Browsing the archives for the Economy tag.

Jindal’s Response and What is Says About the Conservative Movement

education, Politics, US Economy, US Politics

After President Obama’s address, the latest “rising star” of the Republican Party took the stage to present the party response.  Bobby Jindal’s speech has been pretty widely panned with pundits commenting unfavorably on his delivery, diction, stage presence, etc, but in terms of respresenting current Conservative thought, it was right on the money.  Skip all the window dressing and look at the meat of his address. Here is what I take away about Conservative views on government, taxes, education, science and defense.

Role of government

Governor Jindal starts with this story:

During Katrina, I visited Sheriff Harry Lee, a Democrat and a good friend of mine. When I walked into his makeshift office, I’d never seen him so angry. He was yelling into the phone: “Well, I’m the Sheriff and if you don’t like it you can come and arrest me!” I asked him: “Sheriff, what’s got you so mad?” He told me that he had put out a call for volunteers to come with their boats to rescue people who were trapped on their rooftops by the floodwaters. The boats were all lined up ready to go, when some bureaucrat showed up and told them they couldn’t go out on the water unless they had proof of insurance and registration. I told him, “Sheriff, that’s ridiculous.” And before I knew it, he was yelling into the phone: “Congressman Jindal is here, and he says you can come and arrest him too!” Harry just told the boaters to ignore the bureaucrats and go start rescuing people.

There is a lesson in this experience: The strength of America is not found in our government. It is found in the compassionate hearts and the enterprising spirit of our citizens.

The point here: Government is an obstacle to be overcome.  This particular story is pretty ironic.  My father was one of the late sheriff Lee’s deputies in the mid eighties and if there is one thing that is beyond doubt is that Lee was a politician through and through, the most influential politician in Jefferson Parish from the 80’s until his recent death.  Jindal praises Lee’s work organizing relief while at the same time implying that government is the problem.  The Governor envisions a world where the government is too small to help so that the “compassionate hearts and the enterprising spirit of our citizens” can shine through.

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Redditors to the rescue

Culture, Economy, Media / journalism, Politics, US Economy, US Politics

A Redditor started a Wiki on the stimulus bill. The purpose: to translate its provisions into ordinary language so regular people can understand it, filtering out the legalese. And to sort out exactly how much money is assigned to what and whom.

The initiative got some 870 up votes (and lots of discussion) on Reddit, and it seems like a fair spread of people is now working on the Wiki. I thought it was interesting: both the idea and the resonance it had. Citizenship in action?

Of course, as with every Wiki, the risk of pranks and manipulation looms rather large. But at least, as one commenter notes, it seems like an interesting social experiment. And even just the act of creating it should acquaint a bunch of people with the specifics of the bill, maybe better than many of the Congressmen who had to vote on it hours after the final version was released.

It’s also distinct from a partisan initiative like readthestimulus.org (offline right now), which was sponsored by the Heritage Foundation.

No idea how useful or complete it will become. For one, while the site links to the post-conference version of the bill, it also notes that it is still largely based on the version that was passed by the House on 28 January. Whereas the bill was of course significantly modified since – first by the Senate, which made changes that according to Krugman would have created 600,000 jobs less than the original House bill, and then by the conference, which crafted a compromise between the two bills.

I’d also worry about reinventing the wheel. For example, as noted in the Reddit thread, the CBO already created a table, stretching for a few pages, that summarises the stimulus expenses, year by year, by section of the bill. (Table 2 in the enclosures of this letter from the CBO director to Nancy Pelosi.)

But still I thought it was great. At best it will make for a very neat tool, and at worst it will still, as initiative, be an encouraging sign of the times.

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The Republican Senators who voted for the stimulus bill, Round II: The final bill

Economy, Politics, US Economy, US Politics

If you were in any suspense about which Republicans voted for the stimulus in the Senate, by the way, now that the previous Senate and House versions have been unified into a final bill, here’s a hint: they were the same ones as last time.

Four days ago, the Senate voted on its own version of the stimulus bil. All of three Republicans voted in favour: Olympia Snowe (ME), Susan Collins (ME) and Arlen Specter (PA). Judd Gregg (R-NH) abstained, and all other Republicans voted Nay, while all the Democrats voted Yea.

