English subtitles for clip: File:12-13-12- White House Press Briefing.webm

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Mr. Carney:
Good afternoon.

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Thanks for being here
at the White House.

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I have no announcements, so
let's go straight to questions.

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Jim.

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The Press:
Thank you, Jay.

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Fiscal cliff: At the
start of the negotiations,

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the White House welcomed
the Republican movement

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toward revenue.

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You guys said that that
was a good step in the

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right direction.

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I'm wondering, can you point to
something that the President has

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done that kind of has
moved in the direction of

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Republicans here?

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The cuts that you've outlined
have been ones that have been in

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your budget.

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You've asked for
almost double --

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now you've come down
to $1.4 trillion --

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it's almost double what the
Republicans have put on

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the table.

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And you have $200 billion
in stimulus money there.

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So what is it that -- can
you point to us how that is

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a negotiation?

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Mr. Carney:
Well, it sounds like you've
gotten some points for you.

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Let's just be clear.

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There is one party to these
negotiations who has put forward

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a specific proposal for revenue
and a specific proposal for

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spending cuts.

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Even when the Republicans -- and I saw Speaker Boehner do this

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earlier today -- insist that the President hasn't put forward

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spending cuts, it
begs the question,

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what spending cuts have the Republicans put forward?

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The proposal that we've
seen is a two-page letter,

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and the much-discussed
second proposal is less than

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half a page.

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There is no specificity behind
what the Republicans have put

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forward, and no more than
a sentence on revenues.

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The President has said when
it comes to spending cuts,

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here's what I propose.

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But he understands that it might
require tougher choices and

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a negotiation.

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He's made that clear and he's
said repeatedly that he's

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willing to do that.

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What we have seen -- and
you noted at the top --

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is some rhetorical concession to
the notion that revenue has to

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be part of the equation here,
but not a single specified

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source of revenue; only the
vague promise that revenue could

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be achieved through tax reform
that somehow makes permanent the

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high-end tax cuts
for the wealthy --

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which is non-negotiable
and is not happening --

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and has a goal of
lowering rates further --

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i.e. giving another tax cut,
an additional tax cut for

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the wealthy.

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This is fantasy economics.

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And I know I'm answering at
length here, but in 1993 --

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I know because I was
there and I covered it --

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John Boehner got up and said, if
we pass the Clinton budget plan

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we'll lose jobs, the
economy will shrink,

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inflation will go up.

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Verbatim he said that,
or close to verbatim;

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I don't have the exact quote,
I had it on my computer.

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In 2001, he fiercely advocated
for the massive tax cuts that

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President Bush insisted
on, again in 2003,

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that went disproportionately
to the wealthy,

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promising that they would lead
to economic growth and a middle

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class that was better off.

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Let me just say that while I
personally am very fond of John

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Boehner, his record of
predicting what would happen if

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certain policies, economic
policies were instituted is

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abysmal, okay?

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Because after 1993, after
that budget plan was passed,

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we saw record economic growth.

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We saw record job creation.

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We saw the middle class
strengthened and made more

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secure, and we saw vast
amounts of wealth created in

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this country.

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In the aftermath of those two
massive tax cuts in 2001 and

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2003 that President Bush
authored and then-Congressman

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Boehner advocated, we saw
stagnation for the middle class;

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we saw anemic economic growth,
and then the worst financial

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crisis of our lifetimes -- not to mention surpluses turned

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into deficits.

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So the President has a plan.

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The President has
been very specific.

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He understands that he will
not get everything in his plan.

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He is prepared to negotiate.

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But it is not a tenable position
to say that the tax cuts for the

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wealthy should be
made permanent.

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It's not going to happen.

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The President has
made that clear.

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The Press:
I guess the question was where
has the President moved toward

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the Republicans --

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Mr. Carney:
Well, I think, as
it's been reported --

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of course, not by us, but has
been described by those who have

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received it -- the President
has moved in his proposal for

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revenue and he has put forward very specific spending cuts.

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Again, what we lack on either
spending or revenue from the

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Republicans is a
single specific --

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occasionally I see in reports
Republicans saying, well,

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we have our budget, too.

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Okay, if Republicans are saying
that their spending cuts include

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turning Medicare into a voucher,
I think they ought to say so.

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I think the American people
would be very interested to hear

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that, since we just had an
election where that was a focus

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and it was roundly opposed by a
majority of the American people.

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I don't think that's
their position.

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And the fact is, is while they
insist on greater spending cuts

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-- and we're willing to have that conversation about

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additional spending cuts --
we need to know what it is

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they're proposing.

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And they have yet
to tell you that,

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and they have yet
to tell us that.

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The Press:
The Speaker also said that the
debt ceiling demands just would

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never pass Congress.

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Is that something that's
negotiable to you?

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Mr. Carney:
Well, here's what the
President is proposing.

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He's proposing that the
legislation authored by Senator

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McConnell -- not a noted
Obama sympathizer --

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be taken up again and adopted.

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And I noted that Speaker Boehner
made the point that then-Senator

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Obama and Senator Reid at the
time would not have supported

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such a move under
President George W. Bush.

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But here's what I have
to say about that.

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What happened last year,
when House Republicans,

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led by Speaker Boehner, brought
this country to the brink of

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default had never
happened before.

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Congress, prior to that, while
raising the debt ceiling had

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been a matter of debate,
had always done its job,

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had never in the history of this
country threatened default on

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our credit.

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And because we
can't do that again,

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because we cannot do what some
Republicans seem to think is

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wise economic policy, which is
engage in that folly every three

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or six months, the President
suggested that we adopt Senator

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McConnell's proposal, which has
been in place since the summer

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of 2011.

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And that is all.

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And that proposal, by the
way, still gives Congress the

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authority to vote on, and
if they disagree with the

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President's decision, to
override a veto of a rejection

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of raising the debt ceiling.

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So the authority
still resides there.

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But we cannot play this game,
because while it might be

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satisfying to those with
highly partisan and ideological

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agendas, it's not satisfying to
the American people and it is

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punishing to the
American economy.

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We cannot do it.

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The Press:
But it sounds like
this demand --

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you would not let that demand
hold up a deal if there's --

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Mr. Carney:
Here's what I'll say about that.

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The President believes
Congress ought to do its job.

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Let's remember what a vote
to raise the debt ceiling is.

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It is a vote to pay the bills
that Congress has incurred.

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The President doesn't
control the purse strings --

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the President of either party.

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Congress passes bills
that appropriate money.

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Congress says, we're building
this bridge or funding that

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defense project, and
they cost this much.

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And because it is
the United States,

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those bills have
always been paid.

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So when Congress raises
the debt ceiling,

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this is not about
spending in the future;

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it's about paying bills
that Congress has incurred.

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So it would be the height of
irresponsibility for Congress

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not to do its job and not to
pay the bills that it racked up.

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The President will not engage
in that kind of brinksmanship.

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He just expects
Congress to do its job.

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Yes, Jessica.

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The Press:
Has the administration given
a written offer to the Speaker?

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Mr. Carney:
I'm not going to
get into specifics.

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Although since so much of this
seems to leak from elsewhere,

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I think it's known that
we have exchanged offers.

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The Press:
Yes, but you keep deriding their
offer as nonspecific because

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it's just a short letter.

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But it's my understanding that
the Geithner offer was verbal.

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It wasn't even written
down, so if writing is --

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Mr. Carney:
Well, I'm not going
to get into specifics,

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but everything that's behind --

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The Press:
-- the measure of seriousness,
your offer wasn't even written.

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Mr. Carney:
Well, again, Jessica,
everything that --

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every conversation that we've
had with Congress both at the

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level of Secretary Geithner and
Rob Nabors and at the level of

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the President has been backed by
the specific proposals that we

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have on paper.

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So when we say $1.6 trillion
in revenue, it's documented.

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When we say, $600
billion in spending cuts,

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it's documented that --

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The Press:
So do you dispute that?

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Mr. Carney:
Well, I don't understand
what you're saying.

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So we have the documentation;
they have the documentation.

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If you're saying, verbally,
if he repeats everything in an

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80-page proposal -- no.

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But they know where our
proposed cuts from come,

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and they know where our
proposed revenue comes from.

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And when we reduce our
revenue proposal --

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The Press:
It was in the original proposal,
you're saying, from this --

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Mr. Carney:
That's correct.

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The Press:
-- but it wasn't -- when Geithner went up to the Hill,

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he didn't present it --

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Mr. Carney:
But that is our proposal.

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They know what our --

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The Press:
So he was reiterating
a past proposal?

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Mr. Carney:
Right.

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We have put forward
specific cuts.

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And let me remind you that even
the House Republican budget,

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which is sometimes cited as
the source for their cuts,

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is wholly unspecific.

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It's just targets.

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It's just
across-the-board stuff.

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There's no specificity beyond
the voucherization of Medicare

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for how they would achieve cuts.

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So again, the only party to
these negotiations who has put

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forward any specific cuts or
any specificity when it comes to

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raising revenues is the
President of the United States.

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And here's how we know that -- because if you were to ask the

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leaders in Congress on
the Republican side,

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what are their specifics, they will not tell you, and they have

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not told us.

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The Press:
Does the White House dispute
the Speaker's contention that

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negotiations are at
the 11th hour now?

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Mr. Carney:
Well, I'm not sure if we are
11/12's of the way through the

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year -- we are, we're
even beyond that.

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So I think that's a fair
assessment that we are close to

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a deadline.

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The Press:
So does the President feel it's
incumbent on him to make a new

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offer now?

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Mr. Carney:
The President does not believe
that he should negotiate

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with himself.

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He has made abundantly clear
that Republicans need to accept

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the fact that rates will go up
on the top 2% and that we should

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extend tax cuts for
the remaining 9%.

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Thus far, we have not seen an
acceptance of that by Republican

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leaders, and in fact, the
proposal that we've seen and

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that you guys have reported
on doesn't just reject that,

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it says we should make
permanent the tax cuts for the

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wealthiest Americans.

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The Press:
Speaker Boehner has said he
is leaving town tomorrow and he

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won't be here this weekend.

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Does the President read this as
a sign that negotiations have

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00:11:31,433 --> 00:11:32,967
been unsuccessful, that
he's been unable to --

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00:11:32,967 --> 00:11:34,834
Mr. Carney:
Well, look, there's no question
that we haven't reached

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00:11:34,834 --> 00:11:36,065
an agreement.

