English subtitles for clip: File:10-11-13- White House Press Briefing.webm

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Mr. Carney:
Good afternoon, everyone.

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Thank you for being here.

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Thank you for your patience.

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It's obviously been
a long afternoon.

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And I just wanted to make sure
that before I came out to you

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I could provide you with as much
updated information as possible.

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I don't have an opening
statement to make,

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and in the interests
of moving this along

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I'll go straight to questions.

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The Press:
[inaudible]

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[laughter]

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Mr. Carney:
Well, I can anticipate
some of your questions,

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so it was the kind of
information that I hope

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will be responsive to your
questions, at least in part,

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that I sought and found.

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Julie.

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The Press:
Thanks, Jay.

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Can you tell us what the
President and Speaker Boehner

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discussed in their phone call?

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Mr. Carney:
Yes, I can.

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The President did call and speak
with the Speaker of the House

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this afternoon, not long
ago, had a good conversation,

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and the two of them agreed that
all sides need to keep talking

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on the issues here that are
confronting us that have led to

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a shutdown of the government and
to the situation that has put us

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on the precipice of
potential default,

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or at least reaching that line
beyond which the United States

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government does not have
borrowing authority.

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So the President believes that
in his meetings yesterday with

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House Republican leaders, and
today with Senate Republicans

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as well as, of course, with
House and Senate Democrats,

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that there have been
constructive talks.

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And when it comes to the House
Republicans, in particular,

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there is an indication, anyway,
of a recognition that we need

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to remove default as a weapon
in budget negotiations,

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that the threat of default
should not be used,

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and certainly default
itself is never an option.

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And the President appreciates
the constructive nature

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of the conversation
and of the proposal

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that House Republicans
put forward.

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He has some concerns with
it, and I'll simply say that,

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without reading -- I'm not
going to read out details

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of conversations or the phone
calls, but that our position,

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the President's position that
the United States should not,

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and the American people cannot,
pay a ransom in exchange

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for Congress doing
its job remains as true today

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as it has been
throughout this period.

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The Press:
When you talk about a
House Republican proposal,

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are you talking about
the proposal that they presented

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in the meeting yesterday,
or are you talking

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about this new proposal
from them that would increase

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the debt ceiling short term,

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also reopen the
government, and then,

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in exchange, increasing
cuts in benefit programs?

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Mr. Carney:
Well, again, I don't think --

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I'm not aware
of multiple proposals.

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I think that there has
been a general discussion --

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and I'm not going
to get into details.

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I will simply say that the
President has long believed

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and has insisted that
we cannot allow a situation

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where one party in one house
uses the threat of default

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to try to extract concessions
through budget negotiations.

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And it is his position
that the right thing to do

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is to remove that
gun from the table,

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extend the debt ceiling in
a way that ensures that there is

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no suggestion or hint
that default is an option,

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because our economy can't
endure that kind of approach

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to resolving our
budget differences.

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And a proposal that puts
a debt ceiling increase

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at only six weeks tied to budget
negotiations would put us

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right back where we are
today in just six weeks,

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on the verge of Thanksgiving
and the obviously important

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shopping season leading
up to the holidays,

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and that would create enormous
uncertainty for our economy.

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The President, speaking
with small business owners,

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heard from them that the
continued threat of default

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into that season would be
very damaging to them.

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And we don't think that's
the right way to go.

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The Press:
You said yesterday, though,

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that the President would
likely sign a short-term

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debt ceiling increase.

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That still stands,
is that correct?

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Mr. Carney: Yes.

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But let's be clear
about what his position

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has been and what I've said.

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It is the very least
that Congress could do

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to pass the legislation that
would raise the debt ceiling

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for a short term and
pass legislation that would fund

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the government for a short term,

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as the Senate has
already passed.

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And the President
has believed that --

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as I think I've
stated many times --

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we should raise the debt
ceiling for longer than that,

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as the Senate has proposed
and will vote on soon,

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because we should not
link the threat of default

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to budget negotiations.

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He's very eager to engage
in budget negotiations.

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That's been something he's amply
demonstrated all year long

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and is reflected
in the budget proposal

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he made earlier this year.

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But we should
not have a situation --

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a dynamic that has
led to where we are now,

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that led to what we saw
in the summer of 2011,

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and that would be
recreated in six weeks

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if we had to once again
go through a process

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where one party was
trying to extract concessions

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and budget negotiations

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in return for lifting
the debt ceiling.

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The Press:
I just want to
try one more time.

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There was a proposal that
the House Republicans came

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to the White House with
yesterday for their meeting.

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And then, House Republicans
say there was a new proposal

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that they presented
to White House staff last night

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that also included
reopening the government.

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The White House has received
that proposal, right?

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Mr. Carney:
I'm not disputing that.

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But what I'm saying is --

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The Press:
Can you just tell us what
the White House's position --

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it sounds like you're
not accepting that proposal.

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I just want to make sure
we can clarify that.

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Mr. Carney:
What the President
and the Speaker agreed

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on in their phone
conversation is that everybody

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should keep talking.

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And the President appreciates
the constructive approach

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that we've been seeing,
and that is certainly a change,

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and a welcome change,

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and he hopes that
an agreement can be reached.

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In relation to the proposal that
has been discussed in the press,

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it's our view that we cannot
have a situation where the debt

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ceiling is extended as part of
a budget negotiation process

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for only six weeks,
which would put us right back

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in the same position
that we're in now.

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And I know that this
is not uncomplicated,

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but a clean debt ceiling
increase for six weeks

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with no conditions
attached to it

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is distinct from one that links
it to a budget negotiation,

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and the continued
threat of default

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as a point of leverage
in a budget negotiation,

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which is just, again,

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continually putting the
American economy at risk

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in an effort to achieve
some partisan advantage,

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which we can't do.

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And, furthermore, when it
comes to various proposals

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that have been discussed,
it's certainly our view,

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as it has always been,

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that there is no reason to
keep the government shut down.

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The President wants to engage

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in constructive
budget negotiations.

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He has seen indications from
Republicans in both the Senate

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and the House in the last
24 hours that they, too,

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are interested in engaging in
serious budget negotiations

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where we can achieve some of
the goals that he put forward

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in his budget proposal --
buying down the sequester;

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investing in areas of our
economy that will help it grow

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and protect the middle class;
continuing the work of reducing

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our deficit and addressing
our long-term debt.

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And he very much
looks forward to that.

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But there's no reason to not
open the government right away,

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in his view.

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The Press:
Jay, do you feel like you're
close to an agreement?

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Are you getting anywhere
at all in these talks?

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Mr. Carney:
I think that the talks
have been constructive

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and that there's a recognition,

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at least among some Republicans
and Republican leaders,

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that shutdown is not good
for the American people

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and it's not good
for the American economy;

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that the threat of default
is damaging to the economy,

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and default itself would be
catastrophically damaging

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to the economy
and the American people;

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and that that acknowledgement
and those realizations

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have helped
created an environment

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where it at least looks like
there's the possibility

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of making some progress here.

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The President's view is
that we have to, again,

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remove these sort of
demands for leverage,

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using essentially the American
people and the economy in order

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to achieve what one side is
seeking through negotiations,

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and simply engage
in the negotiations.

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Don't punish the American people
because we here in Washington

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have different points of view
about how we should invest

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moving forward and what
mechanisms we can employ

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to further reduce our deficits.

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So, again,
the talks have been --

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and I think this is important,

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because it is
a marked difference

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from where we had been --

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the talks have
been constructive,

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and the President
appreciates the approach

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that the Speaker
and others have taken.

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The Press:
And is the biggest --

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you mentioned this
a couple of times.

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Is the biggest hang-up
now that length

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of the debt ceiling extension?

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Mr. Carney:
Again, the President
has a number of concerns

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with the proposal,
although there are other parts

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of the proposal that he thinks
reflects areas that we can find

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constructive agreement in.

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And by "we" I mean not just
the President and the Speaker,

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but any kind of budget deal
would have to pass through both

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houses of Congress and that
means agreement among both

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Democrats and Republicans
in both houses.

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The one issue that I mentioned
just now is that tying the

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extension of the debt ceiling
for only six weeks to budget

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negotiations creates a dynamic
that is very similar to the one

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we're experiencing now and very
similar to the one that the

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country experienced
back in 2011.

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And it has been the
President's position,

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and it is one that
he holds to this day,

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that that's not the
appropriate way to go,

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and that we ought to
remove -- Congress,

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Republicans ought to remove the
threat of default as a point of

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leverage in budget negotiations
because they're only doing harm

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to the American economy,
they're only doing harm

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to the American people.

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And the President cannot,
as he said so many times,

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pay ransom
in exchange for Congress

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doing its fundamental --

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fulfilling its fundamental
responsibility,

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which is to ensure that the
United States doesn't default

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and that it pays its bills.

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The Press:
And lastly, what did he tell
Senate Republicans this morning?

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We saw that
Senator Cornyn said

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that it was
a predictable lecture.

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Mr. Carney:
Well, I think I saw
some other senators --

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Republican senators speak
positively about the meeting,

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and the President felt that that
was also a constructive meeting.

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I'm not sure about Senator
Cornyn's comments except to say

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that certainly the Senator
should have expected the

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President to express his views
on how we ought to move forward.

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I don't think Republican
senators held back or Republican

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house members have held back
when expressing how they think

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we ought to move forward.

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The whole point is, we need to
have constructive negotiations

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about our budget choices not
under a cloud that threatens

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default or continued
government shutdown.

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Jim, and then Jon.

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The Press:
You've mentioned the
administration's concerns

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with the Republican proposal.

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What is the White House
putting on the table?

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What do you see as the most
realistic proposal in terms of

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getting something done here?

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Mr. Carney:
It is our position that
there is no acceptable reason

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00:12:04,133 --> 00:12:06,063
to keep the
government shutdown.

244
00:12:06,066 --> 00:12:09,866
All it does is harm
Americans who are out there

245
00:12:09,867 --> 00:12:12,697
trying to make ends meet,
harm the economy,

246
00:12:12,700 --> 00:12:16,070
and the government
ought to be reopened.

247
00:12:16,066 --> 00:12:17,366
So our position
hasn't changed there.

248
00:12:17,367 --> 00:12:19,597
And our position on the
debt ceiling hasn't changed,

249
00:12:19,600 --> 00:12:24,370
which is that it ought to be
removed by Congress as a tool or

250
00:12:24,367 --> 00:12:30,467
a cudgel in budget negotiations,
because in the precedent created

251
00:12:30,467 --> 00:12:34,967
in 2011, Republicans have,
now for the second time,

252
00:12:34,967 --> 00:12:40,537
used the threat of default in an
attempt to extract concessions

253
00:12:40,533 --> 00:12:43,803
that they could not extract
through normal legislative means

254
00:12:43,800 --> 00:12:46,400
or through the election process.

255
00:12:46,400 --> 00:12:50,570
So that's unacceptable.

256
00:12:50,567 --> 00:12:51,937
And it's not personal.

257
00:12:51,934 --> 00:12:53,204
It's not about this President.

258
00:12:53,200 --> 00:12:56,730
It's unacceptable as a governing
mechanism for this country

259
00:12:56,734 --> 00:12:58,904
moving forward, because
it would create a scenario

260
00:12:58,900 --> 00:13:03,500
where quarter after quarter,
or biannually, or yearly,

261
00:13:03,500 --> 00:13:06,470
we would have these
manufactured crises.

262
00:13:06,467 --> 00:13:09,937
And the crises alone, whether
there was default or not,

263
00:13:09,934 --> 00:13:11,734
do harm to our economy --

264
00:13:11,734 --> 00:13:14,404
slow growth,
reduce job creation,

265
00:13:14,400 --> 00:13:17,700
squeeze the middle class,
squeeze small businesses.

