SoCal Split Over Who To Blame As US Nears Debt Default

LOS ANGELES (CBS) — Despite calls from Washington for a swift resolution to the fight over raising the U.S. debt limit, there seems to be just as much disagreement in the Southland as there is on Capitol Hill.

Speeches from both President Obama and Speaker of the House John Boehner appeared to drive constituents to contact their representatives on Tuesday as congressional officials reported the House switchboard nearing inbound call capacity and websites also experiencing heavy traffic, according to the Associated Press.

And while it’s not yet clear whether the callers are siding with the White House or Congress, KNX 1070’s John Brooks reports people on the street aren’t shying away from giving their own opinion.

Boehner’s staunch opposition to tax hikes even on the nation’s wealthiest individuals and corporations found at least one local supporter.

“Cut the debt, and no more spending, and cut every department by 10 percent,” said one man.

Since 2008, the effective tax rates for the highest income taxpayers had dropped to their lowest levels in at least half a century.

Another voter said GOP leaders are to blame for obstructing any possible agreement.

“It’s got to be fair and balanced,” he said. “When you go to the table not planning on compromising, you won’t make a deal.”

A poll last week from CBS News found that 71 percent of Americans disapprove of the Republicans’ handling of the debt-ceiling negotiations.

One Democratic voter even accused Republicans of being racially-motivated in their opposition to Obama’s proposals.

“They mad because Obama’s in the White House and he black,” he said. “They don’t like that, so they telling him what to do.”

Regardless of the political fallout from the fight on Capitol Hill, one lawmaker is warning of very real economic consequences for the nation.

California Senator Barbara Boxer told KNX 1070 that any failure to avert a U.S. default could make it more difficult for the federal government to monetize its debt.

“We’re a capitalistic society, and what happens is if we default, we’re going to have raise interest rates on the Treasury bonds in order to sell them.”

  • Arod

    We believed a slogan That went someting like this “Vote for HOPE and CHANGE” . Spending money they don’t have and crying until they get to raise to debt limit and spending money on wild, stupid things is what got us to where we are. Some asking for more and more and others without enough backbone to say no. At this point Obama is the only one to blame. His promise to us was HOPE and CHANGE. We trusted him and so far things have only CHANGED for the worse and I don’t think many people hold much HOPE. I don’t know if anyone can help now but I am sure that spending money that isn’t there with the idea of raising taxes down the road isn’t the answer

    • Cecily

      You’re right. We should RAISE TAXES NOW.

  • jj

    Why do we need to cut our spending when the rich, and corporate rich DO NOT need to cut anything? Rather WE let them get away with tax cuts. Oil companies anyone? GE? Our excuse for letting them get away with this is the following: To keep prices down, to allow them to keep the employed and to keep hiring the unemployed. Have they been doing that? Gas prices are up, AA increased airline tickets when taxes levied off rather than pass the savings along, they are NOT hiring, rather they are laying off. Blame Obama all you want, one thing he is right about, we need to tax the heck out of every single rich corporation and specially the fich folks who get to laugh it all off to the bank.

    • Stubby

      Corporate taxes come right out of the price of their products or services. They don’t pay any taxes! The customers do, which are you and I. The deductions they get are designed by politicians with the intent of sparking growth in particular industries or geographical areas. And “rich folks”? Who are they but hardworking people who make good decisions, educate themselves, invest and save. Not anything like the entitlement minded sloths Obama wants to give money to. Poor JJ, you just don’t get it. Mad at everyone who is successful and blaming your situation on anyone but you. Sad, but you are the Obama voting block.

    • Stubby

      JJ.. Just for your info, individuals who earn higher incomes don’t get any tax breaks. They gradually lose their dependent deductions and most are hit again with the AMT. They pay the highest Federal and State rates. They’re unfairly limited on IRA contributions. What big tax breaks are you referring to for those Orange County parents?

  • Cecily

    It’s obvious that the causes of the debt increase were the Bush tax cuts and the war. Raise the taxes on the wealthy back up to where they were previously, and that should take care of most of the deficit. (The middle-class are spending their tax cut and contributing to the GDP; the wealthy are not.)

    Anyone who doesn’t make at least $250,000 and voted for these crazy republicans…what were you thinking???!!!! You’re getting NOTHING from this. Obama only renewed the tax cuts to protect the long-term unemployed, and I know some long-term unemployed who voted republican. Unbelievable.

  • Louie

    A poll last week from CBS News found that 71 percent of Americans disapprove of the Republicans’ handling of the debt-ceiling negotiations.

    Where did CBS take the poll ? South Central LA and Watts ?

    QUOTE from article
    “They mad because Obama’s in the White House and he black,”
    “They don’t like that, so they telling him what to do.”

  • Steve A

    I laugh when people say to just raise the taxes on the rich ant the corporations, as if the rich are going have to cut back on there own spending.
    The rich corporate owners will be forced to raise the prices on the goods and services that WE BUY. Do you really think they’re going fire the driver of the limo and start taking the bus? Do you think the kids will start going to public school, and the wife will start coloring her own hair and doing her own cooking?
    Do you think giving grocery workers what they want isn’t going to raise your grocery bill? Yeah Right !!!

    • jj

      They can raise the prices of the good as much as they want. The beauty about a capitalism is that one can always chose to buy from someone else. Better yet, why not boycott the hell out of them, see how much they raise their prices then. If people are willing to take a stand, the big corporate bad wolves will realize that they need US, the consumers. Without US, they are NOTHING! One can always find alternatives, such as growing your own food, deciding to go without a new GE product for a few more years, choosing the smaller mom & pop businesses instead of the corporate giants. Credit Unions anyone? Public transportation instead of driving? Americans need to stand up together, we have MORE power than we like to think…

      • upyours

        JJ, just which “people,” are you talking about? The same majority of the pu$$y public that elected A$$brain Brown and then watched with their fingers up their a$$es as the dumb$hit gave eight weeks of paid vacation to newly hired a$$hole prison guards along with other perks?

  • jay Rose

    Shut Up and go back to Orange County

    • jj

      I fail to see any connection. You must be an Obama retractor from Hillbilly Land. So yeah, go back to Hillbilly and keep making the wealthy, wealthier. Or, perhaps, YOU might be one of those wealthy Orange County kids whose parents get those big tax breaks. Scared you’ll stop driving your daddys fancy BMW M5??

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