WASHINGTON (December 3, 2012)--President Barack Obama and congressional Republicans are playing a game of political chicken as the end-of-year deadline approaches for averting a plunge off the fiscal cliff, a combination of expiring tax reductions and across-the-board spending cuts.
Mr. Obama proposes $1.6 trillion in higher taxes over a decade and heightened presidential power to raise the debt limit.
In exchange, he proposes $600 billion in spending cuts, including some to Medicare.
He also wants $200 billion in new spending to support economic recovery.
Based on the rhetoric, an agreement may not come quickly.
Treasury Secretary Timothy Geithner says Republicans don't have a plan and should say how much they're willing to raise taxes on the rich.
House Speaker John Boehner says Mr. Obama's plan isn't serious.
He says Republicans have plenty of ideas, but he's not giving specifics.