No More ‘Miraculous’ Obama

The Holy President highlights his petty list of achievement that is way short than the one he filled with empty promises four years ago. The American dream has gone from owning a home to renting

By Erica Werner
Associated Press
February 21, 2012

This time around, President Barack Obama’s message can sound decidedly down-to-earth.

Four years after winning the White House, Obama is dealing with a different economic and political reality as he seeks re-election. He’s focused less on a lofty vision for overcoming divisions and remaking Washington, and more on the most basic building blocks of middle-class economic security: a job, a house, a college education for the kids, health care, money for retirement.

What Obama describes as the American Dream can seem a spare, fundamental aspiration, tailored for a campaign that looks to be fought over who is best equipped to safeguard the interests of middle-class Americans.

The question is whether it will convince, even as Mitt Romney and the other GOP presidential hopefuls mount a counter-argument that the president has made the American Dream harder, not easier, to achieve. And Obama must overcome the grinding realities many voters confront daily, even with the economy showing signs of life: no jobs, mortgages they can’t pay, dwindling retirement funds and college savings.

The president is betting that if he shows voters he understands their yearning for economic stability and security, they’ll reward him over Republicans he’s casting as just watching out for the rich – even though he hasn’t succeeded in fully reviving the economy so far.

“If you’re willing to put in the work, the idea is that you should be able to raise a family and own a home; not go bankrupt because you got sick, because you’ve got some health insurance that helps you deal with those difficult times; that you can send your kids to college; that you can put some money away for retirement,” Obama said recently in Cedar Rapids, Iowa.

“That’s all most people want,” he said. “Folks don’t have unrealistic ambitions. They do believe that if they work hard they should be able to achieve that small measure of an American Dream.”

The goals can seem almost humdrum in comparison with some of the rhetoric from Obama’s 2008 White House campaign. But the message sounds made for the times, with the country emerging haltingly from recession, the income gap widening and unemployment stuck above 8 percent.

“He can’t run on change because he’s the incumbent, and he can’t paint too rosy a scenario because things aren’t that rosy,” said John Geer, professor of political science at Vanderbilt University. “He’s got to come up with a theme that appeals to voters, especially middle-class voters, alleviates their fears and gives them reason to believe the future will be better.”

The message also creates an implicit contrast with the portrait Democrats are trying to create of front-runner Romney as preoccupied with the concerns of the rich. But Romney is answering Obama’s message head-on, seeking a careful balance between sounding optimistic about the nation’s future and accusing Obama of destroying the American Dream.

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China Owns U.S. and now Wants Europe

Chinese have $2.7 trillion to bail-out bankrupt European nations

Mail Online

China has said it is willing to bail out debt-ridden countries in the euro zone using its $2.7trillion overseas investment fund.

Chinese Premier Wen Jiabao offered to bail-out Greece.

In a fresh humiliation for Europe, Foreign Ministry spokesman Jiang Yu said it was one of the most important areas for China’s foreign exchange investments.

The country has already approached struggling European countries with financial aid, including offering to buy Greece’s debt in October and promising to buy $4billion of Portuguese government debt.

‘To have any discernible effect China will have to buy a lot more than 5billion euros if they expect to have any impact on the negative sentiment surrounding Europe,’ said Michael Hewson, currency analyst at CMC Markets.

China’s astonishing economic growth has put it on track to overtake America as the world’s economic powerhouse within two years, a recent report claimed.

But experts believed still be some years before America’s leadership role is really challenged – largely because Beijing has given no indication it is ready to take on the responsibility of shepherding the world’ economy.

This foray into the future of the euro could be a signal from Beijing that it is ready to change that perception.

The euro rose temporarily on the news of China’s support – but was sinking again this morning to a three-week low against the dollar.

The single currency earlier fell to around $1.3050, below its 200-day moving average currently located at $1.3092 on trading platform EBS.

Investors have pushed the euro beneath this key support level for the past three sessions, only to see the currency bounce back later in the day.

Analysts said the euro will likely hold above $1.30 in the coming days, with traders reluctant to place big bets before year-end.

The outlook for the single currency remains shaky, with fresh losses expected into 2011, they added.

The Financial Times reported yesterday that China had offered to take more ‘concerted action’ to support European financial stabilisation.

It cited unnamed senior European officials after talks with Chinese Vice Premier Wang Qishan.

Portuguese officials have said the government is trying to diversify its debt investor base, with China as a priority.

Finance Minister Fernando Teixeira dos Santos met Chinese Finance Minister Xie Curen and the head of the People’s Bank of China during a visit to the country last week.

But it is unclear whether Beijing would be prepared to take on so much fresh exposure to Portugal, after domestic political pressure to invest the country’s foreign reserves more carefully.

Chinese investment funds suffered from large, high-profile losses during the global financial crisis.

In October, during a visit to Greece, Chinese Premier Wen Jiabao offered to buy Greek bonds when Athens resumed issuing.

A month later, President Hu Jintao visited Portugal and offered ‘concrete measures’ to help the weak economy, but stopped short of promising to buy Portuguese bonds.

It is still believed that it will be some years before China actually overtakes the U.S. to become the world’s largest economy.

Politicians argue that technology is still behind and much of the country still lives in poverty.

And in another economic measure, output per person, China lags way behind the US.

Last year, the International Monetary Fund calculated gross domestic product per head in the US at $46,000. The GDP breakdown in China was just $4,000 per person.

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