Politics
Obama and the GOP – Power struggle continues
Obama is keen to spring the trap he has laid, and blame Republicans for inequality, but also needs to project strength following claims by some backers he has been too compliant with Congress in the past.
Republicans meanwhile want to inflict another dent in the president’s depressed approval ratings and deprive him of a morale-boosting win as he faces a tough reelection bid in testing economic times.
Until this week, Obama seemed to have the upper hand in the game of brinkmanship, as a clock ticks down in the White House briefing room marking the hours until middle class taxes increase if Congress fails to act.
Republicans argue that increasing taxes on the rich penalizes job creators but had a tough time combating Obama’s message that the wealthy should do a little more just to give everyone else a US$1,500 tax break.
In a clever twist, House Republicans threw up a roadblock, making a payroll tax extension conditional on Obama agreeing to a controversial US-Canada oil pipeline project, thrusting the president back into a heated row.
The president last month deferred a decision on whether the pipeline, which supporters say will create thousands of jobs, should be built, drawing claims he caved in to environmentalists and liberals in the Democratic coalition.
“The President says the American people can’t wait on jobs. Well guess what, we agree wholeheartedly with the president,” said House speaker John Boehner. “The Keystone pipeline project will create tens of thousands of jobs immediately.”
With the House expected to vote early next week, Obama has issued a veiled threat to veto any bill to extend the payroll tax cut that includes the pipeline project.
