Obama Has Made Himself Look Moderate in Budget Deals But Will Unemployment and Sluggish Economy in Key Sectors Kill His Bid for Re-election

Posted on August 1, 2011


Bohner may think that he has won the day but has he really?  Here is an article that posits the theory the Barack will use the budget crisis to launch an even heavier “attack” on the failed policies of the right.

 

Politically, things don’t look good for the Republicans now. Despite crowing that he got “98 per cent of what we wanted”, Speaker John Boehner is wounded. The strategy that Tea Party freshmen compelled him to follow was high-risk and troubling to the average voter, especially the elderly. In fact, there was nothing crazy about using the debt ceiling as leverage. It’s called brinkmanship, and it worked. According to CNN this morning, trading in US stock futures is up and the Asian markets are rallying. Social Security cheques will go out as normal, America’s credit rating will stay the same and the world continues to turn.

But the international community (read: ex-socialist regimes living off American easy money and military aid) denounced the Tea Party shenanigans. The combined outrage of domestic and Chinese critics gives the impression that the GOP took the world to the brink of economic disaster in pursuit of ideological goals. The New York Times, predictably, is forecasting a “double-dip recession”. The Wall Street Journal, ordinarily more favourable to the GOP, had this to say about its demand for a balanced budget amendment

The main result of this pointless crusade has been to damage Mr. Boehner’s leverage and push the final debt-limit increase in Mr. Reid’s direction. The Speaker may now have to seek the tender mercies of Nancy Pelosi to get a final bill through the House, and who knows what her price will be. The debt-limit hobbits should also realize that at this point the Washington fracas they are prolonging isn’t helping their cause. Republicans are not looking like adults to whom voters can entrust the government. [Telegraph]

But Congress is not the Bully Pulpit – the WH is the locus of that.  And leadership where it truly counts has been lacking no matter what light is shed upon Obama’s policies.  And so many will look back in anger at the days of their unemployment and not want to vote the current leadership back in.  They could see that the Republicans made a gallant fight to take the country down a new road.  Few have forgot the days of the Pelosi-Reid hegemony and Nancy is again in a position of power to bring in this agreement on schedule.

Frankly, it is too soon to say the Republicans have lost, the Democrats are back.  It’s the economy, stupids, and Barack is more associated with the success or failure of that than anyone in DC.

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