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00:11:36,066 --> 00:11:38,533
It's also true that the
parameters of an agreement are

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00:11:38,533 --> 00:11:41,800
very clear, and how we
-- the building blocks --

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00:11:41,800 --> 00:11:43,199
The Press:
Is that worrisome?

245
00:11:43,200 --> 00:11:44,734
You guys need to be making --

246
00:11:44,734 --> 00:11:46,000
Mr. Carney:
Well, look, I think it's
worrisome for the American

247
00:11:46,000 --> 00:11:49,367
people that thus far the House
Republican leadership has

248
00:11:49,367 --> 00:11:51,733
refused to accept the
fundamental principle that was

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00:11:51,734 --> 00:11:55,367
debated again and again and
again throughout a presidential

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00:11:55,367 --> 00:11:59,500
election and on which the
American people made their

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00:11:59,500 --> 00:12:01,967
voices heard and
their opinions clear.

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00:12:01,967 --> 00:12:06,066
It is a position the President
has been utterly transparent

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00:12:06,066 --> 00:12:10,667
about and a position that some
pundits thought was politically

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00:12:10,667 --> 00:12:13,533
risky but that he believed was
absolutely the right position to

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00:12:13,533 --> 00:12:14,734
take for our economy.

256
00:12:14,734 --> 00:12:18,533
So there is no particular reason
why we can't get this done very

257
00:12:18,533 --> 00:12:21,967
quickly beyond the
single obstacle here,

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00:12:21,967 --> 00:12:24,900
which is that the Republicans
refuse to accept that rates are

259
00:12:24,900 --> 00:12:28,467
going up on the high end -- the top earners in this country.

260
00:12:28,467 --> 00:12:32,967
And again, if the Republicans
have specific spending cuts that

261
00:12:32,967 --> 00:12:37,600
they would like to propose that
build on or are different from

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00:12:37,600 --> 00:12:40,867
the ones the President has
proposed, I think they should.

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00:12:40,867 --> 00:12:44,967
And the President looks
forward to negotiating that,

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00:12:44,967 --> 00:12:46,133
but we haven't seen that yet.

265
00:12:46,133 --> 00:12:47,433
The Press:
Okay, on a different topic.

266
00:12:47,433 --> 00:12:51,734
As senator, President Obama
repeatedly traveled to Iraq and

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00:12:51,734 --> 00:12:54,400
Afghanistan with
then-Senator Chuck Hagel.

268
00:12:54,400 --> 00:12:57,667
He has said flattering things
about him and appointed him to

269
00:12:57,667 --> 00:12:59,000
this Intelligence
Advisory Board.

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00:12:59,000 --> 00:13:01,333
He obviously thinks
very highly of him.

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00:13:01,333 --> 00:13:04,867
But what would the President say
to pro-Israel advocates who are

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00:13:04,867 --> 00:13:08,199
concerned or have voiced strong
concerns about his position on

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00:13:08,200 --> 00:13:10,266
sanctions, Iran and Israel?

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00:13:10,266 --> 00:13:14,699
Mr. Carney:
You're asking me, I can tell,
to engage in conversation about

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00:13:14,700 --> 00:13:20,133
potential personnel decisions
the President is making

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00:13:20,133 --> 00:13:21,133
and will make.

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00:13:21,133 --> 00:13:23,500
And I have no opinions to offer.

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00:13:23,500 --> 00:13:24,967
The Press:
Well, we know Mr. Hagel has
met with the President and

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00:13:24,967 --> 00:13:26,000
Vice President.

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00:13:26,000 --> 00:13:27,800
Mr. Carney:
The President thinks very
highly of Senator Hagel.

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00:13:27,800 --> 00:13:30,132
I think a lot of people in
Washington and around the

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00:13:30,133 --> 00:13:33,500
country, and especially in
Senator Hagel's home state think

283
00:13:33,500 --> 00:13:34,500
very highly of him.

284
00:13:34,500 --> 00:13:41,066
But I have no news to make
for you on that process.

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00:13:41,066 --> 00:13:45,333
The Press:
Was the offer that Speaker
Boehner made on Tuesday

286
00:13:45,333 --> 00:13:49,867
different from the offer
that he had made previously?

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00:13:49,867 --> 00:13:51,333
Mr. Carney:
Again, I'm not going
to get into specific --

288
00:13:51,333 --> 00:13:52,333
The Press:
I'm not asking
you for specifics.

289
00:13:52,333 --> 00:13:53,567
Mr. Carney:
Well, that is a
specific difference.

290
00:13:53,567 --> 00:13:56,200
What I can say is that
we have yet to see --

291
00:13:56,200 --> 00:13:58,533
The Press:
You say that the President
is not going to negotiate

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00:13:58,533 --> 00:13:59,800
with himself --

293
00:13:59,800 --> 00:14:00,934
Mr. Carney:
Here's what I will tell --

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00:14:00,934 --> 00:14:03,333
The Press:
-- which suggests that Speaker Boehner wasn't offering

295
00:14:03,333 --> 00:14:04,800
something different.

296
00:14:04,800 --> 00:14:05,900
Mr. Carney:
Fair enough.

297
00:14:05,900 --> 00:14:08,433
Here's what I will say, is that
on the fundamental obstacle,

298
00:14:08,433 --> 00:14:12,533
the answer is, no, we have not
seen in any of our conversations

299
00:14:12,533 --> 00:14:19,967
or offers any difference in the
stated position by the Speaker

300
00:14:19,967 --> 00:14:23,300
of the House when it
comes to revenues.

301
00:14:23,300 --> 00:14:28,834
And the irony of even the
proposal that was in the

302
00:14:28,834 --> 00:14:32,400
Speaker's letter and that
has been put forward as the

303
00:14:32,400 --> 00:14:35,699
Speaker's -- the Republican
position, they called it --

304
00:14:35,700 --> 00:14:38,400
that promises $800
billion in revenue,

305
00:14:38,400 --> 00:14:43,000
which is not enough to create
the balanced plan that's

306
00:14:43,000 --> 00:14:45,467
necessary for our broad-based
deficit reduction goals.

307
00:14:45,467 --> 00:14:49,699
But even that $800 billion has
been totally unspecified beyond

308
00:14:49,700 --> 00:14:52,467
their insistence that lower
tax rates be extended for the

309
00:14:52,467 --> 00:14:53,467
wealthiest Americans.

310
00:14:53,467 --> 00:14:56,467
So that's where it stands.

311
00:14:56,467 --> 00:15:00,066
The Press:
Maybe the $800 billion is part
of the $1.2 trillion that the

312
00:15:00,066 --> 00:15:03,500
President said would be in tax
deductions and limited closing

313
00:15:03,500 --> 00:15:04,767
loopholes last year.

314
00:15:04,767 --> 00:15:06,834
Mr. Carney:
Again, we see no specificity.

315
00:15:06,834 --> 00:15:09,165
And what Jason Furman got up
here and described to you in

316
00:15:09,166 --> 00:15:15,233
great detail, using solid facts
and analysis by independent

317
00:15:15,233 --> 00:15:18,500
economists, not reports
commissioned by industry in

318
00:15:18,500 --> 00:15:23,533
support of a political agenda,
makes it very clear that we

319
00:15:23,533 --> 00:15:26,734
cannot achieve the kind of
revenue necessary simply through

320
00:15:26,734 --> 00:15:31,734
cutting deductions, or capping
deductions and closing loopholes

321
00:15:31,734 --> 00:15:34,633
limited to the wealthy, or to
those making more than $250,

322
00:15:34,633 --> 00:15:38,967
000 in any economically sensible
or politically feasible way.

323
00:15:38,967 --> 00:15:39,967
It's just not possible.

324
00:15:39,967 --> 00:15:42,633
So again, you can write that --

325
00:15:42,633 --> 00:15:44,533
The Press:
There are other contentious
issues, including the --

326
00:15:44,533 --> 00:15:45,500
Mr. Carney:
Sure.

327
00:15:45,500 --> 00:15:48,233
The Press:
-- and House Republicans
think that the degree to which

328
00:15:48,233 --> 00:15:52,132
spending will be reduced or cut is a big, contentious issue.

329
00:15:52,133 --> 00:15:56,700
Did the Speaker's
second proposal not --

330
00:15:56,700 --> 00:15:59,500
was it not different a little
bit at least from his first

331
00:15:59,500 --> 00:16:02,000
proposal when it came
to spending cuts?

332
00:16:02,000 --> 00:16:04,467
Mr. Carney:
We have not seen any specificity
when it comes to spending cuts.

333
00:16:04,467 --> 00:16:07,165
We know that Republicans
want greater spending cuts,

334
00:16:07,166 --> 00:16:09,000
but we don't know how
they would achieve them,

335
00:16:09,000 --> 00:16:13,533
what their proposals are.

336
00:16:13,533 --> 00:16:16,400
If the answer -- which
we haven't heard --

337
00:16:16,400 --> 00:16:19,400
but if the answer is, well,
go look at the Ryan budget,

338
00:16:19,400 --> 00:16:22,632
we know that, A, that lacks
specificity, too, always did --

339
00:16:22,633 --> 00:16:25,066
and, B, that it contains the
voucherization of Medicare,

340
00:16:25,066 --> 00:16:26,066
which is not happening.

341
00:16:26,066 --> 00:16:29,667
So that doesn't mean that there
are not serious and credible

342
00:16:29,667 --> 00:16:34,600
ways to further reduce spending
that this President would

343
00:16:34,600 --> 00:16:36,834
entertain and be able to
come to an agreement on

344
00:16:36,834 --> 00:16:37,834
with Republicans.

345
00:16:37,834 --> 00:16:39,165
We believe there are.

346
00:16:39,166 --> 00:16:43,333
And this President has made
clear that he understands that

347
00:16:43,333 --> 00:16:46,065
it's -- that this is not easy, that he will not get everything

348
00:16:46,066 --> 00:16:50,500
that he wants, that his plan
as written will not be what's

349
00:16:50,500 --> 00:16:51,967
passed and signed into law.

350
00:16:51,967 --> 00:16:54,699
And he is willing to
make tough choices.

351
00:16:54,700 --> 00:17:00,633
But there are some clear red
lines when it comes to how we

352
00:17:00,633 --> 00:17:02,500
build a broader deficit
reduction package.

353
00:17:02,500 --> 00:17:06,599
And one red line is he will not
sign into law an extension of

354
00:17:06,599 --> 00:17:08,099
tax cuts for the top 2%.

