English subtitles for clip: File:1-25-10- White House Press Briefing.webm

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Mr. Gibbs:
Good afternoon. Let me read just one short,

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quick statement before we get started. "We
are deeply saddened by the loss of the passengers

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on Ethiopian Airlines Flight 409 in Beirut,
Lebanon last night. Our thoughts and prayers

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go out to the families and friends of those
who lost loved ones. The United States commends

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the government of Lebanon and the United Nations
rescue workers in their immediate response

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and recovery effort." And with that, Ms. Loven.

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The Press:
The middle class initiatives that the President

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and Vice President outlined today, would you
expect that to be essentially the laundry

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list of new initiatives that we might see
in the State of the Union? Or will there be

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more, sort of, new announcements, new proposals
that he plans to put forward on Wednesday?

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Mr. Gibbs:
Well, as is my desire, I don't want to get

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too far ahead of the man who will make a speech
on that in a couple of days. I think you will

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see a series of ideas that the President will
outline that fall into a few different categories:

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how to get our economy back on a firmer foundation,
and how do we create an atmosphere in the

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private sector that lends itself to more hiring;
what do we do to put our government back on

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firmer footing with the middle class, and
along with that, what ideas do we have for

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changing the way Washington works so that
people in this country feel like the middle

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class is getting as fair a
shake as the special interests.

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The Press:
But, for example, when he talks about jobs

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creation, as you mentioned, getting the private
sector to hire -- are those likely to be ideas

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that we haven't heard yet? Or is he going
to be -- you know, give more detail or just

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a push to the green jobs --

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Mr. Gibbs:
Well, no, I think there will be a series of

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things that the President will talk about,
Jennifer. I just don't want to get too far

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ahead of where the President will -- what
the President will do and say on a number

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of things, including, to finish my list, the
actions that will begin to recognize what

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many middle class families are having to do
each and every day, and that is make spending

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decisions based on their income, not on --
and ensuring that government is doing the

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same thing and getting ourselves back on a
path to fiscal responsibility in the medium

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and the long term. The President will also
spend some time talking about our efforts

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to combat terrorism and efforts that have been
ongoing for the first year on foreign policy.

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The Press:
And can you say definitively that the addition

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of David Plouffe to the sort of broader team
is the last change or the only change you

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guys plan to make in the near future?
Mr. Gibbs:
I'm not aware of others. I will say this

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-- I think David's -- the President asking
him to give some extra time I think might

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have been a tad overwritten in the sense of,
this is not him taking over every campaign

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in 2010 -- meaning David Plouffe. This is
not -- this is about him working internally

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on strategy with the folks that are already
here. I think you heard David Axelrod say

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this yesterday, that there's a game that gets
played a lot in this town that calls for the

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ritual sacrifice of someone
or some group of people.

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The Press:
Well, maybe not sacrifice, but bringing in

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other people.

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Mr. Gibbs:
I know of no other personnel
changes. Yes, sir.

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The Press:
The administration has made clear in recent

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days that despite the increasingly rancorous
debate over Bernanke's confirmation as --

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for a second term as Fed Chairman, that it
expects that he will in fact be reconfirmed.

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But the Fed has two key missions: promoting
full employment and keeping prices in check.

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Given that the jobless rate has risen to 10
percent, does the President think Bernanke

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has done a good job in meeting
the Fed's mandate on jobs?

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Mr. Gibbs:
Well, look, the President took into account

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a lot of tasks that the Fed does. Obviously
the tools that it has on monetary policy,

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given interest rates, are not -- their options
are not great. But the President had to make

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a series of -- went through a series of decisions,
as you know, last year in appointing Ben Bernanke

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to serve in a second term. Obviously, as we
talked about last week, there are a number

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of -- there's still a great amount of anxiety
in our economy, but Chairman Bernanke helped

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the President and the economic team steer
through some very turbulent times and rough

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waters. As I said yesterday, I believe that
it sends a signal to greater and overall stability

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to have his nomination approved without political
games, and that's what we expect will happen

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later this week.

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The Press:
But is the White House worried that an unexpectedly

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difficult debate over his confirmation could
damage confidence in the Fed and the financial

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markets, both domestically and internationally,
and that this could further weaken the dollar?

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Mr. Gibbs:
Again, our position is that it shouldn't.

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I think, again, this is a -- as we all know,
this is an extremely important appointment.

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I think that senators are making up their
minds and announcing their decisions, hopefully

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based on going through an important set of
criteria. And I think, again, this is an important

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opportunity to demonstrate greater stability
in our overall system by approving his renomination

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for another term at the Fed. Ed.

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The Press:
Thanks, Robert. I want to follow up on jobs.

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One of the themes that Scott Brown ran on
was that the Obama administration was spending

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too much money and not doing enough to create
jobs. Whether that was true or not, why then

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would your first initiative be -- since that
election, the new initiative -- spend more

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government money, with things that
may not really create more jobs?

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Mr. Gibbs:
Well, Ed, the initiatives that the President

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is focused on aren't necessarily married up
to a special elections political timeline.

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The Press:
But will they create jobs?

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Mr. Gibbs:
I think there are a series of proposals that

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the President has made that will continue
to create an atmosphere that allows the private

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sector to hire more; that addresses the anxiety
that middle class families in this country

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feel each and every day, their anger and frustration
about a safe and secure retirement; that with

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having to work harder and longer, that there
-- have a tax cut that will help on their

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child care expenses. I think all of that goes
to the type of economic anxiety that people

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felt in this country last week, last year.
But Ed, as I've described here, this is something

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that they have felt for many years, feeling
like their jobs weren't securing; again, feeling

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like they were working longer and harder for
less money; feeling like they didn't have

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the type of security that they needed. Health
care fits into that. Energy prices fits into

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that. I think there's a tendency to silo different
things -- or put issues in different silos

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when, in fact, the anxiety that is felt in
this country around a weak economy manifests

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itself in many, many ways.

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The Press:
So is the President's role now partly to deal

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with the anxiety of the middle class but not
necessarily create jobs? Because child care,

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student loan relief, it could be helpful to
people, but how does that lead a small business

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to hire somebody?

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Mr. Gibbs:
Well, the proposals that the President outlined

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in December lead small businesses to be in
a position to hire more people. The President

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-- what the President outlined today was
if you're trying to figure out how you're

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going to go back to school so you can get
that next job, we don't want you to be crushed

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by the burden of skyrocketing tuition payments.
Right? If you're having to work longer to

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pay the bills, we want to make sure that if
you're in the middle class you're getting

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help on your child care expenses. I can assure
you there are people in Massachusetts and

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across the 50 states that struggle with those
problems each and every day. That's part of

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that anxiety. But, Ed, this isn't a new
role for the President. Addressing that anxiety

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has been there since the
day he walked into office.

