Obama Announces a Larger Economic Vision

On the campaign trail in Toledo, OH yesterday Senator Barack Obama grabbed a piece of the euphoria emanating from the largest stock market rally in history--announcing a much grander economic plan. Offering another $60 billion in rescue efforts, Obama proposed an expanded economic platform that brought parallels to President Roosevelt's New Deal.

Obama's new economic initiatives would provide funding and tax incentives for public works and job creation, while allowing individuals to dip into retirement savings penalty free and enjoy amoratorium on mortgage foreclosures.

The highlights of Obama's new economic proposals included:

• Treasury and Federal Reserve loan facility, similar to the one recently created for corporations, to fund state and local government ongoing operations and projects
• Provide businesses, for the next two years, a $3000 tax credit for each new full-time hire
• Allow individuals to withdraw up to $10,000 from Individual Retirement Accounts and 401(k)'s without the tax penalty
• Place a moratorium on financial institutions receiving government assistance from foreclosing on homeowners

Presidential hopeful Obama took the plan one step forward, in an effort to show current leadership, by suggesting that the plan be implemented prior to January 20, and the election of the new President. Suggesting a Democratic controlled Congress work in a lame duck session and leverage current laws and legislation to take action.

The expanded economic plan is an obvious move to secure full control of the issue that has arguably surged him in recent polls.

Offering a confusing response, Senator John McCain's close advisor Senator Lindsey Graham (R-SC) seemed to indicate that the McCain campaign would be announcing asimilar new economic plan after a weekend of strategy planning. However, McCain himself showed perplexity to Graham's announcement in a brief response Monday.

McCain advisor sources cited in a New York Times article seems to give the most plausible insight, stating that McCain thought the new economic announcement would appear "too gimmicky." McCain having been criticized for a debate announced mortgage buy-back program and seeminglyerratic proposals through the last two weeks of economic crisis, may be playing it cautious.

McCain campaign representatives also noted that many of the proposals announced by Obama have equivalent initiatives in the McCain economic plan. Even Obama seemed to acknowledge that in his Toledo, OH speech crediting McCain with the original idea to allow savers to draw from their retirement accounts early, without penalty to stabilize their own financial households.

Both candidates are sequestered away in preparation for the third and final debate, which is certain to bring a lot more focus on economic plans and visions for recovery.