Hill Leaders Voice New Confidence In Deficit Deal
WASHINGTON (AP) â¿¿ Congressional leaders from both parties voiced fresh optimism Friday after meeting with newly re-elected President Barack Obama about avoiding year-end "fiscal cliff" tax increases and spending cuts that would hammer the middle class and risk plunging the economy into recession.
House Speaker John Boehner of Ohio said Republicans are willing to consider increased revenue "as long as it is accompanied by spending cuts" as leaders in a divided government get to work on a possible deal after a fierce election campaign.
He presented a framework that one official said called for a deficit down-payment of unspecified size by year's end, to be followed by comprehensive tax reform and an overhaul of Medicare and other benefit programs in 2013.Democrats indicated some spending cuts would be fine with them. "I feel confident that a solution may be in sight," said House Democratic leader Nancy Pelosi of California. The goal of the high-pressure talks to come is to produce a multitrillion-dollar deficit-reduction plan that can take the place of the across-the-board tax increases and spending cuts that are slated to take effect on Jan. 1. In remarks while reporters were present, Obama stressed that time was short as he welcomed the leaders to the White House for the first time since winning re-election this month. "We have urgent business to do," he said. If nothing else, the mood seemed good around the table in the Roosevelt Room of the White House. Obama noted that it would soon be Boehner's birthday and said he wasn't "going to embarrass him with a cake because we didn't know how many candles were needed." "Yeah, right," said Boehner, who's turning 63 on Saturday, chuckling as he playfully poked the president in the elbow. There was no indication that the meeting touched on Obama's campaign-long call to raise tax rates at upper incomes.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts