Republican plans?

[Ishmael]

The republicans are kicking around a plan to implement should they retake the house this fall. They are discussing passing legislation that will provide a means by which the states could declare bankruptcy.

I doubt that Obama would ever sign it into law, but it would create a huge discussion across the nation. Clever idea.

Ishmael

 

[Songcatcher]

US states are breaking away. It's a matter of time.

You watch.

 

[Frisco_Slug_Esq]

Obama's not going to sign a single bill unless the McCainiacs get the Democrats to Wright it...

He's got the Republicans in a box. If they make the hard choices, they hate the poor and the middle-class.

If they don't make the hard choices, they haven't changed.

I would not waste my time on clever, subtle, or national discussions, this one's going to be played out demagogically the whole way. As long as the economy stays tanked, the Democrats and the Press hold all the playing cards; Republicans only serve to be the Fall Guys...

My bet? His approval rate skyrockets as Congress drops to single-digits.

 

[Frisco_Slug_Esq]

US states are breaking away. It's a matter of time.

You watch.

First, I have this drying paint...



Europe's proved you can keep a dying way of life on life support for a long time as long as the Barbarians haven't completely taken down the gate...

Oh. Wait... What gate?

 

[Liar]

Not familiar enough wth state v federal issues... what would be the purpose of such a law? What's the reason they think it's needed?

And also: If a state declares bancrupcy, what happens?

 

[rosco rathbone]

Obama's not going to sign a single bill unless the McCainiacs get the Democrats to Wright it...

He's got the Republicans in a box. If they make the hard choices, they hate the poor and the middle-class.

If they don't make the hard choices, they haven't changed.

I would not waste my time on clever, subtle, or national discussions, this one's going to be played out demagogically the whole way. As long as the economy stays tanked, the Democrats and the Press hold all the playing cards; Republicans only serve to be the Fall Guys...

My bet? His approval rate skyrockets as Congress drops to single-digits.

I thought checking Obama like Gingrich checked Clinton was supposed to return us to an era of late-90s prosperity.

 

[Songcatcher]

First, I have this drying paint...



Europe's proved you can keep a dying way of life on life support for a long time as long as the Barbarians haven't completely taken down the gate...

Oh. Wait... What gate?

Exactly.

Blue eyes think that way.

It happens, Chinese have the key to that gate, now.

 

[Frisco_Slug_Esq]

I thought checking Obama like Gingrich checked Clinton was supposed to return us to an era of late-90s prosperity.

There's one problem and part of Obama's plan (yes, the dreaded Cloward-Piven), even as he talks big about fiscal responsibility and tough choices down the road, he's continuing to write checks like there's no tomorrow and it's a simple strategy.

Yes, what we are doing is very unpopular, yes we will lose a battle.

We will, because we own the press and represent the elites in education, finance, and everything else that matters, however win the war, because the Republicans are going to stick their necks out at a time when the mob is angry enough to employ the Guillotine, and they're not going to blame us, because we're going to be fighting FOR their benefits and rights while the Republicans are going to be fighting for big business...

Just look over at the Doom and Gloom thread for U_D's comments this morning and you'll see how much the average voter really hates business...

 

[Frisco_Slug_Esq]

Exactly.

Blue eyes think that way.

It happens, Chinese have the key to that gate, now.

They'll have to deal with the newly energized barbarians...

 

[Frisco_Slug_Esq]

Not familiar enough wth state v federal issues... what would be the purpose of such a law? What's the reason they think it's needed?

And also: If a state declares bancrupcy, what happens?

The other 49 pick up the tab...

 

[firespin]

Not familiar enough wth state v federal issues... what would be the purpose of such a law? What's the reason they think it's needed?

And also: If a state declares bancrupcy, what happens?

The biggest reason to declare bankruptcy is get relief from debts and future contractual obligations.

For example, it would permit states to unilaterally change pension agreements that are financially unsustainable (with court permission).

 

[MeeMie]

Obama's not going to sign a single bill unless the McCainiacs get the Democrats to Wright it...

Maybe they'll have enough votes to overide his veto.

After the killing the Democrats in Congress will suffer in November at Obama's expense, I doubt those that survived will hold partisan unity against a popular strategy that would alleviate bankruptcy for some states by freeing them from union contracts.

 

[Frisco_Slug_Esq]

Maybe they'll have enough votes to overide his veto.

After the killing the Democrats in Congress will suffer in November at Obama's expense, I doubt those that survived will hold partisan unity against a popular strategy that would alleviate bankruptcy for some states by freeing them from union contracts.

Not in the Senate. Not enough seats up, design to protect the States for the passions of the mob back when the Senate being the States representatives to the Federal government and a check on the mobs was more than a polite fiction...

Now it's a worn-down speed bump that the kids use to pop wheelies in mom and pop's mini-van.

 

[statsultan]

Not familiar enough wth state v federal issues... what would be the purpose of such a law? What's the reason they think it's needed?

And also: If a state declares bancrupcy, what happens?

The biggest reason to declare bankruptcy is get relief from debts and future contractual obligations.

For example, it would permit states to unilaterally change pension agreements that are financially unsustainable (with court permission).

Right now, States have to balance their budget. They can borrow money to do it by issuing bonds, but they can't just print money like the Federal Gov't.

