Politics 2013: What's After the Fiscal Cliff?
NEW YORK (TheStreet) - Congress will continue on its partisan path of politics in 2013, but not before it avoids the full so-called fiscal cliff and passes a budget.
The 2012 presidential campaign was a brutal affair during which two candidates boasted about their very different views of how to lead the country, and America watched in 2011 as a minority group of lawmakers pushed the country to the edge of a debt-ceiling crisis.
House Speaker John Boehner has remained steadfast against President Barack Obama's call to raise taxes on the top 2% of income earners (Obama has also admitted Democrats will have to concede tough cuts of their own). Senate Majority Leader Harry Reid's unrelenting support of the president, and Obama's decisive margin of victory against Mitt Romney suggest that Boehner may be the one conceding more in the end.
"It feels like that may be the direction we're headed, doesn't it?" said Doug Preisse, the Franklin county, Ohio, Republican Party chairman.Many analysts have admitted it's difficult to predict when legislators will reach a fiscal cliff deal, but some market analysts believe Congress will make some short-term adjustments for the end of 2012 and flesh out a significant plan into the first quarter of 2013. A successful fiscal cliff deal likely would be followed by passing a proper budget. And after that? "It all depends on who gets pushed over the fiscal cliff," said David Di Martino, a Democratic strategist in Washington D.C. "If the president uses the Senate backstop and puts enough pressure on Boehner to get what he wants out of the fiscal cliff negotiations, maybe Boehner is less inclined to deal on anything the rest of the year." Should the president's recent election victory and Democrats' seat pickups in the House and Senate sweep them to budget victory, Republicans may very well turn to their stubborn ways. The catch, Di Martino said, is that obstructionism didn't make 2012 a banner year for the GOP. Lesson learned in 2013?" -- Written by Joe Deaux in New York. >Contact by Email. Follow @JoeDeaux
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
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.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
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.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV