Agenda: Meeting of Brotherly Love?
Posted: Tuesday, December 02, 2008 9:23 AM by Domenico Montanaro
”When President-elect Barack Obama arrives at Philadelphia's Independence Hall today to meet with the nation's governors, the main question will be not whether he will deliver fast fiscal relief to the states, but how much?” the Washington Post writes. “Obama and congressional Democrats have promised that soon after Inauguration Day he will sign an economic stimulus bill that could exceed $500 billion. The governors intend to request about $176 billion of that -- $136 billion for infrastructure projects and $40 billion to bolster Medicaid health programs that serve the poor and disabled.”
The auto chiefs are back. "For the Big Three automakers to win over Washington lawmakers in their bid for federal aid, they will have to address a critical question in the business plans they give to Congress on Tuesday. Just how serious are they about shrinking their vast lineups of different brands and models to match the current harsh reality of the market? Between them, General Motors, Ford Motor and Chrysler sell 112 different car and truck models through 15 brands in the United States. By contrast, the top three Japanese automakers -- Toyota, Honda and Nissan -- have roughly half as many choices with 58 models combined sold through seven brands."
"One thing is certain: All three now see the wisdom of appearing humble. They've forsworn the use of private jets -- which became a symbol of corporate high-handedness in Round One -- for the return trip to Washington. Ford Chief Executive Alan Mulally plans to drive to Washington in a gas-electric hybrid vehicle. GM and Chrysler said only their CEOs would not be flying in private jets. But skeptics still abound. And the companies' detailed reports to Congress, just like their executives' new travel plans, may be more about public relations than economics. Analysts say the expected promises to renegotiate labor contracts, cut benefit costs or reduce product lines may placate some in Congress but will be hard to achieve."
The New York Times says, "One of the most difficult challenges President-elect Barack Obama’s national security team faces is Mr. Obama’s vow to send thousands of American troops to help defeat the Taliban in Afghanistan. Military experts agree that more troops are required to carry out an effective counterinsurgency campaign, but they also caution that the reinforcements are unlikely to lead to the sort of rapid turnaround that the so-called troop surge in Iraq produced after its start in 2007. After seven years of war, Afghanistan presents a unique set of problems: a rural-based insurgency, an enemy sanctuary in neighboring Pakistan, the chronic weakness of the Afghan government, a thriving narcotics trade, poorly developed infrastructure, and forbidding terrain."
