Getting This Sequester Started: How Day-to-Day Folks Are Faring

by Alyssa Oursler | March 20, 2013 6:00 am

NewLetters Getting This Sequester Started: How Day to Day Folks Are Faring[1]After much ado and arguing, sequestration … well, it happened. On the first of the month, $85 billion in across-the-board government cuts went into effect.

We’ve had a few weeks to digest the reality, and the reactions vary across the board.

Many say that, despite our eye-popping deficit, the sequester wasn’t even necessary[2] since higher taxes and lower spending are shrinking the deficit on their own.

Breaking it down more specifically, some also argue that previous projections for skyrocketing healthcare costs are overhyped[3], as a steep decline in growth has taken place more recently. With that in mind, cuts targeting this so-called “budget-buster” might not be quite as urgent.

Some chatter is less about the effects of sequestration on the budget, and more about the political aftermath: Obama’s slipping approval rating[4], criticism of the GOP and concerns for and from individual lawmakers.

Representatives Bill Enyhart and Rodney Davis out of Illinois, for example, are both already feeling heat from constituents and are worried about re-election, according to Politico[5].

Of course, that speaks to the reality of the sequester: It’s far more than an “abstract political fight.” Instead, “on the ground, the cuts are real,” as Politico aptly put it. While, sure, that makes the political consequences real too, concerned congressmen are just a domino effect of the tough reality countless day-to-day folks are facing.

With that in mind, take a look at just a few of the still-debated (and maybe unnecessary, if you ask some) sequester effects:

The bottom line is pretty simple: The sequester is more than a talking point, a budget number or a threat to incumbent congressmen.

It’s a real piece of legislation affecting real people — and that is probably affecting you.

The opinions contained in this column are solely those of the writer.

Want to share your own views on how the sequester is affecting you? Drop us a line at letters@investorplace.com and we might reprint your views in our InvestorPolitics blog! Please include your name, city and state of residence. All letters submitted to this address will be considered for publication.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/11/NewLetters.jpg
  2. wasn’t even necessary: http://www.thedailybeast.com/articles/2013/03/14/the-sequester-is-proof-that-washington-thinks-we-are-all-idiots.html
  3. skyrocketing healthcare costs are overhyped: http://www.washingtonpost.com/blogs/wonkblog/wp/2013/03/15/want-to-debate-medicare-costs-you-need-to-see-this-chart-first/
  4. Obama’s slipping approval rating: http://www.washingtonpost.com/blogs/plum-line/wp/2013/03/19/the-morning-plum-so-whos-winning-the-sequester-fight/
  5. according to Politico: http://www.politico.com/story/2013/03/sequestration-cuts-are-already-threatening-house-seats-89048.html?hp=t1_3
  6. weighed down by loans enough: http://investorplace.com/2012/12/the-specter-of-student-debt-is-bigger-than-you-think/
  7. hiked even higher: http://www.foxnews.com/politics/2013/03/15/students-feel-burn-sequester-cuts-in-fee-hikes-on-federal-loans/#ixzz2NztbRJ7n
  8. increasing number of subprime: http://investorplace.com/2013/02/subprime-student-debt-is-a-huge-red-flag/
  9. worst victims of public school budget cuts: http://www.theatlantic.com/business/archive/2013/03/the-worst-victims-of-the-education-sequester-special-needs-students-and-poor-kids/274087/
  10. as The Huffington Post explains here: http://www.huffingtonpost.com/2013/03/19/from-florida-to-michigan_n_2902608.html
  11. 6,000 businesses could be stalled: http://investorplace.com/investorpolitics/the-many-ways-sequestration-could-spoil-your-day/
  12. White House tours: http://investorplace.com/investorpolitics/white-house-tours-canceled-thanks-to-sequester/

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