355
00:17:08,099 --> 00:17:10,233
We can't afford it and
it's bad economic policy.

356
00:17:10,233 --> 00:17:13,265
The Press:
Is there any sort of
plan B being discussed,

357
00:17:13,266 --> 00:17:15,967
whether with the Speaker or on
some sort of separate track,

358
00:17:15,967 --> 00:17:18,834
so that if there
isn't a deal cut,

359
00:17:18,834 --> 00:17:22,533
there is at least some
way to pass the 98% --

360
00:17:22,532 --> 00:17:27,733
extending the tax cuts for 98%
and paying down some of the

361
00:17:27,733 --> 00:17:30,367
sequestered spending cuts at
least for a few months until

362
00:17:30,367 --> 00:17:31,633
something can be worked out?

363
00:17:31,633 --> 00:17:35,967
Is there any effort being made
by Mr. Nabors or anybody in the

364
00:17:35,967 --> 00:17:39,667
White House to at least have
that ready so we don't entirely

365
00:17:39,667 --> 00:17:40,833
go over the cliff
on January 1st?

366
00:17:40,834 --> 00:17:41,834
Mr. Carney:
It's a good question.

367
00:17:41,834 --> 00:17:43,800
We still believe that
a big deal is possible.

368
00:17:43,800 --> 00:17:47,300
We believe the parameters are
there and we remain confident

369
00:17:47,300 --> 00:17:52,800
that if Republicans agree with
the basic idea that rates have

370
00:17:52,800 --> 00:17:56,265
to go up for the wealthiest
while we extend tax cuts for

371
00:17:56,266 --> 00:17:58,834
everyone else that we can
reach a deal fairly quickly.

372
00:17:58,834 --> 00:18:05,700
Yes, I mean, one aspect of a way
to deal with this at the very

373
00:18:05,700 --> 00:18:09,867
least would be to pass the
tax cuts for 98% of the

374
00:18:09,867 --> 00:18:10,966
American people.

375
00:18:10,967 --> 00:18:16,934
That would deal with a chunk
of the so-called fiscal cliff.

376
00:18:16,934 --> 00:18:19,500
And I am sure that there
are others who have --

377
00:18:19,500 --> 00:18:21,867
as part of putting
together a bigger proposal,

378
00:18:21,867 --> 00:18:25,433
but also independent from that,
I'm sure there are ways to

379
00:18:25,433 --> 00:18:28,834
address issues of
the fiscal cliff.

380
00:18:28,834 --> 00:18:32,266
The President believes that this
is an opportune time to think

381
00:18:32,266 --> 00:18:34,667
bigger than that, to
do more than that,

382
00:18:34,667 --> 00:18:40,367
to try to pass a
broad package that,

383
00:18:40,367 --> 00:18:42,466
combined with the spending
cuts already signed into law,

384
00:18:42,467 --> 00:18:45,600
achieves the kind of significant
deficit reduction that puts us

385
00:18:45,600 --> 00:18:48,332
on a fiscally sustainable
path for a decade.

386
00:18:48,333 --> 00:18:50,567
And he doesn't want to
pass up that opportunity.

387
00:18:50,567 --> 00:18:51,400
The Press:
Got it.

388
00:18:51,400 --> 00:18:52,500
But just in case --

389
00:18:52,500 --> 00:18:53,600
Mr. Carney:
That's not saying that there --

390
00:18:53,600 --> 00:18:54,833
The Press:
-- in case of
emergency, break glass.

391
00:18:54,834 --> 00:18:56,667
Is there some sort of plan B?

392
00:18:56,667 --> 00:19:00,399
Mr. Carney:
In case of emergency, the
House should break the glass;

393
00:19:00,400 --> 00:19:04,533
the House Speaker ought to
allow the Republicans to vote on

394
00:19:04,533 --> 00:19:07,667
extending tax cuts for 98%
of the American people.

395
00:19:07,667 --> 00:19:12,033
That would deal with a chunk
of the so-called fiscal cliff.

396
00:19:12,033 --> 00:19:16,600
And I will refrain from reading
the quotations from congressman

397
00:19:16,600 --> 00:19:18,367
after congressman of
the Republican Party,

398
00:19:18,367 --> 00:19:20,834
as well as senators who have
said that we should do that at

399
00:19:20,834 --> 00:19:21,834
the very least.

400
00:19:21,834 --> 00:19:26,333
And I'm hoping that, and the
President hopes that those

401
00:19:26,333 --> 00:19:29,233
voices are heard and
that action is taken,

402
00:19:29,233 --> 00:19:34,166
because the dysfunction that
appears to continue to exist in

403
00:19:34,166 --> 00:19:38,966
Washington should not result in
punishment for the middle class.

404
00:19:38,967 --> 00:19:41,066
That's unfair and it's
bad for our economy.

405
00:19:41,066 --> 00:19:42,300
The Press:
One last question.

406
00:19:42,300 --> 00:19:45,433
The President went to Michigan
and he waded into the local

407
00:19:45,433 --> 00:19:48,700
controversy there
involving right to work.

408
00:19:48,700 --> 00:19:52,367
There was violence at some
of the demonstrations,

409
00:19:52,367 --> 00:19:54,567
with the union activists
being involved.

410
00:19:54,567 --> 00:19:56,533
I was wondering if the President
was aware of any of this

411
00:19:56,533 --> 00:19:58,600
violence, if he had
any response to it.

412
00:19:58,600 --> 00:20:03,199
Mr. Carney:
I haven't discussed
reports like that with him,

413
00:20:03,200 --> NaN:NaN:NaN,NaN
so I'm not sure if
he's aware of it.

414
00:20:02,033 --> 00:20:08,699
But we deplore
violence in any case.

415
00:20:08,700 --> 00:20:10,900
And the President
feels very strongly,

416
00:20:10,900 --> 00:20:14,433
as he said on his visit
to Michigan the other day,

417
00:20:14,433 --> 00:20:21,166
that right-to-work laws are
really right-to-be-paid-less

418
00:20:21,166 --> 00:20:25,066
laws, and that they reflect
a political agenda and not an

419
00:20:25,066 --> 00:20:28,066
economic agenda,
and he opposes them.

420
00:20:28,066 --> 00:20:33,100
We should not make it harder
for workers to organize,

421
00:20:33,100 --> 00:20:34,132
and that's his position.

422
00:20:34,133 --> 00:20:36,633
But certainly, we do
not support violence.

423
00:20:36,633 --> 00:20:39,500
The Press:
There's been no negotiation
back and forth --

424
00:20:39,500 --> 00:20:40,433
Mr. Carney:
I'm sorry, Bill.

425
00:20:40,433 --> 00:20:41,200
The Press:
Thank you.

426
00:20:41,200 --> 00:20:42,100
(laughter)

427
00:20:42,100 --> 00:20:43,667
There's been no negotiations
back and forth as far as anybody

428
00:20:43,667 --> 00:20:47,132
can tell, in the sense that
terms have been discussed,

429
00:20:47,133 --> 00:20:50,166
debated, swapped back
and forth, and won't be,

430
00:20:50,166 --> 00:20:54,734
if I hear you correctly, unless
and until Republicans agree in

431
00:20:54,734 --> 00:20:59,667
advance that they will drop
their opposition to the tax hike

432
00:20:59,667 --> 00:21:02,466
on the upper 2%.

433
00:21:02,467 --> 00:21:05,600
Mr. Carney:
Well, I guess it's a question
of semantics in terms of what

434
00:21:05,600 --> 00:21:06,667
negotiations mean.

435
00:21:06,667 --> 00:21:09,833
But we have obviously had
meetings and we've had

436
00:21:09,834 --> 00:21:11,200
discussions and we've
had phone calls,

437
00:21:11,200 --> 00:21:15,433
and we've presented ideas and
ideas have been presented to us.

438
00:21:15,433 --> 00:21:17,900
But this is -- on
the issue of --

439
00:21:17,900 --> 00:21:19,900
on the revenue side, I think the
President could not have been

440
00:21:19,900 --> 00:21:22,967
more clear, and I will
reiterate the clarity,

441
00:21:22,967 --> 00:21:23,967
which is he will not sign --

442
00:21:23,967 --> 00:21:24,767
The Press:
Right.

443
00:21:24,767 --> 00:21:25,734
So nothing happens
until they agree --

444
00:21:25,734 --> 00:21:26,699
is that what you're saying?

445
00:21:26,700 --> 00:21:27,934
Mr. Carney:
Well, no, because we've
put forward spending cuts.

446
00:21:27,934 --> 00:21:28,667
And if --

447
00:21:28,667 --> 00:21:29,766
The Press:
Yeah, but you put them
forward a long time ago.

448
00:21:29,767 --> 00:21:31,633
They were written
into a budget and --

449
00:21:31,633 --> 00:21:34,133
Mr. Carney:
Right, and they achieve a
significant amount of savings.

450
00:21:34,133 --> 00:21:34,900
And if the --

451
00:21:34,900 --> 00:21:36,400
The Press:
The other side says they
don't, they're never going to

452
00:21:36,400 --> 00:21:37,333
pass on that --

453
00:21:37,333 --> 00:21:38,200
Mr. Carney:
Do they?

454
00:21:38,200 --> 00:21:40,133
Because the math doesn't
back up their words,

455
00:21:40,133 --> 00:21:41,333
which is frequently the case.

456
00:21:41,333 --> 00:21:43,333
They do achieve
significant savings.

457
00:21:43,333 --> 00:21:47,467
And what distinguishes them from
spending cut proposals by the

458
00:21:47,467 --> 00:21:50,633
Republicans is they exist
and they're in detail.

459
00:21:50,633 --> 00:21:56,200
So what the President believes
is that there is an opportunity

460
00:21:56,200 --> 00:21:59,500
for a deal here, for
a compromise here,

461
00:21:59,500 --> 00:22:02,367
one that achieves security
for the middle class,

462
00:22:02,367 --> 00:22:05,899
certainty for the middle class
by extending those tax cuts for

463
00:22:05,900 --> 00:22:08,734
the middle class, and one that
deals with the fiscal cliff and

464
00:22:08,734 --> 00:22:12,066
one that broadly puts us on
a sustainable fiscal path.

465
00:22:12,066 --> 00:22:13,433
That opportunity exists.

466
00:22:13,433 --> 00:22:15,700
But here's the thing.

