In January I wrote about raising the ceiling on the national debt. I noted that “Glenn Beck said that voting to raise the debt ceiling would be the beginning of the end for Republicans” and that Senator Jim DeMint was “telling new Republicans that they don’t have to vote to raise the debt ceiling because ‘It’s not a problem they created.’”
While my post wasn’t completely clear on whether I favored a “clean” vote to raise the national debt ceiling (a “clean” vote is one not tied to anything else), I did. But that is not what has happened. Instead, the Republicans are saying they won’t vote to raise the national debt ceiling without significant spending cuts. So how do I feel about that?
A couple of thoughts (and I hope I am not being too hypocritical). First, I don’t see either John Boehner or Mitch McConnell ultimately preventing an increase in the national debt from passing. If an increase doesn’t pass before a default, it won’t be because of them. At this point, it is a matter of bargaining. And I think Messrs. Boehner and McConnell will do a better job on the politics of that than Newt Gingrich did in 1995.
Second, it looks like at least Moody’s views a spending cut tied to the debt increase as something they want to see – or they may lower the rating on our national debt. They see a spending cut now as a marker or commitment, demonstrating that Congress and the President can start to get the deficit under control.
Third, given the general views of President Obama, Majority Leader Reid and Minority Leader Pelosi on government spending, playing games with the debt ceiling may be the only way to do something about the deficit before January of 2013. That is unfortunate, but I guess that is the way you have to play the game.
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