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The Press:
Can I just ask on the stimulus, Republicans

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have already jumped on the fact that yesterday
you and two other officials gave what appeared

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to be three different answers on how many
jobs were created or saved by the stimulus

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last year. David Axelrod said over 2 million
jobs saved or created. You said 1.5 million.

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And Valerie Jarrett was a little more careful
in saying, thousands and thousands. Does that

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add to the confusion for the American people
trying to figure out did this stimulus work

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or not, if you've got three different
answers about what it's done?

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Mr. Gibbs:
Well, again, the report that came out two

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weeks ago from the Council of Economic Advisers
gave the number of 1.5 million to 2 million

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in jobs -- 1.5 [million] to 2 million jobs
saved or created. Maybe I'm guilty of being

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less of a glass half full kind of guy than
David Axelrod. But I think the answers that

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were given are consistent
with the range that CEA --

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The Press:
But didn't you also say a week or so ago

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that you would not used "saved or created"
anymore because Christina Romer was saying

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it wasn't certainly the
best way to present it?

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Mr. Gibbs:
Again, the answers that we gave on Sunday

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were based on the report that came out I think
the 13th or 14th of January, that has the

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numbers that David and I and Valerie used
in it. So I would point you to that report.

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Yes, ma'am.

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The Press:
Robert, I have two questions, the first one

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focusing on the midterm elections. There's
been a lot of Democrats who are now sort of

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drawing parallels between what happened in
1994 and what might be happening in 2010.

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And Marion Barry is quoted in an article saying
that the President said to one group behind

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the scenes that the difference here between
-- here and 1994 was that, "You've got me."

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Did the President actually say
that, and what does that mean?

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Mr. Gibbs:
I have not talked to the President about that.

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The Press:
I mean, is that a message that the President

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is broadcasting on the Hill, maybe privately,
that he somehow can mitigate some of these losses?

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Mr. Gibbs:
Well, I don't -- I hope it's not newsworthy

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to think that the President hopes and expects to
be an effective campaigner in the midterm elections.

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The Press:
Do you think that the
President didn't say this?

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Mr. Gibbs:
I haven't talked to him, Yunji, so I don't

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know the answer to that.

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The Press:
Moving on then to a Gallup poll that's out

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that says the President is the most polarizing
-- his approval ratings are the most polarizing

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of any President in their first year; that
88 percent of Democrats approve, but just

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23 Republicans -- 23 percent of Republicans
agree with that. Why do you think that the

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President is received so
differently by these two groups?

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Mr. Gibbs:
I think we live in a very divided country.

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The Press:
Wasn't he supposed to change that?

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Mr. Gibbs:
And he's worked hard to do that. But, again,

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as we've talked about here, Yunji, we --
you can't change the way Washington works

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if some people don't want to
change the way this place works.

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The Press:
So are you blaming Washington for that kind

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of public perception?

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Mr. Gibbs:
I'm saying that Washington has been a polarizing

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place for quite some time. I think this is
a deeply divided country and it has been for

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quite some time as well. Helen.

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The Press:
Does the President think his bonanza bank

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bonuses contributed to this downfall --

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Mr. Gibbs:
I'm sorry?

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The Press:
-- political downfall?

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Mr. Gibbs:
Say again?

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The Press:
The bonuses that angered the American people --

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Mr. Gibbs:
Well, look, I --

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The Press:
-- and also the middle class,
the poor feeling left behind?

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Mr. Gibbs:
Look, I think there are a number of things

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that over the course of the past year or two
years has led to a greater anger and frustration

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in the American public about the direction
of our economy. There's no doubt that long

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before bonuses I would -- look, I think the
President has said and would say again that

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looking simply at the point at which we got
to having to bail out a series of huge banks

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that took excessive risk, gambled away our
money, and then expected us to prevent them

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from taking the economy over the cliff caused
an enormous amount of anxiety in this country;

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that the President said that nobody wanted
to have to be in a position of doing that,

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understanding that the flipside of that was
watching the economy go over the cliff. It

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was not a popular decision, but one that regrettably
had to be done. I do think we are now in an

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environment, though, where -- and we talked
a little about this last week, in terms of

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financial reform and the President's proposal
on Thursday about certain activities the banks

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could or couldn't be involved in -- we have
to create an environment through financial

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reform that never puts the taxpayer in the
position again of, in essence, being held

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hostage to or held hostage by a bank like
that. That's why we need rules of the road

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that are different from what we had in September
of 2008 and before that that created that

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environment. That's why we need different
roles moving forward. And I think that's why

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one of the things the President will spend
quite a bit of time talking about in the State

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of the Union are those new rules, what he
would find acceptable on that. Now, Ed, to

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build off of what you said, you may look at
financial reform as not something that necessarily

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does or does not create jobs, but I think
creating a framework of certainty on what

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the rules of the road are goes directly to
both economic anxiety as well as that new

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foundation that the President has always spoken
about that creates an atmosphere for hiring

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in this country.

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The Press:
Can the banks be trusted to become more aware?

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Mr. Gibbs:
Well, look, I think some people have taken

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steps to limit compensation. I think some
have taken steps to change the way bonuses

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are awarded in terms of different types of
compensation, Helen. But I don't think anybody

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here would say that all of their actions meet
with a commonsense test of what you -- would

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match that commonsense test that most of us
would give them each day about whether they

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understand what's going on in this country,
and understand the level of anxiety around

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their actions, based on what the taxpayers
had to do in ensuring that they didn't go

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over the edge with our economy.

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The Press:
Can you shake them?

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Mr. Gibbs:
I think that, again, through financial regulatory

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reform, we created an environment in which
they're unable to -- they're unable to, through

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their excessive risk-taking, which, again,
we would hope to move backwards, but also

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not allowing them to be able to once and
for all take us over that cliff. Chip.

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The Press:
Following up on that poll that Yunji mentioned,

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I mean, it really is pretty remarkable that
the President would talk so much about reaching

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across the aisle is now the President who
presides over the most polarized Washington

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in a very long time, are you suggesting that
he does not share in the blame for that? Does

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he not share in the blame for that?

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Mr. Gibbs:
No. I think everybody in Washington share

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the blame. But again, Chip, I think we've
discussed this here. I mean, how many time

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has the filibuster been used in -- how many
times was the filibuster used in 2009?

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The Press:
I can't give you a number --

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Mr. Gibbs:
No, no, no, I'm not --

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The Press:
-- but it was a lot.

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Mr. Gibbs:
-- I'm sorry, it was more of a rhetorical

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question.

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The Press:
But was used a lot by Democrats, too.

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Mr. Gibbs:
Right. But, again, what I'm saying is it was

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-- not to give credence to when it was used
in the past, but understand I think we've

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found it remarkable, and I think most people
would find it remarkable the level that it

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00:17:48,166 --> 00:17:54,696
has been used on things that ultimately ended
up being, through the ultimate approval of

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00:17:54,700 --> 00:18:02,570
the legislation, non-controversial. When you
filibuster something that is ultimately approved

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00:18:02,567 --> 00:18:06,697
with 88 or 90 votes, what were you filibustering?

