There aren’t any updates on the Fiscal Cliff to report at this time. If I had to call it now, I would say we are going over.
I spent most of my Sunday morning snowblowing my driveway but I did hear one Republican senator remind us that, regardless if it is a Liberal Democrat plan, a Conservative Republican plan, or bipartisan, any bill to reach President Obama’s desk must include an appropriations clause that instantly earmarks all revenue to go toward deficit reduction. Otherwise, a so-called deal is like giving matches to a child. If the president and the Democrat controlled senate are going to spend the money to grow the government, we are only going to go deeper in debt and eventually be in the state Greece is in right now.
Not to mention, if you desire equality with respect to how we are going to pay down the deficit or at least reach financial sanity, you already have that–that can be achieved by doing nothing and just go over the cliff Tuesday. If you want a deal to avoid the cliff, you do not want equality–you want one side or the other to pick up the tab. If the two practical alternatives are to either tax the middle class out of house and home, or tax wealthy or semi-wealthy business owners to the point where they no longer have the wherewithal to create jobs; that cliff is looking mighty good.
This is not to say no deal is any good, just understand the paradox and be careful what you wish for.