266
00:13:17,700 --> 00:13:19,000
And it's just not
the way to do business.

267
00:13:19,000 --> 00:13:23,800
And I think you're seeing
among a number of lawmakers

268
00:13:23,800 --> 00:13:25,900
both in the Senate and
the House who are Republicans

269
00:13:25,900 --> 00:13:30,000
a recognition that this is
not the right approach to take

270
00:13:30,000 --> 00:13:34,800
when we have sincerely
held opinions about the kinds

271
00:13:34,800 --> 00:13:38,570
of decisions we need to make
to move forward with our budget

272
00:13:38,567 --> 00:13:39,937
and our deficit reduction.

273
00:13:39,934 --> 00:13:42,034
The Press:
You said the position hasn't
changed on the shutdown,

274
00:13:42,033 --> 00:13:43,733
the position hasn't
changed on the debt ceiling.

275
00:13:43,734 --> 00:13:46,764
How is that negotiating?

276
00:13:46,767 --> 00:13:49,767
Mr. Carney:
Jim, look, the President has
had constructive conversations

277
00:13:49,767 --> 00:13:51,537
with House and
Senate Republicans.

278
00:13:51,533 --> 00:13:54,163
He's also had very good
conversations with House

279
00:13:54,166 --> 00:13:55,396
and Senate Democrats.

280
00:13:55,400 --> 00:14:00,670
His position that it's
unacceptable to demand a ransom

281
00:14:00,667 --> 00:14:04,367
from the American people in
return for not defaulting,

282
00:14:04,367 --> 00:14:05,397
it's not going to change.

283
00:14:05,400 --> 00:14:06,770
And it's not going
to change now,

284
00:14:06,767 --> 00:14:08,137
and it's not going to
change in six weeks,

285
00:14:08,133 --> 00:14:12,003
and it's not going to change at
any point during his presidency.

286
00:14:12,000 --> 00:14:14,300
Nor does he expect
that any of his successors

287
00:14:14,300 --> 00:14:18,170
will take a different position.

288
00:14:18,166 --> 00:14:22,766
What has always been true is
that this President is willing

289
00:14:22,767 --> 00:14:27,597
to sit down, roll up his sleeves
and work out a common-sense

290
00:14:29,667 --> 00:14:35,097
budget agreement with
Republicans that embodies both

291
00:14:35,100 --> 00:14:38,830
his objectives and Republican
objectives in a compromise --

292
00:14:38,834 --> 00:14:43,104
a compromise that achieves
not everything he wants

293
00:14:43,100 --> 00:14:45,400
and achieves not everything
that Republicans want,

294
00:14:45,400 --> 00:14:48,730
but through a compromise
achieves what the American

295
00:14:48,734 --> 00:14:52,364
people and the American
economy deserve, which is --

296
00:14:52,367 --> 00:14:53,567
The Press:
You're waiting
for the white flag?

297
00:14:53,567 --> 00:14:55,367
You're waiting for
total capitulation?

298
00:14:55,367 --> 00:14:56,437
Mr. Carney: No.

299
00:14:56,433 --> 00:14:58,733
Jim, look, you guys want
to turn this into a game

300
00:14:58,734 --> 00:15:00,134
of winners and losers.

301
00:15:00,133 --> 00:15:04,363
And the President made clear the
other day that in a situation

302
00:15:04,367 --> 00:15:10,497
where the government is shut
down and one party in Congress

303
00:15:10,500 --> 00:15:13,670
is threatening default, and
some of their loudest voices

304
00:15:13,667 --> 00:15:17,137
are encouraging default,
nobody wins.

305
00:15:17,133 --> 00:15:18,403
Nobody wins.

306
00:15:18,400 --> 00:15:23,530
He wants a situation where
we can discuss and debate our

307
00:15:23,533 --> 00:15:28,963
differences, and reach an
agreement that reflects

308
00:15:28,967 --> 00:15:33,697
a willingness by both
sides to compromise on behalf

309
00:15:33,700 --> 00:15:35,330
of the American people
and the American economy.

310
00:15:35,333 --> 00:15:36,563
And he believes it is possible.

311
00:15:36,567 --> 00:15:39,337
And he believes that,
although we're not there yet

312
00:15:39,333 --> 00:15:43,663
and there's not an agreement,
that there are indications

313
00:15:43,667 --> 00:15:47,437
in these last 24
hours from Republicans

314
00:15:47,433 --> 00:15:50,433
of a new willingness
to explore that possibility.

315
00:15:50,433 --> 00:15:52,263
Jon.

316
00:15:52,266 --> 00:15:54,036
The Press:
First, on a totally
different subject --

317
00:15:54,033 --> 00:15:57,803
as a Nobel Laureate,
does the President think

318
00:15:57,800 --> 00:16:01,330
the Nobel committee blew it by
not giving the Nobel Peace Prize

319
00:16:01,333 --> 00:16:03,503
to Malala Yousafzai?

320
00:16:03,500 --> 00:16:06,500
Mr. Carney:
Let me say first that we'll
be putting out a statement,

321
00:16:06,500 --> 00:16:08,630
but I wanted to say
that President Obama

322
00:16:08,633 --> 00:16:10,663
congratulates the Organization

323
00:16:10,667 --> 00:16:12,397
for the Prohibition
of Chemical Weapons --

324
00:16:12,400 --> 00:16:16,570
the OPCW -- on being
awarded the Nobel Peace Prize,

325
00:16:16,567 --> 00:16:18,637
which reinforces the
international community's

326
00:16:18,633 --> 00:16:21,033
commitment to the
international prohibition

327
00:16:21,033 --> 00:16:23,833
against the use
of chemical weapons.

328
00:16:23,834 --> 00:16:26,534
One of the President's highest
priorities is to prevent

329
00:16:26,533 --> 00:16:29,433
the proliferation or use of
weapons of mass destruction.

330
00:16:29,433 --> 00:16:33,663
And this award honors those who
make it their life's work

331
00:16:33,667 --> 00:16:35,837
to advance this vital goal.

332
00:16:35,834 --> 00:16:37,864
Since its establishment
16 years ago,

333
00:16:37,867 --> 00:16:40,667
the OPCW has stood at the
forefront of the international

334
00:16:40,667 --> 00:16:44,097
community's efforts to
verifiably eliminate some

335
00:16:44,100 --> 00:16:46,070
of the world's most
dangerous weapons.

336
00:16:46,066 --> 00:16:48,736
Today's award recognizes that
commitment and reinforces

337
00:16:48,734 --> 00:16:53,634
the trust and confidence the
world has placed in the OPCW,

338
00:16:53,633 --> 00:16:58,563
in its Director General,
and the courageous OPCW experts

339
00:16:58,567 --> 00:17:02,197
and inspectors taking on the
unprecedented challenge

340
00:17:02,200 --> 00:17:05,270
right now of eliminating Syria's
chemical weapons program.

341
00:17:05,266 --> 00:17:07,436
The U.S. strongly
supports the OPCW,

342
00:17:07,433 --> 00:17:10,403
including its joint work
with the United Nations

343
00:17:10,400 --> 00:17:12,900
to ensure that Syria's
chemical weapons stockpile

344
00:17:12,900 --> 00:17:14,630
are placed under
international control

345
00:17:14,633 --> 00:17:16,203
and ultimately destroyed.

346
00:17:16,200 --> 00:17:18,630
Today, we again call
on all nations to work

347
00:17:18,633 --> 00:17:21,663
to bring to an end the
conflict that has cost the lives

348
00:17:21,667 --> 00:17:23,137
of more than 100,000 Syrians

349
00:17:23,133 --> 00:17:26,563
and to support the
OPCW's efforts in the hope

350
00:17:26,567 --> 00:17:30,397
that future generations can live
in a world free from the horrors

351
00:17:30,400 --> 00:17:32,800
of chemical weapons.

352
00:17:32,800 --> 00:17:37,900
In answer to your question,
that young woman's courage

353
00:17:37,900 --> 00:17:40,970
and efforts are remarkable,

354
00:17:40,967 --> 00:17:43,697
and the President
absolutely honors them,

355
00:17:43,700 --> 00:17:45,500
as so many people
around the world do.

356
00:17:45,500 --> 00:17:48,200
The Press:
So he doesn't think the
Nobel Committee blew it?

357
00:17:48,200 --> 00:17:50,300
Mr. Carney:
Look, I don't think
the President --

358
00:17:50,300 --> 00:17:52,770
The Press:
Some people say she
is like the most --

359
00:17:52,767 --> 00:17:54,837
Mr. Carney:
I think the President
-- as I just noted --

360
00:17:54,834 --> 00:17:59,034
congratulates the winner of the
Noble Peace Prize and obviously

361
00:17:59,033 --> 00:18:01,963
thinks that there's an
enormous amount of good work

362
00:18:01,967 --> 00:18:05,567
being done around the
world on behalf of peace

363
00:18:05,567 --> 00:18:09,597
and all of it
should be recognized.

364
00:18:09,600 --> 00:18:13,570
The Press:
So the Republicans started
this all off by demanding

365
00:18:13,567 --> 00:18:17,497
full defunding of the
Affordable Care Act

366
00:18:17,500 --> 00:18:20,700
in exchange for funding the
government for six weeks,

367
00:18:20,700 --> 00:18:24,570
a whole laundry list of
Republican priorities

368
00:18:24,567 --> 00:18:26,967
in exchange for raising
the debt ceiling.

369
00:18:26,967 --> 00:18:28,697
Is it your sense,
given where we are now,

370
00:18:28,700 --> 00:18:30,930
that Republicans
have backed down?

371
00:18:33,800 --> 00:18:36,200
Mr. Carney:
Jon, I would just say,
as I mentioned before,

372
00:18:36,200 --> 00:18:41,030
that it's not really
how it should be viewed,

373
00:18:41,033 --> 00:18:48,733
that it's a win/lose/zero-sum
competition,

374
00:18:48,734 --> 00:18:52,434
because there
are losers regardless

375
00:18:52,433 --> 00:18:56,503
in a process like this
where government is shut down

376
00:18:56,500 --> 00:18:59,030
and default is threatened.

377
00:18:59,033 --> 00:19:02,603
And the President wants
that dynamic to change.

378
00:19:02,600 --> 00:19:06,500
He has made so very clear his
willingness to negotiate

379
00:19:06,500 --> 00:19:09,170
and reach a compromise
with Republicans

380
00:19:09,166 --> 00:19:12,666
on a longer-term budget deal.

381
00:19:12,667 --> 00:19:18,197
But he doesn't think that it's
appropriate to exact a price

382
00:19:18,200 --> 00:19:21,730
from the American people or to
punish the American economy

383
00:19:21,734 --> 00:19:23,364
in an effort to try to tip the
balance of those discussions

384
00:19:23,367 --> 00:19:29,797
and negotiations by Republicans.

385
00:19:29,800 --> 00:19:31,200
And he's been pretty
firm about that.

386
00:19:31,200 --> 00:19:36,670
He's encouraged by some of
the developments that we've seen

387
00:19:36,667 --> 00:19:38,637
and he agrees with the Speaker

388
00:19:38,633 --> 00:19:40,303
that we need
to continue talking,

389
00:19:40,300 --> 00:19:45,130
and hopes that we can reach a
resolution here that removes the

390
00:19:45,133 --> 00:19:50,663
threat of default from the table
for a considerable duration --

391
00:19:50,667 --> 00:19:54,397
that's certainly the President's
view -- allows the government

392
00:19:54,400 --> 00:19:57,170
to reopen as soon as possible,
put people back to work

393
00:19:57,166 --> 00:19:58,966
and end this situation

394
00:19:58,967 --> 00:20:01,967
where there are terrible
consequences occurring

395
00:20:01,967 --> 00:20:05,937
every day that we all hear
about and you report on.

