Lawmaker Says Super Committee's Success, Failure Won't Affect 2012 Election

By Andrea Salazar

Jared Bernstein, Vice President Joe Biden’s former economic policy adviser, and Rep. Mick Mulvaney (R-S.C.) said that the success or failure of President Obama’s Joint Select Committee will not affect the outcome of 2012 presidential election.

“There’s a group of folks in Congress who think that Congress dictates the results of a presidential election,” Mulvaney said. “I think the presidential election stands on its own, and I doubt seriously if the outcome, one way or the other, of the super committee is going to impact the outcome of the 2012 presidential election.”

Bernstein echoed Mulvaney’s sentiment, saying “people are already operating from the mindset that these guys can’t agree on anything.”

The super committee is tasked with making recommendations to Congress on how it can cut the deficit by at least $1.2 trillion over the next decade, but with its Nov. 23 deadline fast approaching, many are growing skeptical of the committee’s success.

“I don’t think its prospect for success is high,” Mulvaney said. “If I wanted to have new ideas about how to fix things in Washington, D.C., I’m not sure I would put Sen. John Kerry on the commission. That’s not exactly an influx of new ideas of how to fix problems.”

Social Contract Guiding Obama's Economic Efforts, Says Biden Adviser

By Kyle LaFleur

The social contract in the wake of the United States’ economic recession was the focus of an address given on Tuesday by Jared Bernstein, the top economic advisor to Vice President Joe Biden.

The social contract, according to Bernstein, is “a consensus wherein the majority agrees to abide by a set of rules. They agree because absent these rules, they and their property and their family would be in danger.” 

“I view the great recession as the outcome of a failed social contract,” he added.

Bernstein, who has authored two books on economic issues facing middle-class Americans, argued that there are two types of social contract systems: The first, he said, is ‘YOYO’ (you’re on your own), which he claimed is weaker and reliant upon privatization and defunding of government regulations. The second he said, is ‘WITT’ (we are in this together), which he described as a broader social contract and the path being used by the Obama administration to restore the country’s economic balance.

On other issues, Bernstein credited the 2009 Recovery Act with helping stabilize the nation’s economy, but warned that it will take time for all the benefits of the legislation to be realized.

“The fact that you’ve turned around only means you’re moving in the right direction, it doesn’t mean you’ve arrived at your destination,” he said. “Families are clearly still struggling and we need to do all we can to build on the existing momentum, something the President and our economic team continue to focus on every day.” 

Nearly $1 Billion In Stimulus Funds Set Aside For Health Care I.T.

$750 million in Recovery Act funds will be allocated toward improving information technology in the health care sector, Health and Human Services Secretary Kathleen Sebelius announced Friday.

“The awards we are talking about today ... help to unleash the power of health I.T. to cut costs, eliminate paper work and most of all help doctors deliver high-powered coordinated health care,” Sebelius said during a conference call with reporters.

According to a statement released by HHS, more than 100,000 medical centers and individual providers will have access to the technologies within the next four years.

The funds are coupled with an additional $225 million from the Recovery Act to train workers in careers based around the soon-to-be-implemented technologies.

Jared Bernstein, the Chief Economist for the office of the Vice President, praised the training programs as a wise investment.

“In every month of this recession, including those at the beginning... the health care sector was adding jobs,” Bernstein explained.

The program, which will be spearheaded by the Department of Labor, is set to provide training for 15,000 workers.

White House Press Briefing With Robert Gibbs

By Meagan Wiseley, University of New Mexico-Talk Radio News Service

-Recovery Act

Robert Gibbs introduced Jared Bernstein and Melody Barnes to discuss the report released this morning on education-based jobs saved by the American Recovery and Reinvestment Act.

Bernstein, the Chief Economist and Economic Policy Advisor to Vice President Joe Biden, said that preliminary recipient data that is coming in to the Recovery Accountability and Transparency Board shows 250,000 education jobs saved or created. These jobs are a subset of the 1 million jobs saved or created thus far through the act, which leaves the Economic Council on track to accomplish the stated goal of saving or creating 3.5 million jobs by later next year.

Bernstein added that the data reflects direct jobs, or jobs that are directly created and funded through spending in the Recovery Act. The Council of Economic Advisers has estimated that the Act has saved about 1 million jobs so far, and this estimate includes direct and indirect jobs.

Bernstein said this is clearly the most transparent and accountable treatment of a government program that has ever been seen before.

Barnes, the Director of the Domestic Policy Council, said the Recovery Act has made schools able to avert massive layoffs and also created jobs for educators in the pre-kindergarten, K-12 and higher education fields.

Barnes pointed out that preventing layoffs averted class size expansion, which has been a concern in the educational context.

Additionally, Barnes said reforms have been put in place to increase standards and assessments, teacher effectiveness and student progress tracking. An extended school day and school year for struggling schools has also been implemented.

When asked how the revenues to keep the new jobs in place when the federal dollars from the Recovery Act money are gone, Barnes said the administrations was very cognizant of such a scenario when developing the Recovery Act and that it was created in the context of the economy improving. Thus, states would be able to support these jobs and increases once the economy strengthens.

-Afghanistan

On the possibility of a runoff election in Afghanistan, Gibbs said that, in his assessment, General McChrystal knew the election would be taken into account. Gibbs said a sizable American force in Afghanistan must be met with a credible partner, and that, without a credible partner, no one involved can make a difference. Gibbs said he is supportive of Deputy Chairman of NATO, Lt. Gen. Karl Eikenberry’s plan to work with Afghan President Hamid Karzai on this matter.

Gibbs refused to comment on hypothetical situations regarding a future election, but did say the administration is encouraging processes by the Afghan people to choose a candidate that is legitimate.

-Health Care Reform

On Heath Care reform, Gibbs said the administration is working to ensure choice and competition in the insurance market. He said the President has been clear on his preference for a public option to be in the final bill.

-Sudan

On Sudan, Gibbs said a comprehensive policy is needed to deal with the humanitarian crisis in Darfur. Gibbs said there is pressure being put on the Sudanese government, and if steps are taken to address components of this issue by the government, there will be incentives.

-Iran

On Iran, Gibbs said that Iran has an opportunity and a responsibility to demonstrate to the world their purpose for a nuclear program. He said the U.S. obligation is to get a sizable amount of low enriched uranium out of Iran in order to make the world more secure.

-Economy


On the financial sector, and Godlman Sachs/JP Morgan executive bonuses, Gibbs said the administration does not want to be in the business of executive compensation. He said last September that the American people went through great lengths to make sure the financial system didn’t collapse. He said the banks are equally as responsible to ensure that it doesn’t happen again.