English subtitles for clip: File:12-12-12- White House Press Briefing.webm
Jump to navigation
Jump to search
1 00:00:00,000 --> 00:00:02,667 MR. Carney: Good afternoon. 2 00:00:02,667 --> 00:00:04,133 Welcome to the White House. 3 00:00:04,133 --> 00:00:06,333 I have no announcements to make. 4 00:00:06,333 --> 00:00:07,667 I'll go straight to the Associated Press. 5 00:00:07,667 --> 00:00:08,834 The Press: Thank you. 6 00:00:08,834 --> 00:00:11,800 Speaker Boehner said today that he's advised his members to not 7 00:00:11,800 --> 00:00:15,300 make plans for Christmas in an effort to sort of set 8 00:00:15,300 --> 00:00:16,900 expectations for the public here. 9 00:00:16,900 --> 00:00:19,700 Are you looking at a situation where a deal is still likely 10 00:00:19,700 --> 00:00:20,700 before Christmas? 11 00:00:20,700 --> 00:00:23,133 Or is the end of the year more realistic? 12 00:00:23,133 --> 00:00:29,200 MR. Carney: I can't speculate about the timeframe. 13 00:00:29,200 --> 00:00:35,400 What the President is interested in is working with Congress to 14 00:00:35,400 --> 00:00:45,099 achieve a deal that avoids the fiscal cliff and, beyond that, 15 00:00:45,100 --> 00:00:50,367 addresses our long-term fiscal challenges in a balanced way. 16 00:00:50,367 --> 00:00:53,300 He wants to makes sure, first and foremost, 17 00:00:53,300 --> 00:00:56,166 that the middle class does not have their taxes go up 18 00:00:56,166 --> 00:00:57,666 on January 1st. 19 00:00:57,667 --> 00:01:02,867 That is something that Congress could do today. 20 00:01:02,867 --> 00:01:04,733 The House of Representatives, or at least the House Republican 21 00:01:04,733 --> 00:01:07,467 leadership, has refused to take that action, 22 00:01:07,467 --> 00:01:11,066 has refused to give middle-class Americans that certainty. 23 00:01:11,066 --> 00:01:12,066 Why? 24 00:01:12,066 --> 00:01:17,033 Because they have refused to accept the fundamental fact 25 00:01:17,033 --> 00:01:20,900 that higher-income Americans, millionaires and billionaires, 26 00:01:20,900 --> 00:01:24,300 the top 2 percent of earners in America, 27 00:01:24,300 --> 00:01:26,333 are not going to have their tax cuts extended. 28 00:01:26,333 --> 00:01:29,233 The President has made that clear, 29 00:01:29,233 --> 00:01:32,800 and he will not sign a bill that extends tax cuts for 30 00:01:32,800 --> 00:01:34,300 the top 2 percent. 31 00:01:34,300 --> 00:01:37,300 And to tell the rest of the American people, 32 00:01:37,300 --> 00:01:45,133 to tell the 98 percent out there who have to plan for next year 33 00:01:45,133 --> 00:01:47,433 and the bill -- and figure out how they're going to pay their 34 00:01:47,433 --> 00:01:53,333 bills that their taxes are going to go up because of indignation 35 00:01:53,333 --> 00:01:57,133 over the suggestion that people making $250,000 or 36 00:01:57,133 --> 00:02:01,066 $500,000 or $5 million should get a tax cut, 37 00:02:01,066 --> 00:02:04,467 that's just not a position the President shares. 38 00:02:04,467 --> 00:02:06,567 The Press: The President has previously said, though, 39 00:02:06,567 --> 00:02:09,567 that he was hopeful, optimistic that a deal could 40 00:02:09,567 --> 00:02:10,533 be reached before Christmas. 41 00:02:10,532 --> 00:02:13,666 Given what you said about Republicans not backing down 42 00:02:13,667 --> 00:02:17,166 on their position on taxes, is that still a realistic goal? 43 00:02:17,166 --> 00:02:19,166 MR. Carney: The President said yesterday that he 44 00:02:19,166 --> 00:02:20,966 remains confident that a deal is possible. 45 00:02:20,967 --> 00:02:26,066 The parameters of what a deal would look like are clear. 46 00:02:26,066 --> 00:02:28,734 And he has made abundantly clear, 47 00:02:28,734 --> 00:02:34,867 both in his policy presentations and in what he has said to you 48 00:02:34,867 --> 00:02:37,266 and to the American public, that he is willing to make tough 49 00:02:37,266 --> 00:02:40,934 choices on the spending side; to reduce our spending as part of a 50 00:02:40,934 --> 00:02:44,966 broad package that includes cuts in discretionary spending, 51 00:02:44,967 --> 00:02:50,533 savings from our entitlement programs and increased revenues 52 00:02:50,533 --> 00:02:54,833 that are borne by those in this country who can most afford it. 53 00:02:54,834 --> 00:02:58,867 And he believes that a package like that is still possible and 54 00:02:58,867 --> 00:03:06,934 hopes that Republican leaders join the majority of the 55 00:03:06,934 --> 00:03:10,033 American people -- another poll today demonstrating this, 56 00:03:10,033 --> 00:03:12,533 even close to 50 percent of Republicans in the country 57 00:03:12,533 --> 00:03:15,733 agreeing with this position -- in acknowledging that rates have 58 00:03:15,734 --> 00:03:18,266 to go up on the wealthiest Americans. 59 00:03:18,266 --> 00:03:21,266 This is not new information for most people. 60 00:03:21,266 --> 00:03:27,367 This was the subject of fierce debate for an entire year. 61 00:03:27,367 --> 00:03:31,600 The President's views and intentions were made clear again 62 00:03:31,600 --> 00:03:33,333 and again when it came to this. 63 00:03:33,333 --> 00:03:38,066 He is eager to find a compromise. 64 00:03:38,066 --> 00:03:42,166 He understands that that would require tough choices 65 00:03:42,166 --> 00:03:44,533 by him and Democrats. 66 00:03:44,533 --> 00:03:51,399 But a position that says we want tax cuts for the wealthiest 67 00:03:51,400 --> 00:03:53,533 Americans and that is our number-one priority is not a 68 00:03:53,533 --> 00:03:55,600 position that the President could ever sign on to. 69 00:03:55,600 --> 00:03:57,834 The Press: On a separate topic, there are some reports 70 00:03:57,834 --> 00:04:01,533 that Syrian forces have fired Scud missiles at insurgents. 71 00:04:01,533 --> 00:04:03,700 What can you confirm about those reports? 72 00:04:03,700 --> 00:04:07,066 And if they prove to be true, does that cross any type of 73 00:04:07,066 --> 00:04:09,033 red line for the President? 74 00:04:09,033 --> 00:04:11,700 MR. Carney: Well, I cannot confirm this story. 75 00:04:11,700 --> 00:04:13,132 I have seen it. 76 00:04:13,133 --> 00:04:15,600 Nor can I discuss intelligence, as you know. 77 00:04:15,600 --> 00:04:20,966 But if true, this would be the latest desperate act from 78 00:04:20,966 --> 00:04:24,933 a regime that has shown utter disregard for innocent life, 79 00:04:24,934 --> 00:04:29,667 utter disregard for the lives of its own citizens. 80 00:04:29,667 --> 00:04:33,000 Again, the idea that the Syrian regime would launch missiles 81 00:04:33,000 --> 00:04:38,000 within its borders at its own people is stunning, desperate, 82 00:04:38,000 --> 00:04:39,467 and a completely disproportionate 83 00:04:39,467 --> 00:04:42,332 military escalation. 84 00:04:42,333 --> 00:04:46,467 What is clear is that the regime's efforts to defeat 85 00:04:46,467 --> 00:04:49,032 militarily the opposition are failing. 86 00:04:49,033 --> 00:04:52,834 The opposition is becoming more unified, more organized. 87 00:04:52,834 --> 00:04:54,400 In fact, there is an international conference, 88 00:04:54,400 --> 00:04:56,200 as you know, this week to further help the opposition as 89 00:04:56,200 --> 00:05:02,233 it organizes and unifies, and the sooner that Assad 90 00:05:02,233 --> 00:05:04,300 goes the better it will be for the Syrian people. 91 00:05:04,300 --> 00:05:06,333 I know you know that the President yesterday announced 92 00:05:06,333 --> 00:05:09,467 our decision to recognize the Syrian Opposition Coalition as 93 00:05:09,467 --> 00:05:13,866 the legitimate representative of the Syrian people. 94 00:05:13,867 --> 00:05:16,000 And we are working with our international partners to help 95 00:05:16,000 --> 00:05:21,467 strengthen the opposition and to further isolate and sanction 96 00:05:21,467 --> 00:05:22,967 the Assad regime. 97 00:05:22,967 --> 00:05:25,166 Again, if this proves to be true, 98 00:05:25,166 --> 00:05:29,400 it's just another indication of the depravity of Assad and 99 00:05:29,400 --> 00:05:29,933 his cronies. 100 00:05:29,934 --> 00:05:31,767 The Press: So then you think it's true? 101 00:05:31,767 --> 00:05:35,033 MR. Carney: Well, look, I wouldn't put this kind of act -- 102 00:05:35,033 --> 00:05:39,600 it would not surprise me that Assad would take this kind of 103 00:05:39,600 --> 00:05:43,100 action, but I cannot confirm the reports at this time and I can't 104 00:05:43,100 --> 00:05:44,266 discuss intelligence. 105 00:05:44,266 --> 00:05:48,433 The Press: Jay, also on foreign policy, the existing sanctions regime 106 00:05:48,433 --> 00:05:52,166 against North Korea has not prevented it from doing exactly 107 00:05:52,166 --> 00:05:55,133 what it wanted, which is launching a long-range rocket. 108 00:05:55,133 --> 00:05:58,900 What further sanctions or other options are there, 109 00:05:58,900 --> 00:06:01,265 either unilaterally or through the U.N. 110 00:06:01,266 --> 00:06:02,633 Security Council, to deal with this? 111 00:06:02,633 --> 00:06:05,233 MR. Carney: The United Nations Security Council is meeting 112 00:06:05,233 --> 00:06:07,567 today on this issue, and I would point you 113 00:06:07,567 --> 00:06:11,033 to the U.S. Mission to the United Nations, to the U.S. 114 00:06:11,033 --> 00:06:16,567 Ambassador to the United Nations for indications of next steps 115 00:06:16,567 --> 00:06:19,767 within the Security Council. 116 00:06:19,767 --> 00:06:24,033 What we have said, both leading up to and now in the aftermath 117 00:06:24,033 --> 00:06:27,734 of this launch, is that it was a provocative act that threatens 118 00:06:27,734 --> 00:06:30,633 regional peace and security and undermines the global 119 00:06:30,633 --> 00:06:32,599 non-proliferation regime. 120 00:06:32,600 --> 00:06:36,100 And it is regrettable that the leadership in Pyongyang chose 121 00:06:36,100 --> 00:06:38,400 to take this course in flagrant violation of its 122 00:06:38,400 --> 00:06:40,900 international obligations. 123 00:06:40,900 --> 00:06:44,467 As you know, U.N. Security Council Resolution 1718 124 00:06:44,467 --> 00:06:47,866 requires the DPRK to abandon its ballistic missile program 125 00:06:47,867 --> 00:06:52,300 in a complete, verifiable and irreversible manner. 126 00:06:52,300 --> 00:06:56,633 U.N. Security Council Resolutions 1718 and 1874 127 00:06:56,633 --> 00:06:59,933 require Pyongyang to suspend all activities related to its 128 00:06:59,934 --> 00:07:02,967 ballistic missile program and to reestablish a moratorium 129 00:07:02,967 --> 00:07:05,933 on missile launches. 130 00:07:05,934 --> 00:07:09,500 Therefore this action is, again, in flagrant violation 131 00:07:09,500 --> 00:07:11,500 of a series of U.N. Security Council resolutions. 132 00:07:11,500 --> 00:07:18,133 It demonstrates a decision by the regime to continue a pattern 133 00:07:18,133 --> 00:07:22,166 of disregard for its international obligations. 134 00:07:22,166 --> 00:07:24,933 And what we have seen since the President came into office is 135 00:07:24,934 --> 00:07:29,200 the building of an international consensus that includes Russia 136 00:07:29,200 --> 00:07:31,900 and China in opposition to these actions. 137 00:07:31,900 --> 00:07:34,866 I think you saw the Chinese made clear their opposition to this 138 00:07:34,867 --> 00:07:37,667 launch prior to it, and their regret over the fact that it 139 00:07:37,667 --> 00:07:39,566 took place after it happened. 140 00:07:39,567 --> 00:07:43,033 So we will continue to work with our international partners to 141 00:07:43,033 --> 00:07:47,700 ensure that the North Korean regime is further isolated, 142 00:07:47,700 --> 00:07:51,467 that it is further punished for its flagrant violations 143 00:07:51,467 --> 00:07:57,734 of international obligations, and the specifics behind 144 00:07:57,734 --> 00:08:02,265 those further steps will await action in New York. 145 00:08:02,266 --> 00:08:03,200 The Press: You mentioned China. 146 00:08:03,200 --> 00:08:07,133 Does the U.S. have a strategy for encouraging China to be 147 00:08:07,133 --> 00:08:10,000 more receptive to further sanctions against North Korea? 148 00:08:10,000 --> 00:08:12,333 MR. Carney: Well, we engage with the Chinese, 149 00:08:12,333 --> 00:08:16,467 the Russians and others on the Security Council and beyond in 150 00:08:16,467 --> 00:08:22,265 our effort to build a consensus about the unacceptability of 151 00:08:22,266 --> 00:08:25,734 North Korea's actions with regards to its ballistic missile 152 00:08:25,734 --> 00:08:28,000 program and obviously its nuclear program. 153 00:08:28,000 --> 00:08:32,833 And we will work with those partners and others as we move 154 00:08:32,833 --> 00:08:37,000 forward to make clear how isolated, 155 00:08:37,000 --> 00:08:42,232 how in violations of norms this action by North Korea -- how 156 00:08:42,232 --> 00:08:45,065 isolated the regime is and how in violation of its obligations 157 00:08:45,066 --> 00:08:46,500 North Korea is. 158 00:08:46,500 --> 00:08:50,367 The Press: Given what you're calling the flagrant violations by North 159 00:08:50,367 --> 00:08:53,065 Korea, does the President believe there is a way to 160 00:08:53,066 --> 00:08:55,767 stop them and it -- does he believe another approach 161 00:08:55,767 --> 00:08:57,800 should be considered? 162 00:08:57,800 --> 00:09:02,233 MR. Carney: Well, I would simply say that the President is 163 00:09:02,233 --> 00:09:06,532 concerned about North Korea's behavior, and has been. 164 00:09:06,533 --> 00:09:10,767 He has made non-proliferation a top national security priority 165 00:09:10,767 --> 00:09:13,567 and will continue to do that, and he will continue to work 166 00:09:13,567 --> 00:09:17,433 with his international partners, our international partners, 167 00:09:17,433 --> 00:09:22,033 to put pressure on North Korea, to isolate North Korea, 168 00:09:22,033 --> 00:09:27,333 and to impose consequences on North Korea for the actions that 169 00:09:27,333 --> 00:09:31,400 it continues to take. 170 00:09:31,400 --> 00:09:36,900 There has, and remains, a path for North Korea to end its 171 00:09:36,900 --> 00:09:41,699 isolation, but that requires abiding by its international 172 00:09:41,700 --> 00:09:44,800 obligations, abiding by the United Nations Security Council 173 00:09:44,800 --> 00:09:46,900 resolutions that I mentioned before. 174 00:09:46,900 --> 00:09:48,766 And it has chosen not to, and therefore, 175 00:09:48,767 --> 00:09:49,967 there will be consequences for that. 176 00:09:49,967 --> 00:09:54,333 I don't have a preview of next steps, 177 00:09:54,333 --> 00:09:57,233 but we take this matter very seriously and we take it -- 178 00:09:57,233 --> 00:09:58,233 and we are not alone. 179 00:09:58,233 --> 00:10:00,867 In fact, we are far from alone in taking this matter 180 00:10:00,867 --> 00:10:01,867 very seriously. 181 00:10:01,867 --> 00:10:06,367 The Press: On another topic, Ben Bernanke today announced continuation of 182 00:10:06,367 --> 00:10:09,065 the so-called stimulus policy of the Fed. 183 00:10:09,066 --> 00:10:12,800 Is the President concerned that this could lead to inflation or 184 00:10:12,800 --> 00:10:15,400 weakening of the U.S. dollar? 185 00:10:15,400 --> 00:10:19,033 MR. Carney: You know that I won't comment on actions by 186 00:10:19,033 --> 00:10:20,800 the Fed from here. 187 00:10:20,800 --> 00:10:23,900 The President is focused on, when it comes to economic 188 00:10:23,900 --> 00:10:28,934 policy, working with Congress to ensure that middle-class 189 00:10:28,934 --> 00:10:31,266 Americans don't have their taxes go up, to ensure that -- 190 00:10:31,266 --> 00:10:35,599 The Press: Can it help with -- in the context of the fiscal cliff, 191 00:10:35,600 --> 00:10:38,734 can it, in the President's view, help create an environment in 192 00:10:38,734 --> 00:10:40,433 which it's easier to get to a deal? 193 00:10:40,433 --> 00:10:41,400 MR. Carney: I appreciate the question, 194 00:10:41,400 --> 00:10:44,934 but I won't comment on Fed action. 195 00:10:44,934 --> 00:10:46,367 Yes, Jake. 196 00:10:46,367 --> 00:10:51,199 The Press: A White House official told me that in his counteroffer 197 00:10:51,200 --> 00:10:57,367 yesterday, Speaker Boehner asked for -- part of his proposal was 198 00:10:57,367 --> 00:11:02,033 a permanent extension of the Bush tax cuts for the top two 199 00:11:02,033 --> 00:11:05,100 brackets, for all the Bush tax cuts but including the 200 00:11:05,100 --> 00:11:06,834 top two brackets. 201 00:11:06,834 --> 00:11:09,766 The House Speaker's office disputes that. 202 00:11:09,767 --> 00:11:13,033 I was hoping that you could shed some light on what exactly John 203 00:11:13,033 --> 00:11:16,633 Boehner, in his counterproposal, suggested should happen. 204 00:11:16,633 --> 00:11:19,467 MR. Carney: I'm not going to get into the details of the 205 00:11:19,467 --> 00:11:23,000 proposals that have gone back and forth, 206 00:11:23,000 --> 00:11:26,233 but I can say that -- because it has been public in the positions 207 00:11:26,233 --> 00:11:30,699 that the Speaker has put forward -- that we do not accept the 208 00:11:30,700 --> 00:11:33,033 position that was outlined in the letter that the Speaker sent 209 00:11:33,033 --> 00:11:39,166 previously that Bush tax cuts for the top earners 210 00:11:39,166 --> 00:11:40,166 can be extended. 211 00:11:40,166 --> 00:11:43,300 The President has made clear he will not support legislation 212 00:11:43,300 --> 00:11:48,199 that hands another tax cut to the wealthiest 2 percent 213 00:11:48,200 --> 00:11:49,200 of American earners. 214 00:11:49,200 --> 00:11:50,200 We can't afford it. 215 00:11:50,200 --> 00:11:51,200 It is bad economic policy. 216 00:11:51,200 --> 00:11:54,767 And the result of pursuing that policy would mean added burdens 217 00:11:54,767 --> 00:11:57,700 to the middle class, added burdens to seniors, 218 00:11:57,700 --> 00:12:02,367 added burdens to families with children who have disabilities. 219 00:12:02,367 --> 00:12:03,967 That's unacceptable to the President. 220 00:12:03,967 --> 00:12:06,500 He is willing to make tough choices and he has made clear 221 00:12:06,500 --> 00:12:09,667 and specified the spending cuts that he is willing to make, 222 00:12:09,667 --> 00:12:12,633 and he has said that he is willing to go further as 223 00:12:12,633 --> 00:12:16,533 part of a broader deficit reduction plan. 224 00:12:16,533 --> 00:12:18,633 But he will not extend the tax cuts for the 225 00:12:18,633 --> 00:12:19,867 wealthiest Americans. 226 00:12:19,867 --> 00:12:22,165 And it is not a plausible position, 227 00:12:22,166 --> 00:12:24,500 as Jason Furman from the National Economic Council made 228 00:12:24,500 --> 00:12:26,734 clear in his presentation to you last week, 229 00:12:26,734 --> 00:12:30,400 to say that we can somehow magically achieve significant 230 00:12:30,400 --> 00:12:33,533 revenue on the order that we need for the balanced deficit 231 00:12:33,533 --> 00:12:36,734 reduction package simply by closing loopholes that they will 232 00:12:36,734 --> 00:12:41,266 not name, or capping deductions that they will not specify 233 00:12:41,266 --> 00:12:43,599 sometime in the future. 234 00:12:43,600 --> 00:12:47,900 That is -- those magic beans are just beans, 235 00:12:47,900 --> 00:12:49,699 and that fairy dust is just dust. 236 00:12:49,700 --> 00:12:51,500 It is not serious. 237 00:12:51,500 --> 00:12:54,500 And the President will not sign an extension of the Bush tax 238 00:12:54,500 --> 00:12:55,500 cuts for the wealthiest. 239 00:12:55,500 --> 00:12:58,533 The Press: Just to clarify, I'm telling you that a White House official 240 00:12:58,533 --> 00:13:00,667 told me that that was what Speaker Boehner said -- 241 00:13:00,667 --> 00:13:01,667 MR. Carney: I understand. 242 00:13:01,667 --> 00:13:02,734 I'm not disputing the characterization. 243 00:13:02,734 --> 00:13:05,166 I'm just simply saying that we know what -- and you know I'm 244 00:13:05,166 --> 00:13:09,800 not going to talk about internal discussions that have been 245 00:13:09,800 --> 00:13:12,333 taking place or proposals that are changing hands. 246 00:13:12,333 --> 00:13:17,233 It is, I think, explicitly in the letter that the Speaker put 247 00:13:17,233 --> 00:13:18,132 forward and made public -- 248 00:13:18,133 --> 00:13:19,233 The Press: Right, but that was two weeks ago. 249 00:13:19,233 --> 00:13:22,266 MR. Carney: And I don't believe that we've heard anything from 250 00:13:22,266 --> 00:13:25,533 the leadership that suggests they have moved off their 251 00:13:25,533 --> 00:13:28,567 position -- we certainly haven't heard it publicly -- anything 252 00:13:28,567 --> 00:13:30,000 from the leadership that suggests they have changed their 253 00:13:30,000 --> 00:13:32,533 position, which is they want an extension of the Bush-era tax 254 00:13:32,533 --> 00:13:38,867 cuts for the wealthiest and that they hold out some vague promise 255 00:13:38,867 --> 00:13:42,300 that they can achieve significant revenue through 256 00:13:42,300 --> 00:13:44,967 closing loopholes and capping deductions. 257 00:13:44,967 --> 00:13:47,867 Again -- zero specificity on how that would happen. 258 00:13:47,867 --> 00:13:51,632 And that's just not a position the President shares. 259 00:13:51,633 --> 00:13:53,800 He will not accept an extension of those tax cuts. 260 00:13:53,800 --> 00:13:57,000 And remember that the letter the Speaker put forward said 261 00:13:57,000 --> 00:14:00,233 that through that magical tax reform, they would lower rates. 262 00:14:00,233 --> 00:14:04,500 So even a further additional tax cut for the wealthiest 263 00:14:04,500 --> 00:14:07,200 Americans is just not plausible economic policy. 264 00:14:07,200 --> 00:14:09,967 And when Jason Furman stood up here and showed you why 265 00:14:09,967 --> 00:14:15,233 propositions suggesting that you can achieve levels of 266 00:14:15,233 --> 00:14:18,500 revenue that are necessary here don't hold water, 267 00:14:18,500 --> 00:14:22,767 he did it in a fact-based way -- not in a single sentence or two 268 00:14:22,767 --> 00:14:25,767 that promises action in the future that everyone knows 269 00:14:25,767 --> 00:14:26,567 isn't plausible. 270 00:14:26,567 --> 00:14:29,200 The Press: I wasn't here when The New York Times published 271 00:14:29,200 --> 00:14:29,700 this report. 272 00:14:29,700 --> 00:14:32,633 I've been -- I was off for a couple weeks when The New York 273 00:14:32,633 --> 00:14:34,967 Times published this report about the Obama administration 274 00:14:34,967 --> 00:14:40,834 drafting policy for drones in the weeks leading up to the 275 00:14:40,834 --> 00:14:44,000 election just in case the Obama administration was not going to 276 00:14:44,000 --> 00:14:46,734 be in charge for the next four years. 277 00:14:46,734 --> 00:14:49,166 Given the administration's desire to be more -- stated 278 00:14:49,166 --> 00:14:52,000 desire to be more open about its foreign policy, 279 00:14:52,000 --> 00:14:55,166 as exemplified by John Brennan's speech a few months ago, 280 00:14:55,166 --> 00:14:57,000 is there anything more you can tell us about that policy? 281 00:14:57,000 --> 00:15:01,300 Is there anything more we can expect in terms of transparency 282 00:15:01,300 --> 00:15:04,099 and discussion about the drone policy? 283 00:15:04,100 --> 00:15:08,000 MR. Carney: There is nothing more that I can add to that 284 00:15:08,000 --> 00:15:11,233 discussion beyond that John Brennan said in his speech 285 00:15:11,233 --> 00:15:16,099 that you refer to. 286 00:15:16,100 --> 00:15:22,734 Obviously, the broader focus of the President on taking the 287 00:15:22,734 --> 00:15:26,600 actions that are necessary to keep America safe will continue. 288 00:15:26,600 --> 00:15:32,000 But I don't have any more details about that issue in 289 00:15:32,000 --> 00:15:33,000 terms of moving forward. 290 00:15:33,000 --> 00:15:36,934 The Press: Those actions that are done in Yemen and Pakistan 291 00:15:36,934 --> 00:15:40,666 and elsewhere sometimes result in civilian deaths. 292 00:15:40,667 --> 00:15:44,133 And yet because this program is not discussed very often, 293 00:15:44,133 --> 00:15:50,367 certainly not from that podium, but also not by the Pentagon and 294 00:15:50,367 --> 00:15:55,266 in press releases, we don't know what is being done in the name 295 00:15:55,266 --> 00:15:58,699 of national security that is resulting in not just bad guys 296 00:15:58,700 --> 00:16:04,266 being killed, but also sometimes women and children who are 297 00:16:04,266 --> 00:16:07,065 either related to the bad guys or just happen to be in the 298 00:16:07,066 --> 00:16:08,867 wrong place at the wrong time. 299 00:16:08,867 --> 00:16:11,666 Is there no desire for greater transparency at all when it 300 00:16:11,667 --> 00:16:12,667 comes to this? 301 00:16:12,667 --> 00:16:15,000 I mean, would that not live up to the President's desire 302 00:16:15,000 --> 00:16:17,066 for transparency as repeatedly stated? 303 00:16:17,066 --> 00:16:22,433 MR. Carney: Without discussing classified matters or 304 00:16:22,433 --> 00:16:25,233 other intelligence matters, I would point you to the 305 00:16:25,233 --> 00:16:29,867 remarks that John Brennan made, which I think demonstrate our 306 00:16:29,867 --> 00:16:33,065 position on these issues and the broader issue that you talk 307 00:16:33,066 --> 00:16:35,066 about in terms of transparency. 308 00:16:35,066 --> 00:16:37,100 I just don't have anything new to say or to add to 309 00:16:37,100 --> 00:16:38,867 that conversation today. 310 00:16:38,867 --> 00:16:39,599 The Press: Thank you. 311 00:16:39,600 --> 00:16:40,500 MR. Carney: Kristen. 312 00:16:40,500 --> 00:16:41,066 The Press: Jay, thanks. 313 00:16:41,066 --> 00:16:43,767 According to multiple sources, the conversation yesterday 314 00:16:43,767 --> 00:16:46,800 between the President and Speaker Boehner was tense. 315 00:16:46,800 --> 00:16:48,065 How would you describe the phone call? 316 00:16:48,066 --> 00:16:49,400 Is that accurate? 317 00:16:49,400 --> 00:16:52,132 MR. Carney: I'm not going to dispute 318 00:16:52,133 --> 00:16:54,834 multiple unnamed descriptions. 319 00:16:54,834 --> 00:17:02,165 I'd simply say that, yes, we confirm the call -- one in a 320 00:17:02,166 --> 00:17:06,066 series of conversations, as well as a meeting, as you know, 321 00:17:06,066 --> 00:17:08,967 recently that the President has had with the Speaker aimed 322 00:17:08,967 --> 00:17:14,900 towards the effort of trying to find some common ground on this 323 00:17:14,900 --> 00:17:15,900 important issue. 324 00:17:15,900 --> 00:17:21,900 And the President has made clear that his desire is to do a big 325 00:17:24,633 --> 00:17:29,834 deal that not only addresses the fiscal cliff but achieves the 326 00:17:29,834 --> 00:17:34,033 kind of significant long-term deficit reduction that has been 327 00:17:34,033 --> 00:17:39,600 the stated goal of many people for a number of years now on the 328 00:17:39,600 --> 00:17:40,966 order of roughly $4 trillion. 329 00:17:40,967 --> 00:17:45,800 And he has put forward a plan to do that that includes spending 330 00:17:45,800 --> 00:17:50,700 cuts, entitlement reforms, and increased revenues from 331 00:17:50,700 --> 00:17:51,867 the wealthiest Americans. 332 00:17:51,867 --> 00:17:56,734 And to achieve on the revenue side that package, 333 00:17:56,734 --> 00:18:01,066 it has to be done in a way that both raises rates and 334 00:18:01,066 --> 00:18:07,467 in an economically wise and politically feasible way, 335 00:18:07,467 --> 00:18:10,333 closes some loopholes and caps some deductions. 336 00:18:10,333 --> 00:18:11,400 That's the way to do it. 337 00:18:11,400 --> 00:18:15,200 And the President is open to other proposals. 338 00:18:15,200 --> 00:18:17,734 He has made clear that he is not wedded to every 339 00:18:17,734 --> 00:18:19,332 item in his plan. 340 00:18:19,333 --> 00:18:22,266 He knows that he will have to make tough choices, 341 00:18:22,266 --> 00:18:25,333 but there has to be a willingness on the other side to 342 00:18:25,333 --> 00:18:28,900 recognize some fundamental facts and one of the fundamental facts 343 00:18:28,900 --> 00:18:31,967 is that there is no way to do this without rates going up on 344 00:18:31,967 --> 00:18:33,033 top earners. 345 00:18:33,033 --> 00:18:36,433 The Press: There's a sense that after yesterday and the sort of 346 00:18:36,433 --> 00:18:39,200 two proposals were offered, that these negotiations are, 347 00:18:39,200 --> 00:18:41,000 yet again, grinding to a halt. 348 00:18:41,000 --> 00:18:41,934 Is that accurate? 349 00:18:41,934 --> 00:18:44,466 Where do these negotiations stand and what's the President 350 00:18:44,467 --> 00:18:46,400 going to do to move the process forward? 351 00:18:46,400 --> 00:18:50,000 MR. Carney: Well, I think you've seen the President 352 00:18:50,000 --> 00:18:52,467 actively engage in moving the process forward. 353 00:18:52,467 --> 00:18:55,834 I think you've seen him make clear his willingness to make 354 00:18:55,834 --> 00:19:00,066 tough choices and also make clear what his principles are 355 00:19:00,066 --> 00:19:03,400 and what he won't do, which is go along with a vague promise 356 00:19:03,400 --> 00:19:10,200 of insufficient revenue gleaned from unnamed sources in return 357 00:19:10,200 --> 00:19:18,266 for substantial cuts that affect programs like Medicare and 358 00:19:18,266 --> 00:19:20,166 Social Security and Medicaid. 359 00:19:20,166 --> 00:19:21,833 That's not a balanced plan. 360 00:19:21,834 --> 00:19:26,100 And we know where the public stands on this. 361 00:19:26,100 --> 00:19:30,132 And, look, we know where now dozens of Republicans -- 362 00:19:30,133 --> 00:19:34,533 including elected officials, including members of Congress 363 00:19:34,533 --> 00:19:36,766 who are Republicans -- stand on this. 364 00:19:36,767 --> 00:19:39,834 But the obstacle thus far has been the adamant refusal 365 00:19:39,834 --> 00:19:42,567 to accept the proposition that rates have to go up for the top 366 00:19:42,567 --> 00:19:46,066 2 percent and that rates must continue to stay where they are 367 00:19:46,066 --> 00:19:49,066 so that there is no tax hike on 98 percent of the 368 00:19:49,066 --> 00:19:50,033 American people. 369 00:19:50,033 --> 00:19:53,667 And I think what Republicans have to explain somehow is why 370 00:19:53,667 --> 00:19:59,766 -- Republican leaders, anyway -- why it is better for you, 371 00:19:59,767 --> 00:20:02,367 broadly speaking, the American people, 98 percent of you, 372 00:20:02,367 --> 00:20:06,100 to have your taxes go up if the wealthiest Americans 373 00:20:06,100 --> 00:20:07,199 don't get a tax cut. 374 00:20:07,200 --> 00:20:08,133 The Press: But according to Speaker Boehner, 375 00:20:08,133 --> 00:20:11,133 the $1.4 trillion in new revenue that the President 376 00:20:11,133 --> 00:20:13,333 is now offering wouldn't make it through the House, 377 00:20:13,333 --> 00:20:14,600 it might not make it through the Senate, 378 00:20:14,600 --> 00:20:16,699 so is it a realistic proposal? 379 00:20:16,700 --> 00:20:19,767 MR. Carney: The President has made clear his willingness 380 00:20:19,767 --> 00:20:22,533 to negotiate and compromise. 381 00:20:22,533 --> 00:20:24,433 He has made clear his willingness to make 382 00:20:24,433 --> 00:20:26,000 tough choices. 383 00:20:26,000 --> 00:20:33,633 He has put on the table specific cuts and savings in entitlement 384 00:20:33,633 --> 00:20:36,166 programs, including our health care entitlement programs. 385 00:20:36,166 --> 00:20:41,800 He has put on the table specific ways that we can 386 00:20:41,800 --> 00:20:43,934 achieve the revenue targets that are necessary to have 387 00:20:43,934 --> 00:20:44,934 a balanced package. 388 00:20:44,934 --> 00:20:48,433 And what we have not seen yet is any kind of specificity from 389 00:20:48,433 --> 00:20:51,233 Republicans on how they would do it differently. 390 00:20:51,233 --> 00:20:53,867 And, again, going back to the Speaker's letter, 391 00:20:53,867 --> 00:21:02,033 it is not a realistic position to say that we can resolve this 392 00:21:02,033 --> 00:21:05,934 by extending tax cuts for the wealthiest Americans and vaguely 393 00:21:05,934 --> 00:21:09,934 promising that we'll glean additional revenue by closing 394 00:21:09,934 --> 00:21:13,667 loopholes and capping deductions in a way that everyone knows 395 00:21:13,667 --> 00:21:14,367 is unrealistic. 396 00:21:14,367 --> 00:21:16,133 The Press: But just to be clear, the President thinks it's realistic 397 00:21:16,133 --> 00:21:19,300 to get $1.4 trillion in new revenues through the House? 398 00:21:19,300 --> 00:21:19,734 MR. Carney: The President -- look, 399 00:21:19,734 --> 00:21:21,300 I can -- and I've got page after page here. 400 00:21:21,300 --> 00:21:25,399 I can read to you quotes from the press, 401 00:21:25,400 --> 00:21:32,867 probably some of them from NBC, Politico, Fox, elsewhere, 402 00:21:32,867 --> 00:21:35,433 of Republicans saying that they would accept a tax increase, 403 00:21:35,433 --> 00:21:38,300 or that tax increases have to be part of this for the wealthiest 404 00:21:38,300 --> 00:21:39,734 Americans, that rates have to go up -- 405 00:21:39,734 --> 00:21:40,934 The Press: -- the entire House. 406 00:21:40,934 --> 00:21:42,466 MR. Carney: Well, they're the people who vote. 407 00:21:42,467 --> 00:21:48,133 And we've also heard again yesterday from the Business 408 00:21:48,133 --> 00:21:53,066 Roundtable, and individuals like the CEO of Goldman Sachs 409 00:21:53,066 --> 00:21:57,467 or others who have said rates going up has to be part of 410 00:21:57,467 --> 00:21:58,467 this package. 411 00:21:58,467 --> 00:22:05,734 And the holdouts here seem to be those who are beholden to a 412 00:22:05,734 --> 00:22:08,199 subset of one party in one house of Congress, 413 00:22:08,200 --> 00:22:11,567 as opposed to those who are holding the broader American 414 00:22:11,567 --> 00:22:17,400 interest in mind as they approach this challenge, 415 00:22:17,400 --> 00:22:21,800 the goal of which is to achieve long-term deficit reduction in a 416 00:22:21,800 --> 00:22:24,000 way that will help the economy grow, 417 00:22:24,000 --> 00:22:26,900 help it create jobs that will give an enormous boost of 418 00:22:26,900 --> 00:22:30,166 confidence if achieved to our economy, 419 00:22:30,166 --> 00:22:35,066 and could potentially allow for substantially greater growth and 420 00:22:35,066 --> 00:22:39,200 job creation, which could create greater economic security for 421 00:22:39,200 --> 00:22:41,333 the middle class -- and by the way, 422 00:22:41,333 --> 00:22:45,300 the way it did in the 1990s, even with higher tax rates for 423 00:22:45,300 --> 00:22:48,533 millionaires and billionaires, more millionaires and 424 00:22:48,533 --> 00:22:50,766 billionaires -- the wealthy would do well, too. 425 00:22:50,767 --> 00:22:51,767 That's the goal. 426 00:22:51,767 --> 00:22:56,100 The President's vision here is an economy that allows for 427 00:22:56,100 --> 00:23:00,132 broad-based prosperity and broad-based opportunity. 428 00:23:00,133 --> 00:23:05,400 It is not a vision that says we're not going to do anything 429 00:23:05,400 --> 00:23:08,367 unless the top 2 percent get a tax cut. 430 00:23:08,367 --> 00:23:09,700 It's not his position. 431 00:23:09,700 --> 00:23:11,333 The Press: One question on Syria. 432 00:23:11,333 --> 00:23:14,500 The administration has recognized the opposition 433 00:23:14,500 --> 00:23:19,967 forces, has also called al-Nusra a terrorist organization. 434 00:23:19,967 --> 00:23:22,667 Some people within Syria are saying this is too 435 00:23:22,667 --> 00:23:23,867 little too late. 436 00:23:23,867 --> 00:23:25,867 What is your reaction to those people? 437 00:23:25,867 --> 00:23:31,600 MR. Carney: Well, the United States is working with a broad 438 00:23:31,600 --> 00:23:36,632 array of international partners in its support for the Syrian 439 00:23:36,633 --> 00:23:38,133 people and the Syrian opposition. 440 00:23:38,133 --> 00:23:41,633 And a major step is being taken today, 441 00:23:41,633 --> 00:23:46,100 as the President made clear yesterday in recognizing the 442 00:23:46,100 --> 00:23:50,600 Syrian Opposition Coalition as the legitimate representative 443 00:23:50,600 --> 00:23:53,567 of the Syrian people. 444 00:23:53,567 --> 00:23:57,834 We will continue to provide support to the 445 00:23:57,834 --> 00:23:59,166 opposition -- nonlethal. 446 00:23:59,166 --> 00:24:03,867 And we will continue to provide humanitarian support to the 447 00:24:03,867 --> 00:24:10,399 Syrian people who are suffering greatly under the regime of 448 00:24:10,400 --> 00:24:11,867 Bashar al-Assad. 