I’ve listened to many reports on the Obama budget, but the one that seemed to sum it up for me pretty well was from the Newshour with Jim Lehrer. Judy Woodruff spoke with Peter Orszag and I will attach the transcript. I didn’t really hear anything that I had not heard before but it really seemed to make what this is all about click for me. It is about perspective. Much of the Republican chest beating that is going on is simple (and ugly) politics. Hopefully people will see it for what it is. There is something more than that though. Yes, there are sincere differences between how republicans (small “r”, not the party) and democrats (small “d”, not the party) think things should be structured. Great. That is why we have debate. It is unfortunate that the big “R’s” and big “D’s” have to get in the way so often.
Even more than that though, seems to be the difference in individual viewpoints. In the interview, I felt Orszag did a great job of answering some of the criticisms of the bill. (Of course I did, I agree with him.) He kept saying “Let me be clear” and “Again, let me be clear”. But, what for some is obvious, probably won’t be for many others. Woodruff asked him about “redistribution of wealth” using some hot buzz words. He said that it was not – but then explained it was greater shared responsibility. He made a good case for it, pointing out that a middle income family would get a $1,500 tax credit for a $10,000 interest payment where Bill Gates would get $3,500 credit for that same $10,000 payment. That inequity probably doesn’t seem fair to a lot of people (my guess would be that Gates would agree). Yet, for many that “shared responsibility” is “taking from the wealthy to give to the poor”. Later in the interview Woodruff says the budget makes a lot of assumptions and Orszag terms it instead “bold”. It is all in how you look at it and perhaps part of it is generational. “Those youngsters aren’t doing things like we did in the day.” Vs. “That just isn’t the way the world works anymore, Gramps.”
One of the more frustrating things for me in this report and in others is the criticism that the budget raises taxes in a recession. The budget does let the Bush tax cuts for the top 5% (those making over $250,000) expire in 2010, thus “raising” taxes in 2011. So, yes, there will be higher taxes on the top 5% – but not until 2011. All those out there bloviating on taxing and spending do a disservice by not giving the full picture. There is another divide – those that see only the cliff notes and those that want the full picture. While you can factually say that the budget would raise taxes and increase spending, it distorts what is really being proposed. One man’s spending is another man’s investment.
I like a lot of what I’ve seen in the budget. I appreciate the fact that the costs of the wars are included. The huge deficit is not just about the bailouts and stimulus, the deficit reflects the war costs that have not previously been included. We knew the previous administration was leaving us in a hole, they just never told us the truth about how deep it was. The budget reflects much of what Obama campaigned on and so it will probably resonate with those of us that liked what we heard on the campaign. Still, it is hard not to feel discouraged when you know it has a lot of political processes to go through. It sure would be nice if we could all take off our colored glasses, rose or otherwise, and just try to look at things as the really are.
judy-woodruff-peter-orszag

Let’s Get It On
Tags: Barry White, Saturn, stimulus package
I’ve been in a funk. It just seems all so overwhelming. Bank bailout. Financial crisis. Loan crisis. Auto bailout. Partisan politics. Afghanistan. The guy down the hall telling me he is rooting for Obama to succeed and shaking his head in an expression of doubt.
GM cutting the Saturn brand upset me, too. I loved my Saturn SC2. I drove it for 11 years and put over 200,000 miles on it. I never had any problems with it. It was “totaled” after I was rear ended. I gave it to my niece, she had the frame bent back into shape and drove it for two more years. I felt it was a good example of the US actually being able to make good cars. One of the major reasons I bought it way back in ‘93 was that it was 96% American made. I didn’t’ trek to the Tennessee plant for their annual Saturn-fest, but I really loved that car. But, in the end, when I went to buy a new car, I went with the hybrid. There were no American options for that at the time – and really, there isn’t much in that department now. It just was one more example of how screwed up everything is.
Then yesterday I read an article in Newsweek about the Petro rulers. They all planned on oil staying at $100 a barrel and are struggling now that it has dropped. It gives Ahmadinejad, Putin and Chavez a reason to want to engage rather than just rage. It also made me think “Hey, things aren’t quite so bad here,” when I read that Russia’s market lost 75% of its value. But, I realized I must be getting over my doldrums last night while I was watching the cable news channels. I have a friend that swears everything can be an innuendo with the right intonation and a wink. So, “stimulus package” just started sounding funny to me. “Our stimulus package includes accommodations at the Swank Motel, a Barry White album and a bottle of Jose Cuervo.” Maybe Viagra will start advertising a bottle of the blue pills as “Your own personal Stimulus Package!” instead of the Viva Las Vegas remix. Hey, and maybe it’s not such a bad idea. Maybe we all need to just get it on and release some of those endorphins to get out our national funk. Who knows? Maybe if the Detroit leaders got a stimulus package (wink, nod) they could get out in front on that electric car thing.