Debt ceiling pressures are mounting, as Republicans and Democrats both claim to have the right formula for closing the budget divide and raising the debt ceiling.
An increasing number of Americans are concerned about the consequences of not raising the debt ceiling, according to a new poll. President Obama has been blunt about the consequences of default.
Conservative groups had been worried that House Speaker John Boehner would agree to some tax increases in a deal to trim deficits and raise the debt ceiling.
Debt ceiling talks could result in a $4 trillion 'grand bargain,' or a smaller $2 trillion deal. Most economist say the bigger deal would be more helpful – and send a positive message to markets.
In a White House press conference, President Obama rejected Republican suggestions that the deficit talks be scaled back to aim for $2.5 trillion in spending reductions.
If the president gives in on extending tax cuts for the rich, he could still hold Republicans to their claim that they're willing to broaden the tax base
Details of the US debt and deficit talks have been mostly secret, fueling concerns on both sides of the aisle that their leaders will compromise party values or give away too much.
Congressional leaders meet with President Obama at the White House Sunday evening. The $4 trillion deficit-reduction package is off the table, so how much will they be able to accomplish?
Failure to reach at least a modest debt deal could signal to investors that the US government is in a state of chaos and uncertainty. That could make the nation's jobs problem still worse.
With the White House preparing for negotiations Sunday over a deal on raising the debt ceiling, House Democrats say they will not support cuts in Social Security or Medicare benefits.