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Who Will Win the Game of Sequestration Chicken?

Written by Gary North on March 1, 2013

Obama says Congress must raise taxes on the rich. Public opinion polls say most Americans agree.

Most Americans are thieves. They want all of the government-provided goodies at someone else’s expense. That is what the welfare state is all about.

Speaker of the House Boehner says “no deal. Cut spending.” If he deviates this month, he is likely to be replaced as Speaker. He loves being Speaker.

Will the cuts begin? Yes.

The March 1 meeting was scheduled for show, not substance. All of this debate over sequestration is for show. This is not the showdown.

The showdown will come at the end of March. That’s when the next increase in the federal debt ceiling will be required to avoid the official bankruptcy of the U.S. government. That’s judgment day.

The debt ceiling will get raised. The government will not be allowed to shut down. Either the House Republicans will buckle or Obama will.

The battle over sequestration is all about positioning for the real battle, which begins at the end of March.

The last time this happened was in mid-2011. The compromise was what we are facing today: automatic spending cuts.

The last time there was a head-on collision was in 1995. The House Republicans backed down. Clinton stood his ground. He let the House Republicans hit the debt ceiling. The public demanded the increase. Gingrich cried “uncle.”

Obama holds the cards on this one. He can use the preliminary positioning of the Republicans to his advantage. They will say “We’re not going to budge.” But they will budge on the debt ceiling hike. They will not allow those Social Security payments to get stalled by a legal technicality of the debt ceiling.

At that point, a majority of House Republicans will pressure Boehner to compromise. He will then talk turkey. He will not lose his position.

Boehner is standing his ground for a showdown . . . with House Republicans. He is playing chicken. He is not playing it with Obama.

Th public is content with an annual official deficit of a trillion dollars. This is Obama’s ace in the hole. The voters don’t care about deficits. They don’t care about a trillion a year in Federal Reserve bond purchases. They care about their monthly checks.

It is clear who the losers will be: the voters. They will get what they want.

The winner will be Obama. He will not be in office when the train goes over the burning trestle of debt.

On February 28, Obama issued a press release. It said this: “Middle-class families can’t keep paying the price for dysfunction in Washington.” They can, and they will. Why? Because they are the cause of the dysfunction in Washington. They elected the present government. They expect something for nothing. They expect the rich to pay. They are like a drunk at a tavern. They insist that they be allowed to run up their tab. They believe that someone else will pick up their tab. They call for “another round.” They will get it.

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44 thoughts on “Who Will Win the Game of Sequestration Chicken?

  1. Phillip the Bruce says:

    Saw a good editorial cartoon. Obama is driving, and says "Oh no! There is a cliff up ahead." He then pulls off the steering wheel and hands it to the elephant in the seat beside him. Then he turns and says to the crowd in the back seat, "Do you see this? He's driving us off a cliff."

  2. Senators Brown & Portman, Congressmen Renacci, Gibbs & Boehner,

    You should be ashamed to be a part of the massive scare tactics being used by the government regarding the reduction of spending increases within the so-called Federal "Budget". The Canton Repository's front page announcement of cuts at the Akron-Canton Airport and Meals on Wheels because of The Sequester, is the worst example of scare tactics I have witnessed in 67 years in Ohio. This week we were told most of the jobs at Wright Patterson Airbase would be eliminated because of The Sequester. So, a reduction of less than 3% in spending Increases means we can't fund what is already in place? That is pure BS. Most people don't understand the role that government subsidies play in our lives or the extreme difficulty politicians have in reducing them even for the benefit of all. I have never been more ashamed of politicians and the news media than I am today.

    You sir should be ashamed of being part of such a inefficient failing administration of public trust.

    Cut the real spending amounts by 1% each year for the next 10 years and people who's lives are being supported by taxpayer subsidies will adjust and become more self-supporting. Do not increase your "credit limit" on the taxpayer credit card by which my grandchildren will be enslaved.

  3. If you are driving off a cliff at 100 m.p.h. and everyone says slow down. so you slow down to 98 m.p.h., is everyone happy??

  4. A very sad story. The United States of America, as we know it, is DONE, thanks to R's and D's alike we have been on a spending spree since the Clinton administration. George W. did us NO favors and Obama has just upped the game. As long as we have close to 50% of the voting public on the government tit, it will continue. Our only hope is that when the real shit hits the fan, people will wake up to the games the R's and D's have been playing for years and make real changes. Get rid of all of the lobbiests, yes ALL OF THEM, put in meaningful TERM LIMITS, cut the defence budget in half, close some of the over 100 installations around the world, CUT foreign aid in half and quit giving our known enemies big paychecks thanks to the tax payers. Make the government officials live as the common folks do, no special insurance programs, no super retirement programs and stop all of the perks. That, in a nut shell, will change the USA back into a viable entity.

