Fighting back against Republican calls for greater spending cuts, President Obama said Friday that the government doesn’t need to make major changes to get its budget back on track and called for that solution to include some trims coupled with tax increases.
“Here’s the good news: that it turns out we don’t have to do anything radical to solve this problem. Contrary to what some folks say that — we’re not Greece. You know, we’re not Portugal,” Mr. Obama said at his third press conference in three weeks, using his most powerful public relations tool to take his arguments directly to voters.
Mr. Obama and congressional leaders are negotiating over whether and how to raise the federal government’s borrowing limit, which early next month will bump up against the $14.29 trillion limit set in law. The administration, Fed Chairman Ben S. Bernanke and leading business groups have all warned of major damage to the U.S. economy if the federal government cannot pay its bills.
The GOP wants to couple any debt increase to spending cuts in both discretionary and entitlement programs such as Medicare, while Mr. Obama wants tax increases to be part of the mix. That stance is actually an about-face from earlier this year, though, when Mr. Obama had called for the debt limit to be raised without any conditions at all.
The president said there are three options on the table: a big deal that total $4 billion in tax increases and potential spending cuts; a plan about half that size; and a “fallback position” that would increase the debt limit but push off action on the deficit.
House Republicans have said they’ll put together a bill with spending cuts, and hold a vote on it next week, essentially putting down a very public marker for where they stand.
“We want to be able to go home to the people that elected us and show them that we’re not going to allow this kind of spending to continue. We don’t have the money, they don’t have the money,” said House Majority Leader Eric Cantor, Virginia Republican.
But Mr. Obama rejected the outlines of House Republicans’ spending-cuts plan as an effort “just to make political statements,” and said it would require slashing too deeply from domestic spending.
Still, the president insisted he’s open to a deal — “If they show me a serious plan, I’m ready to move,” he said — and added he wants to hear from congressional leaders by the middle of the weekend on whether they are willing to compromise.
Even as Mr. Obama tried to strike an optimistic tone, he said the consequences of not raising the debt limit would be “Armageddon.”
Friday marks the first day this week that that White House and Hill negotiators have not met.
The Pesident knows well what is comming, and He is deadlocked by a GOP Partisan political play. Does not mater now who's plan, it is solution time, and neither side wants to vote it in. Because if it fails, they get the blame. It all about political correctness. Games, instead of results. Its a big shell game on both sides. Neither party is good for the USA right now. Both making this worse.
A Democrat claiming that spending cuts don't have to be made RIGHT AFTER he threatened that a failure to increase the Deficit Ceiling would make people using Social Security die (instead of bringing troops home from the 150+ countries that we now have military bases in)?
... sounds like a jerk-wad idiot who doesn't deserve to be re-elected.
The REPUBLICAN House presented the plan in Feb, the Ryan 2012 budget
The DEMOCRAT Senate has not presented a plan ,2012 budget
President Obama has not presented his plan
President Obama spoke on Saturday and said that we are all in ballgame.
It is simple, let our ELECTED Representatives in Congress do the job. Each one should have an opportunity to speak and decide how they will cast a vote.
NOTE the Obama administration has added $4.5 trillion to the national debt since Jan 2009.Record unemployment 9.2%, record citizens on food stamps 43,000, record lowest money coming into the treasury and record time allowed on unemployment 99 weeks.
Simple solution, the country needs more taxpayers not more taxes.
The size of government has grown 20% since Obama took office IN 2009 and have added 25 more government agencies. would any sane person want to listen to or follow his leadership?
Mark your calendar 7/19/11 , the Republican majority House of Representatives made the call today to President Obama’s position on the National Debt limits. The House passed a CUT, CAP and BALANCE bill that will require a Federal balanced budget amendment. Seems like the do nothing Republicans are finally doing something to save our country.
President Obama said that he will not sign the House bill. Somehow Obama and the Democrats don’t want the government to have to balance the federal budget. Balancing the budget did happen when President Clinton had a majority controlled Republican Congress ( the last 6 years of the Clinton administration ).
