Obama raises stakes in debt, spending showdown

President Barack Obama today warned he would never allow Republicans to kill or delay his health care law, raising the stakes in a showdown that could shutter the government or trigger a US debt default.
House of Representatives Republicans are refusing to fund a government budget or raise the USD 16.7 trillion federal borrowing ceiling unless the president agrees to defund or delay so-called "ObamaCare" -- his greatest domestic political achievement.
If no deal is reached, the government could shudder to a halt on October 1 and the United States could default on its debts for the first time ever, some time after the middle of October.

But Obama, speaking at a community college in the Washington DC suburbs, warned sharply he would not tolerate the Republican gambit on health care.
"Some have threatened a government shutdown if they can't shut down this law," Obama said.
"Others have actually threatened an economic shutdown by refusing to pay America's bills if they can't delay the law.
"That's not going to happen as long as I'm president. The Affordable Care Act is here to stay."
Economists have warned of dire fallout if the United States defaults on its debts for the first time, including damage to America's credit rating, massive slumps on stock markets and long-term damage to US economic growth.