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President's Unspoken Terms

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The Tampa Tribune

Published: March 26, 2009

President Obama's carefully worded speech and press conference Tuesday night left a very important thing unsaid.

His tone was reassuring, not the least bit panicky, but his message fell short of being inspirational because he continued to dodge a central issue. What additional sacrifice must everyday taxpayers make to pay for his ambitious agenda?

Financing renewable energy, improving schools, and increasing access to health care and keeping banks full of money will be affordable, Obama promised, because those investments will help the economy grow.

But he refused to be specific on the "tough choices necessary" to fulfill his promise to cut the budget deficit in half by the end of his term while accomplishing so many big projects.

A reporter put it to him directly: "Why haven't you asked for something specific for the public to be sacrificing?"
Obama answered only that "folks are sacrificing left and right" in the bad economy. He called on the public to keep working hard and continue to help their families and charity.

He did say later that "those who are more fortunate are going to have to pay a little bit more."

The broader sacrifices for the majority remain hidden in details yet to be revealed.

On Medicare and Medicaid, Obama accurately warned that federal and state governments "are going to be broke if we continue on the current path."

That would imply that current benefits must be cut or that payroll taxes must be increased. He mentioned none of that. What he called for were less controversial efficiencies in the government programs, better use of technology, and more preventive care.

What taxpayers are waiting to hear is an outline of how the government can guarantee more people better access to better health care without also raising taxes for most workers.

The same thing with renewable energy - Obama wants to make clean energy profitable by "pricing the pollution that's being sent into the atmosphere," but at the same time he told us not to worry about the price because the consumer would be protected from "huge spikes in electricity prices."

The message hidden between the lines is to brace for price increases that, while less than huge, might not be small. Obama needs the courage of his convictions. Americans gladly will pay a little more for an energy program that reduces dependence on foreign oil.

Obama's hope is that new industries producing clean energy, better schools producing more productive citizens, and better health care delivered more efficiently will combine to shift the economy into a higher gear and keep it there. There's a good chance he's right, but the transition won't be painless.

There is a risk is that much will be spent with initially disappointing returns. European countries are, after all, caught in the same economic slowdown even though they do have universal health care and are much more energy efficient.

But it's hard to pin Obama down, as this question shows: "Do you worry that your daughters, not to mention the next president, will be inheriting an even bigger fiscal mess if the spending goes out of control?"
Obama said, "Of course I do," but went on to explain why he really wasn't worried. He talked about "bending the curve" on deficit projections by sparking economic growth and killing programs that don't work.
Obama is right that in recent years the economy tricked us with an illusion of prosperity through an unsustainable runup in housing prices. But his new illusion of more public spending at minimal public pain is also a mirage.

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