This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

War of Rhetoric on Budget Nears Climax: Opinion

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK ( TheStreet) -- Americans are getting what they voted for. The insistence of the U.S. electorate in continuing to endorse its two-party dictatorship at the ballot box is what emboldens these hypocritical aristocrats to play their political games.

In one corner, we have the banker-serving Obama administration. Their one and only concern is to serve Wall Street with the utmost fidelity, in hopes that their masters will reward them with a second term in office. Their mouthpiece is the always-inept, Tim-the-tax-cheat Geithner.

The Geithner rhetoric over this impasse at (inevitably) raising the U.S. "debt ceiling" can be characterized as a variation of the same "too big to fail" blackmail which Wall Street successfully parlayed into a $15 trillion bailout/hand-out. If Congress doesn't rubber-stamp an increase in the debt ceiling, then "the sky will surely fall," claims Chicken Little.

In another corner we have the schizophrenic Republican Party. One "personality" fills the role of ventriloquist-dummy for the incoherent rabble which has dubbed itself the (new) "Tea Party." The Tea Party Republicans claim that the "best way" to get the U.S.'s out-of-control debt/deficit crisis under control is to simply "crash" the U.S. economy into its debt ceiling.

By this logic, the "best way" to slow a motor vehicle which is traveling much too fast is to simply steer toward the nearest brick wall. Tea Party zealots insist that the inevitable economic carnage of "crashing" the world's largest economy (and world's largest deadbeat-debtor) by choking off any additional credit is unavoidable. They claim it is "the only way" to get the elected representatives of the U.S. government to "do the right thing."

Essentially, this is simply the mirror-image of the Geithner position. "You must rubber-stamp more debt or the U.S. economy will crash," insists Geithner. "If we crash the U.S. economy, you can't authorize any new debt," counters the Tea Party rabble. Neither position has any merit. Even the most rabid/insane Tea Party crusader understands that it is utterly impossible for the hopelessly insolvent U.S. economy to "balance its budget" today. Thus, this is all just theater and brinksmanship by both sides. The born-again "budget hawks" in the Republican Party are nothing but posers -- vainly attempting to look like they are "getting tough on spending."

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,561.89 +205.02 1.18%
S&P 500 2,037.81 +24.92 1.24%
NASDAQ 4,709.2010 +64.8890 1.40%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs