On Monday, Standard & Poor’s, for the first time, shifted its outlook on U.S. creditworthiness to “negative” because of the nation’s accumulating debt. The announcement rattled investors and could increase pressure on both sides in Washington to work out a broader deal as part of the upcoming vote over increasing the government’s borrowing authority.
The president and congressional Republicans have set out sharply differing blueprints to deal with the looming problem. Obama has called for agreement on at least a framework by early summer, which roughly coincides with the deadline for raising the nation’s debt ceiling.
Public resistance to many proposals in the competing plans could greatly complicate those discussions. Altering entitlement programs still involves political risk, the poll shows, and proponents of such changes face a substantial challenge in persuading the public that they are needed.
The two sides are far apart philosophically, and neither enjoys great public confidence: Fifty-eight percent of those polled disapprove of the way the president is handling the budget deficit. Even more — 64 percent — give Republicans in Congress low marks.
The public is split about evenly on whether Obama or congressional Republicans are more trusted to find the right balance between cutting unnecessary spending and preserving priorities.
On that question, public opinion is unchanged since last month, despite the recent battle over funding the government for the rest of the current fiscal year, resulting in a deal that includes $38 billion in cuts and that came barely an hour before the government was scheduled to shut down.
Congressional Republicans maintain a narrow edge over Obama when it comes to taking a “stronger leadership role” in Washington, 45 to 40 percent. And political independents side with the Republicans on tackling the burgeoning debt. But Obama maintains a key, double-digit advantage among independents when it comes to “protecting the middle class.”
The Republican budget plan, drafted by House Budget Committee Chairman Paul Ryan (Wis.) and approved by the House last week, calls for a major restructuring of Medicare and Medicaid, with sizable savings in future costs. Obama, in his plan, opposes the GOP’s restructuring, but he has said that future savings will be needed to keep Medicare solvent.
The Post-ABC poll finds that 78 percent oppose cutting spending on Medicare as a way to chip away at the debt. On Medicaid — the government insurance program for the poor — 69 percent disapprove of cuts.