What did the president say about the wages of default/downgrade in his speech last night, again? Let's review:
For the first time in history, our country’s Triple A credit rating would be downgraded, leaving investors around the world to wonder whether the United States is still a good bet. Interest rates would skyrocket on credit cards, mortgages, and car loans, which amounts to a huge tax hike on the American people. We would risk sparking a deep economic crisis – one caused almost entirely by Washington. Defaulting on our obligations is a reckless and irresponsible outcome to this debate.
Economic catastrophe. A deep economic crisis. Reckless and irresponsible -- unthinkable. And yet:
Senate Majority Leader Harry Reid warned Tuesday that Republicans' deficit-reduction bill is "dead on arrival" in his chamber, as the Obama administration issued a formal veto threat and pushed lawmakers to reach a "compromise."
White House officials appeared to hold back earlier Tuesday when asked whether President Obama would veto the GOP bill, which could be voted on in the House as early as Wednesday. But the administration issued what's known as a "statement of administration policy" Tuesday afternoon saying the president's advisers "would recommend that he veto this bill" should it clear Congress.