Sunday, September 29, 2013

The Widening Divide - Phase II


What’s New?
Posted by Wiley, 09/27/13
There are anti-Government groups and individuals who believe the worst rumors, gossip, and outright lies about the President  of the United States and his policies.  Such beliefs reflect the growing divide in the United States in this 21st Century between Democrats and Republicans (the ”Left” and the “Right”), the rich and the poor; and the rich and the middle class. The disparity between the rich and the middle class has increased the most: the richest Americans (90th percentile), went from making a median of $85,800 in 1967 to $138,900  in 2010– a 62 percent increase. Median income households went from $40,800 in 1967 to $49,400, just a 21 percent increase!  The middle class is hurting! 
What’s new is really old: the racial divide. When the White woman at the town hall meeting in 2011 said, “I want my Country back!”, she was making in essence the charge leveled in the trial of the Scottsboro Boys in 1931: a Black man took it from me!   Does “race” make “compromise” more difficult, or does race and compromise become words to avoid if you are trying to force people to accept your anti-Government views? 
Under the anti-Government agenda, there is no room for compromise because in their view, they are right and all others are wrong.  People in the T-Party are urging their elected members in the Congress to shut down the Government unless the Government agrees to their demand to defund the Affordable Health Care Act, a new law designed to help the poor and the middle class.
Posted by Wiley, 09/27/13
Surely, the threat of a Shutdown will induce the President and/or his Party (the Democrats) to repeal the Affordable Health Care Act (AHCA); surely, repealing the AHCA will reduce the disparity in income between the rich and the middle class. 
SURELY NOT because the T-Party members have a higher goal: they want their country back!  Damn the cost! In the meantime, many anti-Government advocates are circulating petitions to secede from the U. S. A.  The T-Party is taking the Republican Party back to the 1948 South and the States Rights Dixiecrats!


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Monday, March 25, 2013

DEBT CEILING DEALINGS...A NEW BEGINNING?


Prologue   


In a chess match of the imagination in the movie Star Wars, R2-D2 (Artoo), the round little genius droid was about to win the match with the giant Wookiee, Chewbacca, aboard the spaceship Millennium Falcon when the pilot, Han Solo, says to the effect: Wookiees can’t take losing to an entity they consider to be inferior. When Wookiees lose they’ve been known to turn violent and proceed to dismember the opponent – tearing off arms and legs!  Hearing Solo, Artoo's droid pal C-3PO advises him to “Let the Wookiee win!”
          
Hostages & Ransoms 

          After losing the 2012 political elections, the Republican majority in the House of Representatives  began threatening to HOLD THE RAISING OF THE DEBT CEILING  HOSTAGE to force the Democrats in the

Table 1.  Shows Wiley's view of the hostage and ransom goals of the GOP.                                      
 Government to agree to GOP RANSOM DEMANDS for reducing the debt.   Refusing to raise the DEBT CEILING prevents the Country from being able to pay its debts.  The GOP talks about the debt as if it was the  "Death Star" from "Star Wars", crying out that the debt and spending are out of control; yet they are prepared to allow the Country to really lose control if it defaults on paying its debts. The United States has a nearly 100-year history of debt ceiling and budget fights which include 18 federal government shutdowns between 1976 and 1995.  However, none of these prior episodes produced chaos in the financial markets (Short History...) or any speculation of  default. What is different today?









         WHAT IS DIFFERENT TODAY is the number of GOP members who have signed a “Taxpayer Protection Pledge” (219 in the House) against increasing taxes and for whom COMPROMISE APPEARS OUT OF THE QUESTION.  The new mantra is BALANCING the Federal Budget in ten years by CUTTING Government spending.  For many in the GOP, a shutdown of the Government is not out of the question.  In addition,  IF early GOP forays into HOSTAGE TAKING ARE SUCCESSFUL, they will attempt to "DISMEMBER" the Executive Branch by eliminating (repealing) or weakening those components and laws with missions they do not support:  for example, The Environmental Protection Agency, The Education Department,  the Dodd-Frank Financial Law,  and The Affordable Care Act Health Law.  The GOP will attack with FILIBUSTERS, ADDING UNLIKELY TO PASS AMENDMENTS and DENYING FUNDING to reduce their capabilities.

       There were CHEERS from the GOP when the SEQUESTER CUTS were implemented; however, if not stopped, those cuts will begin to create problems in GOVERNMENT contracts with PRIVATE INDUSTRY.  The problems will occur primarily where there are changes in purchase orders, as well as production and delivery schedules which will adversely impact costs and personnel (jobs).  Both the House and the Senate recently passed the Continuing Resolution that keeps the Government funded for the next 6 months and removes it as a possible hostage. The Debt Ceiling (delayed until May, Washington Post) may be a problem.

         Here is Wiley's question: How will the Government accomplish anything if Hostage Taking becomes the primary operational strategy of the minority in the Congress to prevent the majority from governing?  Wiley is hopeful that such a strategy will not become the norm, and that persuasion will prevail.  If not, majority rule itself would be challenged --- leaving everyone wishing it was just a chess match they were watching in a galaxy far, far away!



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