Debt Deal Ignores Jobs, Housing and Growth

Ali Velshi from CNN does a nice job outlining what this debt ceiling deal won’t do:

BLITZER: Is this deal, Ali, so much focusing in on America’s AAA credit rating, but at least in the short run, do you think it’s going to spark this U.S. economy and we’re going to see some growth, some job creation?

VELSHI: No, because this was not the problem. While Republicans and Tea Party members have been very effective at painting this as the single biggest problem that the U.S. economy is facing and that helped them succeed in the last mid-term elections, economically, it isn’t. It was always a distant second to jobs and economic growth. So the problem is we’ve got way too many unemployed people.

Look, there’s three things affect you, right, your ability to earn a living, your ability to have your investments increase in value, and your home. This isn’t going to do anything for housing whatsoever. This does nothing for jobs. And in terms of investment, all this has done is cost us because of this game they’ve been playing in Washington. So no.

But, but, but what does this have to do with who won and who lost? MSNBC is telling me that the win/loss debate is more important than the substance of the policy. I’m so confused and frightened.

Print Friendly
This entry was posted in Economy and tagged , , , , . Bookmark the permalink.
  • mrbrink

    The win/loss tug of war is a perfect example of our pitiful media discourse.

    We didn’t default. Cuts are phased in at the same time as the Bush tax cuts are set to expire.

    It’s not so bad.

    • http://www.politicalruminations.com/ nicole

      Really, not so bad at all if you read the damn fine print. Still trying to figure out why Republicans agreed to this since Obama comes out ahead.

      • http://twitter.com/KidDynamo0 KidDynamo0

        I think they realized that most folks won’t read the fine print and they could spin it in their favor no matter what. Sadly, they were right.

        • http://www.politicalruminations.com/ nicole

          True that. Still we have to push back, and not allow them to get away with it.

      • http://drangedinaz.wordpress.com/ IrishGrrrl

        Cuz they’re idjits?

    • Ned F

      I expect a new hostage situation that will stop the Bush Tax cuts from expiring.

      • drsquid

        Republicans will never stop taking hostages now that they’ve tasted the blood of the one they shot.

      • http://www.politicalruminations.com/ nicole

        If it occurs, which it won’t if we vote in a new Congress in 2012, it wouldn’t happen until after the election and I think you can expect Obama to be much less tractable in his second term.

        • http://drangedinaz.wordpress.com/ IrishGrrrl

          I think, I hope, you’re right about the “tractability”. The second term may very well be where Pres. O actually affects the country most in the long run….if he can get workable numbers in Congress.

  • http://www.politicalruminations.com/ nicole

    Okay. Would a clean increase of the debt ceiling have done anything to create jobs? Or a better economy?

    The fact is that the way the deal was structured ensures that it doesn’t slow growth by making immediate cuts. With the teabagger congress, that appears to be the best we can do.

    If we wanted a clean increase, if we wanted stimulus, we (the mopes on the left who sat out the 2010 election) should have gone to the polls in 2010 and voted for what we wanted.

    Also, this is worth reading. http://www.thepeoplesview.net/2011/08/paul-krugman-is-political-rookie-or-how.html

    • JMAshby

      I think the concern is that there still wont be any movement in the economy by 2013.

      We really must restore a Majority of Dems to the House next year so their very first act as majority in January of 2013 can be a jobs bill., because we aren’t going to get any jobs bills out of the current House.

      As long as we have a Republican-controlled House, there is virtually zero chance legislation that actually helps unemployment will pass. Zippo.

      • http://rob.yurkowski.net/ Rob Yurkowski

        The corollary here, though, is that the refrain up until that point has to be ‘Where are the jobs you promised, Mr. Boehner?’ — even through whatever crisis the GOP paints next.

        • http://www.politicalruminations.com/ nicole

          Yes.

        • http://twitter.com/bphoon Brian C

          Remember when “…jobs, jobs, jobs…” was Job #1? I do. It was 2010. Nice line, huh? Too bad that’s all it was…a line. A really assholish, boorish pick-up line.

          If MSNBC has any nuts at all (debatable, I know), they’ll run a non-stop “Where are the jobs?” graphic under Boehner’s, Cantor’s and McConnell’s faces in the corner of the screen from now until after the election…

      • http://www.politicalruminations.com/ nicole

        You are exactly right. If we want jobs, stimulus, education funding, we need a Dem congress.

      • http://www.facebook.com/profile.php?id=1432102542 Tim Neuenhaus

        Their very first act will be a jobs bill that has necessary funding for infrastructure, education etc… Then by the time the republican filibusters are over and the bill ends up being about mostly tax cuts the republicans can whine about how businesses won’t hire because they need even lower taxes and that Obama makes things uncertain.

        Original bill – $800 billion for infrastructure and other jobs programs.

        Amended bill – $750 billion in corporate tax cuts and subsidies and $6 billion for highways, bridges, airports, rail lines with the remaining $44 billion held in reserve until 2095 for the new fighter jet that flies with an xbox controller.

