Commentary Magazine


Topic: Obama campaign

Killing Obamacare Could Help the President

Despite an economy in real trouble, President Obama spent much of his first two years in office getting his health care plan through Congress. Passed with no Republican votes whatever, the plan was deeply unpopular with the public and has only gotten more so. Now the country awaits a Supreme Court decision on its constitutionality with a level of interest unseen since Brown v. Board of Education 58 years ago.

For all the speculation on whether the law will stand or fall, there has been almost as much on what the political impact of the decision will be in this presidential election year. If it is upheld, it would be a vindication for the president, who badly needs a political boost right now. But it is also likely to galvanize still further the opposition, which is already highly motivated.

On the other hand, if all of the law or the individual mandate provision is struck down (which would mean in all likelihood that the whole law is infeasible), the president will be seen as having wasted his own political capital and the country’s time when there was much economic distress and fiscal problems that should have been dealt with instead. He will be perceived as having been politically incompetent.

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Konarka Is Not Romney’s Solyndra

After trying and failing to pin the Solyndra debacle on the Bush administration, the left is trying another dubious spread-the-guilt tactic. Think Progress breathlessly reports that a solar company that Mitt Romney gave a government grant to as governor has just declared bankruptcy:

On Thursday, Mitt Romney campaigned at the headquarters of Solyndra — the first renewable energy company to receive a federal loan under the stimulus — and reiterated his debunked claims that its bankruptcy symbolized the corruption and cronyism of the Obama administration. But just one day later, a solar panel developer “that landed a state loan from Mitt Romney when he was Massachusetts governor” went belly up, the Boston Herald reports, creating an inconvenient storyline for the GOP presidential nominee.

The company, Konarka Technologies, “filed for Chapter 7 bankruptcy protection and will cease operations, lay off its 85 workers and liquidate.”

Here’s a rundown of the case: As governor, Romney granted Konkara a $1.5 million state subsidy, about 350 times less than the half-billion dollar loan guarantee the Obama administration gave Solyndra. Konarka declared bankruptcy nearly a decade after Romney’s grant and five years after he left office, while the Obama administration’s investment tanked within two years.

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Clinton’s Motivation for Killing Bain Attack

To be fair, Cory Booker and Deval Patrick were really the ones who killed Obama’s Bain Capital strategy. But last night on CNN, Bill Clinton basically dipped it in cement and threw it in the East River:

Bill Clinton, in an appearance on CNN last night, said that Mitt Romney has a “sterling business career” and that the campaign shouldn’t be about what kind of work Romney did.

“I don’t think we ought to get into the position where we say this is bad work; this is good work,” Clinton said, adding: “There’s no question that, in terms of getting up, going to the office, and basically performing the essential functions of the office, a man who’s been governor and had a sterling business career crosses the qualification threshold.”

Clinton urged the Obama campaign to instead focus on contrasting its vision for the country with Romney’s. His comments came at the tail end of a day in which another Obama surrogate, Massachusetts Gov. Deval Patrick (D), called Bain a “a perfectly fine company.”

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The Dismal May Employment Figures

Only 69,000 jobs were created in May, the worst number in a year, and far below what economists had been expecting (the consensus forecast was for about 150,000 new jobs). Meanwhile, the unemployment rate ticked up to 8.2 percent from 8.1. That’s the first actual increase in unemployment in 11 months. Stock market futures, already considerably down, plunged further with the news. Gold ticked up, and the ten-year bond fell to a record low of 1.46 percent (i.e., lend the federal government $1,000 and they will pay you a snappy $14.60 in interest per year).

The recovery, mediocre at best, has now appeared to stall, especially with jobs numbers for March and April revised downward (April’s were cut from 115,000 to 77,000, March’s from 154,000 to 143,000.) Europe’s numbers were even more dismal, with euro-zone unemployment now at 11 percent, the worst since the number was first calculated in 1995.

With Europe teetering on the edge of a financial meltdown, the head of the European Central Bank is telling political leaders to do something and do it now:

In a warning to political leaders, Mr. Draghi told members of the European Parliament on Thursday that the central bank is reaching the limits of its powers and now it is up to politicians to move quickly and decisively because the survival of the euro, the Continent’s common currency, is at stake. The structure of the currency union, he said, had become “unsustainable unless further steps are undertaken.”

