Obama to sneak debt limit hike through while Congress is gone

Obama: Time for more debt (REUTERS/Larry Downing)

Using a loophole in the budget agreement reached back in August, President Barack Obama hopes to sneak an increase in the debt ceiling through while Congress is out on recess and can’t vote to stop it.

The deal reached back in August to avert a government shutdown allows the President to automatically raise the debt limit cap unless Congress votes to to block it within 15 days of the hike.

White House sources tell Capitol Hill Blue that Obama will set a hike by the end of the week and with Congress not due back from the holiday recess until January 17 the 15 days will come and go with little chance for lawmakers to do anything but bitch and moan — which some will surely do.

The government is within $100 million of the current $15.194 trillion debt ceiling and Obama will set the increase to $16.394 trillion to help cover $82 billion in interest due by December 31 on the current debt and the escalating costs of Social Security and other entitlements.

Even if Congress finds a way to come back before Jan. 17 and vote down the increase, Obama can still veto the measure and the a two-thirds vote would be necessary to overturn it.

“The President’s timing is not a coincidence,” a senior aide told Capitol Hill Blue Tuesday.

Enhanced by Zemanta

30 Responses to "Obama to sneak debt limit hike through while Congress is gone"

  1. Baal  December 28, 2011 at 4:30 am

    Gee, Holy G.W. Bush Batman!!

  2. SDRSr  December 28, 2011 at 9:29 am

    LOL, the Tea Party’s tea will be cold. HAHAHAHAH

    • Almandine  December 29, 2011 at 8:17 pm

      So the country… you and me… find ourselves in debt to the tune of >100% GDP, the next increment raising that debt to 110%, and you find it appropriate to turn it into a slap at the Tea Partiers.

      HAHAHAHAH sounds stupid and idiotic, ya know?

  3. Rick  December 28, 2011 at 10:11 am

    Do we get airmiles on that debt? 16.5T airmiles! Half the country can go to Hawaii and the freaking islands will sink.

  4. Carl Nemo **==  December 28, 2011 at 2:09 pm

    Yet when a Ron Paul proposes to cut one trillion in spending beyond our means “every year” he’s labeled as an odd ball, a quack, crimpol and worse by those that seemingly enjoy the status quo of this failing national paradigm.

    Here’s a link to his “Restore America Plan”.

    http://c3244172.r72.cf0.rackcdn.com/wp-content/uploads/2011/10/RestoreAmericaPlan.pdf

    I’ve read the document and it’s doable, but not without some pain on the part of ‘fatcat’ federal employees taking a ‘haircut’ like the rest of the working stiffs that support this ongoing government wastage, pilferage and largesse.

    What’s interesting is that he’s the only candidate that’s published a comprehensive, doable plan to turn the USS America about from a terminal encounter with a financial iceberg field.

    I’ve made a firm decision to vote for the man if by the grace of the God he should get the nomination which is seemingly remote, but if so I’m convinced he’s better than anything else offered us to date. My wife and I foolishly voted for “Mr. Change we can believe in” as many Americans, now paying the supreme penalty for having this ‘do nothing in chief’ in the White House. We know he’s cleared to shoot ‘hoops’…no? Woop…wooooop! / : |

    So here we have this President, pulling off some legislative shenanigans which will actually be welcomed by our entrenched duopolists on both sides of the aisle, since it will take them off the hook for while longer while they kick this issue of our imminent financial destruction down the road. Of course their kvetching upon their return to D.C. in January will all be staged, high theater for their braindead constituents.

    Do we want more of the same until hyperinflation breaks out, we have sovereign default along with rioting and blood running in the streets while our ‘mattoid in chief’ whomever other than Ron Paul declares martial law to roundup the malcontents that have lost their homes, fortunes and seemingly eventually their lives too at the hands of these political miscreants, traitors all, to the Republic and the Constitution for which it stands?! : |

    Carl Nemo **==

    • Bill Cravener  December 28, 2011 at 4:33 pm

      “Yet when a Ron Paul proposes to cut one trillion in spending beyond our means “every year” he’s labeled as an odd ball,”

      Propose, and if that little old odd ball of a man were at the helm that’s as far as it would ever get.

