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Economy

Even After Proposed Hike, Reagan Increased Debt Ceiling Twice As Fast As Obama

Despite recent rhetoric from GOP lawmakers, Republican presidents have raised the statutory limit on U.S. debt by a much greater percentage than either of the two Democrats elected since 1981. According an analysis of historical data compiled on the statutory limit by the Office of Management and Budget, former President Ronald Reagan outstrips all other executives to date, increasing the debt ceiling by 199.5 percent during his eight years in office. He is followed by President George W. Bush, Jr. at a 90.2 percent increase over eight years and by President George H. Bush, Sr. at a 48.0 percent increase over only four years in office.

Democratic Presidents Bill Clinton and Barack Obama, on the other hand, have only raised the debt ceiling by 43.6 and 26.3 percent, respectively. It remains to be seen whether or not Congress will reach a compromise and pass legislation to increase the statutory limit again by the Aug. 2 deadline issued by the U.S. Treasury. Even if Congress does pass the proposed $2.4-trillion increase, Obama will still be looking at a total increase of 47.5 percent over his first term — less than half of the increase that Reagan oversaw during his first four years. See the OMB’s historical figures charted:

Sarah Bufkin

Alyssa

‘Cowboys and Aliens’ Is Apparently About Reconciliation Between White Settlers And Native Americans

And I thought it was some goofy-lookin’ nonsense about Daniel Craig and a very expensive piece of jewelry. Jon Favreau tells io9:

We’re not revisionist historians here. There is a lot of talk about people killing people and the Apaches and the scalps. We started off with images from the Blood Meridian right off the top. It’s a dark world. Harrison Ford’s story about what he witnessed as a child with the atrocities committed upon the settlers and the Indians are saying all these terrible things have come from the white people … and they’re [both] right.

Instead of making it like they’re all playing nice together and they happen to be friends right off the bat … even Harrison Ford and Adam Beach — who clearly have a very strong bond, stronger in many ways than he does with his own son — he’s conflicted about that feeling. But yet, in his heart, he still looked after him like a son and is seen as such.

Who knew? After a summer where race is left out of a movie about the struggles of the ’60s, and Captain America blithely ignores the unintegrated realities of the American Army in World War II, it’s refreshing to hear a director call revisionism by its name and express hopes of avoiding it. I don’t think this movie, or every movie, has to be about aggressively forcing viewers to confront the difficult truths in America’s past, but accepting the truth for what it is and building your fictional world in response to it and in acknowledgement of it is good practice, and good storytelling. Conflict is generally more interesting than whitewash.

NEWS FLASH

Boehner’s Debt Ceiling Bill Passes The House | Speaker of the House John Boehner’s (R-OH) debt ceiling bill, complete with its requirement that Congress approve a balanced budget amendment before raising the ceiling again in six months, passed the House moments ago by a vote of 218-210. 22 Republicans voted against the bill, along with all the Democrats. Senate Majority Leader Harry Reid (D-NV) has said that the bill is “dead on arrival” in the Senate.

Security

World Reacts To Debt Ceiling Debacle: ‘Irresponsible,’ ‘Worst Kind Of Absurd Theatrics,’ U.S. Politicians A ‘Laughing Stock’

Our guest blogger is Ken Sofer, special assistant with the National Security and International Policy team at the Center for American Progress.

The rhetoric over raising the debt ceiling has become increasingly harsh as Democratic and Republican congressional leaders trade barbs back and forth. But as the U.S. inches closer to defaulting on its debts for the first time in history, criticism of Congress is starting to come from beyond our own borders. From France and Germany to China and India, countries around the world are angry that American politicians play with the possibility of a U.S. default like a yo-yo with little regard for the international economic system that depends on American solvency.

Despite China’s traditional preference of staying out of the domestic affairs of other nations, senior Chinese officials’ frustrations are growing louder and louder. Stephen Roach, the non-executive chairman of Morgan Staley Asia, said senior Chinese officials told him the debt ceiling debte in the U.S. is “truly shocking.” “We understand the politics,” a Chinise official said, “but your government’s continued recklessness is astonishing.” And newspapers around the world are voicing discontent with Congress’s handling of the debt ceiling:

Conservative German Die Welt: “[T]here are few signs of self-doubt or self-awareness in the U.S. … [The Tea Party movement] sees the other side as their enemy. Negotiations with the Democrats, whether it’s about appointing a judge or the insolvency of the United States, are only successful if the enemy is defeated. Compromise, they feel, is a sign of weakness and cowardice.”

The German mass-circulation Bild: “What America is currently exhibiting is the worst kind of absurd theatrics and the whole world is being held hostage… Most importantly, the Republicans have turned a dispute over a technicality into a religious war, which no longer has any relation to a reasonable dispute between the elected government and the opposition.”

French newspaper Le Monde:”The American politicians supposed to lead the most powerful nation in the world are becoming a laughing stock.”

Chinese state-owned newspaper Xinhua: “Given the United States’ status as the world’s largest economy and the issuer of the dominant international reserve currency, such political brinksmanship in Washington is dangerously irresponsible.”

The founding documents of many nations around the world take their inspiration from and quote the U.S. Declaration of Independence and Constitution. But now, foreigners don’t seem to be too inspired watching the intransigent wing of one political party that controls one house of one branch of the federal government hold the entire U.S. hostage. American soft power has taken a self-inflicted hit as a result of the debt ceiling debate.

Even if Congress manages to forge a deal against the wishes of the Tea Party and deliver a bill to President Obama’s desk raising the debt ceiling before default, the damage to our international standing has already been done. Other nations won’t forget how some members of Congress were so careless to allow the international economy fall into another financial disaster in order to score a few political points.

NEWS FLASH

Obama May Allow Some Insurers To Opt Out Of Covering Birth Control | “The Obama administration is debating the inclusion of a conscience clause that would allow some insurers not to cover contraception on religious grounds, POLITICO’s Lester Feder is now reporting. “Internal disagreements over the issue have caused an announcement of the administration’s position to be delayed more than once this week” and a final announcement is expected Monday at 2 p.m. In a report released earlier this month, the Institute of Medicine (IOM) recommended that insurers provide coverage for contraception without additional cost sharing.

NEWS FLASH

GOP Sen. Thune: Tweaked Reid Plan Probably Won’t Be Filibustered, Could Pass House | Appearing this afternoon on Fox News, Sen. John Thune (R-SC) said that if Senate Majority Leader Harry Reid (D-NV) brings his debt ceiling plan up, it will get a vote in the Senate. In other words, enough Republicans would support Reid to prevent a filibuster. Thune also suggested that, if the Reid plan was “strengthened” it could collect 216 votes in the House, enough for passage. Watch it:

Yglesias

Lack Of Borrowing Authority Will Lead To Largest-Ever Decline In Nominal Gross Domestic Product

Setting aside all the possible credit-related issues, what happens to the economy if the federal government suddenly needs to slash spending because it can’t borrow any money? Well, as Michael Ettlinger and Michael Linden note, it would be the biggest shock to overall national spending ever:

This would, if at all sustained, clearly tip us back into recession.

Alyssa

Media Representation And Thresholds For Success

On the NAACP Convention agenda this year? The lack of roles for black actors and the odd lack of space for stories about black characters in the vast sea of the media market. I don’t think anyone particularly disagrees that it would be a good thing for people of color if they were more accurately represented in our popular culture, and that it’s a good thing for people of all backgrounds to have more original stories in the mix. So the question, I think, is less, should we do this? and more how do we convince people to do this?

The threshhold that had to be crossed to get a lot of projects by, and about, funny women in development for film and television appears to have been the $164 million domestic gross for Bridesmaids. Why it wasn’t, say, the $153 million domestic gross for Sex and the City, is one of the secrets of the dark art of box office alchemy that’s probably better left unexamined lest Nikki Finke and Harvey Weinstein end up examining one’s entrails on a sound stage covered with pentagrams and candles. But whatever it was, there was a clear and repeated demonstration that women had money and would spend it on movies that depicted characters that they either identified with or saw as aspirational figures, and at some point, the studios were confident that this was a thing that they could do that would consistently make enough money to allow them to swim, Scrooge McDuck-like, in vast swimming pools of lady-riches.

So what’s the tipping point for movies about and starring people of color? Clearly, the streak Will Smith had between 2004 and 2008, when Shark Tale, Hitch, The Pursuit of Happyness, I Am Legend, and Hancock all made more than $150 million domestically and more than $350 million abroad, doesn’t seem to have done it. Or maybe it’s just that if an individual African-American actor generates enough revenue, rather than taking that as proof of the ability of African-American actors to be broadly appealing to audiences, studios instead start to see those individual actors as black rather than green. Tyler Perry’s movies have done fine — $50 million for Diary of a Mad Black Woman, $55 million for Why Did I Get Married? and $60 million for Why Did I Get Married Too?, $31 million for Daddy’s Little Girls — but either Perry isn’t that interested in moving beyond his core audience, as is his right, or even though he has his own studio, he’d have trouble finding distribution for a movie that’s meant to go beyond that core audience. I’d like to think the $603,625,827 that Fast Five‘s made so far worldwide would be enough money to make studios think about every aspect of it, rather than simply the fact that it’s the next installment in a successful franchise, and we’ll have to see.

If you don’t control an industry, it’s not surprising that you might have to work harder to succeed in it, however unfair that seems. But I’d love to know what counts as success for people of color? And at what profit point does the industry count black audiences, Latino audiences, Asian audiences, and white audiences who don’t only want to see white faces on screen as mainstream?

NEWS FLASH

GOProud Uninvited From CPAC 2012 | According to The Daily Caller, the American Conservative Union’s board of directors have voted to not allow gay conservative group GOProud to sponsor next year’s Conservative Political Action Conference (CPAC). By participating in this year’s conference, GOProud raised controversy among fellow sponsors, some of whom dropped out in protest. The ultraconservative John Birch Society will also be prohibiting from co-sponsoring the event.

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