By ALAN FRAM and JENNIFER AGIESTA

WASHINGTON (AP) — Most Americans think jarring economic problems will erupt if lawmakers fail to increase the government’s borrowing limit. Yet they’re torn over how or even whether to raise it, leaning toward Republican demands that any boost be accompanied by spending cuts.

According to an Associated Press-GfK poll, 53 percent say that if the debt limit is not extended and the U.S. defaults, the country will face a major economic crisis. An additional 27 percent say such a crisis would be somewhat likely, while just 17 percent largely dismiss the prospects of such damage.

Separately, Republican officials said Wednesday that GOP lawmakers may seek a short-term extension of the debt limit, thus avoiding a default as early as next month by the U.S. Treasury while they try to negotiate spending cuts with President Barack Obama over the next few months. “All options are on the table as far as we’re concerned,” Rep. Paul Ryan said at a House Republicans’ retreat near Williamsburg, Va.

The poll’s findings echo many economists’ warnings that failure to raise the debt ceiling and the resulting, unprecedented federal default would risk wounding the world economy because many interest rates are pegged to the trustworthiness of the U.S. to pay its debts. Obama and many Republicans agree with that, though some GOP lawmakers eager to force Obama to accept spending cuts have downplayed a default’s impact.

When asked which political path to follow, 39 percent of poll respondents support the insistence by House Speaker John Boehner, R-Ohio, and Senate Minority Leader Mitch McConnell, R-Ky., that deep spending cuts be attached to any measure increasing the debt ceiling. That’s more than the 30 percent who back Obama’s demand that borrowing authority be raised quickly and not entwined with a bitter fight over trimming the budget.

An additional 21 percent oppose boosting the debt ceiling at all.

The survey was conducted as the two parties gird for a debt-limit battle that is likely to dominate the next two months in the capital. The fight is sure to underscore partisan differences over how to curb federal deficits that have surpassed $1 trillion for four straight years. Obama insists that besides spending cuts there should be more tax increases on the wealthy, which the GOP opposes.

While saying he will refuse to negotiate on the debt ceiling, Obama has said he will bargain separately on finding ways to reduce the annual federal deficit.

Despite the majority in the survey who fear severe economic problems if the debt limit is not raised, in a separate question only about 3 in 10 supported the general idea of increasing the ceiling. Four in 10 opposed it, with the rest expressing neutral feelings.

Democrats were about twice as likely as Republicans to support boosting the borrowing limit, while Republicans were likelier than Democrats by a similar margin to oppose an increase.

The government reached its $16.4 trillion borrowing limit Dec. 31 but has avoided default by using cash from pension and other funds it administers, money that will eventually be replaced. Treasury Secretary Timothy Geithner has said his ability to use such bookkeeping measures will be exhausted by early March or sooner.

Wayne Wiedrich, 46, an engineering inspector in Williston, N.D., said in a poll follow-up interview that he agrees that failure to boost the debt ceiling would risk severe problems.

“But on the other hand, it’s not doing the economy any good to raise the debt limit, print money and spend money we don’t have. One of these days China will come knocking on our door and say, ‘We own you,’” he said, referring to the country that holds more U.S. debt than any other nation.

Homemaker Sherry Giordano, 59, of Feasterville, Pa., disagreed.

“It has to be done,” she said of raising the borrowing limit. “We shouldn’t risk our reputation or spend money and time arguing about it. We have to pay our debts.”

The survey showed slight shifts in concerns about the economy and federal budget deficits. Eighty-six percent consider the economy a top issue, down 5 percentage points from last summer, while 76 percent have the same view on federal deficits, up 7 points since then.

Around one-third expect the economy to worsen over the next year, the highest figure in AP-GfK polling in nearly two years. Less than 1 in 4 think the economy is in good shape, a fairly stable number since last summer.

Despite the slight edge people give the GOP’s debt limit path, the survey showed Obama with some advantages as he begins his second term.

Fifty-four percent approve of how he is handling his job, a figure that has changed little over the past year. That is more than triple Congress’ 17 percent approval rating, which edged down 6 percentage points since early December, before the two sides’ “fiscal cliff” fight ended with Republicans largely accepting Obama’s demands to raise taxes on the country’s highest earners.

Democrats also have a slight 41 percent to 36 percent advantage over Republicans as the party more trusted to handle the economy.

Both Obama and Congress have fallen in the public’s esteem after their last battle over the debt ceiling.

In AP-GfK polling in June 2011, the president held a 52 percent approval rating. By August, it had declined to 46 percent after down-to-the-wire negotiations with Congress. Congressional approval ratings fell even further, from an already weak 21 percent in June to just 12 percent after the year’s debt limit standoff finally ended.

When it comes to finding savings to balance the budget, nearly half prefer cutting government services as the GOP wants, 3 in 10 would rather increase taxes and about 1 in 10 would do both. The percentage backing cuts in federal services has dropped 13 percentage points since the spring of 2011, while the number supporting tax cuts has changed little.

The poll also highlighted how public support dwindles when people are asked about specific cuts.

Given four ideas for reducing budget deficits, only one got majority support: charging top earners higher Medicare premiums, backed by 60 percent. That included roughly even proportions of Democrats and Republicans, and majorities of all income groups in the poll.

Only 30 percent back slowing the growth of annual Social Security benefit increases, which Obama agreed to accept in failed talks with Boehner on crafting a deficit-reduction compromise during the “fiscal cliff” fight. Just 35 percent support gradually raising the current Medicare eligibility age of 65, and 41 percent support defense cuts.

The poll involved landline and cellphone interviews with 1,004 randomly chosen adults and had a margin of sampling error of plus or minus 4 percentage points. It was conducted from Jan. 10 to 14 by GfK Roper Public Affairs and Corporate Communications.

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AP news survey specialist Dennis Junius contributed to this report.

Online: http://www.ap-gfkpoll.com

How the AP-GfK poll on debt limit and politics was conducted

By The Associated Press

The Associated Press-GfK poll on the debt limit and politics was conducted by GfK Roper Public Affairs & Corporate Communications from Jan. 10-14. It is based on landline telephone and cellphone interviews with a nationally representative random sample of 1,004 adults. Interviews were conducted with 604 respondents on landline telephones and 400 on cellular telephones.

Digits in the phone numbers dialed were generated randomly to reach households with unlisted and listed landline and cellphone numbers.

Interviews were conducted in both English and Spanish.

As is done routinely in surveys, results were weighted, or adjusted, to ensure that responses accurately reflect the population’s makeup by factors such as age, sex, education and race. In addition, the weighting took into account patterns of phone use — landline only, cell only and both types — by region.

No more than 1 time in 20 should chance variations in the sample cause the results to vary by more than plus or minus 4 percentage points from the answers that would be obtained if all adults in the U.S. were polled.

There are other sources of potential error in polls, including the wording and order of questions.

The questions and results are available at http://www.ap-gfkpoll.com.

 

Topline results are available at http://www.ap-gfkpoll.com and http://surveys.ap.org.

 

AP-GfK Poll: Most say the US is heading the wrong way, hope for new direction come November

By JENNIFER AGIESTA, Associated Press

WASHINGTON (AP) — Congress has checked out, and the American people have noticed.

Three-quarters of Americans doubt the federal government will address the important problems facing the country this year, according to a new Associated Press-GfK poll.

All told, only 28 percent of Americans think the nation is heading in the right direction, the lowest level in August of an election year since 2008. It’s about on par with 2006, when Democrats took control of the U.S. House amid a backlash to the Iraq war.

This time around, it’s not clear whether either party will benefit from the disaffection.

