Reply #19: Their darling is very much on the line...military spending

[Sheepshank]

Not too long and a pretty good perspective and idea of how this is actually to be implemented...and it's real political implications http://www.editedforclarity.com/2011/08/01/debt-ceiling-deal-the-devil-is-in-the-details/

....The CBO baseline already assumes that the Bush Era tax cuts will expire at the end of 2012. The spending levels for 2013 include the additional revenue from those cuts expiring. If Republicans want to extend those tax cuts (which are considered spending), they will have to make cuts to the budget to offset every penny. They won’t have the political control needed to do that before the end of 2012, even if the President loses his office and they take control of the Senate, as the cuts expire in 2012, and a new administration and Congress would not be seated until January 2013.

So, unless Republicans want to try to pass an extension along with offsetting cuts during an election year, those cuts will expire. Senate Majority Leader Harry Reid has already said he will not allow the issue to come to a vote, and the President has vowed he will veto it. So if Republicans want to extend those cuts, they will have to come up with $4T in spending cuts to offset the tax cuts. To make it more difficult still, the deal makes it clear that those cuts must come in a 50/50 ratio between defense and non-defense spending, with Social Security, Medicaid, unemployment insurance, civilian and military retirement off the table. Medicare cuts would only come from the provider side, not the individual.

Now, take that in for a minute. If Republicans want to extend the tax cuts, they will need to cut an equal amount out of spending, with half of that coming from defense spending. Half. This is in addition to the $350B that are already being cut as part of this deal. To get their tax cuts, Republicans would have to slash another $2T from defense spending............