The legislative accomplishments of the Obama Administration are not translating into the American polity as success. The reasons for the Administration's failure in the eyes of the public are economic stagnation and joblessness, home equity decline, bankruptcy, wage stagnation and a significant public perception that the President and his Administration simply don't care about their economic welfare. In the face of these realities and perceptions the American people are less than enthusiastic about the President's leadership.
It is too early in the election cycle to predict the results, who knows what will happen between now and November; however, barring some incredible "Macaca moment" or significant economic change the Obama Administration has led the Party onto very thin ice.
Is there a way to change direction and reinvigorate the electorate? Could the President pull this one out?
The economy is the key and an about face on the economy is the one thing that will invigorate the Democratic electorate and bring independent "momentum" voters to the polls. Let's face it, the private sector jobs fairy is not coming to the party. The effects of price deflation in the housing markets coupled with joblessness and job instability have crushed demand by consumers. Inventories are being kept lean and businesses are cutting in every way they possibly can, not because of "regulatory uncertainty," as the Republicans would spin it, more profoundly it's simply a result of caution when aggregate economic demand is down.
The real economic issues are hiring and stimulating demand. The economic and fiscal policies of the Administration have failed to restore vigor to the economy. Regardless of your opinion of how effective the policies were in addressing the "financial crisis" and "preventing a Great Depression 2.0," "it could have been worse" is not answering the needs of the American public.
The President must address this issue. He must address the American people and admit the intransigence of the economic problems facing America. He must admit mistakes in estimating the severity of the anticipated joblessness in America and the effects of the real estate downturn. In order to address these issues symbolically, Larry Summers and Tim Geithner have to go and Elizabeth Warren has to be hired as the head of the Consumer Finance Protection Bureau. Legislatively the President must present a jobs bill and announce a new direction in combatting joblessness in the country. Making the government the employer of last resort is the only answer to this economic downturn.
Wall Street's and Main Street's interests have been politically decoupled. Geithner and Summers are perceived as servants of Wall Street, regardless of the reality, that is the public's perception. Even the clueless Boehner gets this fact, why don't we? It is way past time politically for this Administration to be seen as slapping down Wall Street. Getting rid of Geithner and Summers is the most efective way to do this. Instead of hiding Elizabeth Warren, pushing her out front as a symbol of commitment to Main Street is essential. Economic counselors known to be sympathetic to working Americans are available in the Democratic Party, lets use them.
Cutting joblessness by half relatively quickly could be done with the passage of necessary legislation, the President should propose this and insist on such a bill being passed. If Republicans resist or "Blue Dog" Democrats, then the President should publicly pillory them. Make this election about the future, make it about government as the solution, embrace Democratic Party foundational principles and make it about the people. Stop running scared and start running smart, support Social Security, full employment at a living wage, smart manufacturing policy and creating the economy of the future now. But most importantly, put people to work, now.