  5. Gregg  December 28, 2011 at 4:58 pm

    Yes, Bill, Ron Paul is an old odd ball wanna be at the helm.

    A trillion cut proposal?

    Care to break that down for us?

    • Carl Nemo **==  December 28, 2011 at 8:38 pm

      I’m assuming the reply was directed at my post along with your possible concurrence with Bill Cravener? Then again I may be mistaken.

      Regardless…

      I suggest you both take some time to read over Paul’s .pdf proposals supplied in my lead reply to this article.

      Granted he won’t be able to dissolve certain branches of the government etc., but as “Commander in Chief” of our armed forces he can pull the plug on our foreign adventurism in far off places that simply provide the MIC with warfare/welfare. It’s literally killing this nation. We cannot afford to maintain a worldwide offensive posture against ‘terrorists’ everywhere and anywhere unless the world governments want to pay for our protection against such societal malcontents on an international level; I.E., turn the war on terror into a profit center rather than endless taxbase, bloodsucking, enterprise as it is now.

      We need to move back to a pre PNAC influenced, pre 9/11 national defensive posture with offensive tactics simply used for theater combat situations. It’s impossible to police planet earth especially on the part of a nation that for all practical purposes is already bankrupt; I.E., the United States of America. Believe it…! : |

      Carl Nemo **==

      • Bill Cravener  December 29, 2011 at 4:56 am

        Carl, I do not believe even the President of the United States has the power to end all our misguided endeavors overseas. I think it delusional to think that RP could simply say “we’re bringing them all home”. There’s much more to it then the words spoken by a politician who wishes to be king.

  6. Sandune  December 28, 2011 at 5:50 pm

    If we can give Paul a Congress to go with his agenda he might just be effective. Try not to fill it full of religious zealots who will remove what is left of our freedoms. The current litmus test is to prohibit so many actions of our citizens to make it riding high on the inquisitions. If this can’t be done, I will stick to Obama and hope he can change his ways.

    • Carl Nemo **==  December 28, 2011 at 8:27 pm

      “I will stick to Obama and hope he can change his ways.” …extract from post

      Obama change his ways? It would be expecting a leopard to lose his spots, a zebra their stripes or a wolf its howl. It’a demonstrated fact that people rarely change their ways once adults unless a life-changing event occurs; I.E., surviving a bout with cancer, a divorce, or a trip to pen with hard downtime etc., but generally speaking it’s not going to happen. The die is cast generally speaking past age seven per psychological studies on human development and in some cases even earlier.

      The Obama we have today is the Obama or worse we’ll have several years from today if reelected. My wife and I along with millions of others took a chance on this “Mr. Change we can believe in guy” and he’s turned out to be a total bust.

      *****

      Fool me once, shame on you, fool me twice shame on me!…Chinese proverb

      *****

      Carl Nemo **==

  7. Carma  December 28, 2011 at 9:34 pm

    Do you folks honestly sit around blaming the government spending for this mess?? You can look back at history guys and see where everything about this country went awry. No, the government shouldn’t have to support all the poor people, but the reason we still need that money is for MORE regulation. The kids ran away with the cookie jar on Wall Street, in the insurance industry, in the pharmaceuticals industry, in the higher education industry, in lots of areas, because the lobbyists for those industries “convinced” our legislators to stab us in the back and not do their jobs. It really is not about how much our government spends, it is about how much has been STOLEN by the ultra-wealthy from the rest of us. If Ron Paul could ever convince me he is not one of THEM, I might care what he has to say. To date he has not. And the only thing Newt Gingrich should run for is the role of anti-christ. If you care at all that a lot of people are hurt and hurting through no fault of their own in this country, you will give Obama a chance to finish what he has started. At least he actually comes from the same place as most of the voters, as opposed to the conservative slate, which is full of a group of 1% wealth holders for the most part. Herman didn’t have enough money to hang in after all…

  8. woody188  December 29, 2011 at 2:10 am

    They’ve flipped the law on its ear. The Executive now has its hands on the purse strings. It’s now the Executive that will expand the debt, and has the ultimate power with his veto to strike down any bill that attempts to stop him.