These numbers are a disaster for the Obama re-election campaign. Indeed, unless they improve and improve soon, and unless European leaders take Lady Macbeth’s advice and screw their courage to the sticking place—not something for which European leaders have been noted of late—a year from now a Romney administration may be talking about the difficulty of dealing with the mess they inherited.

Republicans Aren’t Rolling Over

Obama chief strategist David Axelrod shouldn’t have been surprised to see that a lot of Republicans turned up at the kickoff at the Statehouse in Boston for his campaign event tearing down Mitt Romney’s record as governor of Massachusetts. Though the event was supposedly a secret, it reportedly was leaked on Twitter, and a GOP response team was quick to react. Romney supporters chanting “Solyndra” — a reference to the failed energy company that was the recipient of so much Obama administration largesse, heckled Axelrod, turning the gathering into a bipartisan shouting match rather than an Obama show. The same day, Romney staged an event at the Fremont, California headquarters of Solyndra in a carefully planned attempt to upstage the Democrat’s efforts to seize control of the news cycle.

While all of this can and should just be put down to the usual give and take of a hotly contested presidential campaign, it does show that a lot has changed since the last time Axelrod was running a national campaign. Whereas in 2008, the campaign of John McCain was clearly outmatched in terms of technology and smarts by the “hope and change” juggernaut that put Barack Obama in the White House, in 2012 the GOP is determined not to roll over for the Democrats. If today is any indication of how things will go the next five months, Axelrod is in for a long, hard slog against an opponent capable of nimbly returning serve and scoring points even on days that the Chicago campaign guru thought would belong to him.

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Economic Shoes Are Dropping

If the stock market is truly a leading indicator (and it tends to be one of the more reliable ones), then the Obama campaign had better start worrying. May has been a brutal month for the Dow. It closed May 1 at 13,279. As it approached noon today, it’s at 12,360, down 59 on the day. That’s a decline of 7.1 percent for the month, wiping out all the gains since Jan. 1.

The reasons, of course, are not hard to find: the crisis in Europe, lackluster economic data in general, a sharp drop in consumer confidence in May, an uptick in weekly jobless claims, and more.

Perhaps the biggest news is the drop in bond rates. The benchmark ten-year treasury bond is currently yielding 1.53 percent. On July 1 last year, the ten-year treasury was yielding 3.2 percent, more than twice as much. This is good news and bad news. The good news is that the federal government can finance its huge deficits more easily (and consumers can borrow more cheaply as well: mortgage rates are at near record lows). But the bad news is that bond yields go down for two reasons: a slowing economy and/or a financial crisis. As nervous investors seek safe haven, demand for treasuries rises, pushing down yields. (French and German bond rates are also very low for the same reason, yielding 2.35 percent and an astonishing 1.24 percent respectively.)

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Obama, Romney Tied in Key Battlegrounds

Today’s NBC/Marist poll finds that President Obama and Mitt Romney are now in a dead heat in three critical battleground states that swung to Obama in 2008:

President Barack Obama and presumptive Republican nominee Mitt Romney are deadlocked in three key presidential battleground states, according to a new round of NBC/Marist polls.

In Iowa, the two rivals are tied at 44 percent among registered voters, including those who are undecided but leaning toward a candidate. Ten percent of voters in the Hawkeye State are completely undecided.

In Colorado, Obama gets support from 46 percent of registered voters, while Romney gets 45 percent.

And in Nevada, the president is at 48 percent and Romney is at 46 percent.

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Obama’s Feeble Anti-Trump Ad

The Obama campaign wasted no time dropping a new ad that blasts Mitt Romney for attending a fundraiser with Donald Trump tonight. But if anything, the ad supports Jonathan’s earlier point. Teaming up with The Donald isn’t necessarily poisonous for Romney, and it doesn’t make for a very compelling political attack ad (via Mediaite):

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Obama Needs to Settle on a Message

Today, BuzzFeed reports the unsurprising news that the Obama campaign has lost its notorious confidence after a rough couple of weeks. The reasons are what you’d expect: Joe Biden’s gay marriage slipup, the botched Bain attacks, and the public rebukes from fellow Democrats. But toward the end of the article, Doug Schoen points out the source of the confidence problem – the Obama campaign is heading into the summer and still hasn’t settled on a definite vision for a second term:

Critics inside the party and out, however, warn that Obama has a deeper problem: He hasn’t clearly communicated a simple rationale for a second term.

“They have no clear message or overarching theme other than class warfare and attack politics,” pollster Doug Schoen told BuzzFeed. “They don’t have a vision for the second term. No clear sense as to what the administration is offering for a second term. There is widespread dissatisfaction with both parties and both candidates in primary results [Tuesday] — and no clear idea how Obama is going to unite the county and lead us forward.”

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Cracks in Democratic Unity

At the National Journal, Josh Kraushaar reports that the Obama campaign’s Bain Capital attack exposed the waning power of centrist Democrats in the party, a development that has many Democrats concerned:

Conversations with liberal activists and labor officials reveal an unmistakable hostility toward the pro-business, free-trade, free-market philosophy that was in vogue during the second half of the Clinton administration. …

Moderate Democratic groups and officials, meanwhile, privately fret about the party’s leftward drift and the Obama campaign’s embrace of an aggressively populist message. They’re disappointed that the administration didn’t take the lead advancing the Simpson-Bowles deficit-reduction proposal, they wish the administration’s focus was on growth over fairness, and they are frustrated with the persistent congressional gridlock. Third Way, the centrist Democratic think tank, has been generating analyses underscoring the need for Democrats to appeal to middle-of-the-road voters, to no avail.

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Media Taking a Break from Bain-Bashing

After the Obama campaign spent the last week attacking Mitt Romney about his Bain Capital record, the Washington Post reports that they seem to be taking a break from the Bain-bashing. Obama’s two new ad spots are both positive – one is on benefits for veterans and the other is on Medicare. It seems to be a response to Democratic concerns that Obama is abandoning his principles by going “negative” (as if his 2008 campaign never got into the mud).

The Bain attacks have been a disaster for the Obama campaign so far, and some of the problems are self-created. For one, there was clearly very little messaging organization between the campaign, surrogates, and Democratic leaders. And as Peter wrote yesterday, Obama campaign spokesman Ben LaBolt’s disastrous Anderson Cooper interview also indicates that the campaign was unprepared for basic questions about the hypocrisy of the Bain attack – maybe because they never thought the normally-friendly media would even ask.

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Pressure Booker? From Inept to Dishonest

Earlier today I criticized Obama campaign spokesman Ben LaBolt for his strikingly inept television appearance. But ineptness is one thing; misleading people is quite another. And as this new RNC ad  makes clear, LaBolt’s statement that the Obama campaign did not reach out to Newark Mayor Cory Booker in the aftermath of Booker’s defense of Bain Capital was simply not true.

Mayor Booker himself admits he was contacted by the Obama campaign. Which means that LaBolt was either lying or he’s speaking out on issues he has no knowledge about while giving us the impression that he’s an authoritative voice.

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Message Discipline Ad Absurdum

Anderson Cooper’s interview with Obama campaign spokesman Ben LaBolt is fantastically ineffective. CNN’s Cooper asks LaBolt questions about the hypocrisy of Obama’s attack on Bain Capital. LaBolt refuses to answer them, choosing instead to simply repeat his talking points. This isn’t unheard of in American politics, of course. But LaBolt’s mechanical, rigid, and robotic style — his refusal even to acknowledge Cooper’s question if only to pivot off of it — is beyond parody. It is message discipline ad absurdum.

It’s impossible to know why the Obama campaign would think there is any up-side to putting someone like LaBolt on the air. Anyone even remotely objective would come away from this interview less impressed with the president’s position, correctly assuming that LaBolt’s inability to address the questions directed at him means he has no counter-argument to offer.

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Tainted Money from Bain Capital?

Last night, Cory Booker attempted to walk back his Bain Capital comments yet again, this time on the Rachel Maddow show. Why is he even bothering? The damage is already done. The left now sees him as a traitor to the class struggle, bought and paid for, as Cornell West is fond of saying, by the Wall Street oligarchs and corporate plutocrats.

Let’s imagine they’re right, and Booker said what he said because he thinks the Bain attacks are unpopular with his constituents and donors on Wall Street. If that’s the case, shouldn’t Obama take his comments even more seriously? Back in 2008, Obama was the top candidate recipient of donations from the securities and investment industry, raising more than $16 million. So far in 2012, he has raised $2 million. So…maybe Booker has a point.

