Huge Stimulus Package Coming from Obama

[FordBuyer]

WASHINGTON (AP) -- Two of President-elect Barack Obama's top economic advisers said Monday the U.S. economy needs a substantial stimulus package to avoid a deep recession.

 

 

Treasury Secretary Henry Paulson, center, addresses a gathering of corporate CEOs at an economic conference sponsored by The Wall Street Journal at the Four Seasons Hotel in Washington, Monday, Nov. 17, 2008. He is joined at left by Robert Thomson, editor in chief of Dow Jones & Company, and at right by former Secretary of the Treasury Robert Rubin. (AP Photo/J. Scott Applewhite)

 

Former Treasury Secretary Larry Summers, who is being mentioned as a front-runner for the same job in the Obama administration, said the depth of the current economic crisis underscored the need for a stimulus package that would be "speedy, substantial and sustained" over a period of two to three years.

 

Robert Rubin, another former Treasury secretary in the Clinton administration, agreed that whatever package Obama puts forward next year would be large. He said a sizable package would provide a "strong probability" that the current economic crisis "will abate within a reasonable period of time," although he refused to be pinned down on how long that would be.

 

Summers and Rubin both spoke at a business conference sponsored by the Wall Street Journal, appearing on the same panel with current Treasury Secretary Henry Paulson.

 

Summers, who stressed he was providing his own views and not necessarily those of the Obama team, said that the seriousness of the crisis had convinced him that a sizable stimulus package was needed.

 

He did not offer his own estimate of how big the package should be, but noted that economists at Goldman Sachs had suggested the effort should be in the range of $500 billion to $700 billion, much larger than the figures being used so far by Democrats in Congress.

 

He said the effort should be aimed keeping the country from "just lurching into a downdraft and a vicious cycle" in which economic weakness feeds on itself.

 

Spending to avoid such a downward spiral would be less costly in terms of the government budget deficits than not providing enough stimulus to combat the economic weakness, he said.

[jafo]

WASHINGTON (AP) -- Two of President-elect Barack Obama's top economic advisers said Monday the U.S. economy needs a substantial stimulus package to avoid a deep recession.

 

 

Treasury Secretary Henry Paulson, center, addresses a gathering of corporate CEOs at an economic conference sponsored by The Wall Street Journal at the Four Seasons Hotel in Washington, Monday, Nov. 17, 2008. He is joined at left by Robert Thomson, editor in chief of Dow Jones & Company, and at right by former Secretary of the Treasury Robert Rubin. (AP Photo/J. Scott Applewhite)

 

Former Treasury Secretary Larry Summers, who is being mentioned as a front-runner for the same job in the Obama administration, said the depth of the current economic crisis underscored the need for a stimulus package that would be "speedy, substantial and sustained" over a period of two to three years.

 

Robert Rubin, another former Treasury secretary in the Clinton administration, agreed that whatever package Obama puts forward next year would be large. He said a sizable package would provide a "strong probability" that the current economic crisis "will abate within a reasonable period of time," although he refused to be pinned down on how long that would be.

 

Summers and Rubin both spoke at a business conference sponsored by the Wall Street Journal, appearing on the same panel with current Treasury Secretary Henry Paulson.

 

Summers, who stressed he was providing his own views and not necessarily those of the Obama team, said that the seriousness of the crisis had convinced him that a sizable stimulus package was needed.

 

He did not offer his own estimate of how big the package should be, but noted that economists at Goldman Sachs had suggested the effort should be in the range of $500 billion to $700 billion, much larger than the figures being used so far by Democrats in Congress.

 

He said the effort should be aimed keeping the country from "just lurching into a downdraft and a vicious cycle" in which economic weakness feeds on itself.

 

Spending to avoid such a downward spiral would be less costly in terms of the government budget deficits than not providing enough stimulus to combat the economic weakness, he said.

 

 

Funny how the media has already changed. The last brief recession we had the president was chastised for such deficit spending. Now the media is all in with a huge new deficit spending package, which now doubt will break records. We even have Obama quoting cheny about defecits dont matter...How quickly things change.

[Ford-150]

open topic?

[FordBuyer]

Since $350 billion of the original Rescue Plan is not going to be spent by Bush/Paulson, I would imagine Obama will fold that money into his new stimulus plan and add a lot more to it. I'm sure GM will get some of that money along with Ford and Chrysler. I would also imagine that most of it under the Democrats will go to Main Street and not Wall Street. GM needs to hang in there, cut costs as much as possible, and wait for new Congress. Right now there really is not President and many of the Republicans against the auto deal are not coming back as they got booted out. Bush is just going through the motions and Paulson seems to be befuddled.

[taxman100]

Washington always tries to do the exact opposite of what should be done. Bush was clueless about the economy, but Obama appears so far to be even dumber than Bush.

 

All this deficit spending only lands your children more debt, and inflation will be coming as they fire up the printing presses to try to monetize all this debt. Which in turn creates more federal deficit spending due to inflation.....

 

What are we, some 3rd world country, or 1920's Germany?

[Ford Jellymoulds]

Washington always tries to do the exact opposite of what should be done. Bush was clueless about the economy, but Obama appears so far to be even dumber than Bush.

 

All this deficit spending only lands your children more debt, and inflation will be coming as they fire up the printing presses to try to monetize all this debt. Which in turn creates more federal deficit spending due to inflation.....

 

What are we, some 3rd world country, or 1920's Germany?

 

Fiat money to build Fiat 500 type cars.