Obama: Can We Make A Debt Deal, Please?

President Obama addresses the nation tonight (AP)

President Obama addressed the country tonight about the debt-ceiling crisis, expressing hope for a "balanced approach, but also expressed concern about default while blasting some members of Congress, "Unfortunately, for the past several weeks, Republican House members have essentially said that the only way they’ll vote to prevent America’s first-ever default is if the rest of us agree to their deep, spending cuts-only approach. If that happens, and we default, we would not have enough money to pay all of our bills - bills that include monthly Social Security checks, veterans’ benefits, and the government contracts we’ve signed with thousands of businesses."

Obama also said, "The American people may have voted for divided government, but they didn't vote for a dysfunctional government." (Didn't we?) And:

The debate right now isn’t about whether we need to make tough choices. Democrats and Republicans agree on the amount of deficit reduction we need. The debate is about how it should be done. Most Americans, regardless of political party, don’t understand how we can ask a senior citizen to pay more for her Medicare before we ask corporate jet owners and oil companies to give up tax breaks that other companies don’t get. How can we ask a student to pay more for college before we ask hedge fund managers to stop paying taxes at a lower rate than their secretaries? How can we slash funding for education and clean energy before we ask people like me to give up tax breaks we don’t need and didn’t ask for?

You can read his full remarks here—he told the public, "If you want a balanced approach to reducing the deficit, let your Member of Congress know... If you believe we can solve this problem through compromise, send that message."

House Speaker John Boehner gave a rebuttal:

[In January] here was the president, asking for the largest debt increase in American history, on the heels of the largest spending binge in American history... Here's what we got for that spending binge: a massive health care bill that most Americans never asked for. A 'stimulus' bill that was more effective in producing material for late-night comedians than it was in producing jobs. And a national debt that has gotten so out of hand it has sparked a crisis without precedent in my lifetime or yours. The United States cannot default on its debt obligations. The jobs and savings of too many Americans are at stake. What we told the president in January was this: the American people will not accept an increase in the debt limit without significant spending cuts and reforms...

The sad truth is that the president wanted a blank check six months ago, and he wants a blank check today. That is just not going to happen.

He also brought up the "Cut, Cap and Balance" plan—that the Senate rejected last week—which focuses on deep spending cuts and balancing the budget before raising the debt ceiling (and it doesn't involve raising tax revenues). Here are Boehner's full remarks.

Obama and Boehner had unsuccessful talks on a compromise on Friday. Senate Majority Leader Harry Reid offered a plan today that would raise the debt-ceiling through 2012. And here's why not raising the debt-ceiling and defaulting on debts would be bad.

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

By Jen Chung in News on July 25, 2011 10:00 PM

Comments [rss]

canofpeas

Cut the defense budget in half. Problem solved.

Gothampc

I have trouble with people who say "tax the rich." There's a reason why people are rich: they know how to get around things like taxes or are able to hire people to find tax shelters for them. Then who ends up paying? The middle class.

If the rich are so concerned about the finances of the US, then why don't they just write a check to the US Treasury and be done with it?

There is no way to "make the rich pay their fair share."

ixvnyc

Here is what will happen: Obama will push his plan at the last second by some sort of a executive order citing national emergency or something like that. Republicans will not complain much about it since they don't really care what's actually done as long as Obama takes full responsibility for it (they think, and they are probably right, that the economy will go bust no matter what), and they can still say to their base that they held their promise of never voting for any tax increase.

Guest

fuck all you self-serving gum-flapping government wankers -- shut the hell up and get the job done.

USA ≠ Greece

randomtransplant

As soon as I heard Berry say "I wont bore you with the details" I felt silly for re-streaming the address.

The details arn't boring, and are actually really simple to grasp.

He kept alluding to the "debt bomb" which has been roundly debunked, without quantifying our debt versus income versus interest in his entire 15 minutes.

Because he called us stupid, he's almost as much to blame for this manufactured but dangerous crisis as anyone.

On the one hand you have someone mildly incompetent. On the other hand you have died in the wool traitors hijacking the country because a bunch of people who probably barely deserve their lot in life anyway decided to think with their dicks not their heads in reaction to badly loosing to a black president.

The sad sick fact of it all is that its these people who refuse to accept how taxes on people richer than them are necessary are probably the ones whose own households are the most on the brink.

And they'll continue dragging us down until the banks pries the last dollar of collateral value from their cold, dead, out-stretched, greedy hands.

Gothampc

In his speech, he kept talking about "the middle class wants this" like we weren't even in the room. I guess his speech was only for the rich and poor.

theevilerone

How the deficit got this big:

http://www.nytimes.com/2011/07...

xXxMExXx

Remember when Democrats were claiming Obama was a unifier?

LtWorf

Yes, that was BS, and the shoving of the Health Care reform law down the Republican's throat's didn't help the situation. (Which is pretty much why Republicans are using the debt ceiling issue as payback, to their detriment.)

But the political climate is so politically polarized right now it's wishful thinking. Even trying to find a common consensus between parties is too difficult. This my way or the highway mentality to politics has got to stop.

Politburo

There was a lot of work and time wasted to get the GOP on board with the healthcare bill. Their proposal was "no".

The idea that the GOP would have gone along on the debt ceiling if health care turned out differently is extremely naive.

LtWorf

I would'nt say they would've definitely gone along with it, but it definitely influenced their obstructionism.

The Party of No indeed.

publikhan

THIS IS THE CHANGE WE CAN BELIEVE IN. What a bunch of horseshit

Guest

well the republicans are cockblocking anything obama/democrats do so they have control. He can't make good on his word if a bunch spoiled brats keep saying no....'merica

S.D.

They even disagree with their own proposals...

publikhan

Um thats the whole point of divided government. You're supposed to listen to the american people and build consensus. Its called leadership. But obama insists on hiking taxes in an anemic economy to satisfy his economically misguided voter base. We have a spending problem, not a revenue problem.

Politburo

Just about every poll has 66% of the American public supporting a compromise of spending cuts and tax increases.

S.D.

Because Millionaires need more Tax breaks? Um, what??

The Middle class got their first tax break in years under Pres. Obama, not any GOP administration.

Politburo

No. [Citation needed]

Mr Mel

The GOP is still bowing to the wishes of the Tea Party Know Nothings. There's no question that they are the party of the rich and super rich. There is no way we can continue without raising the tax revenues. Obama's plan makes sense, plug the loopholes and level the playing field. GE needs to pay its fair share of taxes and hedge fund mega earners shouldn't be taxed at a lower rate than the rest of us. The Republicans will bring this right down to the wire and then cave and declare themselves victorious in protecting our American way of life. They have no interest in protecting the people, they are only beholden to their major donors