US debt deal: What the experts say

[xchrom]

http://www.guardian.co.uk/business/2011/aug/01/us-debt-deal-experts

Mohamed El-Erian, chief executive of Pimco

The rest of the world is watching, and this will do very little to reduce the concern that the rest of the world has about the role of the US in the global economy.

Unemployment will be higher than it would have been otherwise, growth will be lower than it would be otherwise, and inequality will be worse than it would be otherwise ... We have a very weak economy, so withdrawing more spending at this stage will make it even weaker.

Jane Foley, senior currency strategist, Rabobank

The deal should allow next year's presidential elections to proceed without the issue of the debt ceiling raising its ugly head again before the electorate have cast their votes. In other respects the deal offers little cause for celebration. As well as raising the debt ceiling the deal should cut $2.5tn from US debt over the next decade. This is well short of the amounts that have previously been mooted by President Obama. It may also prove to be insufficient to quench the concerns of the credit ratings companies.

We expect further broad-based US dollar weakness in the coming months. While countries with more rapidly expanding economies such as New Zealand are likely to see their currencies appreciate the most versus the US dollar, we still see scope for more gentle appreciation of euro/US dollar in the coming months.

[Major Hogwash]

1. We shouldn't be listening to experts at this stage. Instead we should follow the lemmings . .

over the edge of the cliff!

And quote anonymous sources as often as we can!

John says this bill tastes great!
Frank says this bill is less filling.
Tastes great!
Less filling!
Tastes great!
Less filling!
Tastes great!
Less filling!
Tastes great!
Less filling!

[fasttense]

2. And the RepubliCONS think they have no new taxes or tax increases.

But the payroll tax holiday will NOT be extended.Using RepubliCON definitions, because those are the definitions our Republicrat President uses, that is a Tax Increase on the Middle Class and Poor.

Our supposed Socialist President allows the idle rich to cut their taxes if they buy a private jet but the working class gets a 2% tax increase.