  5. GreyHawk says:

    Boehner is correct. If the Government wants to raise taxes, how about taxing welfare some, or unemployment checks, or another thing they could do is reduce the paychecks of all Government workers by say 10%, and cut back on benefits that Government workers get, like say healthcare, in fact, why not put all of them including the Congress, President, and Supreme Court on Ovomitcare.

  6. bytejockey says:

    More like you’re driving toward the cliff at 100 MPH, plan to accelerate to 110, then pat yourself on the back for slowing down when you only hit 105.

  7. GreyHawk says:

    We could also quit funding the International Bail Out Fund, known as the IMF, cut funding to the Useless Nations, get rid of the Federal Reserve system altogether, and reduce the Federal Government's workers by about 75%. Homeland Security can stop buying ammunition by the billions of rounds and stop buying high explosives and real assault weapons, the ones that can be fired full automatic, and it goes on and on.

  8. barb patton says:

    this is legal terrorism at its best led by the ayatollah barack hussein obama and his band of thieves

  9. GreyHawk says:

    I think you've got it, understanding that is.

  10. George Lavoie says:

    Every American should see this movie: http://www.fixingamericamovie.com and check out the videos on the website as well. Especially the one on balancing the budget. Ordinary Americans from across the country have a better idea of how to fix the mess the country is in. They just need to be spurred into action! Watch this movie and take action!

  11. Mary Proulx says:

    Very well said NBBigD and GreyHawk this and much more are the reasons this Country is in the sad state of ruin it is in today!!! Why are we The People just letting this administration (completing what has been started before) do anything Obama wants to do without any "holds barred". This is just incomprehensible to me – I sit in awe and watch while he is just destroying our Constitution and everything this Nation stands for and there is NOTHING being done to stop him. I realize that it is, for a large part, the leches that get all the "hand outs" along with illegal aliens being given everything free – all the "gimmies" in this Country who are not wanting things to change. IT HAS TO STOP – STOP THE HANDOUTS AND MAKE THEM GO TO WORK!!! The people who worked and paid the taxes these people are now living on shouldn't be supporting all these lazy idiots with their hands out!!! Yes GrayHawk, "Useless Nations" we are sending all this money to – who are in essence our enemies that we are helping to destroy us. It is just beyond my understanding how the American People have (and are still) allowing this to continue. I never dreamed that I would live to see this wonderful Country evolve into what it has become and seems to be continuing to decline. I remember the ticker tape parades when out men returned to us during WWII and all the times we have honored those Heroes who have fought and died for our freedoms and their love of this Country and it is all being destroyed. We still have our Men and Women in "harms way" for our liberties that are being taken from us as they fight and die. Does this make any sense to anyone, and now they want to put this enemy of our very foundation in as head of our CIA?? We need to start cutting right here at home and stop all the BIG salaries, retirements and long time salaries of past presidents and all the other officials who are taking advantage of all this long term wealth, put them (all of them) on exactly what we have for our Health Care and take all the so called "perks" (I call it theft) they are enjoying, away from them. Stop all Obama and his families vacations and outlandish expenditures along with keeping our money at home and not sending it to bribe other enemy nations (Islamic leaning) as we are now doing. We could be out of debt and have a surplus in two weeks!!!! WAKE UP AMERICA AND STOP THIS NONSENSE!!!!

  12. I'm just going to come out and say it. Gary, you're a dumbass and a troll. "Most Americans are thieves"? You are absolutely stupid.

  13. jim shipley says:

    The only sure thing is that America will be the looser.

  14. Jeanne Stotler says:

    From 1946 until 1956, when my parent retired from Navy Dept. BuOrd, I heard about hiring people not qualified, too many doing same job and WASTE. Remember the $85.00 screw driver and $200.00+ toilet seat, well it still is going on. Obama promised an audit of all Government agencies, didn't happen, After waste is cut, job freeze, fill empty positions from within, pay cut to be comproble to same job in private sector, Congress should be returned to same salary they got in 2009, same for POTUS, VP, and SCOTUS. Eliminate ALL bureaus we don't need, EDU, TSA (airport provide own security) FEMA, HLS, they overlap other agencies, and all experimenting needs to be REAL, not seeing if shrimp get lonely and other BS stuff. All military expense be truly needed, uniforms, ammo and handed to the best bid, not someone who got you elected. What happened to transparent, honest Government, no lobbyest?? Another promise not kept. These things would not cost one job other than those retiring an maybe a dozen or so politicians, starting at the top.

  15. SunshineKid0 says:

    You are correct. Most Americans did not elect Body Odor; he was elected by dead people, illegal aliens and pets, along with some help by illiterate liberals and dumb sheeple.

