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Former NYC mayor Rudy Giuliani on what Pres. Obama and Republicans must do to thaw the frozen fiscal cliff negotiations
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Treasury Secretary Geithner saying the Obama administration is absolutely ready to go over the fiscal cliff.
What we got today was a seminar on how to surrender.
-- -- your negotiate with the results.
The vast majority of our major made in this country is on his side that no matter what he says no matter what he doesn't even know what he's doing it's outrageous that.
It has all the -- support.
The Republicans have conceded that the language we'll probably solve this but -- It's not that tough it was week.
President Obama has said that he has pen in hand and he's prepared.
To sign the middle income tax cap.
You know -- the president of the United States.
-- that -- and -- bailed out the banks to bailout the American people that it don't have to holds the holidays.
In his second term I hope he'll offer fresh ideas and serious leadership now and in response from the white I'm here to tell you that nobody wants to get this.
It's true that present.
Obama won reelection -- I congratulate him on is big problem but on January 20.
He'll face.
Stagnant economy in -- fiscal -- -- -- it overwhelmingly supportive they're -- this event this thing.
It's.
Well anyone out there.
Really -- serious -- that want the answer -- solving the fiscal -- we put an offer on the table the president now has to.
You might even say he'll inherit these problems.
The present -- little place.
War Christmas is going to hold -- for twenty something days.
Where my abilities where my -- is going to be we're not gonna have a place -- -- whoever's the standings.
What's holding us back right now.
Ironically as long as it's grown -- mr.
He -- soon.
Everything came -- with an amazing.
That's what to do the fact is.
This president basically.
I don't think what's the -- what -- -- -- we do not have a taxation problem we have got -- why elite out of control spending problem.
I'll be here.
Be available at any moment we believe this.
Despite obvious resistance to.
What has to be.
Framework of the deal.
Progress is being made all of this is smoke and mirrors all this -- stopped deficit reduction when there isn't any there aren't any spending cuts.
A -- Democrats and Republicans fight it out the nation is waiting and waiting and waiting.
And suffering as a way forward your city mayor Rudy Giuliani joins us -- mayor.
How are you Greta.
Fairly awesome -- tell me around the houses going to unravel between now and.
The first of the year well I mean if you take them at their word it sounds like that they're ready to the president seems like he's anxious to go over there.
Fiscal -- -- he he leaves very little room for Republicans to negotiate with them with a one point -- -- one point seven trillion dollar tax increase.
Fifty billion more in stimulus spending.
And actually know expenditure reductions that -- gonna take place right now I mean from the point of view of Republicans.
You're gonna get more spending decreases if you go over the fiscal cliff than if you deal with the new video President Obama.
What isn't it -- appears to -- in a city that it -- Politico check mate for the president because if we go for the fiscal cliff.
What it means is that the taxes will go up on the wealthy the big earners but also go up in the middle class and of course the middle class -- -- -- no -- -- only to the Republicans for the fact their taxes have gone up so I political Chapman.
I'm not so sure about that I mean for -- President Obama could avoid -- very.
-- -- very simply by putting maybe a two or three to one expense expenditure reductions on the table for for revenue increases.
Something like Simpson Bowles.
And he's got a he's got a formula was given to him by commission that he appointees totally rejected.
Totally rejected that formula and present it took to the Republicans.
A program which was basically just a massive tax increase.
Over and above the massive tax increase that's gonna take place with the bush tax cuts.
Expiring so.
I don't see where this -- he hasn't given him room to compromise.
Made maybe if I had maybe if he had.
Put his tax increases on the table.
And put up expenditure reductions of you know one and a half to one Republicans can and negotiated to two -- two and a half to one.
Amendment that would be an adult mature sensible negotiation the kind that I used to do -- Peter Malone.
Who was the democratic as a speaker of the City Council.
What I don't understand I will admit is that the president ran on -- want to raise the revenue.
800 billion dollars I want to do by raising taxes.
The Republican comeback positioned him wasn't senate race in tax rates on on the wealthy the president want to raise it only and the big earners that instead of a close loopholes eliminate some -- targeted only at the big earners and they were still -- in the same amount of money.
800 billion essentially out of the big earners it just -- raising the tax rates are -- in another way and the big earners the president rejected that.
Now -- says he wants one point six -- one point seven trillion.
Plus a secretary of the treasury -- -- ante by saying that he wants a -- at credit card.
Without any limit without the congress having to do it so he has changed is changed it however the problem is is that in doing so he doesn't it does it I think template go checkmate on Republicans because another front Republicans -- -- Looking good even though the president.
Has changed -- I think that's -- -- point that many Americans may not look at when they pay their taxes.
-- you know they might not -- get it right away if this happens but I think over a course of six months or a year as your lead up to 2014 elections the economy is really suffering.
I think you can even explain this if you stick with your principles.
From the point of your Republicans.
-- include me I believe any kind of tax increase now -- gonna hurt the economy.
Would -- be willing to negotiate some form of tax increases for a 304 to one decrease in spending sure I would consider that.
But I'm not gonna do it and if I don't get any decrease in spending another point Greta I wouldn't take a decrease in spending next year for a tax increase this year.
You should be done all -- wants.
And if -- if that means extending the bush tax cuts until both things happen in other words.
That would have a tax increases take place takes place whatever expenditure reductions take place at the same time I simply wouldn't trust the president.
-- any kind of deal where you give -- revenue increase now.
And he gives you an expenditure reduction a year from now I don't think you'll ever see the expenditure reduction.
And -- comment -- -- -- correct our country's in trouble because we're spending too much money not because we're taxing too little.
Mayor I don't I don't know if I could find one America -- make him a lot out there who think that you cut a deal now with a promise something's going to be done -- down the road by the government music.
I as a -- I don't know anyone would ever believe such a promise I don't expect that the Republicans would accept that offer from the president -- and I just don't see that is as ever happening in the city -- -- -- about Bogota.
But the Republicans basically have to say.
Our principles you're correct our whole analysis of the of the economy is correct we need massive spending decreases.
And they've got to stick with that and if they can if they can get decent spending increases and have to agree some additional revenue fine.
But if they get pushed in the position the president of China pushed them.
But I think they stick with their principles you know and and and a year and a half from now go to the electorate with that it worked -- it worked -- -- -- probably work again and fourteen that'll be ashamed because it will do a lot of damage to our economy in between but the president has got really on his shoulders he's the leader.
-- thank you sir thank you for a.
