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Geithner said Mr. Obama is willing to do "very difficult political things" as part of a balanced long-term budget agreement, including "sensible ways" to find savings in major programs such as Social Security and Medicare, without increasing burdens on the middle class and elderly Americans.
Senate Minority Leader Mitch McConnell indicated that Republicans in Congress know that ultimately the U.S. debt limit must be raised, but will use the debate to drive home their points about deficit spending. "The secretary of the Treasury has said we need to do this, and we're using this as an opportunity to have a discussion about doing something about spending and debt," he said.
Mr. Obama's latest statement on the deficit and debt issues came in his weekly address to the nation Saturday, a day after the United States absorbed more difficult economic news with figures showing unemployment back up to 9.2 percent. "With a recovery that is still fragile and isn't producing all the jobs that we need, the last thing that we can afford is the usual partisan game-playing in Washington," he said.
Just over three weeks remain before the August 2 deadline to raise the debt limit. Congress, however, needs to act well before that, likely by July 22, to allow time for the procedural and legislative steps leading to House and Senate approval.