“The American Economy Is Again Progressing,” Says President’s Economic Advisor

By Mariko Lamb-Talk Radio News Service

Lawrence Summers, Director of the National Economic Council and Assistant to the President for Economic Policy, discussed the progress that the Obama administration has made thus far in economic recovery and voiced his confidence that the U.S. will be able to overcome the current economic challenges.

“Substantial progress has been made in rescuing the economy from the risk of economic collapse that looked all too real six months ago,” Summers said.

He reported that “many private forecasters expect to see positive growth in the second half of this year.” Additionally, reports have indicated improved consumer and business sentiment, a 33% decrease in investment grade corporate bonds, and a slower pace of GDP contraction.

A slight pause in Summers’ optimism ensued upon the mention of the high unemployment rate facing the U.S. “Unemployment is substantially higher and job loss has been greater than most observers predicted last winter...unemployment is likely to rise in coming months,” he admitted.

He claimed, however, that although the high unemployment rate is a significant problem, it “does not provide a basis for concluding that the Recovery Act is falling short of its goals.” He advised Americans to be patient since the “peak impact of the stimulus on jobs” is not projected to be achieved until the end of this year.

"While unemployment continues to contract, the available indicators suggest that GDP is on close to a level path with prospects for positive growth to commence during this year,” Summers concluded.

Green Jobs: Transforming The Blue Collar Worker Into The Green Collar Worker

By Courtney Ann Jackson-Talk Radio News Service

Business and political leaders are joining forces to ensure the creation of more green jobs in the United States. Vice President Joe Biden headlined Wednesday’s Green Jobs Summit hosted by the Senate Democratic Steering and Outreach Committee. Summit participants, including Senate Majority Leader Harry Reid (D-N.V.) and Sen. Debbie Stabenow (D-Mich.), are investing in clean energy and committing the U.S. to generating a stronger, environmentally friendly economy. 

“We have to act fast and we have to think of the future we want to build,” said Biden.
“The best part of building a clean energy economy [is that it] not only puts us on the path to a greener and more sustainable future but it necessitates the jobs that are going to get us there.”

Biden noted that the U.S. has to be competitive in the creation of a clean energy economy and become a leader in the twenty-first century. According to Biden, that means energy efficiency can not become an issue that gets put aside during the next four years. 

The Vice President also said we have a moral challenge to make certain that the younger generations inherit a safe and clean planet. 

“I am more optimistic about the place we are today. I’m more idealistic about what we can do today than I was when I was a 29 year old kid elected to the United States Senate in 1972. The slope is really steep but the opportunity is gigantic.”

The American Recovery and Reinvestment Act, the $787 billion dollar plan to stimulate the U.S. economy, was signed into law by President Obama in February 2009 and includes a three year extension of the renewable energy production tax credit which will be used to establish future investments in wind, geothermal, and biomass energy.

White House Reports Stimulus Success

The American Recovery and Reinvestment Act, a $787 billion piece of legislation intended to stimulate the U.S.economy, has met with modest success within its first 100 days, according to a report released by the Office of the Vice President.

“This is no simple task, and the economic troubles that we face are the result of years of neglect. We can’t reverse that damage in a hundred days, but we are starting to turn the corner,” said Rob Nabors, Deputy Director of the Office of Management and Budget, during a conference call with reporters.

Jared Bernstein, Chief Economic Advisor to the Vice President, said that the recent decrease in job losses nationwide is a sign of the Recovery Act’s progress.

“In every state across this country people are at work who would not have been for the measures in this act," Bernstein said.

Bernstein touted a number of programs that will presumably continue to fuel job growth, including: training for green jobs, infrastructure investment and fiscal support for states.

“The Federal Government has allocated $112 billion thus far for these activities. That’s a tremendous dose of medicine for an economy that’s finally showing some signs of breaking it’s fever,” he said.

Just a Spoonful "Economic Medicine"

By Courtney Ann Jackson-Talk Radio News Service

The Recovery Act is doing just as its name promised, according a press conference Wednesday from the office of Vice President Joe Biden. Biden released his first of a series of quarterly reports to President Barack Obama Wednesday morning.

In an on background conference call, a senior administration official from the Vice President’s Office said the American Recovery and Reinvestment Act has shown “early progress providing immediate financial relief for American families.”

The recession has been broad-based, causing unemployment to rise across the country. However, the Recovery Act has been responsible for creation of 150,000 new jobs so far, across all 50 states, including those in areas where it is most needed. “There are programs targeted to specific high unemployment
areas,” the official said.

The report discussions on state fiscal stabilization funds highlights Wisconsin’s application. It is is a good example of how states are “ramping up,” according to the official.

“The report find the anticipated funds are already having an effect on economic and job growth as private sector companies step up to meet expected demand for their projects under the act and state governments adjust their spending plans and they expect to received additional funds,” the
official said.

It’s out! Democrats present budget

by Christina Lovato, University of New Mexico-Talk Radio News Service

This morning Congressional Democrats presented a budget they claim will make essential investments in the economic recovery and drastically reduce the deficit nearly in half by 2014.

Congressman John Spratt (D-NC) said the resolution will reduce the $1.8 trillion deficit to $586 billion by 2014.

“We’re going to take student loans and convert them into direct loans, saving $53 billion over a period of five years. We’re going to put money in the IRS, and HHS (Department of Health and Human Services) and other government agencies, and say, ‘We want to see stricter enforcement,’ because we believe program integrity initiatives like that can save as much as $50 billion.... Now that’s not a deficit that is satisfactory in and of itself but it is quite an accomplishment,” Spratt said.

Today Republicans are expected to issue their budget proposal, their second in two weeks.

“Apparently they are divided on this issue,” said House Majority Leader Steny Hoyer (D-MD). “We wanted multiple budgets as we normally do as well but we are not divided. We’re going to see a unity of purpose and unity of commitment on the Democratic side. I don’t mean unanimous but great unity.”

Spratt says the budget introduced by Rep. Paul Ryan (R-WI) and other representatives is “awfully hard to get down because it calls for some huge, substantial cuts.”  

House Education and Labor Committee Chair Rep. George Miller (D-CA) said he is “excited” to see that this budget along with the economic stimulus package, for the first time, will provide more resources for early childhood education all the way up to college education.

“This budget with respect to education responds to what every business leader who has come to this Capitol, has demanded from this Congress, and that is to improve the American education system so that when we emerge out of this economic crisis we will be stronger, we will be better educated and we will be more competitive in the globalized economy that confronts us from now throughout our entire future,” Miller said. 

The budget stresses the need for a clean energy economy. Congressman Ben Ray Lujan (D-NM) says the proposed budget will create energy independence and job creation. 

 “The Democratic budget builds on a significant funding and tax incentive for the Recovery Act by increasing our critical investment in renewable energy and energy efficiency by some 18% for 2010.... We need to do this to limit our dependence on foreign oil,” Lujan said.