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The Press:
Well, I mean, the standard that anything remotely

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00:18:13,767 --> 00:18:16,297
controversial needs 60 votes has been around for a
while. It wasn't invented by Republicans last year.

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Mr. Gibbs:
No, but it's been employed with great regularity

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in a sense I think unseen before.

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The Press:
I think they would argue that the reason is

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that this President hasn't been willing
to -- other than talk to them, he hasn't

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been willing to really reach across
the aisle and compromise with them.

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Mr. Gibbs:
You know, we can go back and forth on this.

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But if you -- what do you think they would
say on something they ultimately voted for

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88-10? I mean, I think it's -- you
know, I think that in and of itself --

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The Press:
Isn't that a diversion, though, because they

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weren't really trying to block it, that was
just -- the 60 votes has just become standardized.

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It's pretty much becomes standardized
under Democrats, too.

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Mr. Gibbs:
I would say I think that goes to the gamesmanship

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that gets played in this town that people throughout
this country are simply tired of watching.

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The Press:
On the middle class proposals, President Clinton,

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00:19:08,233 --> 00:19:14,003
of course, was famous for small-bore or modest
proposals that did not do a tremendous amount,

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they didn't change -- they weren't change
in any big way but they were very politically

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00:19:19,400 --> 00:19:22,570
popular. Is that what this is modeled after?

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00:19:22,567 --> 00:19:25,567
Mr. Gibbs:
No. This -- increasing the child and dependent

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00:19:25,567 --> 00:19:31,937
care tax credit was something the President
talked about in the campaign. A system of

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00:19:31,934 --> 00:19:38,234
automatic IRAs, increasing the saver's credit
for retirement savings, are all things that

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00:19:38,233 --> 00:19:43,563
the President talked about in his campaign.
The first bill he ever introduced in the United

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00:19:43,567 --> 00:19:50,037
States Senate had to do with college affordability
-- in that case, increasing Pell Grants;

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00:19:50,033 --> 00:19:57,503
in this case, ensuring that somebody doesn't
-- somebody is not prevented from going to

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00:19:57,500 --> 00:20:03,470
college because they simply can't afford it.
And if they have to borrow money, as millions

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00:20:03,467 --> 00:20:10,067
and millions of people do, that they don't
find themselves on the other end of that,

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particularly in an economy where jobs are
hard to come by, crushed by the overwhelming

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00:20:16,667 --> 00:20:23,737
payments that have to come in paying that
loan back. I think -- it's been a while since

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00:20:23,734 --> 00:20:28,434
I was in college, but I think you have --
I think there's a six-month period once you

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00:20:28,433 --> 00:20:33,603
get out of college to when you start paying
that loan back -- at least that's my memory

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00:20:33,600 --> 00:20:43,030
from my college days. I think a proposal that
doesn't find a recent college graduate trying

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00:20:43,033 --> 00:20:48,263
desperately to find a job crushed
by those payments, you know --

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The Press:
But it's certainly not on the order of magnitude

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00:20:50,133 --> 00:21:00,263
of a health care reform bill that just completely
changes one-sixth of the economy. I mean,

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these are very modest steps here. It
wasn't long ago he was talking about --

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Mr. Gibbs:
Chip, I don't --

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The Press:
-- dramatic change, and now he's talking about

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00:21:08,667 --> 00:21:10,467
these little modest proposals.

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Mr. Gibbs:
No, Chip, I think you'll hear the President

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00:21:12,667 --> 00:21:21,297
talk about health care reform in the State
of the Union. But, Chip, I don't think somebody

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00:21:21,300 --> 00:21:27,370
struggling with high college costs and capping
what they have to pay as part of their income

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00:21:27,367 --> 00:21:34,437
so that they don't drown in those repayments
-- or, God forbid, decide on the front end,

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you know what, I can't afford this, I can't
afford to borrow the money; if I borrow the

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00:21:39,500 --> 00:21:44,670
money I'll be crushed when I get out of college;
why don't I just not go? I think everybody

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00:21:44,667 --> 00:22:15,567
would -- I think there are thousands of studies that
--  I mean, how many thousands of studies do we have
of, over a

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00:22:15,567 --> 00:22:20,337
lifetime, what a college graduate makes versus
somebody that didn't go to college? And

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00:22:20,333 --> 00:22:25,003
if somebody makes that decision not to go
to college because of the cost that they think

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00:22:25,000 --> 00:22:29,000
they're going to struggle with both while
they're in college and when they get out,

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00:22:29,000 --> 00:22:36,500
they may be making a very short-term decision
with very, very long-term ramifications for

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00:22:36,500 --> 00:22:43,630
where they're going to end up. Not everybody
can go to Europe and play basketball and go

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00:22:43,633 --> 00:22:47,163
to the NBA. Some people are going to have
to -- a lot of us are going to have to go

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00:22:47,166 --> 00:22:52,436
to college to get a better job. And I think
whether it is struggling with child care because

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you have to work longer, whether it is capping
the payments that you have to make when you

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borrow money to go to college, or providing
a genuine sense of security in retirement

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is important for the American people.

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The Press:
On health care, last week -- and I'm paraphrasing,

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00:23:08,066 --> 00:23:14,966
but I believe it's accurate to say that you
said the President still wants to pass and

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00:23:14,967 --> 00:23:19,897
believes he can pass something on the level
with -- something as comprehensive and --

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00:23:19,900 --> 00:23:25,970
as comprehensive as the bill that's now pending
before the House and the Senate. Does he still

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00:23:25,967 --> 00:23:27,237
feel that way?

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Mr. Gibbs:
Yes.

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The Press:
He's not backing off one iota?

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00:23:28,900 --> 00:23:30,700
Mr. Gibbs:
No. I mean, I think, again, you can refer

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to what a number of us said yesterday on the
shows. The problems that surrounded health

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care, the reason the President endeavored
to reform a system that wasn't working for

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a lot of Americans, was because crushing health
care costs, skyrocketing premiums for small

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00:23:51,967 --> 00:23:56,197
businesses, getting crushed budgetarily in
the federal government -- those problems have

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00:23:56,200 --> 00:24:01,800
existed for quite some time, and even
after Massachusetts they exist today.

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00:24:01,800 --> 00:24:04,170
The Press:
But the President himself said what he wants

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00:24:04,166 --> 00:24:11,366
to do is coalesce around the most popular
elements. And to say that he also wants to

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00:24:11,367 --> 00:24:13,767
pass this massive comprehensive reform just
seem direct contradictions. Which does he

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00:24:13,767 --> 00:24:14,367
want to do?

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00:24:14,367 --> 00:24:17,537
Mr. Gibbs:
No, I think the President believes that the

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00:24:17,533 --> 00:24:24,963
circumstances that led him to undertake greater
security for people in their health care costs,

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00:24:24,967 --> 00:24:30,097
again, existed last year,
last week and this week.

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00:24:30,100 --> 00:24:38,770
The Press:
I have a few unrelated questions this morning.

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00:24:38,767 --> 00:24:49,637
On Bernanke, this morning Senator Gregg said
on MSNBC that he thought Bernanke was being

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00:24:49,633 --> 00:24:59,403
scapegoated by colleagues on both sides of
the aisle but that the President had fed that

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00:24:59,400 --> 00:25:05,470
with his populist fervor. I wonder whether
the President takes any responsibility or

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00:25:05,467 --> 00:25:06,237
if there's any concern that he's playing with
fire when he whips up kind of this populist

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00:25:06,233 --> 00:25:06,303
fervor that then --

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00:25:06,300 --> 00:25:06,400
Mr. Gibbs:
Populist fervor based on?

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00:25:06,400 --> 00:25:06,530
The Press:
Just anger at Wall Street, you know, they're

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00:25:06,533 --> 00:25:06,733
paying themselves big fat bonuses, we want
to tax them, we're going to get your money

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00:25:06,734 --> 00:25:06,804
back, everybody is angry.

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00:25:06,800 --> 00:25:09,430
Mr. Gibbs:
I don't think any of what you just said the

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00:25:09,433 --> 00:25:14,133
President would believe isn't true, and
I don't think he would -- I don't think many

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00:25:14,133 --> 00:25:17,903
of the American people would believe that.
I mean, again, take, for instance, what the

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00:25:17,900 --> 00:25:25,670
President has -- the last two proposals the
President has outlined: one, a fee on banks,

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00:25:25,667 --> 00:25:32,797
reporting -- many of them reporting big profits,
paying back in full the money lent to them

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00:25:32,800 --> 00:25:34,430
by the American people --

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00:25:34,433 --> 00:25:35,233
The Press:
I guess the question is, by stirring up anger

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00:25:35,233 --> 00:25:38,603
at Wall Street, is there
a downside to that --

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00:25:38,600 --> 00:25:43,830
Mr. Gibbs:
No, because I think in many ways, as we discussed

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00:25:43,834 --> 00:25:53,634
and as I told Helen, I think that anger exists.
That anger -- I doubt many proposals that

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00:25:53,633 --> 00:25:57,703
the President has made over the course of
the past year have brought together The New

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00:25:57,700 --> 00:26:04,870
York Times and the Wall Street Journal, but
each talked about the notion that the relationship

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00:26:04,867 --> 00:26:13,597
in what banks are able to do if they're getting
money at a discount rate of virtually nothing

317
00:26:13,600 --> 00:26:21,970
-- going back to your question about rates
from the Fed -- using that money to do proprietary

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00:26:21,967 --> 00:26:27,897
trading not for their clients but only for
themselves, is a proposal that many on the

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00:26:27,900 --> 00:26:34,630
left and the right agree is the right step
forward. And again all of this is built around,

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00:26:34,633 --> 00:26:40,703
as I talked about last week and again today,
the notion that we have to change those rules

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00:26:40,700 --> 00:26:46,300
so that the American people never find themselves
in a position of having to do in September

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00:26:46,300 --> 00:26:54,970
and October of 2008 and other times in 2009
in preventing excessive risk-taking from threatening

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00:26:54,967 --> 00:26:58,937
the entire economy, something that the American
taxpayers weren't involved in but are footing

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00:26:58,934 --> 00:27:04,404
the bill for. I think those are -- again, I
think the proposals that the President outlined

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00:27:04,400 --> 00:27:08,770
last week and in the weeks before that
are very, very commonsense proposals.

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00:27:08,767 --> 00:27:16,697
The Press:
On the State of the Union, do you all view

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00:27:16,700 --> 00:27:16,730
it as a reset of his message?

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00:27:16,734 --> 00:27:19,534
Mr. Gibbs:
No, look, I think if you go back and -- I

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00:27:19,533 --> 00:27:24,233
think if you go look at what the President
talked about in Ohio on Friday and you look

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00:27:24,233 --> 00:27:28,663
at a lot of what the President talked about
throughout the first year and throughout the

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00:27:28,667 --> 00:27:34,237
campaign, you'll find a remarkable amount
of similarity. Quite frankly, I mean, in all

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00:27:34,233 --> 00:27:40,333
honesty, go back to 2004 at the convention
and you'll see a lot of that there, as well.

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00:27:40,333 --> 00:27:41,463
The Press:
Will he be downplaying health care?

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00:27:41,467 --> 00:27:44,167
Mr. Gibbs:
No.

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00:27:44,166 --> 00:27:45,496
The Press:
I have one more, but I forgot.

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00:27:45,500 --> 00:27:50,030
(laughter)

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00:27:50,033 --> 00:27:51,763
Mr. Gibbs:
I'm sure they'll yield you time --

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00:27:51,767 --> 00:27:52,697
The Press:
I just remembered it now, but --

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00:27:52,700 --> 00:27:53,600
The Press:
Go ahead.

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00:27:53,600 --> 00:27:55,070
The Press:
You know what, we got a lot
of first row time here today.

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00:27:55,066 --> 00:27:56,466
(laughter)

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00:27:56,467 --> 00:27:57,667
The Press:
Going back to the --

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00:27:57,667 --> 00:27:59,637
Mr. Gibbs:
I didn't say that.

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00:27:59,633 --> 00:28:02,233
The Press:
Going back to your comments about Republican

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00:28:02,233 --> 00:28:06,133
tactics, Robert, does the President see the
State of the Union as an opportunity to extend

346
00:28:06,133 --> 00:28:10,933
an olive branch in any way or to ask them
to change their tactics?

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00:28:10,934 --> 00:28:13,264
Mr. Gibbs:
I think the President will -- I do think the

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00:28:13,266 --> 00:28:19,436
President will talk about, one, how we change
the way Washington works; and also talk about

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00:28:19,433 --> 00:28:22,663
the fact that there's no doubt
we all have to work together.

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00:28:22,667 --> 00:28:25,337
The Press:
What do you mean by "change" how it works?

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00:28:25,333 --> 00:28:28,063
Mr. Gibbs:
Well, again, I'm not going to get ahead of

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00:28:28,066 --> 00:28:29,966
where the President is, but I think
the President will talk about --

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00:28:29,967 --> 00:28:30,937
The Press:
Is he going to explain it?

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00:28:30,934 --> 00:28:32,004
Mr. Gibbs:
He will in some detail.

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00:28:32,000 --> 00:28:33,630
The Press:
Do you know how many Presidents have gone

356
00:28:33,633 --> 00:28:39,103
to Congress and made speeches with the theme
"We have to change the way Washington works"?

357
00:28:39,100 --> 00:28:40,270
Mr. Gibbs:
Forty-three, I guess.