One-third say they hope the Republicans take control of Congress outright this fall — which the GOP can accomplish with a net gain of six seats in the U.S. Senate while holding the U.S. House. The same share want to see Democrats lead Congress — a far less likely possibility.

The final third? They say it just doesn’t matter who takes control of Congress.

Overall, just 13 percent of Americans approve of the way Congress overall is handling its job.

There are some signs in the new poll that Republicans have gained ground as the height of the campaign approaches. In May, they trailed Democrats a bit on who ought to control Congress. Partisans are about equally likely to say they’d like to see their own in charge of Congress after November 4, with about three-quarters in each party saying they hope their side winds up in control. Democrats are a bit less apt to say they want their own party to win than they were in May, 74 percent in the new poll compared with 80 percent then.

And the GOP now holds narrow advantages over Democrats on handling an array of top issues, including the economy, immigration and the federal budget.

But neither party is trusted much to manage the federal government, with 27 percent having faith in the GOP to 24 percent in Democrats. More people, 31 percent, say they trust neither party to run the federal government.

Fewer people have confidence in the federal government’s ability to make progress on the important problems and issues facing the country in 2014 than at the start of the year, with 74 percent saying they have little or no confidence. That’s a slight change from the 70 percent who said so in a December AP-NORC Center for Public Affairs Research survey. That shift in confidence stems from a small drop-off among Democrats. While 56 percent lacked confidence in December, 62 percent say the same now.

Overall, few express faith in those currently on Capitol Hill. Just 36 percent say they’d like to see their own member of Congress re-elected, 62 percent say they want someone else to win this November. So far, just three House incumbents have been ousted in primaries this year, and none in the Senate. The Congressional approval rating, 13 percent in the new poll, lags behind President Barack Obama’s 40 percent.

Though the economy pushed the nation’s “right direction” figures to historic lows in the fall of 2008, that does not seem to be the culprit in the new poll. About a third (35 percent) say the economy is in good shape, about the same as in May, and 58 percent say the economy has stayed about the same in the past month.

The decline in optimism about the country’s path in the new poll seems to mirror those in October 2013 and August 2011, when congressional inaction led to the threat of a government shutdown in 2011 and a partial one in 2013. Among Democrats, the share saying the nation is heading in the right direction dipped 11 points since May, to 49 percent, while among independents, it’s down slightly to 23 percent. Among Republicans, the 9 percent saying the country is heading the right way is similar to May. The October 2013 and August 2011 declines in right direction were also driven by sharp drops among Democrats and independents.

Among those who say they are highly likely to vote this fall, just 8 percent say they approve of the way Congress is handling its job, though 43 percent would like to see their member of Congress re-elected, a bit higher than among all adults. Republicans have an edge among this group as the party more preferred to control Congress, 43 percent to 34 percent, with 23 percent saying it doesn’t matter.

The AP-GfK Poll was conducted July 24-28, 2014, using KnowledgePanel, GfK’s probability-based online panel designed to be representative of the U.S. population. It involved online interviews with 1,044 adults and has a margin of sampling error of plus or minus 3.4 percentage points for all respondents. It is larger for subgroups.

Respondents were first selected randomly using phone or mail survey methods and were later interviewed online. People selected for KnowledgePanel who didn’t otherwise have access to the Internet were provided with the ability to access the Internet at no cost to them.

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Follow Jennifer Agiesta on Twitter: http://www.twitter.com/JennAgiesta

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Online:

AP-GfK Poll: http://www.ap-gfkpoll.com

 


AP-GfK Poll: No agreement on how to pay for highways

By JOAN LOWY and JENNIFER AGIESTA, Associated Press

WASHINGTON (AP) — Small wonder Congress has kept federal highway and transit programs teetering on the edge of insolvency for years, unable to find a politically acceptable long-term source of funds. The public can’t make up its mind on how to pay for them either.