    Welcome to debt slavery.

    Apparently the only reason to keep the Legislative around is to appease the people into believing they still have a say in things and to have them fight over the scraps of left over pork to satiate the masses.

    Need more money to run the government?

    The President declares there is more money available.

    Can’t get your carbon tax rammed through the Congress?

    Just have your EPA declare carbon dioxide, the gas all plants use in photosynthesis, a dangerous pollutant.

    Want to go to war but can’t get a resolution from Congress?

    Declare a police action and call it a matter of national security. You need only report your reasons to Congress after 60 days. Or you can just ignore that law like Obama did. Reporting to those old fuddy duddies is such a waste of valuable Executive time.

    Want to silence your political opposition?

    Label them terrorists and either assassinate them or lock them up indefinitely. Might as well assassinate their children too. That will send a strong message.

    The Executive has taken total control. The checks and balances, the hallmarks of our system of government, are now gone. Richard Cheney was successful in ushering in the era of the Unitary Executive. Make no mistake, the United States is now a military dictatorship.

    Those smart enough to see the truth about elections know they can be rigged either during the counting or by the candidate selection process. Just look the abysmal candidates for President in 2012.

    So where does this leave the patriots of this nation?

    “The liberties of our country, the freedoms of our civil Constitution are worth defending at all hazards; it is our duty to defend them against all attacks. We have received them as a fair inheritance from our worthy ancestors. They purchased them for us with toil and danger and expense of treasure and blood. It will bring a mark of everlasting infamy on the present generation – enlightened as it is – if we should suffer them to be wrested from us by violence without a struggle, or to be cheated out of them by the artifices of designing men.” – Samuel Adams

    Fight the good fight brothers. We may be small, but we are determined and our numbers are growing. Our guns are our minds. Our ammunition is knowledge. Spread the truth and watch it burn in the hearts of our friends and neighbors like a wild fire out of control.

    Woe unto the men that might dare try to silence our message of freedom and liberty. It is their souls that will be consumed in the pits of Hades. What God has given us, no man shall cast asunder!

    • Carl Nemo **==  December 29, 2011 at 5:23 am

      A stunning piece of writing Woody188. I concur whole-heartedly. : )

      Re: Our government run amok!

      *****

      “If you silence the truth and bury it underground, it will grow and gather such explosive power that the day it bursts through it will blow up everything in its way.”…Émile Zola

      *****

      Carl Nemo **==

    • Almandine  December 29, 2011 at 8:21 pm

      There you go again… deserving kudos for the best.

      • woody188  December 29, 2011 at 10:35 pm

        I only wish I had your or griff’s talent. I don’t want to be “best.” I only want to crack open skulls with words and let the light of truth into people’s minds. That is an incredibly hard task in these times. It’ll take all of us to pull it off.

        • Almandine  December 30, 2011 at 10:58 am

          And that, my friend, is why we do it.

  9. Sandune  December 29, 2011 at 9:33 am

    Woody has a habit of crossing the finish line with some very good words of advice. I’ve never voted for a Democrat in my entire (long) life but those Republicans scare the itshay out of me.

    At least we know what President Obama will try to do. The GOP sounds more like they will nuke the crap out of Iran at the first burp from that part of the world.

    I will not willingly walk into the world of Armageddon behind any one of those Republicans. Why do I think Ron Paul will end up running as an independent when the final votes are cast? The problem is that he has no backup from the house or senate. He may end up as a dictator by his own supporters. He has had years to work on his legislative support and for some reason he has done nothing. We have many Constitutional experts who should be supporting Paul, but they chose to let him run alone.

