live blogging second presidential debate part 1
I’m going to try to liveblog again, even though I realize it interferes with my appreciation of the visuals.

9:03 First question- what’s the most positive solution to bail regular citizens out?

Obama- Starts off by attacking Bush/McCain, probably a bit too much time on that.  Starts off with last week’s (already failed) bailout, leading with his chin.  Beats up on crooked corporate executives- kind of a waste of time.  Eventually gets to answering question- helping state and local govts, tax cuts, “keeping homeowner in homes.”  Weak answer- by the time he got to answering the question he already lost me.

McCain- Starts off by acknowledging people “fearful.”  Uses standard conservative line- low taxes, low spending, drill drill drill.  Talks about “home values.”  Moves left, suggesting govt. “buy up bad home mortgages” to stabilize home values, and then rent out homes.  Good answer, but should have led off with it.

Neither of these guys seem to know how to go positive.   Both seem to lead off with same stuff they spouted BEFORE financial crisis.

Brokaw- who do you have in mind for Treasury Dept?

McCain mentions Meg Whitman, Buffet- someone who “inspires trust and confidence”.

Obama- Prosperity isn’t just going to trickle down; we’ve got to help middle class.  Wages have flatlined.  Loss of jobs loss of income.  (OK I guess, doesn’t add anything substantive).

Audience question- How is bailout package going to help?

Boring question, since McCain and Obama are 100% in agreement on this issue.  Let’s face it, the bailout has already been unmasked as at least partially a failure, since the reason Congress voted for it was the stock market went down- but after bailout passed it went down even more.

McCain invokes Fannie Mae, Freddie Mac. Says “I stood up to these crooks’ while the Democrats in Senate defended them.   Says “stabilize home values” for 2nd time.

Obama says- “Here’s what in rescue package for you.  Credit frozen up and people can’t make payroll.”  Says it all started with deregulation of financial system which McCain bragged about.
I said we’ve got to reregulate but no one paid attention.  With respect to Fannie Mae, the bill McCain supported wasn’t his idea, and Sen. McCain’s campaign manager’s firm was involved with FM too.   “This is not the end of the process”, we’ll “work with homeowners” to prevent foreclosures.

Neither seem real credible to me. I’m not a financial expert, but even I know this wasn’t just about one or two bad banks, even ones as big as Freddie Mac/Fannie Mae.  This is about an entire industry going hog wild thanks to easy money, and homeowners buying homes they can’t afford.  We have met the enemy and he is us (and the Federal Reserve that enabled us with too much easy money for too long).

9:18 Another audience question- How can we trust either of you when both parties got us in this crisis? (Darn, I wish a third party candidate was on the stage to answer that question!)

Obama - hits on Bush, Bush deficit.  McCain voted for 4 out of 5 of George Bush budgets.
I’ll spend money on “reform” of health care, “dealing” with energy.  On the other hand he proposes unspecified spending cuts.  He sure can move to the center.  But he stinks when talking about specifics.  This is why the Democrats are still incapable of governing- too afraid of their own shadow to come up with good bumper-sticker issues that sound both specific AND appealing.

McCain says he’s a reformer, hits on campaign finance reform, climate change.  “Obama has never taken on the leaders of his party.” Good (and true) hit!   

McCain blathers about earmarks, new spending.  Seems pretty minor to me (hypocritical given Palin’s earmark record).   Blathers about energy- not really a key issue now that the price of oil is down.

Brokaw asks about entitlement reform, domestic issues.  McCain says let’s get together to cut Social Security, has “clear record of reaching across the aisle”.   Talks about energy- was that really what the question was about?  It sounds like he’s doing what Palin did- avoiding the questions that he doesn’t have painless answers about by shifting to energy.  Sounds a few months out of date- questions that would have been more important when oil was $100 a gallon.  But if we’re heading into a global recession, oil prices are going to keep going down and not up, as demand stagnates.

Obama repeats McCain’s blather about energy.  Health care priority number two.  Education number three.  (Did he just punt on entitlements?)  Obama talks about “going line by line’ through federal budget- shades of Carter’s zero based budgeting?  We also have to prioritize tax policies as well as spending policies.

Internet question- What sacrifice will you ask us to make?

McCain- cut allegedly ineffective govt. spending.  I saved some defense spending.  Obsession with earmarks.  Sounds like Hoover - if people are starving and freezing, tell them to eat less [But Obama never calls him on it so he's fine].  “Spending is going to have to be cut.’  Spending freeze for everything but defense.  You mean after 8 years of war, we need even MORE money for war? Lotsa luck with that, Senator.  I always thought in a a recession you stimulate the economy.  That means putting money in people’s pockets, whether through tax cuts, spending increases).  Is now the time for austerity? Right now it doesn't seem like it, but ultimately yes once recession over.

Obama- One opportunity Bush missed was saying to American people “go out and shop”- not really a call to service.  Endorses clean coal, nuclear.  Wants incentives to get more fuel efficient cars, businesses - nice answer.  Double Peace Corps (seems silly- more Americans going abroad and getting killed by terrorists?)

9:34 Brokaw- How do we break habit of too much easy credit? (This would have been a good question to ask a year ago; but everyone from the Fed to Congress is trying to make credit EASIER.  So in today’s context this seems like a moronic question).

Obama- Why ask middle class to tighten their belt when Wall St gets bailout?  President should “set tone.”  But across the board freeze is ‘using a hatchet’ to ensure that people who need help are getting it.

McCain- Hollers “tax raiser.” Ties Obama to Hoover- tax increases, protectionism.  (Great hit!) Obama's tax increase will increase taxes on 50% of small business revenue.  But since he wants to cut spending he’s vulnerable to same charge.

“I am not in favor of additional tax cuts for the wealthy.” “Let’s not raise anyone’s taxes.”

9:37 Brokaw- would you give congress a date certain to reform SS/medicare?

Obama- We gotta focus on economy, so I can’t promise anything in first four years (Very sensible- right now we gotta focus on avoiding economic collapse- this other stuff is not so urgent).  Goes back to taxes.  I want to provide tax cuts for 95% of Americans.  Only a few small businesses make over 250K, so vast majority of small businesses get tax cut AND I would provide tax credit for health insurance.  Accuses McCain of favoring tax cut for rich again. (Huh?  This just sounds like one of them is lying.)  

McCain- “I’ll answer the question.”  Re SS- we know what the fixes are.  (But he won’t tell us).  Repeats claim that Obama hasn’t taken on party (Good).
Medicare “tougher”- have a commission.
Obama has voted 94 times “against tax cuts.”  Beginning to seem shopworn.