President Obama addresses world leaders at the 68th session of the United Nations General Assembly on Sept. 24 at the United Nations in New York City.
(Photo: Timothy Clary, AFP/Getty Images)
WASHINGTON (AP) -- President Barack Obama says a failure to increase the government's borrowing authority would effectively shutter the economy.
Obama told reporters at the White House Friday that would have a 'profound destabilizing effect' on the U.S. and global economies.
He accused Republicans of "political grandstanding" and said what they really care about is "appeasing the tea party."
The government faces two looming deadlines. One is a potential government shutdown Oct. 1 if Congress doesn't approve a short-term spending bill. The other is a debt limit around Oct. 17 if Congress doesn't increase the government's borrowing authority.
Obama says failure to raise the debt ceiling would be far more dangerous than a government shutdown.
Obama has vowed not to negotiate on the debt ceiling.
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