In Japan, Biden called Republican calls for sharp cuts “unacceptable” and said he would talk to McCarthy about the debt ceiling and budget talks during his flight, Bloomberg news agency reported.
The phone call comes at a time when negotiations are stalled and time is running out to avert a so-called default: in which case the US government will no longer be able to pay salaries and the country will no longer be able to borrow money. According to Treasury Secretary Janet Yellen, it is highly questionable whether the US can pay its bills before June 15.
Wise
McCarthy urges Biden to be “reasonable”. “It sounds like she would rather have a default than a deal,” the Republican president told Fox News. According to him, it is important for the American president to convince his party comrades to compromise.
Without a political deal, the US will run out of money around June 1st. So the country has borrowed the maximum amount allowed by Congress, after which it has to raise the bar again. This is usually a chore in the United States, but tensions between Republicans and Democrats are making it increasingly difficult.