The Hill
Wednesday 28 November 2007
Congressional Democrats will focus on the economy next week in an effort to win political advantage from public fears about an approaching recession.
This underscores the party leadership's concern to avoid getting bogged down in more debate about Iraq and to make sure it is President Bush and Republicans who are blamed in the 2008 election for voter anxieties about the economy.
House leaders have discussed holding an economic summit and are poised to bring a long-awaited energy bill to the House floor next week, Democratic aides said.
Democratic Caucus Chairman Rahm Emanuel (Ill.), a former White House aide, explained the party's thinking, saying, "The executive branch gets credit for a good economy and a bad economy. That's how it works."
The economy has been clouded in recent weeks by oil prices approaching $100 per barrel, inflating heating prices at the onset of winter. Housing prices keep falling and the sub-prime mortgage crisis is expected to get worse. The dollar is weak, at all-time lows against the euro, and the stock market has lost 10 percent of its value since October.
The political environment is no better. Legislative gridlock, a fixture in Washington during the early 1990s when Democrats controlled Congress and President Bush's father held the White House, has returned.
Bush and congressional Democrats have yet to strike a deal on the remaining appropriations bills. Democrats offered to split the difference with Bush on the cost of the appropriations bills, but agreement appears unlikely.
The House passed legislation to curb abusive lending practices and another bill to shield millions of taxpayers from the Alternative Minimum Tax.
The two chambers are also at odds over an emergency spending measure to pay for the wars in Iraq and Afghanistan. The House passed legislation last month requiring Bush to use the money to pay for withdrawal of troops from Iraq, but the bill died in the Senate. Bush would have vetoed the measure anyway.
Unable to change policy in Iraq, especially amid some signs of military progress there, Democratic polling shows that economic news offers the party a way to pivot its message.
Emanuel implicitly rejected the idea that the Democratic leadership was changing tack. "My view is we've got to keep working on the economy and sending the message that we're addressing problems, and that's been our message since day one," he said, referring to Democratic-passed bills addressing issues ranging from tax relief to the cost of college to energy prices.
Presidential candidates from both parties have been emphasizing the economy lately.
"The economy will be among the biggest issues of the campaign next year. It is will be essential for Democrats to have an ambitious economic agenda that is as big as the struggle the middle class is going through today," said Simon Rosenberg, president of the New Democratic Network (NDN), a think tank.
In 2006, NDN-commissioned exit polling showed the economy was a bigger factor than Iraq in the Democratic takeover. Democratic pollster Stanley Greenberg's recent findings echo that conclusion.
Republicans dismissed Democratic efforts to blame them for the economy's performance.
"They're making this up as they go along," Rep. Adam Putnam (Fla.), the Republican Conference chairman, said. "They will politicize whatever they perceive to be going badly."
While some polling shows voters are angry with Washington, Rep. Phil Hare (D-Ill.) sensed more "disappointment" than anger in three town hall meetings he held during the past 10 days.
"I heard a lot about healthcare, Iraq and the cost of putting kids through school," he said. "It was a pretty broad brush."
Anxious to amplify their legislative accomplishments amid dismal congressional approval ratings, 18 freshman Democrats have held at least one economy-related event in their districts this year, a Democratic leadership aide said.
Speaker Nancy Pelosi (D-Calif.) rallied Democrats in Florida, Texas and North Carolina last month. She spent Tuesday in Oregon touting Democratic legislation that created tax incentives to spur innovation and job creation. Bush signed the bill last summer.
California Democratic Reps. Jerry McNerney and Dennis Cardoza will hold a workshop next week for families facing foreclosures. Counselors from federal and state government agencies and nonprofit organizations will be available to offer advice.
In Ohio, Rep. Zack Space (D) trumpeted the help he gave 114 constituents to secure unclaimed tax refunds.
In Florida, Rep. Tim Mahoney (D) held a symposium on Tuesday for high school students and parents to discuss the 2007 College Cost Reduction and Access Act, which increased spending on student aid by $20 billion.
"There's a lot of nervousness even among people who have jobs," Hare said. "They're concerned about slowdowns and shutdowns."
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