuters) - Republicans scaled back plans for deep cuts in Government Spending as they took power in the House of Representatives on Wednesday, diluting a key promise that helped them to victory in November's election. A senior Republican also signaled the party could work with the administration of President Barack Obama, a Democrat, to avert a Debt crisis in the coming months. "Our spending has caught up...

Democrat Blames Reagan, Bushes For Deficits
(CNSNews.com) - In his last day as House Majority Leader, Rep. Steny Hoyer (D-Md.) put much of the blame for America’s growing Debt on past Republican administrations, including former President Ronald Reagan. “Ronald Reagan came in and adopted an economic program that created $1.4 Trillion in Deficits over the next eight years,” Hoyer said in a Capitol Hill Press Conference on Tuesday, where he appeared with other members of the Democratic House Leadership. “George...

No, Obamacare Will Not Reduce the Deficit
Kevin D. Williamson writes in his must-read piece at NRO: "No, Ezra Klein, ObamaCare Will Not Reduce the Deficit": Ezra Klein, he of recent "the Constitution's old, and stuff" fame, is one of the great and most persuasive cheerleaders for the belief that Republicans cannot Repeal ObamaCare and remain fiscally responsible since -- as everybody knows! -- ObamaCare reduces the National Debt by $100 billion over the next ten years. He makes his case here. Taking a slightly different but in many ways...

Republicans warn of 'tough decisions' as they formally take control of the House of Representatives
Congressman John Boehner, the new Republican Speaker of America's House of Representatives, has warned that the United States faced 'tough decisions' on mounting federal Debt as the party sought to promote its Small Government Legislation....

Instead Of Debating Social Security Experts Argument, Neil Cavuto Attacks Him Over Health Care Reform
On Your World yesterday (1/4/11), one suspects that host Neil Cavuto knew he didn’t have the facts on his side when he suggested that Social Security was in imminent danger of catastrophe. So instead he attacked his Social Security expert, Eric Kingson, co-director of Social Security Works, for being “inconsistent” about Health Care reform - as if that had anything to do with the matter at hand. Cavuto asked Kingson about the "long term direction" of the program. "With fe...

Republicans warn of 'tough decisions' as they formally take control of the House of Representatives
Congressman John Boehner, the new Speaker of the House of Representatives, on Wednesday gave warning that the United States faced "tough decisions" on The Economy and mounting federal Debt, striving to avoid a triumphant tone as the Republican Party formally regained control of one of the major branches of government....

New GOP member doesn't "know" what will happen if debt ceiling isn't raised
Speaking of clueless Republicans in the House that Teabaggers built, here's part of the new brain trust entering office today: Rep. Mick Mulvaney (R-SC). Yesterday, newly-elected Rep. Mick Mulvaney (R-SC) appeared on Fox Business to talk about his own intention to vote against raising the Debt ceiling. The host asked Muvlaney if he was willing to “risk the possibility of a default on our debt.” Mulvaney responded that he has “no difficulty in” voting against raising the ...