Let's Go for Broke! Default Now!

Let's Go For Broke! Default Now!

Debt default seems academic at this point what with the announcement out of Washington Sunday night that a tentative deal had been brokered on the debt ceiling. However, the operative word there is “tentative.”

With reservations, Senate Majority Leader Reid likes it, which could and should be the kiss of death in the House. Speaker Boehner is ambivalent but believes it’s in line with GOP principles although, as a RINO, his view of those principles don’t jibe with conservative principles. House Democrat Minority Leader Pelosi isn’t sure what she thinks and will probably wait until the deal is consummated before reading it. Senate Minority Leader Mitch McConnell greased the skids for the agreement but can easily wash off the grease if it goes badly.

In sum, the vaunted deal will not become a done deal until the overweight lady sings her approbation and shouldn’t be approved since the so-called compromise accomplishes nothing substantive aside from authorizing the president to tack on a few more trillion to the federal debt.

Balanced budget? They’ll work on it. Cuts in spending? Piddling, but they’ll work on that too and appoint another toothless commission to study them. Re-structuring Medicare, Medicaid, Social Security, the most crushing crises facing America? Not even on the table.

Barring a temporary debt ceiling hike postponing the inevitable, what if America defaults Monday night at 11:59:59 p.m.?

That scenario is now unlikely since the party in favor of fiscal sanity has once again compromised and the party favoring taxing and spending the United States into financial oblivion seems about to get its way, once again, but, just for the jollies, what if we do default?

Who would be held responsible? What would be the effects of a default? Who would emerge the winner and who the goat? . . .
(Read more at http://www.genelalor.com/blog1/?p=5143)