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00:28:40,266 --> 00:28:43,366
(laughter)

359
00:28:43,367 --> 00:28:50,437
And I'm including this presidency because
I'm assuming that George Washington, since

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00:28:50,433 --> 00:28:54,463
he set it up, felt they got it pretty darn
right, and therefore, we're going to stick

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00:28:54,467 --> 00:29:00,737
-- stay pat. So I'm obviously being facetious.
But, no, I assume -- I assume everybody does.

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00:29:00,734 --> 00:29:05,164
But my sense is that a lot of the reason that
that happens is because of the way this town

363
00:29:05,166 --> 00:29:10,436
tends to work. So I think
it will bear mention again.

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00:29:10,433 --> 00:29:13,263
The Press:
And on -- one more on the job numbers. It's

365
00:29:13,266 --> 00:29:18,466
sort of a moving target on how many jobs have
been saved or created. Is it possible to just

366
00:29:18,467 --> 00:29:20,997
flat out say how many jobs have been created?

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00:29:21,000 --> 00:29:23,870
Mr. Gibbs:
Well, again, I point you to the report from --

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00:29:23,867 --> 00:29:25,567
The Press:
Not saying -- but how many -- will you at

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00:29:25,567 --> 00:29:27,597
some point be able to say how many
jobs have been created, period?

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00:29:27,600 --> 00:29:31,070
Mr. Gibbs:
Well, as you know -- as you know -- well,

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00:29:31,066 --> 00:29:39,196
I would simply point you to the reports that
are gotten in by grant recipients that --

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00:29:39,200 --> 00:29:47,830
again, grant recipients that have to file
paperwork about the employment impact of the

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00:29:47,834 --> 00:29:56,534
money that they get. Look, we're going to
get new GDP numbers on Friday. And I think

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00:29:56,533 --> 00:30:06,163
we saw, as a result of the Recovery Act, at
the end of last quarter, the first positive

375
00:30:06,166 --> 00:30:14,096
economic growth in four quarters. Our hope
is that you'll see another strong number on

376
00:30:14,100 --> 00:30:21,530
Friday. We've never in this country -- let
me just not say that, because the economists

377
00:30:21,533 --> 00:30:30,903
might come back with a month for me. But there's
no doubt that it is -- it's hard to create

378
00:30:30,900 --> 00:30:39,370
jobs in this country without positive economic
growth, that without strong economic growth,

379
00:30:39,367 --> 00:30:46,867
strong job growth is next to impossible. I
think on Friday, we'll hopefully get a report

380
00:30:46,867 --> 00:30:57,137
card on particularly how the Recovery Act
has helped create economic growth that will

381
00:30:57,133 --> 00:30:59,033
lead to job growth.

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00:30:59,033 --> 00:31:01,263
The Press:
What's your reaction to reports that the New

383
00:31:01,266 --> 00:31:09,096
York Fed wanted national security status for
some AIG details, and what does that say about
transparency?

384
00:31:09,100 --> 00:31:14,070
Mr. Gibbs:
I haven't seen that and I would point you

385
00:31:14,066 --> 00:31:16,496
to Treasury if you have specific questions
-- or, quite frankly, the New York Fed. I

386
00:31:16,500 --> 00:31:16,800
haven't seen those reports.

387
00:31:16,800 --> 00:31:17,470
The Press:
Okay. And Senator Bayh said the President

388
00:31:17,467 --> 00:31:26,867
may propose a freeze in most federal discretionary
spending in the State of the Union. Can you

389
00:31:26,867 --> 00:31:29,267
say anything about that?

390
00:31:29,266 --> 00:31:32,596
Mr. Gibbs:
Look, the President, as I said earlier to

391
00:31:32,600 --> 00:31:37,670
Jennifer's question, the President will talk
about ensuring that we begin to get our fiscal

392
00:31:37,667 --> 00:31:44,837
house in order, that we have to start making
decisions like American families are making

393
00:31:44,834 --> 00:31:54,364
decisions about whether or not we can afford
to spend as we have over the past many years.

394
00:31:54,367 --> 00:31:58,797
I don't want to get into the details of that
right now from here, but suffice to say that

395
00:31:58,800 --> 00:32:02,770
will be part of the State of the Union
-- discussing fiscal responsibility.

396
00:32:02,767 --> 00:32:05,167
The Press:
And has he reached out to Senator Kaufman

397
00:32:05,166 --> 00:32:07,996
at all now that we know that Beau Biden is
not going to be running?

398
00:32:08,000 --> 00:32:09,800
Mr. Gibbs:
I have not seen a call. I have not seen a

399
00:32:09,800 --> 00:32:11,170
call. Yes, sir.

400
00:32:11,166 --> 00:32:15,436
The Press:
Robert, is there a new
deadline for health care?

401
00:32:15,433 --> 00:32:17,003
Mr. Gibbs:
Not that I know of, no.

402
00:32:17,000 --> 00:32:21,130
The Press:
Is there a way forward?

403
00:32:21,133 --> 00:32:24,803
Mr. Gibbs:
The President has continued to talk to leaders

404
00:32:24,800 --> 00:32:27,530
in Congress about the best path forward, yes.

405
00:32:27,533 --> 00:32:30,663
The Press:
Will he recommend one Wednesday?

406
00:32:30,667 --> 00:32:33,737
Mr. Gibbs:
I would encourage you to tune in on Wednesday.

407
00:32:33,734 --> 00:32:36,904
The Press:
A couple things that were discussed with you

408
00:32:36,900 --> 00:32:42,200
on the Sunday show yesterday about Abdulmutallab.
There was an AP report yesterday that said

409
00:32:42,200 --> 00:32:47,700
he was only interrogated for 50 minutes. You
indicated -- said that you thought it was

410
00:32:47,700 --> 00:32:52,200
much longer than that. It then was characterized
to some of our people it was up to 30 hours.

411
00:32:52,200 --> 00:32:58,330
Can you reconcile that discrepancy and describe
how long -- what you know about that sequence

412
00:32:58,333 --> 00:33:04,203
of events and the degree to which adequate
interrogation was undertaken?

413
00:33:04,200 --> 00:33:05,600
Mr. Gibbs:
Well --

414
00:33:05,600 --> 00:33:07,230
The Press:
I know you represented that, but there seems

415
00:33:07,233 --> 00:33:11,833
to be -- 50 minutes and 30 hours is
an enormously different time sequence.

416
00:33:11,834 --> 00:33:16,864
Mr. Gibbs:
Well, I think a timeline -- I think some of

417
00:33:16,867 --> 00:33:22,967
that information we're certainly trying to
gather. I would say this, Major, that as I've

418
00:33:22,967 --> 00:33:27,397
said before and as I said I think the first
time I had a chance to answer questions on

419
00:33:27,400 --> 00:33:37,830
this topic coming back from the holidays,
the FBI did have an opportunity to interrogate

420
00:33:37,834 --> 00:33:47,364
Mr. Abdulmutallab; that they got intelligence,
useful and actionable intelligence, that was

421
00:33:47,367 --> 00:33:57,667
then transmitted back to officials throughout
the government. This was done by experienced

422
00:33:57,667 --> 00:34:05,637
FBI interrogators. And
that's all I have on that.

