This morning President Obama, who has rejected every offer by the Republicans that would end the partial government shutdown and raise the debt ceiling, told reporters that there is a very good chance the government will default on its fiscal obligations.
Talking to reporters at an event in Washington D.C. Monday, President Obama said the U.S. faces “a good chance at defaulting.”
“This week if we don’t start making some real progress, both the House and the Senate, and if Republicans aren’t willing to set aside their partisan concerns in order to do what’s right for the country, we stand a good chance of defaulting. And defaulting could have a potentially have a devastating affect on our economy,” the president said.
Um, why don’t he and his fellow Democrats set aside their partisan concerns? It’s almost like he wants markets to melt down so he can blame Republicans and force them to give him everything he wants. Some on his side are even admitting that’s the plan.
Throughout the government shutdown and the debt ceiling fight, President Barack Obama and the Democrats have attempted to use the specter of economic collapse to force Republicans to make concessions. On Oct. 3, President Obama even attempted to talk stock prices down–“this time Wall Street should be concerned”–not caring about the damage he might inflict on investors, pensioners, and the economy in general.
Now–with Republicans “on the run” in polls–National Public Radio (NPR), which has been a cheerleader for the Democrats throughout the debate, has admitted that there are attempts to drive stock prices down in an attempt to force a deal. “It’s almost like they’re begging the markets to react today to force the Senate into some sort of action, and then see what the House does,” said Cokie Roberts on Monday morning.
So far the markets appear to be shrugging it all off, they’ve seen this kabuki theater before. But for how long will they shrug it off?
As far as the status of any deal, the White House canceled a meeting planned for 3 PM. They’re possibly close to a deal in the Senate, but that doesn’t mean whatever they come up with will pass in the House. Hot Air has more on that, as well as a clip of Rand Paul from yesterday on the debt ceiling and the actions of the president.
Speaking of the debt ceiling, CNS News notes how Treasury Secretary Jack Lew’s testimony on how they handle federal debt pretty much meets the definition of a Ponzi scheme. That in itself should give investors pause.