Friday, February 13, 2009

Obama Pays High Price

From Karl Rove at the Wall Street Journal:
Mr. Obama will get his bill. But it won't be one focused on job creation and stimulus. The bill he signs will create a raft of new programs and be the biggest peacetime spending increase in American history, which will give us larger deficits and create pressure to raise taxes. It will also hinder the president's other goals, such as expanding government health care.
But if Republicans predict economic doom, they will overplay their hand. The Democratic stimulus will slow recovery, but not stop it. Recessions don't last forever and, if history is a guide, sometime late this year or early next the economy will rebound on its own. When that happens, Democrats will argue that their untargeted, permanent spending actually revived the economy.
Americans are skeptical of the notion that increasing the size and cost of government will lead to an increase in jobs and economic growth. A recent CBS News poll, for example, shows that 62% of Americans think "reducing taxes" will "do more to get the U.S. out of the current recession" -- nearly three times the 22% who prefer "increasing government spending." A recent NBC News/Wall Street Journal poll found that 60% of Americans are worried that government will "spend too much" to boost the economy. Only 33% worry it will spend "too little."
The debate here is about means, not ends. Americans and both parties want a revived economy. Republicans want focused proposals that create jobs and growth, while the White House seems ready to accept what House and Senate appropriators have drawn up.
Mr. Obama, for all his talents, has already re-energized the GOP and sparked a spending debate that will last for years. The president won this legislative battle, but at a high price -- fiscally and politically.

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