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William Galston

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SOTU 2012: An Analysis of President Obama's Speech

Posted: 01/24/2012 10:39 pm

In his 2012 State of the Union Address, Barack Obama issued a ringing call for government to take the lead in rebuilding an economy that works for all Americans and to revive the promise of a more cooperative politics that carried him to the White House in 2008. While many of the specific measures he urged are likely to resonate with the public, it remains to be seen whether he can persuade the majority of Americans to set aside their long-festering mistrust of government and give him a mandate to pursue an aggressive policy agenda.

What about the specifics? In advance of President Obama's State of the Union address, I laid out five things to listen for. Against that template, let's look more closely at what he said.

#1: For better or worse, an incumbent president's record is at the heart of his reelection prospects. He cannot run away from that record; he must run on it. So what is the narrative that links the crises of 2008-2009 and the disappointments of 2010-2011 to our hopes for a brighter future?

Toward the beginning of his speech, Obama offered his account of our recent economic history. Even before the recession, he said, jobs began going overseas while wages and incomes for most American were stagnating. And then the crisis hit, sparked by mortgages sold to people who couldn't afford them and inadequately regulated financial institutions who made bad bets with other people's money. He reminded the country that in the six months before he took office, the economy lost four million jobs, and another four million in the early months of his presidency. Since then, however, the private sector -- led by manufacturing -- has created millions of new jobs. And so, he concluded, "The state of our Union is getting stronger. And we've come too far to turn back now." Rather than changing course, the task before us is to "build on this momentum."

#2: The American people know that the U.S. economy has changed fundamentally and that the "success story" of the future will differ from those in the past. But what is that story?

In broad terms, Obama is betting on the continued revival of U.S. manufacturing, backed by targeted public investments in sectors such as clean energy and infrastructure. As he has before, he called for a major effort in the areas of education and training as well as support for basic research. While globalization is here to stay, he added, we cannot allow our competitors to victimize us with unfair trade practices, and he advocated a new Trade Enforcement Unit that will be charged with investigating "unfair trade practices in countries like China." And to accelerate domestic job creation, he urged corporate tax reform that ends subsidies for outsourcing while reducing taxes for companies that remain, and hire, in America.

#3: The plight of hard-working Americans -- those struggling to remain in the middle class and those struggling to get there -- must be front and center. How did the president frame his appeal to this bedrock of our economy and society?

As he did in his Kansas speech last month, Obama invoked a country and economy where "everyone gets a fair shot, everyone does their fair share, and everyone plays by the same set of rules." Symbolizing these principles, he called for tax reforms that follow the "Buffett rule" -- namely, "If you make more than $1 million a year, you should not pay less than 30 percent in taxes." At the same time, the president virtually dropped the theme of inequality, which had figured centrally in the Kansas speech. This was a wise shift: in America's public culture, the principle of fair opportunity is more powerful than is equality of wealth and income.

#4: Public trust in our governing institutions is at or near all-time lows. To the extent that Obama's agenda revolves around an activist government, how did he seek to persuade Americans that its policies can actually improve their lives?

While acknowledging public cynicism about government and calling for reforms of Congress and the executive branch, the president appeared to be hoping that the content of his economic agenda would trump doubts about the effectiveness of the public sector. He may well be underestimating the intensity of negative public sentiment and overestimating its willingness to accept what many will portray as a new burst of activism.

#5: Barack Obama is not just a candidate; he's the president, and the people expect him to speak as the president. How did he balance his strategy of drawing the line with the Republicans against the imperative of conducting himself as the president of all the people?

For the most part, Obama addressed the country as president rather than party leader. While giving no ground on his key priorities, he spoke of differences between the parties more in sorrow than in anger and tried to identify some common ground, even on the core issue of the role of government. He called on everyone to "lower the temperature in this town" and to "end the notion that the two parties must be locked in a perpetual campaign of mutual destruction." And he observed that "when we act together, there is nothing the United States of America can't achieve.

Throughout his speech, Obama invoked the principles of fairness, collective action, and common purpose. Conspicuously absent was the theme on which the Republican Party rests its case -- namely, individual liberty -- a contrast that prefigures a 2012 general election waged over clashing partisan orientations as well as competing accounts of the president's record.

Cross-posted from Brookings.edu. Read more from the Brookings Institution here.

 
 
 
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Juanne Michaud
Proud Canadian, loony lefty
12:23 AM on 01/26/2012
Republicans favour individual liberty?

Really?

Then all this blather on ending abortion is -- what? Teasing? Everyone has the right to not have an abortion ever? And not to have access to contraception?

And religion? Everyone is free to worship as they please -- as long as they please to be extreme fundamentalist right wing Christian bible bangers?

Or possibly maybe Republicans are vicious hypocrites who count on the voters' ignorance and apathy?
11:15 AM on 01/26/2012
Republicans are desperate to sustain the myth, trumpeted so brazenly during the dubya administration, that they are the "real patriots". Yes citizens' ignorance and apathy kept them blind to this myth. In reality Republicans are nakedly blatant shills for bloated corporate concerns; or, so succinctly stated by LaFollette in 1910, "a tool of big business". And LaFollette was a Republican himself! So, Republicans have always had as their agenda the exploitation of all classes below the upper class, so that the rich can get even richer. Then the Repubs can continue to justify their essentially useless existence. They are the true instigators of "class warfare".
11:50 PM on 01/25/2012
Obama has a problem. Once he gets an idea or policy in his mind, he stays with it regardless of the logic of it. We all know that he wants to redistribute wealth and that he wants more and more citizens to be dependent on the government. This would insure that the Democrats remain in office. That is the reason that he will do whatever it takes to stop oil and existing energy production. His plan is to make existing energy exceedingly high and that will assure that the green energy segment can compete. He is picking winners and losers. He has stated that he wants existing gas prices to be $8 to $10 per gallon. Poor guy. I guess he doesn't realize that if gas gets to those levels that he will hurt the poor and middle class the most since energy is such a large percentage of every average citizen's budget. The delay of the Keystone pipeline is a prime example of his intentions. It wasn't about the environment but rather his excuse. If gas prices do become higher, the foreign countries that do not follow the same green agenda will sell their products to us at even lower prices than currently and this will drive more companies to flee the US for foreign manufacturing. If you understand this and still vote for Obama, you will be cutting your wrists and reducing your own financial structure.
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Juanne Michaud
Proud Canadian, loony lefty
12:30 AM on 01/26/2012
Gas prices are going to go higher. Your prices are artificially low. Here in Canada, a liter of gas ranges anywhere from $1.10 - $1.20. That's about $4.50 a gallon , which is still low compared to what they pay in Europe.

Eventually these resources are going to run out. That's what non-renewable means. Better to start developing alternatives now instead of waiting around until the crisis hits.

I agree high oil/gas prices will hurt the poor. Prices as they are now hurt the poor, but I don't see the GOP really giving much thought to it. Do you?
12:05 AM on 01/28/2012
I am not familiar with gas price structures in Canada and Europe but I know they are higher than the US. I suspect they are higher due to the amount of tax by each country. I agree with you. Oil will run out in some distant future. When? I don't know. I agree it pays to experiment, develop and bring on line other forms of energy. This should include coal, nuclear and natural gas. Solar, wind and geothermal are also in the hunt. The point is that every energy source must stand on its own with a minimum of government intervention. If solar can meet the test, I'm for it. Also, since all natural resources are of limited quantity, it is prudent that we use them wisely. The oil companies know this and are experimenting with alternatives. The GOP has a plan which includes all of the above but it will not get too far unless Obama changes his mind on green energy only. Since this is an election year, Obama may finally see the light and agree to pursue the conventional energy sources. This may occur if he agrees that man made global warming is a hoax. I haven't seen the article, but the WSJ has an article on this topic Also,Obama has 3 or more setbacks on the stimulus that he been given to green energy companies that have filed for bankruptcy. Plus, he wants to get elected in November.
05:33 PM on 01/26/2012
would you please site your sources,the first resource of a hrypocrite like you is to make a statement withouth the facts, which I am demonstrating now.First off, Govoner Huntsman said that we have an energy bias toward one fuel source this leads to monopolization and gouging, second the xy pipelines even the Canadian rejected before they tried to force us to take it (btw it leaks like a civ(sp) losing over 50% of tyhe oil sands it is moving poluting the ground like crazy. Also it is not for domestic consumption as its resources are bound for CHINA, and finally it would only provide about 1000 construction jobs do to massive amounts of automation in pipeline building, and 300 permanent jobs along the whole length. due to computerized monitoring.
12:31 AM on 01/28/2012
The more players there are in the energy market, the less monopoly exists. That is why the free market system works. It is called competition. If Canadian oil comes to Texas, Jobs will be created in a number of areas. Pipe line workers, environmental engineers, consultants, hotels, eateries, clothing, new car sales, recreation vehicles, beer, wine, refinery workers, less food stamps. taxes for state and federal plus the entertainment industry. Whether the oil is used in the US or sold after refining is not relevant. If it is sold, the money received improves the US balance of payments. The list could be much longer but I think you get the point. What is really good about this project is that it doesn't require much if any government subsidy so the Federal government and the tax payers are minimally involved and results in minimizing additional debt which now occurs when federal subsidies are involved. As to leaking pipe lines, there is approximately 50000 miles of pipe line in the US now and the majority are safe. Sounds like a win/win to me.
07:15 PM on 01/25/2012
The Republican-Libertarian-Corporatists like to present it as an either-or choice. Individual responsibility (all good) OR collective responsibility (all bad). It's a false premise. We need a balance of both. Personal liberty and institutional accountability are both possible and necessary.
Corps. are people, money is speech, Verizon vs customers, WallMart vs employees, these cases are why we can't have another GOP Pres. appointing justices.
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johngary66
Accused of heresy and decided to go with that.
06:10 AM on 01/26/2012
The problem is given that Wall Street bought Obama his first term in office, and he did a fabulous job for them, they are buying in a second term. Since he will never again have to answer to Main Street in another election, what bargain did he make with Wall Street for a second term. I figure the main bargain for the first term was putting Bernanke, Geithner and Summers in his administration and during everything he could to protect the Banks and Bankers. Accomplished completely. Don't buy into his speech about now investigating the banks, remember he promised loud, clear and often he would restore Rule of Law. Didn't take him a New York minute to dump that promise and follow completely in Bush II's neo-con footsteps. I figure the bargain for 2012 is to deliver whoever Wall Street wants if there is a Supreme Court opening. He won't have any excuse, such as having to get re-elected , to say no to Wall Street. Would you go against the very powerful people who just bought you two elections?
06:41 PM on 01/25/2012
I know, I know, I know if you are white and yell “you lie” at the Prez during a SOTUA you are a racist. So I reluctantly admit that yes it did slip out several times last night. But come on! If you think that Buffet does not pay the same tax rate as everybody else you are a liberal and the Prez is a liar. Sorry, guess that makes me the R word. And we vote for the Republican Party and are Tbaggers.
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HST
Conservatism = selfishness
08:08 PM on 01/25/2012
"If you think that Buffet does not pay the same tax rate as everybody else you are a liberal and the Prez is a liar."

According to this sentence the Prez is a liar if I believe Warren Buffet does not pay the same tax rate as everybody else even though that's what the Prez said?

On the other hand if your word salad is about you disbelieving wht the Prez said about Warren Buffet why don't you PROVE IT instead of just pulling things out of your orfice?

Making assertions withoout any facts -how conservative of you.
05:55 PM on 01/25/2012
This guy can't run on his record, his economy, or his policies.... all of it has failed dismally and everyone knows it! Unemployment, gas prices, and national debt, and health care costs have all went up under his watch and no matter how you slice it.... It was his watch. His ideas and policies have failed. We cannot afford 4 more years of this. Not unless we all want to speak chinese....
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electrosef
Blue-green-purple Reality exposure
09:57 PM on 01/25/2012
You think unemployme­nt, gas prices, national debt, and health care costs are under the control of the President, and you reside in Disneyland.
12:52 AM on 01/26/2012
What has failed dismally is the ability of the Republicans to co-operate on any issues that the President tries to put forward...."This Guy" - I think you mean President Obama's policies have
failed because they were never given the opportunity to manifest due to Republicans that
bound and determined that he fail - you know - "the NO guys"
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cvwilson
04:21 PM on 01/25/2012
Is it any wonder that many Americans have low confidence in the efficacy of government? For the last 30 years one of our two major political parties has turned "anti-government" from a rhetorical device into an idealogicly rigid governing position. When they are in power they select incompetents and party hacks to manage most domestic programs. When out of power they do everything they can to obstruct or posssibly sabotage the workings of government.

It is instructive to look at the military because, while I know that most conservatives do not like to think about it in that way, it is part of the government. It has fairly high approval ratings because it is viewed as being fairly effective. Could that be because it is the one part of government that the Republicans do not obstruct and sabotage? That it actually gets the resources it needs to do its job? That they actually try to get competent people to run it?