449 00:24:11,867 --> 00:24:17,867 And the international community has been very clear in its views 450 00:24:23,700 --> 00:24:26,133 that are shared by the United States and shared by this 451 00:24:26,133 --> 00:24:29,166 President about which direction Syria has to go. 452 00:24:29,166 --> 00:24:33,166 And the designation that you mentioned was a demonstration of 453 00:24:33,166 --> 00:24:37,633 the fact that we believe that those elements within the Syrian 454 00:24:37,633 --> 00:24:42,967 opposition who do not hold the views that Syria needs to move 455 00:24:42,967 --> 00:24:49,066 towards greater democracy and rights for their citizens, 456 00:24:49,066 --> 00:24:50,967 that they should be isolated. 457 00:24:50,967 --> 00:24:56,400 Because the broader section of the opposition actually supports 458 00:24:56,400 --> 00:24:58,900 that, and that's why we've recognized the Syrian 459 00:24:58,900 --> 00:25:01,200 Opposition Coalition. 460 00:25:01,200 --> 00:25:02,200 Major. 461 00:25:02,200 --> 00:25:04,867 The Press: Based on the conversation yesterday, 462 00:25:04,867 --> 00:25:07,867 how would you rate Speaker Boehner's flexibility? 463 00:25:07,867 --> 00:25:12,300 MR. Carney: I won't get into the conversations that the -- 464 00:25:12,300 --> 00:25:14,033 the private conversations the President has with the 465 00:25:14,033 --> 00:25:15,033 Speaker or others. 466 00:25:15,033 --> 00:25:19,100 I would simply say that, as made clear by the letter, 467 00:25:19,100 --> 00:25:20,766 that the Speaker made public -- 468 00:25:20,767 --> 00:25:22,800 The Press: And reiterated in the call yesterday. 469 00:25:22,800 --> 00:25:24,834 MR. Carney: Again, I'll speak about the public 470 00:25:24,834 --> 00:25:25,834 presentation here. 471 00:25:25,834 --> 00:25:28,266 There is no indication yet that the Republican leadership is 472 00:25:28,266 --> 00:25:32,633 willing to acknowledge the basic fact that rates need to rise on 473 00:25:32,633 --> 00:25:35,900 the top 2 percent in order to achieve the kind of broad-based 474 00:25:35,900 --> 00:25:39,667 deficit-reduction package that a significant majority of the 475 00:25:39,667 --> 00:25:43,533 American people support and even numerous Republicans have 476 00:25:43,533 --> 00:25:45,065 publicly come out in support of. 477 00:25:45,066 --> 00:25:48,300 The Press: Why did the White House lower its request for revenue? 478 00:25:48,300 --> 00:25:50,133 And how does it achieve that $200 billion? 479 00:25:50,133 --> 00:25:52,233 What $200 billion did you take out of that request 480 00:25:52,233 --> 00:25:53,600 for extra revenue? 481 00:25:53,600 --> 00:25:54,734 I'm told it's from tax reform. 482 00:25:54,734 --> 00:25:55,533 Is that true? 483 00:25:55,533 --> 00:25:57,667 MR. Carney: I can simply say that -- well, 484 00:25:57,667 --> 00:26:03,065 it is our position that rates have to go up on the 485 00:26:03,066 --> 00:26:05,500 top 2 percent. 486 00:26:05,500 --> 00:26:08,700 So that is absolutely the case. 487 00:26:08,700 --> 00:26:11,600 It is our position, as Mr. Furman demonstrated 488 00:26:11,600 --> 00:26:14,899 in his presentation to you last week, that you cannot achieve 489 00:26:14,900 --> 00:26:19,200 significant levels of revenue solely by capping deductions or 490 00:26:19,200 --> 00:26:20,200 closing loopholes. 491 00:26:20,200 --> 00:26:24,333 So that is why you have to have a combination package of both 492 00:26:24,333 --> 00:26:27,433 reforms that include those kinds of actions, 493 00:26:27,433 --> 00:26:30,066 as well as allowing rates to rise on top earners. 494 00:26:30,066 --> 00:26:35,934 As to the proposal that you -- or the offer that you reference, 495 00:26:35,934 --> 00:26:39,867 I mean, I think it demonstrates the fact that we are willing to 496 00:26:39,867 --> 00:26:41,332 try to find a compromise. 497 00:26:41,333 --> 00:26:47,333 We are willing to try to work with the Republicans to find 498 00:26:49,367 --> 00:26:52,433 an agreement that achieves the broad-based deficit reduction 499 00:26:52,433 --> 00:26:55,600 that is supposedly the goal that we all share, 500 00:26:55,600 --> 00:26:58,033 and achieve it in a way that doesn't stick it to the middle 501 00:26:58,033 --> 00:27:03,233 class, that doesn't leave seniors holding the bag, 502 00:27:03,233 --> 00:27:08,200 and that asks, as the President made clear he thought was the 503 00:27:08,200 --> 00:27:12,300 right thing to do, asks those who can most afford it to pay 504 00:27:12,300 --> 00:27:13,300 a little bit more. 505 00:27:13,300 --> 00:27:18,033 And that's where he's been, and it is demonstrated in the 506 00:27:18,033 --> 00:27:19,265 proposals he's put forward. 507 00:27:19,266 --> 00:27:22,633 And it is demonstrated in the spirit with which he has 508 00:27:22,633 --> 00:27:23,800 approached these negotiations. 509 00:27:23,800 --> 00:27:27,533 He knows that compromise requires tough decisions by both 510 00:27:27,533 --> 00:27:32,367 sides, but it cannot require compromise by one side only. 511 00:27:32,367 --> 00:27:35,600 The Press: Why did you add yesterday corporate tax reform to the mix? 512 00:27:35,600 --> 00:27:38,899 And how do you respond to the Speaker's contention that that 513 00:27:38,900 --> 00:27:42,033 is a red herring, that they always assumed corporate tax 514 00:27:42,033 --> 00:27:45,734 reform would be part of these broader conversations on the 515 00:27:45,734 --> 00:27:47,766 future of the tax code, and it's not a concession 516 00:27:47,767 --> 00:27:49,400 or an offer or a sweetner. 517 00:27:49,400 --> 00:27:51,333 MR. Carney: I'm not -- what I won't do is negotiate the 518 00:27:51,333 --> 00:27:53,867 particulars from here because I think that as I said yesterday 519 00:27:53,867 --> 00:27:54,265 and have said -- 520 00:27:54,266 --> 00:27:55,367 The Press: That's been confirmed here and up on the Hill. 521 00:27:55,367 --> 00:27:57,367 MR. Carney: But again, I won't negotiate the particulars of it. 522 00:27:57,367 --> 00:27:59,100 The President supports -- 523 00:27:59,100 --> 00:27:59,632 The Press: No, you're not negotiating. 524 00:27:59,633 --> 00:28:01,400 There's something that's been confirmed that was put on the 525 00:28:01,400 --> 00:28:01,934 table yesterday. 526 00:28:01,934 --> 00:28:02,500 I'm just asking what -- 527 00:28:02,500 --> 00:28:03,233 MR. Carney: I'm not disputing -- 528 00:28:03,233 --> 00:28:04,000 The Press: Okay. 529 00:28:04,000 --> 00:28:04,633 MR. Carney: -- anything. 530 00:28:04,633 --> 00:28:07,800 I'm just saying I won't -- you citing what one party said and 531 00:28:07,800 --> 00:28:09,600 what others said about it -- I will simply say that corporate 532 00:28:09,600 --> 00:28:13,500 tax reform is a goal the President shares with many 533 00:28:13,500 --> 00:28:16,166 members in Congress, as well as the business community, 534 00:28:16,166 --> 00:28:20,332 and it is one that he's serious about and hopes to pursue. 535 00:28:20,333 --> 00:28:24,633 His goal is to try to find an agreement with Republicans 536 00:28:24,633 --> 00:28:28,266 that strengthens and protects the middle class, 537 00:28:28,266 --> 00:28:31,667 that helps our economy grow, that helps to create jobs and 538 00:28:31,667 --> 00:28:40,367 that achieves the deficit reduction that also will help 539 00:28:40,367 --> 00:28:43,166 our economy grow and create jobs in a balanced way. 540 00:28:43,166 --> 00:28:45,833 So that's the President's goal. 541 00:28:45,834 --> 00:28:47,800 The Press: Last question. 542 00:28:47,800 --> 00:28:50,200 Based on where we are now, does the President feel 543 00:28:50,200 --> 00:28:53,600 it's incumbent upon him to provide any new proposals 544 00:28:53,600 --> 00:28:54,332 to the Republicans? 545 00:28:54,333 --> 00:28:56,567 MR. Carney: I'm not going to game out how the next 546 00:28:56,567 --> 00:28:59,300 days and weeks play out. 547 00:28:59,300 --> 00:29:02,200 The process we hope will continue. 548 00:29:02,200 --> 00:29:07,633 Again, there is a simple proposition here that -- 549 00:29:07,633 --> 00:29:10,533 The Press: So it's possible that if the Republicans can reiterate their 550 00:29:10,533 --> 00:29:12,233 position, the President could compromise some more? 551 00:29:12,233 --> 00:29:14,433 MR. Carney: Well, I think I've said before, 552 00:29:14,433 --> 00:29:19,600 we're not going to just negotiate with ourselves. 553 00:29:19,600 --> 00:29:21,867 But the President believes, as he said yesterday, 554 00:29:21,867 --> 00:29:23,834 that a deal is possible. 555 00:29:23,834 --> 00:29:26,233 He's confident that a deal is achievable. 556 00:29:26,233 --> 00:29:27,633 The Press: That was before the -- 557 00:29:27,633 --> 00:29:29,433 MR. Carney: Well, there have been more than -- obviously, 558 00:29:29,433 --> 00:29:31,700 he's had more than one conversation with the Speaker 559 00:29:31,700 --> 00:29:34,066 and many conversations with many other stakeholders in 560 00:29:34,066 --> 00:29:36,100 this process and the process continues. 561 00:29:36,100 --> 00:29:43,800 But let's make clear what is absolutely his position -- 562 00:29:43,800 --> 00:29:46,899 and he's been clear about this for quite a long time. 563 00:29:46,900 --> 00:29:51,100 He will not sign an extension of the Bush tax cuts for the 564 00:29:51,100 --> 00:29:51,934 top 2 percent. 