Boehner to Seek Smaller $2T Deal

John Boehner has informed Barack Obama that he wants to pursue a smaller $2 trillion deficit reduction deal, not the larger effort sought by the White House. In a statement issued after that conversation, Boehner said the issue of taxes ultimately killed efforts to reduce the deficit by as much as $4 trillion over 10 years. "Despite good-faith efforts to find common ground, the White House will not pursue a bigger debt reduction agreement without tax hikes," he said.

"I believe the best approach may be to focus on producing a smaller measure, based on the cuts identified in the Biden-led negotiations, that still meets our call for spending reforms and cuts greater than the amount of any debt limit increase." The White House and eight top Congressional leaders will meet tomorrow night, reports the Wall Street Journal. (More debt ceiling stories.)