If Obama and the Democrats would like prevent Moody's from following Standard and Poor they will have a chance as soon as the Senate reconvenes. Cut, Cap, and Balance was tabled ergo it's still on the table and all it takes is courage and votes. CCB would cut $111 billion out of next year's budget and impose spending caps that would save $6 trillion over 10 years. That's $2 trillion more than Standard and Poor wanted to see and may even cause them to change their mind about the down grade. Today the Dow gave up 634 points in spite of the same old speech delivered by Obama. Trade agreements, extend unemployment benefit, spend more on infrastructure, are the pat prescription for what ails the economy. If CCB where to ever reach the Senate floor it would probably pass. I say this for two reasons. First, several polls have shown that there is a greater than 70 percent public approval for a balanced budget amendment. Second, after today's market action voter anxiety will be going through the roof. It was the worst day for the market since 2008 and maybe the worst day of Obama's life. Currently Stuart Rothenberg, a Democratic pollster lists eight Democratically held Senate seats as toss up. Three of those seats will be vacant but Senators McCaskill, Nelson of Nebraska and Nelson of Florida, Tester, and Brown of Ohio really can't afford to buck popular demand much more and be reelected. The video below was made before the debt limit agreement was reached but as far as I'm concerned the down grade made it more urgent than it was two weeks ago. It explains the virtues of CCB and also some of its limitations.
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