Despite an eleventh hour deal that saved the US from a debt default and sent federal staff back to work, Washington is not out of the woods yet after a 16 day government shutdown.
President Barack Obama said that: “Probably nothing has done more damage to America’s credibility in the world.”
Yet he is seen as the winner of the budget showdown while House Speaker John Boehner, a moderate, struggled to control conservative Republicans.who tried and failed to roll back Obama’s health reforms.
But the deal reached is a temporary solution.
“Oh, I think we are going to have problems come January when this comes up again, but not necessarily over the same issues,” said analyst Michael Tanner of the Cato Institute. “The President just today was saying he thinks we need more revenue as part of any decision. Republicans are not going to raise taxes, so you are back again to Republicans wanting some sort of entitlement reform, cuts in spending, Democrats saying ‘no’, no cuts in spending, let’s get rid of the sequester, let’s raise taxes.”
Among those delighted that the US is now back in business are tourists and tour operators, eager to send a more positive picture of America around the world.