Boehner blows up debt ceiling talks

Some are saying it's just as well that Speaker John Boehner has abandoned hopes of striking a "grand bargain with the Obama administration on taxes and spending. The negotiations over future tax reform - that would have included revenue increases of a trillion dollars - were going nowhere fast. Most of the GOP caucus would have voted against such a package so Boehner was only facing reality when he backed off the deal. Politico: Boehner spoke with the president prior to making his announcement Saturday evening and continues to demand that the deficit reduction match dollar-for-dollar whatever debt ceiling is agreed to prior to the August 2 deadline set by Treasury. That will not be an easy matter, given the Republican hard line against new tax revenues. Weeks of negotiations led by Vice President Joseph Biden have identified deficit-reduction savings in the range of $1.7 trillion to $2 trillion in savings. But that leaves a gap of $400 billion to $700 billion to be filled, and...(Read Full Post)