565 00:29:51,934 --> 00:29:59,600 It is not a viable position to say that the highest priority 566 00:29:59,600 --> 00:30:02,500 here should be that wealthy folks get another tax cut. 567 00:30:02,500 --> 00:30:04,066 That is not good economic policy. 568 00:30:04,066 --> 00:30:05,600 We can't afford it. 569 00:30:05,600 --> 00:30:06,966 It's not fair. 570 00:30:06,967 --> 00:30:09,467 And the President believes that the focus ought to be on the 571 00:30:09,467 --> 00:30:10,467 middle class here. 572 00:30:10,467 --> 00:30:13,400 And if the focus were on the middle class universally up on 573 00:30:13,400 --> 00:30:16,667 Capitol Hill, 98 percent of the American people would already 574 00:30:16,667 --> 00:30:18,867 know that they were getting a tax cut next year. 575 00:30:18,867 --> 00:30:19,700 But that hasn't happened. 576 00:30:19,700 --> 00:30:20,734 The Press: You mean a tax -- 577 00:30:20,734 --> 00:30:22,466 MR. Carney: Well, that's a tax cut compared to what 578 00:30:22,467 --> 00:30:25,166 current law is. 579 00:30:25,166 --> 00:30:30,433 And let's also recognize the fact here that when those who 580 00:30:30,433 --> 00:30:36,400 oppose that position say that we can't hike taxes on the top 581 00:30:36,400 --> 00:30:39,600 2 percent, nobody is asking them to vote for a tax hike for the 582 00:30:39,600 --> 00:30:41,132 top 2 percent. 583 00:30:41,133 --> 00:30:46,567 We're asking that they vote for a tax cut -- a tax cut extension 584 00:30:46,567 --> 00:30:48,066 for 98 percent of the American people, 585 00:30:48,066 --> 00:30:51,567 and to let the rest of that law stand as is, 586 00:30:51,567 --> 00:30:54,133 which means that those tax cuts for the wealthiest expire. 587 00:30:54,133 --> 00:30:55,133 That's how the law was written. 588 00:30:55,133 --> 00:30:57,266 That's how it was designed, as you know because you and 589 00:30:57,266 --> 00:30:59,834 I both covered it back in 2001 and 2003, 590 00:30:59,834 --> 00:31:02,934 with a 10-year window and then an extension -- precisely 591 00:31:02,934 --> 00:31:06,200 because the designers, the authors of those tax cuts 592 00:31:06,200 --> 00:31:09,266 knew that they were explosively expensive in the out-years, 593 00:31:09,266 --> 00:31:11,700 knew that they were budget busters. 594 00:31:11,700 --> 00:31:13,767 And while they promised otherwise, 595 00:31:13,767 --> 00:31:15,367 that's what America got. 596 00:31:15,367 --> 00:31:19,533 They got a series of economic policies that took record 597 00:31:19,533 --> 00:31:21,500 surpluses and turned them into record deficits, 598 00:31:21,500 --> 00:31:24,333 and now you have some of the same people who supported those 599 00:31:24,333 --> 00:31:26,567 policies saying we've got to do that again because it was 600 00:31:26,567 --> 00:31:27,700 so good for America. 601 00:31:27,700 --> 00:31:29,633 The President disagrees. 602 00:31:29,633 --> 00:31:30,600 Wendell. 603 00:31:30,600 --> 00:31:33,399 The Press: You said a short while ago the President is eager for 604 00:31:33,400 --> 00:31:34,400 a compromise. 605 00:31:34,400 --> 00:31:39,000 How is that helped by him predicting publicly that Speaker 606 00:31:39,000 --> 00:31:42,567 Boehner will cave on the tax cuts for the top 2 percent? 607 00:31:42,567 --> 00:31:44,600 MR. Carney: Look, what the President was saying is 608 00:31:44,600 --> 00:31:47,399 reiterating his position, which is that he will not 609 00:31:47,400 --> 00:31:50,734 sign an extension of tax cuts for the top 2 percent, 610 00:31:50,734 --> 00:31:54,632 as I think I've made clear several times just today, 611 00:31:54,633 --> 00:31:59,133 and that a reasonable compromise has to include rates going up on 612 00:31:59,133 --> 00:32:04,467 the top 2 percent while taxes are cut for the rest of the 613 00:32:04,467 --> 00:32:05,800 country -- income taxes. 614 00:32:05,800 --> 00:32:10,500 And that, again, is a position that supposedly is universally 615 00:32:10,500 --> 00:32:12,200 supported up on Capitol Hill. 616 00:32:12,200 --> 00:32:14,834 Let's give extended tax cuts to the middle class. 617 00:32:14,834 --> 00:32:17,600 The President supports permanent extension of those tax cuts to 618 00:32:17,600 --> 00:32:18,766 the middle class. 619 00:32:18,767 --> 00:32:20,633 And by middle class, again, we're talking about 98 620 00:32:20,633 --> 00:32:26,333 percent of Americans. 621 00:32:26,333 --> 00:32:28,066 And we should be able to act on that right away. 622 00:32:28,066 --> 00:32:29,967 So the fact that the President is saying that -- 623 00:32:29,967 --> 00:32:30,800 The Press: But he's not diplomatic in his language. 624 00:32:30,800 --> 00:32:32,700 He predicted the Speaker will cave. 625 00:32:32,700 --> 00:32:35,300 MR. Carney: Well, again, I think the President predicted 626 00:32:35,300 --> 00:32:40,200 that the Speaker would not want to hold a position, 627 00:32:40,200 --> 00:32:42,633 and that Republicans in general would not want to maintain a 628 00:32:42,633 --> 00:32:46,633 position that would result in everybody's taxes going 629 00:32:46,633 --> 00:32:50,266 up because of their insistence that the wealthiest Americans 630 00:32:50,266 --> 00:32:51,500 get a tax cut. 631 00:32:51,500 --> 00:32:57,066 That doesn't seem like a very popular position to take. 632 00:32:57,066 --> 00:33:01,567 But I will leave it to the Speaker and others to decide 633 00:33:01,567 --> 00:33:05,567 if that's the position that they'll maintain. 634 00:33:05,567 --> 00:33:10,066 But the President believes that there is broad acknowledgement 635 00:33:10,066 --> 00:33:13,600 of the fact that rates need to go up for the top earners. 636 00:33:13,600 --> 00:33:16,867 We had a sustained debate about this issue; 637 00:33:16,867 --> 00:33:20,633 the public has made clear their views on it, broadly speaking. 638 00:33:20,633 --> 00:33:24,967 And he understands that as part of a broader deficit reduction 639 00:33:24,967 --> 00:33:28,200 package, that everyone is going to have to make some tough 640 00:33:28,200 --> 00:33:30,867 choices, including him, and he has demonstrated his willingness 641 00:33:30,867 --> 00:33:31,867 to do that. 642 00:33:31,867 --> 00:33:33,667 The Press: You've often said the President is the only party 643 00:33:33,667 --> 00:33:37,567 in this dispute that's put a comprehensive plan on the table, 644 00:33:37,567 --> 00:33:41,400 but that was the September plan of last year that included 645 00:33:41,400 --> 00:33:45,233 stimulus spending and various other things, and was rejected. 646 00:33:45,233 --> 00:33:47,767 MR. Carney: Actually, you're misremembering. 647 00:33:47,767 --> 00:33:49,667 The September proposal that we're talking about was the 648 00:33:49,667 --> 00:33:52,699 proposal to the super committee, aimed specifically at achieving 649 00:33:52,700 --> 00:33:55,633 the necessary deficit reduction that was -- 650 00:33:55,633 --> 00:33:58,066 The Press: That is I presumed what you were talking about when you were 651 00:33:58,066 --> 00:34:00,266 talking about a detailed plan for spending cuts and stuff. 652 00:34:00,266 --> 00:34:02,300 MR. Carney: I held it up here just yesterday. 653 00:34:02,300 --> 00:34:03,533 The Press: Exactly. 654 00:34:03,533 --> 00:34:04,533 Why is that still relevant? 655 00:34:04,533 --> 00:34:06,734 MR. Carney: Why wouldn't it be? 656 00:34:06,734 --> 00:34:12,699 The PressBecause of things it includes, like stimulus spending 657 00:34:12,699 --> 00:34:14,734 and various other things that have been roundly rejected. 658 00:34:14,734 --> 00:34:16,033 MR. Carney: Yes, I think you're talking about -- there is the 659 00:34:16,033 --> 00:34:20,933 President's proposal that he has put forward to leaders in 660 00:34:20,934 --> 00:34:22,734 Congress, that includes our belief that we need to make 661 00:34:22,734 --> 00:34:27,165 infrastructure investments; we need to make sure that 662 00:34:27,166 --> 00:34:29,500 millions of Americans don't fall off a different kind of 663 00:34:29,500 --> 00:34:31,934 cliff when their unemployment insurance benefits expire. 664 00:34:31,934 --> 00:34:36,200 Those benefits were extended under President Bush when the 665 00:34:36,199 --> 00:34:39,833 unemployment rate was lower than it is now. 666 00:34:39,833 --> 00:34:42,165 The specific spending cuts that we're talking about in 667 00:34:42,166 --> 00:34:44,467 the proposals the President put forward to the super committee 668 00:34:44,467 --> 00:34:48,166 in September of 2011 are absolutely viable today. 669 00:34:48,166 --> 00:34:49,800 The Press: So it's only portions of that plan that you say are -- 670 00:34:49,800 --> 00:34:52,567 MR. Carney: Well, again, I'm happy to go over the details 671 00:34:52,567 --> 00:34:53,199 of the plan. 672 00:34:53,199 --> 00:34:55,567 There's the President's budget, there's the President's proposal 673 00:34:55,567 --> 00:34:57,500 to the super committee. 674 00:34:57,500 --> 00:34:59,967 The goal of the super committee, which it failed to achieve, 675 00:34:59,967 --> 00:35:04,033 was to enact deficit reduction on the order of $1.2 trillion 676 00:35:04,033 --> 00:35:06,500 to avert the sequester. 