Tags: budget | debt ceiling | Obama | US

IBD: White House Distorts the Budget Crisis

Sunday, 01 Sep 2013 01:43 PM

By John Morgan

The federal government says it will hit its debt ceiling in October — even earlier than expected — but the White House is already in denial over the latest impending U.S. budget crisis, according to a blistering Investor's Business Daily (IBD) editorial.

"The administration's attitude, as articulated by Treasury Secretary Jack Lew and White House spokesman Jay Carney, is — there is no problem; do nothing," the editorial stated

In fact, Carney recently said, "We will not negotiate with Republicans in Congress over bills Congress has racked up."

Editor’s Note:
Will This Video Get Obama Fired? See the Evidence.

IBD said the White House position is a distortion because some of the big federal spending programs to blame — stimulus, bailouts and Obamacare — were pushed by Democrats and President Obama.

"Democrats' do-nothingism borders on malfeasance," the IBD editorial claimed. "U.S. debt has hit $17 trillion, or 109 percent of GDP, while government spending has reached $3.5 trillion a year, or 23 percent of GDP — $28,000 for every household in America."

The newspaper noted that a "tidal wave of entitlement spending is about to wash over America, pushing our debts and deficits up sharply, and fatally weakening the financial underpinnings of our economy."

The Washington Post predicted that when federal lawmakers get back to Washington next month and start addressing the budget and debt ceiling, "an impasse could diminish Americans' confidence about the economy."

The Post said data from Gallup show two noticeable dips in confidence during the Obama presidency so far — one during the debt limit standoff during the summer of 2011, and the other during the fiscal cliff impasse at the end of 2012.

"For a sense of what economic confidence will be like around the country this fall, it's well worth tuning into what is going on at both ends of Pennsylvania Avenue," The Post concluded.

If Congress and the White House cannot agree on terms to raise the debt ceiling, it could result in another credit downgrade for the United States, according to The Christian Science Monitor.

"I understand we have to raise the debt limit one more time, but let's not raise the debt limit until we have a plan in place that begins to bring our budgets into balance over the next decade," Sen. Marco Rubio, R-Fla., said.

Rubio explained that the United States needs "to confront this debt problem once and for all so that our economy can get growing again, so that our middle class can get strengthened again and so that America can be better off."

However, the Obama administration is taking the position that the debt ceiling should be raised without negotiations or discussions, The Monitor reported.

Editor’s Note: Will This Video Get Obama Fired? See the Evidence.

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