Fact: The sequester cuts domestic spending by only 2.5 cents on the dollar.
KRAUTHAMMER: This is the ridiculously hyped armageddon since the Mayan calendar. In fact, it looks worse than the Mayan disaster. Look, this, as you say, can be solved in a day, in an hour by allowing a transfer of funds. It’s incredibly soluble, easily soluble. And the president is the one who ought to propose it. He won’t, of course, because he is looking for a fight and not a solution. But secondly, look at this in perspective.
In terms of the gross domestic product of our economy this is .03, it’s a third of 1% of our domestic economy. On the domestic side, overall, it’s 2.5 cents on the dollar. And overall, on the non-defense side, it’s a penny-and-a-half on the dollar of reductions. Here we are with a debt of $16 trillion and the argument today is if we cut a penny-and-a-half on non-defense spending in one year it’s the end of the world. If so, we are hopelessly in debt and we’re going to end up like Greece.