TW: This stimulus negotiation has been fun but it is time for Obama to bring it to a close. The Republicans get credit for winning some tactical political points by employing the Dick Morris "nitpicking" strategy (i.e. point out every $50 million spending piece that sounds funky and maybe even is funky like Hollywood producer subsidies) and by employing the Newt Gingrich "big government!!! big government!!!" approach.
From WaPo:
A Dick Morris Nitpick Example-
"The most ambitious effort to cut the bill is being led by Sens. Ben Nelson (D-Neb.) and Susan Collins (R-Maine), moderates in their parties who share a dislike of the current version...Among the items that the Collins-Nelson initiative is targeting: $1.1 billion for comparative medical research, $350 million for Agriculture Department computers, $75 million to discourage smoking, $20 million in Interior Department funding, $400 million for HIV screening and $650 million for wildlife management." [TW: total about $2.5 billion]
TW: The optics on some of the nitpicking maybe be poor and should be addressed but ultimately they are distractions. The far more serious issue would be if some senior Republicans did what they apparently want to do:
From WaPo:
"...Some Republicans in the group are seeking a much broader rewrite of the legislation, and they want Obama to lead the effort...Sen. Lindsey O. Graham (S.C.), who supports an alternative drafted by Sen. John McCain (R-Ariz.) that would cost $445 billion.
Graham said he could back something between the McCain bill and the House bill. Although some Republicans would prefer to shelve the measure temporarily, hoping that spending demand will cool..."
TW: Tweaking spending details would be one thing, cutting the stimulus package in half a strategic mistake. I have posted on this numerous times but we need measures to combat the collapse in demand within our economy. Tax cuts while relevant are not the panacea Republicans make them out to be. Furthermore our country desperately needs infrastructure, some of which can be initiated immediately some of which will take time to ramp up. Obama has the fundamental components of the plan correct: infrastructure (broadly defined), stabilization measures (i.e. support for the unemployed, local and state subsidies); and some limited tax benefits.
Obama needs to step up and articulate to the American people why he is right. To date he may have taken the support for granted, I know the Republicans think so. He needs to put his foot down soon.
http://tinyurl.com/d5hzon
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