News / USA

Obama Offers Reassurance as Debt Ceiling Deadline Looms

President Barack Obama speaks about the the budget and the partial government shutdown, Oct. 8, 2013, in the Brady Press Room of the White House in Washington.
President Barack Obama speaks about the the budget and the partial government shutdown, Oct. 8, 2013, in the Brady Press Room of the White House in Washington.
VOA News
President Barack Obama tried to reassure the world Tuesday that the United States has always paid its bills, as the country faces a deadline to raise the debt ceiling.

Obama told journalists that investors are nervous about remarks from Congress indicating a debt default may not damage the world economic recovery.

"Warren Buffett likened default to a nuclear bomb, a weapon too horrible to use," the president warned. " It would disrupt markets. It would undermine the world’s confidence in America as the bedrock of the global economy.  And it might permanently increase our borrowing costs -- which, of course, ironically would mean that it would be more expensive for us to service what debt we do have, and it would add to our deficits and our debt, not decrease them.  There's nothing fiscally responsible about that."

But the president repeated his stance that he will not negotiate with congressional Republicans on fiscal and budget issues until they pass legislation to both raise the debt limit and fund the federal government, which is now in the second week of a shutdown.  

Fair game

House Speaker John Boehner of Ohio speaks about the ongoing budget battle, Oct. 8, 2013, outside his office on Capitol Hill in Washington.House Speaker John Boehner of Ohio speaks about the ongoing budget battle, Oct. 8, 2013, outside his office on Capitol Hill in Washington.
x
House Speaker John Boehner of Ohio speaks about the ongoing budget battle, Oct. 8, 2013, outside his office on Capitol Hill in Washington.
House Speaker John Boehner of Ohio speaks about the ongoing budget battle, Oct. 8, 2013, outside his office on Capitol Hill in Washington.
Republican House Speaker John Boehner later expressed disappointment over  President Obama's position. 

"This isn’t about me and, frankly, it’s not about Republicans.  This is about saving the future for our kids and our grandkids, and the only way this is going to happen is to, in fact, have a conversation.  So, it’s time to have that conversation. Not next week, not next month, the conversation ought to start today. And I’m hopeful that whether it’s the president or Democrat leaders here in Congress, we can begin that conversation."

Boehner said the debt limit has always been fair game for bargaining, and that the United States cannot keep spending money it does not have.

The U.S. Treasury expects to exhaust its remaining borrowing capacity under the current $16.7 trillion limit by October 17.

The U.S. government shut down all but essential services last week when Congress could not pass a funding bill.  Hundreds of thousands of government workers are still furloughed and many important services remain unavailable.  

The shutdown began when congressional Democrats refused to go along with Republican demands to defund the president's health care program.

You May Like

Video Obama to Send 3,000 Troops to Liberia in Ebola Fight

At Centers for Disease Control and Prevention, President says US will take leadership role for a global response to deadly Ebola virus that is ravaging West Africa More

Video China Muslims Work to Change Perceptions After Knife Attacks

Muslims in Kunming say that they condemn the violence, it is not a reflection of the true beliefs of their faith More

Humanitarian Aid, Equipment Blocked in Cameroon

Move is seen as a developing supply crisis in West Africa More

This forum has been closed.
Comment Sorting
Comments
     
by: peter from: grand camen island
October 13, 2013 12:18 PM
The u.s. Is crashing...hey where can I get a higher paying job? I know a high paying government job tax payer funded job...


by: uwa odim from: nigeria
October 12, 2013 6:51 AM
wath is wrong with U Americains ? Wath do U want other countries to learn from U?


by: Lorie from: Florida
October 10, 2013 7:57 AM
Allot of us depend on our social security to live on. what is the government going to do to help us.

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Enviropreneur Seeks to Save the Environment, Empower the Communityi
X
September 16, 2014 2:06 PM
Lorna Rutto, a former banker, is now an ‘enviropreneur’ - turning plastic waste into furniture and fences discusses the challenges she faces in Africa with raw materials and the environment.
Video

Video Enviropreneur Seeks to Save the Environment, Empower the Community

Lorna Rutto, a former banker, is now an ‘enviropreneur’ - turning plastic waste into furniture and fences discusses the challenges she faces in Africa with raw materials and the environment.
Video

Video West Trades Accusations Over Ransoms

As world leaders try to forge a common response to the threat posed by Islamic State militants in Iraq and Syria, there is simmering tension over differing policies on paying ransoms. In the past month, the jihadist group has beheaded two Americans and one Briton. Both countries refuse to pay ransom money. As Henry Ridgwell reports for VOA from London, there is uncertainty in the approach of some other European nations.
Video

Video Scotland Independence Bid Stokes Global Interest

The people of Scotland are preparing to vote on whether to become independent and break away from the rest of Britain, in a referendum being watched carefully in many other countries. Some see it as a risky experiment; while others hope a successful vote for independence might energize their own separatist demands. Foreign immigrants to Scotland have a front row seat for the vote. VOA’s Henry Ridgwell spoke to some of them in Edinburgh.
Video

Video Washington DC Mural Artists Help Beautify City

Like many cities, Washington has a graffiti problem. Buildings and homes, especially in low-income neighborhoods, are often targets of illegal artwork. But as we hear from VOA’s Julie Taboh, officials in the nation's capital have come up with an innovative program that uses the talents of local artists to beautify the city.
Video

Video US Muslim Leaders Condemn Islamic State

Leaders of America's Muslim community are condemning the violent extremism of the Islamic State group in Iraq and Syria. The U.S. Muslim leaders say militants are exploiting their faith in a failed effort to justify violent extremism. VOA correspondent Meredith Buel reports.
Video

Video Americans' Reaction Mixed on Obama Strategy for Islamic State Militants

President Barack Obama’s televised speech on how the United States plans to “degrade and destroy” the group known as the Islamic State reached a prime-time audience of millions. And it came as Americans appear more willing to embrace a bolder, tougher approach to foreign policy. VOA producer Katherine Gypson and reporter Jeff Seldin have this report from Washington.
Video

Video Authorities Allege LA Fashion Industry-Cartel Ties

U.S. officials say they have broken up crime rings that funneled tens of millions of dollars from Mexican drug cartels through fashion businesses in Los Angeles. Mike O'Sullivan reports that authorities announced nine arrests, as 1,000 law enforcement agents fanned out through the city on Wednesday.
Video

Video Bedouin Woman Runs Successful Business in Palestinian City

A Bedouin woman is breaking social taboos by running a successful vacation resort in the Palestinian town of Jericho. Bedouins are a sub-group of Arabs known for their semi-nomadic lifestyle. Zlatica Hoke says the resort in the West Bank's Jordan Valley is a model of success for women in the region.


Carnage and mayhem are part of daily life in northern Nigeria, the result of a terror campaign by the Islamist group Boko Haram. Fears are growing that Nigeria’s government may not know how to counter it, and may be making things worse. More

AppleAndroid