677 00:35:06,500 --> 00:35:10,400 Well, they didn't do that, so now the sequester is upon us. 678 00:35:10,400 --> 00:35:10,934 Mark. 679 00:35:10,934 --> 00:35:15,600 The Press: Jay, can I pick up on what Kristen asked you about 680 00:35:15,600 --> 00:35:16,633 earlier on Syria? 681 00:35:16,633 --> 00:35:21,265 You talked about how designating a group like al-Nusra is a way 682 00:35:21,266 --> 00:35:25,700 of isolating an extremist force that doesn't share the U.S.'s 683 00:35:25,700 --> 00:35:27,299 vision for the future in Syria. 684 00:35:27,300 --> 00:35:31,734 But based on our paper's reporting from the ground, 685 00:35:31,734 --> 00:35:35,667 that designation appears to have actually, 686 00:35:35,667 --> 00:35:40,133 far from isolating the group, unified people in Syria from 687 00:35:40,133 --> 00:35:44,232 secular liberals to conservative Islamists in rejecting the 688 00:35:44,233 --> 00:35:46,734 American action. 689 00:35:46,734 --> 00:35:48,232 Many of these people view al- Nusra as, 690 00:35:48,233 --> 00:35:50,400 for whatever flaws it may have, one of the most 691 00:35:50,400 --> 00:35:52,967 effective fighting forces against the Assad regime. 692 00:35:52,967 --> 00:35:55,400 So I'm wondering, in light of that, 693 00:35:55,400 --> 00:36:01,300 what evidence you can point to that there isn't a rising tide 694 00:36:01,300 --> 00:36:05,133 of anti-American sentiment in Syria, and that indeed, 695 00:36:05,133 --> 00:36:08,567 to use Kristen's words, that whatever the President did 696 00:36:08,567 --> 00:36:10,767 yesterday in terms of recognition is too little, 697 00:36:10,767 --> 00:36:11,866 too late. 698 00:36:11,867 --> 00:36:13,700 MR. Carney: Well, again, I would dispute that characterization. 699 00:36:13,700 --> 00:36:16,366 What the United States has done is recognize the main 700 00:36:16,367 --> 00:36:19,934 opposition group, the Syrian Opposition Coalition, 701 00:36:19,934 --> 00:36:28,100 and in doing so we've also -- in designating al-Nusra as 702 00:36:28,100 --> 00:36:31,967 a terrorist organization, we've recognized that there 703 00:36:31,967 --> 00:36:34,133 are elements of -- that the Assad regime is creating an 704 00:36:34,133 --> 00:36:38,966 environment essentially in Syria that fuels the growth of 705 00:36:38,967 --> 00:36:42,834 extremism, and the al-Nusra front is al Qaeda in Iraq's 706 00:36:42,834 --> 00:36:47,100 attempt to rebrand itself in order to hijack the struggles 707 00:36:47,100 --> 00:36:49,467 of the legitimate Syrian opposition to further its 708 00:36:49,467 --> 00:36:51,066 own extremist ideology. 709 00:36:51,066 --> 00:36:55,734 We firmly believe that the vast majority of the Syrian 710 00:36:55,734 --> 00:36:59,967 opposition do not share those extremist goals, 711 00:36:59,967 --> 00:37:03,133 and that we will work with the opposition -- we, 712 00:37:03,133 --> 00:37:05,933 and broadly speaking with our international partners -- in 713 00:37:05,934 --> 00:37:09,900 their efforts to isolate those with extremist views. 714 00:37:09,900 --> 00:37:12,934 Because we believe that the Syrian people and the Syrian 715 00:37:12,934 --> 00:37:15,734 Opposition Coalition -- reflected by the Syrian 716 00:37:15,734 --> 00:37:20,467 Opposition Coalition, are interested in a future for Syria 717 00:37:20,467 --> 00:37:24,533 that includes a transition towards greater democracy, 718 00:37:24,533 --> 00:37:27,900 greater rights for its citizens, more economic prosperity, 719 00:37:27,900 --> 00:37:33,066 and does not include enacting a vision propounded by extremists. 720 00:37:33,066 --> 00:37:36,433 The Press: Would you reject the contention that anti-American 721 00:37:36,433 --> 00:37:38,133 sentiments are on the rise in Syria? 722 00:37:38,133 --> 00:37:40,700 MR. Carney: Well, I haven't made that assessment. 723 00:37:40,700 --> 00:37:44,366 I would simply say that we encourage all responsible 724 00:37:44,367 --> 00:37:47,533 actors to speak out against and distance themselves from 725 00:37:47,533 --> 00:37:51,967 extremists like the al Qaeda-linked al-Nusra Front. 726 00:37:51,967 --> 00:37:55,266 And we will continue to work with the Syrian Opposition 727 00:37:55,266 --> 00:37:58,934 Coalition and our international partners to achieve the kind of 728 00:37:58,934 --> 00:38:03,900 future in Syria that we firmly believe the vast majority of 729 00:38:03,900 --> 00:38:04,900 the Syrian people seek. 730 00:38:04,900 --> 00:38:06,900 The Press: Jay, you said "firmly believe, 731 00:38:06,900 --> 00:38:11,166 " but you guys got it firmly wrong in Libya and in Egypt, 732 00:38:11,166 --> 00:38:14,166 where you firmly believed that you were working with -- I 733 00:38:14,166 --> 00:38:15,667 forget the phrase -- moderates. 734 00:38:15,667 --> 00:38:17,567 We now are heading towards a theocracy in Egypt. 735 00:38:17,567 --> 00:38:20,233 We have the war in Libya spread out into Mali. 736 00:38:20,233 --> 00:38:24,367 What's the evidence that your firm belief in the moderation 737 00:38:24,367 --> 00:38:26,834 of the Syrian group is correct? 738 00:38:26,834 --> 00:38:31,265 MR. Carney: We make assessments all the time. 739 00:38:31,266 --> 00:38:37,000 We have spent a lot of time evaluating 740 00:38:37,000 --> 00:38:38,133 the Syrian opposition. 741 00:38:38,133 --> 00:38:39,433 We've spoken about that from here. 742 00:38:39,433 --> 00:38:41,400 The Secretary of State and others from the State Department 743 00:38:41,400 --> 00:38:43,333 have spoken about that. 744 00:38:43,333 --> 00:38:46,533 And one of the reasons why we've taken the actions that we've 745 00:38:46,533 --> 00:38:49,500 just discussed is because we believe it is in the interests 746 00:38:49,500 --> 00:38:54,800 of all parties to speak out against the kind of extremist 747 00:38:54,800 --> 00:38:58,700 views that are represented and espoused by the al-Nusra Front, 748 00:38:58,700 --> 00:39:03,000 even as we support the democratic aspirations of the 749 00:39:03,000 --> 00:39:06,333 broader Syrian opposition and the Syrian people. 750 00:39:06,333 --> 00:39:10,233 The Press: But what's the evidence that the moderates -- forgive the 751 00:39:10,233 --> 00:39:11,066 phrase -- are moderates? 752 00:39:11,066 --> 00:39:13,100 MR. Carney: I understand that you have an editorial 753 00:39:13,100 --> 00:39:13,967 opinion here, but the -- 754 00:39:13,967 --> 00:39:15,533 The Press: Of course. 755 00:39:15,533 --> 00:39:17,567 MR. Carney: Of course. 756 00:39:17,567 --> 00:39:19,867 (Laughter) But the fact is we believe, 757 00:39:19,867 --> 00:39:23,600 and we think there is ample evidence to support the idea 758 00:39:23,600 --> 00:39:29,433 that the Syrian people want a future free from Bashar al Assad 759 00:39:29,433 --> 00:39:33,233 and a future that is more democratic, 760 00:39:33,233 --> 00:39:38,066 a future that allows -- that includes a government that 761 00:39:38,066 --> 00:39:41,700 recognizes the rights of the Syrian people and that allows 762 00:39:41,700 --> 00:39:47,165 for greater economic prosperity in a more peaceful country. 763 00:39:47,166 --> 00:39:50,367 So it is in the United States' interests to work with the 764 00:39:50,367 --> 00:39:52,133 opposition and with our international partners to 765 00:39:52,133 --> 00:39:54,366 pursue that, and we will continue to do so. 766 00:39:54,367 --> 00:39:57,000 The Press: You need to explain that down the road. 767 00:39:57,000 --> 00:40:00,600 You do have a Friday deadline approaching for states to let 768 00:40:00,600 --> 00:40:02,700 the administration know if they're going to be part of this 769 00:40:02,700 --> 00:40:04,734 health care exchange under the Affordable Care Act. 770 00:40:04,734 --> 00:40:08,700 What is the President's message to the majority of governors who 771 00:40:08,700 --> 00:40:13,466 are either sitting on the fence or flatly opposed to this thing? 772 00:40:13,467 --> 00:40:16,300 MR. Carney: Well, I would say that there have been a number 773 00:40:16,300 --> 00:40:21,166 of states who have -- whose applications have been approved. 774 00:40:21,166 --> 00:40:26,533 We've had over 20 states to date that have agreed to operate an 775 00:40:26,533 --> 00:40:28,667 exchange, either on their own or in partnership with the 776 00:40:28,667 --> 00:40:29,667 federal government. 777 00:40:29,667 --> 00:40:32,500 And we will continue to work with states in the 778 00:40:32,500 --> 00:40:34,800 implementation of the Affordable Care Act because, as you know, 779 00:40:34,800 --> 00:40:36,300 the Affordable Care Act is here to stay. 780 00:40:36,300 --> 00:40:38,834 And the President's team will work to continue to 781 00:40:38,834 --> 00:40:42,200 implement that law. 782 00:40:42,200 --> 00:40:45,734 We have, as an administration, consistently worked to give 783 00:40:45,734 --> 00:40:48,500 states the flexibility, time and resources they need to move 784 00:40:48,500 --> 00:40:51,900 toward -- forward, rather, in the implementation of 785 00:40:51,900 --> 00:40:52,967 the Affordable Care Act. 786 00:40:52,967 --> 00:40:58,200 And for details on that process, HHS is the best place to go. 787 00:40:58,200 --> 00:41:01,700 But we believe there has been considerable progress towards 788 00:41:01,700 --> 00:41:07,933 implementation and more and more states that have either had 789 00:41:07,934 --> 00:41:11,500 their applications approved to run their own health insurance 790 00:41:11,500 --> 00:41:16,066 exchanges, or have agreed to operate an exchange either on 791 00:41:16,066 --> 00:41:17,734 their own or in conjunction with the federal government. 