It would appear, judging by the market's response and the headlines, that Obama's "unconditional surrender or default" negiotiating tactic has worked... According to AP, the Republicans look to have folded once again:
- *HOUSE REPUBLICANS SAID TO OFFER PLAN ON SHUTDOWN, DEBT LIMIT
- *REPUBLICANS SAID TO SEEK TALKS ON REDUCING U.S. SPENDING
The House Republicans are apparently waiting to hear back from the White House on this latest proposal - which amounts to - our translation - "Ok, you can have your government re-opened, and we'll let you raise the debt ceiling... as long as you really really promise to talk about spending cuts at some point in the future maybe possible please."
Via AP,
Officials say House Republicans are offering to pass legislation to avert a default and end the partial government shutdown as part of a package that includes cuts in benefit programs.
Senior aides to Speaker John Boehner and Majority Leader Eric Cantor outlined the proposal at a late-night White House meeting Thursday with senior administration officials.
In addition to ending the shutdown and increasing the debt limit, the proposal includes an easing of the across-the-board spending cuts that began taking effect a year ago, and replacing them with curbs in benefit programs that Obama himself has backed.
Among them is a plan to raise the cost of Medicare for better-off beneficiaries.
The officials spoke on condition of anonymity, saying they were not authorized to discuss private deliberations.