Phoenix—There is something bracing about a trip away from Washington, a town in which it is widely accepted that no person of prominence means what he or she says. The president says that he will not sign on to any significant spending cuts, and the Republicans say they will not sign on to any tax increases. They all know that it is likely some combination of both could in the end be part of any deal that is cut to bring the deficit under control.
The president says he will not allow the need to raise the debt limit and avoid default to force him to back off on any of his “investments” in America’s future. The Republican speaker of the House says his party will refuse to raise the debt limit even if this forces the country to default unless the president agrees to trillions in spending cuts. Indeed, some Republicans are beginning to wonder whether hitting the ceiling might not cause a bump in Uncle Sam’s head: the Treasury can sell assets to meet its needs while it finds some spending cut other than military pay checks.
