automatic cuts. we will have until next election to fix this thing. the time we don t have is the country tax rates expire at the end of next year giving us the highest tax increase in history and that is what some of the republicans were trying to avoid with a reform of our tax code and they were willing to put more on the table than i was but the democrats want even more than that, so i m frustrated by the process and clearly our markets can not take another dose of bad news. neil: we are told to we are at that point two weeks from now, and a debt deal isn t reached, sequestration kicks in, and we have the $1.3 trillion in cuts over 10 years that automatically kick in, including half a trillion in defense over that period, something i know is anathema to you, but if it comes to that moody s hinted it could follow s&p and downgrade u.s. debt from aaa to not triple a.
hurting. i ve seen it. it may not mean a lot to some politicians if we protect medicare, but it means a lot to the people who are depending on it. the debt deal isn t all i wanted at all, but protecting medicare and other programs will still mean a lot to a lot of people. not just on 145th street here in new york where mire headquarters is, but in appalachia, or arizona, all over the country, helping them is the conversation this country has to have now. let s start dealing with the pain of the people. we need jobs, not more jawboning. joining me now, florida congresswoman debbie wasserman schultz chairwoman of the democratic national committee. congresswoman, can you trust the republicans as you fight to improve the economy?
i ll ask about red hot democrats. stay here and hear how it plays out. i m wolf blitzer here in the situation room. we ve been expecting the house to vote on raising the debt limit. but it has not happened yet. the debt deadline is looming larger than ever. the deal would raise the debt limit $900 billion in the short term and green light spending cuts of roughly the same amount over ten years. offset dollar for dollar by more spending cuts. there s a lot of huge ifs involved in making all of that happen. let s go to capitol hill. kate baldwin is standing by. what are we toll about when it will take place? of. the timing is very fluid, wolf. the question is, will this compromise bill pass the house? speaker john boehner in a press conference wouldn t answer the question when i asked him if he had enough votes. but the paul ryan seemed pretty confident this afternoon. listen to him. some have various concerns, whether it s going to prevail. i think we have a majority o
unreasonable merely because the tea party believes that the government should live within its means and that we should have visible, real and meaningful cuts to spending now not in years from now. i don t think that jives with reality, bill,. the debt deal isn t going to happen unless there is a compromise. 38 will signed a pledge they will not vote for a compromise unless there is a constitutional amendment that says you have to balance the budget. now, i support a constitutional amendment that says that. but it s not going to happen for years. because the democrats block as you know. two thirds of the states have to ratify such a constitutional amendment. it will take years. so these people are basically saying they are not going to vote for a compromise no matter what it is. unless now, look, i think you make a good point.
unreasonable merely because the tea party believes that the government should live within its means and that we should have visible, real and meaningful cuts to spending now not in years from now. i don t think that jives with reality, bill,. the debt deal isn t going to happen unless there is a compromise. 38 will signed a pledge they will not vote for a compromise unless there is a constitutional amendment that says you have to balance the budget. now, i support a constitutional amendment that says that. but it s not going to happen for years. because the democrats block as you know. two thirds of the states have to ratify such a constitutional amendment. it will take years. so these people are basically saying they are not going to vote for a compromise no matter what it is. unless now, look, i think you make a good point.