423
00:34:05,633 --> 00:34:06,333
The Press:
Is 50 minutes just wrong?

424
00:34:06,333 --> 00:34:07,663
Mr. Gibbs:
That's one of the questions that I have --

425
00:34:07,667 --> 00:34:10,037
that I've asked somebody to pull up.

426
00:34:10,033 --> 00:34:12,433
The Press:
Okay. In the Justice Department release talking

427
00:34:12,433 --> 00:34:15,903
about this timeline, it said, "The National
Security staff and the President's national

428
00:34:15,900 --> 00:34:22,900
security team were advised of the decision
to try Abdulmutallab as a civilian, not as

429
00:34:22,900 --> 00:34:26,170
an enemy combatant." Do you know who that
went through, and did that go all the way

430
00:34:26,166 --> 00:34:26,196
to the President?

431
00:34:26,200 --> 00:34:30,070
Mr. Gibbs:
Let me check with Ben on that. I don't --

432
00:34:30,066 --> 00:34:34,136
I did not see that part of
what you were talking about.

433
00:34:34,133 --> 00:34:35,733
The Press:
Okay. On the student loan, I may be very ignorant

434
00:34:35,734 --> 00:34:42,634
about this, but if you reduce the rate of
payment, doesn't that make the loan over time

435
00:34:42,633 --> 00:34:47,363
more expensive for the student loan applicant?

436
00:34:47,367 --> 00:34:50,667
Mr. Gibbs:
They'll have to -- I think they're doing a

437
00:34:50,667 --> 00:34:53,797
briefing -- I think they're doing a briefing
call on this with Jared in a few minutes that

438
00:34:53,800 --> 00:34:54,800
I would point you to.

439
00:34:54,800 --> 00:34:58,730
The Press:
So that's not a problem?

440
00:34:58,734 --> 00:35:00,934
Mr. Gibbs:
Ask Jared, and he'll go through the details

441
00:35:00,934 --> 00:35:02,764
of that. Yes, ma'am.

442
00:35:02,767 --> 00:35:04,867
The Press:
Back on the question of changing the way Washington

443
00:35:04,867 --> 00:35:12,537
works, given how central that was to the campaign,
why is he having to re-argue the case now?

444
00:35:12,533 --> 00:35:17,563
And is he going to do it in some kind of different
way, or is this going back to the original

445
00:35:17,567 --> 00:35:22,097
argument he made during the campaign? I mean, he
made this case. This is not a new idea for him.

446
00:35:22,100 --> 00:35:28,570
Mr. Gibbs:
Right. I would posit that not all those ideas

447
00:35:28,567 --> 00:35:37,767
have been heard and implemented. I think that's
one of the -- you'll hear him talk about reforming

448
00:35:37,767 --> 00:35:45,437
Washington. He talked about it in the --
he talked about it as a state senator, he

449
00:35:45,433 --> 00:35:49,803
worked on it as a U.S. senator, talked about
it as a candidate, and will talk about it

450
00:35:49,800 --> 00:35:51,270
again as President.

451
00:35:51,266 --> 00:35:53,596
The Press:
In the themes you described, health care wasn't

452
00:35:53,600 --> 00:35:56,630
one of the main ones. Is it just going to
be tucked into some of the others?

453
00:35:56,633 --> 00:35:59,563
Mr. Gibbs:
No, I think when you hear the speech, you

454
00:35:59,567 --> 00:36:07,267
won't have to lean forward to hear a discussion
about health care. I was giving -- I was giving

455
00:36:07,266 --> 00:36:09,896
broader themes, not a litany of issues.

456
00:36:09,900 --> 00:36:11,470
The Press:
And is he going to do events around the State

457
00:36:11,467 --> 00:36:15,837
of the Union? What other outside the country
-- around-the-country stuff might he do?

458
00:36:15,834 --> 00:36:20,204
Mr. Gibbs:
Well, I know we're traveling to Florida the

459
00:36:20,200 --> 00:36:27,330
day after the State of the Union on Thursday.
And I think the President speaks to the Republican

460
00:36:27,333 --> 00:36:32,903
House Caucus, I believe, in Baltimore on Friday.
Then there's travel I think the next week,

461
00:36:32,900 --> 00:36:36,930
as well. I'm trying not to get ahead of what
we've already announced. And I'm trying to

462
00:36:36,934 --> 00:36:38,904
go through my head what we have already announced.

463
00:36:38,900 --> 00:36:40,400
(laughter)

464
00:36:40,400 --> 00:36:44,530
If any of that seems new, then I'd like to
be a senior administration official.

465
00:36:44,533 --> 00:36:48,533
(laughter)

466
00:36:48,533 --> 00:36:50,363
Yes, sir.

467
00:36:50,367 --> 00:36:54,737
The Press:
Yes, Robert, just briefly on -- back to deficit.

468
00:36:54,734 --> 00:37:00,164
Harry Reid proposed some new pay-go rules
up on the Hill today, tougher rules that would

469
00:37:00,166 --> 00:37:05,236
be part of the debt limit raising. Does the
President support that stuff? Is that --

470
00:37:05,233 --> 00:37:07,403
Mr. Gibbs:
I would have to look at exactly -- not having

471
00:37:07,400 --> 00:37:13,070
seen exactly what he proposed, but I think
that's part of what the Senate we hope will

472
00:37:13,066 --> 00:37:15,466
vote on in the next few days
and the President supports.

473
00:37:15,467 --> 00:37:18,437
The Press:
One thing that did strike me about those rules

474
00:37:18,433 --> 00:37:21,133
is that they would also apply to extensions of
unemployment benefits. Is that again something --

475
00:37:21,133 --> 00:37:24,063
Mr. Gibbs:
Again, let me -- without having seen Senator

476
00:37:24,066 --> 00:37:28,836
Reid's proposal, I'm happy to have somebody
look at it and get you an answer. Ann.

477
00:37:28,834 --> 00:37:30,004
The Press:
Can you enlighten us a little bit about how

478
00:37:30,000 --> 00:37:34,730
the President goes about this State of the
Union address? Is he sitting down today, tomorrow

479
00:37:34,734 --> 00:37:41,764
with speechwriters? How much does he write?
Does he practice with the teleprompter?

480
00:37:41,767 --> 00:37:45,767
Mr. Gibbs:
They spent time over the weekend working on it.

481
00:37:45,767 --> 00:37:46,697
The Press:
They, who?

482
00:37:46,700 --> 00:37:49,330
Mr. Gibbs:
I'm sorry, the President and the speechwriters,

483
00:37:49,333 --> 00:37:59,933
primarily with Jon and Ben -- both of whom
were back in the Oval Office this morning,

484
00:37:59,934 --> 00:38:04,404
both with the President and with a larger
group of advisors going through the speech.