        • JMAshby

          So you’re giving up over a year in advance?

          That is way too much cynicism for an afternoon.

  • MrDHalen

    The Republicans really lost on the Social Security & Medicare fronts. Democrats will still be able to go out there during campaign season and beat the Republicans over the head with The Ryan Budget. Plus, the Bush tax cuts are still set to expire.

    We lost more momentum for the economy, but that was going to happen anyway. This is a good deal considering crazy people we’re bargaining with.

    • http://drangedinaz.wordpress.com/ IrishGrrrl

      It may be that the Economy was screwed no matter what the Fed Govt did this year. No one is REALLY addressing the second wave of foreclosure housing and continuing to drop housing prices. Plus the lack of job growth (which as dismal as it might be in light of the debt ceiling debate it would have been bad regardless because businesses are simply NOT investing the cash they have on hand). So the economy improving until 2013 may have been written in stone–that’s been my opinion for the last 6 months anyway and perhaps Pres. O knew it too.

    • http://twitter.com/SugaRazor Razor

      It’s really sad that our political discourse has become, “well it was the best we could do considering a small group of crazy people with significant power.”

  • Ned F

    This whole shift in focus to deficit reduction has nothing to do with jobs, never has. The situation with the FAA is proof of this.

  • http://www.facebook.com/profile.php?id=1432102542 Tim Neuenhaus

    Are you challenging power Bob? Cenk did and he was banished, you need to get on board with MSNBC and their no challenge to power otherwise you’ll get no interviews with the Whitehouse.

  • http://drangedinaz.wordpress.com/ IrishGrrrl

    I’m so confused and frightened.

    And that’s exactly how they want you to feel.

  • Dan_in_DE

    .. one piping hot shit sandwich, coming right up!

    Looks to me like it’s the Right that got the really raw end of the deal – thanks to what Chris Hayes calls deft fineprint jujitsu. Here’s a pretty good rundown off the shit sandwich the R’s are nashing on tonite. The article at that link however, is another great example of the – let’s call them the rational left (as opposed to the firebagging left) being way to catty and disrespectful to Paul Krugman.

    K-Thug’s article may sound a little to hard on Obama for your taste, but he certainly has earned the right to bring some measured criticism, and his analysis is simply correct. Obama did cave in from his ‘balanced approached’ position, and he is allowing draconian cuts in some yet unspecified discretionary spending, and putting us in a fiscal strait jacket at the worst possible time.

    • Dan_in_DE

      So it’s shit sandwiches all around.. and Paul Krugman is highlighting that which he finds most disappointing about it. It’s not like he expected any better from the Right, so he’s mainly disappointed with Obama and the Dem’s.

      I’m saying, instead of firing up the tired (and really fucking disrepectful) ‘Krugman should stick to economics’ meme, why can’t we just admit that everybody got a shit sandwich here. And at the same time we can heap scorn on the tea bagging Right for having held the entire US economy hostage, and still walking out with nothing gained.

      • http://drangedinaz.wordpress.com/ IrishGrrrl

        Well the worst part of the Shit Sandwich is the fact we now have to depend on this “Stoooopercongress to the Rescue!!!!” idea. If the regular john-won’t-you-blow-me congress couldn’t figure out a tax/revenue deal before a smaller group of them sure as hell won’t be able to do it at some point in future.

      • http://www.politicalruminations.com/ nicole

        I agree on the Krugman thing, but I don’t think we really got a “shit sandwich”. At all.

  • Lexamich

    As a mental health specialist, I suggest ignoring all cable “news” for the next two weeks if not for-ever.

    However, I know most of you do indeed enjoy your daily political wonkery fixes, so personally, I’d suggest watching Maddow and nothing else.

    Do whatever you disposed to do.

    Just don’t complain about how idiotic the cable news apparatus is or has become.

    The fool that watches fools be foolish is too foolish to fool.

    Hear that?

    If you’re looking for confirmation of your worst fears regarding the quality of something, chances are you already know what lies ahead.

    This includes that debt ceiling bill passed.

    I know there must be debating, grousing, consensus, and acceptance.

    It’s just…nothing is getting done, and the more the media encourages these political stunts, the more apparent it will be that we’re the audience.

    Did any of you actually enjoy watching the spectacle?

    I mean, it was funny watching Boehner attempt to be a hard-ass after Cantor (himself a weaselly little runt) punked him out. Oh, and McConnell just needs to sit his ass down and never talk about “leadership” ever again. He actually hid behind Harry Reid for a week and a half after that idiotic proposal of his.

    But really…did any of this nonsense entertain?

    See, that’s what MSNBC is encouraging with the “win/loss” nonsense.

    It’s one big game of CBS’s Survivor show, ain’t it?

    Anyway, cease the cycle. Go watch Netflix or something. Ignore the tomfoolery.

    Bye, y’all.