The Senate has yet to produce a plan, wonder why? The president talks about his plan but has not yet produced the plan. Just wondering when Aug 2nd comes ,what will the Senate and the President do ?
Will 2/3s of our government allow a US government default ?
I believe they will allow the default and try to blame the GOP for it. They have planned on the financial destruction of our country as part of the destruction of our Republican form of government.
We're Damned if we do, Damned if we don't. Raising the debt ceiling will just postpone the inevitable. I reckon it to a married couple:
Husband and wife have maxed out their 5000 credit card, the husband doesn't want to give up his golf, the wife doesn't want to give up her spa's.
They can't pay their bill so they get their credit limit extended, now they have a limit of 10,000 with an additional 5000 to spend.
They soon find themselves 10.000 in debt with no way to pay so again they have their limit increased to 15.000 etc etc.
"They have planned on the financial destruction of our country as part of the destruction of our Republican form of government."
I wish! Your Republican form of gvt has ruined America!
And Eric Cantor, if we have no money, why are we funding an Iron Dome in Israel?
Where'd we get the money for that?
Sorry..your ridiculous statements defy logic.
"Clearly what a bunch of millionaire senators think is the problem with America is that poor seniors are living to lavishly"
Senator Reid has been the majority leader in the majority Democrat Senate since 2007. Today President Barak Obama held a meeting this morning again behind closed doors with Senator Reid and Senator Durbin. The Senate has the ball now and needs to put the House bill on the floor or present the Senate’s plan for debate and /or reject the House’s Cut, Cap and Balance bill. The President’s press spokesman admitted that President Obama hasn’t a plan. After months of closed door sessions with both parties ,the President is awol now.
There are 100 senators waiting, waiting for Senator Reid to do something. It’s his move now that the Republican House has come up with an approved bill. Democracy needs to be in action and not sitting on the sidelines .The President was excited over a plan by 6 senators, hardly a forum or majority.
REALLY, they ( the REPUBLICAN HOUSE ) have just taken action when the Senate and President Barak Obama DO NOTHING to avoid a catastrophe. ALL TALK AND NO ACTION FROM THE SENATE AND THE WHITEHOUSE.
AUG 2ND will be here shortly! Just wondering who will get the blame?
"The United States now has a level of inequality that shocks much of the world. If Washington wants to balance its budget, it should do so on the backs of these 400 people, not the hundreds of millions of us who can’t afford it. Tax these billionaires into non-billionaires, and Washington’s financial worries — and our economic worries — will be gone for generations to come. The vast majority of us favor this approach.
Only 1 percent of us are millionaires, with an “m”. Each billionaire has a thousand times that much money, or more. Sixty-six percent of senators are millionaires, as are 41 percent of House members, but they aren’t billionaires. They just work for them."
http://www.veteranstoday.com/2011/07/20 … lionaires/
Those listed in this article support Republicabn candidates and put money into Republican think-tanks... think the gvt is a hindrance, since they don't need it....Leeches on the society, if you aks me/ (s/o to Russssshhhhhhh)
And SORRY--Republican Party is the Party of greedy-self-serving billionaires.
Forget about giving yourselves a pat on the back with your charities.....PAY YOUR FAIR SHARE!
I don't understand this "level of inequality" argument. Rich people are rich because they delivered services that the people wanted (save bailout receivers), and the poor are poor because they did not.
Right Tom! Or--they are so uber rich because the tax system allows them to pay very low taxes...They have been allowed to keep more a percentage of their wealth than anybody--and the money they keep has been made up for by the taxes of the middle class worker.
Or they pay none at all.
Tax cuts.........loop-holes, deductions......out-sourcing.......
"Only the little people pay taxes"...had to come from somewhere!
I am not even close to being a millionaire, but I would like to know who decides what my 'fair share' is and how it is to be spent? You? How about I decide what YOUR 'fair share' is and how it is to be spent?
