Wednesday, November 07, 2012

The US and the Economic Cliff - Post 2012 Race

Guardian: Reports on what could happen should the Oval and the Hill fail to get a deal on tax hikes and welfare cuts, the article notes the following, " The fear is that demand in the US would collapse, unemployment would head back towards 10%.... ".

Lets Get Real: 

Thus folks the Oval does not really have time to celebrate, if these talks do not work then a 2nd Obama term would be a nightmare even before it started, the whole US political system would have been seen to fail.    The Oval has to be careful, it should not try to strong arm the Republicans, Speaker Boehner has a very conservative group, they have been elected just like POTUS, and they face election in 2014.  They might not be in the mood to deal, on the other hand the Democratic base will go up the wall should POTUS agree to major welfare cuts, they just want tax hikes.  Lets see who blinks first, its a game folks, but a game that could destroy the US economic system.   Things are going to get serious folks. 

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