President Obama speaks during his news conference in the East Room of the White House on Monday.
Credit Jason Reed / Reuters/Landov
At a news conference dominated by discussion of what's expected to be Washington's next big political battle, President Obama insisted Monday that he will not let Republicans tie an increase in the federal government's borrowing limit to negotiations over cuts in future federal spending.
This is WEEKEND EDITION from NPR News. I'm Scott Simon.
You might've chuckled a bit this week, if you heard about the trillion-dollar platinum coin plan, to perhaps address Washington, D.C.'s debt ceiling stalemate. But it will certainly be no laughing matter if the U.S. Congress refuses to raise the borrowing limit, and the U.S. government defaults on its debt. Global financial markets would likely plummet.
NPR's John Ydstie reports on some of the options the president has if he and Congress cannot reach an agreement.
President Obama may be going into the next big budget fight without his long-time treasury secretary. Timothy Geithner had been planning to leave before the start of the president's second term, but that would mean he is departing with the debt ceiling still looming and the Treasury scrambling to keep up with the government's bills.
ROBERT SIEGEL, HOST:
NPR's Scott Horsley joins us now. And, Scott, Secretary Geithner has made no secret of his plans to leave the government, but it sounds like his departure could be complicated.
We're sorry to start the first work day of 2013 on a negative note, but here goes:
Though the House voted 257-167 late Tuesday to OK legislation that kept the federal government from going over the so-called fiscal cliff — and stopped income taxes from rising for about 99 percent of Americans — lawmakers didn't reach agreement on other very divisive issues.