Still, liberal bloggers are pushing the issue in an effort to run damage control for the Obama campaign. Booker has apparently taken donations from Bain higher-ups over the years, and Think Progress seized on this scandalous scandal as proof of his treachery:

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Obama Launches New Bain Attack Ad

Note to Cory Booker: don’t watch this latest Obama ad while eating lunch. The Obama campaign has released another distorted attack on Bain Capital, this time targeting the company’s acquisition of a textile firm called American Pad and Paper (Ampad):

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Obama Campaign’s Fundraising Troubles

April was not a good fundraising month for the Obama campaign or the pro-Obama super PAC. BuzzFeed reports that many of the campaign’s big-dollar donors have already maxed out their contributions, and new donors aren’t lined up to replace them:

Donations to President Barack Obama’s reelection campaign declined sharply in April, as many big-dollar contributors hit the legal maximum, a BuzzFeed analysis of Federal Election Commission data shows. …

Most of Obama’s drop is attributable to a decline in contributions of more than $500, which fell by more than $9 million. Many of Obama’s top donors have already hit the legal $2500 maximum to the campaign, which — along with an apparent failure to recruit a new cadre of wealthy supporters — may account for the decline.

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Obama’s Mask Continues to Slip

I wanted to add a few thoughts to Jonathan’s post, with which I entirely concur.

The CBS News/New York Times poll, if only because of the source, must be creating panic at Obama re-election headquarters. So afraid of the results are Team Obama that campaign officials are actually attacking the poll — whose sample of registered voters is weighted in favor of Democrats (36 percent Democrats, 30 percent Republicans, and 34 percent independents) – as “significantly biased” in favor of Republicans. Of course it is. And Republicans are the ones who are supposed to be members of a “faith-based community” instead of the “reality-based” one.

As bad as the results are — showing support for Romney among women to be higher than support for Obama among women — my hunch is that what’s really driving the president crazy is that 67 percent of Americans think Obama’s stand on same-sex marriage was done mostly for political reasons rather than principled ones.

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Obama Auto Czar Defends Romney

The Obama campaign has a new 2-minute ad out, set to air in five battleground states, that accuses Mitt Romney of closing down a steel company and throwing people out of their jobs in order to make a buck for Bain Capital. It shows images of displaced workers, many of them at the end of their working careers, who are, not surprisingly, unhappy with what happened. It’s tough to lose a job, especially one you’ve held for a long time.

The ad is, of course, unadulterated demagogy. Never mind that the closing took place in 2001, two years after Romney left Bain Capital. Never mind that 2001 was a terrible year for the American steel industry. Never mind that ten percent of the jobs in America disappear every year as the economy endlessly remakes itself through the process of creative destruction that makes capitalism work.

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Attacks Begin on Romney’s Bain Record

The Obama campaign is starting to roll out its attacks on Mitt Romney’s record at Bain Capital, including the predictable emotional testimony from workers who were laid off by companies Bain was trying to save from collapse. The campaign’s newest ad is powerful, though it’s already old news if you followed Newt Gingrich’s nearly identical attacks on Romney during the primaries.

But while Romney seemed blindsided by Gingrich’s (unsuccessful) anti-Bain assault, he’s clearly ready for this attack line from Obama. There are already doubts being raised about the facts in the ad, which implies that Romney was at Bain when GST Steel went under. But as the Christian Science Monitor reports, he had already left the company:

Plus, the ad elides some facts: Romney left Bain shortly after it acquired GST Steel, though he continued to receive profits from Bain payouts. He wasn’t around when GST went under. Also, it was an era when cheap foreign imports were hitting U.S. steel firms hard, in general. It’s not clear whether GST would have survived in any case.

And some conservatives say the Obama team rolled out this line of attack too early. It gives the Romney camp plenty of time to respond prior to November.

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Will Gay Marriage Endorsement Help Obama in Hollywood?

Michael Hastings reports on President Obama’s waning support in Tinseltown:

Over the past week, I’d spoken to more than a dozen Hollywood players, and all had a litany of criticisms. “I’ll write the check,” one top producer, whose films have made over a billion at the box office, told me. “But I’m not going to bother voting for him.” Another studio exec—in a land where the hard driven deal is cultural requirement —wondered if the president’s penchant for compromise meant he had, in the parlance of our times, “no balls.”

A number of other actors and producers lamented how they’d gone so far as to donate and volunteer for Obama in 2008—and now, disgusted, they were planning on doing neither this time around. They had bought what Obama was selling for four years—about the wars, about Gitmo, about changing things in Washington, about the hope and the change—and Obama had let them down. Even Matt Damon—one of the president’s most stalwart celebrity supporters—famously said last year he was disappointed.

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