Erin Burnett: My source says Boehner’s plan probably won’t prevent a downgrade but Reid’s would

posted at 10:06 pm on July 25, 2011 by Allahpundit

Freshly arrived in my inbox from CNN, the very first clip of Burnett in her new gig as anchor — and it’s a huge boost to Democrats. Go figure. I’m tossing this out there because (a) you’re sure to hear this point debated tomorrow by economists various and sundry, so we might as well get the ball rolling, (b) you may very well see it touted by the Cut, Cap, and Balance crowd as proof that Boehner’s proposal needs to be bolder, and (c) Burnett herself seems justifiably skeptical that Reid’s plan gets us any closer to sustainability than Boehner’s does. A quote from later in today’s show, not seen here but sent along by CNN:

So I spoke to an investor who — a very influential investor who had a chance to sit down with S&P. And what he was saying was, the reason for S&P — and as you’re suggesting this — and it’s unclear what they would actually do — but suggesting to him that they felt this way, was really about the size of the plan, not what is in them. I think it is important to emphasize that most people think that both of the plans are really Band-Aids and don’t deal in any significant way with the spending and cost issues in the country.

But the issue was that Speaker Boehner’s plan does not cut enough spending right away. Harry Reid’s plan, of course, would cut about $2.7 trillion. So just because it is bigger than Speaker Boehner’s plan is really the reason that the Boehner plan may still trigger a downgrade.

Right, it’s bigger — and as Burnett herself says in the clip, it’s packed with gimmicks like war “savings.” And of course, like Boehner’s plan, it does squat about entitlements, which are the real drivers of U.S. debt. Which leaves us where? With America’s credit rating in the hands of an S&P that’s drawing distinctions based on … mainly superficial factors? Or is Burnett’s source behaving as cynically as one suspects, trying to nudge the CNN audience towards backing Reid over Boehner for arbitrary/political reasons?

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Comment pages: 1 2

Ahhhh…Kenite owned Goldman Sach’s. Really? /s

True_King on July 26, 2011 at 7:46 AM

Burnett’es source is “a very influential investor who had a chance to sit down with S&P.” Who’s been “sitting down with S&P” lately?

The Administration.

Erin Burnette burns her credibility with her first report!

Sad, but not surprising; that is the deal you make after all, when you contract to become a mouthpiece/shill/pressitute for ACCESS to this White House!

‘Nuff said.

mountainaires on July 26, 2011 at 7:53 AM

In Political Economy, yes. She also worked in the i-banking division at Goldman.

crr6 on July 25, 2011 at 10:37 PM

Goldman Sachs?

The Goldman that liberals criticize as if it’s some evil Republican institution, and yet provided us all with such leading economic lights as current Obama Treasury Secretary Tim “Turbotax” Geithner? The organization from which Obama raised more money than any other in the 2008 election cycle?

That Goldman?

Political economy.” Not to be confused with “economic policy” or “economics.”

Good Lt on July 26, 2011 at 7:56 AM

She was a airhead at CNBC and that`s why they canned her and she is still one now. She doesn`t even understand Reid`s proposal which is all air on cuts etc

HAGGS99 on July 26, 2011 at 8:09 AM

eff them, our rating deserves to be down graded. Time to take our medicine for all the bs accounting over the last few decades. Let’s build it right going forward.

Alden Pyle on July 26, 2011 at 8:11 AM

My source says that Erin is a moron…

jeffn21 on July 26, 2011 at 8:44 AM

Political economy.” Not to be confused with “economic policy” or “economics.”

Good Lt on July 26, 2011 at 7:56 AM

My source says that Erin is a moron marxist

jeffn21 on July 26, 2011 at 8:44 AM

From Good Lt’s wiki link:

Political economy: Today, political economy, where it is not used as a synonym for economics, may refer to very different things, including Marxian analysis, applied public-choice approaches emanating from the Chicago school and the Virginia School, or simply the advice given by economists to the government or public on general economic policy or on specific proposals.[3] A rapidly-growing mainstream literature from the 1970s has expanded beyond the model of economic policy in which planners maximize utility of a representative individual toward examining how political forces affect the choice of policies, especially as to distributional conflicts and political institutions.[4] It is available as an area of study in certain colleges and universities.

[SNIP]

A more classical-liberal approach that dates from the 1970s that denotes ‘public-choice’ theory type approaches which question the benevolence of social planners to maximize the utility of a representative individual and instead stress how political forces affect the choice of policies that may not be so benevolent

The way the govt can best maximize my utility is to get the heck out of my way to let me do or not do as I wish. The problem with these theorists is they don’t account for real-life choices because they never experienced life outside of their ivory tower.

Count it/crr6

AH_C on July 26, 2011 at 10:35 AM

She is coming out of the gate acknowledging her liberal bent. She knows the CNN base and is delivering as they pay her to do.

FireBlogger on July 26, 2011 at 11:37 AM

her source is a moron

georgealbert on July 26, 2011 at 12:48 PM

CNN is now using the White House “Talking Points of the Day” as a source???

…So what else is new???

landlines on July 26, 2011 at 1:21 PM

A 10 year old running a lemonade stand would be more reliable than “your source.”

infidel4life on July 26, 2011 at 1:36 PM

Or is Burnett’s source behaving as cynically as one suspects, trying to nudge the CNN audience towards backing Reid over Boehner for arbitrary/political reasons?

Gee, ya think? This is CNN for God’s sake.

runawayyyy on July 26, 2011 at 2:51 PM

Burnett is using shadow journalism to make a case for Reid’s plan, plain and simple. Either she names the source or there is no source. If this is the best CNN has, then they deserve the cesspool ratings they continue to have. The Communist News Network will never change no matter who is in charge.

volsense on July 26, 2011 at 6:13 PM

I wonder you is the bigger idiot, her unnamed source or any viewer that would believe one word of this diatribe on Boehner’s bill?

volsense on July 26, 2011 at 6:15 PM

I can’t stand to look at this woman, after her discription of the President. If she or anyone had said the same thing about Obama, they would never work in TV or anywhere else again.

http://www.youtube.com/watch?v=9HgvQgGDJuw

Alabama Infidel on July 27, 2011 at 4:56 PM

Comment pages: 1 2