tag:blogger.com,1999:blog-7163441833245663827.post2309514390862451529..comments2024-03-28T10:49:14.510-05:00Comments on Horizons: Understanding leverageNancy LeTourneauhttp://www.blogger.com/profile/12614317154146836694noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-7163441833245663827.post-53604462240984258522012-12-03T15:03:13.877-06:002012-12-03T15:03:13.877-06:00Except that Wall Street wants the President to win...Except that Wall Street wants the President to win this one because they want the debt ceiling taken out of the hands of Congress. If they have any leverage at all with the GOP, they might just spend it on this one to force them to give up the debt ceiling power.Tien Lenoreply@blogger.comtag:blogger.com,1999:blog-7163441833245663827.post-72926894287776641242012-12-03T12:06:21.812-06:002012-12-03T12:06:21.812-06:00Joe,
Its my pleasure to link to such great analys...Joe,<br /><br />Its my pleasure to link to such great analysis.<br /><br />I'm much better at understanding what's going on than I am in predicting the end result - especially where Republicans are concerned ;-)Nancy LeTourneauhttps://www.blogger.com/profile/12614317154146836694noreply@blogger.comtag:blogger.com,1999:blog-7163441833245663827.post-13562731923328976252012-12-03T11:52:25.393-06:002012-12-03T11:52:25.393-06:00Thanks for the mention, Smartypants! My guess is t...Thanks for the mention, Smartypants! My guess is that the House Republicans will be reluctant to push the debt ceiling card too much, remembering what a disaster it was when they held up on raising the debt ceiling the last time. Nobody wants the US credit rating downgraded again, or the stock market crashing. More likely they will just send us over the fiscal cliff and try to blame the Democrats for raising everybody's taxes and cutting defense spending, and then we will get some kind of deal next year. But that is risky for the Republicans also, because they really don't want those defense cuts and tax increases to kick in. Which means they might actually let Nancy Pelosi bring the Senate bill extending the Bush tax cuts for the 98% to the floor, and find enough Republicans to vote for it, in exchange for stopping the defense cuts. That's what the Republicans would do if they were smart. They would take the deal. In the meantime they will whine and squawk a lot.Anonymoushttps://www.blogger.com/profile/12552117060181130126noreply@blogger.com