Right-Wing Media Downplay Default Risks By Accusing Obama Of "Threatening" Social Security Benefits

[alp227]

Media conservatives are accusing the Obama administration of "threatening" Social Security benefits after the president observed in an interview that he could not guarantee that benefits could be paid if the debt limit were not increased. Economic experts agree that failure to increase the debt limit would force the federal government to prioritize its legal obligations and strain its ability to pay Social Security benefits.

(...)

Fox Nation: "Obama Threatens To Withhold Social Security Checks From Seniors And Vets."

Drudge: "Obama Threatens To Hold Up Social Security Checks."

Breitbart TV: "Obama To Hold Senior And Vets Benefits Hostage For Tax Increases."

(all referring to Obama's CBS Evening News interview)

(...)

But Economic Experts Agree That Social Security Benefits Are At Risk

Harvard Economist Frankel: Choosing Not To Pay Certain Bills "Would Mean Failing To Honor Legal Obligations" Including Social Security. Jeffrey Frankel, a Harvard economist who serves on the National Bureau of Economic Research, criticized claims that "come August 3, the federal government could retain its top credit rating if it continued to service its debt by ceasing payment on its other bills." According to Frankel:

But this would mean failing to honor legal obligations that have already been incurred (paying suppliers for paper clips that have already been bought, paying soldiers their wages for last month's service, sending social security recipients their checks, etc.). This is like observing that the cliff is not a 90 degree drop-off, but only 110 degrees. It doesn't matter: the car would still go crashing into the ocean far below. The government's credit would still be downgraded and global investors would still demand higher interest rates to hold US treasuries, probably on a long-term basis.

full: http://mediamatters.org/research/201107130001

[David Gill]

1. Uh-oh, the President might lose the support of FOX News viewers!

The obvious counter to this is that it's the Republicans that are threatening Social Security benefits by failing to take the debt ceiling seriously, and tying Obama's hands in terms of what he can do.

[TheWraith]

2. Unfortunately, a lot on the left are carrying water for them. As usual.

Look around DU and you'll find all the people insisting that Obama is threatening to starve the elderly just because he feels like it.

[gordianot]

3. My oh my, the screw does turn. n/t

[Proud Liberal Dem]

4. We wouldn't be at this point if the REPUBS hadn't drug us here

by refusing to do something they had absolutely no problem doing 7-8 times during the past 10 years. Obama was trying to make sure people understand the consequences of refusing to raise the debt ceiling and there are a lot of teabaggers whom receive SS. There is a difference between (rightly) warning about a potential consequence of something and holding something hostage but of course why would they waste time worrying about their inaction/obstruction when they can just simply blame Obama for more villainy?

[no_hypocrisy]

5. I thought Eric Cantor was threatening Social Security benefits.