Well, delivered services people wanted, or were born into rich families, or landed jobs in which they got huge bonuses saving the company lots of money cutting benefits to the lowly workers, or got huge golden parachutes after draining a company, or by betting against the products they were selling to the general public, or by instituting outrageous fees to take advantage of desperate people . . .
In any case, they either earned their money, or stole it, fair and square.
THE PEOPLE NEED TO VOTE FOR BETTER PUBLIC SERVANTS.It's time to contact our representatives and tell them what we think of their actions.
I recently wrote:
The House has approved a bill '' Cut, Cap and Balance '' , the only bill on the floors of Congress TODAY . The failure to DEBATE this bill is unforgivable since the President and the Senate has provided NO PLANS to address the forthcoming possible Government's inability to pay the nation's debtors.
The majority leader said that ''the House bill was the weakest bill ever to be brought to the Senate''. IT'S TIME for the Senate to do their job, as the President said. IT’S TIME TO BEBATE,MAKE AMENDMENTS TO THE BILL AND VOTE for a bill.
ENOUGH IS ENOUGH OF STALLING TO DO THE WORK OF THE PEOPLE IN THESE TROUBLED TIMES.
The people want a debate on the floor, the people want to know how their Representatives are voting.
In the upcoming elections our Representatives will be held ACCOUNTABLE.
THE ECONOMY NEEDS JOBS, NOT MORE TAXES BUT MORE TAXPAYERS!.
This past week Senator Reid said that the Senate will work thru the weekend on the House’s Cap, Cut and Balance bill. On Friday Senator Reid using a parliament rule delayed any action on the House bill denying our elected Senators any action on debating, amending or voting on the only bill in Congress to avoid a US Government National Debt crisis.
As of 7/22/11 it seems that the only Congressional group working in Congress are the Republican majority House. The Senate has no 2012 budget or deficit plan, president Barak Obama has no deficit plan. President Obama needs to allow the Senate to debate the House plan as promised.
The leaders of both parties will again meet with Obama on Saturday morning, again behind closed doors.
Whatever happened to a promise to have transparency in the Obama and Pelosi/ Reid Congress?
Another push to pass legislation so that we can find out what’s in the bill?
Stay tuned, Aug 2nd is coming, a default maybe, seniors not getting SS checks, MEDICARE shutting down or maybe a miracle to find enough money to keep the government working.
CONGRESS NEEDS TO PASS A BILL. CONGRESS NEEDS TO SEND A BILL TO THE PRESIDENT. THE PRESIDNT NEEDS TO SIGN THE BILL
THAT’S THE WAY OUR DEMOCRACY WORKS. IT TAKES 3 TO TANGO TO MAKE A LAW!
by LucidDreams4 years ago
I am not saying ALL Republicans are, I am just wondering why anyone would actually stay with a party that is clearly not on the same page as most of America? Most (not all) but most who are die hard right Republicans...
by Mike Russo4 years ago
In your opinion, what has the republican congress done to create or pass legislation since Obama has been president?
by theirishobserver.5 years ago
President Barack Obama has laid out a $447 billion jobs package of tax cuts and government spending yesterday that will be critical to his re-election chances but he faces an uphill fight with Republicans.With his poll...
by Mike Russo5 years ago
I'm curious to know what have been the Republican congress accomplishments since Obama has been in office? It seems to me all they have done is criticsize everything that he has done and say no to any bill or...
by JON EWALL6 years ago
Will the US Government be forced to shut down because President Obama and the previous Democrat controlled Congress failed to approve a 2011 budget?
by Grace Marguerite Williams3 years ago
in light of the current sociopolitical and socioeconomic situation regarding the United States of America? Do you believe that President Obama is doing the best job he can under the circumstances? Do you maintain that...
Copyright © 2017 HubPages Inc. and respective owners.
Other product and company names shown may be trademarks of their respective owners.
HubPages® is a registered Service Mark of HubPages, Inc.