They did it! Whoopee!
It looks like the Democrats and Republicans have agreed to a deal on raising the debt ceiling. How did they do it? It was very simple. The Democrats agreed to almost everything the Republicans wanted.
The deal cuts 1 trillion dollars over ten years and forms a bi-partisan committee to discuss how future cuts are to be made. If the committee comes to an impasse then pre-decided cuts will take place which will effect entitlement programs and the military, something each party will not want. This will drive them into a negotiated deal. The Republicans do not want cuts to the military and the Dems do not want cuts to entitlement programs.
What the deal doesn't have is any increases in revenue. No tax increases to those who caused this economic mess. No cuts to subsidies for oil companies or ethanol producers. No plugging of the loopholes that enables companies like General Electric to pay zero taxes while making record profits.
The little guy gets screwed while the wealthy carry on. They need to contribute to the country also!