Leave it to Charles Krauthammer, and Fox News, to compare the so-called 'fiscal cliff' negotiations to the terms of surrender that ended the Civil War. Krauthammer ended with the thought that Republicans should just walk away because they were in such a strong position of leverage when the economy heads back into a tailspin as a result. This is the type of mindset that not only the conservative pundits have but also some Republican politicians. The smarter among them though realize the folly of Krauthammer's pontificating and are looking for a deal --any deal-- that won't get them lynched by their own supporters. They know Obama has them in a bind and are looking for a face-saving option.
CHARLES KRAUTHAMMER: It's not just a bad deal, this is really an insulting deal. What Geithner offered, what you showed on the screen, Robert E. Lee was offered easier terms at Appomattox, and he lost the Civil War. The Democrats won by 3% of the vote and they did not hold the House, Republicans won the house. So this is not exactly unconditional surrender, but that is what the administration is asking of the Republicans.
This idea -- there are not only no cuts in this, there's an increase in spending with a new stimulus. I mean, this is almost unheard of. What do they expect? They obviously expect the Republicans will cave on everything. I think the Republicans ought to simply walk away. The president is the president. He's the leader. They are demanding that the Republicans explain all the cuts that they want to make.
We had that movie a year-and-a-half ago where Paul Ryan presented a budget, a serious real budget with real cuts. Obama was supposed to gave speech where he would respond with a counter offer. And what did he do? He gave a speech where he had Ryan sitting in the front row. He called the Ryan proposal un-American, insulted him, offered nothing, and ran on Mediscare in the next 18 months.
And they expect the Republicans are going to do this again? The Republicans are going to walk on this. And I think they have leverage. Yes, for Congressional Democrats it will help them in the future if Republicans absorb the blame because we will have a recession. But Obama is not running again unlike the Congressional Democrats. He's going to have a recession, 9% unemployment, 2 million more unemployed, and a second term that's going to be a ruin. That is not a good proposition if you are Barack Obama.