Vindicator Logo

Obama's deficit plans run into economic reality

Friday, April 22, 2011

LOS ANGELES (AP) — President Barack Obama headed west to sell his big picture deficit-reduction plan. But many people are waiting for a quick fix to their own economic problems caused chiefly by persistent unemployment and the crippled housing market.

Audiences in California and Nevada understood why it's important to get a handle on the deficit over the long term. Yet they made clear that the economic recovery hasn't fully taken hold in ways that are meaningful to them.

As Obama shifts into re-election mode, he will need to show that he hasn't lost his focus on jobs even as the conversation in Washington swings to paying down what the nation owes.

An audience member at Obama's town hall meeting Wednesday at Facebook headquarters in Palo Alto, Calif., summarized how the increased attention on red ink looks to the public.

"At the beginning of your term you spent a lot of time talking about job creation and the road to economic recovery," the questioner told the president. "Since then, we've seen the conversation shift from that of job creation and economic recovery to that of spending cuts and the deficit."