If States could declare bankruptcy, then the risk to loaning money to states would be much higher. So the interest rates at which they could borrow would go up. Perhaps doubling instantly. That would make it much, much harder for states to borrow money generally, whether for highway funds, school construction, what have you. As a result, States would have to set money aside for future projects, instead of borrowing. Money that otherwise would be spent on needed services and infrastructure improvements.

Bottom line would be: a) state spending decreases across the board, b) big projects would be delayed, AND c) state taxes (income, property, and sales) would increase.

That being said, its hard to see how a state like California could survive under its current set-up much further.

 

[statsultan]

One thing the Republicans could definitely do if they take the House and not the Senate, is mess with the budget. The House has the sole responsibility for determining the expenditures of the federal government. While they would not be able to repeal the legislation the Dems have passed in Obama's first two years, they could seriously mess with it by refusing to fund certain things, such as the implementation of the new Health Care bill.

 

[MeeMie]

Not in the Senate. Not enough seats up, design to protect the States for the passions of the mob back when the Senate being the States representatives to the Federal government and a check on the mobs was more than a polite fiction...

Now it's a worn-down speed bump that the kids use to pop wheelies in mom and pop's mini-van.

I know that they can't get the seats. But they could get bi-partisan votes to support state bankruptcy legislation.

My point being that there might not be partisan unity after the loss of Democratic seats due to the timing of Obama's self-preservation tactics (ie. challenging AZ's popular immigration law).

 

[firespin]

Right now, States have to balance their budget. They can borrow money to do it by issuing bonds, but they can't just print money like the Federal Gov't.

If States could declare bankruptcy, then the risk to loaning money to states would be much higher. So the interest rates at which they could borrow would go up. Perhaps doubling instantly. That would make it much, much harder for states to borrow money generally, whether for highway funds, school construction, what have you. As a result, States would have to set money aside for future projects, instead of borrowing. Money that otherwise would be spent on needed services and infrastructure improvements.

Bottom line would be: a) state spending decreases across the board, b) big projects would be delayed, AND c) state taxes (income, property, and sales) would increase.

That being said, its hard to see how a state like California could survive under its current set-up much further.

In the bankruptcy scenario, there would be much greater differentials in interest rates on a state by state basis. States with sound policy would keep a high credit rating and low interest rates. States without, not so much.

As it stands now, all states have a credit rating of A- or better. (California and Illinois bring up the rear.)

http://www.ritholtz.com/blog/2010/02/country-state-credit-ratings/

Whereas, realistically, California should be BBB at best.

 

[statsultan]

In the bankruptcy scenario, there would be much greater differentials in interest rates on a state by state basis. States with sound policy would keep a high credit rating and low interest rates. States without, not so much.

As it stands now, all states have a credit rating of A- or better. (California and Illinois bring up the rear.)

http://www.ritholtz.com/blog/2010/02/country-state-credit-ratings/

Whereas, realistically, California should be BBB at best.

The only correction I'd make to your statement is that states with sound policy would keep a relatively high credit rating, compared with other states. The possibility of bankruptcy would still cause every state's rating to drop, even if only a little. And that would increase the interest rates at which they could borrow.

 

[Wrong Element]

I thought we already knew Republican plans?


The often controversial Minnesota Republican Rep. Michele Bachmann said yesterday that if Republicans will the House in November, "all we should do" is subpoena and investigate the Obama administration.

http://www.cbsnews.com/8301-503544_162-20011464-503544.html

 

[firespin]

The only correction I'd make to your statement is that states with sound policy would keep a relatively high credit rating, compared with other states. The possibility of bankruptcy would still cause every state's rating to drop, even if only a little. And that would increase the interest rates at which they could borrow.

I don't know that the drop for the most credit-worthy would be noticeable. Corporations can all declare bankruptcy in theory, but many still carry very high credit ratings, because it's obvious they are not going to go bankrupt any time soon.

 

[unregistered]

 

[firespin]

I thought we already knew Republican plans?


The often controversial Minnesota Republican Rep. Michele Bachmann said yesterday that if Republicans will the House in November, "all we should do" is subpoena and investigate the Obama administration.

http://www.cbsnews.com/8301-503544_162-20011464-503544.html

Are you saying Henry Waxman wasted everybody's time when the equivalent mission was his whole raison d'etre in 2007-2008?

Or is your outrage over congressional oversight somewhat situational, as the saying goes.

 

[statsultan]

Are you saying Henry Waxman wasted everybody's time when the equivalent mission was his whole raison d'etre in 2007-2008?

Or is your outrage over congressional oversight somewhat situational, as the saying goes.

And that proved to be such a success, too.

Waxman to White House: You have to come here and talk to us.

White House to Waxman: No.

Waxman: But you have to. Separation of powers.

White House: Fuck you.

Waxman: [twiddles thumbs]

------------------------------

Somehow, I don't think the Republicans are going to let things end like that. Republicans have this thing that Democrats lack. What's the word? Balls. (And Sarah Palin's got a bigger set than anyone else).

I think the big guessing game is what controversy they are going to investigate first.

 

[firespin]

And that proved to be such a success, too.

Waxman to White House: You have to come here and talk to us.

White House to Waxman: No.

Waxman: But you have to. Separation of powers.

White House: Fuck you.

Waxman: [twiddles thumbs]

Well, yes.

Henry and Michelle are both idiots in their own, distinct ways.

But there was no griping from the left over Henry's initiative at the time.

 

[phrodeau]

Speaking of Republican plans, how is that repeal of health care reform going? I thought that would be Priority One Until It's Done.