Sunday, July 31, 2011

New Debt Deal That Obama, Democrats Dislike

President Barack Obama makes a statement on new debt deal - July 31, 2011
A new debt deal is in place, as confirmed on Sunday night. The would increase the ceiling by one trillion dollars, which is enough to get the US government through the February of 2012, while cutting spending. On the partisan scale, the Republicans got more of what they'd like than the Democrats. In fact, Speaker of the House‎ John Boehner urged his fellow Republicans get on board with plan on Sunday night. On the other hand, the Democrats are not so excited. The Congressional Progressive Caucus vowed to vote against this deal as it lacks tax increases on the rich. Furthermore, Minority Leader of the United States House Nancy Pelosi, who is considered a progressive Democrat, was nowhere to be seen in public.

Until now and then, there's a congressional committee setup to report on further debt reduction procedures. Those plans will be voted on in November of this year.

"A bipartisan committee of Congress to report back by November with a proposal to further reduce the deficit, which will then be put before the entire Congress for an up or down vote," said Pres. Obama.

Meanwhile, on tax reforms, as President Obama said on Sunday, he will make the case for the law makers to increase taxes on the rich and big corporations.

"Over the next few months, I’ll continue to make a detailed case to these lawmakers about why I believe a balanced approach is necessary to finish the job," said President Obama.

President Obama made clear that this isn't the deal he preferred, stating "I believe that we could have made the tough choices required -- on entitlement reform and tax reform -- right now, rather than through a special congressional committee process."

President Obama ended his short speech on Sunday night by saying this deal is better than nothing. Honestly, he's right, because if there's no deal at all, then he has the most to loose ( that's just political talk, not what's best for US :-) )

Obama concluded with a shutout to lawmakers, "We’re not done yet. I want to urge members of both parties to do the right thing and support this deal with your votes over the next few days. It will allow us to avoid default. It will allow us to pay our bills. It will allow us to start reducing our deficit in a responsible way. And it will allow us to turn to the very important business of doing everything we can to create jobs, boost wages, and grow this economy faster than it's currently growing."

Photo courtesy of White House
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