467
00:22:15,700 --> 00:22:17,800
You have reported -- I don't know if you personally,

468
00:22:17,800 --> 00:22:22,166
but many of you in this room have reported on the offer we

469
00:22:22,166 --> 00:22:26,600
made earlier this week, which actually does reduce the amount

470
00:22:26,600 --> 00:22:30,600
of revenue that the President believes should be part of

471
00:22:30,600 --> 00:22:32,332
this package.

472
00:22:32,333 --> 00:22:35,767
Again, but we're not going to
just negotiate with ourselves.

473
00:22:35,767 --> 00:22:39,533
What we have not seen is any
specificity from the Republicans

474
00:22:39,533 --> 00:22:45,667
or any indication from the
leadership that they're going to

475
00:22:45,667 --> 00:22:50,367
accept the basic principle that
wealthier Americans are going to

476
00:22:50,367 --> 00:22:54,767
pay higher rates, rates that
were in place under the Clinton

477
00:22:54,767 --> 00:22:59,033
administration when this
economy grew rapidly,

478
00:22:59,033 --> 00:23:02,966
the middle class saw its incomes
rise and the wealthy did very

479
00:23:02,967 --> 00:23:04,400
well, to boot.

480
00:23:04,400 --> 00:23:07,100
The Press:
But if you're saying that no
negotiation can really begin

481
00:23:07,100 --> 00:23:09,033
until they accept your
first principle --

482
00:23:09,033 --> 00:23:10,332
Mr. Carney:
That's not what
I'm saying, Bill.

483
00:23:10,333 --> 00:23:11,233
That's what you're saying.

484
00:23:11,233 --> 00:23:11,899
The Press:
-- and if the Speaker is
saying no negotiation really

485
00:23:11,900 --> 00:23:12,867
can begin --

486
00:23:12,867 --> 00:23:14,667
Mr. Carney:
Negotiation is taking place
and we've put forward offers.

487
00:23:14,667 --> 00:23:17,966
And what we have not seen from
the Republicans is any movement

488
00:23:17,967 --> 00:23:20,367
at all on the
fundamental issue here.

489
00:23:20,367 --> 00:23:22,466
The Press:
Jay, tax reform is
a big piece of this.

490
00:23:22,467 --> 00:23:25,600
You were outspoken in the last
campaign about saying Mitt

491
00:23:25,600 --> 00:23:28,833
Romney's use of offshore
accounts while legal

492
00:23:28,834 --> 00:23:31,400
was not fair.

493
00:23:31,400 --> 00:23:35,300
Do you share the same concern,
level of concern about Google

494
00:23:35,300 --> 00:23:37,899
and Eric Schmidt, who has been
an advisor to the President,

495
00:23:37,900 --> 00:23:41,734
informal advisor, using accounts
in Bermuda to not pay their fair

496
00:23:41,734 --> 00:23:42,734
share of taxes?

497
00:23:42,734 --> 00:23:43,734
Mr. Carney:
I'm not even aware
of that story,

498
00:23:43,734 --> 00:23:44,699
so I don't have an opinion.

499
00:23:44,700 --> 00:23:45,734
The Press:
There were several reports
in that last couple of days.

500
00:23:45,734 --> 00:23:47,867
Mr. Carney:
I've been focused on the
fiscal cliff, on Syria,

501
00:23:47,867 --> 00:23:51,399
on North Korea -- so I'm
not aware of those stories.

502
00:23:51,400 --> 00:23:54,600
The Press:
Democrats have talked up the NBC
News/Wall Street Journal poll,

503
00:23:54,600 --> 00:23:58,199
because it pretty much hit the
election in the weeks and months

504
00:23:58,200 --> 00:24:00,367
leading up to it in terms of
how it was going to turn out.

505
00:24:00,367 --> 00:24:02,899
Mr. Carney:
And what's the Republican view?

506
00:24:02,900 --> 00:24:04,934
The Press:
They don't like
that poll as much.

507
00:24:04,934 --> 00:24:08,133
They had a poll last night that
said if we go off the fiscal

508
00:24:08,133 --> 00:24:11,000
cliff and we can't get a
compromise, who's to blame?

509
00:24:11,000 --> 00:24:12,834
Nineteen percent said the
President and Democrats,

510
00:24:12,834 --> 00:24:18,533
24% said Republicans, and 56%
say they'd be equally at blame.

511
00:24:18,533 --> 00:24:20,966
How does that square with you
saying in recent weeks that if

512
00:24:20,967 --> 00:24:22,800
we go off the cliff, this is
all the Republicans' fault?

513
00:24:22,800 --> 00:24:24,100
That's not what the
people seem to be saying.

514
00:24:24,100 --> 00:24:25,199
Mr. Carney:
Well, I haven't said that.

515
00:24:25,200 --> 00:24:28,800
I've said -- you've never heard me say if we go off the cliff,

516
00:24:28,800 --> 00:24:30,934
the American people will
blame one side or the other.

517
00:24:30,934 --> 00:24:33,466
What I have said is the American
people support the President's

518
00:24:33,467 --> 00:24:35,133
position overwhelmingly.

519
00:24:35,133 --> 00:24:38,367
And that was demonstrated in
exit polls from the election.

520
00:24:38,367 --> 00:24:41,466
It's been demonstrated
in polls ever since.

521
00:24:41,467 --> 00:24:44,367
And that's just a fact, and
it was an uncomfortable fact.

522
00:24:44,367 --> 00:24:47,734
But the proposition that
middle-class Americans should

523
00:24:47,734 --> 00:24:52,966
have their taxes go up on average of $2,000 if wealthy

524
00:24:52,967 --> 00:24:56,166
Americans don't get a tax cut I think is bad politics as well as

525
00:24:56,166 --> 00:24:57,367
bad policy.

526
00:24:57,367 --> 00:25:02,066
And the American people
have responded that way.

527
00:25:02,066 --> 00:25:05,700
The fact that Americans do
not like to see dysfunction in

528
00:25:05,700 --> 00:25:11,166
Washington is not a new fact and
it certainly is not surprising.

529
00:25:11,166 --> 00:25:16,332
But we are trying very hard to
reach a broad agreement that

530
00:25:16,333 --> 00:25:20,467
achieves not just a mitigation
of the fiscal cliff and avoids

531
00:25:20,467 --> 00:25:23,367
that coming to pass,
but more broadly,

532
00:25:23,367 --> 00:25:26,033
actually achieves
deficit reduction,

533
00:25:26,033 --> 00:25:29,100
a goal which supposedly the
Republican Party shares,

534
00:25:29,100 --> 00:25:32,233
even though when they were in
control last time we saw record

535
00:25:32,233 --> 00:25:35,533
deficits, and deficits went
down under President Clinton.

536
00:25:35,533 --> 00:25:37,934
I mean, there's a little
history lesson that needs to

537
00:25:37,934 --> 00:25:38,934
be learned here.

538
00:25:38,934 --> 00:25:42,966
But the fact is this President
is committed to sensible deficit

539
00:25:42,967 --> 00:25:46,400
reduction that helps our economy
grow and that insulates the

540
00:25:46,400 --> 00:25:48,800
middle class from
bearing the burden that,

541
00:25:48,800 --> 00:25:52,367
unfortunately thus far,
Republican proposals --

542
00:25:52,367 --> 00:25:53,834
Republicans would
like to see them bear.

543
00:25:53,834 --> 00:25:55,333
The Press:
As a last question, you're
saying the President is

544
00:25:55,333 --> 00:25:57,033
committed to getting this done.

545
00:25:57,033 --> 00:25:59,166
To follow up on Bill, in
terms of negotiations --

546
00:25:59,166 --> 00:26:00,399
and the public is
saying, this poll,

547
00:26:00,400 --> 00:26:04,033
56% think the parties would be
equally to blame -- why not --

548
00:26:04,033 --> 00:26:06,632
with Jessica saying Speaker
Boehner is leaving town,

549
00:26:06,633 --> 00:26:09,066
why isn't the President bringing
the leaders over here and just

550
00:26:09,066 --> 00:26:11,100
saying -- as you've
said over and over --

551
00:26:11,100 --> 00:26:12,166
Mr. Carney:
Speaker Boehner was here --

552
00:26:12,166 --> 00:26:13,300
The Press:
Earlier in this process
you dismissed that idea,

553
00:26:13,300 --> 00:26:14,233
but now it's late --

554
00:26:14,233 --> 00:26:15,600
Mr. Carney:
Speaker Boehner was
here a few days ago.

555
00:26:15,600 --> 00:26:16,966
The Press:
-- and you just said the
parameters of the debate are

556
00:26:16,967 --> 00:26:18,600
obvious -- okay, you said
parameters are obvious here.

557
00:26:18,600 --> 00:26:20,800
So why doesn't the President
bring the Speaker in here and

558
00:26:20,800 --> 00:26:22,000
just get this thing done?

559
00:26:22,000 --> 00:26:26,900
Mr. Carney:
I'm sure that if -- first
of all, the Speaker of the

560
00:26:26,900 --> 00:26:28,100
House was here.

561
00:26:28,100 --> 00:26:30,699
The President has spoken to the
Speaker of the House recently.

562
00:26:30,700 --> 00:26:32,367
The Speaker physically
was here Sunday;

563
00:26:32,367 --> 00:26:34,100
the President has spoken
with the Speaker since then.

564
00:26:34,100 --> 00:26:35,600
The Press:
It's now Thursday and
we're getting closer.

565
00:26:35,600 --> 00:26:39,166
Mr. Carney:
Every time that you guys seem to
think that a physical meeting is

566
00:26:39,166 --> 00:26:46,300
the elixir to all our ills, I
think it would behoove you to

567
00:26:46,300 --> 00:26:48,767
ask the Speaker if
he believes that,

568
00:26:48,767 --> 00:26:51,800
or ask the House Majority
Leader if he believes that.

569
00:26:51,800 --> 00:26:54,934
We have put forward proposals.

570
00:26:54,934 --> 00:26:57,300
We have received proposals.

571
00:26:57,300 --> 00:26:58,867
The process continues.

572
00:26:58,867 --> 00:27:04,633
There are clear obstacles here,
the principle one being the

573
00:27:04,633 --> 00:27:09,734
rather amazing insistence -- given the road we've traveled

574
00:27:09,734 --> 00:27:13,433
these past several years, given the degree to which this was

575
00:27:13,433 --> 00:27:18,734
debated, the degree to which independent economists back up

576
00:27:18,734 --> 00:27:21,632
the President's position -- we still have this insistence that

577
00:27:21,633 --> 00:27:24,533
we're not going to do anything that doesn't include tax cuts

578
00:27:24,533 --> 00:27:26,699
for the wealthy from
the Republicans.

