The best way this could end, for most of those concerned.

[remus_shepherd]

I'm not saying that Obama *is* playing ten-dimensional chess, but if he *were* the timeline might look like this

Comments

[seawasp]

Could he actually do that? Or does that require that pesky thing called "Congress" to agree to his ridiculous ideas of lower deficits and -- especially -- conceding any territory to the COMMIES?

[kgbooklog]

IIRC, treaties are ratified by just the Senate. Can't remember if it needs more than a majority or not.

[bemused_leftist]

Dunno, I'm too busy imagining Daddy Warbucks backing Boener, hoping for "US default condition" -- so he can get "high risk" interest on his bonds.

[terrycloth]

If he already has the bonds, making them higher interest makes them worth less since the final value is fixed.

[bemused_leftist]

The next bonds he buys, may be issued with higher interest rates. Especially if some foreign investors have been scared off, making it more of a buyers' market for US investors. It will also scare off some naive US investors, who don't know that as soon as Daddy Warbucks wants to cash in his bonds, he will instruct Boener (or whichever Republican replaces Boener) to pay them. FTM, it may scare off some canny US investors who aren't Warbucks' cronies, because they know Warbucks may instruct the following GOP Congress to pay only Warbucks-Cronies's bonds,

[bemused_leftist]

In fact, because of the lower debt we now have lower interest payments and are no longer running a deficit. With the stroke of a pen the US is now running a surplus.

Which President Jeb Bush can then spend, like President George W. Bush spent the surplus that Bill Clinton left in 2000.