  16. It's time the choir starts singing louder to the government. So loud that they can't hear anything else until they get the message. No more life timers in congress period.

  17. Bill Smith says:

    The government graft, bailouts, mismanagement, coverups, and lies have finally gotten so large in magnitude that the mainstream media can no longer hide them by just not reporting them. Thanks to the internet, at least some people are watching the train wreck. This was a great country once.

  18. scarletdove says:

    First of all, this is not a game, it is about you and I and keeping this country. This freak Obama has orchestrated this financial situation with his malicious planning. The intent is to destroy with pain as much as possible and make the republicans look like the idiotsdoing the punishing. Those of us who pay attention and are not part of the "Jonestown Syndrome" know full well who the idiot is here………..

  19. The irony of the spending cuts is that most of the departments have had over 20% increases in their budgets over the Obama years, so a 2% cut off of a 20% increase is a joke!. I saw a news release that said that Obama's pre-sequester release of ICE prisoners was definitely an impeachment crime…add Benghazi to the list, and we could get that vile person out of DC if there are enough people in this country with the guts to do anything (or aren't in the liberals/Dems pocket!)

  20. Daniel Spickard says:

    I say we fire every last one of them, and take away all of their benefits! Then let's see who's crying fowl! All I can tell you is that Obama and his leftist minions are going to throw this country into one of the worse depressions this world has ever seen. And not only is he going to bankrupt this country, he's going to bankrupt every other country in the world. For those of you that aren't educated enough to know this, the economy of the world is sowed together like a fine suit. If you pull one thread of the suit, it all comes unraveled. If the United States falls because of the economy, China will fall next, and so forth. Obama is playing with a lot of people's lives. He thinks that he's god. He's not even close. He's only one of George Sorros (AKA Satan) minions. If you welfare people like your freebies, too bad he's going to take all of that away from you, and pocket it himself. You all lose!

  21. Daniel Spickard says:

    Only if you're a democrat!

  22. This enemy in the Whitehouse knows full well what he is doing, but we can’t seem to get any body in Congress to believe
    what he is doing. The man should have been impeached in the last term. No body in Congress has the guts to put it forth
    and start. They are all scared of the muslims. If it was a white Republican evangelical they would have already had
    him out. They tried with Clinton but he was a Democrat so they let him pass. We are paying for Clinton’s sins.

  23. Jeanne don’t forget to defund Planned Parenthood and all the top politicians who are wasting our money.

  24. Daniel Spickard says:

    I actually hope that we do go over the fiscal cliff! Then, and only then will this country learn to live with in it's means. This president seems to think that he is god, and that he can do what ever he pleases. Well it's time the people put a stop to his insanity. Those of you who talk the talk, let's see if you can walk the walk. Put your money where your mouth is, push this congress to impeach this domestic terrorist who calls himself president. Making threats of holding people hostage through their social security checks is just as much a terrorist act as is holding a knife to some ones throat. People said that we had no reason to go into Iraq because they found no weapon of mass destruction. They were wrong! They did find a weapon, it's called large sums of money (American money). Do you know what happens when you throw large sums of currency on the open market all at one time? It deflates that country's currency. Money is just as much a weapon of mass destruction as any nuclear, chemical, or biological bomb. China was about to do the same thing until they found out that it would destabilize their economy as well.

  25. Daniel Spickard says:

    It will be again! Once we get rid of the trash!

  26. Daniel Spickard says:

    Let's start this process this election coming up of congress! Get rid of any one that has more than 2 terms in office. Let's give them their pink slip!

  27. Daniel Spickard says:

    What you fail to realize is that if one country falls, we all fall like dominoes. Every country's economy is tied to another country's economy. If you take one leg out from under a table it will fall. If it falls every one loses, not just that one country. No what is needed is for all countries to put equal shares into the pot, not just one or two, and have every one else stand on the side lines and watch!

  28. Daniel Spickard says:

    The reason this country is in the shape it is in is not completely the governments fault. This war has been going on for countless decades. The problem is nobody saw it coming until the invention of the computer. This war has been fought out between unions and business owners. The more unions make demands for more money, the more companies fight back by buying machines that are controlled by computers. Just remember this when companies take man out of the equation, they make money. The only problem is when you take man out of the equation, who buys the product that that company makes? Where will this stop? This problem isn't only in the United States, it's in every country world wide. We need to nip this in the butt before it comes back to bite us in the butt!

  29. Guess Again says:

    You say, Public opinion polls say most Americans agree. Most Americans are thieves. They want all of the government-provided goodies at someone else’s expense. You calling me a thief? I bet if you were standing in front of this working stiff, me working since I was 18 and am now 59, you would be sitting on the floor wondeing what hit you. So you Tea Party people don't want to pay taxes, but you want us to pay our taxes so you don't have to? Guess again. You Tea Party chicken, lily-livered cowards will pay your fair share. Us American majority will see that you do.

