The picture below describes the situation better than any words I can provide. The problem will be pushed back with a "compromise" on the cliff. Then the debt ceiling will be raised. No real solutions will be reached. No tough decisions will be made. As Kyle Bass so eloquently described in his most recent speech posted yesterday, Japan and the US live in a world today where the over half the debt is financed by interest rates at 0%. When that changes, and it will change, the world will be completely different from what you know and see today.