Obama's Massive Economic To-Do List

The New York Times breaks down the massive tasks at hand for President-elect Barack Obama when he steps into the Oval Office:

Few presidents have entered office with an economy in such turmoil. Reflecting worries that the worst may not be over, the stock market continues to languish, with a 5 percent decline on Wednesday, leaving it 35 percent below its peak last fall.

The reasons are myriad: the financial system, though back from the brink, remains deeply troubled. Housing may no longer be in free fall, but plummeting values and rising defaults have impoverished many homeowners and burdened states with widening budget deficits. The once-mighty auto industry is on the verge of implosion.

Consumers who piled up credit card debt are pulling back, a major concern because their spending helped power economic growth in recent years. And with unemployment widely expected to increase to 8 percent or higher, from 6.1 percent, consumers are likely to tighten their belts even more.

Here's the to-do list that the Times assembled:

Economic Stimulus: Obama Is Likely to Act Quickly

Mortgages: A Pledge to Aid Homeowners

Federal Regulation: Tighter Reins on Wall Street

Auto Industry: In Detroit, No Cash, No Credit, No Time

Health Care: An Overhaul Will Have to Wait

Technology: To Shape Policy, a Cabinet Voice

Energy: An Agenda Faces Possible Delays

Trade: Cooperation Fades, Protectionism Rises

Read the full story here

-or-

::Obama Under Pressure To Name Treasury Secretary Quickly
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::Obama To Inherit Feeble Economy

Comments

[schatsie]

The first thing I would do is cut taxes for the bottom 60%, and subject the WALL STREET COMPENSATION all of it to income taxes... REDUCE THE TAX LOOP HOLES and dodges....

ANY INCOME OVER 250 grand is subject to income tax rates.....

I would allow a 50% tax credit to anyone earning less than 60 grand for child care expenses, property taxes, and all interest. including student loans and credit cards...

[funkalicious]

Here is a quick fix
# Economic Stimulus: Obama Is Likely to Act Quickly
# Mortgages: A Pledge to Aid Homeowners _=== median home price in line with median income 135 tho
from 250
# Federal Regulation: Tighter Reins on Wall Street = Reign in bonuses tied to performance paid out in 2011 oversite of Derivative CDS clearing house. serial numbers on all securities.
# Auto Industry: In Detroit, No Cash, No Credit, No Time=== hand in glove with energy examine auto fleet mpg average miles driven incentive or bailout only to manage a 20% reduction in fuel usage..ie cafe standards
# Health Care: An Overhaul Will Have to Wait=== standardize all health care codes at hospitals across the country and at every insurance business. Develop a master card visa model for records checking savings biullions first baby step to full coverage.
# Technology: To Shape Policy, a Cabinet Voice= yeah google that
# Energy: An Agenda Faces Possible Delay=== tax breaks for development study grid begin implementing plan to modernize and shrink transmission waste.
# Trade: Cooperation Fades, Protectionism Rises== tread with care we need international trade strenghten trade relationships encourage worker rights.

[Vinca]

DO WE HAVE TO HAVE ANOTHER BRIDGE COLLAPASE< BEFORE WE PUT ANY MONEY IN OUR INFRASTRUCTURE?

[Vinca]

Obama has A REALLY BIG MESS TO CLEAN-UP, A person on tv, said Bush would do everything , but burn down the White House, before he leaves office

[freshnotbitter]

The NY Times "to do list" is typical of what ails America: An utter lack of confidence in new, bold models for a new world.

Instead we have a lot of "this has to wait" and "that has to wait" and a lot picayune incremental proposals meant to maintain political viability through a few months to the next election.

Health care has to wait? The whole mid west is going bankrupt with General Motors who complain about legacy costs of health care and health care has to wait?

Energy plans have to wait? Now that lower oil prices would mean alternative energy is not so important why spend the money on alternative energy? That incremental dollar seems to be the god of NY Times economics. Give it to the spending package, the stimulus bill. What good does it do to stimulate GM with twenty five billion dollars if they are just going to throw it away on a mishapen business model? the same goes for the banking industry. Send the pope out to talk with Attila and maybe he will spare Rome. Yeah, sure.