    Some day he might expand his base to bring in men like Jonathan Turley et al and take his campaign all the way to the finish line.

  10. Almandine  December 29, 2011 at 8:14 pm

    For a long time, my posts ended with “Collectivism is Slavery” …which is true,

    but I should have added “Fascism is Slavery” which is equally true and more apropos today.

    • woody188  December 29, 2011 at 10:31 pm

      Your first day of slavery is the day you stop fighting.

      Gotta get off this soap box before the drones get me. :shock:

  11. Senegoid  December 30, 2011 at 6:09 pm

    “Wherever Law ends, Tyranny begins.” John Locke.

    Debt is slavery, and now the US has to borrow ($82 billion) just to pay interest due. What does that tell you?

    And who will lend $82 billion to the US? Looks like more printing.

    Benito Mussolini: “Fascism should more appropriately be called Corporatism because it is a merger of state and corporate power.”

    Fortunately, at this stage of the game the USD is still the world’s reserve currency, although the BRIC countires have started to make their own arrangements thus bypassing the USD.

    The question that one might ask is what will happen when the USD is no longer the reserve currency, and all those greenbacks, scattered around the globe, go looking for a home?

    Think velocity.

    Many trillions of US dollars all competing for same hard assets: food, energy, PMs etc.

    As Kissinger said back in the 1970’s, ‘Control the oil and you can control entire Continents. Control food and you control people…’

    Maybe the debt ridden plebs will gladly front up at corporate run “family centers”, just to get a feed, and a roof over their heads.

    “Banality of evil is a phrase coined by Hannah Arendt and incorporated in the title of her 1963 work Eichmann in Jerusalem: A Report on the Banality of Evil.[1] It describes the thesis that the great evils in history generally, and the Holocaust in particular, were not executed by fanatics or sociopaths, but rather by ordinary people who accepted the premises of their state and therefore participated with the view that their actions were normal.” – Wiki.

  12. Senegoid  December 30, 2011 at 7:00 pm

    Food for thought:

    New Asian Union Means The Fall Of The Dollar

    “This means that the two largest foreign holders of U.S. debt and Greenbacks will soon be in a position to tap into an export market far more profitable than that of America, and that all of this trade will be facilitated by currencies OTHER THAN THE DOLLAR. It means the end of the dollar as the world reserve and probably the end of the dollar as we know it…

    My hope is that as our predictions in the alternative economic community are proven correct with every passing quarter, more Americans will take note, and prepare. I can say quite confidently that we have entered the first stages of the catastrophic phase of the economic implosion.”

    http://www.zerohedge.com/news/guest-post-new-asian-union-means-fall-dollar-0

    • Almandine  December 31, 2011 at 3:53 pm

      It has all been coming into stark relief since Greenspan bubbled housing to replace the Dotcom bubble. 2008 was the kickoff of the USD replacement. 2012 will likely see it come to fruition, although the central banks may be able to put it off until 2013. Not much time left to prepare.

  13. Senegoid  December 31, 2011 at 7:01 pm

    I don’t think the dollar is going to collapse in the short term Almandine, on the contrary, it will probably do OK, as it’s about the only place to park cash at the moment, taking into account the mess Europe is in.

    2012 will probably see the world economy chug along, so long as no new wars are started, if not, then things will get interesting.

    In the mean time one must never under-estimate the creative deviousness of the greedy bastards to keep the shell game going for some years yet, as they continue to rob the plebs and plan their exit strategies, while the 99% can suit themselves.

    By 2017 I expect many nations will have entered currency swap agreements (it’s happening already) in relation to trade thus seeing the dollar weakened considerably (in the long term). But 5 years is a long time (in this economic climate) and who really knows when it will all go pear shaped.

    Whether the dollar goes out with a bang or a whimper depends on politicians, the Fed, and the global market. Far to complex for any one human being to reckon.