Six in 10 Americans think the economic benefits of good highways, railroads and airports outweigh the cost to taxpayers. Yet there is scant support for some of the most frequently discussed options for paying for construction of new roads or the upkeep of existing ones, according to a new Associated Press-GfK poll.

Among those who drive places multiple times per week, 62 percent say the benefits outweigh the costs. Among those who drive less than once a week or not at all, 55 percent say the costs of road improvement are worthwhile.

Yet a majority of all Americans — 58 percent — oppose raising federal gasoline taxes to fund transportation projects such as the repair, replacement or expansion of roads and bridges. Only 14 percent support an increase. And by a better than 2-to-1 margin, Americans oppose having private companies pay for construction of new roads and bridges in exchange for the right to charge tolls. Moving to a usage tax based on how many miles a vehicle drives also draws more opposition than support — 40 percent oppose it, while 20 percent support it.

Support for shifting more responsibility for paying for such projects to state and local government is a tepid 30 percent.

“Congress is actually reflecting what people want,” said Joshua Schank, president and CEO of the Eno Center for Transportation, a transportation think tank. “People want to have a federal (transportation) program and they don’t want to pay for it.”

Last week, Congress cobbled together $10.8 billion to keep transportation aid flowing to states by changing how employers fund worker pension programs, extending customs user fees and transferring money from a fund to repair leaking underground fuel storage tanks. The money was needed to make up a shortfall between aid promised to states and revenue raised by the federal 18.4 cents-per-gallon gas tax and the 24.4 cents-per-gallon diesel tax, which haven’t been increased in more than 20 years.

It’s the fifth time in the last six years that Congress has patched a hole in the federal Highway Trust Fund that pays for highway and transit aid. Each time it gets more difficult for lawmakers to find the money without increasing the federal budget deficit. Critics described the pension funding changes used this time as budget gimmicks that would cost the government more in the long run and undermine employee pension programs.

The latest patch cleared Congress about three hours before midnight last Thursday, the day before the Transportation Department said it would begin cutting back aid payments to states. The current fix is only expected to cover the revenue gap through next May, when Congress will be back where it started unless lawmakers act sooner.

The most direct solution would be to raise fuel taxes. That’s what three blue-ribbon federal commissions have recommended. But opposition to a gas tax increase cuts across party lines, although Republicans are more apt to oppose an increase, 70 percent, than Democrats, 52 percent.

“Every time we turn around there’s another tax, and our gas taxes are so high now,” said James Lane, 52, of Henry County in rural south-central Virginia, who described himself as leaning toward the GOP.

Lane favors allowing companies to pay for the construction of new or expanded roads and bridges in exchange for the right impose tolls on motorists, often for many decades. There have been projects like that in Virginia, but since those roads are in more populated areas of the state where he doesn’t drive it makes sense to have the people who use them pay for them, he said.

But Michael Murphy, 63, a data services contractor who lives near San Antonio, Texas, where a high-speed public-private toll road is scheduled to open this fall, said he’d rather see gas taxes increased than tolls imposed on drivers. Roads benefit everyone, even if indirectly, so it’s only fair that everyone who drives pays something toward their cost, he said.

A majority of those surveyed, 56 percent, say traffic in the area where they live has gotten worse in the last five years. Only 6 percent say traffic has improved in their area, and 33 percent that it’s stayed about the same.

The AP-GfK Poll was conducted July 24-28 using KnowledgePanel, GfK’s probability-based online panel designed to be representative of the U.S. population. It involved online interviews with 1,044 adults. It has a margin of sampling error of plus or minus 3.4 percentage points for all respondents, larger for subgroups.

Respondents were first selected randomly using phone or mail survey methods, and were later interviewed online. People selected for KnowledgePanel who didn’t otherwise have access to the Internet were provided with the ability to access the Internet at no cost to them.

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Online:

AP-GfK Poll: http://www.ap-gfkpoll.com

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Follow Joan Lowy on Twitter at http://www.twitter.com/AP_Joan_Lowy