President Barak Obama gave a speech to newspaper executives about the recently passed Republican budget in the House of Representatives. It proposes to cut spending by more than $5 trillion over the next ten years. Yesterday’s speech was, basically, a declaration of war against the GOP and its vision of the government’s budget. The President said, “This Congressional Republican budget is something different altogether. It is a Trojan horse disguised as deficit reduction plans. It is really an attempt to impose a radical vision on our country. It is thinly veiled social Darwinism. It is antithetical to our entire history as a land of opportunity and upward mobility for everybody who is willing to work for it. A place where prosperity doesn’t trickle down from the top but grows outward from the heart of middle class.” (Click here for the full transcript of President Obama’s speech.)
It didn’t take long for the Republicans to fire back. The AP reports, “House Speaker John Boehner said Obama is resorting to ‘distortions and partisan potshots’ — while standing behind policies that the speaker says ‘have made our country’s debt crisis worse.’ And a Mitt Romney spokeswoman says Obama’s in no position to lecture about ‘responsible federal spending.” (Click here for more from the AP.) Folks, it is officially “game on,” and every American should be scared speechless about this budget showdown. It is unlike any the nation has ever faced.
The country has never been more in debt, and this comes at a time when countries like China are shunning U.S. Treasuries. There are more than 12 million “officially unemployed.” (The unofficial is 22 million.) Home prices are falling despite near record low mortgage rates. The BRICS nations are actively seeking an alternative to the U.S dollar for settlement of trade, which could threaten the dollar’s reserve currency status. We are threatening financial war with any country that trades with Iran, and the nation is facing yet another shooting war in the Middle East. The only question is will it come before or after the election.