    • Almandine  December 31, 2011 at 10:01 pm

      And what would be the basis of your opinion?

      • Senegoid  December 31, 2011 at 11:13 pm

        I don’t think it’s in the greedy bastards interests to reset the system yet. These guys will do whatever they can to keep it going; even engage in blatant theft as we have just witnessed with the MF Global bankruptcy. If you are not familiar with the case then do yourself a favor and check it out:

        http://www.youtube.com/watch?v=18A698QQex0&feature=player_embedded

        http://www.futuresmag.com/News/2011/12/Pages/MF-Global-bankruptcy-files-a-disgraceful-disconnect-.aspx?page=1

        That said, if the Giants do plan to reset the system then it will most definitely come as a surprise, it will be the secret of Giants, no advantage in letting the plebs prepare:

        Let’s go back to the reign of Elizabeth 1st:

        Elizabeth turned and smiled at him and took his hand and held it to her cheek. “My Robert.”

        “Tell me, my pretty love,” Robert said quietly. “Why are you bringing in boatloads of Spanish gold from Antwerp, and how are you paying for it all?”

        She gave a little gasp and the color went from her face, the smile from her eyes. “Oh,” she said. “That.”

        “Yes,” he replied evenly. “That. Don’t you think you had better tell me what is going on?”

        “How did you find out? It is supposed to be a great secret.”

        “Never mind,” he said. “But I am sorry to learn that you still keep secrets from me, after your promises.”

        “I was going to tell you,” she said at once. “It is just that Scotland has driven everything from my mind.”

        “I am sure,” he sad coldly. “For if you had continued with your forgetfulness till the day that you called in the old coin and issued new, I would have been left with a small treasure room filled with dross, would I not? And left at a substantial loss, would I not? Was it your intention that I should suffer?”

        Elizabeth flushed. “I didn’t know you were storing small coin.”

        “I have lands; my tenants do not pay their rents in bullion, alas. I have trading debts which are paid in small coin. I have chests and chests of pennies and farthings. Do tell me what I may get for them?”

        “A little more than their weight,” she said in a very small voice.

        “Not their face value?”

        She shook her head in silence. “We are calling in the coins and issuing new,” she said. “It is Gresham’s plan — you know of it yourself. We have to make the coins anew.”

        Robert let go of her hand and walked to the center of the room while she sat and watched him wondering what he would do. She realized that the sinking feeling in her belly was apprehension. For the first time in her life she was afraid what a man was thinking of her — not for policy but for love.

        “Robert, don’t be angry with me. I didn’t mean to disadvantage you,” she said and heard the weakness in her own voice.

        “I know,” he said shortly. “It is partly that which amazes me. Did you not think that this would cost me money?”

        She gasped. “I only thought it had to be a secret, a tremendous secret, or everyone will trade among themselves and the coins will be worse and worse regarded,” she said quickly. “It is an awful thing, Robert, to know that people think that your very coins are next to worthless.”

        I suppose when the greedy bastards have robbed everybody for what they can they will push the reset button (to the surprise of most) and revalue the currency of whatever they feel like doing.

        Hint: The Central Banks have been net buyers of gold for the past 4 or 5 years. Obviously they want to keep all options on the table.

        This will probably not be the year of the reset – it’s an election year; best rob the plebs after you have gained their trust, and installed laws (and procedures) to contain their wrath.

        Argentina may provide a good template of how things could be done – no big banks failed, only their customers. No amount of bashing pots and pans made any difference in the end.

        • Almandine  January 1, 2012 at 10:46 pm

          And so, it seems, the forecast of years before the fall may have been overstated…

          but then maybe not, as the post below attests to the creative deviousness of them all.

          Bastridges…

      • Almandine  January 1, 2012 at 10:51 pm

        Reminds me of the poker admonition… read ‘em and weep.

  14. Almandine  January 1, 2012 at 10:49 pm

    It bears repetition…

    NO BANKS FAILED, ONLY THEIR CUSTOMERS.

Comments are closed.