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Krugman: If Obama concedes to Republican blackmail now, it’s "the end of the presidency"



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In a short post, Paul Krugman gets it just right.

First he details the fat-cat benefits the debt-ceiling discussions are stalled on — for example, business's ability to undervalue inventory to lower taxes, the hedge fund loophole that hands them a 15% nominal tax rate (before deductions and other loopholes kick in), tax treatment of private jets, and so on.

Then he says:

Think about it. There’s a significant chance that failing to raise the debt limit could provoke a renewed financial crisis — and Republicans would rather take that chance than allow a reduction in tax breaks on corporate jets.

What this says to me is that Obama cannot, must not, concede here. If he does ... he’s setting himself up for endless blackmail. A line ... should have been drawn last fall; but to concede now would effectively mean the end of the presidency.
I assume he means Obama's presidency (I would concur). Because the presidency is always safe in Republican hands. When they have the power, they actually use it.

Update: Joan McCarter says there are "already cuts to Medicare on the table". Cripes.

GP


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