The US government reached its official debt ceiling on Monday, as White House and Congressional Republicans and Democrats intensified their push for historic cuts in social programs and in pay and benefits for governments workers.
The federal government has said it will be able to continue financing operations until early August under the old limit through various accounting measures. Treasury Secretary Timothy Geithner announced that the government would delay payment into two government employee retirement funds and borrow funds from one of them.
The debt ceiling will be used to blackmail the population into accepting draconian cuts in social programs. Treasury Secretary Timothy Geithner called for Congress to raise the $14.3 trillion limit quickly in order to "avoid catastrophic economic consequences for citizens."
Vice President Joe Biden is chairing meetings by a group of Democratic and Republican congressional leaders aimed at reaching an agreement to raise the debt ceiling. Republicans have called for cuts equal in magnitude to any debt increase (i.e., $2 trillion in cuts for a $2 trillion increase). Obama has already committed the administration to trillions of dollars in cuts over the next decade.The two major political parties are going to work together to serve the corporations and screw the people. (And on "screw" -- it is not the same as rape and the various men making 'jokes' about the IMF sex scandal? Try grasping that fact.)
We can't trust them. And we especially can't trust them when they decide to work together on the economy. That's how Social Security benefits get cut, the age of retirement gets raised, etc. We've seen this all over and over. And it's past time that we said: ENOUGH.
The government has to be made to work for us. If that's what we want to see happen, I think protecting the safety net is the battle to pick because they want to gut it.
Two biggest economic stories right now? I vote for this:
And for this related bit:
And how does the economy recover with that? I don't see it. Nor do I see a desire on the part of the administration to help the economy recover.
Pretty soon we may all be like Shenehneh (Martin Lawrence) in Skank Robbers -- grabbing a gun and hitting a bank while explaining/apologizing, that we just couldn't keep waiting for the stimulus. (If you've seen the sketch from the 2009 BET Awards, you know what I'm talking about.)
This is C.I.'s "Iraq snapshot" for Tuesday: