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Subscribe to RSSFarewell to the 112th Congress, regardless of what happens today… But are Biden and McConnell close to a deal?... Why we are still possibly headed off the cliff… Why that would be a missed opportunity for both sides… The blame game… Obama lays out second-term agenda on “Meet the Press”… Hillary Clinton in the hospital… And Happy New Year.
*** Farewell to the 112th Congress: With just hours to go before reaching the midnight deadline of the so-called fiscal cliff, are we on the cusp of a last-minute deal? Or will things, once again, fall apart? Regardless of what happens today, the 112th Congress is going to wind up as the least popular and least productive Congress (in terms of legislation becoming law) in the modern era. For starters, Congress’ approval rating the last time the NBC/WSJ poll measured it (in August 2012) was just 12%, and a whopping 82% disapproved of Congress -- the highest percentage in the history of our NBC/WSJ poll. In addition, just 219 bills have been passed into law -- the lowest number since Congress began tracking this number in the 1940s. (And many of these bills were naming courthouses or post offices.) The previous low was 333 in the 104th Congress (1995-1996). Throughout its history, of course, Congress has always been a dysfunctional place; in fact, the Founding Fathers ensured it that way (with the federal government’s checks and balances). But this particular Congress, which comes to an end on Jan. 3, has been uniquely dysfunctional. Just consider: the current fiscal-cliff debate, the debt-ceiling standoff of 2011 that resulted in an S&P credit downgrade, the Super Committee’s failure, the near government shutdown in the spring of 2011, the defeat of the U.N. Disabilities treaty, etc. With the debt ceiling, the fiscal cliff, and the near government shutdown, it’s hard not to conclude that Congress has been an active player in the sluggishness of the U.S. economy.
*** But are we close to a deal? All that said, Senate Minority Leader Mitch McConnell and Vice President Biden are very close to a deal. According to a source with knowledge of the negotiations, Biden is offering McConnell raising tax rates on income above $400,000-plus and an up-or-down vote on the estate tax in return for unemployment insurance and having the sequester offset by some of the increased revenues. (Folks, this is VERY similar to deal that President Obama offered House Speaker John Boehner, but from which Boehner walked away.) From what we understand, McConnell wants a deal -- he wants to get this tax issue off the table. So they are close. The question is whether Boehner would bring such a deal to the floor and whether it could pass in time. But if a Biden-McConnell deal gets 70 or more votes in the Senate, Boehner might not have no choice but to bring the legislation to the House floor.
Kevin Lamarque / Reuters
Vice President Joe Biden looks on during a White House event in which President Barack Obama announced the nomination of Senator John Kerry as Secretary of State, Dec. 21, 2012.
Related: Deficit reduction becomes key sticking point on fiscal cliff
*** Why we are possibly headed off the cliff: So it’s possible Congress could still come to some kind of agreement, but it's always been a likely outcome that we're headed to go off the so-called fiscal cliff. The reason: It's become the easiest -- and safest -- path for both sides; NBC's Mike Viqueira has called it the "inertia scenario." For Democrats, going over the cliff ensures the elimination of the Bush tax cuts, and it gets them the tax revenue they've been demanding without having to give up a thing. What's more, Democrats probably hold the upper hand if we go off the cliff, given all the polling suggesting that the American public would blame Republicans more than Democrats. For Republicans, having the Bush tax cuts expire means they don't have to vote to raise taxes and thus break any tax pledge. Instead, beginning in the New Year, they get to vote to lower them for the middle class (the income threshold TBD).
*** Why that would be missed opportunities for both sides: But if we go over the cliff -- the combination of tax increases and spending cuts set to commence after today -- it will be a missed opportunity for both sides, too. For President Obama, it will be evidence that the GOP "fever" that he said would break after his re-election hasn't come close to ending yet. In addition, it would signal that the second-term agenda he's pursuing (immigration, energy) probably isn't going anywhere. For Republicans, going over the cliff means that they're giving up revenue without getting anything in return like spending cuts and entitlement reform, both of which Obama was willing to offer. Republicans believe that they'll be able to extract those things in a future showdown of the debt ceiling, but we're unsure that the White House or, more importantly, the business community is willing to play that game in 2013.
*** What happens if we go over the cliff: But here’s an important reminder if we go over the fiscal cliff: The financial/economic world won’t come to an end, at least in the short run. While some things will take place immediately, others (including rising tax rates and government cuts) will be spread out over the year, and Congress has the ability to fix them retroactively. As the New York Times wrote last week, “Some hits — like a two percentage point increase in payroll taxes and the end of unemployment benefits for more than two million jobless Americans — would be felt right away. But other effects, like tens of billions in automatic spending cuts, to include both military and other programs, would be spread out between now and the end of the 2013 fiscal year in September. These could quickly be reversed if a compromise is found. Similarly, the expiration of Bush-era tax cuts on Jan. 1 would not have a major impact on consumers if Congress quickly agreed to extend them for all but the wealthiest Americans in early 2013, as is widely expected. Other probable changes, like a jump in taxes on capital gains and dividends, would most likely be felt over a broader period rather than as an immediate blow to the economy.” Yet one thing is for certain if we go over the cliff: The financial markets won’t like it.
*** The blame game: In his interview on “Meet the Press,” President Obama said congressional Republicans would get the blame if the country goes over the fiscal cliff. “Congress has not been able to get this stuff done. Not because Democrats in Congress don't want to go ahead and cooperate, but because I think it's been very hard for Speaker Boehner and Republican Leader McConnell to accept the fact that taxes on the wealthiest Americans should go up a little bit, as part of an overall deficit reduction package.” When NBC’s David Gregory asked Obama if he would deserve any blame, the president replied, “I negotiated with Speaker Boehner in good faith and moved more than halfway in order to achieve a grand bargain. I offered over a trillion dollars in additional spending cuts so that we would have $2 of spending cuts for every $1 of increased revenue. I think anybody objectively who's looked at this would say that we have put forward not only a sensible deal but one that has the support of the majority of the American people, including close to half of Republicans.”
*** Obama’s second-term agenda -- immigration, stabilizing the economy, energy: Also on “Meet,” Obama laid out his second-term agenda. “I've said that fixing our broken immigration system is a top priority. I will introduce legislation in the first year to get that done… The second thing that we've got to do is to stabilize the economy and make sure it's growing. Part of that is deficit reduction. Part of it is also making sure that we're investing, for example, in rebuilding our infrastructure, which is broken… Number three. We've got a huge opportunity around energy. We are producing more energy and America can become an energy exporter. How do we do that in a way that also deals with some of the environmental challenges that we have at the same time? So that's going to be a third thing.” But what Obama DID NOT bring up on his own -- guns. Indeed, he didn’t sound like a guy ready to go after guns, unless the public is clearly behind it. “Ultimately, the way this is going to happen is because the American people say, ‘That's right. We are willing to make different choices for the country and we support those in Congress who are willing to take those actions.’”
*** Hillary Clinton checks into hospital: Beyond the fiscal cliff, the other big news is the health of Secretary of State Hillary Clinton. As NBC’s Andrea Mitchell reported on “TODAY” this morning, Clinton is now in a hospital in New York. Her spokesman released this statement last night: “In the course of a follow-up exam today, Secretary Clinton's doctors discovered a blood clot had formed, stemming from the concussion she sustained several weeks ago. She is being treated with anti-coagulants and is at NewYork-Presbyterian Hospital so that they can monitor the medication over the next 48 hours. Her doctors will continue to assess her condition, including other issues associated with her concussion. They will determine if any further action is required.” Bottom line: This clearly is more serious than we originally thought.
*** Happy New Year! Finally, to all of our readers – have a safe and happy New Year. And thanks for reading us throughout 2012. Your morning First Read note will return on Thursday, Jan. 3.
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Leave a Comment:
Least productive.
How do these A$$HATS rate the special retirement and benefit packages they receive?
They should, at the most, get the same package all of the other federal workers get.
That should may the republican'ts happy, would add millions back into the pile.
Anyone care to guess the fate of countries throughout history where the governments gave themselves perks, wealth and legal protections? There are no happily ever after endings.....
RIGHT ON
Why are we beating around the bush to tax the rich "just a little more" as Obama says? Why not just pass a law that no American can be worth more than $10 Million and confiscate all the remaining surplus wealth which might actually make a dent in our debt? To pass a little tax hike is a cowardly act by Democrats because they don't have the courage to do what they really want to do. What good will a little more tax revenue do in the face of the TRILLIONS we have in debt? This appears to have no real financial benefit to our debt issue, but rather, it is simply a ideological tax hike for Democrats to garner more support from their base. Some one care to explain?
Boehner is the worst Speaker of the House ever. Lets get this lazy drunk the hell of off the house floor.
Hopefully by 2014 and 2016 we can vote out more Republican Do Nothing Trash out of Congress, these pukes have done everything they could to undermined our Economy and destroy Jobs, good Jobs, Teachers, Firefighters, Cops, Public Employees who's job is to look out for the American People.
Republicans, Tea Party types and their right wing supporters are congenital, pathological liars. No amount of lying will hide your fraud, incompetence and corruption. Republicans are responsible for horrendous damage here in the U.S. and around the world. You can continue to launch flak, smoke and mirrors, fog, fart gas, what have you - you are still narcissistic, congenital and pathological liars and traitors - period...
wow Will; you seem to really like the word "congenital".
juanita - guess that's just the word that gets you excited...
The Tea Party is one of the most destructive forces in American Politics. And we've seen the damage they've caused in the 2 years they've been in office so far.
Sarah Palin should be banished to North Korea for life, of course I would put Panneta, McCain, Bohner, Petraeus, Koch Brothers, and lots and lots of Bank ceos in that bunch too. Put them to work in the rice paddies.
without Tea party, we may see $20T debt rather than $16T now. you should be thankful to them at least for that. but Obama is aiming $20T already from now.
Cellisis, where DO YOU get your info from? The lies of the tea/repos? or did you find it, on a underground newa paper?
info=opinion, in this case.
I'm very disappointed in NBC's journalists these days. They focus in on the smallest thing (tax increase for the 2%) and don't pay any attention to the big picture, which is the President wants to throw out all of the fiscal cliff spending reductions and additional revenue. Poof! Like nothing happened!
Why don't one of you "reporters" have the guts to ask the President or one of his spokespeople what the projected deficit will be on years one through four? And then ask why they haven't publicly bragged about this? The reason? Over $1 Trillion in each of those years.
Our debt/GDP ratio is 100% right now and we are adding to our $16 Trillion debt at a rate of over $1 Trillion a year! I don't give a flip whose fault it is, our Congress and President should be making this priority #1!! The President is very fond of his "10 year plan", well guess what -- you won't be President after 4 years, so stick with that.
I'm an independent, so I don't need Feisty or Pigotry starting the name calling. I just want to see some adults get involved and address the elephant in the room.
They are omlyreporting, on what comes out of Washington, and are making comments(just like you here on this page) So I'm guessing your against freedom of speach, for others, but not you?
No social security cuts period. We all voted for taxes over 250K. Don't break your word to the American people.Republican lawmakers are blaming the President. The American people are very well aware the republican house of congress, along with Mitch McConnell are playing the game to suipport the rich. Please do not buy it. Start withd a new congress and then start new after the Bush taxes have lapsed. McConnell and Boehner can get booted out of office next election right along with those TEA PARTY folks who are trying to put the screws to the middleclass and seniors. Let it go over the cliff Joe! Don't give in Mr. President!!!!!! People from Maine voted out republicans in our State House. Now, we need to get other states to boot the republicans who have voted NO NO NOON EVERY SINGLE BILL THAT DIDN'T PASS THESE LAST FOUR YEARS! It is really unnfportunate that lawmakers can stop our economy from improving because of the greed of the rich.....
Joanie - While I can't defend a lot of the GOP actions, they are at least trying to reduce the deficit. Their biggest problem is that the President has highlighted the taxes on the 2% as the main talking point. That is so minor compared to our deficit! I agree no social security cuts. But don't you think we should all pay our fair share into social security? For the past 2 years, the President has subsidized our contributions and just added that to our growing deficit and debt. Is that really fair?
you're just so delusional. it's like you're screaming that as long as my tax don't going up, and my SS benefits not being cut, i don't care. just tax everyone else more and don't touch my SS.
it's the people like you who insist on taking more and giving less and those who share the same thinking in Congress have ruined this country's economy and fiscal future.
Everett Dirksen from Illinois ran on a platform that we had all the laws we needed and a vote for him was a vote to enforce the laws we have...a much better standard to rate Congressional performance than merely counting new laws favored by special interests.
I hate to tell you dead beat progressives, but Obama got 53% and that leaves 47% of us who no longer want to support you loses! therefore, make the deal 53% tax increase and 47% CUTS, real cuts! extend the allowable age for SS and medicare to 70 and 67 respectively for those under say 50! we elected a majority in the HOuse and they are doing THEIR jobs, and good for them, we did not agree to turn this country over to the progressive commies to do what they want, THE rest of us have a say, we tried 100% demnrats in gov. in 2010 and corrected it with the tea party, long live the tea party, someone has to stand and fight the cancer called progressivism.
"someone has to stand and fight the cancer called progressivism."
Do you know what the word "progressive" means?
Definition of PROGRESSIVE
1
a : of, relating to, or characterized by progress
b : making use of or interested in new ideas, findings, or opportunities
c : of, relating to, or constituting an educational theory marked by emphasis on the individual child, informality of classroom procedure, and encouragement of self-expression
2
: of, relating to, or characterized by progression
3
: moving forward or onward : advancing
4
a : increasing in extent or severity <a progressive disease>
b : increasing in rate as the base increases <a progressive tax>
5
often capitalized : of or relating to political Progressives
6
: of, relating to, or constituting a verb form that expresses action or state in progress at the time of speaking or a time spoken of
7
: of, relating to, or being a multifocal lens with a gradual transition between focal lengths <progressive bifocals>
8
: or, relating to, or using a method of video scanning (as for television or a computer monitor) in which the horizontal lines of each frame are drawn successively from top to bottom — compare interlaced
This is from an online dictionary, Merriam Webster.
If you read this through, I would think that you would want to be known as a progressive. Understand the meaning of words before you use them.
Move to another country!!!!!!!!! Try Iran, the taliban needs red necks like you!!!!!!!!!!!!!!!
Didn't have to read past the first sentence to know that was a Tea Partier. Probably head of the local rally sign committee, given the spelling and completely incoherent grammar.
flibkershick, RU kidding me, you and grammar, you likely are still high and coming down any tattoos on your ass! that says stupid, slutty, and out of work.
Oh, so YOU are the 47%. Good to know.
Farewell to the 112th. Most of you couldn't make it selling beer on a tropical beech.
What we need more than anything else at this point is a law that requires all legislators to prove that they are capable of legislating. This means passing bills and finding common ground with the other side.
At this point in time you should be treated as lepers in the biblical sense.
Just like in any other private sector job, we need politicians to undergo their "annual reviews" and be sure they reach their own set of KPIs...Key Performance Indicators. By my managerial standards, a majority of Congress would be fired today, regardless of party affiliation.
STAN - You mean to let government backed unions to continue to be leaches on our debt burdened economy and stifle individual job opportunities and corporate growth?? They are an unnecessary cost layer. We can support those jobs, but without the Union factor. Just as many Liberals think that Christian values and morals are a thing of the past, Unions are definitely a thing of the past. Unions were good back in the 19th and 20th century when we didn't have much in the way of federal or state employee labor laws yet. Thanks to Unions, they helped pave the way so that now we have laws to protect employees going forward and the unions are no longer needed.
Unions in the 19th century?
And now without unions those gains will slowly be taken away. we have already seen an erosion of good paying jobs. So if you want to go back to the days of child labor, poor wages, no benefits and no pensions we are headed in that direction. The trouble is most of us won't be around to see the final result. But our grand and great-grand children will. at least they will know that i was against the kind of world they will inherit.
depraw - Yes, There were several large and important unions in the 19th century, also known as the 1800s, even as far back as the late 1700s. The Boston Tea Party was done by a union. The fact is...they are no longer needed.
FYI, History (specially the bad parts) does repeat itself if you never learn what to stay away from....
depraw. I agree with your sentiment. Actually, we are headed in the exact opposite direction that you fear we could go back to. Democrats leaders today would love to create one National union with benefits and jobs for everyone if we let them. Obamacare is just the start! As for child labor...ironically, my son is only 7 months old and already owes our government $45,000 thanks to our government's unhinged spending this past decade and in recent years. The solution to truly reverse our nation's direction is a lot more horrific than this measly fiscal cliff drama we see today. This cliff drama is barely the tip of the iceburg.
depraw
Unions helped erode jobs in the this country. Please note the decrease of unions in the private sector and the growth in the public sector. The taxpayer is a much easier mark than owners or boards of directors.
Unions suck!
A small government interfers less in individual liberty and usurp less State's right than a Big Government. It is a blessing that Congress, a chamber of corrupt and inept old men, leave the people and the nation alone.
OK. The Republicans want to cut entitlements. What are they? Simple. Things that you are entitled to for a lifetime being under the capitalist thumb. You pay taxes, you worked for it, you are middle class and need this backup plan to protect yourself and your family.
The Republicans want to eliminate your safety net, Medicare, Medicaid and Social Security. They claim that it's too expensive to maintain. BUT. They have no problem giving billions of $ in subsidies to big oil every year. They have no problem funding a trillion dollar bloated military budget, buying things that the military don't want.
The Republicans want to Kill the Federal government and put your life in the hands of the States and Corporations. The Corporations run things with the States being their pawns.
The Republicans want to kill the unions, which unlike private sector, pay well, have great benefits and don’t send jobs overseas. The Unions have the better path to the “American Dream”.
Republicans want a Plutocracy, you know, like Russia.
The Republicans are communists and can go straight to h e l l..
you forget that without doing anything, SS, Medicare, Medicaid will just go bankrupt or exhaust its funding. apparently, that's what you're expecting.
don't you know those programs are on the unsustainable path, and even SS is paying out more than taking in now. unless you're already on SS, how much do you expect to get from it when you retire in 10 or 20 years?
Rock on Daddy Larry! You get it. (And Social Security is NOT an entitlement. It's Federal INSURANCE. It's a contract.)
It seems everyone forgets that Social Security is a TRUST FUND. It has nothing to do with our budget. The government doesn't fund Social Security. The American people do. Our government steals from the fund to provide additional revenues but that is not legal.(Johnson stole to fund part of Vietnam War and bush did it to help fund his tax cuts). If you or I were to steal from somebody's trust fund we would be thrown in jail.
LOL! I remember just fine...and I DON'T TRUST it to be there for me when I retire. So in essence Gen X and Y have to learn to save twice as much as previous generations. We are forced to contribute to an SS trust fund that is bankrupt and we will never see as well as contribute to our private retirement that we might see only 1/2 of after taxes.
SS trust fund has long gone being as a stand alone fund. it's being put into the government general fund which means government can borrow it from SS fund to pay for other spending, and instead, put IOU into the fund as an insurance.
so, how much money do you think it has in such 'fund', with government debt reached $16T now?
people need to demand pay cut for all members in Congress and president/VP. spending cut should start from top or they are just wasting tax payer money not to do their jobs.
Your almighty saviour Obama just gave all of the deadbeats in Congress a pay raise........by Executive Order no less. Great leader, not!
lisa
congress got an automatic cost of living raise. the President did not give them a raise. in 1989 congress passed an amendment that allowed for automatic cost of living raises, unless lawmakers specifically voted to reject it. The always voted to reject it until 2000. Since 2000 they have never rejected it.
so please stop your lies and do some research first. and fox 'the national enquirer' news is not considered research.
While technically, you are correct, depraw, what Obama did was sign an executive order ending the freeze on pay raises for the VP, Congress and other federal workers.
our newsmen don't have the guts to ask what our congress and Obama will give up all they think about is cutting
social security!! what about there high pay?? and it's this way all the way down with gov. worker's!! politicians should have no benefits and no retirement at all they only work part time!! cut there pay by 45% now!!! our news men should ask about this but they have the guts!!!
Do little? More like, do nothing! That's repuke "leadership" for you.
Amend the constitution so that if congress cannot produce and enact a budget then a special election will take place and we get to vote them out. And they will not be allowed to campaign. We will vote on their job performance. Or maybe we can just sequester their jobs?
Like a fresh breeze, blowing throught congress, with a lot of tea/repos gone, here's hoping that something will finally get done, for the betterment of America!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! We hate to see them go, we hate to see them go, WHAT THE HELL THEIR WAITING FOR, we hate to see them go!!!!!!!!!!!!!!!!!!!!!!! The sooner the better!!!!!!!!!!! Why don't they get out now??????????etc.
add Dems to your list, and Obama too!
Other than run for reelection, shill for private interests, and gerrymander their districts, what do these Constitutional parasites actually do? I have read inklings that the Constitution itself, long thought inviolable to scrutiny, is up for grabs. High time.
The helped prevent Obama from establishing more policies that harm the economy and our nation.
You are monopolizing this thread to what end?
Well at least they managed to bring some sanity back to government. Do nothing is better than doing the wrong thing. If the House was the least productive ever, wouldn't it also mean that Obama was the least productive president and the Senate was also the least productive Senate over the 2 year period?
"Least productive" indeed! America simply was not ready for a black man to be president.
Do you know how foolish you look with idiotic statements like that. You might as well say that NFL wasn't ready for black quarterbacks because Vick did so awful this year, while Peyton Manning did great.
No one (media included) is talking about Cuts in Defense... I say lets go over the cliff.
My Gen X/Y peers do not let the direction of the conversation be dictated to you.
We need cuts in defense and there are several republicans that are talking about that as well. There is waste in all government.
we have enough weapons to blow the world up a thousand times. isn't once enough?
farewell?? farewell?
as i recall november showed that we had pretty much re-elected almost all of these nitwits to another term of do-nothing. missing a unique opportunity to clear the entire house and replace 33 senate seats. instead the country went for the same do-nothings we had before. so what exactly are we saying farewell to??
If the nation trusted the democrats, that might have happened, but they do not trust the democrats and did not like the way the nation was headed during the first 2 years of Obama.
I will take the first "4" years of Obama over the 8 years of bush policies that totally destroyed our economy and got thosands of Americans killed. bush fell right into the terrorists hands and did exactly what the terrorists wanted to happen to this country. Financial destructon. Well done mr bush. you were the terrorists best ally.
Most of them are not up for reelection until 2014.
flwannabebikerchick
the house was up for total clearance and 33 were up for re-election
2014 another 33 will be up for a vote and they will probably be re elected too. so much for change
demanding Congress and President pay cut is the first step!
Congress yes.(including pensions and benefits)
President no. the President does hold the most important job in the world.
I say pay each member of congress $1 million per year for up to 3 x 3 year terms...aka...a 9 year term limit! Cancel all their lifelong retirment, health benefits and insider trading perks and loopholes.
The million dollar salary will attract better qualified candidates that presently are not willing to give up their nice corporate salaries for the chaos of DC's political life and the measily $170K salary. We need term limits first and foremost however.