President Joe Biden’s budget director said she thinks Republicans and Democrats will eventually reach a budget deal and avert a breach of the debt ceiling.
(Bloomberg) — President Joe Biden’s budget director said she thinks Republicans and Democrats will eventually reach a budget deal and avert a breach of the debt ceiling.
Shalanda Young, director of the Office of Management and Budget, told MSNBC that the Wednesday meeting between Biden and House Speaker Kevin McCarthy was a first step that she thinks will end in a deal.
“Yesterday was a good start. This town, as you know, is all about relationships. This is a beginning of a process, of a marathon,” she told MSNBC’s “Morning Joe” on Thursday. “I’ve been in the middle of many of these budget talks, and of course we’re going to find a path.”
On Wednesday, Biden and McCarthy held their first meeting since the Republican became House Speaker. McCarthy emerged tempering expectations, saying it was introductory and that he didn’t want to overstate any level of agreement, but said he thinks they could eventually find common ground.
Young said it wouldn’t make sense for the US to jeopardize its fight against inflation or the recovery of its job market.
“I’m in the optimist camp, because we have to get it done and the majority of members and this president will find a path,” Young told MSNBC. “We saw back in 2011 even the flirting with, or getting close to, reduced the credit rating of this country. That’s why we’re very concerned with having the debt ceiling be held hostage to a separate conversation we’re willing to have about spending and deficit reduction.”
Biden’s budget is due on March 9. Young said it will “continue that trajectory on deficit reduction” but didn’t say by how much.
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