Schakowsky: Cuts Are Possible, Default Unlikely
WASHINGTON (CBS) -- U.S. Rep. Jan Schakowsky (D-Ill.) is predicting there will be no government default on its bill, and that the debt ceiling will be lifted in return for some cuts.
As WBBM Newsradio 780's John Cody reports, Schakowsky first presents the party line, that the current crisis has been manufactured by Republicans holding government programs hostage in order to maintain tax breaks for the wealthy. But she says there are cuts possible.
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"Cuts in discretionary spending – both defense and non-defense. We can do agriculture reform, and winding down the wars in Iraq and Afghanistan; saving, of course, in interest if we reduce the deficit," she said.
Schakowsky says the best solution is the proposal from U.S. Senate Majority Leader Harry Reid (D-Nev.), which involves $2.7 trillion in cuts, and a long-term hike in the nation's debt limit.
