"Along with giving Ben Bernanke another term, the Senate voted yesterday to boost the federal debt ceiling by another $2 trillion to a titanic $14.3 trillion. Yet as Democrats debate whether to use the headroom to launch a new trillion-dollar health care entitlement, the choice may not reside with the House (which must still vote on the debt ceiling) but with the bond market.

Trading in the credit-default swap market this week shows that investors now view a default by the U.S. Treasury as more likely than a default by the Coca-Cola Company. Until very recently, this scenario seemed about as likely as Coke winning a taste infringement suit against Coke Zero. Now the United States has taken its place next to Italy and Spain in a special club that no major country wants to join -- countries whose debt is considered less safe than that of Blue Chip businesses.

Mr. Obama may not be deterred by the verdicts rendered by voters in Massachusetts, New Jersey and Virginia lately. But he won't be able to ignore investors if they send Washington's currently cheap borrowing costs soaring. That would surely be the result if markets become convinced that spending and inflation are destined to run out of control under the combo of Nancy Pelosi and Ben Bernanke. To be sure, we're not there yet. But the recent financial crisis should have taught us that, when markets make up their mind that the story has changed, they can turn against you with blinding speed. "

Will this give Washington pause?

no.

Not a chance.

Just spend baby, when the money runs out just go out back to the money tree...

What do you mean I am out of money, I still have checks

and I see russia is recommending everyone bail out of Fannie and Freddie....

I don't know if the U.S. can survive another 3 years like the last one...........................

Hey maybe the Russians will bail us out the way they bailed out Iceland?

So how much more would you be willing to pay in Federal taxes to fund the wars in Iraq and Afghanistan? Just so we don't keep, you know, borrowing money we don't have.

Since there's such a strong objection to raising the debt ceiling by Republicans I find it interesting that the Republicans didn't insist on seating Scott Brown before they voted on this issue.

What percentage of the budget is funding the wars?

AAN for Uncle Sams loan app:

Insufficient income for amount of credit requested

How about CRA points

How much more in Federal taxes are you willing to pay for health care reform. I will make a deal with you. I will pay an increase in taxes for the wars if I am exempt from tax increases for health care.

Those are the kinds of deals this administration cuts.

Zero. Funding/borrowing for Iraq and Afghanistan is done through Supplemental Appropriations bills that keep it out of the budget. If you're looking for a number to reflect the revenue to be raised, the 2010 appropriations are just over $130 billion.

As long as I can pay an increase in taxes for healthcare if I'm exempt from the wars.

And the deficit is 1.35 trillion, so only about 10 percent attributable to the two wars. Sounds like nearly the equivalent of proposing a spending freeze to save only $15 billion.

You got it. I would also like to be exempt from social security, medicare, medicaid taxes as I will never use those services and don't agree with them.

I would also like to be exempt from federal taxes for the department of education, as I disagree with the federal government funding education.

You good with that?

BTW Buccs, I know you beleive the rhetoric regarding cost savings, but since the war expenses will end at some point, but the heathcare costs will always be there, you may want to rethink that deal. Or perhaps that is how liberals make financial decisions

No doubt. Look at the cost of the war over the last five years. It is nothing compared to our deficit.

I'd rather cut programs you think are worthwhile...list please?

This is from slate but I thought it was funny:

George W. Bush's suggestion for passing healthcare:
Declare that the U.S. is at war with the forces of Death and Disease. Seek a joint resolution stating the same. Scare up support by telling voters they're all going to die. Have the office of legal counsel draft a memo declaring that the president has the inherent and unfettered authority to protect the nation against the evil "Duo of Demise." Implement the preferred version of health care reform through a secret executive order and pay for it with the 2010 war supplemental. Repeat as needed.

Well played, sir.

What a great idea! Sort of like the way you can do targeted giving through United Way! Allocate your tax payments to those causes you support! What could be more American?!

that's pretty good. Not as good as Obama's refrain

Obama: I will listen to any ideas.

Republicans raising hand

Obama: Any ideas at all

Republicans ooing with hands raised trying to be noticed

Obama: Any ideas, I don't care where they come from

Republicans jumping up and down waiving arms

Obama: I guess no one has any other ideas. We'll just have to go with liberal ideas only and I am saddened that the other side has decided to be obstructionists.

but can you see russia from your back porch?

I was hoping you would take it with a grain of salt. I was laughing.