Geithner Leaving = Treasury Is A Headless Chicken? in [Market-Ticker]

Posted 2013-01-03 12:46
by Karl Denninger
in Federal Government

Geithner Leaving = Treasury Is A Headless Chicken?

Oh now this is good.

There are multiple wire reports that Geithner is leaving before the debt ceiling is "resolved." Since the Treasury Secretary position is one requiring Senate confirmation, and a filibuster can block it, Obama just got pwned in a big way for his rant the other night about how he "won't debate again" over the debt issue.

Oh yes you will Mr. President, as it appears you will have a headless chicken for a Treasury department when the debt ceiling can no longer be evaded and the issue must be faced.

Now we get to find out if the Republican party has any balls.

I'll bet "not", but this should add an amusing amount of drama and no small amount of market volatility to the mix.

Discussion below (registration required to post)

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User Info	Geithner Leaving = Treasury Is A Headless Chicken? in forum [Market-Ticker]
Gamma Posts: 5554 Incept: 2008-01-20 Northern CA Online	Drama, heh, yeah, maybe. There are no son-suicide outcomes that do not involve stuffing more and more feathers in the pillow at this point or any forseeable future point. ---------- This stuff we're going through, this is nothing compared to the Middle Ages. They told me if I voted for John McCain, an idiot would be a heartbeat away from the presidency. Sure enough... 2013-01-03 12:50:53 Permalink
Donethat Posts: 771 Incept: 2009-04-22	We will find out first if the Democrats have stones to change the Senate rules to make a filibuster an actual residing in the Senate talking filibuster. 2013-01-03 12:50:58 Permalink
Ghopper Posts: 2314 Incept: 2011-06-11 Staten Island, NY	It's JAMIE to the rescue!!! (My guess) He'd get 95+ votes because he owns the Senate. 2013-01-03 12:51:13 Permalink
Spanky Posts: 29 Incept: 2011-03-22 United States	So I get that Geithner is gone and cannot sell any deal, but does that really harm Obama? Doesn't it consolidate power for Obama? If a filibuster prevents a new Sec Treas appointment, then doesn't that just give the administration more ammo for "these crazy republicans/tea partiers are trying to destroy the government"? This one is not crystal clear to me... 2013-01-03 12:51:47 Permalink
Helluvaengineer Posts: 35 Incept: 2008-12-04 Atlanta	So you assume that the Republicans have any motivation to block confirmation? I'm pretty damned sure everyone is playing for the same team at this point. The money printing must and will continue. 2013-01-03 12:53:27 Permalink
Maddymax Posts: 4660 Incept: 2008-02-26 PONZIVILLE	don't worry Ben is already on the job ---------- Ben's policy will lead to wage deflation and commodity inflation which will lead to the Greatest Depression and Uprising Ever. Who needs TA we got POMO 2013-01-03 12:54:57 Permalink
Iou Posts: 1025 Incept: 2009-03-16 The Twilight Zone	How many chances do the Repukes get before it becomes clear that they possess vagina's. ---------- "When plunder becomes a way of life for a group of men living together in society, they create for themselves, in the course of time, a legal system that authorizes it and a moral code that glorifies it."- Frédéric Bastiat 2013-01-03 12:55:16 Permalink
Peterm99 Posts: 4984 Incept: 2009-03-21 SoCal	I can't see the problem. Since Geithner doesn't seem to have ever worked for the overall national interest anyway, why would the Treasury being headless be any worse than being headed by Geithner? ---------- ". . . the Constitution has died, the economy welters in irreversible decline, we have perpetual war, all power lies in the hands of the executive, the police are supreme, and a surveillance beyond Orwells imaginings falls into place." - Fred Reed 2013-01-03 12:57:07 Permalink
Np_complete Posts: 28 Incept: 2011-10-18 Near Corner of P & NP	Donethat wrote.. We will find out first if the Democrats have stones to change the Senate rules to make a filibuster an actual residing in the Senate talking filibuster. The democrats claim that they have the votes for the "nuclear option" on changing filibuster rules: http://thehill.com/homenews/senate/27479.... "Leading proponent of filibuster reform claims he has 51 votes" The article makes the point that changing the rules should require 67 votes, not 51. Of course things like "rules" don't carry much weight with these people. Welcome to the tyranny of the majority. One of the main reasons our nation was set up as a Constitutional Republic rather than a Democracy was to prevent this form of tyranny. Last modified: 2013-01-03 13:22:47 by np_complete 2013-01-03 13:11:10 Permalink
Aquapura Posts: 130 Incept: 2012-04-19 Land of 10,000 taxes	The fact that we are here today to debate raising Americas debt limit is a sign of leadership failure. It is a sign that the U.S. Government cant pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Governments reckless fiscal policies. Increasing Americas debt weakens us domestically and internationally. Leadership means that the buck stops here. Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better. Barack Obama, 2006 2013-01-03 13:12:15 Permalink
Trades50 Posts: 4215 Incept: 2007-10-30 Land of Tax and Spend	Quote: The money printing must and will continue. Nothing changes. Since Geithner really didn't do much it shouldn't be difficult to replace him. Another seat warmer? The republicans are scared and the democrats sense a very weak GOP ready for the kill. If Corzine didn't have MF Global he would have been the pick. ---------- When the people fear the government, there is tyranny. When the government fears the people, there is liberty. - Thomas Jefferson 2013-01-03 13:12:16 Permalink