396
00:20:05,934 --> 00:20:08,864
And then we can get about the
business of hammering out

397
00:20:08,867 --> 00:20:16,337
a compromise that, if achieved,
will give each side something

398
00:20:16,333 --> 00:20:19,333
to be proud of, something
to point to and say,

399
00:20:19,333 --> 00:20:22,963
we got that because we thought
it was so important and we were

400
00:20:22,967 --> 00:20:26,067
willing to work with the
President and the Democrats --

401
00:20:26,066 --> 00:20:28,596
this is the
Republicans speaking --

402
00:20:28,600 --> 00:20:30,830
on what they insisted
was important

403
00:20:30,834 --> 00:20:32,234
and we reached a compromise.

404
00:20:32,233 --> 00:20:36,003
And if we can do that,
on a longer term --

405
00:20:36,000 --> 00:20:37,170
how long, obviously depends

406
00:20:37,166 --> 00:20:38,566
on what those
negotiations look like --

407
00:20:38,567 --> 00:20:39,837
it would be good
for the American people

408
00:20:39,834 --> 00:20:41,334
and good for the economy.

409
00:20:41,333 --> 00:20:43,003
The Press:
But virtually none of those
original Republican demands

410
00:20:43,000 --> 00:20:45,000
are on the table
still, are they?

411
00:20:45,000 --> 00:20:48,070
Mr. Carney:
Again, when it
comes to threatening

412
00:20:48,066 --> 00:20:49,796
the full faith and credit
of the United States,

413
00:20:49,800 --> 00:20:52,700
no demand, no matter how small,
is acceptable.

414
00:20:52,700 --> 00:20:57,630
You have to accept the basic
premise that using that

415
00:20:57,633 --> 00:21:02,363
as leverage is highly
damaging to the economy

416
00:21:02,367 --> 00:21:03,697
and to the
American middle class.

417
00:21:03,700 --> 00:21:06,600
And I think that
we've, again, seen

418
00:21:06,600 --> 00:21:10,070
over the course of
the last several days and weeks

419
00:21:10,066 --> 00:21:13,396
a developing recognition
that going down this path

420
00:21:13,400 --> 00:21:17,670
was not the right way
to go for all the reasons

421
00:21:17,667 --> 00:21:21,537
and lessons that we
learned back in 2011.

422
00:21:21,533 --> 00:21:22,703
The Press:
And then one last thing.

423
00:21:22,700 --> 00:21:26,370
With apologies to Josh,
can you explain to me

424
00:21:26,367 --> 00:21:29,637
how it is that West Wing
Week is still being produced?

425
00:21:29,633 --> 00:21:32,033
I mean, is that really
a central government service

426
00:21:32,033 --> 00:21:35,833
that is not shut down
as part of the shutdown?

427
00:21:35,834 --> 00:21:37,564
Mr. Carney:
I would refer you to
the Office of Management

428
00:21:37,567 --> 00:21:38,867
and Budget in terms of what --

429
00:21:38,867 --> 00:21:43,867
The Press:
They don't mention the
weekly video webcast.

430
00:21:43,867 --> 00:21:44,967
Mr. Carney:
Call the OMB.

431
00:21:44,967 --> 00:21:47,497
But the communications
office obviously

432
00:21:47,500 --> 00:21:52,570
is significantly slimmed down,
as are so many offices here,

433
00:21:52,567 --> 00:21:55,237
but communications are a part

434
00:21:55,233 --> 00:21:58,463
of what we need
to do at the White House.

435
00:21:58,467 --> 00:22:01,697
The Press:
Jay, is it fair to say
that the conversation now

436
00:22:01,700 --> 00:22:05,770
is about not whether to avoid
default, but the duration?

437
00:22:05,767 --> 00:22:09,937
That is what is being
passed back and forth

438
00:22:09,934 --> 00:22:11,064
in these conversations?

439
00:22:11,066 --> 00:22:14,096
I'm not going to put terminology
on it that everyone

440
00:22:14,100 --> 00:22:15,730
is very sensitive to --

441
00:22:15,734 --> 00:22:17,834
negotiations, whatever
it is -- there's an agreement

442
00:22:17,834 --> 00:22:21,604
to avoid default and the
central issue is for how long?

443
00:22:23,900 --> 00:22:28,700
Mr. Carney:
Well, without getting into
depth about conversations

444
00:22:28,700 --> 00:22:29,830
that I don't want to read out,

445
00:22:29,834 --> 00:22:32,064
I would simply say that,
based on what you've heard

446
00:22:32,066 --> 00:22:34,936
from Republican leaders
in both houses,

447
00:22:34,934 --> 00:22:38,234
there is a recognition
that default is not

448
00:22:38,233 --> 00:22:42,003
an acceptable outcome
and not an option.

449
00:22:42,000 --> 00:22:48,000
And it is true that
we don't think there's --

450
00:22:51,433 --> 00:22:53,733
we have great concerns
about any proposition

451
00:22:53,734 --> 00:22:58,104
that would tie the next
extension of the debt ceiling

452
00:22:58,100 --> 00:23:00,630
directly to budget
negotiations in six weeks,

453
00:23:00,633 --> 00:23:04,963
right before we have the
most important retails season --

454
00:23:04,967 --> 00:23:06,337
The Press:
So the conversations were about
something longer than that?

455
00:23:06,333 --> 00:23:10,433
Mr. Carney:
It is absolutely our
view that we should remove

456
00:23:10,433 --> 00:23:14,133
renewal of the debt ceiling or
extension of the debt ceiling

457
00:23:14,133 --> 00:23:18,133
from this conversation, that the
threat of default should not

458
00:23:18,133 --> 00:23:20,433
be part of negotiations.

459
00:23:20,433 --> 00:23:22,703
That's been our
position all along.

460
00:23:22,700 --> 00:23:23,700
The Press: Right.

461
00:23:23,700 --> 00:23:25,470
Has in the last 24 hours,

462
00:23:25,467 --> 00:23:30,097
a discussion about reopening the
government for a period of time,

463
00:23:30,100 --> 00:23:31,900
longer than had been
previously discussed,

464
00:23:31,900 --> 00:23:34,100
which is either two
months or three months --

465
00:23:34,100 --> 00:23:37,100
is that also now comingled
with this conversation

466
00:23:37,100 --> 00:23:39,330
about extending
the debt limit --

467
00:23:39,333 --> 00:23:41,703
meaning, for a longer period
that we're really talking about

468
00:23:41,700 --> 00:23:44,870
now is not whether
but duration?

469
00:23:44,867 --> 00:23:47,697
Mr. Carney:
No, I mean, I think there's
more to it than duration.

470
00:23:47,700 --> 00:23:50,630
Our view is the government
ought to be reopened right away.

471
00:23:50,633 --> 00:23:51,833
It should have been
reopened yesterday.

472
00:23:51,834 --> 00:23:54,004
It should never
have been shut down.

473
00:23:54,000 --> 00:23:57,730
It is our view that
the debt ceiling,

474
00:23:57,734 --> 00:24:00,764
the commitment by the
Congress to pay our bills,

475
00:24:00,767 --> 00:24:02,737
should be renewed right way.

476
00:24:02,734 --> 00:24:04,034
The Press: Right.

477
00:24:04,033 --> 00:24:05,703
But all of us are trying to
figure out what is the central

478
00:24:05,700 --> 00:24:09,900
element of these conversations
and what is the goal

479
00:24:09,900 --> 00:24:11,200
that both sides are bringing.

480
00:24:11,200 --> 00:24:13,500
And so it seems to me fair to
ask you -- we're not really

481
00:24:13,500 --> 00:24:16,830
talking about whether to do
these things, but for how long,

482
00:24:16,834 --> 00:24:19,134
and then what's the
framework of negotiations

483
00:24:19,133 --> 00:24:21,503
that attach to that --

484
00:24:21,500 --> 00:24:24,930
Mr. Carney:
Well, I think, broadly
speaking, that's --

485
00:24:24,934 --> 00:24:27,664
The Press:
Is that a fair characterization?

486
00:24:27,667 --> 00:24:29,037
Mr. Carney:
That's fair, but obviously

487
00:24:29,033 --> 00:24:31,763
there's a lot more
to it than that.

488
00:24:31,767 --> 00:24:37,237
What we think is not the
right way to go is to try again,

489
00:24:37,233 --> 00:24:38,763
after we've
just been through this

490
00:24:38,767 --> 00:24:40,297
and after we went
through it two years --

491
00:24:40,300 --> 00:24:46,570
to link extension of the debt
ceiling to budget negotiations,

492
00:24:46,567 --> 00:24:50,297
and therefore link
the possibility of default

493
00:24:50,300 --> 00:24:52,570
to whether or not one
side gets what it wants

494
00:24:52,567 --> 00:24:54,197
in those
budget negotiations, because --

495
00:24:54,200 --> 00:24:56,430
The Press:
So there has to be a
clear delineation of that,

496
00:24:56,433 --> 00:24:57,603
or whatever you --

497
00:24:57,600 --> 00:24:58,830
Mr. Carney:
We believe, the
President supports

498
00:24:58,834 --> 00:25:00,204
a position that's reflected --

499
00:25:00,200 --> 00:25:05,200
The Press:
And Republicans are
moving in that direction,

500
00:25:05,200 --> 00:25:06,370
would you say?

501
00:25:06,367 --> 00:25:09,197
Mr. Carney:
Well, I'm not going
to speak for the

502
00:25:09,200 --> 00:25:12,430
Republicans except to say that
we think the talks have been

503
00:25:12,433 --> 00:25:15,063
constructive and we think that
Republican leaders are looking

504
00:25:15,066 --> 00:25:17,436
for a way to extend
the debt ceiling

505
00:25:17,433 --> 00:25:18,903
and to fund the government.

506
00:25:18,900 --> 00:25:21,230
We just need to --
they need to continue talking.

507
00:25:21,233 --> 00:25:23,633
There needs to be continued
discussions on Capitol Hill,

508
00:25:23,633 --> 00:25:25,003
and we'll see where we get.

509
00:25:25,000 --> 00:25:27,670
Our view is that --
the President's view

510
00:25:27,667 --> 00:25:29,267
is that we ought to --

511
00:25:29,266 --> 00:25:31,236
there is no reason,
there is no actual reason

512
00:25:31,233 --> 00:25:34,403
I have even seen logically
articulated by Republicans

513
00:25:34,400 --> 00:25:38,330
for why they insist on,
or would insist on continuing

514
00:25:38,333 --> 00:25:44,403
to shut the government down --
because there's only -- I mean,

515
00:25:44,400 --> 00:25:46,070
average folks out
there are paying the price

516
00:25:46,066 --> 00:25:47,536
and the economy
is paying the price.

517
00:25:47,533 --> 00:25:49,703
And that ought to be --

518
00:25:49,700 --> 00:25:52,470
The Press:
And so these talks are
now about resolving both?

519
00:25:52,467 --> 00:25:54,937
Mr. Carney:
Well, again, I'm not going
to characterize conversations

520
00:25:54,934 --> 00:25:57,434
that are taking
place on Capitol Hill or here

521
00:25:57,433 --> 00:25:58,933
in any great detail,

522
00:25:58,934 --> 00:26:02,534
except to reiterate what
our firm position has been.

523
00:26:02,533 --> 00:26:04,363
The Press:
Tomorrow could be
a very interesting

524
00:26:04,367 --> 00:26:05,467
and possibly important day,

525
00:26:05,467 --> 00:26:07,097
because House Republicans
have said they're

526
00:26:07,100 --> 00:26:10,530
going to have a vote
on the debt limit extension

527
00:26:10,533 --> 00:26:11,833
one way or the other.

528
00:26:11,834 --> 00:26:13,604
It would
either be the original thing

529
00:26:13,600 --> 00:26:15,630
they brought here yesterday,
which is November 22nd,

530
00:26:15,633 --> 00:26:18,133
or something that would
reflect what is now, I believe,

531
00:26:18,133 --> 00:26:21,103
being jointly discussed,
something that's longer and more

532
00:26:21,100 --> 00:26:25,970
comprehensive and possibly that
could be described as a deal.

533
00:26:25,967 --> 00:26:30,797
Does that comport with your
understanding that the timeline

534
00:26:30,800 --> 00:26:35,070
would be something by
tomorrow, and that --

535
00:26:35,066 --> 00:26:38,666
Mr. Carney:
I really can honestly
say that I don't know

536
00:26:38,667 --> 00:26:40,197
if and when the
House is going to act

537
00:26:40,200 --> 00:26:41,830
on any proposed legislation.

538
00:26:41,834 --> 00:26:43,834
What I can tell you --

539
00:26:43,834 --> 00:26:45,164
The Press:
Is there a sense of urgency

540
00:26:45,166 --> 00:26:46,936
about getting
things done tonight?

541
00:26:46,934 --> 00:26:48,564
Mr. Carney:
The President just
spoke with the Speaker.

542
00:26:48,567 --> 00:26:52,897
The President obviously
met with Senate Republicans

543
00:26:52,900 --> 00:26:57,800
and has now met with members
of both parties of both houses,

544
00:26:57,800 --> 00:26:59,830
and will continue --

545
00:26:59,834 --> 00:27:02,804
broadly, will continue
to have conversations.

546
00:27:02,800 --> 00:27:06,870
And what's important here is
that everyone recognize

547
00:27:06,867 --> 00:27:08,767
that default is not
an option and that --

548
00:27:08,767 --> 00:27:10,097
The Press: How about --

549
00:27:10,100 --> 00:27:13,900
Mr. Carney:
Well, we're obviously
in a better place than

550
00:27:13,900 --> 00:27:17,770
we were a few days ago in terms
of the constructive approach

551
00:27:17,767 --> 00:27:22,437
that we've seen of late,
but there's not an agreement.

552
00:27:22,433 --> 00:27:26,163
And it's our view,
the President's view,

553
00:27:26,166 --> 00:27:28,736
that we ought to just --
that the Congress ought to

554
00:27:28,734 --> 00:27:30,864
and the House ought to
allow the government to reopen,

555
00:27:30,867 --> 00:27:35,337
and to pass a bill that
raises the debt ceiling,

556
00:27:35,333 --> 00:27:40,363
so that it's clear to everyone
that we can't use that -- that

557
00:27:40,367 --> 00:27:45,767
no party should use the threat
of default as leverage to try to

558
00:27:45,767 --> 00:27:47,937
achieve something through
budget negotiations.

559
00:27:47,934 --> 00:27:52,004
I mean, look, we're a country
where the two dominant parties

560
00:27:52,000 --> 00:27:55,070
-- and each is substantially
represented here in Washington,

561
00:27:55,066 --> 00:27:59,836
and budget negotiations and a
compromise will, by definition,

562
00:27:59,834 --> 00:28:06,134
if one is reached, reflect
some of what each side wants.

563
00:28:06,133 --> 00:28:08,703
So that is highly achievable.

564
00:28:08,700 --> 00:28:12,330
And it's not necessary to
pursue and engage in budget

565
00:28:12,333 --> 00:28:16,363
negotiations under threat of
default or continued shutdown.

566
00:28:16,367 --> 00:28:17,637
The Press:
Before I let you go,

567
00:28:17,633 --> 00:28:19,163
obviously everyone is going
to be in town this weekend.

568
00:28:19,166 --> 00:28:21,736
The international markets will
be weighing and monitoring what

569
00:28:21,734 --> 00:28:23,434
happens this weekend
very carefully.

570
00:28:23,433 --> 00:28:26,633
It will be the last time before
we start really getting closer

571
00:28:26,633 --> 00:28:28,633
to this October 17th deadline.

572
00:28:28,633 --> 00:28:32,433
Do you not agree that there is
something very important about

573
00:28:32,433 --> 00:28:34,863
what does or does not happen,
either here or on the floor of

574
00:28:34,867 --> 00:28:37,397
the House and Senate, this
weekend on this question?

575
00:28:37,400 --> 00:28:39,670
Mr. Carney:
Well, I certainly agree
that we're long past --

576
00:28:39,667 --> 00:28:41,137
The Press:
That's not that much
of a sense of urgency

577
00:28:41,133 --> 00:28:42,363
to these conversations.

578
00:28:42,367 --> 00:28:43,637
Mr. Carney:
-- the time when
people ought to be able

579
00:28:43,633 --> 00:28:45,403
to go back to -- should have
been able to go back to work

580
00:28:45,400 --> 00:28:46,800
and the government should
have been reopened.

581
00:28:46,800 --> 00:28:50,270
And we're obviously coming
very close to a deadline

582
00:28:50,266 --> 00:28:52,396
that would put us beyond
where we've ever been before,

583
00:28:52,400 --> 00:28:55,530
where the United States
of America would not have

584
00:28:55,533 --> 00:28:59,633
the capacity to borrow and would
only be able to use cash on hand

585
00:28:59,633 --> 00:29:00,933
to pay its bills.

586
00:29:00,934 --> 00:29:05,704
And that would be, by any
serious economist's reckoning,

587
00:29:05,700 --> 00:29:10,730
a very dangerous place
for the United States.

588
00:29:10,734 --> 00:29:12,734
And we should not get there.

589
00:29:12,734 --> 00:29:16,234
And the President certainly
hopes that Congress acts

590
00:29:16,233 --> 00:29:21,363
to remove that threat
as soon as possible.

591
00:29:21,367 --> 00:29:23,367
Carrie.

592
00:29:28,533 --> 00:29:34,533
The Press: Is the source of
disagreement right now with the

593
00:29:40,300 --> 00:29:42,300
House GOP proposal that there's
a -- putting entitlement reforms

594
00:29:42,300 --> 00:29:43,870
on the table, Medicare
means-testing, but not revenue,

595
00:29:43,867 --> 00:29:46,267
a promise of looking at revenue
as well in budget negotiations

596
00:29:46,266 --> 00:29:49,036
-- is that one issue that the
White House has with this?

597
00:29:49,033 --> 00:29:50,363
Mr. Carney:
What I'll say, Carrie, is, A,

598
00:29:50,367 --> 00:29:53,137
that I'm not going to get into
specifics about conversations

599
00:29:53,133 --> 00:29:56,363
and proposals that
are being discussed.

600
00:29:56,367 --> 00:30:02,537
I will say broadly that the
President believes that tough

601
00:30:02,533 --> 00:30:05,103
choices have to be made and can
be made as part of a compromise

602
00:30:05,100 --> 00:30:07,570
budget agreement that
moves our country forward

603
00:30:07,567 --> 00:30:09,367
and reduces the deficit.

604
00:30:09,367 --> 00:30:12,167
He has a proposal on the table
that would deal with this

605
00:30:12,166 --> 00:30:17,866
over a 10-year period and would
reduce our deficit beyond --

606
00:30:17,867 --> 00:30:20,537
would buy back the sequester
and then reduce the deficit

607
00:30:20,533 --> 00:30:23,533
beyond what is achieved
through sequester.

608
00:30:23,533 --> 00:30:28,233
And that would include,
in a balanced way,

609
00:30:28,233 --> 00:30:30,033
some of the kinds of reforms

610
00:30:30,033 --> 00:30:32,103
that we're seeing
discussed today.

611
00:30:32,100 --> 00:30:34,770
But remember, that
was part of a broad package

612
00:30:34,767 --> 00:30:37,797
and a balanced package.

613
00:30:37,800 --> 00:30:41,730
The fact that there's interest
by both parties, in both houses,

614
00:30:41,734 --> 00:30:47,404
in buying back the sequester
is a good thing in our view.

615
00:30:47,400 --> 00:30:51,700
And we're certainly interested
in budget negotiations that try

616
00:30:51,700 --> 00:30:54,730
to tackle that challenge and
that shared goal and in budget

617
00:30:54,734 --> 00:30:57,164
negotiations that
would look at a variety

618
00:30:57,166 --> 00:31:00,196
of means of achieving that.

619
00:31:00,200 --> 00:31:04,730
So, having said that, I'll
restate that we need to continue

620
00:31:04,734 --> 00:31:08,234
to have conversations, and
the House and the Senate

621
00:31:08,233 --> 00:31:10,163
and Democrats and Republicans
need to continue

622
00:31:10,166 --> 00:31:11,596
to have conversations.

623
00:31:11,600 --> 00:31:14,870
It is our view that it's very
important to remove the threat

624
00:31:14,867 --> 00:31:21,397
of default from this process and
to open the government

625
00:31:21,400 --> 00:31:22,930
as soon as possible.

626
00:31:22,934 --> 00:31:25,734
The Press:
But if the entitlements are
put on the table specifically,

627
00:31:25,734 --> 00:31:28,764
which they seem to --
the GOP seems to have done,

628
00:31:28,767 --> 00:31:30,997
does the President need
revenues to be specified

629
00:31:31,000 --> 00:31:34,600
as well, that that
is also going to be --

630
00:31:34,600 --> 00:31:36,870
Mr. Carney:
Again, I'm not going
to -- we're talking about

631
00:31:36,867 --> 00:31:38,037
a very fluid situation.

632
00:31:38,033 --> 00:31:39,863
The President's position
is reflected in his budget,

633
00:31:39,867 --> 00:31:41,897
when you talk about
comprehensive, broad,

634
00:31:41,900 --> 00:31:43,900
long-term budget negotiations
that try to achieve a

635
00:31:43,900 --> 00:31:49,330
comprehensive, long-term deal.

636
00:31:49,333 --> 00:31:52,703
And the President's position
has always been that we need to,

637
00:31:52,700 --> 00:31:54,800
when it comes to
deficit reduction,

638
00:31:54,800 --> 00:31:56,130
tackle that in a balanced way.

639
00:31:56,133 --> 00:32:00,363
And that's reflected in his
budget through both savings from

640
00:32:00,367 --> 00:32:05,397
entitlement reforms and
savings through tax reform.

641
00:32:05,400 --> 00:32:08,230
We're not at the point of
negotiations like that.

642
00:32:08,233 --> 00:32:11,363
The President has been eager to
have those negotiations all year

643
00:32:11,367 --> 00:32:14,597
long, and has met repeatedly
with Republicans over the course

644
00:32:14,600 --> 00:32:18,800
of the year in an effort to try
to find that common ground

645
00:32:18,800 --> 00:32:20,370
on these very issues.

646
00:32:20,367 --> 00:32:21,967
And he looks forward
to doing so again.

647
00:32:21,967 --> 00:32:26,697
But we need to continue to
explore the possibility of

648
00:32:26,700 --> 00:32:31,270
resolving this imminent -- this
real and current conflict that

649
00:32:31,266 --> 00:32:38,566
has led them to shut down the
government and threaten default,

650
00:32:38,567 --> 00:32:42,867
and then we can move on to
broader negotiations over how we

651
00:32:42,867 --> 00:32:44,497
achieve our budget priorities.

652
00:32:44,500 --> 00:32:46,500
Is that satisfactory?

653
00:32:46,500 --> 00:32:47,830
Chuck.

654
00:32:47,834 --> 00:32:54,004
The Press:
On the issue of -- can
you just sort of clarify,

655
00:32:54,000 --> 00:32:55,930
are you negotiating
something, or not?

656
00:32:55,934 --> 00:32:58,604
Because the stance has
been no negotiation.

657
00:32:58,600 --> 00:33:01,330
But there's clearly --

658
00:33:01,333 --> 00:33:03,333
Mr. Carney:
Absolutely true.

659
00:33:03,333 --> 00:33:05,403
The Press:
It seems clear that
if the Republicans

660
00:33:05,400 --> 00:33:07,630
open up the government
that you guys have agreed

661
00:33:07,633 --> 00:33:10,833
to give them
something in return.

662
00:33:10,834 --> 00:33:13,704
Is that -- or else
you wouldn't be in the midst

663
00:33:13,700 --> 00:33:15,000
of trading proposals.

664
00:33:15,000 --> 00:33:18,030
Not to get pedantic here, but it
does seem as if you have moved

665
00:33:18,033 --> 00:33:20,333
off the position of,
we're not negotiating.

666
00:33:20,333 --> 00:33:23,233
Mr. Carney:
Well, I think you need
to remember what our position

667
00:33:23,233 --> 00:33:25,463
is specifically --
and I understand the question.

668
00:33:25,467 --> 00:33:29,797
The President is absolutely
committed to the proposition

669
00:33:29,800 --> 00:33:34,500
that the American people should
not and cannot pay ransom in

670
00:33:34,500 --> 00:33:38,600
exchange for Congress doing
its job when it comes to its

671
00:33:38,600 --> 00:33:40,970
fundamental responsibilities
of ensuring that the government

672
00:33:40,967 --> 00:33:43,467
stays open, or, even
more importantly,

673
00:33:43,467 --> 00:33:47,397
ensuring that the United
States pays its bills.

674
00:33:47,400 --> 00:33:48,700
When it comes to
the debt ceiling,

675
00:33:48,700 --> 00:33:51,530
which will be breached for the
first time in our history in

676
00:33:51,533 --> 00:33:53,803
just a few days if Congress
doesn't take the necessary

677
00:33:53,800 --> 00:33:59,800
action, it is absolutely his
view that demands for ransom of

678
00:34:02,000 --> 00:34:08,470
any kind, any kind of extraction
of a concession from him or from

679
00:34:08,467 --> 00:34:11,897
the American people through him
are unacceptable in exchange for

680
00:34:11,900 --> 00:34:14,200
ensuring that we do not default.

681
00:34:14,200 --> 00:34:15,230
When it comes to --

682
00:34:15,233 --> 00:34:16,433
The Press:
So what is he offering then?

683
00:34:16,433 --> 00:34:18,203
He must be offering something
or -- put it this way --

684
00:34:18,200 --> 00:34:19,330
there are a lot
of people on Capitol Hill,

685
00:34:19,333 --> 00:34:21,063
there are a lot
of House Republicans

686
00:34:21,066 --> 00:34:22,296
and a lot of Senate Republicans

687
00:34:22,300 --> 00:34:25,100
who have come away from
this meeting believing, okay,

688
00:34:25,100 --> 00:34:28,600
the President is now going to
at least give us something.

689
00:34:28,600 --> 00:34:30,700
Mr. Carney:
Well, I think that
the conversations,

690
00:34:30,700 --> 00:34:33,770
at the very least, when it comes
to what Republicans have heard

691
00:34:33,767 --> 00:34:38,967
from the President, have
reinforced what the President

692
00:34:38,967 --> 00:34:41,737
has tried to convey through his
proposals and through what he

693
00:34:41,734 --> 00:34:46,634
said publicly and privately,
that he is serious about finding

694
00:34:46,633 --> 00:34:52,063
compromise when it comes to our
budget challenges and that he

695
00:34:52,066 --> 00:34:55,036
wants to get to
work resolving them,

696
00:34:55,033 --> 00:35:00,833
and believes that there are in
both houses potential partners

697
00:35:00,834 --> 00:35:02,604
with both Democrats
and Republicans

698
00:35:02,600 --> 00:35:03,700
to achieve that compromise.

699
00:35:03,700 --> 00:35:05,000
But he won't --

700
00:35:05,000 --> 00:35:07,000
The Press:
So it's fair to say that
if there is something

701
00:35:07,000 --> 00:35:11,030
they come up with from what
would be future budget talks

702
00:35:11,033 --> 00:35:14,803
to open up the government right
now and John Boehner needs it

703
00:35:14,800 --> 00:35:16,330
to get the votes,
you guys are, like, fine.

704
00:35:16,333 --> 00:35:19,133
Is that what we're
looking at there?

705
00:35:19,133 --> 00:35:21,233
Basically you're saying, fine,
it's something we would have

706
00:35:21,233 --> 00:35:22,763
given you in the
budget negotiations;

707
00:35:22,767 --> 00:35:24,567
if you need it earlier to
get the votes to reopen

708
00:35:24,567 --> 00:35:28,237
the government, we're not going
to draw a line in the sand?

709
00:35:28,233 --> 00:35:30,433
Mr. Carney:
I don't think it's possible
to achieve a comprehensive

710
00:35:30,433 --> 00:35:32,133
budget agreement of
the kind that's reflected

711
00:35:32,133 --> 00:35:35,163
in the President's 10-year
proposal in a matter of days --

712
00:35:35,166 --> 00:35:38,766
unless there's a sudden
willingness by Republicans to --

713
00:35:38,767 --> 00:35:42,997
The Press:
But there's one piece of
it they'd take that they like?

714
00:35:43,000 --> 00:35:45,270
Mr. Carney:
Well, I think therein
lies the rub, right?

715
00:35:45,266 --> 00:35:50,836
So we believe that precisely
because budget negotiations

716
00:35:50,834 --> 00:35:56,504
are a complicated business and
each side has principled views,

717
00:35:56,500 --> 00:36:01,330
that they should not be
conducted under the cloud of

718
00:36:01,333 --> 00:36:04,963
continued shutdown
and certainly not conducted

719
00:36:04,967 --> 00:36:06,867
under the threat of default.

720
00:36:06,867 --> 00:36:08,067
That's been our
position all along.

721
00:36:08,066 --> 00:36:13,666
I mean, it's probably made
for less interesting copy,

722
00:36:13,667 --> 00:36:16,737
but there's been enormous
consistency in our statement

723
00:36:16,734 --> 00:36:18,164
of that position
from the beginning here.

724
00:36:18,166 --> 00:36:22,796
And it's fair to say that
that position reflects

725
00:36:22,800 --> 00:36:25,870
some lessons learned
from what happened in 2011.

726
00:36:25,867 --> 00:36:31,497
And what we can't do is
recreate the 2011 experience

727
00:36:31,500 --> 00:36:33,070
for the American people,

728
00:36:33,066 --> 00:36:36,466
because they paid a significant
price just for the flirtation

729
00:36:36,467 --> 00:36:39,897
with default that Republicans
engaged in two years ago.

730
00:36:39,900 --> 00:36:42,230
The Press:
Can you give the President's
or the White House version

731
00:36:42,233 --> 00:36:44,763
of events of the
Ted Cruz back-and-forth?

732
00:36:44,767 --> 00:36:45,767
Mr. Carney: No.

733
00:36:45,767 --> 00:36:46,767
[laughter]

734
00:36:46,767 --> 00:36:48,397
The Press:
You're not going to say?

735
00:36:48,400 --> 00:36:51,170
Mr. Carney:
I'm not going to read
out beyond what I've said

736
00:36:51,166 --> 00:36:53,136
of the meeting itself.

737
00:36:53,133 --> 00:36:54,803
The Press:
My understanding
is the Senator gave

738
00:36:54,800 --> 00:36:57,300
a pretty impassioned question
about the health care law

739
00:36:57,300 --> 00:36:59,800
and that the President gave
a pretty somewhat dismissive

740
00:36:59,800 --> 00:37:02,100
answer to
Senator Cruz's question.

741
00:37:02,100 --> 00:37:04,530
Mr. Carney:
Again, I don't have
any further readout

742
00:37:04,533 --> 00:37:07,103
on what the President thought
was a constructive meeting.

743
00:37:07,100 --> 00:37:08,100
Carol.

744
00:37:08,100 --> 00:37:09,200
The Press: Thanks.

745
00:37:09,200 --> 00:37:11,130
Just to clarify, did the
President convey in his

746
00:37:11,133 --> 00:37:15,403
conversation with the Speaker
that he wants a longer-term debt

747
00:37:15,400 --> 00:37:21,030
limit increase and that --
can you just clarify that?

748
00:37:21,033 --> 00:37:23,663
Mr. Carney:
Well, I don't have
anything more specific

749
00:37:23,667 --> 00:37:25,697
to read out from the
conversation itself.

750
00:37:25,700 --> 00:37:29,170
I can say our position is --
and our position in public

751
00:37:29,166 --> 00:37:30,596
is the same as
it is in private --

752
00:37:30,600 --> 00:37:33,700
that it is the right thing to do

753
00:37:33,700 --> 00:37:35,800
to remove that
gun from the table,

754
00:37:35,800 --> 00:37:37,170
the negotiating table,

755
00:37:37,166 --> 00:37:38,836
ensure that the
debt ceiling is raised

756
00:37:38,834 --> 00:37:42,064
for as long
a duration as possible

757
00:37:42,066 --> 00:37:45,366
so that it is not --
no one is tempted --

758
00:37:45,367 --> 00:37:48,767
in this case, only Republicans
have been tempted --

759
00:37:48,767 --> 00:37:52,167
but no one is tempted to
use the threat of default

760
00:37:52,166 --> 00:37:57,236
as a means of extracting
political concessions.

761
00:37:57,233 --> 00:37:59,963
The Press:
Some of the Senate Republicans
came away from their meeting

762
00:37:59,967 --> 00:38:01,667
with the President
with the impression

763
00:38:01,667 --> 00:38:03,567
that he's backing
away from his support

764
00:38:03,567 --> 00:38:04,837
for something short term.

765
00:38:04,834 --> 00:38:07,134
Is that from your guys'
perspective an accurate picture

766
00:38:07,133 --> 00:38:08,763
of what happened?

767
00:38:08,767 --> 00:38:11,637
Mr. Carney:
Well, what I would say
is that it has never been

768
00:38:11,633 --> 00:38:15,463
our desired outcome
that Congress

769
00:38:15,467 --> 00:38:17,697
only reopen the government
for a short term,

770
00:38:17,700 --> 00:38:21,130
or Congress only lift the
debt ceiling for a short term.

771
00:38:21,133 --> 00:38:25,633
That is -- and I think I've said
this verbatim in the past --

772
00:38:25,633 --> 00:38:27,903
the least they could do.

773
00:38:27,900 --> 00:38:32,300
So is it still acceptable
as the bare minimum?

774
00:38:32,300 --> 00:38:33,530
Sure.

775
00:38:33,533 --> 00:38:37,533
I mean, it's absolutely --
if the Congress were to pass

776
00:38:37,533 --> 00:38:41,333
a clean debt ceiling of short
duration to avoid default,

777
00:38:41,333 --> 00:38:42,503
the President would sign that.

778
00:38:42,500 --> 00:38:45,030
But as I've said in the past,
whether the Congress

779
00:38:45,033 --> 00:38:47,503
extends the debt
ceiling for a short term

780
00:38:47,500 --> 00:38:48,800
or a medium term or long term,

781
00:38:48,800 --> 00:38:53,430
the President's position on
refusing to pay ransom

782
00:38:53,433 --> 00:38:55,903
in exchange for Congress
fulfilling their responsibility

783
00:38:55,900 --> 00:38:58,930
to pay the bills of the
United States will not change.

784
00:38:58,934 --> 00:39:02,304
The Press:
And then, lastly, does
the White House see promise

785
00:39:02,300 --> 00:39:03,900
in Senator Collins's proposal,

786
00:39:03,900 --> 00:39:06,300
given your desire
for something longer?

787
00:39:06,300 --> 00:39:12,000
Is that an avenue that you
think might be more fruitful?

788
00:39:12,000 --> 00:39:15,630
Mr. Carney:
I would say that a number
of lawmakers in the Senate

789
00:39:15,633 --> 00:39:20,203
as well as the House
have expressed views that are

790
00:39:20,200 --> 00:39:22,430
constructive, in our estimation.

791
00:39:22,433 --> 00:39:23,763
Senator Collins is one of them.

792
00:39:23,767 --> 00:39:27,567
But I'm not going to evaluate
from here a specific proposal

793
00:39:27,567 --> 00:39:30,937
beyond what I've said thus far.

794
00:39:30,934 --> 00:39:33,164
Mark.

795
00:39:33,166 --> 00:39:35,536
The Press:
Jay, did you answer
Chuck by saying that,

796
00:39:35,533 --> 00:39:38,733
yes, these talks and
meetings and phone calls

797
00:39:38,734 --> 00:39:41,934
and conversations
amount to negotiating?

798
00:39:41,934 --> 00:39:43,904
Or are you still
avoiding that word?

799
00:39:45,867 --> 00:39:47,897
Mr. Carney: What I would
say is that our position hasn't

800
00:39:47,900 --> 00:39:51,330
changed, our position
that there's no ransom

801
00:39:51,333 --> 00:39:52,833
that can be paid.

802
00:39:52,834 --> 00:39:56,904
And when you say "negotiation,"
if you mean it in the terms of

803
00:39:56,900 --> 00:39:59,670
like you extract from one side
what you want in return for

804
00:39:59,667 --> 00:40:01,667
something else -- when it comes
to raising the debt ceiling,

805
00:40:01,667 --> 00:40:06,097
the President firmly believes
it is not good for the American

806
00:40:06,100 --> 00:40:09,830
people or the American economy
or the global economy for any

807
00:40:09,834 --> 00:40:13,334
President of either party,
or any party in the future,

808
00:40:13,333 --> 00:40:19,003
to pay the opposition party
a political price in exchange

809
00:40:19,000 --> 00:40:21,100
for it fulfilling that
fundamental responsibility,

810
00:40:21,100 --> 00:40:23,130
because you get
into a situation --

811
00:40:23,133 --> 00:40:26,503
which we're now experiencing and
which we experienced in 2011 --

812
00:40:26,500 --> 00:40:30,300
whereby one faction of
one party manufactures a crisis

813
00:40:30,300 --> 00:40:34,430
that does harm to the economy
and harm to the American people.

814
00:40:34,433 --> 00:40:35,563
And we ought not do that.

815
00:40:35,567 --> 00:40:38,067
Because it's
a complicated piece of business

816
00:40:38,066 --> 00:40:41,136
with an unfortunate
term attached to it,

817
00:40:41,133 --> 00:40:42,463
the debt ceiling,

818
00:40:42,467 --> 00:40:44,797
but it is really simply about
authorizing the United States

819
00:40:44,800 --> 00:40:48,330
government to pay the bills
that Congress has incurred.

820
00:40:48,333 --> 00:40:54,263
So not paying those bills
would make us a deadbeat nation.

821
00:40:54,266 --> 00:40:55,666
And that is something
that I don't think

822
00:40:55,667 --> 00:40:59,337
any American reasonably
would find acceptable.

823
00:40:59,333 --> 00:41:00,503
The Press:
I understand that.

824
00:41:00,500 --> 00:41:03,070
But you said earlier the
President has a number of

825
00:41:03,066 --> 00:41:06,136
concerns with the proposal
from the House Republicans.

826
00:41:06,133 --> 00:41:07,233
That sounds like negotiating.

827
00:41:07,233 --> 00:41:11,933
Can we use that word, or
you would object to it?

828
00:41:11,934 --> 00:41:15,334
Mr. Carney:
You can use any word
you want to describe it.

829
00:41:15,333 --> 00:41:18,733
That's the beauty
of the free press.

830
00:41:18,734 --> 00:41:22,464
The Press:
But does it come with a
Jay Carney phone call after?

831
00:41:22,467 --> 00:41:23,837
[laughter]

832
00:41:23,834 --> 00:41:26,204
Mr. Carney:
Well, maybe an email or a Tweet.

833
00:41:26,200 --> 00:41:29,330
But saying that we believe
that conversations have been

834
00:41:29,333 --> 00:41:32,803
constructive and that the
proposal that Republicans

835
00:41:32,800 --> 00:41:39,830
from the House have put forward
represents in part progress,

836
00:41:39,834 --> 00:41:42,804
I think reflects
where we are in this.

837
00:41:42,800 --> 00:41:45,270
The Press:
You don't want to use that word.

838
00:41:45,266 --> 00:41:46,266
Mr. Carney:
Again, we're not --

839
00:41:46,266 --> 00:41:47,566
when it comes to
raising the debt ceiling --

840
00:41:47,567 --> 00:41:49,337
The Press:
I understand all of that.

841
00:41:49,333 --> 00:41:50,833
I'm just saying,
this back- and-forth,

842
00:41:50,834 --> 00:41:52,704
that's negotiating, right?

843
00:41:52,700 --> 00:41:54,830
Mr. Carney:
Well, we're listening
and we're talking.

844
00:41:54,834 --> 00:41:56,464
The Press:
All right, one last question.

845
00:41:56,467 --> 00:41:59,767
Last evening, the President
signed the mini funding bill

846
00:41:59,767 --> 00:42:03,637
to restore funding to
military death benefits.

847
00:42:03,633 --> 00:42:05,933
A day earlier you had
said it wasn't necessary,

848
00:42:05,934 --> 00:42:07,404
you didn't need it; he
wasn't going to sign it.

849
00:42:07,400 --> 00:42:09,130
What changed his mind?

850
00:42:09,133 --> 00:42:10,133
Mr. Carney:
Well, at the time,

851
00:42:10,133 --> 00:42:12,163
the legislation had
not reached his desk.

852
00:42:12,166 --> 00:42:16,936
And he had asked his Chief
of Staff to find a creative

853
00:42:16,934 --> 00:42:20,334
solution to this problem
as soon as possible.

854
00:42:20,333 --> 00:42:26,133
And thanks to the generosity
of the Fisher House and its

855
00:42:26,133 --> 00:42:32,163
willingness to help us deliver
these benefits to families,

856
00:42:32,166 --> 00:42:34,436
an agreement was reached between
the Department of Defense

857
00:42:34,433 --> 00:42:38,403
and the Fisher House that
was a temporary solution

858
00:42:38,400 --> 00:42:39,770
to this problem.

859
00:42:39,767 --> 00:42:44,197
Now, the legislation obviously,
once passed and signed into law,

860
00:42:44,200 --> 00:42:45,830
obviates the need for that.

861
00:42:45,834 --> 00:42:51,834
So my point all along was that
the way to resolve that problem

862
00:42:54,567 --> 00:42:59,467
and all these problems instantly
is to reopen the government

863
00:42:59,467 --> 00:43:04,667
and to restore funding at levels
that Republicans themselves felt

864
00:43:04,667 --> 00:43:07,667
were appropriate for
the previous fiscal year,

865
00:43:07,667 --> 00:43:10,137
so that when the legislation
was passed and the President was

866
00:43:10,133 --> 00:43:15,303
able to sign it, he did because
he felt it was very important

867
00:43:15,300 --> 00:43:17,370
that these benefits
be guaranteed.

868
00:43:17,367 --> 00:43:20,197
He is enormously appreciative
of the generosity

869
00:43:20,200 --> 00:43:24,270
of the Fisher House
and of the work done by folks

870
00:43:24,266 --> 00:43:30,466
at OMB and DOD
to come up with a solution

871
00:43:30,467 --> 00:43:32,597
that appeared to be needed,

872
00:43:32,600 --> 00:43:35,900
because it is essential that
these benefits be provided.

873
00:43:35,900 --> 00:43:38,470
The Press:
Then is it no longer
a matter of principle

874
00:43:38,467 --> 00:43:42,237
that President Obama
will not sign any other

875
00:43:42,233 --> 00:43:43,533
of these many funding bills?

876
00:43:43,533 --> 00:43:44,903
Mr. Carney:
Well, Mark, as you know,

877
00:43:44,900 --> 00:43:50,130
he signed the Pay Our Military
Act because of the enormous and

878
00:43:50,133 --> 00:43:54,763
unique sacrifice that our
military families provide.

879
00:43:54,767 --> 00:43:59,297
It is absolutely our position
that attempts to solve

880
00:43:59,300 --> 00:44:03,570
a political problem by their
decision to shut down the

881
00:44:03,567 --> 00:44:05,737
government through piecemeal
legislation are not -- are

882
00:44:05,734 --> 00:44:08,734
gimmicks, broadly speaking,
and that the way to resolve this

883
00:44:08,734 --> 00:44:12,564
political problem for the
Republicans and the way

884
00:44:12,567 --> 00:44:18,167
to resolve this real problem
and this real pain

885
00:44:18,166 --> 00:44:22,236
that their decision to shut down
the government has caused

886
00:44:22,233 --> 00:44:25,363
the American people
is to reopen the government.

887
00:44:25,367 --> 00:44:28,697
Again, the proposition that
we've always put forward

888
00:44:28,700 --> 00:44:32,470
that Leader Reid and
Leader Pelosi agreed with

889
00:44:32,467 --> 00:44:35,867
was that we should --
that Congress should pass a bill

890
00:44:35,867 --> 00:44:39,597
that would extend government
funding levels at --

891
00:44:39,600 --> 00:44:42,670
extend government funding
at the levels that were set

892
00:44:42,667 --> 00:44:47,497
for the previous fiscal year
for a relatively short duration

893
00:44:47,500 --> 00:44:50,370
to allow for substantive
budget negotiations.

894
00:44:50,367 --> 00:44:54,697
From the light of --
the very little light of today,

895
00:44:54,700 --> 00:44:58,530
I think it's pretty clear that
that's an entirely reasonable

896
00:44:58,533 --> 00:45:04,863
position and hardly represents
a demand or a concession

897
00:45:04,867 --> 00:45:07,697
to the President
or the Democrats

898
00:45:07,700 --> 00:45:08,700
to go along with that.

899
00:45:08,700 --> 00:45:10,400
So that's why we've
taken that position.

900
00:45:10,400 --> 00:45:13,670
And all of this hardship
that the American people

901
00:45:13,667 --> 00:45:15,497
have experienced thus
far and the confusion,

902
00:45:15,500 --> 00:45:19,900
and the real suffering as well
as the inconvenience could have

903
00:45:19,900 --> 00:45:25,370
been avoided and can be avoided
in the future if the Congress,

904
00:45:25,367 --> 00:45:28,137
the House would simply
reopen the government.

905
00:45:28,133 --> 00:45:29,533
Christi.

906
00:45:29,533 --> 00:45:30,863
The Press:
Thank you, Jay.

907
00:45:30,867 --> 00:45:34,167
Some senators left here today
thinking the President is open

908
00:45:34,166 --> 00:45:38,766
to some tweaks to the Affordable
Care Act -- that don't gut it,

909
00:45:38,767 --> 00:45:40,197
but just tweak it.

910
00:45:40,200 --> 00:45:42,330
Is that accurate?

911
00:45:42,333 --> 00:45:45,503
Mr. Carney:
The President has said
I think publicly many times

912
00:45:45,500 --> 00:45:49,670
that he is open to suggestions
from any quarter about how to

913
00:45:49,667 --> 00:45:56,467
improve the Affordable Care
Act, make the benefits

914
00:45:56,467 --> 00:45:59,567
that it provides
the American people better

915
00:45:59,567 --> 00:46:00,967
and more efficiently delivered.

916
00:46:00,967 --> 00:46:06,637
And he understands that with any
kind of program like this and

917
00:46:06,633 --> 00:46:09,533
legislation like this, as was
the case with Social Security

918
00:46:09,533 --> 00:46:11,163
and Medicare
and Medicare Part D,

919
00:46:11,166 --> 00:46:15,536
and the Children's
Health Insurance Program,

920
00:46:15,533 --> 00:46:17,703
there are ways to improve
it -- he doesn't doubt it.

921
00:46:17,700 --> 00:46:24,570
What he of course won't
accept is improvements --

922
00:46:24,567 --> 00:46:28,237
or actually efforts to do away
with the Affordable Care Act

923
00:46:28,233 --> 00:46:31,903
that come in the
guise of improvements or delays

924
00:46:31,900 --> 00:46:33,870
or modest defunding.

925
00:46:33,867 --> 00:46:37,937
I mean, I think we've talked
about it here that some

926
00:46:37,934 --> 00:46:41,534
of the ideas that have obviously
been pretty firmly rejected

927
00:46:41,533 --> 00:46:43,203
by a majority of
the American people

928
00:46:43,200 --> 00:46:44,500
that have been put forward by

929
00:46:44,500 --> 00:46:48,330
Republicans as part of this
debate and gussied up as mere

930
00:46:48,333 --> 00:46:53,433
adjustments or delays
of the Affordable Care Act

931
00:46:53,433 --> 00:46:57,103
were sincere efforts to try
to eliminate it indirectly.

932
00:46:57,100 --> 00:47:03,800
And the President firmly
believes that it's important

933
00:47:03,800 --> 00:47:06,300
to provide access to affordable
health insurance to millions

934
00:47:06,300 --> 00:47:09,430
of Americans, and that's
what the Affordable Care Act

935
00:47:09,433 --> 00:47:10,803
does and will do.

936
00:47:10,800 --> 00:47:14,570
And as is the case now,
since the marketplaces

937
00:47:14,567 --> 00:47:17,697
have been opening,
individuals across the country

938
00:47:17,700 --> 00:47:21,000
are finding out that they
have a variety of options

939
00:47:21,000 --> 00:47:24,600
available to them
at affordable prices

940
00:47:24,600 --> 00:47:26,700
to get quality health
insurance that they never

941
00:47:26,700 --> 00:47:28,000
could have gotten before.

942
00:47:28,000 --> 00:47:30,230
The Press:
So the delay of the
medical device tax is one

943
00:47:30,233 --> 00:47:32,603
that is coming up
again and again now,

944
00:47:32,600 --> 00:47:35,070
but does that fall under
the category of delays

945
00:47:35,066 --> 00:47:37,666
that he would find damaging
to the rule itself?

946
00:47:37,667 --> 00:47:39,267
Mr. Carney:
Look, I think that -- again,

947
00:47:39,266 --> 00:47:45,366
the President is open, without
threats of continued shutdown

948
00:47:45,367 --> 00:47:48,837
or threats of default,
to having serious conversations

949
00:47:48,834 --> 00:47:53,104
about budget priorities,
budget proposals,

950
00:47:53,100 --> 00:47:55,930
as well as any ideas
that any lawmaker might have

951
00:47:55,934 --> 00:47:59,964
about ways to improve
the Affordable Care Act.

952
00:47:59,967 --> 00:48:02,567
He's willing to look
at any proposal.

953
00:48:02,567 --> 00:48:03,937
When it comes to
the one you mention,

954
00:48:03,934 --> 00:48:06,864
I think it's important to note
that eliminating that provision

955
00:48:06,867 --> 00:48:09,897
would substantially
increase the deficit.

956
00:48:09,900 --> 00:48:13,970
So that is something that
would greatly concern him.

957
00:48:13,967 --> 00:48:16,837
Any proposal that anyone put
forward would have to take into

958
00:48:16,834 --> 00:48:20,764
account the much unremarked-upon
fact by Republicans

959
00:48:20,767 --> 00:48:26,267
that the Affordable Care
Act reduces the deficit.

960
00:48:26,266 --> 00:48:30,696
Again, as scored by the CBO
and independent economists,

961
00:48:30,700 --> 00:48:33,530
the Affordable Care Act
is a deficit reducer.

962
00:48:33,533 --> 00:48:37,363
It's paid for, and then some,
in the medium and long term.

963
00:48:37,367 --> 00:48:40,267
So it would be very important
to the President to ensure that

964
00:48:40,266 --> 00:48:43,636
that principle is maintained
regardless of the proposals

965
00:48:43,633 --> 00:48:45,763
that are put forward.

966
00:48:45,767 --> 00:48:47,167
Ari.

967
00:48:47,166 --> 00:48:48,796
The Press:
A couple days ago the White
House was very unhappy

968
00:48:48,800 --> 00:48:50,930
about Boehner's decision
to show up at the White House

969
00:48:50,934 --> 00:48:52,704
with just 18 or 20 Republicans

970
00:48:52,700 --> 00:48:54,430
instead of the
entire conference,

971
00:48:54,433 --> 00:48:57,103
but it seems like it was
actually one of the most

972
00:48:57,100 --> 00:48:59,800
productive meetings that have
happened since the shutdown.

973
00:48:59,800 --> 00:49:03,070
Do you regret the position
the White House took?

974
00:49:03,066 --> 00:49:05,196
Mr. Carney:
We certainly don't
regret inviting

975
00:49:05,200 --> 00:49:07,170
every member of Congress
to the White House.

976
00:49:07,166 --> 00:49:08,596
So I don't --

977
00:49:08,600 --> 00:49:10,670
The Press:
The position in saying
that it would be less productive

978
00:49:10,667 --> 00:49:12,597
for Boehner to show up with the
smaller group that he brought.

979
00:49:12,600 --> 00:49:15,200
Mr. Carney:
No, our position was that
we regretted that all members

980
00:49:15,200 --> 00:49:17,430
of the House
weren't able to come --

981
00:49:17,433 --> 00:49:18,903
all members of
the Republican conference,

982
00:49:18,900 --> 00:49:20,600
simply because it is a --

983
00:49:20,600 --> 00:49:23,870
as the Speaker of the
House himself has often noted --

984
00:49:23,867 --> 00:49:29,067
a diverse bunch with
sometimes conflicting opinions

985
00:49:29,066 --> 00:49:31,036
about policy and the President,

986
00:49:31,033 --> 00:49:34,803
and that it would have
been useful I think for everyone

987
00:49:34,800 --> 00:49:38,530
to have a face-to-face
conversation.

988
00:49:38,533 --> 00:49:41,303
Having said that,
we still have that view, Ari,

989
00:49:41,300 --> 00:49:44,330
but it is the case that
yesterday's conversation

990
00:49:44,333 --> 00:49:47,303
with that subset,
that leadership subset

991
00:49:47,300 --> 00:49:50,800
of the House Republican
conference was constructive,

992
00:49:50,800 --> 00:49:54,930
and we believe it is
the right thing to do

993
00:49:54,934 --> 00:49:56,564
to continue to have talks.

994
00:49:56,567 --> 00:49:58,697
The Press:
The other thing I wanted
to ask was you said

995
00:49:58,700 --> 00:50:00,170
Republicans suddenly
seem to have come around

996
00:50:00,166 --> 00:50:02,236
to the view that the threat
of default is not good.

997
00:50:02,233 --> 00:50:03,233
Mr. Carney:
Some of them have.

998
00:50:03,233 --> 00:50:04,363
The Press:
Some of them have.

999
00:50:04,367 --> 00:50:06,937
Do you think the
timing of that view

1000
00:50:06,934 --> 00:50:10,564
coinciding with the
Wall Street Journal/NBC poll

1001
00:50:10,567 --> 00:50:15,837
showing terrible numbers for
Republicans was coincidental?

1002
00:50:15,834 --> 00:50:18,364
Mr. Carney:
Were I still a reporter
covering Congress

1003
00:50:18,367 --> 00:50:22,097
and Republicans in
Congress as I once did,

1004
00:50:22,100 --> 00:50:24,730
it's possible I could
reach that conclusion.

1005
00:50:24,734 --> 00:50:30,334
I would encourage my former
colleagues and those who are

1006
00:50:30,333 --> 00:50:32,563
doing what I used
to do to dig a little deeper

1007
00:50:32,567 --> 00:50:33,697
into the bigger issues,

1008
00:50:33,700 --> 00:50:36,470
which I think reflects
what I was saying earlier.

1009
00:50:36,467 --> 00:50:39,297
It's not --
whatever the motivation is,

1010
00:50:39,300 --> 00:50:44,800
it's always been our position
that if you're taking action

1011
00:50:44,800 --> 00:50:47,570
in Washington that hurts the
American people and hurts the

1012
00:50:47,567 --> 00:50:50,097
American economy, it's probably
not going to be very popular --

1013
00:50:50,100 --> 00:50:53,470
at least broadly
across the nation.

1014
00:50:53,467 --> 00:50:58,497
So I think that may be what is
reflected in some of this data.

1015
00:50:58,500 --> 00:51:04,670
But the fact of the matter is,
nobody wins when Washington is

1016
00:51:04,667 --> 00:51:07,637
dysfunctional and one party
holds the whole process hostage

1017
00:51:07,633 --> 00:51:09,033
to demands that
are unreasonable.

1018
00:51:09,033 --> 00:51:12,303
So hopefully there's a
recognition that we need to move

1019
00:51:12,300 --> 00:51:16,700
away from that dynamic and
instead open the government,

1020
00:51:16,700 --> 00:51:21,070
remove the threat of default,
and engage

1021
00:51:21,066 --> 00:51:26,666
in a serious-minded negotiation
where I can promise --

1022
00:51:26,667 --> 00:51:28,037
(laughter)

1023
00:51:28,033 --> 00:51:29,663
-- we've always said that --

1024
00:51:29,667 --> 00:51:30,937
open the government,

1025
00:51:30,934 --> 00:51:33,764
remove the threat of default,
and let's negotiate

1026
00:51:33,767 --> 00:51:35,797
about our budget priorities.

1027
00:51:35,800 --> 00:51:38,300
And I promise you that that
negotiation will result --

1028
00:51:38,300 --> 00:51:43,770
that if there is a conclusion
to that negotiation

1029
00:51:43,767 --> 00:51:44,767
that is a compromise,

1030
00:51:44,767 --> 00:51:46,137
that would mean that each side

1031
00:51:46,133 --> 00:51:48,033
got some of what it
wanted but neither side got

1032
00:51:48,033 --> 00:51:49,033
all of what it wanted.

1033
00:51:49,033 --> 00:51:53,233
And that is how it should be.

1034
00:51:53,233 --> 00:51:58,003
And that is the spirit in
which the President has always

1035
00:51:58,000 --> 00:52:02,470
approached this process --
recognizing that we have

1036
00:52:02,467 --> 00:52:05,837
a system of government with
two strong parties

1037
00:52:05,834 --> 00:52:10,964
that are represented
in different proportions

1038
00:52:10,967 --> 00:52:13,667
in each House in Congress as
well as here at the White House,

1039
00:52:13,667 --> 00:52:17,697
and that no one gets
everything he or she wants

1040
00:52:17,700 --> 00:52:20,870
when it comes to
these kinds of negotiations.

1041
00:52:20,867 --> 00:52:22,467
These things are
hard enough that it's not

1042
00:52:22,467 --> 00:52:23,467
the right approach to take,

1043
00:52:23,467 --> 00:52:30,497
then, to somehow
achieve what you want

1044
00:52:30,500 --> 00:52:33,300
by threatening default or
threatening to shut down

1045
00:52:33,300 --> 00:52:35,930
the government and
keep people out of work

1046
00:52:35,934 --> 00:52:37,464
for a sustained period of time.

1047
00:52:37,467 --> 00:52:38,737
That's always been our position.

1048
00:52:38,734 --> 00:52:42,034
It hasn't been a position that
then don't do these things

1049
00:52:42,033 --> 00:52:43,533
and therefore we get
everything we want;

1050
00:52:43,533 --> 00:52:45,733
the President knows full well

1051
00:52:45,734 --> 00:52:47,534
that he's not going to get
everything he wants.

1052
00:52:47,533 --> 00:52:52,533
His budget proposal recognizes
that from the outset.

1053
00:52:52,533 --> 00:52:55,003
Steve Dennis, and then Cheryl.

1054
00:52:59,934 --> 00:53:06,434
The Press:
So it seems like you've moved
and Democrats have moved --

1055
00:53:06,433 --> 00:53:09,763
Mr. Carney:
I probably shouldn't
have called on him, right?

1056
00:53:09,767 --> 00:53:10,767
[laughter]

1057
00:53:10,767 --> 00:53:11,837
A little too plugged-in.

1058
00:53:11,834 --> 00:53:15,604
Never mind, he can't
think of what to say.

1059
00:53:15,600 --> 00:53:16,600
Cheryl.

1060
00:53:16,600 --> 00:53:17,830
[laughter]

1061
00:53:17,834 --> 00:53:19,534
The Press:
I want to be careful with this,

1062
00:53:19,533 --> 00:53:21,703
because you've been dancing
around the negotiation question.

1063
00:53:21,700 --> 00:53:27,400
For weeks now, you guys
have wanted a clean CR.

1064
00:53:27,400 --> 00:53:31,130
And now it seems you're willing
to negotiate a mini-deal

1065
00:53:31,133 --> 00:53:34,103
that would get attached
to a clean CR --

1066
00:53:34,100 --> 00:53:37,070
things with give-and-take,
things that you want,

1067
00:53:37,066 --> 00:53:42,166
things that the Republicans
want attached to a clean CR.

1068
00:53:42,166 --> 00:53:47,036
So you'd have a policy sidecar,
not just a process sidecar.

1069
00:53:47,033 --> 00:53:48,933
That's new.

1070
00:53:48,934 --> 00:53:50,034
Mr. Carney: No.

1071
00:53:50,033 --> 00:53:52,703
I understand the question
and it's a smart one.

1072
00:53:52,700 --> 00:53:54,300
But here's -- let me be clear.

1073
00:53:54,300 --> 00:53:57,370
Our position has always been
that at the very least

1074
00:53:59,400 --> 00:54:02,130
Congress ought not to allow
the government to shut down,

1075
00:54:02,133 --> 00:54:04,333
that Republicans should not shut
down the government and that

1076
00:54:04,333 --> 00:54:06,403
the House of Representatives
should do what the Senate did,

1077
00:54:06,400 --> 00:54:11,000
which is pass a clean CR funding
the government at levels set

1078
00:54:11,000 --> 00:54:14,530
in the previous fiscal year
by largely Republicans.

1079
00:54:14,533 --> 00:54:17,663
So it has also been our position
that we envision a bigger and

1080
00:54:17,667 --> 00:54:23,537
broader and more substantive
budget compromise that achieved

1081
00:54:23,533 --> 00:54:26,133
some of the goals that the
President has been talking about

1082
00:54:26,133 --> 00:54:27,333
for a long time.

1083
00:54:27,333 --> 00:54:28,603
And those goals include
continued deficit reduction,

1084
00:54:28,600 --> 00:54:32,500
they include dealing with
the problem with the sequester,

1085
00:54:32,500 --> 00:54:36,500
and they include key investments
in areas of our economy and our

1086
00:54:36,500 --> 00:54:39,130
middle class that will help
us grow stronger in the future

1087
00:54:39,133 --> 00:54:40,103
and create more jobs.

1088
00:54:40,100 --> 00:54:41,700
So, both are true.

1089
00:54:41,700 --> 00:54:45,370
At the very least, our position
has been that the Republicans

1090
00:54:45,367 --> 00:54:47,067
should not have
shut down the government,

1091
00:54:47,066 --> 00:54:49,566
that when it became clear they
weren't going to get what

1092
00:54:49,567 --> 00:54:55,197
they wanted in return for
when the fiscal year ended,

1093
00:54:55,200 --> 00:54:58,630
that they should have
done the very least,

1094
00:54:58,633 --> 00:55:01,363
which is what the Senate did,
and that is pass an extension

1095
00:55:01,367 --> 00:55:03,067
of spending at current
levels short term,

1096
00:55:03,066 --> 00:55:04,766
to allow for further
budget negotiations.

1097
00:55:04,767 --> 00:55:06,767
Instead, they chose to
shut the government down

1098
00:55:06,767 --> 00:55:10,367
to try to use pain and
suffering of the American people

1099
00:55:10,367 --> 00:55:11,597
and the harm
to the American economy

1100
00:55:11,600 --> 00:55:14,170
as leverage to get
what they wanted.

1101
00:55:14,166 --> 00:55:17,096
I think it's fair to say
that hasn't worked for them.

1102
00:55:17,100 --> 00:55:21,570
We are encouraged by the
constructive approach that

1103
00:55:21,567 --> 00:55:25,067
Republicans have
taken in conversations

1104
00:55:25,066 --> 00:55:29,996
with the President and others
in recent hours and days.

1105
00:55:30,000 --> 00:55:32,100
But we don't have
an agreement yet.

1106
00:55:32,100 --> 00:55:34,200
The Press:
So is it fair to say
that you're willing

1107
00:55:34,200 --> 00:55:36,630
to negotiate and are trying
to negotiate a mini deal

1108
00:55:36,633 --> 00:55:39,533
that gives both sides
something that they want

1109
00:55:39,533 --> 00:55:43,103
that would not be considered
a ransom, which is still --

1110
00:55:43,100 --> 00:55:45,170
there won't be a ransom?

1111
00:55:45,166 --> 00:55:46,466
Mr. Carney:
I don't think -- I mean, no,

1112
00:55:46,467 --> 00:55:50,367
I don't think I can characterize
the conversations that way.

1113
00:55:50,367 --> 00:55:55,237
What we are looking for is a way
to see if the Congress --

1114
00:55:55,233 --> 00:55:57,663
and in particular,
Republicans in the Congress,

1115
00:55:57,667 --> 00:56:01,137
in agreement with Democrats
-- can reopen the government,

1116
00:56:01,133 --> 00:56:04,833
which is something we've
asked them to do from day one,

1117
00:56:04,834 --> 00:56:10,134
and then remove the threat of
default from this whole process.

1118
00:56:10,133 --> 00:56:11,833
That's our position
and our view,

1119
00:56:11,834 --> 00:56:13,404
and it's one that
we've expressed.

1120
00:56:13,400 --> 00:56:16,530
We have seen constructive
signs and appreciate them,

1121
00:56:16,533 --> 00:56:19,533
coming from the Republican
side, and believe,

1122
00:56:19,533 --> 00:56:22,633
as the Speaker said or his
spokesman said in their readout

1123
00:56:22,633 --> 00:56:23,863
of the phone call
with the President,

1124
00:56:23,867 --> 00:56:26,767
that it's important
to continue to talk,

1125
00:56:26,767 --> 00:56:28,037
that all sides continue to talk.

1126
00:56:28,033 --> 00:56:29,963
Cheryl, last one.

1127
00:56:29,967 --> 00:56:31,467
The Press:
Really concretely --

1128
00:56:31,467 --> 00:56:32,467
Mr. Carney: No.

1129
00:56:32,467 --> 00:56:33,437
[laughter]

1130
00:56:33,433 --> 00:56:34,933
The Press:
-- what is the next step?

1131
00:56:34,934 --> 00:56:36,664
Mr. Carney:
Well, I don't know.

1132
00:56:36,667 --> 00:56:38,667
The Press:
Are you waiting for
Boehner to come back

1133
00:56:38,667 --> 00:56:39,937
with a new proposal tonight?

1134
00:56:39,934 --> 00:56:42,404
Does he need to
talk with McConnell?

1135
00:56:42,400 --> 00:56:45,730
Mr. Carney:
I think it's fair to say
that when it comes to specifics

1136
00:56:45,734 --> 00:56:50,534
about talks and conversations
that I'm not going to have

1137
00:56:50,533 --> 00:56:54,203
a lot to offer you today,
it's pretty evident, right?

1138
00:56:54,200 --> 00:56:55,600
[laughter]

1139
00:56:55,600 --> 00:56:57,670
The Press:
The President talked
to Speaker Boehner.

1140
00:56:57,667 --> 00:57:01,997
Is he waiting for
now a new proposal --

1141
00:57:02,000 --> 00:57:03,470
Mr. Carney:
I would refer
you to the Speaker.

1142
00:57:03,467 --> 00:57:06,567
What I can say is what the
Speaker's spokesman said,

1143
00:57:06,567 --> 00:57:09,497
which is that the President and
he agreed to continue talking

1144
00:57:09,500 --> 00:57:11,170
and that all sides
should continue talking,

1145
00:57:11,166 --> 00:57:15,396
and that we think what we've
seen thus far represents a

1146
00:57:15,400 --> 00:57:16,730
constructive approach.

1147
00:57:16,734 --> 00:57:21,604
And hopefully, Congress will
reach an agreement of some kind

1148
00:57:21,600 --> 00:57:24,530
that will allow them
to open the government --

1149
00:57:24,533 --> 00:57:28,033
reopen the government
and remove the threat of default

1150
00:57:28,033 --> 00:57:29,163
from this whole process,

1151
00:57:29,166 --> 00:57:32,796
because it's enormously
damaging to the economy

1152
00:57:32,800 --> 00:57:34,270
and to the American people.

1153
00:57:34,266 --> 00:57:37,236
The Press:
Over the weekend, Jay -- updates
over the weekend on this?

1154
00:57:37,233 --> 00:57:38,563
Mr. Carney:
I don't have any
scheduling updates.

1155
00:57:38,567 --> 00:57:40,967
I mean, obviously,
we'll keep you updated

1156
00:57:40,967 --> 00:57:44,337
as we have more information
about things happening here.

1157
00:57:44,333 --> 00:57:47,903
But I have nothing on
tomorrow's schedule or Sunday

1158
00:57:47,900 --> 00:57:48,930
or Monday's at this --

1159
00:57:48,934 --> 00:57:50,834
The Press:
Week ahead?

1160
00:57:50,834 --> 00:57:52,664
[laughter]

1161
00:57:52,667 --> 00:57:55,297
Mr. Carney:
Don't have one.

1162
00:57:55,300 --> 00:57:58,330
It's a fairly fluid situation.

1163
00:57:58,333 --> 00:58:00,733
The Press:
Right, I understand -- just not
anticipate seeing the President.

1164
00:58:00,734 --> 00:58:04,334
Mr. Carney:
I certainly have no
scheduling announcements

1165
00:58:04,333 --> 00:58:06,033
of that kind to make.

1166
00:58:06,033 --> 00:58:07,563
I don't expect to make them.

1167
00:58:07,567 --> 00:58:11,997
I don't expect that,
but I would never --

1168
00:58:12,000 --> 00:58:13,830
the normal process
we follow of giving a lid

1169
00:58:13,834 --> 00:58:15,934
and things like that
will be followed in this case.

1170
00:58:15,934 --> 00:58:17,304
Thanks, all.

1171
00:58:17,300 --> 00:58:19,270
The Press:
Jay, if President Obama
had done the Asia trip,

1172
00:58:19,266 --> 00:58:22,136
would he have gone
to Afghanistan today?