As uncertain and unruly and disheveled as the debt-ceiling debate may be, there are still good grounds to reach a deal.
It could help the economy. It could keep the policy ball moving in the direction of smaller government.
It could add a key business tax incentive for economic growth. And it could even stabilize the dollar.
There really are two problems here: First is raising the debt ceiling to avoid default. (That’s a real good idea.)
Second is stuffing enough spending and deficit reduction into the deal to accommodate the newly militant demands of S&P and Moody’s, who want roughly $4 trillion in cuts over ten years in order to keep our AAA rating.
But here’s the tricky part for me: What kind of numbers are we talking about in the event of a last-minute deal?
So many of these numbers are phony, and they often reflect baseline fiddling and out-year budget cuts that never materialize…