[jerrypl]

Bush is a buffoon, and the Americans that casted ballots for him were stupid. He has become Herbert Hoover, and will be considered the worst president ever. President Obama has no time to waste to get a new Marshall Plan moving. He has to put together a ground-up program. He needs to push Bush aside and get moving. Bernanke and Paulson have ruined the nation in order to make their banksta gangsta's rich, with a Bush Economic Pardon.

http://eye-on-washington.blogspot.com

[sposton]

Please do not malign Herbert Hoover by comparing Bush to him.

[FDRJFKLBJ]

Obama is a reincarnation of Bush in economic matters, but only worse.

How did Bush get us into this mess?
+ With super low interest rates.
+ With huge deficit spending.

Obama wants to do all of these, but on a grander scale. We are drowning in debt -- credit cards, treasury bills -- and Obama wants to pile on even more.

Huge unemployment is what I predict under Obama. If you have a job, it'll probably be for government in one of these newfangled Obama work camps; digging miles of ditches and paving endless stretches of roads just to keep you busy.

Come on guys, let's rebuild America with Obama by doing menial work. Yes we can!!!

[ENOS]

Obama showed himself as a really hard working man in his campaign. The campaign itself was the most organized and accomplished in recent history. I'm not sure why anyone would expect him do be any different in office. The people he surrounds himself with really seem to understand the markets...Warren Buffet for example.

[PT6]

HOMEOWNER Walk Aways are Feeding the banks bad loans which are in turn wiping out the Banks ability to loan!

We do not need another stimulus as that had little effect!

Banks have a choice get 45% to 60% or get next to nothing!

But giving Homeowners a low interest loan to replace a 10% to 15% loan will give people lots of money to spend and stimulate the economy for months to come!

The only way to end this CRISIS is to stop the hemorrhaging of Home Mortgage Walk-Aways!

Every day we wait it gets worse as people walk and homes depreciate!

The best stimulus package is to solve that FIRST!

Technology can also help remove the Mortgage Company layer with automated loans from Fannie and Freddie and provide lower rates to stabilize the housing market!

[PT6]

HOMEOWNER Walk Aways are Feeding the banks bad loans which are in turn wipping out the Banks!

We do not need another stimulus as that had little effect!

But giving Homeowners a low interest loan to replace a 10% to 15% loan will give people lots of money to spend and stimulate the economy for months to come!

The only way to end this CRISIS is to stop the hemorrhaging of Home Mortgage Walk-Aways!

Every day we wait it gets worse as people walk and homes depreciate!

The best stimulus package is to solve that FIRST!

Banks have a choice get 50% to 65% or get nothing!

Technology can help remove the Mortgage Company layer and provide lower rates to stabilize the housing market!

[FDRJFKLBJ]

An economics meltdown is on the horizon.

[Harry Scrote]

It already was, you financial gurus just only now admitted it.

[FDRJFKLBJ]

No, I'm talking about an economic collapse.

I'm talking about the money in your bank account being worthless and you not being able to retire EVER in your life because you, like most Americans will be broke. It's going to blow your mind how bad it's going to get.

[reliant1]

Just emulate FDR - go into even huger debt, think of it as nat'l investment, and use it to put people to work . Rebuilding the old infrastructure and inventing the new. Working people pay taxes and buy stuff. New tech gets sold and makes more money. Some get rich and buy even more.

Any attempt to cut spending now so as to make little payments on the debt while the country falls apart around us makes no sense. Saddle our kids with debt and a country moving forward and educating them and prospering or saddle them with lesser debt and crumbling schools and no future.

Ask the kids which they would choose.

[strangerinthenight]

That's what the Repugs did - we got into an ever ending debt, and look what it go us ?