579
00:27:26,700 --> 00:27:30,667
And that's just not
acceptable to the President.

580
00:27:30,667 --> 00:27:33,632
The Press:
If I could just interject -- the Speaker's office says there is

581
00:27:33,633 --> 00:27:36,500
cell phone coverage in Ohio,
and if the President wants to

582
00:27:36,500 --> 00:27:37,500
talk they can.

583
00:27:37,500 --> 00:27:39,166
Mr. Carney:
And there's actually
hard lines here,

584
00:27:39,166 --> 00:27:41,332
and I think the
Speaker knows that.

585
00:27:41,333 --> 00:27:42,467
The Press:
But will he be talking to him?

586
00:27:42,467 --> 00:27:44,233
Mr. Carney:
I don't have any phone
calls or conversations to

587
00:27:44,233 --> 00:27:45,133
preview for you.

588
00:27:45,133 --> 00:27:45,934
Kristen.

589
00:27:45,934 --> 00:27:46,834
The Press:
Jay, thanks.

590
00:27:46,834 --> 00:27:48,266
I want to go back to the
issue of the debt ceiling.

591
00:27:48,266 --> 00:27:50,033
You compare it to
the McConnell plan.

592
00:27:50,033 --> 00:27:51,533
Republicans push
back against that.

593
00:27:51,533 --> 00:27:54,033
They say the McConnell plan was
never meant to be permanent and

594
00:27:54,033 --> 00:27:57,000
it also came with a guaranteed
amount of spending cuts.

595
00:27:57,000 --> 00:27:59,166
They say the President's
plan does not come with that.

596
00:27:59,166 --> 00:28:01,300
Mr. Carney:
No, the McConnell plan was separate from the spending cuts

597
00:28:01,300 --> 00:28:04,934
that were part of the
Affordable Care Act.

598
00:28:04,934 --> 00:28:07,367
The Press:
Well, the concern is -- and House Speaker John Boehner said

599
00:28:07,367 --> 00:28:09,399
today that the debt ceiling brings fiscal sanity

600
00:28:09,400 --> 00:28:10,200
to Washington.

601
00:28:10,200 --> 00:28:11,500
Why is that not true?

602
00:28:11,500 --> 00:28:14,533
Why shouldn't you have to get --

603
00:28:14,533 --> 00:28:17,132
Mr. Carney:
I think you ought to ask the
Speaker if in the 1990s when

604
00:28:17,133 --> 00:28:21,500
Bill Clinton was President and
Washington was able to erase

605
00:28:21,500 --> 00:28:25,467
deficits for the first time in
decades and create surpluses for

606
00:28:25,467 --> 00:28:29,500
the first time in decades --
Speaker Boehner was here,

607
00:28:29,500 --> 00:28:36,800
he should remember -- did Congress then flirt with default

608
00:28:36,800 --> 00:28:38,066
when the debt
ceiling was raised?

609
00:28:38,066 --> 00:28:39,533
The answer is no.

610
00:28:39,533 --> 00:28:43,033
Did Congress under President George W. Bush flirt with

611
00:28:43,033 --> 00:28:49,199
default and cause the markets alarm and our economy to slow

612
00:28:49,200 --> 00:28:52,633
down and job creation to slow down because one party or the

613
00:28:52,633 --> 00:28:55,133
other had demands that
insisted on being met?

614
00:28:55,133 --> 00:28:56,266
The answer is no.

615
00:28:56,266 --> 00:28:58,567
That has happened once,
and it happened last year,

616
00:28:58,567 --> 00:29:01,967
and Speaker Boehner was
Speaker of the House.

617
00:29:01,967 --> 00:29:06,467
That is why the President
believes we need to take --

618
00:29:06,467 --> 00:29:09,734
I understand that it was a -- the McConnell plan was passed

619
00:29:09,734 --> 00:29:12,399
once, and we believe we ought
to take it up again and pass it

620
00:29:12,400 --> 00:29:17,333
again, because the American economy cannot afford the

621
00:29:17,333 --> 00:29:21,333
consequences of that kind
of political gamesmanship.

622
00:29:21,333 --> 00:29:25,400
It's just -- it is unconscionable to imagine that

623
00:29:25,400 --> 00:29:32,533
because Congress insists it be so that the entire economy could

624
00:29:32,533 --> 00:29:35,100
default and that for the first time in our history we would not

625
00:29:35,100 --> 00:29:36,100
pay our bills.

626
00:29:36,100 --> 00:29:38,800
Because remember as I said
before, the debt ceiling is --

627
00:29:38,800 --> 00:29:42,265
raising the debt ceiling merely
gives Congress the capacity to

628
00:29:42,266 --> 00:29:44,133
pay for the work
they've already done.

629
00:29:44,133 --> 00:29:46,166
The Press:
No, it gives them the
power to borrow more.

630
00:29:46,166 --> 00:29:48,332
Mr. Carney:
To pay for the work that
they've already done.

631
00:29:48,333 --> 00:29:49,533
The Press:
But to borrow more money.

632
00:29:49,533 --> 00:29:50,433
Mr. Carney:
Correct.

633
00:29:50,433 --> 00:29:51,333
The Press:
And raise the debt.

634
00:29:51,333 --> 00:29:53,967
Mr. Carney:
Okay, so the alternative,
which is default,

635
00:29:53,967 --> 00:29:58,166
is to not pay for the bills
that Congress has incurred.

636
00:29:58,166 --> 00:30:00,300
The Press:
And, Jay, I'm not disputing
that it's a difficult process.

637
00:30:00,300 --> 00:30:04,233
But isn't this the best way
to keep deficits in check?

638
00:30:04,233 --> 00:30:06,600
Mr. Carney:
Again, I could go over
the history again.

639
00:30:06,600 --> 00:30:09,600
In our lifetimes,
certainly yours,

640
00:30:09,600 --> 00:30:12,699
the last time and the only time
that deficits have turned into

641
00:30:12,700 --> 00:30:14,667
surpluses -- I just mean
that I'm a lot older.

642
00:30:14,667 --> 00:30:17,065
(laughter)

643
00:30:17,066 --> 00:30:18,533
But my lifetime, too.

644
00:30:18,533 --> 00:30:21,833
You are still the fountain
of youth by comparison to me.

645
00:30:21,834 --> 00:30:26,166
But I'm pretty sure
in my -- in fact,

646
00:30:26,166 --> 00:30:29,767
I know in my lifetime as well, the only time there have not

647
00:30:29,767 --> 00:30:32,266
been deficits, the only time that the budget has been

648
00:30:32,266 --> 00:30:35,967
balanced, the only time that we have been creating surpluses was

649
00:30:35,967 --> 00:30:37,633
under President Bill Clinton.

650
00:30:37,633 --> 00:30:40,667
And we did not have this
kind of gamesmanship.

651
00:30:40,667 --> 00:30:44,065
We did not have members of
Congress threatening to default.

652
00:30:44,066 --> 00:30:44,834
It's absolutely the
wrong thing to do.

653
00:30:44,834 --> 00:30:47,934
It's damaging to the economy.

654
00:30:47,934 --> 00:30:49,966
It's punishing to
the middle class.

655
00:30:49,967 --> 00:30:54,500
And if the position is that the
middle class ought to have its

656
00:30:54,500 --> 00:31:04,000
taxes go up and then get stuck
again because of a refusal of

657
00:31:04,000 --> 00:31:07,133
Congress to do its job, that's
just absolutely unacceptable.

658
00:31:07,133 --> 00:31:08,700
The Press:
I want to ask one on Syria.

659
00:31:08,700 --> 00:31:10,333
Jay, based on your
comments yesterday,

660
00:31:10,333 --> 00:31:13,867
it appears as though there are
no plans to interfere militarily

661
00:31:13,867 --> 00:31:14,567
in Syria.

662
00:31:14,567 --> 00:31:16,934
But does the President worry
that this sends a message to

663
00:31:16,934 --> 00:31:19,767
Assad that he can use Scud
missiles and other types of

664
00:31:19,767 --> 00:31:21,967
weapons against his own
people without the fear

665
00:31:21,967 --> 00:31:23,200
of international --

666
00:31:23,200 --> 00:31:24,200
Mr. Carney:
Absolutely not.

667
00:31:24,200 --> 00:31:33,133
We have explicitly condemned
the use of missiles.

668
00:31:33,133 --> 00:31:38,433
It is just another demonstration
of the utter depravity of the

669
00:31:38,433 --> 00:31:44,433
Assad regime and the lengths
to which he will go to

670
00:31:44,433 --> 00:31:45,700
retain power.

671
00:31:45,700 --> 00:31:50,266
The assault on his own
people has been heinous.

672
00:31:50,266 --> 00:31:56,100
It has been proof that he's a
tyrant and proof that he has no

673
00:31:56,100 --> 00:31:57,367
place in Syria's history.

674
00:31:57,367 --> 00:31:59,466
And we have joined our
international partners in

675
00:31:59,467 --> 00:32:00,533
condemning it.

676
00:32:00,533 --> 00:32:03,265
We have joined our international
partners in providing a variety

677
00:32:03,266 --> 00:32:05,967
of forms of aid to both
the Syrian people and the

678
00:32:05,967 --> 00:32:07,300
Syrian opposition.

679
00:32:07,300 --> 00:32:09,367
I believe we have made
announcements of additional aid

680
00:32:09,367 --> 00:32:10,767
that we're providing.

681
00:32:10,767 --> 00:32:14,700
And we will continue to take
that path because Syria's future

682
00:32:14,700 --> 00:32:20,400
cannot include the kind of
leader who would launch missiles

683
00:32:20,400 --> 00:32:23,467
against his own people,
slaughter them in the way that

684
00:32:23,467 --> 00:32:26,867
he has, repeatedly, over
the past year or so.

685
00:32:26,867 --> 00:32:28,300
And it's unacceptable.

686
00:32:28,300 --> 00:32:31,700
The Press:
Given the escalation, is he in
any way considering his red line

687
00:32:31,700 --> 00:32:32,700
in Syria?

688
00:32:32,700 --> 00:32:35,834
Mr. Carney:
Our policy remains what it was,
and we obviously consult with

689
00:32:35,834 --> 00:32:37,433
our allies and others
and evaluate the

690
00:32:37,433 --> 00:32:39,633
situation regularly.

