Economy

Jun 30, 2011

US creditors wait, Obama thundered, but Republicans didn’t listen

Barack Obama needs to pull a rabbit out of his hat quickly before the game of debt brinkmanship in Washington damages more than just his own legacy. His stance today didn't help, Harley Dennett reports from DC.

Barack Obama needs to pull a rabbit out of his hat quickly before the game of debt brinkmanship in Washington damages more than just his own legacy.

9 comments

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9 thoughts on “US creditors wait, Obama thundered, but Republicans didn’t listen

  1. Gavin Moodie

    Yes, the Republicans’ behaviour seems beyond their normal irresponsibility. Last time Obama laid off federal workers and Congress staffers but continued paying Congress representatives. I would stop paying Congress representatives.

  2. Delerious

    oh good idea Gavin Moodie. I was going to say it is interesting how Greece was told to raise their taxes to stave off debt and the Republicans (strange economic ludites) are totally apposed to it in their case. I wonder how the GOP see the USA getting out of debt.

  3. Jim Reiher

    The Republicans in the states seem to be behaving a bit like our Conservative opposition here! Both can smell electoral success and both are prepared to oppose everything they can to force a crisis.

    Both are utterly irresponsible – they are willing to hurt the nation (in the USA case they are prepared to hurt much of the trading world!) for short term political gain… and what will they gain?…

    They might win the next election, even force an early one, but then they will have to do the very things they are opposing now. Great hypocrisy from power hungry people.

    Conservatives who are prepared to hurt their fellow countrymen and women, for their own short term gain are a very nasty lot. Both here and in the USA.

  4. gregb

    Thing is, if Obama calls the Rethugs’ bluff and they send the world’s economy into chaos, Obama will cop the blame. Just like he folded last year before the budget deadline, he’ll fold now and give the Rethugs what they want. My sympathy with the American middle class will be non-existent – they brought this on themselves.

  5. Gavin Moodie

    Bill Clinton had a similar stand off in his first term. He started closing down the federal administration and federal services. After some initial annoyance with Clinton, public sentiment turned strongly against the obstructionist Republicans, the Republicans caved, the economy recovered and Clinton comfortably won a second term.

  6. michael crook

    As pointed out previously here, it is very difficult to deal with people who dont give a f..k if they destroy everything, something which the US Republicans have had a lot of esperience in.

  7. CHRISTOPHER DUNNE

    Ever since G W Bush decided to give the wealthy huge tax cuts, (and then expand military spending with a couple of wars), the American middle class has been shouldering a heavier burden. Then came the big recession as a result of Wall Street’s excesses and that same middle class has been pole axed to its knees.

    Now that they are utterly beholden to the Tea Party, the Republicans have to decide whether they incur their wrath or that of the majority of Americans who know who it is that have crushed them (while exempting the rich).

    Obama should hold his nerve and stare them down.

  8. AR

    A couple of years ago it was confidently said that amerikans wouldn’t continue paying more than $2 a gallon (US gallon=3.6 litres) for petrol – it is currently in excess of $4 (still less than we pay here – approx A$1.06 a litre given our supa-dupa exchange rate) yet there is little blood on the street, yet.
    Wouldn’t it be a hoot (I’d happily buy tickets to watch) were the IMF to step in with its usual noxious nostrums, for lesser countries, tax rises, welfare cuts, privatise everything in sight.. oh, wait…

  9. Tracey D

    President Obama has a lot of questions to be answered. Moreover, lots of problems are needed to be solved by his administration. One of these is the country’s blooming debt. President Obama addressed the debt ceiling in a White House press conference Wednesday. He was especially critical of House republicans not willing to increase the debt ceiling if taxes are elevated. “Get it done,” Obama said, counseling congress to “take on their sacred cows.”. Responses to the press conference seem predictably to be split along party lines. Without a debt ceiling boost, the federal government won’t be able to get a payday loan whenever they want to.

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