  30. Very strange comment. I have worked since I was 13 and now I am 66 and have no plans to retire.
    But the question is, does the government spend too much? Are there too many giveaway programs? Are there too many people trying to get "free" government benefits?

    Around half the people are paying nothing in income tax. This is wrong and immoral. The bible shows the way. Everyone pays the same amount, 10%, and if it is good enough for God, then it is good enough for me.

    So, too many giveaways? I think the answer is "yes" and I have no doubt about it. If you want to try to hit me, you'll either go to jail or if I am lucky, go to hell after I defend myself, since you seem to be a murderous hater.

  31. GA, Do you actually know anyone who identifies themselves as a TEA Party member? I met about 500,000 one day in 2009 and everyone I met was the All-American hard working stiff you say you are. They were the, go to the 4th of July parade, flag waving, Pledge of Allegiance saying, country loving people who have made this country great. I met a Korean Vet who pushed his wheelchair a half a mile down Penn. Ave. just to say ENOUGH Taxes, ENOUGH bail-outs and kickbacks already. I think he paid his dues to be able to petition his government to stop piling up debt and taxes. The lie that TEA party people want no taxes is just that a LIE. After my tour of duty, I worked for 42 years, paid taxes every year and now I say ENOUGH because this government is enslaving my children and grandchildren by out of control spending .

  32. An addition to that post: There is a House Resolution (HR36) "to establish a select committee to investigate and report on the attack on the US Consulate in Benghazi, Libya". It already has 44 co-sponsors, but it needs more! We can support the bill, harass our elected and paid representatives to co-sponsor and vote for it, watch it like a hawk to make sure that it is really unbiased and that any criminal actions are prosecuted. We do still have a voice, don't we? Or did we give up, crash onto the couch to watch Dancing With the Stars and hope that someday things will be better?

  33. parklitch212 says:

    Good analogy, when you combine it with argoman's post below. The answer is NOBODY is gonna win in this situation, because politics are going to trump common sense every step of the way. Between the cowardly blustering from the career pol's in the House, the inaction of the Cowards in the Senate who won't call Reid's bluff over his shelving of House-passed Bills and non-budgets, and the constant half-truths and idealistic posturing of the WH, this Country's economy is at a standstill. The entire Government is going to stagnate until somebody blinks, and Obama will lie and pass blame no matter what happens.

  34. southernconservative says:

    I agree with you, especially the statement that politicians be treated the same as us …same insurance, salary, retirement, etc. then they will make decisions that are best for the entire country and not themselves.

  35. of course we saw it, we are not hiding under a rock here

  36. I have to agree with Dr. North and disagree with you. MOST Americans have been voting either RINO or Dem. for a very long time. They vote constantly for reps that in no way adhere to the Constitution and much of the voting has to do with the politics of guilt and envy. Whatever the case may be North is NO Troll having written over 50 LONG books, nor is he a dumbass, nor is he stupid. Shane go back to the rock you crawled out from under, either that, or read some of North's books and get an education.

  37. Joseph C. Moore says:

    The word is "loser", pronounced loozer. "Looser" means not as tight, as in "my clothes fit looser since I lost weight".

  38. Joseph C. Moore says:

    "you and ME".

  39. Joseph C. Moore says:

    There is no "fiscal cliff" to go over with reduced spending, and the SMALL "cuts" are not cuts at all. They are merely minor reductions in spending INCREASES!

  40. Joseph C. Moore says:

    Congressman Ron Paul tried valiantly, for his many terms of office, to show the folly of unconstitutional spending.

  41. we are borrowing 46 cents of every dollar spent and you want to cut 1% every year for 10 years? your not even close to a solution. we need at least a 10% cut in spending a year, i would prefer a shutdown of all government agencies that are not needed for national security. this will allow us to not borrow money while paying off our debt and get rid of unconstitutional government agencies allowing the states rights to be returned.

  42. i have no intentions of collecting any government entitlements i have saved up for my own retirement if i decide to retire, i saved up for my own medical care, i believe in taking care of myself without having a nanny state take care of me or make me a slave to the government. i want to live as a grown man on my own free will, i don't need or want a mommy and daddy taking care of me. i am 50 and more capable of taking care of myself then some pinhead in washington. if you dare to take a swing at me i will drop you where you stand, i don't play games with my life, threaten me and your done, my training is to take you out as fast as possible,no ifs ands or buts. by the way swinging on someone for exercising their first amendment rights is a criminal act and as chicken, lily livered cowardly as one can get.

  43. He already raised taxes on the rich. And the Obamacare tax bill raised taxes on almost everyone. Am I to understand that these tax increases are not enough?