691
00:32:39,633 --> 00:32:44,533
But we believe that providing
continued support to the Syrian

692
00:32:44,533 --> 00:32:47,100
people as well as non-lethal
support to the opposition is the

693
00:32:47,100 --> 00:32:48,100
right approach.

694
00:32:48,100 --> 00:32:51,600
We've been very engaged in
assisting the opposition

695
00:32:51,600 --> 00:32:52,766
unify itself.

696
00:32:52,767 --> 00:32:56,200
We recognized the Syrian
Opposition Coalition just this

697
00:32:56,200 --> 00:32:58,300
week as the legitimate
representative of the

698
00:32:58,300 --> 00:32:59,800
Syrian people.

699
00:32:59,800 --> 00:33:03,633
And we will continue to work
with our partners to isolate

700
00:33:03,633 --> 00:33:07,767
Assad and to help bring about
the day when the Syrian people

701
00:33:07,767 --> 00:33:11,333
can decide for themselves on a
better future for their country.

702
00:33:11,333 --> 00:33:13,033
Jon Christopher.

703
00:33:13,033 --> 00:33:16,600
The Press:
Fiscal cliff: We are way
beyond the early stage,

704
00:33:16,600 --> 00:33:19,199
and the international
markets are very concerned.

705
00:33:19,200 --> 00:33:21,600
Instability is something
that they deplore.

706
00:33:21,600 --> 00:33:25,466
Is there one more thing you can
say to calm or quell the fears

707
00:33:25,467 --> 00:33:27,767
that international
finance has --

708
00:33:27,767 --> 00:33:29,567
Mr. Carney:
Look, I think that
the parameters of an

709
00:33:29,567 --> 00:33:31,767
agreement are clear.

710
00:33:31,767 --> 00:33:34,200
They're not complicated.

711
00:33:34,200 --> 00:33:37,734
And we hope and look forward
to the time when Republicans

712
00:33:37,734 --> 00:33:41,100
acknowledge that revenues not
only have to be part of the

713
00:33:41,100 --> 00:33:44,500
equation, but that rates on top
earners have to go up as part of

714
00:33:44,500 --> 00:33:46,033
the revenue equation.

715
00:33:46,033 --> 00:33:50,332
And when that happens, we
believe that we can reach a deal

716
00:33:50,333 --> 00:33:53,400
fairly quickly, because the
President has made clear that as

717
00:33:53,400 --> 00:33:56,767
part of a balanced package,
spending cuts need to be part of

718
00:33:56,767 --> 00:34:00,066
this and that he's willing to
work with Republicans and make

719
00:34:00,066 --> 00:34:03,667
tough choices to achieve the
kind of balanced package

720
00:34:03,667 --> 00:34:06,166
that he seeks.

721
00:34:06,166 --> 00:34:09,100
The Press:
Senator Durbin said that the
President is no longer open to

722
00:34:09,100 --> 00:34:11,333
raising the Medicare
eligibility age.

723
00:34:11,333 --> 00:34:12,333
Is that the case?

724
00:34:12,333 --> 00:34:15,033
Mr. Carney:
I haven't seen those remarks,
but I can tell you that I'm not

725
00:34:15,033 --> 00:34:16,833
going to negotiate
specifics of the --

726
00:34:16,833 --> 00:34:17,933
I'm not doubting them,
I'm just saying --

727
00:34:17,934 --> 00:34:21,667
I speak for the President,
and I'm not going to get into

728
00:34:21,667 --> 00:34:24,266
details of hypothetical --

729
00:34:24,266 --> 00:34:25,667
The Press:
But he's someone from
your own party from the

730
00:34:25,667 --> 00:34:27,000
President's home state.

731
00:34:27,000 --> 00:34:28,632
Mr. Carney:
Let me take the answer
for the President,

732
00:34:28,632 --> 00:34:31,433
which is that we're not going
to engage in hypotheticals about

733
00:34:31,433 --> 00:34:36,033
what a package would like on the
spending cut side and negotiate

734
00:34:36,033 --> 00:34:37,199
it with the Republicans.

735
00:34:37,199 --> 00:34:39,100
What we will not accept,
I think has been clear,

736
00:34:39,100 --> 00:34:43,766
is the promise of future
revenues achieved miraculously

737
00:34:43,766 --> 00:34:47,632
through means that are so
amazing they won't even be put

738
00:34:47,632 --> 00:34:50,466
on paper, that allow for
extension of tax cuts for the

739
00:34:50,467 --> 00:34:52,967
wealthiest Americans and that
end up sticking it to the middle

740
00:34:52,967 --> 00:34:53,967
class and seniors.

741
00:34:53,967 --> 00:34:55,667
That's not a package the
President will accept.

742
00:34:55,667 --> 00:34:57,500
He is willing to make
hard choices, however,

743
00:34:57,500 --> 00:35:02,000
but he will make hard choices
that make sense for the economy

744
00:35:02,000 --> 00:35:06,066
and for our seniors and our
middle class and our students

745
00:35:06,066 --> 00:35:08,533
and families with
disabled children.

746
00:35:08,533 --> 00:35:10,165
The Press:
Why would Senator
Durbin say that?

747
00:35:10,166 --> 00:35:12,033
Mr. Carney:
I don't speak for
Senator Durbin.

748
00:35:12,033 --> 00:35:13,266
Mara.

749
00:35:13,266 --> 00:35:15,667
The Press:
You said there are clear
red lines on revenue,

750
00:35:15,667 --> 00:35:19,533
no tax cuts for the top 2%.

751
00:35:19,533 --> 00:35:23,967
Are there clear red lines on
entitlements other than keeping

752
00:35:23,967 --> 00:35:26,600
Social Security on a separate
track and not using that as part

753
00:35:26,600 --> 00:35:27,633
of the deficit reduction?

754
00:35:27,633 --> 00:35:30,767
Mr. Carney:
Well, I mean, that's -- there's a broad range of crazy ideas I'm

755
00:35:30,767 --> 00:35:32,000
sure that I could rule out.

756
00:35:32,000 --> 00:35:35,400
But the President is committed
to making sensible choices in

757
00:35:35,400 --> 00:35:41,467
terms of deficit reduction
that ensure the integrity and

758
00:35:41,467 --> 00:35:43,934
sustainability of our very
important entitlement programs

759
00:35:43,934 --> 00:35:44,934
for seniors.

760
00:35:44,934 --> 00:35:49,900
But is voucherization of
Medicare not something the

761
00:35:49,900 --> 00:35:50,900
President would accept?

762
00:35:50,900 --> 00:35:51,900
I think that's fair to say.

763
00:35:51,900 --> 00:35:52,934
But I'm not going to get into --

764
00:35:52,934 --> 00:35:54,166
The Press:
That's the only red
line you draw --

765
00:35:54,166 --> 00:35:55,400
Mr. Carney:
No, that's not
what I said, Mara.

766
00:35:55,400 --> 00:35:56,667
Go back to the
beginning of my answer.

767
00:35:56,667 --> 00:36:00,633
I'm sure there are all sorts of
bad ideas that could be thrown

768
00:36:00,633 --> 00:36:03,066
out there that wouldn't
pass muster and wouldn't

769
00:36:03,066 --> 00:36:04,265
pass Congress.

770
00:36:04,266 --> 00:36:06,633
But I'm not going to negotiate
the details of a sensible

771
00:36:06,633 --> 00:36:08,066
compromise from here.

772
00:36:08,066 --> 00:36:11,399
The Press:
Yesterday, even though Senator
Durbin said what he said,

773
00:36:11,400 --> 00:36:14,100
to Barbara Walters, the
President did not rule out

774
00:36:14,100 --> 00:36:16,066
raising the Medicare
retirement age.

775
00:36:16,066 --> 00:36:20,232
Mr. Carney:
Well, again, the President is
not going to rule in or rule out

776
00:36:20,233 --> 00:36:22,066
things in interviews.

777
00:36:22,066 --> 00:36:25,466
He has been trying to have these
conversations and negotiations

778
00:36:25,467 --> 00:36:27,166
in a constructive way.

779
00:36:27,166 --> 00:36:31,066
What we haven't seen from
Republicans is any specificity

780
00:36:31,066 --> 00:36:33,966
about how they would achieve
the kind of spending reductions,

781
00:36:33,967 --> 00:36:36,633
the levels of spending
reductions that they

782
00:36:36,633 --> 00:36:38,100
claim to seek.

783
00:36:38,100 --> 00:36:40,066
And we look forward to the
time when we can see some

784
00:36:40,066 --> 00:36:41,066
specifics from them.

785
00:36:41,066 --> 00:36:46,767
So I think he like I is not
eager to negotiate the specifics

786
00:36:46,767 --> 00:36:51,133
of a potential compromise
with the media.

787
00:36:51,133 --> 00:36:52,033
Bill.

788
00:36:52,033 --> 00:36:54,767
The Press:
House Majority Leader Eric
Cantor told his members today to

789
00:36:54,767 --> 00:36:57,734
be prepared to stay here through
the weekend before Christmas,

790
00:36:57,734 --> 00:36:59,967
into the holidays if
a deal isn't reached.

791
00:36:59,967 --> 00:37:03,000
What can you tell us about the
President's vacation plans and

792
00:37:03,000 --> 00:37:06,734
any contingencies at the White
House as these negotiations kind

793
00:37:06,734 --> 00:37:08,866
of build into the
holiday season?

794
00:37:08,867 --> 00:37:10,600
Mr. Carney:
I don't have any updates on
the President's schedule.

795
00:37:10,600 --> 00:37:12,232
The President's
schedule is what it is.

796
00:37:12,233 --> 00:37:16,433
And when we have -- if we have
adjustments to that schedule,

797
00:37:16,433 --> 00:37:18,934
we'll make you aware of them.

798
00:37:18,934 --> 00:37:22,900
But right now the President is
focused on what he believes is

799
00:37:22,900 --> 00:37:26,834
an achievable compromise that
would not take very long to put

800
00:37:26,834 --> 00:37:30,600
together if we saw some
specificity and some flexibility

801
00:37:30,600 --> 00:37:31,600
from Republicans.

802
00:37:31,600 --> 00:37:33,734
The Press:
So are you prepared for
this to go into the --

803
00:37:33,734 --> 00:37:35,633
Mr. Carney:
I don't think that's required.