The military also has the advantage that it can classify its failings as secret while domestic departments can not. There have been numerous studies over the years that show that most government agencies are run at least as well as most private institutions of equivalent size. However, no human institution is perfect and if you want to destroy one you can always find enough annecdotal failings and repeat them over and over that will do so.
07:29 PM on 01/25/2012
The anti-government rhetoric is to disenfranchise us from our own government. It's then free to be used and abused by the GOP on behalf of their corporate sponsors. Military contractors and private health care insurance are the best examples of how private bureaucracies cost us more than public ones because of the unnecessary profit component.
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electrosef
Blue-green-purple Reality exposure
09:59 PM on 01/25/2012
Well said! F&F.
04:06 PM on 01/25/2012
“Fairness” is a term used to arouse people to become unsocial. Hence, every user of the term should define the term beforehand. However, TSOU speech is a confirmation of our continuous ignorance to conform to the universal “Laws of Economics”. As much as we have to keep to “The Moral Laws” and the “Laws of Physics” in order to sustain ourselves, thus we have to keep to the “Laws of Economics”. For your information Google “The World Monetary Order”.
http://theworldmonetaryordertocome.blogspot.com/2010/11/introduction.html
03:48 PM on 01/25/2012
President Obama's "thumbs up": "...corporate tax reform that ends subsidies for outsourcing while reducing taxes for companies that remain, and hire, in America." "If you make more than $1 million a year, you should not pay less than 30 percent in taxes."
"Thumbs down": failure to address concerns with our "individual liberty". Americans in both parties, excepting perhaps the extreme left, have come to distrust the president in this area. The fact that he's silent on an issue which many are vocal about to the point of paranoia doesn't bode well for him. He didn't explain or justify acting independently of Congress and the judiciary, invasive surveillance, excessive controlling law, compromised rights on arrest and detention of citizens, unprecedented discretionary power to law enforcement and the commander in chief, and widescale interference abroad. The "war on terrorism" is a lame justification and unacceptable. It appears the U.S. is fast becoming a police state, and people wonder if Obama has a covert agenda.
In my opinion, however, voting for Gingrich is not an option. From the debates he seems willing to say anything for audience approval; his platform must be prestige as no unifying theme is evident in his campaign. At least Obama has progressive ideals. If Romney's nominated, it's a close watch of the race and a final decision at the polls, not minding if he wins regardless of how my vote is cast. But Newt is just out of the question.
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RichVAman
left of the Right & right of the Left.
03:44 PM on 01/25/2012
Republicans favor individual liberty AS LONG AS things are done their way on Abortion, Religion, State Rights and Taxes. They want people, especially Democrats, to follow their rules AS LONG AS the rules benefits them. Once this is no longer true they then want to change the rules.

Obama hit every point that William Galston listed out of the park! Why would we want any of the Republican clowns trying to win their nomination?

PLEASE TELL ME WHY?! Crickets chirping……….Thought so!
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ftkl1234
03:43 PM on 01/25/2012
The GOP may be so insisting on individual liberty but the President spelled it out: Government will do what individuals can't do for themselves and no more. So clean your ears, you Republicans!
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03:27 PM on 01/25/2012
Barack's (and the Democrat's) mantra that all must pay their "fair share" wears increasingly thin.

Why is 30% of income for millionaires a “fair share”? Because Barack says so? Because Nancy Pelosi says so?

“Share” connotes a non-arbitrary division based on some accepted formula. A “fair” share must then mean a fair formula. What is fair about one person paying 30% when half the people pay 0%?
The top 1% of returns (people who have AGI above $345,000 - 2009 numbers from IRS), earn 17% of the income, but pay 37% of the income tax. These people pay twice their prorata share of tax based on income. Why is that fair? Because they are Rich? Because they are you?

Fair is in the eye of the beholder. Just because you shift the tax burden to people with money doesn’t make the allocation fair.

Fair is when everyone pays the same prorata share of income as taxes. Earn a million, pay 10% - %100,000. Earn $100,000, pay 10% - $10,000. Earn $20,000, pay 10% - $2,000 (and ask yourself why you didn’t take advantage of the free public education that would have allowed you to make more).

Simple
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Juanne Michaud
Proud Canadian, loony lefty
12:42 AM on 01/26/2012
The rich should pay more proportionally because (a) they can afford to and (b) there is the principle of reciprocity.

Someone like Mitt Romney is not going to starve if he pays 30% of his income. At worst, maybe he has to drive a Rolls instead of a Bentley (or whatever). Or have 5 houses instead of 6. A guy earning $50,000 a year who pays 30% feels that bite much more.

As for reciprocity, consider: The rich did not get rich in a vacuum. The society they live in supports and sustains them. The roads they drive on are paid for by taxpayers. The cars they drive have to meet standards mandated by government agencies. The electricity they receive is monitored by government, which is in turn paid for by taxpayers. The homes they own have certain standards mandated by the government. As do the materials used. The food they eat is inspected by government inspectors, paid for by taxpayers. I could go on, but I think I've made my point.

People used to understand that paying taxes was part of the duty of a citizen. This was before the appalling culture of narrow-minded greed, cruelty and selfishness became acceptable. I still believe that individually, you Americans are generous people. But certain elements of your political parties would belie that.
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01:43 PM on 01/26/2012
Juanne, the question is: why is it "fair" to charge the rich more than a prorata share? And your answer is: Because they can afford it and they won't feel it as much as the poor (i.e., they can afford it).

Your answer fails to address the question of fairness. People want to pay their share, so long as their share is fair. Your answer address ability to pay, not fairness.

The question remains: why should some pay more than their prorata share. The prorata share can be based on different calculations, so long as they are fair. The proration could be based on the persons' share taxable income or, alternatively, the number of people paying the taxes.

For example, in 2009, there were 137 million taxpayers paying $866 billion in federal income tax. The prorata share of tax based on the number of people paying would be $6,275 per tax payer. That's one method most people would not accept, although it would be a “fair” allocation. So that leaves a proration based on the taxpayer's share of taxable income. Here, as noted, the rich earn 17% of the income but pay 37% of the tax, twice their prorata share. Where is the “fairness” in that?
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Freddie27
Liberal Gay Jewish Atheist
03:05 PM on 01/25/2012
Republicans favor individual liberty? That was a joke, right?
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johngary66
Accused of heresy and decided to go with that.
06:43 AM on 01/26/2012
Yeah, haven't you heard, they now support gay marriage and are pro-choice.
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Bleubeard
Tolerating intolerance is intolerable!
03:03 PM on 01/25/2012
It was a brilliant speech. He virtually pantsed the GOP and scolded the Dems for failing to put their Country first. He challenged them to give him some meaningful legislation to sign this year allowing both sides to take some credit. He clearly explained how we can continue to move forward and improve our status in the world if he's given the chance. He deserves that chance.
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AlfredE69
Occupy Election '12: Vote 3rd Party
06:12 PM on 01/26/2012
Sorry, Saddam did not have a nucular weapon.
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GHENT007
THE ONE TRUE GLOBAL MUSIC SUPERSTAR!!
02:45 PM on 01/25/2012
individual liberty, lets discuss that concept, What liberty? When republican economic terrorists have hijacked the process by which liberty can actually be experienced, there is no liberty, when our political process is polluted by corrupt republicans hell-bent on re-directing the majority of the wealth in America to people who already have massive wealth, their undue manipulation of the American political process has to end, then and only then can genuine liberty be experienced by each and every American rich or poor, black or white, with fairness and equality which was the founders intention not the current polluted political system we are currently experiencing.
06:57 PM on 01/25/2012
odd that you would tag Republicans with such traits... I would argue that liberals, as you are (97% odds), are collectively ( and you love that term admit it) socialist, segregationist, secularist and special interest. Your idea of equality and liberty is if the government provides redistribution of the fruits of ones labors for you, buses your children to force diversity while being the most segregated race in the country, takes God off the dollar, the halls of justice, run the boy scouts off public property because they have God in their pledge and allows ACORN to run a pimp sanctuary and run the elections. It is sad to see the damage you ilke does to America you will never understand. You sound intelligent. You are severely misguided.
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GHENT007
THE ONE TRUE GLOBAL MUSIC SUPERSTAR!!
07:13 PM on 01/25/2012
Misguided, to what extent, they complain about the debt, but the wealth gap is wider than ever, Romney making 58,000 dollars a day is morally disgraceful and politically absurd, this is simply not fair to the average american, the corruption that has polluted the American political system is the very reason we had such a dramatic economic downturn, it was corruption that caused so many Americans to lose their homes during the Bush presidency, and again, the Illegal war in Iraq, the bank bailout, and the wonderful tax cut for the rich during wartime, this political mentality is destructive and is the very reason we need Obama, his levelheadedness and great decision making kept us from going over the economic cliff.
02:35 PM on 01/25/2012
Oh the vulgar they need to be ruled
So they must be perpetually fooled
And the ruling class fate
Is to foster the state
To remain the tuxedoed and jeweled