Wednesday, January 23, 2013

U.S. leads in manufacturing...artificial crises

The Washington Post cheers House Republicans' "novel plan" to suspend the artificially-created debt ceiling crisis and re-create it this summer.
House Republicans are advancing a novel plan to suspend enforcement of the federal debt limit through May 18, a move that would lift the threat of a government default and relieve the air of crisis that has surrounded their budget battle with President Obama.

The measure — set for a vote Wednesday in the House — would not resolve the dispute over how to control the national debt. But after the traumatic “fiscal cliff” episode at the end of last year, it would buy policymakers a little breathing room to continue the argument without another economy-rattling deadline just around the corner.
As the Post points out, we needn't worry about a lack of artificial crises. Suspending the debt ceiling fight clears the deck for a possible government shut-down if a new budget isn't set and for mindless across-the-board sequester cuts if an alternative debt reduction deal isn't reached.

Meanwhile, Bloomberg reports that this is no way to run an economy.

If Congress focused more on manufacturing bipartisan solutions than artificial crises, we might all be doing better. Don't manufacture a crisis of your own by holding your breath.