804
00:37:35,633 --> 00:37:41,200
But again, what we hope to
see is some acknowledgement by

805
00:37:41,200 --> 00:37:46,466
Republican leaders that existing
law when it comes to the

806
00:37:46,467 --> 00:37:49,433
Bush-era tax cuts for the
wealthiest Americans should

807
00:37:49,433 --> 00:37:50,433
stay in place.

808
00:37:50,433 --> 00:37:56,166
Those tax rates that provide
generous tax cuts to the top 2%

809
00:37:56,166 --> 00:37:57,166
should not be extending.

810
00:37:57,166 --> 00:37:59,734
The President will not sign
an extension of those rates.

811
00:37:59,734 --> 00:38:06,633
The rest of the country, 98%
of us, should see tax cuts.

812
00:38:06,633 --> 00:38:09,200
Everyone in Washington
agrees on those tax cuts.

813
00:38:09,200 --> 00:38:11,567
The President is eager
to sign those tax cuts,

814
00:38:11,567 --> 00:38:15,066
and he hopes that Republicans in
the House will follow the lead

815
00:38:15,066 --> 00:38:21,066
of the Senate and
pass those tax cuts.

816
00:38:21,066 --> 00:38:24,165
The Press:
Following up on that question,
when does this get to the point

817
00:38:24,166 --> 00:38:27,867
where there's not enough time to
get legislation through Congress

818
00:38:27,867 --> 00:38:30,500
and to the President's
desk to sign it?

819
00:38:30,500 --> 00:38:33,066
Where -- given that the end
of the year is the deadline,

820
00:38:33,066 --> 00:38:36,366
when in December are there
not enough days left?

821
00:38:36,367 --> 00:38:39,333
Mr. Carney:
I think that that's a question that you'd have to ask leaders

822
00:38:39,333 --> 00:38:41,533
in Congress because they
decide the calendar.

823
00:38:41,533 --> 00:38:45,266
They have an even deeper
understanding of the rules than

824
00:38:45,266 --> 00:38:47,834
I do, so I would
refer you to them.

825
00:38:47,834 --> 00:38:48,933
Yes, Steve.

826
00:38:48,934 --> 00:38:50,967
The Press:
Back to Syria.

827
00:38:50,967 --> 00:38:52,967
Russia has said for the first
time that it looks like the

828
00:38:52,967 --> 00:38:53,967
rebels might win.

829
00:38:53,967 --> 00:38:58,967
Does the White House see any
sign in this that Russia is

830
00:38:58,967 --> 00:39:00,233
disengaging from Assad?

831
00:39:00,233 --> 00:39:04,934
And if so, would it represent
an opening for the frustrated

832
00:39:04,934 --> 00:39:08,567
efforts to get rid of
him diplomatically?

833
00:39:08,567 --> 00:39:11,033
Mr. Carney:
Well, I saw those remarks.

834
00:39:11,033 --> 00:39:15,100
I would say that we certainly
agree that Assad will not be a

835
00:39:15,100 --> 00:39:16,967
part of Syria's future.

836
00:39:16,967 --> 00:39:23,667
We have noted as the media has
the progress that the opposition

837
00:39:23,667 --> 00:39:25,799
has been making.

838
00:39:25,800 --> 00:39:28,767
We still believe that for the
sake of the Syrian people Assad

839
00:39:28,767 --> 00:39:30,567
ought to leave now.

840
00:39:30,567 --> 00:39:34,033
He ought to remove
himself from power now,

841
00:39:34,033 --> 00:39:38,700
because it is terrible what
damage he has inflicted on the

842
00:39:38,700 --> 00:39:40,799
Syrian people, the lives that
have been lost because of

843
00:39:40,800 --> 00:39:42,433
his brutality.

844
00:39:42,433 --> 00:39:51,400
But we welcome all progress
in the effort to bring an

845
00:39:51,400 --> 00:39:53,767
understanding of the fact
that Assad has to go,

846
00:39:53,767 --> 00:39:55,799
that he has no place
in Syria's history --

847
00:39:55,800 --> 00:39:57,567
I mean, in Syria's future.

848
00:39:57,567 --> 00:40:00,200
Unfortunately he does have
a place in Syria's history.

849
00:40:00,200 --> 00:40:05,700
But I have no other assessment
to make of those remarks,

850
00:40:05,700 --> 00:40:07,433
which I just saw
before I came out here.

851
00:40:07,433 --> 00:40:08,033
Alexis.

852
00:40:08,033 --> 00:40:09,200
The Press:
Jay, quick question.

853
00:40:09,200 --> 00:40:11,366
The President is going to be
talking to media this afternoon,

854
00:40:11,367 --> 00:40:12,600
local media.

855
00:40:12,600 --> 00:40:15,366
He's been traveling, trying to
apply pressure from the outside

856
00:40:15,367 --> 00:40:17,066
in, talking to the
business community.

857
00:40:17,066 --> 00:40:20,834
Can you give us any examples
of where the President believes

858
00:40:20,834 --> 00:40:24,667
that that -- working from the
outside in is getting closer --

859
00:40:24,667 --> 00:40:27,500
getting everyone closer to a
negotiating deal before the end

860
00:40:27,500 --> 00:40:29,200
of the year?

861
00:40:29,200 --> 00:40:32,133
Mr. Carney:
Well, I can certainly tell you
that in the effort to extend the

862
00:40:32,133 --> 00:40:37,100
payroll tax cut last year and in
the effort to ensure that rates

863
00:40:37,100 --> 00:40:41,266
on student loans didn't double,
the President's approach was

864
00:40:41,266 --> 00:40:47,700
both to work directly with
leaders of Congress and to bring

865
00:40:47,700 --> 00:40:51,100
his position to the American
people out in the country,

866
00:40:51,100 --> 00:40:52,100
and that that strategy, we
believe, proved effective.

867
00:40:52,100 --> 00:41:01,200
And it's entirely sensible,
because these are debates that

868
00:41:01,200 --> 00:41:04,600
are not about obscure subjects
that most Americans don't have

869
00:41:04,600 --> 00:41:07,567
the time to pay attention to;
these are debates that affect

870
00:41:07,567 --> 00:41:09,166
every American's life.

871
00:41:09,166 --> 00:41:13,967
And so he looks forward to every
opportunity to communicate with

872
00:41:13,967 --> 00:41:16,867
the American people where
they live and where they get

873
00:41:16,867 --> 00:41:17,867
their information.

874
00:41:17,867 --> 00:41:20,700
And that's often --
in the latter example,

875
00:41:20,700 --> 00:41:23,165
that's often from
local television,

876
00:41:23,166 --> 00:41:24,934
and that's why he's
doing interviews today.

877
00:41:24,934 --> 00:41:28,100
The Press:
And is it showing -- are there examples of where you can see

878
00:41:28,100 --> 00:41:29,500
the ground shifting now?

879
00:41:29,500 --> 00:41:32,300
Mr. Carney:
Well, I don't have -- I
cannot say that a Republican

880
00:41:32,300 --> 00:41:34,734
congressman who now believes we ought to extend tax cuts for the

881
00:41:34,734 --> 00:41:39,232
middle class and accepts that we will not extend tax cuts for the

882
00:41:39,233 --> 00:41:44,166
top 2% came to that position after he or she saw a local

883
00:41:44,166 --> 00:41:45,166
news report.

884
00:41:45,166 --> 00:41:50,700
But I think that the broader
effect of the campaign and the

885
00:41:50,700 --> 00:41:54,866
debate that we had over this
past year that focused on these

886
00:41:54,867 --> 00:42:01,533
issues, and the President's
continued efforts to explain to

887
00:42:01,533 --> 00:42:04,734
the American people what his
views are and why he's taking

888
00:42:04,734 --> 00:42:07,100
the positions that he's taking
and what he believes the stakes

889
00:42:07,100 --> 00:42:11,133
are has had an effect.

890
00:42:11,133 --> 00:42:14,100
The purpose being that we
believe there ought to be a

891
00:42:14,100 --> 00:42:18,500
compromise where nobody gets
everything that he wants,

892
00:42:18,500 --> 00:42:21,867
but that we all come together to
agree to a package that achieves

893
00:42:21,867 --> 00:42:24,233
something that would be very
beneficial to this country's

894
00:42:24,233 --> 00:42:27,734
economy, which a long-term
deficit reduction deal that

895
00:42:27,734 --> 00:42:29,967
protects the middle class,
that helps the economy grow and

896
00:42:29,967 --> 00:42:33,100
create jobs, that ensures that
we continue to invest in areas

897
00:42:33,100 --> 00:42:36,633
that will help the economy grow
long term and that brings down

898
00:42:36,633 --> 00:42:40,567
our deficits in a way that puts
us on a fiscally sustainable

899
00:42:40,567 --> 00:42:45,133
path -- that's a goal that I believe, the President believes,

900
00:42:45,133 --> 00:42:49,265
many share here in Washington,
both Democrats and Republicans,

901
00:42:49,266 --> 00:42:54,467
and he looks forward to the
opportunity to achieve it.

902
00:42:54,467 --> 00:42:59,734
The Press:
Jay, a follow-up to what
you said to Kristen really.

903
00:42:59,734 --> 00:43:02,433
I, too, am old enough to
remember the mid-'90s.

904
00:43:02,433 --> 00:43:03,633
And I'm old enough
to remember --

905
00:43:03,633 --> 00:43:04,633
Mr. Carney:
Kristen remembers that.

906
00:43:04,633 --> 00:43:08,700
I just mean that -- I just want to be clear that the only time

907
00:43:08,700 --> 00:43:14,567
in her lifetime there's been a
surplus was under Bill Clinton.

908
00:43:14,567 --> 00:43:18,367
The Press:
But before, in '95
and '96, I remember,

909
00:43:18,367 --> 00:43:19,834
before the budgets
were balanced,

910
00:43:19,834 --> 00:43:22,299
we had two major
government shutdowns.

911
00:43:22,300 --> 00:43:25,567
And it became very personal,
the negotiations became

912
00:43:25,567 --> 00:43:26,867
very personal.

913
00:43:26,867 --> 00:43:29,700
Don't we run the risk of this
becoming a personal kind of

914
00:43:29,700 --> 00:43:32,966
thing with this crisis?

915
00:43:32,967 --> 00:43:36,000
Mr. Carney:
Well, I'm not sure
about that assessment.

