You're not hearing much about bipartisanship because the Republicans in congress refuse to compromise 99% of the time. The President tried to work with them in the past, and the only deals that were reached were largely with the few moderate Republicans who were still willing to compromise - and those are mostly out of Congress now, or retiring, as far as I know.
After the Tea Party came in, it was Obstruction City much of the time, but sometimes it was even worse:
Do you remember when time was running out to raise the debt ceiling? The Republicans in Congress convinced everyone that they were completely willing to make the government default on its debt, but
would agree to raise it if their demands were met. In the end, there were no revenues included, only cuts, and cuts exceeded the debt limit increase (and yet we will have to raise it again early next year), even though the government has been able to borrow at negative real interest rates since 2010 (
see http://en.wikipedia.org/wiki/United_States_debt-ceiling_crisis#Negative_real_interest_rates).
Quoth Senate Minority Leader Mitch McConnell: "I think some of our members may have thought the default issue was a hostage you might take a chance at shooting. Most of us didn't think that. What we did learn is this – it's a hostage that's worth ransoming."
I thought we had a policy not to negotiate with terrorists?
Some articles about what defaulting on the debt would probably have meant:
It could have crippling effects on the economy:
http://economix.blogs.nytimes.com/2011/04/26/what-happens-if-the-debt-ceiling-isnt-raised/.
The federal government could be unable to fully fund itself:
http://www.federaltimes.com/article/20110717/AGENCY05/107170302/Debt-ceiling-talks-What-failure-would-mean-you.
And quoting Timothy Geithner: "Under normal circumstances, investors who hold Treasuries purchase new Treasury securities when the debt matures, permitting the United States to pay the principal on this maturing debt. Yet in the scenario you advocate, in which the United State would be defaulting on a broad range of its other obligations, there is no guarantee that investors would continue to re-invest in new Treasury securities. In fact, some market participants have already indicated that they would be disinclined to do so. ... If investors chose not to purchase a sufficient volume of new Treasury securities, the United States would be required to pay the principal on maturing debt, and not merely the interest, out of available cash. Yet the Treasury would be unable to make these principal payments without the continued confidence of market participants willing to buy new Treasury securities." That is from
http://blogs.wsj.com/economics/2011/06/29/full-text-geithner-letter-responding-to-republicans-on-debt-limit/