House Speaker John Boehner disclosed to fellow Republicans what he called a Plan B that would leave in place broad military cuts and cuts to domestic programs.
Republicans have previously argued that cuts to defense would leave America vulnerable.
Boehner promised to continue negotiating on a deficit-reduction deal but claimed the President’s plan was unbalanced and insufficient.
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Some Republicans considered Boehner’s efforts pointless and labeled them a massaging exercise.
Democrats say the President has met the Republicans half way.
Whether Boehner’s plan is indeed an alternative or merely a tool to gain more concessions from the President is hard to tell.
Leaders in the Democratic party feel Boehner’s proposal only kicks the can down the road and advocate a focus on forging a large-scale deficit-reduction agreement.
A new way of calculating inflation would slow increases in government benefits and, at the same time, would slow the year-over-year rise in tax rates.
Some taxpayers would be pushed into higher tax brackets
as their incomes rise faster than the tax rate increases.
But the two sides are still talking and there seems, at least on the surface, to be sufficient basis for being cautiously optimistic that a compromise will be reached.