Morning Examiner: The case for no

Published July 29, 2011 4:00am ET



At RedState, Michael Hammond makes a succinct five-point-case against Speaker John Boehner’s, R-Ohio, debt hike plan: 1) The Boehner plan is so similar to the Reid plan that its passage will lead to a compromise with no cuts beyond 2012, a commission that will endorse tax hikes, and a trigger to force those tax hikes; 2) A guaranteed vote on a balanced budget amendment is worthless; 3) If Tuesday comes and goes with only a shut-down of unessential government agencies, President Obama’s fear-mongering will be exposed; 4) Standard and Poor’s is going to downgrade U.S. debt anyway; and 5) compromising now will ensure Obama’s reelection.

A few quick responses: 1) The trigger is weak and Senate Democrats want to get rid of it anyway in exchange for a larger debt hike.  So there is zero danger of tax hikes; 2) A BBA with a super-majority tax hike requirement was never going to happen, but getting Democrats on record against it is worth more than zero; 3) Seeing Tuesday come and go without the Apocalypse arriving would be satisfying, but cutting government spending by 40 percent cold turkey would be economically painful and Republicans would be blamed; 4) S&P has since backed off their downgrade threat; and 5) A “Grand Bargain” would have helped Obama’s reelection chances. The Boehner plan becoming law just makes him look weak.

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