WASHINGTON, Jan. 9, 2009
Obama Presses Congress To Act On Stimulus
Congressional Democrats Push Back To Put Their Own Stamp On Economic Plan
-
President-elect Barack Obama finishes speaking about the economy, Jan. 8, 2009, at George Mason University in Fairfax, Va. (AP Photo/Charles Dharapak)
-
The Early Show Economy In Crisis Confused about what's happening with the economy? You're not alone. Send us your questions for our experts to answer.
-
Interactive 111th Congress With Democrats in control in both chambers AND the White House, latest session convenes.
With more than 11 million Americans out of work, Mr. Obama pressed Congress for urgent action Friday and said the U.S. is undergoing "a devastating economic crisis that will become more difficult to contain with time." His warning was underscored by a government report showing that unemployment hit a 16-year high of 7.2 percent in December.
But congressional Democrats are making it clear they want to put their own stamp on the revival plan, despite the inevitable delays. Some Obama ideas, like a $3,000 job creation tax credit, might get scrapped.
Many Democrats aren't thrilled with Mr. Obama's business tax cut plans and are griping that there's not enough money in the measure for traditional infrastructure projects like road construction and water projects or for tax credits to promote renewable energy.
Under pressure, Obama aides agreed Friday to increase the money ticketed to energy tax breaks from $10 billion to $20 billion, according to congressional Democratic aides. The Democrats want $30 billion.
Beyond the emerging rifts - and the openness with which Democrats are pushing back against some of Mr. Obama's ideas - is the sheer enormity of crafting such a complex, controversial measure in just weeks. Lawmakers' insistence on making changes could delay the recovery plan beyond a mid-February deadline declared by House Speaker Nancy Pelosi, D-Calif.
Mr. Obama, at a news conference, sought to play down the differences. "There's no disagreement that the economy is in dire straits," he said. "There's no disagreement that we need to create jobs."
Top Democrats affirmed there is far more agreement than disagreement on the major parts of the recovery plan: aid to cash-strapped state governments, $500-$1,000 tax cuts for most workers and working couples, and a huge spending package blending old fashioned public works projects with aid to the poor and unemployed and a variety of other initiatives.
Mr. Obama said he welcomed input from lawmakers in both parties.
"If members of Congress have good ideas, if they can identify a project for me that will create jobs in an efficient way that does not hamper our ability over the long term to get control of our deficit, that is good for the economy, then I'm going to accept it," the president-elect said.
"What we can't do is drag this out when we just saw a half-million jobs lost," Mr. Obama said.
"If you can show me that something is going to work, I will welcome it," he said.
A squadron of Obama officials came to the Capitol on Friday to brief House Democrats on the measure, and they again heard criticism of some of Mr. Obama's proposed tax cuts, particularly a $3,000 credit for job creation. Lawmakers pressed for more infrastructure spending and tax credits to promote renewable energy and said that more needs to be done to address the housing crisis.
"There's considerable expertise running around the halls of Congress, and this week represents the first, most significant opportunity to have good, constructive dialogue on how we build the best package," said Rep. Earl Pomeroy, D-N.D.
Mr. Obama is promising to ride herd.
"It is my job to make sure that Congress stays focused in the weeks to come and gets this done," he said.
The top Democrat in Congress is a cheerleader for the Obama plan.
"All of their priorities are ones that we share," Pelosi said. "We just want to make sure that those (ideas), when they're written in the bill, are ones that can be used immediately and can create jobs."
Sen. Barbara Boxer, D-Calif., emphasized areas of broad agreement and the universal sentiment of a need to act.
"Please don't get the idea there was some sort of breakdown here," Boxer told reporters.
The details are closely held and subject to change - and the cost of various components seems to be bouncing around daily in the push and pull between the Obama transition team and congressional leaders.
"Spend more on infrastructure. That was a recommendation made in the caucus," Rep. Pomeroy said. Financial Services Committee Chairman Barney Frank, D-Mass., said money will be added to have state and local governments buy up foreclosed homes.
Boxer said about 20 percent of the bill would provide aid to the cash-strapped states, with 40 percent, or about $300 billion for tax cuts for individuals and businesses. The remaining 40 percent would go to spending programs such as infrastructure, help for the unemployed and renewable energy.
One tax provision would provide a $500 tax cut for most workers and $1,000 for couples, at a cost of about $140 billion to $150 billion over two years. The individual tax cuts may be awarded by withholding less from worker paychecks, effectively making checks about $10 to $20 larger each week.
©MMIX, The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
More From Politics
Best-selling author Mitch Albom on his first nonfiction work since "Tuesdays with Morrie."
- 1
- 2
- next
See all 34 CommentsHitler was a bit more organized and actually robbed countries that he invaded and shipped the spoils back to GERMANY. Of course, in the end, both he and the countries he plundered were broke. The only ones to really benefit from a war time economy--was the US, who was never invaded or bombed on their own soil and so had the only factories and resources to supply the rest of the world after the war. We became rich doing that--by default.
Posted by harbinger09 at 08:46 AM : Jan 10, 2009
The true ironies and lessons of World Wars were:
1. Those who fight prolonged wars end up broke (even stealing from defeated countries cannot make up for the massive expense of continual war.
2. Massive inflation is one of the bedmates of war (along with rape, mayhem and destruction of infrastructure)
3. The countries who fare the best in war times are those who come to the party rather late and who manage NOT to be in the middle of invasions and bombing. Because only the countries who stay out of it have the people, infrastructure, resources and factories still standing to sell services and goods to everyone else and get rich--everyone else have only dead people and rubble. THIS IS A FACT.
bwa-HAHAHAHAHAHA!
Posted by FloydZeppd at 07:42 AM : Jan 10, 2009
600.00 a pop last year, the 300.00 a pop stimulus checks were sent out in 2002. Bush''s own version of the Ponzi scheme: he infused the cash from the government to keep the fake economy going (and begged the country to keep spending) until it all came crashing down and no infusion could hide that the game was a scam anymore.
Posted by oftencensord at 07:16 AM : Jan 10, 2009
-----
Hitler NEVER came into office offering either hope or change. He came in on a bloody coup he helped to foment, there were lots of assassinations, threats and he had his own personal army, so the Germans pretty much knew that they were getting a strong armed dictator. Hitler came in and promised only that Germany was besieged by enemies on all sides and that through his leadership, Germany would conquer them all and be restored in their rightful place as leader of the world. Sort of like the Clarion call of the war on terrorism of Bush--except Hitler was a bit more organized and actually robbed countries that he invaded and shipped the spoils back to Europe. Of course, in the end, both he and the countries he plundered were broke. The only ones to really benefit from a war time economy--was the US, who was never invaded or bombed on their own soil and so had the only factories and resources to supply the rest of the world after the war. We became rich doing that--by default.
Posted by FloydZeppd at 06:40 AM : Jan 10, 2009" =========================
Yeah right . . . and the moon is made out of blue cheese.
Posted by rplat at 07:33 AM : Jan 10, 2009
ANYONE EVER WATCH "LET''S MAKE A DEAL" from long ago?
Sometimes, behind door #1 and curtain #2 were both booby or "zonk" prizes. Meaning worthless cr@p and the good prize never got chosen. Without a doubt, McCain and Palin were the worst booby prize of the bunch, McCain could not even admit the economy was tanking nor did he know anything about the economy (hence the continual stupid moves he made and not knowing the difference between the SIPC and the ''****'' dept, and not knowing he could not fire the SEC head. He and Palin were jokes--it remains to be seen just how stupid Obama and his group are, there is a consensus though--that no matter how stupid, McCain and that idiot-airhead from Alaska would have been much worse.
..ALL COMMON SENSE
And if the wrong thing is done, it will make a bad problem worse and compound the deficit and make it that much harder for us to turn around. What does not work: "Bushiesque tax or 300.00, 600.00, 500.00, and so on stimulus packages. It is like running water in a sieve and expecting it to hold the water. One time spending amounts, whether it is 300.00 or 300 billion dollars will not work--if poured into the same broken system.
WHAT IS THE BROKEN SYSTEM? Large infusions of cash thrown at business or the public without true direction, but with a general "wish" that businesses or the public will do the right thing and somehow the amount will help. Spoken like true spenders used to spending other people''s money but with no clue how to fix anything. Because now that the cracks are there for all to see, those small fingers in one of those cracks, look pretty stupid with the dam about to burst from all the other cracks.
Stop the rebate-bailout schemes, and know that there WILL BE NO FIX if the games of outsourcing, insourcing and lack of mfg and sourcing continues to be bought from the outside.
Posted by FloydZeppd at 06:40 AM : Jan 10, 2009" =========================
Yeah right . . . and the moon is made out of blue cheese.
Posted by oftencensord at 06:36 AM : Jan 10, 2009
What is it with you fascist? IF the people do not vote with the "Party" and support the "Party''s" Policies they are stupid. Have you freaks ever studied any HISTORY? ROFLMAO If it comes between the judgment of the average working stiff and the CEO''s out there about what is best for this nation, I''m with the working stiff. NOW they have made a very loud statement that the Republican LIE we refer to as "trickle down" is at an end. THEY, WE the PEOPLE, want a change in course... YOU LOST, get over it!!
1. Drastically cut Spending
2. Charge a HIGH tax for all items imported in the country. This will bring jobs back to America.
Posted by win4usa at 11:11 PM : Jan 09, 2009
Excuse me but didn''t HOOVER try this? IF you do NOT put the money in the pocket of the Middle Class, IF the people who DRIVE the economy do NOT get money to fuel it with, it will continue to fall into a deeper depression. THAT is called HISTORY... maybe you should study a little of it!
Posted by OreoBama at 10:20 PM : Jan 09, 2009
Well what would YOU suggest swastika breath? YOU freaks got us into this mess so dazzle us with YOUR way out! I have listened to you and people like you for THREE decades push "Trickle Down" as the solution to all our problems. THIS is what "Trickle Down" and the Republican Economic Plan has gotten us. So do YOU freaks come up for a way to stop the SLIDE into a Depression? NO!! You just sit back and continue the SAME tired OLD trash you''ve been pushing for 30 years. ENOUGH!! At the VERY least, Obama WILL turn the nation around and away from TRICKLE DOWN. THAT is enough for me!!
So YOU think Madoff is responsible for the complete Collapse of the Economy?
Posted by hungry682
Have a bacon cheeseburger.
Posted by lopezf11 at 08:51 PM
Eat a pig''s snout. Boogers and all.
--------------------------------------------------------------------------------
Posted by DemWatcher at 12:24 AM
So why did you support Bush doing it for eight years and making Halliburton rich?
These Milton Friedmanites have completely destroyed our manufacturing base and de-industrialized our economy by ''supply-side'' theories of Wal Marts and Denny''s.
We have to end globalization by walking out of the WTO, cancel GATT and NAFTA.
The British financial empire is dead and crumbling and we have to be first to go back to the American system of ''protectionism''.
It''s that or let the British replace it with this tyrrany of New World Order of FEMA camps and International Red Cross charity coupled with IMF/World Bank loans.
1. Bernie Madoff starts a pyramid scheme which succeeds in generating vast sums of profit for its early investors for almost 15 years.
2. Many of Madoff''s investors are pro-Israel foundations and PACs, or individuals who donate to pro-Israel foundations and PACs.
3. The pro-Israel foundations and PACs donate heavily to the campaigns of those candidates willing to sell their souls to Israel for campaign cash.
4. THEREFORE, those pro-Israel politicians in Congress won their seats in part using stolen money.
5. THEREFORE, the Madoff pyramid, until it collapsed, was a major funding mechanism that allowed the Israeli lobby to buy the US Government for the benefit of Israel and to the detriment of the American people.
1. The money is either coming as a loan from another country (China?), or they are printing more money that will de-value the dollar even further.
2. Any moneys given to some entity that eventually fails will fall back on the American people to pay off, ie: higher taxes.
What they are doing is taking out a loan to pay a loan. No intelligent, rational household in this country would run their finances that way.
- 1
- 2
- next
See all 34 Comments