Everyone is just fearful of losing their jobs, and rightfully so. People are not spending because they do not have cash, maxed out credit cards, credit has dried up, banks are not lending because of fear of loan default. More home mortgages default, more homeless Americans. Credit card defaults are on a steep rise. Food cost remains so high. Car sales are down 20%, Auto industries are going bankrupt, expect 3 million job loss. There's going to be huge tax increases, which means less take home pay, that is if you are lucky enough to have a job. More people will be on welfare. More criminals and guns on the street. Economist project the worse is yet to come, and if recovery ever comes, it will be 4-6 years. EVERYONE IS FEARFUL.

There will be riots in the street. Ominous signs.

[PT6]

The only way to end this CRISIS is to stop the hemorrhaging of Home Mortgage Walk-Aways!

Every day we wait it gets worse as people walk and homes depreciate!

The best stimulus package is to solve that FIRST!

Banks have a choice get 50% to 65% or get nothing!

Technology can help remove the Mortgage Company layer and provide lower rates to stabilize the housing market!

[Britishdemocrat]

This is my first comment about Obama's win on Huff Post. I am exstatic about it. It is brilliant for African Americans, Democrats and the Left in general. Tuesday's election certainly gives sums up what Americans think about the last eight years of rule by the Republican Party. Their identity is now in crisis, their future uncertain and no one should feel sorry for them. They deserve it after what they have done to this country and the world. As for McSame people will be ringing up asking for his advice on how to lose and as for Palin, Obama should demand an apology from her for calling him a terrorist. I stayed up all night watching the coverage and sat glued to the tv. State after state went Democratic and it was brilliant. Not only do we have the first African AmerIcan presideNt we also have the first Catholic Vice President and that is brilliant also.

[strangerinthenight]

Brilliant - you used the word many times. I see gloom every where. ECONOMIC DISASTER. Tell me where the light is coming from, I don't see it.

[curiousasheck]

The U.S. Government’s total downstream liabilities and unfunded commitments (including Medicare, Social Security, Public Debt, Pensions, etc.) have now exceeded $53 trillion dollars (according to David Walker, the U.S. Comptroller General and Head of the Government Accountability Office). $53 trillion translates into a de facto debt of $455,000 for every American household.

[MilwaukeeDan]

cah, actually, Walker resigned months ago and is the head of the Peterson foundation. He knows what he's talking about, but no one is listening.

[CNBCSucks]

Is there a way we can lobby Obama to jack up marginal taxes not 3%, but maybe 40 - 50% higher on the rich like it used to be? I think the rich out to pay 91% marginal tax rates the way they used to during the Eisenhower Administration. I don't care what Obama does with the money, I just want the old progressive tax system to return.

Actually, I think the 3% was just a "get me elected" figure for Obama. The man is a real liberal, so I think my wishes will be fulfilled.

[Indubio]

Please... enlighten me as to why you think Obama is liberal? The man just appointed Rahm Emanuel as Chief of Staff. He's considering the president of the NY Federal Reserve as Treasury Secretary. There's talk of keeping Gates on as Defense Secretary and appointing Chuck Hegel as Secretary of State. What about any of these men is liberal? Obama ran on a purely centrist platform that only seems liberal because the nation has been pushed so far to the right over the past three decades (GOP talk of Obama's socialism was patently silly). Mind you, I'm not saying any of Obama's choices thus are bad or even wrong... I'm saying these men have no liberal credentials. For crying out loud, Emanuel's fingerprints are all over the so called bankruptcy reform bill. Because the country has been pushed so far right, Obama cannot be liberal and that is going to disappoint an awful lot of people. Obama is an incrementalist. He may push the political pendulum to the center and move a little left but we'd need far more serious economic catastrophe before Obama does anything hard left.

[MilwaukeeDan]

In, you are right, Emanuel is a hawk. Hagel is a republican, but he and Kucinich have a lot in common when it comes to foreign policy. Hagel believes in working with Russia to stabilize that region, he's not an antagonist.