Changes

Although the exact direction of the Administration is unknown, it is known from public policy statements and initial actions that it will take a more [[leftist]] position than the [[Bush Administration]] on issues such as taxing the rich and [[abortion]].   

Although the exact direction of the Administration is unknown, it is known from public policy statements and initial actions that it will take a more [[leftist]] position than the [[Bush Administration]] on issues such as taxing the rich and [[abortion]].   

==Economics==

==Economics==

The gravest crisis it faces is the [[Recession of 2008]], with the economy spiraling downward. Moving fast, the House on Jan. 28 passed an economic stimulus package‎ of $819 billion in new spending and tax increases, despite unanimous Republican opposition. A revised bill passed the Senate with three Republican votes. A compromise bill known as the "[[American Recovery and Reinvestment Act of 2009]]" has been passed by Congress, providing for $789 billion in tax increases and new spending. Depending on the day, democrats claim it will prevent 2, 3, or 4 million jobs from disappearing. <ref>http://www.freemarketproject.org/articles/2009/20090224125726.aspx</ref> No tax rate decreases under the act and some tax rates increase. The plan does contain credits for people that engage in activities the government approves of such as taking out a mortgage. <ref>http://www.forbes.com/2009/02/27/obama-budget-small-business-personal-finance_obama_budget.html</ref>

The gravest crisis it faces is the [[Recession of 2008]], with the economy spiraling downward. Moving fast, the House on Jan. 28 passed an economic stimulus package‎ of $819 billion in new spending and tax increases, despite unanimous Republican opposition. A revised bill passed the Senate with three Republican votes. A compromise bill known as the "[[American Recovery and Reinvestment Act of 2009]]" is now law, providing for $789 billion in tax cuts and new spending. Democrats claim it will prevent 3-4 million jobs from disappearing, but economists are unsure how to measure the impact it will have. <ref>see [http://www.freemarketproject.org/articles/2009/20090224125726.aspx Conservative commentary]</ref>

While Detroit spread gloom on Feb. 17 as GM starkly warned of impending bankruptcy unless it gets more aid, Obama promised $275 billion to help people refinance their home mortgages. Thus far Obama's response to economic crisis closely parallels that of [[Herbert Hoover]] in 1930-31 in dealing with the [[Great Depression]]. It is too early to say if his plan will be as unsuccessful as Hoover's but the mortgage plan was dismissed by CNBC announcer [[Rick Santelli]] who called it "collectivist." The Wall Street Journal says the plan will cost up to $275 billion and will help up to nine million homeowners. Thus, the cost is about $30,000 per homeowner helped. <ref>http://online.wsj.com/article/SB123496582087411241.html?mod=todays_us_page_one</ref>

While Detroit spread gloom on Feb. 17 as GM starkly warned of impending bankruptcy unless it gets more aid, Obama promised $275 billion to help people refinance their home mortgages. Thus far Obama's response to economic crisis closely parallels that of [[Herbert Hoover]] in 1930-31 in dealing with the [[Great Depression]]. It is too early to say if his plan will be as unsuccessful as Hoover's but the mortgage plan was dismissed by CNBC announcer [[Rick Santelli]] who called it "collectivist." The Wall Street Journal says the plan will cost up to $275 billion and will help up to nine million homeowners. Thus, the cost is about $30,000 per homeowner helped. <ref>http://online.wsj.com/article/SB123496582087411241.html?mod=todays_us_page_one</ref>

The Wall Street Journal reported that Obama's carbon [[cap and trade]] system will raise consumer energy prices. It will cost companies $645 billion between 2012 and 2019. Rep. John Boehner said, "Let's just be honest and call it a carbon tax that will increase taxes on all Americans who drive a car, who have a job, who turn on a light switch, pure and simple."<ref>http://online.wsj.com/article/SB123566843777484625.html</ref>

The Wall Street Journal reported that Obama's carbon [[cap and trade]] system will raise consumer energy prices. It will cost companies $645 billion between 2012 and 2019, which will result in higher prices. All the taxes will be refunded to taxpayers, however. Rep. John Boehner said, "Let's just be honest and call it a carbon tax that will increase taxes on all Americans who drive a car, who have a job, who turn on a light switch, pure and simple."<ref>http://online.wsj.com/article/SB123566843777484625.html</ref>

===2010 Budget===

===2010 Budget===

On Feb. 26 Obama proposed to Congress a $3.6 trillion budget containing a sharp shift toward expanded government activism, tax increases on high income families and businesses that are still profitable, with spending cuts targeted at businessmen he says profited from "an era of profound irresponsibility."

On Feb. 26 Obama proposed to Congress a $3.6 trillion budget containing a sharp shift toward expanded government activism, tax increases on high income families and businesses that are still profitable, with spending cuts targeted at businessmen he says profited from "an era of profound irresponsibility."<ref>[http://www.forbes.com/2009/02/27/obama-budget-small-business-personal-finance_obama_budget.html mixed evaluation from conservative economist]

The Budget assumes federal deficit of $1.75 trillion for 2009, or 12.3% of GDP--the highest deficit in perscentage terms since World War II. By 2013, the hypothetical deficit will drop to $533 billion but then will begin to climb again. The budget includes an additional $250 billion for more rescues of the financial markets by purchasing toxic assets on the banking sector's books.

The Budget assumes federal deficit of $1.75 trillion for 2009, or 12.3% of GDP--the highest deficit in perscentage terms since World War II. By 2013, the hypothetical deficit will drop to $533 billion but then will begin to climb again. The budget includes an additional $250 billion for more rescues of the financial markets by purchasing toxic assets on the banking sector's books.