With Great Power Comes Great Responsibilityby Tim Manni
The topic at hand for the first post of the day seems rather evident: we have a new president-elect, and Barack Obama will have many financial hurdles to overcome. Some have said Obama’s solemn acceptance speech last night reflected the realization of the true weight of responsibility that now rests upon his shoulders. President-elect Obama will enter into his new position as commander and chief during one of, if not the most, dire social and economic periods of the last 100 years.
Yesterday we documented five challenges that lie ahead of our new president; and as most of you already know, the economic situation is at the very top of the list. With the TARP program in full swing, Mr. Obama will have little choice but to continue it. Keep in mind, January 20 is almost certainly Henry Paulson’s last day as Treasury Secretary. As we begin to witness the original structure of the plan shift, it will be very interesting to see the plan of action Mr. Obama’s new Treasury Secretary will take.
The nation’s 44th president will have to tread many fine lines — one, being a way to balance the Wall Street rescue with an ample and fair Main Street rescue. Another is finding a strategy to help cities, communities, and consumers buckled by the economic crisis, all the while containing a national budget that grows with the day.
Perhaps no other president in history has inherited so many problems (and we’ve only addressed some of the financial ones) to solve before even entering the White House. A lot could change in the next two months — economists see indicators getting worse before they get better. We’ll get our first glimpse at President-elect Obama in action, as he will attend the financial summit of 20 countries at the White House on November 15. The degree of his participation is unknown, but his presence will signal the changing hands of responsibility for a country in great need of a turnaround.