Companies like Ford cut wasteful spending while doubling down on productive investment. That’s exactly what the nation has to do over all. There have to be cuts, the president could say, in unaffordable pension commitments, in biofuel subsidies and useless tax breaks. But there also have to be investments in things that will produce a vibrant economy for our children: a simpler tax system with lower rates on investment; more scientific research; a giant effort to improve Hispanic graduation rates; medical courts to rationalize the malpractice system and so on. Instead of being disjointed, as he has been, the president will have to reinforce this turnaround story day after day.
Sounds great, but even if Obama pushed this agenda item for item, how on earth would he get it through a Congress dominated by a newly emboldened and much more conservative Republican Party?