DUBLIN, Ohio – Barack Obama’s campaign this morning released this new TV ad, airing on national cable, about the John McCain-Sarah Pailin ticket.
Watch it here:
http://my.barackobama.com/nochange_ad
Moments later, John McCain spokesman, Ben Porritt, released this response:
“Barack Obama has proposed job killing tax increases while our economy is already hurting and his campaign launched dismissive political attacks against Governor Palin’s executive state house and small town experience, despite his own lack of either. Americans know that’s ‘more of the same’ bad judgment from Barack Obama, and it proves he’s just not ready to lead.”
While Obama and running mate Joe Biden make their way here to Dublin-Coffman High School for tonight’s rally, his campaign also responded to President Bush’s Saturday radio address. Obama’s team attacked Bush’s pre-Labor Day assertion that the U.S. economy is “beginning to improve.”
Here is the relevant excerpt from Bush’s radio address:
“The American workforce continues to be the marvel of the world. Yet many working families have been weathering tough economic times. There are families across our country struggling to make ends meet. There is an understandable concern about the high price of gas and food. And many Americans are worried about the health of our housing and job markets.
I share these concerns about our economy. Yet there have been some recent signs that our economy is beginning to improve. While the housing market is continuing to experience difficulty, the decline in home sales has leveled off recently, and sales are rising in some parts of the country. Orders for some durable goods, such as business equipment, are rising. And earlier this week we received a report that America’s economy grew in the second quarter at an annual rate of 3.3 percent – surprising analysts who were predicting an economic recession.
These welcome signs indicate that the economic stimulus package that I signed earlier this year is having its intended effect. The growth package will return more than $150 billion back to American families and businesses this year. Many Americans who received tax rebates are spending them. Businesses are taking advantage of tax incentives to purchase new equipment this year. And there are signs that the stimulus package will continue to have a beneficial impact on the economy in the second half of the year. “
To listen to the full Bush radio address click here: www.whitehouse.gov/news/releases/2008/08/20080830.a.mp3
Here’s the reaction, with economic data supplied as backup, from Obama spokesman Bill Burton:
“Days after John McCain declared that ‘the fundamentals of the economy are strong,’ President Bush used his Labor Day radio address to say that our economy is ‘beginning to improve.’ But for the Americans who’ve seen their jobs disappear, their personal incomes plunge, their home values plummet, and gas prices skyrocket, nothing could be further from the truth. When it comes to being out of touch with what middle-class Americans are going through, George Bush and John McCain are two of a kind. No wonder they’re meeting in the Twin Cities this week.”
CAMPAIGN BACKGROUND DATA ATTACHED TO BURTON STATEMENT:
· The economy has lost jobs each of the last seven months, and over the past seven and a half years job growth has been weaker than in any economic expansion on record. In July, the economy lost another 51,000 jobs, bringing the total jobs lost this year to 463,000. Over the past seven and a half years under President Bush, job growth has been weaker than in any economic expansion on record. [Bureau of Labor Statistics, 2008]
· Families have lost an entire decade worth of raises, as real weekly earnings fell below their August 1998 level. The Bureau of Labor Statistics reported this month that weekly wages adjusted for inflation were $272.85 in July 2008. That is below the $273.54 level of real weekly wages in August, 1998. That means that, because of stagnant wages and growing inflation, workers are making less now than they were a decade ago. [Bureau of Labor Statistics, 2008].
· Working-age households have lost more than $2,000 under President Bush. The Census Department reported this week that real incomes for working families fell from $58,555 in 2000 to $56,545 in 2007 – a decline of $2010. This is the first economic expansion on record where household incomes have fallen in real terms. [U.S. Census, 2008]
. Inflation reached a 17-year high. This month we learned that prices jumped 5.6 percent in July over a year earlier. That is the largest year-over-year increase in inflation since January 1991, when the economy was in recession. [Bureau of Labor Statistics, 2008].
· Housing prices have fallen a record 15.9 percent over the past year. While President suggested that the housing market is looking up, just this last week the respected S&P/Case-Shiller index showed that housing prices in 20 major metropolitan areas fell 15.9 percent over the past year, the largest one year drop on record. More than 2.5 million homeowners are expected to face foreclosure this year – an average of 7,000 per day.
Obama’s convention speech focused intensely on current economic anxieties and what he intended to do about them. At pre-convention town halls earlier this week and at last night’s rally in Beaver, Pa., one statistic stood out when drawing applause and knowing nods from the audience: the comparison of household income gains in the Clinton years and the declines in the Bush years (see item above).
On the last night of the convention, I bumped into former Clinton Treasury Secretary Lawrence Summers. The revised second quarter growth numbers had just been released and I asked him if he thought they indicated a stronger economy than other data suggested. Summers said he would need to analyze the underlying data on exports and see if other non-export sectors of the economy had grown and, if so, by how much.
As to the politics of the economy, Summers said it would be extremely difficult for Republicans to argue the economy had turned around or wasn’t as bad as most people imagined. He said the growth numbers obscured deeper human anxiety about inflation, health care, energy and college tuition costs.
The Obama campaign believes this to its core. As I’ve posted here before, the two most important numbers in any state or national poll for team Obama are these: the advantage over McCain in who can improve the economy and the advantage over McCain in who is viewed as “an agent of change.”
With Bush’s radio address, Obama will no doubt add another layer of criticism to the Republican portrait of the economy. During the GOP convention, Obama and his Democratic allies will push the “out of touch” message on the economy, believing that to be the best antidote to GOP charges that Obama is an “elitist” or “celebrity.”
Speaking of polls, today’s Gallup National Daily tracking survey has Obama holding an eight-point lead. Here is the link: www.gallup.com/poll/109900/Gallup-Daily-Obama-Continues-Lead-49-41.aspx