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Obama: No Budget Talks While Under Threat

President Barack Obama says he is not going to negotiate ending the U.S. government shutdown or raising the debt ceiling while under threat from Republicans.

The president spoke Monday in Washington to workers of the Federal Emergency Management Agency -- one of the numerous government offices forced to lay off employees.

Mr. Obama urged Republicans to drop what he calls their "ideological demands" and move beyond the "manufactured crisis" caused by the shutdown.

He again said he is willing to hold talks with Republicans on broad fiscal and budget issues only after Congress passes a clean spending bill reopening the government -- one with no issues attached.

Republican House Speaker John Boehner said it is the president, not Republicans, who is risking economic catastrophe by refusing to talk.



The U.S. government shutdown begins its second week Tuesday with no end in sight.

Hundreds of thousands of government workers are still furloughed and many important services are unavailable. The shutdown began when congressional Democrats refused to go along with Republican demands to defund the president's health care program.

The United States also is facing an October 17 deadline to increase its borrowing limit so that it does not default on its financial obligations. The country is running out of money to pay its bills, including interest on bonds held by China, Japan and other overseas investors.

China is warning that the "clock is ticking." Vice Finance Minister Zhu Guangyao says it is important for the United States to act quickly to protect more than $1 trillion in Chinese investments in the U.S. and the global economic recovery.

The White House has said it wants a big enough increase in the debt ceiling now, so it would not have to be raised again until late next year. But spokesman Jay Carney said Monday the White House is not ruling anything in or out when Congress considers how long to raise the debt limit.



Zhu Guangyao, Chinese Vice Finance Minister :

"We ask that the United States earnestly takes steps to resolve in a timely way before October 17 the political (issues) around the debt ceiling and prevent a U.S. debt default to ensure safety of Chinese investments in the U.S. and the global economic recovery. This is the U.S.' responsibility."

John Boehner, Republican, Speaker of the House of Representatives:

"My goal here is to have a serious conversation about those things that are driving the deficit and driving the debt up. And the president's refusal to sit down and have a conversation about this is putting our nation at risk of default."

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