Thu, May 24, 2012, 8:30 AM EDT - U.S. Markets open in 1 hr.

Discover Yahoo! With Your Friends

Explore news, videos, and much more based on what your friends are reading and watching. Publish your own activity and retain full control.

To get started, first

YOUR FRIENDS' ACTIVITY

    As Shutdown Looms, Both Parties Are Still Ignoring the BIG Issues

    The clock is ticking on Washington to come up with a budget compromise. The Federal government runs out of funding on April 8. If both sides of the aisle can't bridge the budget gap a government shutdown may be in our future.

    Democrats are now offering to cut another $20 billion from the budget, bringing the total amount of cuts they have agreed to to $30 billion, still well shy of the $61 billion Republicans are demanding.

    "They're starting to get into the details. The devil's always in the details," Jonathan Allen, Politco.com's senior congressional correspondent tells Aaron Task and Henry Blodget in the accompanying clip.

    Some of the especially problematic issues surround the GOP's desire to defund Planned Parenthood and National Public Radio, and their wish to prevent the EPA from regulating greenhouse gases. These programs are small potatoes in the overall budget but could create major ideological roadblocks in the negotiations. "The problem is the more they get into [the details] the tougher they become to resolve," says Allen.

    In the end, it's probably not in either party's interest to cause a shutdown. "I would still suggest it's unlikely that there will be a shutdown and if there is one it will be very short-term because whoever starts losing the public opinion battle on that will capitulate fast," says Allen.

    As Henry points out, this entire ordeal is a bit of a sham. The two sides are arguing over $30 billion or so on a $3.7 trillion federal budget. Meanwhile the deficit is projected to reach $1.6 trillion this year.

    To make a real dent in the country's fiscal mess politicians must address entitlements and taxes. "If they're not willing to get in a room and discuss those," this current figure being debated makes very little difference in the long run, Allen admits.

    It's partly our own fault, he explains. "This stuff isn't going to get resolved until the American Public gets upset" enough to make it a priority.

    In some cases we're reached the breaking point. Ask the Tea Party.

    Yahoo! Poll

    Will Congress get anything accomplished before the November elections?

    Loading...
    Poll Choice Options
    • Yes
    • No
     

    257 comments

    • Zoober  •  1 year 2 months ago
      If Congress would forget about the special interest groups that own them for 5 minutes they could solve these problems. It is hard to take care of our sugar daddies and do the right thing.
      • Shawn 1 year 2 months ago
        Do you consider retirees as a special interest group? I think they are. Do you think education is a special interest group? I think they are. I don't mean to single out anyone. The point is there are many "interest" groups that we belong to but not actively think we are. Hence I think until the nation is educated about our budget crisis (truthfully!!) and prioritize our spending and establish and stick to the plan, we will never get there. My 2 cents.
    • Jeff  •  1 year 2 months ago
      They are bickering about 0.8%. That's less than 1% of the total budget. Of course it is a sham!! American people better wake up soon or it's lights out America.
      • Rascal Dog 1 year 2 months ago
        Of course. Republicans don't want to do real cuts in spending, they want some political hits. NPR, Big Bird, EPA, etc.
        Borrow and Spend Republicans are out to wreck the government and the nation.
        I fear for the Republic.
    • Andrew The great  •  1 year 2 months ago
      14 years ago, the Federal Government's size was 1.7 trillion.

      The deficit for FYE ending 9/30/11 will be (1.7) Trillion.

      What a disgrace, complete and utter disgrace.

      Americans don't know or are in denial.
      • David 1 year 2 months ago
        Bush's THREE TRILLION PLUS Iraqui War was the final nail in the coffin.
        The GOP deserves to be buried in 2012.
    • Skip  •  1 year 2 months ago
      Here' s an angle...make a rule that the house and senate members pay for their own health insurance and reduce their retirement the same as most retired teachers must live on, and recieve a 1 percent raise each year based on their original award. They could also contribute to their own retirement fund out of their salery. Let them
      invest and buy IRA'S or mutual funds OUT OF THEIR SALERY..Maybe if they had to plan like the rest of the work force, they would feel like it was a job that they were selected to do, rather than an extended vacation to God knows where on the tax payers. They may become curious when they see that their health insurance co's stock sells for $45 a share . I know.. If I was so smart, why did I not become a politician? 1931 was a slim year to be born. " Thirty years too soon "
      • A Yahoo! User 1 year 2 months ago
        AMEN! And put them on SS and Medicare just like the people they are being paid to serve! US.
      • Rascal Dog 1 year 2 months ago
        Only if they can't take millions from lobbyists like they do now.
    • M  •  1 year 2 months ago
      Someone please correct me if I am wrong. In 2010 the Govenment recieved 2.2 trillion in tax and spent 3.5 trillion. A shortfall of 1.3 trillion. The governmnet wants to spend 3.7 trillion this year which will have a shortfall of 1.5 trillion (it is possible that since the economy is a little better tax reciepts could be 2.3 trillion). WHAT I AM GETTING AT IS THAT THEY ARE FIGHTING OVER CUTTING WHETHER TO CUT 30 BILLION OR 60 BILLION WHEN THE SHORTFALL IS 1500 BILLION (OR 1.5 TRILLION). It's like thinking you can pay your 15 hundred dollar rent with 60 bucks.
      • Mark 1 year 2 months ago
        These loosers in Washington have never had to deal with reality! They are incapable of doing thier job!
      • Mike 1 year 2 months ago
        All elected officials should be required to pass a test on basic accounting. They don't have a clue! Even worse, they have no idea how clueless they are.
    • Frankie  •  1 year 2 months ago
      Who in the world do those "representatives" think they are? I am so sick and tired of excuses for why they cannot cut the budget! When Joe Q. Public has less money coming into the household, he MUST tighten his belt - eat peanut butter and jelly instead of steak.

