Once again, as many jobless Americans await some kind of movement in the unemployment benefit extensions and tax cut bill, we get news that it might be a done deal. Yes, we have heard this before; however, the explanation this time seems to be a valid one coming from those inside who are a part of both negotiating groups.
David Axelrod who is a key Democrat in the House of Representatives and one of President Barack Obama's top adviser has said on a recent news show that he believes that a compromise will be found for the unemployment extension benefits and tax cut bill. He believes that it will happen before the end of the year. The consensus of many experts is that Democratic leadership in Congress including liberals like Speaker Nancy Pelosi will not hold up this unemployment benefits extension tax cut bill despite their obvious anger about compromises.
The Senate will vote on the legislation on Monday; however, this unemployment benefits extension tax cut bill has a much harder sell in the House of Representatives. Many Democrats in the House have said that it would not be voted on until there is a scaling back of tax relief for the rich.
David Axelrod also said that he believed that when the vote comes back to the House of Representatives, the "deal will prevail." He went on to say that Congress can't afford to have taxes raised on 150 million Americans as well as over 2 million people who would lose their unemployment insurance. Axelrod said, "Everybody understands what it would mean for the economy if we don't get this done."
Democrats need to take this deal, as they will lose any creditability with the American people if they don't. Democrats will become the minority party when Congress comes back in January and they won't be in any position to negotiate a better deal on this unemployment benefits extension tax cuts bill in 2011.