News / USA

Obama: US Must Avoid Economic Consequences of Default

President Barack Obama speaks about the the budget and the partial government shutdown, Oct. 8, 2013, at White House.
President Barack Obama speaks about the the budget and the partial government shutdown, Oct. 8, 2013, at White House.
VOA News
Regarding this week's meetings with congressional members about the political stalemate on government funding and borrowing, U.S. President Barack Obama said there was one agreement: "the need to avoid the economic consequences of not meeting [the] country's commitments."

The president said in his weekly address Saturday damage to the country's "sterling credit rating" would make it more expensive for everyone in America to borrow money, creating what would amount to what he called a "Republican default tax on every family and business in America." He said a default would also have a detrimental effect on global markets.

However, White House officials said Friday there is still no agreement with Republicans on how to end the stalemate. Both sides have agreed to keep talking.

House Armed Services chairman Buck McKeon, who delivered the Republican address, said the two sides had found "common ground" this week with legislation supporting the military and their families during the shutdown, and now should continue to work out more agreements.

Watch related video story by VOA's Carla Babb

US Government Shutdown Enters 12th Dayi
X
October 12, 2013 1:13 PM
The partial U.S. government shutdown enters its 12th day Saturday. But on Friday, lawmakers and President Obama seemed to make progress, by sitting down and talking to each other. VOA's Carla Babb has more.

Meanwhile, three of the most famous U.S. national parks - the Statue of Liberty, the Grand Canyon and Mount Rushmore - have announced they will reopen in the coming days after state governors reached deals with the federal government, despite the ongoing government shutdown. The states have agreed to provide the money needed to operate the parks.

Back in Washington, both sides have refused to divulge specific details of what is being discussed as they look for a way to end the partial government shutdown that began October 1 and increase the country's $16.7 trillion borrowing limit. The United States has said it will have only limited funds left to pay its bills when it reaches the borrowing cap Thursday.

Finance chiefs of the world's leading economies urged the United States Friday to quickly resolve the stalemate. The G20 finance ministers meeting in Washington said the U.S., with the world's largest economy, "needs to take urgent action to address short-term fiscal uncertainties."

Republicans in the House of Representatives have offered to increase the debt ceiling through November 22, while looking to negotiate more spending cuts with the White House over the next six weeks.

You May Like

Video British Fighters on Frontline of Islamic State Information War

It’s estimated that several hundred British citizens are fighting for Islamic State alongside other foreign jihadists More

Pakistan's Political Turmoil Again Shines Spotlight on Military

Thousands of protesters calling for PM Sharif to step down continue protests in front of parliament, as critics fear political impasse could spur another military coup More

Photogallery Ebola Quarantines Spark Anxiety in Liberian Capital

Food prices rise sharply as residents attempting purchases clash with security forces, leaving one person dead More

This forum has been closed.
Comment Sorting
Comments page of 2
    Next 
by: Dr.Lilian Kindcrotch from: Location
October 13, 2013 12:21 PM
The Democrat VS Republican paradigm is DEAD. The new reality is patriot VS Tyranny.


by: Janet Fig from: USA
October 13, 2013 11:55 AM
EVERYTHING IS OK.


by: Fascism from: USA
October 13, 2013 11:54 AM
The answer to 2013 is 1776.


by: KOhona from: Japan
October 13, 2013 1:56 AM
What is The TEA PARTY?


by: Tim from: wa
October 12, 2013 9:08 PM
Why should the united states make cuts instead of making new revenue? I don't get the thinking. We as a nation have the ability to make something out of nothing. What we need to do is create a system of sin. If we create a place in every state-city to let everything illegal, bunny ranches, drugs, gambling... legal for a temporary time and heavily tax it. Tell me the taxes from this exercise wouldn't be create enough money for bail out and I may just chuckle at your response! All in all Do not cut, generate funds! Im just saying if every drug dealer big and small, combine their sales of illegal drugs... It would exceed trillions of dollars, sad but true... or the government should just sell or give for payments or technology that is underground, the technology we the people do not even know of... why cut? Why not generate? My Ideas are out there, maybe not sound? But If everyone could just bring an Idea to the table we would not be in this state.


by: Bird from: California
October 12, 2013 8:05 PM
Some one needs to give the Republicans a dictionary. They keep complaining about a lack of negotiation but I don't think they know the meaning of the word. To negotiate means to propose something and then listen to the return offer which won't be exactly what you were hoping for. It is a give and take with both sides giving something up. It is never done with threats. I keep hearing interviews with Republicans in the House saying we made a proposal and Obama didn't accept it. He won't do what we say so he is not negotiating. Would someone in DC hand them a dictionary with the right page bookmarked? Thanks.


by: Junill from: Out of US
October 12, 2013 8:00 PM
I cannot understand why debt ceiling is limited by politicians. Also US gov. must loose their spending little bit to make a healthy financials.
Don't take the world in a crisis please.


by: Common Sense Guy from: Los Angeles
October 12, 2013 7:53 PM
The current shut down (clearly) is an emotional issue. One that has people commenting and pontificating from a platform of emotions and not facts or common sense. The President of the leader of the free world. True leaders lead by example and deeds. A true leader would see the acrimony and damage happening to our great country and bring people together. Not name calling. Not throwing darts and false acquisations. Mr Obama could learn some valuable lessons from Bill Clinton and Ronald Reagan. Both adminstrations had shut downs. Both Presidents were leaders. Both were great communicators. Something our current president is unable to get a grasp on. Both Dems and Republicans are standing off in their corners. Obama should lead and united. Not divide. We have a major league spending and debt problem that is out of control. I'm still sidelined waiting for the Dems to come to the same conclusion and say......."you know, maybe we should take a second look at this out of control spending and compromise on something, vs. just saying no, no, no to every idea coming from across the aisle"". That will happen when pigs fly.

In Response

by: Amy Newman
October 12, 2013 8:12 PM
How about we start with the anti-government TeaTaliban not shutting the government down. Obama should be demanding a public option - he should not have to defend the Republican made Obamacare (Ironic that they name there own plan after Obama...just because now he's the one pushing for it.) Republicans could be true leaders...with the first step having them act like adults.


by: creepy from: california
October 12, 2013 7:26 PM
The Tea Party shut down the government, not Obama.

You don't know what you were talking about.

In Response

by: Amy Newman
October 12, 2013 8:08 PM
This is 110% a Republican shut down. They shut it down in attempt to de-fund Obamacare for literally the 40th time. People like "Pope" are just wearing the normal thick tin foil of the Republican base. Amazing how they can't even take credit for the things they do. They shut the government down now take responsibility for it.

In Response

by: Pope from: California
October 12, 2013 7:43 PM
Obama shut down the government, not the Tea Party.

You don't know what you are talking about.


by: ali baba from: new york
October 12, 2013 4:15 PM
if the debt is getting out of control , we are going in default .earlier is a better. stop finance a program that we can not afford like

In Response

by: creepy from: california
October 12, 2013 7:22 PM
Who created that stupid debt ceiling in the first place?

Everyone in congress is incompetent. They should all be fired!

In Response

by: Name from: Location
October 12, 2013 5:09 PM
Excellent grammar. Keep up the good work!
EVERYTHING IS OK.

Comments page of 2
    Next 

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Native Bees May Help Save Cropsi
X
Deborah Block
August 22, 2014 12:23 AM
U.S. President Barack Obama has called for a federal strategy to promote the health of bees that have been declining. The honeybee has been waning due to parasites, disease and pesticides. Wild bees may be used to take over their role as crop pollinators. Scientists first need to learn a lot more about wild bees, says biologist Sam Droege, who is pioneering the first national inventory on native bees. VOA’s Deborah Block went to his research laboratory in Beltsville, Maryland, to bring you more.
Video

Video Native Bees May Help Save Crops

U.S. President Barack Obama has called for a federal strategy to promote the health of bees that have been declining. The honeybee has been waning due to parasites, disease and pesticides. Wild bees may be used to take over their role as crop pollinators. Scientists first need to learn a lot more about wild bees, says biologist Sam Droege, who is pioneering the first national inventory on native bees. VOA’s Deborah Block went to his research laboratory in Beltsville, Maryland, to bring you more.
Video

Video US Defense Officials Plan for Long-Term Strategy to Contain Islamic State

U.S. defense officials say American air strikes in Iraq have helped deter Islamic State militants for the time being, but that a broad international effort is needed to defeat the extremists permanently. Defense Secretary Chuck Hagel warned Thursday that the group formerly known as the Islamic State in Iraq and the Levant, or ISIL, is better organized, and financially and militarily stronger than any other known terrorist group. Zlatica Hoke has more.
Video

Video Drug-Resistant Malaria Spreads in Southeast Asia

On Thailand’s border with Myanmar, also known as Burma, a malaria research and treatment clinic is stepping up efforts to eliminate a drug-resistant form of the parasite - before it spreads abroad. Steve Sandford reports from Mae Sot, Thailand.
Video

Video Gaza Conflict, Hamas Popularity Challenge Abbas

The Palestinian unity government of Mahmoud Abbas has failed to convince Hamas to agree to Egyptian-negotiated terms with Israel on a Gaza cease-fire. VOA State Department Correspondent Scott Stearns reports on what the Gaza conflict means for President Abbas, with whom U.S. officials have worked for years on a two-state solution to the Israeli-Palestinian conflict.
Video

Video Nigeria's 'Nollywood' Movie Industry Rolls in High Gear

Twenty years after its birth in a video shop in Lagos, Nigeria's "Nollywood" is one of the most prolific film industries on earth. Despite low budgets and whirlwind production schedules, Nigerian films are wildly popular in Africa and industry professionals say they hope, in the future, their films will be as great in quality as they are in quantity. Heather Murdock has more for VOA from Lagos.
Video

Video UN Launches 'Biggest Aid Operation in 30 Years' in Iraq

The United Nations has launched what it describes as one of the biggest aid operations in 30 years in northern Iraq, as hundreds of thousands of refugees flee the extremist Sunni militant group calling itself the Islamic State. As Kurdish and Iraqi forces battle the Sunni insurgents, the fighting has forced more people to flee their homes. Kurdish authorities say the international community must act now to avert a humanitarian catastrophe. Henry Ridgwell reports for VOA from London.
Video

Video Cambodian American Hip Hop Artist Sings of Personal Struggles

A growing underground movement of Cambodian American hip hop artists is rapping about the struggles of living in urban America. Most, if not all of them, are refugees or children of refugees who came to the United States from Cambodia to escape the Khmer Rouge genocide of the 1970s. Through their music, the artists hope to give voice to immigrants who have been struggling quietly for years. Elizabeth Lee reports from Long Beach, California.
Video

Video African Media Tries to Educate Public About Ebola

While the Ebola epidemic continues to claim lives in West Africa, information technology specialists, together with radio and TV reporters, are battling misinformation and prejudice about the disease - using social media to educate the public about the deadly virus. VOA’s George Putic has more.

AppleAndroid