485
00:38:04,400 --> 00:38:10,570
I, again, don't have tomorrow's schedule in
front of me, but I believe that he'll do some

486
00:38:10,567 --> 00:38:16,167
of the practicing that you talk about, as
well as continuing to write and work through

487
00:38:16,166 --> 00:38:18,136
different sections of the speech.

488
00:38:18,133 --> 00:38:22,363
The Press:
And is it more -- is it less of a laundry

489
00:38:22,367 --> 00:38:29,037
list of specifics that he wants to get and
more thematic? Is it looking forward weeks

490
00:38:29,033 --> 00:38:31,263
ahead, months ahead, years ahead?

491
00:38:31,266 --> 00:38:38,336
Mr. Gibbs:
Well, Ann, I think he'll do -- I think you'll

492
00:38:38,333 --> 00:38:43,833
see certainly aspects of it that are -- that
he will discuss the themes that some of which

493
00:38:43,834 --> 00:38:50,804
I outlined here from a broader perspective.
There will be mention of -- we'll go from

494
00:38:50,800 --> 00:38:57,430
themes to issues when we discuss creating
jobs, some of the task force, Middle Class

495
00:38:57,433 --> 00:39:06,263
Task Force recommendations on things like
that. I think he'll provide people with an

496
00:39:06,266 --> 00:39:13,136
update on what -- where we've come from but
how much we have yet to do to get our economy

497
00:39:13,133 --> 00:39:21,463
back on track, to restore our image in the
world -- a host of the things that he talked

498
00:39:21,467 --> 00:39:22,037
about last year.

499
00:39:22,033 --> 00:39:23,133
The Press:
Guests in the gallery?

500
00:39:23,133 --> 00:39:27,703
Mr. Gibbs:
I don't have a final list but
we can certainly get that.

501
00:39:27,700 --> 00:39:29,100
The Press:
He will have some.

502
00:39:29,100 --> 00:39:29,900
Mr. Gibbs:
Yes.

503
00:39:29,900 --> 00:39:31,770
The Press:
Robert, the legislative deficit commission

504
00:39:31,767 --> 00:39:35,497
the President endorsed on Saturday, does he
see that as interchangeable with the executive

505
00:39:35,500 --> 00:39:37,900
commission or are they --
is it superior to anything?

506
00:39:37,900 --> 00:39:41,800
Mr. Gibbs:
Well, I think in many ways -- I think some

507
00:39:41,800 --> 00:39:49,800
of it would -- I think many of the characteristics
might well overlap. A legislative commission

508
00:39:49,800 --> 00:39:58,670
was the preference of many on Capitol Hill.
If that fails, then obviously other steps

509
00:39:58,667 --> 00:40:03,237
might be looked at in order to address what
the President -- again, what the President

510
00:40:03,233 --> 00:40:10,133
will discuss in terms of a -- the medium and
long term problems that we have with our debts

511
00:40:10,133 --> 00:40:10,903
and our deficits.

512
00:40:10,900 --> 00:40:13,630
The Press:
You said "medium and long term." Do you mean

513
00:40:13,633 --> 00:40:14,403
after the recession?

514
00:40:14,400 --> 00:40:20,700
Mr. Gibbs:
Well, right. I mean, obviously there is --

515
00:40:20,700 --> 00:40:29,070
economically to pull greatly back at a time
of enormous economic uncertainty and recession

516
00:40:29,066 --> 00:40:38,036
I think almost any economist would tell you
would have -- could possibly have a very negative

517
00:40:38,033 --> 00:40:43,933
impact on the continuing
recovery, yes. Yes, ma'am.

518
00:40:43,934 --> 00:40:46,904
The Press:
Robert, on the deficit commission, this proposal,

519
00:40:46,900 --> 00:40:50,930
certainly the larger issue has been around
for a while. Why did the President choose

520
00:40:50,934 --> 00:40:57,104
now to come out and support this idea? And
second quick question, whether it is -- the

521
00:40:57,100 --> 00:41:00,330
proposal we see going through Congress or
something you guys might implement through

522
00:41:00,333 --> 00:41:03,433
executive order? In the past, these types
of commissions Presidents have ruled out ahead

523
00:41:03,433 --> 00:41:09,563
of times certain solutions. For example, on
Social Security President Bush said no tax

524
00:41:09,567 --> 00:41:14,037
cuts. Is there anything at this point you
guys are willing to rule out via tax -- or

525
00:41:14,033 --> 00:41:19,063
excuse me, tax increases -- via tax increases,
entitlement benefit cuts, raise the retirement

526
00:41:19,066 --> 00:41:20,836
age, or is everything on the table?

527
00:41:20,834 --> 00:41:23,534
Mr. Gibbs:
Well, I don't want to prejudge either a legislative

528
00:41:23,533 --> 00:41:30,363
or an executive one. I mean, obviously the
President's statement comes prior to the Senate

529
00:41:30,367 --> 00:41:38,797
voting on a proposal, again, that Democrats
and Republicans have outlined as a way forward

530
00:41:38,800 --> 00:41:45,430
in dealing with some larger and sometimes
intractable budget debates. Again, I don't

531
00:41:45,433 --> 00:41:52,863
think it makes a lot of sense for me, before
the legislative vote or before even the existence

532
00:41:52,867 --> 00:42:03,437
of a possible executive -- an executive commission,
to get into talking about what would and wouldn't

533
00:42:03,433 --> 00:42:07,433
be on the table. I think that is -- whether
it's a legislative commission or some other

534
00:42:07,433 --> 00:42:11,663
commission, I think that's what that commission
has to work through. Those are the debates.

535
00:42:11,667 --> 00:42:14,967
The Press:
And as far as when he came out now --

536
00:42:14,967 --> 00:42:19,797
Mr. Gibbs:
I think because this is something that will

537
00:42:19,800 --> 00:42:23,200
come to a vote sometime this week. Peter.

538
00:42:23,200 --> 00:42:26,470
The Press:
Robert, thank you. Is the President prepared

539
00:42:26,467 --> 00:42:31,997
to, when he talked about changing Washington,
talk in specific terms about what needs to

540
00:42:32,000 --> 00:42:38,800
happen to do that and what specific ways it
can be done? For example, you know, entertain

541
00:42:38,800 --> 00:42:44,600
Republican ideas on tort reform as health care
goes, or reaching out in a more bipartisan way --

542
00:42:44,600 --> 00:42:47,900
Mr. Gibbs:
I don't know if tort reform would fall under

543
00:42:47,900 --> 00:42:58,070
the rubric of the way the legislative process
works. Obviously the Secretary of Health and

544
00:42:58,066 --> 00:43:08,696
Human Services has set up a series of demonstration
projects that deal with both health care costs

545
00:43:08,700 --> 00:43:15,800
and the legal system. But, again, I think
the President will spend some time talking

546
00:43:15,800 --> 00:43:19,830
directly about ideas for
reforming Washington, yes.

