Today's Coming Crisis Movie

Tuesday, July 26, 2011

Geithner: Never Thought Debt Talks Would Come 'This Close to The Edge'

Treasury Secretary Tim Geithner said Sunday that he did not initially think lawmakers would bring the debt-ceiling negotiations "this close to the edge," appearing taken aback by the lingering distance between the two sides with an Aug. 2 deadline looming.

Geithner told "Fox News Sunday" that he remains confident lawmakers will lift the $14.3 trillion debt cap and avoid a national default.

"We're not going to end up there," he insisted. The treasury secretary, pressed repeatedly, would not explain what kinds of contingency plans might be in place in case Congress does not approve an increase by Aug. 2, saying there's "no other option" but to lift the cap.

At the same time, he warned that the negotiations have dragged on without a deal for far longer than he anticipated.

"We're running out of runway. We're almost at the edge. I never thought they would take it this close to the edge," Geithner said. (more)