House sets vote on debt, to focus on budget talks with White House

[alp227]

Source: The Washington Post

Setting the stage for a long summer of heated negotiations, the House plans to reject a proposal Tuesday that would increase the nation’s ability to borrow funds without also making dramatic cuts in federal spending.

A day before they huddle with President Obama at the White House, Republicans will hold a vote on the administration’s initial request that the nation’s debt ceiling be lifted above the current $14.3 trillion limit without any accompanying spending reductions. Both sides now recognize such a request is politically impossible, given the current mood of the electorate against runaway federal deficits. House GOP leaders timed the vote Tuesday night to demonstrate that point before all 241 members of the Republican conference visit Obama on Wednesday. It will be his first meeting with the entire group of Republicans since they won the House majority in the November midterms.

For months each side’s leaders have talked publicly and privately about how the financial markets would react if the U.S. Treasury is unable to raise the debt limit, with speculation that the country would default on its outstanding loans and cause broad panic in the global markets. With the Tuesday vote, Republican leaders believe they have created a buffer by showing their intentions and holding the vote a full two months before Treasury Secretary Timothy H. Geithner set an Aug. 2 deadline for lifting the debt ceiling.

In addition, the vote will be held after 6:30 p.m. Tuesday, when the markets will be closed during the roll call. House leaders do not want a repeat of the September 2008 vote in which the House at first rejected the $700 billion Wall Street bailout and triggered the single largest one-day drop in stock prices ever.

Read more: http://www.washingtonpost.com/politics/house-sets-vote-on-debt-to-focus-on-budget-talks-with-white-house/2011/05/27/AGd7zsEH_singlePage.html

[msongs]

1. slash all government programs to districts represented by Republicans. See how easy that is?

Republicans can't argue against it because THEY are the ones wanting cuts.

[plumbob]

3. Yes, and we accept their voluntary relinquishment with the same

open hearts that we expect to see their retirements after the next election!

[greymattermom]

5. perfect

Name it something cool too. Deficit killing bill. Stop government waste bill.

[Proud Liberal Dem]

2. Why not hold it during the daytime?

I mean, they've said publicly that they don't think that anything bad is going to happen if the debt ceiling doesn't get raised now, right? Right??? :shrug:

[bluestateguy]

4. I can support phasing out farm subsidies

Most of which goes to corporate farms anyway.

[AndyTiedye]

6. SELL!

Wall Street is the world's biggest casino. One can place any kind of bet regarding the economy there.
Someone who knows that the market is going to crash on a particular day can make a killing
by going short or buying "put" options. e.g. 'Someone' purchased a huge number of "put" options
on airline stock just before 9/11. 'Someone' knew what was going to happen.

Everybody assumes that the people pulling the teabaggers' strings want the markets to go up.
We have no way of knowing how they have invested their money.
They could be banking on a crash, in which case they will do everything in their power to make it happen.

[DallasNE]

7. What Does Boehner Think He Is Doing Here

The vote is not meaningless. He is sending a message to Wall Street and he is poking Obama in the eye with a stick by holding it one day before all 241 Republican members of Congress meet with Obama.

It is a lose, lose vote for the American people, just like the vote on the Ryan budget was a disaster. When will Boehner show some leadership and stop doing stupid sh#t like this.

[Doctor_J]

8. They can talk tough because they know the prez will cave

along with many other Dems.