Then the bill went into the conference committee, where Senate and House bigwigs hammered out a compromise between the different versions of the bill the two chambers had passed. Yesterday the House passed the new version almost entirely along partisan lines, with not one Republican voting in favour and just seven Democrats voting against (see this post for the details). Which left it to the Senate to confirm the result and pass the new, unified bill as well.

They did so, and the vote was practically identical to last time. The only differences were that Ted Kennedy, battling brain cancer, wasn’t able to come now, and Gregg this time did not abstain but voted against. The result: 60 Yeas and 38 Nays, compared to 61-37 last time.

00064 13-Feb On the Conference Report Agreed to Conference Report; American Recovery and Reinvestment Act of 2009
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Polling the stimulus

Economy, Politics, US Economy, US Politics

You may have seen Karl Rove opine in the WSJ that “support for the stimulus bill is falling”, and that “the more Americans learn about the bill, the less they like it.” He is certainly not the only conservative asserting that the bill is impopular.

I’m not in the super-enthusiastic category myself, if obviously for very different reasons than conservatives have for disliking it. Overall I think the bill doesn’t look bad, though my initial enthusiasm has been damped somewhat after reading, for example, Paul Krugman’s very persuasive commentary. It’s probably not enough, and maddeningly worse than it could have been; but it’s still a whole lot better than nothing, and it does have lots of good stuff in it. So far my layman’s take, which is not exactly the most interesting one.

But what does the American population think? Is Karl Rove right? Unsurprisingly, not quite. An overview of the polls that were conducted in the past two and a half weeks, and explicitly asked respondents to express an opinion for or against the bill.

There are two pollsters that have done more than one poll within this timeframe: Gallup and Rasmussen.

Gallup asked: “As you may know, Congress is considering a new economic stimulus package of at least 800 billion dollars. Do you favor or oppose Congress passing this legislation?” All three times it polled the question, it found a majority in favor, and in the last iteration, on the 10th, that majority had grown from 52% to 59%.

Rasmussen asked: “Do you favor or oppose the economic recovery package proposed by Barack Obama and the Congressional Democrats?” It found strikingly different results.

According to Rasmussen, in late January a narrow plurality of 42% was in favour; a week later the roles were reversed, with a plurality of 43% in opposition; and by the 11th a plurality of 44% was in favour again.

Three other pollsters asked a variation of the same question at some point in these last two and a half weeks.

A CBS poll queried respondents: “Would you approve or disapprove of the federal government passing an economic stimulus bill costing more than 800 billion dollars in order to try to help the economy?” They approved by 51% to 39%.

A Pew poll asked respondents: “From what you’ve read and heard, do you think [the economic stimulus plan being proposed by President Obama that may cost about $800 billion] is a good idea or a bad idea?”. It found a narrow majority of 51% saying it was a good idea; 34% thought it was a bad idea.

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The Democrats who voted against the stimulus bill in the House, part II: Once more round the bend

Economy, Politics, US Economy, US Politics

So the vote is in; the US Representatives in the House have voted on the new, unified, post-conference version of the stimulus bill.

The outcome is predictably, depressingly similar to when the House voted on its own draft of the bill two weeks ago. No minds were changed here, no hearts were won. Well, one or two.

70 13-Feb H R 1 On Agreeing to the Conference Report Making supplemental appropriations for fiscal year ending 2009

The vote: 246 in favour; 183 against. Compare: the previous time it was 244 in favour and 188 against.

Just like last time, not a single Republican voted in favour. On their side, the only differences were that:

  • Last time, Ginny Brown-Waite (VA-5) did not vote; now she voted Nay;
  • Last time, John Campbell (CA-48) and Chris Lee (NY-26) voted against; now they did not vote.

That’s it.

On the Democratic side of the aisle, 246 Representatives voted in favour; 7 against; 1 “present”; and 1 did not vote. Last time round, 244 voted in favour and 11 against.

These are the Democrats who voted against the stimulus both times:

  • Bobby Bright – AL 02
  • Parker Griffith – AL 05
  • Walt Minnick – ID 01
  • Collin Peterson – MN 07
  • Heath Shuler – NC 11
  • Gene Taylor – MS 04
There were actually three vote-changers who went from supporting the bill to opposing it or abstaining (!):
  • Peter DeFazio (OR-4)- changed from Yea to Nay
  • Dan Lipinski (IL-3) – changed from Yea to Present
  • Jim Clyburn (SC-6) – changed from Yea to Not voting (not sure why – he’s the House Majority Whip. Maybe just couldn’t make it for some reason or other?)
And there were all of five who were persuaded by the changes to the bill and now voted in favour:
  • Allen Boyd – FL 02
  • Jim Cooper – TN 05
  • Brad Ellsworth – IN 08
  • Paul Kanjorski – PA 11
  • Frank Kratovil – MD 01
I’m inclined to say, what a waste. All of these compromises in the name of bipartisan change, and all for nought, as the Republican Party remains unified on its course of sabotage. OK, I realise that the compromises were primarily needed for passage in the Senate. Let’s see how many Republicans sign up there. I doubt it will be more than three or four. And considering that their sense of centrism is to take whatever is offered and just slice a vanity (but costly) 10% off it, you could have had a much better bill by going in more aggressively. Instead of giving away the compromises right at the start by building them straight into the first draft. It was a costly lesson Obama learned.
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Annals of the global financial crisis, Eurasian edition (or why the Kazakhs better grow their hair)

Economy, World Economy

“Last year,” Leopolis notes, “if one said that Kazakhstan was the “Iceland of Central Asia” it would have been a compliment.”

Now, not so much. Earlier this month, Bloomberg reported, Kazakhstan’s central bank devalued the national currency, the tenge, by 18%.  Propping up the currency at the old rate proved unsustainable after the country spent $1.6 billion, or 6% of its foreign-currency and gold reserves, in January alone to do so. Economic growth is down from a healthy 10% to 1%. Profit for Kazakhstan’s 37 banks plunged 93%. The four biggest banks were seized by the government as part of an emergency program costing the equivalent to 20% of GDP. (In comparison, the $800 billion the US federal government reserved for TARP last year amounted to less than 6% of America’s GDP.) The government is now trying to hawk off the largest bank to the Russian Sberbank. 

Experts are expecting future currency devaluations, even if central bank chairman Grigory Marchenko emphatically rejects the prospect. As one said: “As long as oil prices remain subdued, there is nothing telling you to buy the tenge and there will be pressure there.” The one-sided character of the Kazakh economy makes it very vulnerable, Stratfor noted: the country depends on oil for 70% of its export revenue and 76% of all FDI. With the oil price down and the government spending $21 billion – or another 18% of its GDP – on a stimulus plan this year, the oil-funded National Fund which the country had built as buffer for bad times will all but run out this year.

As Nouriel Roubini commented to Bloomberg:

Kazakhstan looks like a small version of Iceland with its banks borrowing from abroad [..] A currency crisis becomes a banking crisis, it becomes a housing crisis, a sovereign-debt crisis, it becomes a corporate crisis because each one of these agents in these economies has a large amount of foreign liabilities. 

Kazakhstan has one of the highest rates of privately-held foreign debt, Stratfor explains; one which equaled 100% of the country’s GDP in 2007 (compared to 35% for Russia).

And still, how unique is this? The Russian currency is down 35% and the Ukrainian one down 47%, Bloomberg notes. The size of the Kazakh bailout-cum-stimulus seems exceptional, it’s true, with the sum total equalling 38% of the country’s GDP. In comparison, Russia is spending $240 billion, or close to 20% of its GDP, on bank bailouts and stimulus, while the combined bill for TARP I and the new stimulus bill Congress will vote on now will be about 10% of America’s GDP (though TARP II will come on top of that).

Still, at least Kazakhstan is still recording some economic growth, however anemic. The Czech economy entered in a recession in the last quarter of 2008 and will probably see a 2% contraction in 2009, while Hungary, which also entered a recession and is registering the worst data since 1996, may face a 4-5% drop in GDP this year. Which pales, in turn, in comparison with the numbers from the Baltic states, where Estonia’s economy contracted 9% in the fourth quarter from the same period a year earlier, and Latvia’s GDP plummeted 11%. Latvia, in particular, is looking economic collapse in the eye as its GDP may shrink by as much as 20%.