Crzymorse Posts: 1189 Incept: 2010-06-25 Maryland	The debt ceiling will get passed without too much angst. Obama is on quite a run and has a good deal of momentum. My prediction is some tax reform (revenue increases) to go with some entitlement reform to SS (I think the American people are sufficiently prepared for a change) in exchange for a two year cushion on the debt ceiling. I also expect that defense spending will not get cut in any significant manner as the Republicans need to win somewhere for this deal to get through. The Republican party is done for the most part. They know their own electorate will turn against them if they turn off the spigot. 2013-01-03 13:15:49 Permalink
Helluvaengineer Posts: 35 Incept: 2008-12-04 Atlanta	-- If Corzine didn't have MF Global he would have been the pick. Eh, does it really matter? Do it anyway. Think any citizens will do anything about it? Look at the law they are about to force through in IL! No one cares! Last modified: 2013-01-03 13:16:44 by helluvaengineer 2013-01-03 13:16:19 Permalink
Themortgagedude Posts: 8849 Incept: 2007-12-17 saint louis	I've got a lot of friends in Illinois that are going to refuse to comply. We'll see how this turns out. If 25% of those who state that they will refuse to comply do so they'll have to build a lot more jails in Illinois. As for the debt ceiling why the ** would they even bother debating it. If I was the house I would find a level of deficit spending that I was willing to live with and vote in a debt ceiling increase for that amount and then refuse to talk about it any further. And if he's still the Speaker then John Boehner can tell Harry Reid to ** off again. ---------- I'm already visualizing you with duct tape over your mouth. 2013-01-03 13:58:02 Permalink
Drb Posts: 195 Incept: 2011-01-02 TX	In another news, the orange, crying man who folds like a stack of cards when Obama demands anything is re-elected as a speaker of House. Way to go Republicans, I am sure people here who vote Republican are proud of their representatives and will continue voting for them. 2013-01-03 13:59:00 Permalink
Duc888 Posts: 7368 Incept: 2008-11-06 CT, the UNconstitution State	.......all he ever argued for was "no debt ceiling". So yea, we might as well replace him with a rubber chicken. ---------- ...burp 2013-01-03 14:01:17 Permalink
Trades50 Posts: 4215 Incept: 2007-10-30 Land of Tax and Spend	Now that Boehner has been re-elected he'll need some boxes of Kleenex. http://0.tqn.com/d/create/1/0/R/J/8/-/10.... http://assets0.ordienetworks.com/images/.... http://assets0.ordienetworks.com/images/.... ---------- When the people fear the government, there is tyranny. When the government fears the people, there is liberty. - Thomas Jefferson Last modified: 2013-01-03 14:11:54 by trades50 2013-01-03 14:08:17 Permalink
Smacktle Posts: 1361 Incept: 2009-01-20 Texas	Please note that just because Geithner is leaving, does not get him off the hook for a punch in the mouth. He is still eligible and fully deserves his punch in the mouth. Please proceed as needed. ---------- The faults of the burglar are the qualities of the financier. - George Bernard Shaw 2013-01-03 14:11:45 Permalink
Via1 Posts: 43 Incept: 2008-05-24 Boston, MA	With you TMG 2013-01-03 14:15:11 Permalink
Whewt Posts: 2290 Incept: 2008-03-17 Lake Bonneville Shoreline!	Queue the propaganda machine. Republicans are the party of NO Deficits don't matter Republicans are the party of NO Deficits don't matter Two months is plenty of time to get public opinion on the side of the deficits don't matter crowd. I predict the debt ceiling will be raised to something north of 20 Trillion so that they can avoid any discussion of debt before mid-term elections. ---------- Except for the math, it's all going to work out. 2013-01-03 14:26:03 Permalink
Richard112360 Posts: 610 Incept: 2008-02-06 Hooterville Banned	Gotta make sure this baboons ass pays all his taxes before he leaves. He has a habit of forgetting! 2013-01-03 14:26:37 Permalink
Noodleman Posts: 2389 Incept: 2008-11-01	I don't think there is one republican in the senate who owns a hanging sack and actually represents the people. Oh, you might hear a little bickering and there will be a holdout or two. But the republicans will decide behind closed doors which GOP senators can afford to vote pro-Obama and not lose their seats. They will be given the green light to vote pro-Obama while the rest vote 'ney'. That's the way modern day politics work. They bicker on TV in front of you for show and then play grab-ass with the dems as soon as the cameras go away. ---------- "Ammunition beats persuasion when you are looking for freedom." Will Rogers, 4 Nov 1879 - 15 Aug 1935 2013-01-03 14:28:13 Permalink
Blurtman Posts: 563 Incept: 2009-01-24 Banned	Right. Reps from both parties regularly fellate Dimon. He is a shoe in. ---------- I have a reading comprehension problem and the owner banned me for repeatedly displaying it after being warned. 2013-01-03 15:14:16 Permalink
Striker754 Posts: 671 Incept: 2009-07-09	Regarding debt ceiling and spending cuts...recall from Aug 2011: Quote: Under the deficit-cutting measure Congress is considering, the Pentagon could face $825 billion in cuts over 10 years, a reduction seen as unsupportable by people familiar with Defense Department challenges. $82 billion a year in cuts to a $900 billion defense budget is draconian. Dems aren't going to budge on entitlements. Repubs don't want defense touched at all. HTF are we going to cut meaningful spending? Look for BS cuts using baseline budgeting math along with cuts out in the future as a condition to raise the debt ceiling. Replay of 2011. 2013-01-03 15:23:26 Permalink

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