Today is the start date for automatic sequestration for Defense and discretionary domestic programs. President Obama has called a meeting this morning with Congressional leaders to explore options, but no one is optimistic, given the obstructionist Rethugs who have ruled out any closing of tax loopholes for corporations and the wealthy as part of the deal.
There's been a tremendous number of claims and counter-claims about the impacts of the sequester; even the Rethugs are divided over whether the cuts will have a dramatic impact or not, with teahadists claiming there won't be, and neocons and corporate Rethugs saying there will be. Norman Ornstein and Thomas Mann have a good article in the Kaplan Daily which they examine some of the myths about the sequester. One myth that should be exposed immediately is that sequestration represents a "2 percent" cut in Government spending, when in fact Social Security/Medicare/Medicaid and service on the debt aren't part of the sequester, only Defense and domestic programs which are less than half of all Government spending. We're also five months into fiscal 2013, so the $85 billion cut is applied to a seven month timeframe.
The Rethugs are hoping that they can wait the President out, before public opinion sours even more on them. It's a wait that will hurt real people and the economy, but when have the tax loophole-loving Rethugs ever cared about that?