The Baltic states, like Kazakhstan but unlike Hungary, at least enjoyed a number of years of high economic growth until now, with annual growth reaching up into double digits. That doesn’t mean that people have been able to built a protective buffer for the crisis setting on now, though. The economic growth characteristically benefited the upper middle class, and especially the top layer, disproportionally. The collapse now, conversely, is likely to hurt the poor and elderly hardest.

So basically, we’re fucked. Luckily far-right Russian demagogue and all-round buffoon Vladimir Zhirinovsky, who is also deputy chairman of the Russian parliament, had some advice on surviving the crisis. “I have been thrifty,” he boasted last year: “I am not having my hair cut. My hair has already grown longer than ever. I only shave every other day. [..] There is no need to buy new clothes. They can be swapped with others. I am prepared to give a couple of suits to someone, several pairs of shoes, a wristwatch.”

Personal hygiene products are just “all [..] chemical and hazardous” anyway, so you can leave those as well. (Though this, admittedly, wouldn’t present much in the way of savings for the Kazakhs, as anyone who’s seen Borat will know.) Finally, when it comes to the holidays, well: “no need to travel abroad or to go to a restaurant. Stay [..] at home or invite yourself over to someone else’s place”.

So there you are. When you fall on hard times this year, go to Vlad for clothes. Just make sure to stock up on vodka and cabbage rather than soap and shampoo in case he shows up in turn for Easter. He won’t mind the smell.

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Liberal opinion roundup – first opinions about the unified stimulus bill

Economy, Politics, US Economy, US Politics

I suggested last night, in a quick first take, that the stimulus bill that came out of the conference committee of Senate and House bigwigs doesn’t look bad. But a quick round-up of the liberal blogs in our blogroll shows mixed reactions, in as far as people have gotten round to responding yet.

Steve Benen at the Washington Monthly quotes the Post saying that the final version of the bill, after “tumultuous negotiations,” looks a whole lot like “the broad outline that Obama had painted more than a month ago.” He comments: “It’s a good point. [T]he administration, a month ago, envisioned a $775 billion plan, with $300 billion in tax cuts. The finished product looks pretty similar.” 

He concludes that while “the package should be more aggressive and more ambitious,” it’s still, as a TPM reader put it, an “astonishing … legislative achievement, coming so early in the term.”

Chris Bowers, generally one of the most critical voices, is pithy: “The deal isn’t perfect, but it is still probably the best piece of legislation to pass Congress in, oh, 15 or 16 years.” You should just make sure that it’s just “a starting point from which our legislative and political prospects only improve.”

Neil Sinhababu at Donkeylicious happily says “Good work, House leadership”, remarking that “Isakson’s idiotic $15K tax break per house for home-flippers is gone, and a bunch of the aid to states is back.” Moreover, Stephen Suh at Cogitamus, whose opinion I was particularly interested in because he’s been very vigilant in his criticism of Democratic sell-outs, is satisfied, calling it “a much better bill than anyone thought could come out of the reconciliation process”.

Not everyone is as equinimous, though. Noam Scheiber is outright disappointed: the “only real improvement” on the Senate bill ” is the rollback of the wasteful car and home-buying tax credit”. Otherwise the package is “insufficient”:

Okay, I was wrong–I’ll be the first to admit it. The conference committee didn’t end up moving nearly as far toward the House version of the stimulus bill as I thought it would. The compromise, from what we know of it, looks much more like the substantively inferior Senate version: the cuts to state aid and school construction and COBRA subsidies more or less stand. So does the $70 billion Alternative Minimum Tax relief measure, which may be a perfectly fine idea, but isn’t stimulus under any reasonable definition of the term. This is disappointing, to say the least. 

He also quotes Sen. Tom Harkin, who was downright dismissive to the New York Times:

“I am not happy with it [..] You are not looking at a happy camper. I mean they took a lot of stuff out of education. They took it out of health, school construction and they put it more into tax issues.”

Mr. Harkin said he was particularly frustrated by the money being spent on fixing the alternative minimum tax. “It’s about 9 percent of the whole bill,” he said, “Why is it in there? It has nothing to do with stimulus. It has nothing to do with recovery.”

Nothing from Ezra Klein or Kevin Drum yet, the two bloggers I quote way too often here, just because somehow it often feels like they’re my long-lost, smarter, more brilliant, skilful and ambitious twin brothers or something. Normally they write what I wish I would have written, so if they turn out to be scathing about the end result, I’ll be second-guessing myself. We’ll see.

To help you make up your own mind, AP has the new, unified bill’s highlights. The Library of Congress has all the prior info on the bill, but does not seem to have info on the conference committee compromise yet. Since Congressional votes are expected within days, I’m sure the final, full text will be available soon.

UPDATE:

Matt Yglesias is ambivalently positive: “Still, the Senate bill was a lot better than nothing and the conference report is better than the Senate bill, largely thanks to Nancy Pelosi who continues to be the most underrated progressive leader in America [..]. Still, despite Pelosi’s best efforts a lot of good stimulative ideas were left out of this package and a lot of the topline dollar figure has been dedicated to an AMT patch that’s useless as stimulus. The administration and the House Democrats still know what these good ideas are, [..] and I think it’s important that they find ways to work some of those ideas into the regular budget process.”

Ezra Klein has “mixed feelings”:

The passage of the legislation is heartening, but the specifics of the compromise are depressing. So too was the demonstrated power of the centrists and the effortless unity of Republican opposition. The process did not bode well for more controversial priorities like health care and cap-and-trade.

Perhaps most galling was the shell game of the AMT patch. $70 billion for an upper class tax break. [..] And this one provision comprised almost a tenth of the bill. [..]

It was a mixed bill that was constructed in a disappointing way. The left bought into the theory of stimulus spending, which included speed, and many hoped that the spending side would be built to accomplish an array of long-term priorities in areas like transit. That proved, if not wrong, then not right, either. The final bill included a lot of spending — most of it genuine stimulus — but much of it was very different from the sort of spending that the left wanted. If you think of the stimulus bill as having had two questions — how much spending, and what sort — I’d say that liberals should feel good about the first and ambivalent about the second.

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How bad is it?

Economy, US Economy


It’s bad, real bad: “Recession-battered employers eliminated 598,000 jobs in January, the most since the end of 1974, and catapulted the unemployment rate to 7.6 percent [..] the highest since September 1992”:

The grim figures were further proof that the nation’s job climate is deteriorating at an alarming clip with no end in sight. [..]

The latest net total of job losses was far worse than the 524,000 that economists expected. Job reductions in November and December also were deeper than previously reported. [..]

All told, the economy has lost a staggering 3.6 million jobs since the start of the recession in December 2007. About one-half of this decline occurred in the past three months.

UPDATED: The NYT has some ferocious-looking graphs on the numbers, with individual details for added depression: blacks have been especially hardest hit, enlarging the race gap in unemployment again; those with only high school are significantly harder hit than those with college degrees. So the vulnerable suffer most.

It also has some choice quotes to hit home the seriousness of the situation:

“Businesses are panicked and fighting for survival and slashing their payrolls,” said Mark Zandi, chief economist at Moody’s Economy.com. “I think we’re trapped in a very adverse, self-reinforcing cycle. The downturn is intensifying, and likely to intensify further unless policy makers respond aggressively.” [..]

As in previous months, employers [..] slashed their payrolls in almost every industry except health care. Manufacturers eliminated 207,000 jobs, more than in any year since 1982. The construction industry eliminated 111,000 jobs. [..]

“This is a horror show we’re watching,” said Lawrence Mishel, president of the Economic Policy Institute [..]. “By every measure available — loss of employment and hours, rise of unemployment, shrinkage of the employment to population rate — this recession is steeper than any recession of the last 40 years, including the harsh recession of the early 1980s.” [..]

[S]ome analysts contend that the current rate of 7.6 percent understates the labor market’s problems because the percentage of adults participating in the labor force has slumped, and those people are not listed as “unemployed.” Peter Morici, an economist at the University of Maryland, estimated that if the labor force participation rate today were as high as it was when President Bush took office, the unemployment rate would be 9.4 percent.