      It's time to grow up and quit printing money. Sure I would like to live like I make $100K, but I don't because I can't afford the debt. Why do our "representatives" ignore the people who elect them?? Because they think they can. Wake up America!
    • Simple truth  •  1 year 2 months ago
      It is going to get worse before it gets better. Every American is going to have to be willing to sacrifice - very few are willing. In general, as a whole, the entire mentality of the country will have to change and get away from the consumeristic "I want it all, and I want it now" state of mind. Politicians are just a magnified relfection of the average American attitude. If you disagree, you're likely part of the problem.
    • Hopeful  •  1 year 2 months ago
      How about once a budget approval is late,no salary for congressmen and senators until a budget is approved. NO retroactive payments either.
    • Kevin  •  1 year 2 months ago
      If you don't think the deficit and debt is a big issue then you are an idiot
    • Last L  •  1 year 2 months ago
      end these dam $ wars
    • JamesB  •  1 year 2 months ago
      Our country has not had a budget for 18 months and Congress and the Executive branches can not work together to formulate one. Perhaps if these two groups were not being paid and were told they would not get paid again until they got together on a budget something would shortly get resolved.
    • HTIBRW.com  •  1 year 2 months ago
      republicans wont budge on defense.
      democrats wont budge on medicare/medicaid.
      neither party is talking about social security reform.
      all of us have to pay interest on the debt.
      those FIVE things account for 95% of the debt.
    • Guy Fawkes  •  1 year 2 months ago
      Everything is getting better here folks, don't worry - no need to panic! We are merely experiencing the effects of a jobless recovery. All is good! Please continue shopping and paying taxes.

      This is a test. For the next one hundred and twenty months, the United States Federal government will be conducting a test of the Emergency Economic Response System.

      This is only a test.

      If this had been an actual economic emergency you would have been instructed what to do and what to buy.

      Furthermore, if this had been an actual economic emergency you would have not been able to find immediate re-employment, denied any unemployment benefit extensions, been asphyxiated by taxes and inflation, and would be losing your homes and other/all personal properties to foreclosure, repossession and other legal proceeding brought against you by your friendly neighborhood banking institutions.

      Again, do not panic! This is only a test���
    • walter  •  1 year 2 months ago
      Just the fact that since the 70's we knew we very going to be held hostage by the Middle East countries because of oil and CONGRESS DID NOTHING ABOUT IT is enough proof that our congress does not guts to do what is best for the country, even on major issues. I hope you are not surprised they have not changed. I will NEVER vote of a congress person who has had two terms in office until laws have been enacted to insure that the US attains energy independence and major deficit reduction. NEVER.
    • taopraxis  •  1 year 2 months ago
      Raise taxes and crash the economy so we can afford a few extra foreign wars. Three wars just isn't enough...Most falling empires are fighting at least half a dozen wars by the time they go bankrupt.
    • OlLady  •  1 year 2 months ago
      Trillions of dollars short and the Republicans want to eliminate funding for Planned Parenthood and NPR radio? Please....that's polical peanuts!

      Stop with the crap and stop spending on those things that will actually save money:
    • Rob  •  1 year 2 months ago
      To whomever thinks Donald Trump would make a good president is an idiot. By no means is he a good business man. Is he good at promoting himself... yes. Good with business... no. He started on daddy's money and has been in the right place at the right time since. Money makes money, even if you are a @#$%. I could not take listening to that arrogant @#$% toot his own horn. Could you imagine how big his ego would swell?

      You want a true civil servant, then research Ron Paul. He is the only REAL rep that I know of. Today's dem's spend too much on garbage in house and rep's spend too much overseas. Either way they both spend too much! Aside from the current idiots in office, the uninformed/ignorant voting public is the biggest threat to this country; period.
    • Robert  •  1 year 2 months ago
      The problem is not government. The problem is the people in government.
      This problem is created by the voters.
    • acidopholus  •  1 year 2 months ago
      Or we could bring our troops home --- from Germany!
    • Zoober  •  1 year 2 months ago
      Is there anyway to throw out all members of Congress for non performance? A mass special election and throw all these bums out. Then pass term limits, no lobbyist, and public campaign financing.

    FOLLOW THE DAILY TICKER

    The Daily Ticker covers the most important business stories of the day -- the economy, investing, corporate leadership and politics. The Daily Ticker picks up where Tech Ticker left off and is hosted by Aaron Task, Henry Blodget and Daniel Gross. Often serious, sometimes irreverent and always interesting, The Daily Ticker gives viewers a unique take on the business world's most crucial stories.

    Subscribe and RSS

    [X]

    How to subscribe

    Roll over each section to subscribe using Add to My Yahoo! or RSS Feed feeds.

    Yahoo! News offers dozens of RSS feeds you can read in My Yahoo! or using third-party RSS news reader software. Click here to find out more about RSS and how you can use it with Yahoo! News.
     
    Recent Quotes
    Symbol Price Change % Chg 
    Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
    You need to enable your browser cookies to view your most recent quotes.
     
    Sign-in to view quotes in your portfolios.