792 00:41:17,734 --> 00:41:22,100 The Press: Process aside, though, Jay, is the President -- this was his 793 00:41:22,100 --> 00:41:23,299 signature measure, as we all know. 794 00:41:23,300 --> 00:41:27,266 Is he disappointed that most states still have not signed 795 00:41:27,266 --> 00:41:27,900 on to this thing? 796 00:41:27,900 --> 00:41:29,367 MR. Carney: Well, I think the President is pleased with 797 00:41:29,367 --> 00:41:32,467 the progress that's been made, and he's -- his administration 798 00:41:32,467 --> 00:41:34,667 is working to continue to implement the 799 00:41:34,667 --> 00:41:35,734 Affordable Care Act. 800 00:41:35,734 --> 00:41:37,433 And that process continues. 801 00:41:37,433 --> 00:41:41,867 The Press: Why do you think most states have not signed on? 802 00:41:41,867 --> 00:41:44,166 MR. Carney: I would refer you to HHS for details. 803 00:41:44,166 --> 00:41:49,500 I think it is a fact that there was consideration of the 804 00:41:49,500 --> 00:41:52,300 Affordable Care Act by the Supreme Court and that decision 805 00:41:52,300 --> 00:41:55,200 was only earlier this year. 806 00:41:55,200 --> 00:41:56,633 We continue to implement the law. 807 00:41:56,633 --> 00:41:59,899 The Court upheld the law. 808 00:41:59,900 --> 00:42:03,834 And the President looks forward to full implementation. 809 00:42:03,834 --> 00:42:05,265 The Press: Thanks. 810 00:42:05,266 --> 00:42:06,800 MR. Carney: Mara. 811 00:42:06,800 --> 00:42:08,433 The Press: Just a question about the fiscal cliff. 812 00:42:08,433 --> 00:42:12,900 Clearly you've shown some flexibility on the amount of 813 00:42:12,900 --> 00:42:14,333 the revenues that you need. 814 00:42:14,333 --> 00:42:19,367 I'm wondering how flexible the President is on entitlements, 815 00:42:19,367 --> 00:42:22,000 which is the other thing that Boehner needs in order to get 816 00:42:22,000 --> 00:42:26,000 his troops to do something that's clearly outside of 817 00:42:26,000 --> 00:42:27,500 their comfort zone. 818 00:42:27,500 --> 00:42:31,667 MR. Carney: Well, I won't negotiate from here, 819 00:42:31,667 --> 00:42:39,000 but the President has made clear that spending reductions, 820 00:42:39,000 --> 00:42:43,066 including savings from our entitlement programs must be 821 00:42:43,066 --> 00:42:48,799 part of this broad package that also must include a balance, 822 00:42:48,800 --> 00:42:52,033 which means the revenues that we've talked about. 823 00:42:52,033 --> 00:42:58,165 And he understands that he'll have to make tough choices and 824 00:42:58,166 --> 00:42:59,934 that others will as well. 825 00:42:59,934 --> 00:43:01,867 But I won't negotiate the specifics of what those 826 00:43:01,867 --> 00:43:02,867 choices will be. 827 00:43:02,867 --> 00:43:04,700 I would point you to the fact that this President has already 828 00:43:04,700 --> 00:43:10,133 put on paper savings from entitlement programs and he has 829 00:43:10,133 --> 00:43:14,500 already implemented a law that the CBO acknowledges, 830 00:43:14,500 --> 00:43:18,300 or has shown in their documentation, 831 00:43:18,300 --> 00:43:20,166 is a long-term deficit reducer. 832 00:43:20,166 --> 00:43:26,500 And it achieves savings in our health care costs rather than 833 00:43:26,500 --> 00:43:29,233 burden shifting of those costs over to seniors, 834 00:43:29,233 --> 00:43:32,033 which was the goal of the Republican proposal in the 835 00:43:32,033 --> 00:43:34,900 Republican budget. 836 00:43:34,900 --> 00:43:36,633 That's not an approach that the President supports, 837 00:43:36,633 --> 00:43:42,000 as I think he made amply clear over the past year that asking 838 00:43:42,000 --> 00:43:46,033 seniors to take on thousands and thousands of dollars in extra 839 00:43:46,033 --> 00:43:50,033 costs in order to give tax cuts to billionaires and millionaires 840 00:43:50,033 --> 00:43:53,200 -- not the approach this President supports. 841 00:43:53,200 --> 00:43:55,299 The Press: Right, but the things you just listed that he's proposed -- is 842 00:43:55,300 --> 00:43:57,000 that what you mean by getting outside of your 843 00:43:57,000 --> 00:43:58,066 comfort zone generally? 844 00:43:58,066 --> 00:43:59,466 MR. Carney: If you're asking me is he willing to do more, 845 00:43:59,467 --> 00:44:03,266 I think the President has made clear that he has made tough 846 00:44:03,266 --> 00:44:06,233 choices and he's willing to make more tough choices. 847 00:44:06,233 --> 00:44:13,200 But he is not going to accept a deal that extends tax cuts for 848 00:44:13,200 --> 00:44:17,500 the wealthiest Americans that offers no specificity on how to 849 00:44:17,500 --> 00:44:22,200 achieve revenue targets, only vague promises that they can be 850 00:44:22,200 --> 00:44:27,567 achieved through some process of reform that in the Speaker's 851 00:44:27,567 --> 00:44:29,333 letter suggests that we would lower rates again, 852 00:44:29,333 --> 00:44:32,066 give another tax cut to millionaires and billionaires. 853 00:44:32,066 --> 00:44:38,933 That's just not serious math and it's not policy this President 854 00:44:38,934 --> 00:44:39,500 could accept. 855 00:44:39,500 --> 00:44:42,633 The Press: Does the President believe that the Republicans have to 856 00:44:42,633 --> 00:44:45,100 wave the white flag first on rates? 857 00:44:45,100 --> 00:44:47,366 I've asked this before, but it seems like we still 858 00:44:47,367 --> 00:44:48,367 haven't gotten beyond that. 859 00:44:48,367 --> 00:44:50,266 Do they have to do that first before you can even 860 00:44:50,266 --> 00:44:51,367 discuss entitlements? 861 00:44:51,367 --> 00:44:54,500 MR. Carney: Again, I'm not going to get into the back-and- forth 862 00:44:54,500 --> 00:45:00,633 that has taken place and is taking place between Capitol 863 00:45:00,633 --> 00:45:07,667 Hill and the White House on the specifics of a hoped-for deal. 864 00:45:07,667 --> 00:45:11,866 But I think the President has demonstrated in his proposals 865 00:45:11,867 --> 00:45:14,767 and in these negotiations his willingness to make 866 00:45:14,767 --> 00:45:15,966 tough choices. 867 00:45:15,967 --> 00:45:22,100 But he is -- has been and is very clear that there is not 868 00:45:22,100 --> 00:45:25,866 an avenue here to a deal that includes tax cuts for 869 00:45:25,867 --> 00:45:26,900 the top 2 percent. 870 00:45:26,900 --> 00:45:30,467 I mean, those who continue to insist that that's their bottom 871 00:45:30,467 --> 00:45:35,000 line seem not to understand that that's not acceptable. 872 00:45:35,000 --> 00:45:38,000 That cannot happen as part of this deal because it is simply 873 00:45:38,000 --> 00:45:39,633 not good policy. 874 00:45:39,633 --> 00:45:44,133 And I've just been around long enough -- and you have too, 875 00:45:44,133 --> 00:45:49,600 Mara -- to know that we have recent examples of how these two 876 00:45:49,600 --> 00:45:53,600 policy positions play out and what results economically from 877 00:45:53,600 --> 00:45:55,633 the implementation of those policies. 878 00:45:55,633 --> 00:45:58,899 And some of the very leaders on Capitol Hill who insist we can't 879 00:45:58,900 --> 00:46:02,834 raise rates on the wealthiest Americans -- on millionaires and 880 00:46:02,834 --> 00:46:05,966 billionaires -- because it would be bad for the economy insisted 881 00:46:05,967 --> 00:46:09,600 the very same thing in 1993, when those rates were first 882 00:46:09,600 --> 00:46:11,299 implemented under President Clinton. 883 00:46:11,300 --> 00:46:13,667 And, boy, were they wrong. 884 00:46:13,667 --> 00:46:16,700 They don't really explain it well how they took that position 885 00:46:16,700 --> 00:46:19,399 and predicted with great confidence that it would 886 00:46:19,400 --> 00:46:20,900 lead to economic decline. 887 00:46:20,900 --> 00:46:26,700 They don't explain how it led to the longest economic expansion 888 00:46:26,700 --> 00:46:32,933 in peacetime in the United States and the creation of vast 889 00:46:32,934 --> 00:46:35,567 amount of wealth not just for millionaires and billionaires, 890 00:46:35,567 --> 00:46:40,133 but for the middle class and 23 million new jobs. 891 00:46:40,133 --> 00:46:42,633 Now, we have that to go by. 892 00:46:42,633 --> 00:46:46,834 And then we have what happened after the implementation of a 893 00:46:46,834 --> 00:46:50,667 series, two, massive tax cuts, the benefits of which went 894 00:46:50,667 --> 00:46:56,299 disproportionately to top earners, 895 00:46:56,300 --> 00:47:00,967 surpluses turned to deficits and a cascading economic crisis and 896 00:47:00,967 --> 00:47:04,133 financial crisis and recession the likes of which none of us in 897 00:47:04,133 --> 00:47:06,299 our lifetimes have ever seen. 898 00:47:06,300 --> 00:47:11,300 It would seem that going out and saying we want to do that again 899 00:47:11,300 --> 00:47:16,467 would not be a great plan for -- in an effort to get 900 00:47:16,467 --> 00:47:18,033 popular support. 901 00:47:18,033 --> 00:47:19,567 Thanks.