Friday, December 14, 2012

The Fiscal Cliff Talks - Update

The New York Times: Reports that a meeting between President Obama and Speaker Boenher on Thursday did not look like a deal had been struck. 

Lets Get Real:

The Liberal base of the Democratic Party wants the US to go over the fiscal cliff, then tax hikes will happen for everyone and US defence spending will be hit hard.  The Republicans at the start will get the blame, the liberal main stream media such as the liberal NYT will say that is the fault of the House Republicans, but this spin will not help the Oval, if the US goes in to recession it will be a Obama recession, then the election cycle  hits, the Republicans and Democrats will start to get ready for the 2014 Mid Terms, if Obama can not deal with the Congress this will hurt Democrats in the long term, also in the 2012 Election POTUS promised that the Middle Class would not see tax hikes, well if the US goes over that cliff the Middle Class will take a big hit, and the Oval will feel its wrath.   As POTUS can not run again, and does not have a horse in the 2016 race, VP Biden will not be the next President, then Democrats it can be postulated will want some distance from the Oval, after 8 years US voters will want a change, thus Hillary Clinton is in a perfect position to seek some distance from the Oval, she was a loyal Secretary of State, thus the Obama supporters can not really attack her should see need some clear water between her and Obama.    Of course this all depends on the polls, if Obama is like a Reagan he can help Hillary Clinton, if of course if he is like Bill Clinton in 2000 and is a vote loser by the perception of the Clinton Camp they can ditch him.   In way the US election cycle is bad government but for political geeks it is great, mid way through next year expect the Democrats and Republicans to head to Iowa and NH, the election race starts all over again.