916
00:43:36,000 --> 00:43:41,433
I think that President Clinton
and then-Speaker Gingrich

917
00:43:41,433 --> 00:43:45,667
continued to talk and negotiate,
even though they came at it from

918
00:43:45,667 --> 00:43:46,667
different points of view.

919
00:43:46,667 --> 00:43:48,933
And I don't think that's very
different from the situation

920
00:43:48,934 --> 00:43:50,333
we have now.

921
00:43:50,333 --> 00:43:53,600
At the personal level, I think
and I know that the President

922
00:43:53,600 --> 00:43:57,366
likes and respects Speaker
Boehner and has good relations

923
00:43:57,367 --> 00:43:59,600
with congressional
leaders of both parties,

924
00:43:59,600 --> 00:44:03,667
as well as rank-and-file
members in both parties.

925
00:44:03,667 --> 00:44:05,500
And that's a good thing.

926
00:44:05,500 --> 00:44:10,967
But the most important thing
is that we here in Washington

927
00:44:10,967 --> 00:44:13,333
respond to and listen
to the American people,

928
00:44:13,333 --> 00:44:17,333
and we make the tough choices
that we believe are right for

929
00:44:17,333 --> 00:44:19,000
the economy and for
the middle class.

930
00:44:19,000 --> 00:44:21,400
And that's why he hopes that
Republicans in the House will

931
00:44:21,400 --> 00:44:23,600
pass tax cuts for
the middle class;

932
00:44:23,600 --> 00:44:27,500
why he hopes Republican
leaders will agree to the basic

933
00:44:27,500 --> 00:44:30,834
principle that in order to
achieve the kind of deficit

934
00:44:30,834 --> 00:44:33,033
reduction that's
necessary and balanced,

935
00:44:33,033 --> 00:44:36,667
we need rates to go
up on top earners.

936
00:44:36,667 --> 00:44:40,400
And then, we can move forward
with a package that includes

937
00:44:40,400 --> 00:44:44,300
tough spending cuts, but
spending cuts that are sensible

938
00:44:44,300 --> 00:44:46,266
and make sure that we achieve
the balance the President

939
00:44:46,266 --> 00:44:49,734
believes is both the right way
to go and that the American

940
00:44:49,734 --> 00:44:51,734
people want to see.

941
00:44:51,734 --> 00:44:54,100
The Press:
They're not slamming the phone
down on each other or anything?

942
00:44:54,100 --> 00:44:59,366
Mr. Carney:
I have never seen that
happen on this end.

943
00:44:59,367 --> 00:45:01,166
The Press:
Two questions on North Korea.

944
00:45:01,166 --> 00:45:06,567
A few years ago, Defense
Secretary Gates said that North

945
00:45:06,567 --> 00:45:10,967
Korea's attempt to develop an
ICBM program could in a number

946
00:45:10,967 --> 00:45:14,133
of years pose a direct threat
to the American homeland.

947
00:45:14,133 --> 00:45:16,633
The North Koreans have now
successfully put a long-range

948
00:45:16,633 --> 00:45:17,533
missile into orbit.

949
00:45:17,533 --> 00:45:20,165
I'm wondering whether you
believe, the President believes,

950
00:45:20,166 --> 00:45:24,200
that the American people should
feel directly threatened by what

951
00:45:24,200 --> 00:45:26,100
the North Koreans did this week.

952
00:45:26,100 --> 00:45:28,400
And then, the second
is, the Chinese,

953
00:45:28,400 --> 00:45:30,934
as they often do in
a case like this,

954
00:45:30,934 --> 00:45:33,700
have been extremely
muted in their response,

955
00:45:33,700 --> 00:45:37,866
I think expressing regret but
little more about what happened.

956
00:45:37,867 --> 00:45:39,633
Is the President frustrated?

957
00:45:39,633 --> 00:45:42,066
And would he like the Chinese
to take a tougher line

958
00:45:42,066 --> 00:45:43,533
with Pyongyang?

959
00:45:43,533 --> 00:45:46,000
Mr. Carney:
On the second question, I think
you've seen us be very explicit

960
00:45:46,000 --> 00:45:50,767
about our desire to have China
exert the influence that it has

961
00:45:50,767 --> 00:45:51,899
on North Korea.

962
00:45:51,900 --> 00:45:53,400
I think that the
Chinese, in our view,

963
00:45:53,400 --> 00:45:56,433
have made clear both prior to
this launch and in the aftermath

964
00:45:56,433 --> 00:45:58,166
of the launch their
opposition to it.

965
00:45:58,166 --> 00:46:00,333
And that, we believe,
is a positive thing.

966
00:46:00,333 --> 00:46:06,934
On the broader issue, there is
no question that North Korea's

967
00:46:06,934 --> 00:46:10,266
flagrant violation of United
Nations Security Council

968
00:46:10,266 --> 00:46:15,867
resolutions that apply to its
nuclear program and to its

969
00:46:15,867 --> 00:46:20,200
ballistic missile program
matters of serious concern.

970
00:46:20,200 --> 00:46:22,466
And that continues
to be the case.

971
00:46:22,467 --> 00:46:26,400
And that's why we have spoken
out so clearly against this

972
00:46:26,400 --> 00:46:29,367
action and why we are working
with our partners up in New York

973
00:46:29,367 --> 00:46:32,266
at the United Nations
on the Security Council

974
00:46:32,266 --> 00:46:34,400
discussing next steps.

975
00:46:34,400 --> 00:46:40,700
There will be consequences
for this decision.

976
00:46:40,700 --> 00:46:45,265
And that is because we
are, rightly, concerned,

977
00:46:45,266 --> 00:46:48,266
with our international partners,
about this development.

978
00:46:48,266 --> 00:46:49,266
But let's be clear.

979
00:46:49,266 --> 00:46:51,600
Under this President we have
marshaled an international

980
00:46:51,600 --> 00:46:58,066
consensus about North Korean
behavior and applied the kind of

981
00:46:58,066 --> 00:47:05,667
sanctions that have further
isolated and brought pain to the

982
00:47:05,667 --> 00:47:10,232
North Korean leadership,
which is entirely appropriate.

983
00:47:10,233 --> 00:47:11,767
But it is a matter of concern.

984
00:47:11,767 --> 00:47:13,133
The Press:
But, Jay, I guess
what I'm asking is --

985
00:47:13,133 --> 00:47:14,332
Mr. Carney:
But in terms of what
Secretary Gates said,

986
00:47:14,333 --> 00:47:18,467
I don't have a timeline for
you, but we certainly believe,

987
00:47:18,467 --> 00:47:22,367
as demonstrated by what
we've said in reaction to it,

988
00:47:22,367 --> 00:47:28,200
that this kind of violation
of North Korea's international

989
00:47:28,200 --> 00:47:30,165
obligations is a serious matter.

990
00:47:30,166 --> 00:47:32,166
The Press:
I guess -- just one
more shot at this.

991
00:47:32,166 --> 00:47:35,467
The issue up until now has
been primarily regional;

992
00:47:35,467 --> 00:47:36,834
it's a threat to
the South Koreans,

993
00:47:36,834 --> 00:47:38,366
it's a threat to the Japanese.

994
00:47:38,367 --> 00:47:40,900
But no one has really thought
that these missiles were

995
00:47:40,900 --> 00:47:44,233
technologically capable of
reaching the American homeland.

996
00:47:44,233 --> 00:47:45,500
Is that still the view?

997
00:47:45,500 --> 00:47:49,667
Mr. Carney:
Well, I think it's certainly
still the view that is the case,

998
00:47:49,667 --> 00:47:53,000
but I don't have a timeline for
you and I would simply refer

999
00:47:53,000 --> 00:47:55,100
back to Secretary
Gates's comments.

1000
00:47:55,100 --> 00:47:58,333
But I would also note that
one of the reasons why this

1001
00:47:58,333 --> 00:48:05,600
President has pursued missile
defense that is oriented towards

1002
00:48:05,600 --> 00:48:09,232
threats that we perceive
as real is so important.

1003
00:48:09,233 --> 00:48:12,500
And that includes, obviously,
North Korea as well as Iran.

1004
00:48:12,500 --> 00:48:18,667
So we're pursuing this issue
from a variety of fronts because

1005
00:48:18,667 --> 00:48:20,767
we consider it to
be very serious.

1006
00:48:20,767 --> 00:48:21,834
The Press:
Thanks, Jay.

1007
00:48:21,834 --> 00:48:22,799
Mr. Carney:
Last one.

1008
00:48:22,800 --> 00:48:23,834
The Press:
Thank you, Jay.

1009
00:48:23,834 --> 00:48:25,734
How would you compare the
situation with North Korea and

1010
00:48:25,734 --> 00:48:26,366
with Iran?

1011
00:48:26,367 --> 00:48:29,433
Are they on the same -- is it the same dynamics that you seek

1012
00:48:29,433 --> 00:48:33,734
a Security Council resolution that there will be timelines,

1013
00:48:33,734 --> 00:48:34,799
there will be red lines?

1014
00:48:34,800 --> 00:48:38,533
Or is North Korea a
different case than Iran?

1015
00:48:38,533 --> 00:48:41,600
Mr. Carney:
Well, they are certainly
at different stages in the

1016
00:48:41,600 --> 00:48:44,232
developments of their
prohibitive programs,

1017
00:48:44,233 --> 00:48:47,266
and there are
different countries --

1018
00:48:47,266 --> 00:48:50,333
there are in some ways
different issues at stake.

1019
00:48:50,333 --> 00:48:58,900
But the overall principle
that Iran ought to forsake its

1020
00:48:58,900 --> 00:49:03,133
nuclear weapons program, abide
by its international obligations

1021
00:49:03,133 --> 00:49:07,265
and thereby end
its pariah status,

1022
00:49:07,266 --> 00:49:11,333
re-enter the international
community and enjoy the benefits

1023
00:49:11,333 --> 00:49:13,333
thereof applies to North Korea.

1024
00:49:13,333 --> 00:49:17,000
And North Korea ought to cease
violation of its international

1025
00:49:17,000 --> 00:49:22,433
obligations and take the
necessary steps to assure the

1026
00:49:22,433 --> 00:49:26,667
international community
of that cessation,

1027
00:49:26,667 --> 00:49:31,366
and that that would be better
for North Korea and better for

1028
00:49:31,367 --> 00:49:32,533
the North Koreans.

1029
00:49:32,533 --> 00:49:33,633
Thanks very much.