Breaking News(speak)

Breaking News(speak)
written by Ilana Mercer on 07.29.11 @ 8:28 pm

Wow: Republican wizards have passed a bill in the lower chamber that will both raise the debt ceiling and slash spending! The marvels of modern semantics. Meantime, BHO is tweeting like a twit possessed, urging Americans to work their representatives over so that a deal can be struck, and a disaster averted. The disaster: a rise in the interest rates on all the stuff they have borrowed. BHO's re-election hinges on happy spenders. (Even if it's splashing out at the One Dollar Store.)

It's remarkable what politicians putting pen to paper can achieve, isn't it?

The marvels of an alternate reality notwithstanding, interest rates are long overdue for a correction. Political will is what's keeping interest rates low or at zero, the premise being that buying and consuming is what generate economic growth. Keynesian crap, if you'd pardon my language. If interest rates rise, savers will be better rewarded. Capital for future investment can be accrued.

In his wonderfully learned book , The Failure of the 'New Economics, Henry Hazlitt summed-up the essence of Keynes' General Theory: "The great virtue is Consumption, extravagance, improvidence. The great vice is Saving, thrift, 'financial prudence.'" Duly, Obama has vowed to make credit flow "the way it should." Never mind that "all credit is debt," and that, in Hazlitt's words, "proposals for an increased volume of credit are merely another name for proposals for an increased burden of debt."

The Newsspeak Via National Journal:

Nearly two hours after the House narrowly approved House Speaker John Boehner's debt-ceiling bill, the Senate voted 59-41 to reject the speaker's plan, leaving Congress no closer to reaching agreement before the August 2 default deadline.

The vote did not kill the Boehner bill itself, allowing it to be used as a vehicle for a later compromise.

But Senate Majority Leader Harry Reid, D-Nev., and Senate Minority Leader Mitch McConnell, R-Ky., appeared at an impasse late Friday on negotiations on a Senate bill to raise the debt ceiling. As a result, Reid introduced new language to tighten his original proposal in the hopes of gaining more Republican support on a cloture vote on his legislation expected early Sunday.

According to a memo from his office, Reid's latest proposal would increase the deficit reduction over 10 years from $2.2 to $2.4 trillion, with a "dollar to dollar" increase in debt ceiling based on a proposal originally authored by McConnell to fast-track resolutions of disapproval to allow the president to raise the debt ceiling with the political liability falling on Democrats.

In his defense, Harry gets his meager savings by "winding down the wars in Iraq and Afghanistan which Republicans decry as budget gimmicks."

I hope that every one of the already stale Tea-Party freshmen who refused to quit the wars to save some money is tossed out of office.

You know guys, it's "Hard out there for an Ex-Pimp."

http://www.youtube.com/watch?v=0ARG9BXUZSc&feature=player_embedded


http://barelyablog.com/?p=40278