Thursday, October 17, 2013

Leverage

 
 



"Quite often when you enter a negotiation not having any leverage, you end up with only table scraps..."



Everyone who has had any negotiation experience, down to buying a car, understands leverage. Putting it in simple terms, you always need to know where the cards on the table are and how your cards compare. Sometimes in a negotiation you are dealt a losing hand. Plain and simple - no leverage. You do the best you can and usually come back with table scraps.

The "Scolder in Chief" had a presser today addressing the recent two week government shutdown. Unlike last night, he was not very magnanimous. In fact, he wagged his finger and scolded the scoundrels who dared shut down his government. You know, those who worry about our national debt. Democrats and "responsible" Republicans (who don't seem to care about the debt), got the kudos.

Now I don't really care if he chooses to spike the football or not. If he thinks he won this round, fine. I, like many others, think we all lost. However, the next round of this battle is right around the corner. Even though supper is not yet in the oven, the table is already being set. He is setting the table to ensure after the twelve week "negotiation" period, it will not end in yet another government shut down.

If the Republicans agree to a "no shut down" policy, they are nuts. All the President and his Democrat allies would have to do is run out the clock. They would get everything, and all the rest of us would get is more unsustainable debt. We need to be firm and strong that this next time is the last time. Either we fix this thing for once and for all, or we all go down together.

Two more things:
  • I don't know if this is true or not about the Senate Minority Leader. If it is true, that he got an $2 to $3B earmark as a "buyout" for his support, I don't want him within 100 miles of the negotiation table.
  • POTUS is already saying we need a "balanced" approach to fix our long term debt issue. Most of us know his "code speak" by now. "Balanced" means tax the rich even more, with very little real spending. 
I will very interested in how things play out in the next twelve weeks. I know some are still licking their wounds, but it is time to get over it. Failure to prepare for the next round with strategy and resolve will end up in another train wreck. That, none of us can afford.

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