The result of the 2008 U.S. presidential election is a long delayed step towards expanding opportunities for and chances of future presidential hopefuls. Now that Obama's historic victory has taken place, one is left to wonder how much he can continue this trend towards change for a better and more unified country.
Obama was an impressive and charismatic campaigner but ultimately unconvincing considering his many grandiose promises in the midst of increasing constraints on his actual ability to deliver. Although the Democrats have picked up the majority of the seats in the House and the Senate, which could save time and effort at the negotiating tables, the reality is that policies need to be feasible and cost effective. Given the extent of the recession at home, the short-lived post-election rebounds in the stock markets are indicative of the overwhelming challenges that lie ahead. With a trillion dollar budget deficit, how can Obama put his grandiose promises into practice? More importantly, how patient are the American people in waiting for economic relief plans to take effect?
Obama made many promises ranging from increasing tax credits for college tuition to providing health care for the uninsured. First of all, he promised to raise taxes on the rich while cutting taxes for low-income families and exempting seniors making less than $50,000 a year from paying income taxes. He also proposed a $3,000-per-employee tax credit to companies for each new job they create. However, with a downward economy and large corporations laying off or planning to lay off a considerable chunk of the workforce, how could Obama's administration expect these businesses to help create jobs? Furthermore, reductions in tax revenues and increases in spending on bailouts and anti-recessionary programs would only delay his other plans, like the huge infusion of cash for early childhood education.
Obama supported the $700 billion financial bailout plan passed in October and backs a second stimulus plan that would provide up to about $150 billion on top of the $168 billion package of tax rebates passed earlier in the year. How many more of these stimulus plans can be passed in reality considering the market-oriented U.S. economy? Earlier debates leading to the $700 billion bailout plan are clear signs of the reluctance to change the fundamentals of the economic system–small government, big markets. Instead of these huge rescue plans, Obama's administration must reconsider and focus its energy on regulating markets, as advised repeatedly by the Europeans.
In terms of Obama's plan to explore and develop alternative energy sources as a means to wean the country off of its dependence on oil, the money required to make this a reality combined with the recent drops in gasoline and heating oil prices would reduce the urgency to put such a plan forward.
As for Obama's plan to have the government subsidize the cost of health care coverage for low- and middle-income families, again, this requires money. Even with higher taxes for families earning more than $250,000, Obama would need much more as he also promised to provide health insurance for all children.
Last but not the least, Obama promised to pull all U.S. combat forces out of Iraq within 16 months and send more combat troops to Afghanistan. First, these two endeavors would be costly. Second, how would redirecting the troops to Afghanistan be constructive considering the failed attempts to catch Osama bin Laden despite excessive bombings there? Third, could the U.S. pull out of Iraq gracefully while ensuring that Iraqi security forces are ready to take full responsibility all in this short time?
It is becoming clear that not only have changes occurred as a result of Obama's victory, but they have also helped him win the election. We will have to wait and see whether or not this change is truly for the better.