547
00:43:19,834 --> 00:43:21,864
The Press:
Specific ways it can be accomplished?

548
00:43:21,867 --> 00:43:24,597
Mr. Gibbs:
Yes. Yes, sir.

549
00:43:24,600 --> 00:43:26,200
The Press:
President Karzai is heading to the Afghan

550
00:43:26,200 --> 00:43:30,870
conference in London this week, and he's saying
that he's going to ask for the names of some

551
00:43:30,867 --> 00:43:37,737
Taliban people to be taken off the U.N. sanctions
list in return for them laying down their

552
00:43:37,734 --> 00:43:42,134
arms and countenancing talks. Is this something
the White House would be prepared to look at?

553
00:43:42,133 --> 00:43:48,603
Mr. Gibbs:
Well, I would simply say that you've heard

554
00:43:48,600 --> 00:43:58,330
General Petraeus, out of his efforts in Iraq,
discuss similar type efforts in Afghanistan

555
00:43:58,333 --> 00:44:07,263
at political reconciliation. You've heard
General McChrystal discuss the same thing.

556
00:44:07,266 --> 00:44:15,696
So obviously a similar path to what happened
in Iraq each of those two individuals have

557
00:44:15,700 --> 00:44:26,030
talked through -- again, provided that whoever
this is accepts the Afghan constitution, renounces

558
00:44:26,033 --> 00:44:34,603
violence, and publicly breaks with groups
that advocate violence. That's I think what

559
00:44:34,600 --> 00:44:40,600
people except under the
notion of reconciliation. David.

560
00:44:40,600 --> 00:44:44,770
The Press:
Two -- first on Afghanistan as well. Last

561
00:44:44,767 --> 00:44:50,137
week the U.N. put out a report saying that
the amount of graft and kickbacks in Afghanistan

562
00:44:50,133 --> 00:44:56,233
is about $2.3 billion a year, which is about
25 percent of their gross domestic product.

563
00:44:56,233 --> 00:45:03,103
Who in the administration is really riding
point on dealing with issues of corruption

564
00:45:03,100 --> 00:45:04,130
in Afghanistan?

565
00:45:04,133 --> 00:45:08,203
Mr. Gibbs:
Well, there is obviously a group of people

566
00:45:08,200 --> 00:45:12,970
that are working on our Afghan policy, David.
Let me figure out where that -- where some

567
00:45:12,967 --> 00:45:18,597
of that information, in terms of -- I haven't
seen that report but I can certainly check

568
00:45:18,600 --> 00:45:20,700
on who that is.

569
00:45:20,700 --> 00:45:21,930
The Press:
On another subject, back to Bernanke, it's

570
00:45:21,934 --> 00:45:27,134
just been reported that McCain has
declared that he'll vote against that.

571
00:45:27,133 --> 00:45:30,103
Mr. Gibbs:
Yes, to be honest with you, I thought that

572
00:45:30,100 --> 00:45:32,870
he'd said that a while ago,
so I don't know of --

573
00:45:32,867 --> 00:45:33,967
The Press:
Well, he's made it official.

574
00:45:33,967 --> 00:45:34,737
Mr. Gibbs:
Right.

575
00:45:34,734 --> 00:45:38,204
The Press:
Okay, but when you have conservative Republicans

576
00:45:38,200 --> 00:45:47,000
and liberal Democrats who are announcing opposition,
presumably from a populist perspective, at

577
00:45:47,000 --> 00:45:53,970
the same time that the White House is raising
questions about Wall Street, do you fear that

578
00:45:53,967 --> 00:45:59,697
you're getting sort of -- putting out a mixed
message? It looks like you're defending Bernanke

579
00:45:59,700 --> 00:46:07,730
while also trying to talk tough on these other
issues, banking issues and such. Is it muddy?

580
00:46:07,734 --> 00:46:11,434
Mr. Gibbs:
I don't believe it is. Again, I think, as

581
00:46:11,433 --> 00:46:15,263
I said to Savannah, I think the proposal that
the President outlined -- has outlined over

582
00:46:15,266 --> 00:46:23,396
the past couple of weeks enjoy great support
among the American people because they're

583
00:46:23,400 --> 00:46:33,100
very commonsense policies in ensuring that
taxpayers get their money back and that banks

584
00:46:33,100 --> 00:46:39,170
aren't allowed to engage in the type of behavior
that we've seen contribute to an atmosphere

585
00:46:39,166 --> 00:46:47,296
of excessive risk. Look, David, I don't --
I obviously haven't seen why Senator McCain

586
00:46:47,300 --> 00:46:55,770
said what he said. But, you know, I think
the coalition that you mentioned; I think

587
00:46:55,767 --> 00:47:03,167
you could probably cobble together some type
of message around a coalition of those also

588
00:47:03,166 --> 00:47:07,866
supporting him. So I wouldn't necessarily
read into a ton of those.

589
00:47:07,867 --> 00:47:11,437
The Press:
What do you take from the opposition? I mean,

590
00:47:11,433 --> 00:47:12,733
is there a lesson that the White
House is taking or learning that --

591
00:47:12,734 --> 00:47:14,834
Mr. Gibbs:
Well, look, as you heard me talk about certainly

592
00:47:14,834 --> 00:47:20,734
last week and I think even -- I think you've
seen this from people that both support and

593
00:47:20,734 --> 00:47:27,564
oppose Chairman Bernanke. But there is still
a frustration about where we are in this economy.

594
00:47:27,567 --> 00:47:32,667
The President, even in re-nominating him,
believes -- shares some of that frustration,

595
00:47:32,667 --> 00:47:46,197
as well. We saw in the back end of 2008 and
we saw it again manifested in the jobs numbers

596
00:47:46,200 --> 00:47:50,270
and the growth numbers that we saw both in
the first quarter of 2009 -- well, throughout

597
00:47:50,266 --> 00:47:55,366
the first quarter of 2009, both in monthly
jobs numbers and in terms of economic growth,

598
00:47:55,367 --> 00:48:05,867
the sheer size of the economic hole that we
were in. That's not to say that Chairman Bernanke

599
00:48:05,867 --> 00:48:12,637
didn't do a superb job in navigating those
waters in 2009 and what the President believed

600
00:48:12,633 --> 00:48:13,603
was important to --

601
00:48:13,600 --> 00:48:15,600
The Press:
But their criticism is that he didn't adequately

602
00:48:15,600 --> 00:48:17,200
or properly see the hole to begin with.

603
00:48:17,200 --> 00:48:22,470
Mr. Gibbs:
Well, look, I think the President believes

604
00:48:22,467 --> 00:48:29,937
that Chairman Bernanke has done an extraordinary
job in navigating a very difficult situation

605
00:48:29,934 --> 00:48:37,404
and deserves both -- deserved to be both re-nominated,
approved for that re-nomination, and the White

606
00:48:37,400 --> 00:48:41,900
House believes that that indeed
will be the case. Thanks, guys.