Is a not-so-grand bargain back?
Let’s hope not. Here’s why:
What is the GOP incentive to deal? First, getting the signature of a Democratic president on a bill reducing entitlements would be a victory for a generation’s worth of Republican candidates. Casting GOP politicians as Granny-bashers would be harder to do after a Democratic White House tweaks Medicare and Social Security. Second, even token reforms by Obama in 2013, opens the door to deeper entitlement changes in the future.
There is no reason to cut Social Security and Medicare. None. Neither contribute to the deficit, both have their own dedicated funding mechanisms, and with minor adjustments they can made solvent without benefit cuts for decades. The grand bargain ain’t that grand. It’s not grand at all.


![diadoumenos:
U.S. selling its remaining stake in AIG
The U.S. Treasury said it is selling the rest of its stake in American International Group Inc., in effect closing the books on one of the biggest and most reviled bailouts of the financial crisis that engulfed the world four years ago.
The sale of the Treasury Department’s remaining 234 million shares in an offering announced Monday would wipe out the government’s 15.9% stake and pad the $15.1-billion profit it has made already from the giant New York insurer.
The Treasury Department still would hold an undisclosed number of warrants in AIG, but taxpayers no longer would own a piece of [AIG].](http://25.media.tumblr.com/328a60ab8c4b97ba61b93be6cd7bf1e5/tumblr_mevmsxDAhg1qztsh3o1_500.jpg)