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Consuming From Income, Not Wealth

Economy, Politics, US Economy

I read an article called “A Smarter Stimulus” in the New Yorker when it first came out — I keep thinking of it again when I see disparaging references to the tax cuts in Obama’s stimulus plan, such as Frank Rich’s recent column.

I find the whole economic mess daunting and appreciated the clear explanation of one aspect of the proposed stimulus package that is encouraging.

Evidently not all tax cuts are equal.  The Bush tax cuts did not accomplish much because they were treated as a windfall, and people tend to shunt those into their savings accounts.  The Obama tax cuts will be different — they will take the form of less withholding from paychecks.  The article explains the difference, in terms of the effect on the economy:

The size of the windfall matters a lot: the bigger the windfall the more likely it is to be saved. One fascinating study of Israelis who received reparations from Germany found that those who received the biggest payments spent very little of the money, while those who received small payments spent it all

The key factor in these kinds of distinctions, Thaler’s work suggests, is whether people think of a windfall as wealth or as income. If they think of it as wealth, they’re more likely to save it, and if they think of it as income they’re more likely to spend it. That’s because many people tend to base their spending not on their long-term earning potential or on their assets but on what they think of as their current income, an amount best defined by what’s in their regular paycheck. When that number goes up, so does people’s spending. In Thaler’s words, “People tend to consume from income and leave perceived ‘wealth’ alone.”

So what does this mean for making a rebate work? If you want people to spend the money, you don’t want to give them one big check, because that makes it more likely that they’ll think of it as an increase in their wealth and save it. Instead, you want to give them small amounts over time. And you want the rebate to show up as an increase in people’s take-home pay, because an increase in steady income is more likely to translate into an increase in spending. What can accomplish both of these goals? Reducing people’s withholding payments.

That’s a large excerpt but not the entire article — I encourage you to read the whole thing.  The conclusion:

On its own, Obama’s rebate plan isn’t going to resurrect the economy. But it’s a policy that works with people as they are, rather than as we imagine they should be. And that’s a stimulus in itself.

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Will the grapes of the House GOP’s wrath turn out to be sweet for the Democrats?

Culture, Politics, US culture, US Economy, US Politics

I already noted that the significant dilution of the stimulus bill, when it was only going to be rejected unanimously by the House GOP anyway, drove some people up the wall. “Now that [Obama has] offered concrete concessions to the GOP only to have them publicly throw them back in his face, there simply isn’t any super-secret strategy that can [..] make it all make sense,” wrote Stephen Suh angrily at Cogitamus. Why bother even striving for compromise?

This question will get more acute by the day, as a recent post by Kevin Drum illustrates. He reports on the Obama administration’s push to extend the February 17 deadline for TV stations to switch from analog to digital transmissions. Not exactly a hotly partisan issue, right? The Senate promptly arrived at a bipartisan bill – which it passed unanimously. Every Republican agreed. But then the bill went to the House.

Only 22 House Republicans voted in favour. 155 voted against it. Drum: “100% of Senate Republicans voted in favor but 90% of House Republicans voted against. Shazam! Apparently the House GOP caucus really has decided to blindly stonewall everything Obama wants, no matter what.” He posits: “This is even more of a wakeup call than the vote on the stimulus bill.”

Right. The House GOP leadership is startlingly open about its intentions too, observes Dan at Bleakonomy. It will block and obstruct whatever comes its way, so Republicans can freely blame the Democrats for everything when the economy hasn’t recovered yet in six months. Yes, six months – if things haven’t improved in six months, the Republicans intend to say that it’s all the Dems’ fault and that the stimulus “didn’t work” because they “didn’t have the input in this”.

Of course, the current crisis is turning out to be the worst in almost three decades and is guaranteed to have an impact lasting (much) longer than six months, so … GOP profit!

Yet still there are valid reasons not to come down on Stephen’s side of the argument … yet. (I mean, apart from the stimulus bill not actually being all that bad.) The obvious one is the enormous contrast between House and Senate Republicans on the TV bill. If the Senate GOP shows any remotely similar divergence from the House Republicans’ obstruction course on the stimulus as well, Obama’s strategy may still come to “make sense”.

Then there’s the question of strategy. I already linked to Josh Marshall’s argument that offering the Republicans significant compromises, only for them to reject everything anyway, will help to brand them as the party of ‘no’. Which will marginalise them even further in 2010 so the Dems can go the long haul. Kevin Drum links to more evidence on that count too: a poll conducted by Democracy Corps on January 14-19.

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What liberal media?

Media / journalism, Politics, US Politics

During the Bush administration, Think Progress noted yesterday:

the media consistently allowed conservatives to dominate their shows, booking them as guests far more often than progressives. The rationale was that Republicans were “in power.”

Well, now they no longer are. Same difference, TP notes, after turfing how many Republican and Democratic lawmakers were hosted on the five cable news networks (CNN, MSNBC, Fox News, Fox Business and CNBC) to discuss the economic stimulus plan during the days ahead of the House vote.

Particularly striking: CNN, that supposedly liberal bulwark, gave the mike to exactly one Democratic lawmaker (Sen. Sherrod Brown) and seven Republicans, which included such well-known figureheads as Rep. Marsha Blackburn and Rep. Tom Price and such mainstream voices of reason as Rep. Ron Paul and Sen. Coburn.

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The Democrats who voted against the stimulus bill in the House

Economy, Politics, US Economy, US Politics

UPDATE, 13 February: For an overview on today’s vote, see this new post: The Democrats who voted against the stimulus bill in the House, part II: Once more round the bend.

—————

Yesterday, as Americans will know, the House of Representatives passed the $825 billion stimulus package that was proposed by the Democratic leadership. It passed by 244 votes to 188, without a single Republican vote in favour. 11 Democrats voted against.

Who were those Democrats? The Clerk’s Office of the House has the roll call:

46 28-Jan H R 1 On Passage Making supplemental appropriations for fiscal year ending 2009

The Democrats who voted nay were:

  • Allen Boyd – FL 02
  • Bobby Bright – AL 02
  • Jim Cooper – TN 05
  • Brad Ellsworth – IN 08
  • Parker Griffith – AL 05
  • Paul Kanjorski – PA 11
  • Frank Kratovil – MD 01
  • Walt Minnick – ID 01
  • Collin Peterson – MN 07
  • Heath Shuler – NC 11
  • Gene Taylor – MS 04

WSJ’s Washington Wire notes that “Bright, Parker, Kratovil and Minnick are freshman lawmakers, while Boyd, Cooper, Ellsworth, Peterson, Shuler and Taylor [and Minnick – nimh] are members of the fiscally conservative Blue Dog Coalition.”

Mind you, the Blue Dog Democratic Coalition has 47 members in all, so almost 6 out of 7 Blue Dogs actually voted in favour.

Democratic votes against the stimulus package in the House of Representatives vote of 28 January 2009

Democratic votes against the stimulus package in the House of Representatives vote of 28 January 2009

As the quickly improvised map above shows, most of the Democratic Nay votes come from rural and small-town districts, and six of the 11 Democratic Representatives who voted against were from the South. That’s still a small minority of Southern Dems in the House though.

The dilution of the stimulus bill during its preparation for the House vote has driven some liberal observers up the wall, and hyperbole aside not without reason. So many concessions, and still not a single Republican vote? Why bother in the first place?

But on the side of the defense, Josh Marshall argues that it might all turn out to be smart strategy; with Marc Ambinder chiming in that what may seem like Democratic gullibility is also done with an eye of unrelated upcoming votes. The Congressional Progressive Caucus, in its turn, has made a point (in a memo that’s not on their own website – what’s up with that?) of highlighting all the priorities it did manage to get into the bill. For example, a “20% temporary increase in maximum food stamp level above the FY2009 level for two years” (cost: $24 billion), “Medicaid payments to states (FMAP)” (cost: at least $15 billion) and “Unemployment benefits (UI) extension” (cost: at least $12.7 billion).

Now to wait how many of their proposals make it through by the time the Senate’s done with the bill as well.

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