You don't cut government spending in the midst of an economic crisis.

[MadHound]

Despite the rah, rah talk that we're in a period of "recovery", the fact of the matter is that millions of people are still getting hammered by the economy. Economic experts are finally saying what we've known all along, that this is the weakest "recovery" ever. The job market is still down, growth in the first quarter of this year was just revised downwards to 0.4%, and the initial growth figure for the second quarter is 1.3%, and is likely to be downgraded. Our economy is still in the tank.

Any sane economist will tell you, you don't cut spending in the middle of economic crisis, you will cause even greater economic pain, and lengthen the period of recovery. Is that what we want? Yet apparently, at least according to the latest deal, that's what we're going to get, 2.8 trillion in unspecified cuts by December of this year.

This is a disaster, this is death by a thousand cuts. Thousands, if not millions, will be thrown out of work. Our social safety net will be unraveled even further. This is, plainly put, an insane assault on ordinary Americans, an assault that is going to be blessed by both 'Pugs and Dems, including the president.

I'm sorry, for those of you who are starting to call this victory, it isn't. It is an abysmal defeat for the American people, and a serious blow to this country. There is no win here, only millions of losers.

[DCBob]

1. and you really dont want to have debt default in the midst of an economic crisis.

btw, afaik, there will be no immediate cuts.. they will be phased in over the next several years.

[MadHound]

3. I remain of the firm opinion that if this "crisis" gets pushed to the eleventh hour

That saner heads, both Dems and 'Pugs, would pass a clean debt ceiling bill. Or that the president would pull the 14th amendment trigger.

And according to the latest CNN article, yes, the cuts would come quickly.
"The agreement includes upfront spending cuts in the range of roughly $1 trillion, the sources said. A special congressional committee would recommend additional spending reductions of up to $1.8 trillion no later than Thanksgiving. If Congress failed to approve the recommended cuts by late December, automatic, across-the-board cuts -- including both defense and Medicare -- would take effect."
<http://www.cnn.com/2011/POLITICS/07/30/debt.talks/index.html?hpt=hp_t1>

One trillion upfront, another 1.8 trillion by Thanksgiving.

Frankly, at this point if this is the best deal that can be done, I'd rather have the default. Then again, I've always been a fan of dying quickly rather than death by a thousand cuts.

[DCBob]

7. I am a fan of survival.

even if it means giving in a bit.

[still_one]

8. It depends what is meant by giving in a bit. /nt

[MadHound]

9. Giving a bit? These are the largest spending cuts EVER

That's not giving a bit, that is getting our throat cut.

[Autumn]

2. The transformational President thinks

Yes we can.

[HereSince1628]

4. The right hates Darwin, unless he is

applied to economics. Then social Darwinism acting against the poor and the needy is a thing of natural perfection.

Make no mistake, this type of belt tightening is intended to be a tourniquet.

[MadHound]

6. Tourniquet hell, more like a garrotte. n/t

[Turbineguy]

5. You do if

the only way to get through to some people is to make the problem worse. Obama has enormous powers that come into play in the extreme circumstances that would result. These were powers given to Bush by republicans. And as republicans they never gave a thought to future consequences.

[Patiod]

10. Someone described government spending as "ballast"

A good point.

These people are throwing the ballast overboard, and we're going to be tossed all over the place by the economic currents.

[MadHound]

11. Tossed, hell, we're going to sink, quickly

If these spending cuts take place as promised, we'll be back in a recession by then end of the year, and will spend the rest of this decade trying to climb out.

[RC]

12. There is no real recovery because

The stimulus money went to those that cause this economic mess, instead of the victims of it.
In other words the stimulus money did not circulate through the economy to give it the boost it needs to recover. It went to cover the gambling debts of Wall Street and the Banksters. Swishing back and forth between versus pockets of the Well-To-Do.