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       In an extensive interview this morning Treasury Secretary Timothy Geither told Steve Liesman of CNBC that Republican leaders have agreed that default of the nation's debt is "off the table".  He lists them by name:  McConnell, Boehner, Cantor.  The interview also covers a wide range of issues frequently discussed here - from Elizabeth Warren to the stimulus to entitlement programs and much more.

      I was hesitant to post this knowing there is widespread "Timmeh" hate here but he is in a position to know things we don't and watching the interview and listening to his remarks may mean some will sleep better tonight.  I know I will.

Apology for lack of a transcript.  Please watch the interview.

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Comment Preferences

  •  If only the Republican leaders (2+ / 0-)
    Recommended by:
    AnnieR, karmsy

    were all the votes it takes ...

    "Gussie, a glutton for punishment, stared at himself in the mirror."

    by GussieFN on Mon Jul 18, 2011 at 09:51:00 AM PDT

  •  It was never on the table (2+ / 0-)
    Recommended by:
    karmsy, rukidingme

    But now that things are getting near the dealine, they just want to make it really clear for the markets.

  •  He's trying to force their hand (4+ / 0-)

    it's now the GOP's turn to offer concessions and agree to a deal, and if they can't, the choice becomes a clean bill or their credibility.  

    Obama and Geithner absolutely rolled these guys -- they could have had a deal very favorable to the GOP, which would have kept them from running on the issue of deficits in '12.  But now, they etiher do a clean bill and reveal that they're inept to their own base or they do a long term budget deal on Obama's terms, which would keep them from holding tax cuts for the middle class hostage to keep Bush tax cuts for the rich.  

    "This world demands the qualities of youth: not a time of life but a state of mind[.]" -- Robert F. Kennedy

    by Loge on Mon Jul 18, 2011 at 10:22:22 AM PDT

    •  Indeed. (2+ / 0-)
      Recommended by:
      worldlotus, rukidingme

      My primary concern has been and is now keeping the global financial markets from spinning out of control.  These Goper bastards have brought us to the brink with their games, their "destroy this President", damn the consequences for the masses.

      Now they're between the CofC and the hot teaheads and their evil is catching up with them.

  •  Default was never on the table (1+ / 0-)
    Recommended by:

    Regardless of the debt ceiling legislation the President and Treasury Secretary will never let the US default on its debt. The Treasury has more than enough cash flow to service the debt, and it will always be the number one priority of this administration, or any other.

    "let's talk about that"

    by VClib on Mon Jul 18, 2011 at 10:35:02 AM PDT

    •  Geithner addresses that (0+ / 0-)

      "more than enough cash flow" canard in the interview.  Did you watch it?

      •  I did, but what he said doesn't matter (1+ / 0-)
        Recommended by:

        Both the President and the Treasury Secretary are in a negotiation process and so what they say in public is part of that process. To give a public statement that the debt will be the first priority gives away a negotiating position. Both the President and Treasury Secretary focus on the fact that we have many important obligations including 80 million monthly checks to employees and other beneficiaries, some of which we could not pay if there is no debt ceiling legislation passed. The GOP does not know, for sure, what would be paid first but everyone knows that there would be long term harm to the US if we defaulted on the debt. However, it is clear that the bond market has never feared default at any time in this process and there has never been any concern that the debt would not be the first priority. Anyone, and certainly the President and Treasury Secretary, knows that one of the most important strategic advantages of the United States is that the dollar, held as US Treasury Securities, is the world's reserve currency. Defaulting on the debt could end that position which would be catastrophic for our economy.

        "let's talk about that"

        by VClib on Mon Jul 18, 2011 at 10:51:27 AM PDT

        [ Parent ]

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