June 29 - President Obama called for swift action to raise the debt ceiling saying a U.S. default will be ''significant'' for the economy. Deborah Lutterbeck reports.
With the Administration saying that the United States will run out of money in early August, President Barack Obama says he is confident that that Congress will reach a deal to raise the debt ceiling. SOUNDBITE: U.S. President Barack Obama, saying (English): "Hopefully leaders will rise to the occasions and that is what I expect to happen this time. Call me naive, my expectation is that leaders are going to lead." At a White House news conference he said no one would want to face the cost of inaction on the debt ceiling. SOUNDBITE: U.S. President Barack Obama, saying (English): "Nobody wants to put the creditworthiness of the U.S. at risk. No one wants to see the U.S. default, but but we have to do it and we have to do it soon." Obama also pressed his case that tax cuts for the wealthiest Americans must be ended as part of a deficit deal. SOUNDBITE: U.S. President Barack Obama, saying (English): "The question is, if everybody else is willing to take on these sacred cows and do tough things in order to achieve the goal of real deficit reductions , I think it would be hard for the Republicans to stand there and say the tax break for corporate jets is sufficiently important that we are not willing to come to the table and get a deal done, or we are so concerned about protecting oil and company subsidies for companies that have been making money hand over fist, that's the reason we can't come to an agreement -- I just don't think that is sustainable position." He said if the debt ceiling is not lifted the consequences are serious. SOUNDBITE: U.S. President Barack Obama, saying (English): "If the U.S. defaults the consequences for the U.S. economy will be significant and unpredictable and that is not a good Obama said he and Vice President Joe Biden will continue talks with leaders from Congress to reach a deal that would cut the deficit and allow for the U.S. debt ceiling to be raised. Deborah Lutterbeck, Reuters.