In a post-speech interview with The Washington Post, Speaker John Boehner expands on his debt-ceiling demands:
House Speaker John A. Boehner defined the GOP’s terms for raising the legal limit on government borrowing Monday, demanding that President Obama reduce spending by more than $2 trillion in exchange for an increase big enough to cover the nation’s bills through the end of next year.
The economic uncertainty zombie rears its ugly head, as Boehner offers uncertainty reduction as a reason for these massive cuts:
“The effect of adding nearly a trillion dollars to our national debt — money borrowed mostly from foreign investors — caused a further erosion of economic confidence in America, and increased uncertainty for millions of private-sector job creators. [...]
“If we fail to use this as a moment to demonstrate that we’re getting serious about fixing the debt, the result will be fewer jobs, less confidence, and more uncertainty.
Boehner might not realize this, but the net effect of $2 trillion in cuts would be to increase economic uncertainty, as the private sector sheds jobs and individuals and families are forced to contend with arbitrary cuts to programs they rely on. Of course, the "uncertainty" argument has always been a ridiculous charade; between his previous willingness to shut down the government and his current willingness to play chicken with the debt ceiling (and risk economic disaster), Boehner has done far more to add to economic uncertainty that any actor in government, much less any Democratic proposal.
Steve Benen has the best take on the GOP's economic incoherence: "If uncertainty is so scary, and policymakers must do all that they can to stomp out uncertainty wherever it exists, the Republican strategy borders on mental illness."
