The U.S. House of Representatives has defeated legislation to increase the country's debt limit by $2.4 billion, signaling Republicans won't support a debt limit increase without accompanying spending cuts to reduce the federal deficit, according to a Bloomberg report.
Republicans hope to target entitlement programs, such as Medicare, in the cuts.
Yesterday, leaders from both parties met at the White House as part of a group led by Vice President Joe Biden working to come to an agreement before the projected Aug. 2 deadline, when the country is expected to reach its current debt limit. Reaching the limit would mean the U.S. would default on its loans, but an agreement is expected before this occurs.
Read the Bloomberg report on the federal deficit.
Related Articles on the Federal Deficit:
Obama's Plan to Reduce Deficit Will Preserve Medicare, Medicaid But Includes "Tough Cuts"
Federal Debt Panel Proposes 20 Major Cuts for Hospitals, Physicians
Republicans hope to target entitlement programs, such as Medicare, in the cuts.
Yesterday, leaders from both parties met at the White House as part of a group led by Vice President Joe Biden working to come to an agreement before the projected Aug. 2 deadline, when the country is expected to reach its current debt limit. Reaching the limit would mean the U.S. would default on its loans, but an agreement is expected before this occurs.
Read the Bloomberg report on the federal deficit.
Related Articles on the Federal Deficit:
Obama's Plan to Reduce Deficit Will Preserve Medicare, Medicaid But Includes "Tough Cuts"
Federal Debt Panel Proposes 20 Major Cuts for Hospitals, Physicians