December 13th, 2008
10:01 PM ET
6 years ago

Source: Obama to meet with economic team on stimulus plan

The economic stimulus plan in the works by President-elect Obama's team could cost $500-$700 billion over two years.
The economic stimulus plan in the works by President-elect Obama's team could cost $500-$700 billion over two years.

CHICAGO, Illinois (CNN) - President-elect Barack Obama will meet next week with his economic team to discuss the economic stimulus package they are developing, a transition aide for the incoming administration confirmed to CNN on Saturday.

The aide said the team also met with Obama in Chicago on Thursday, the same day the president-elect picked former Senate Majority Leader Tom Daschle for two important roles - secretary of Health and Human Services and director of the White House Office of Health Reform.

The Obama team isn't putting a price tag on its economic stimulus plan, which Democratic leaders want to have ready for the new president to sign either on or very soon after Inauguration Day.

Currently, the initial package is expected to cost somewhere between $500 billion and $700 billion over two years.

On the likely agenda: Funds for infrastructure projects, middle class tax cuts, aid to state and local governments, and money for safety net programs such as food stamps and Medicaid.

Obama has described the package as "the largest infrastructure program ... since the building of the Federal Highway System in the 1950s."

Infrastructure is likely to be the most controversial measure. Many critics say such funding isn't the best way to jumpstart economic activity in the near-term because many infrastructure projects take too long to get under way.

A recovery package also might include an extension of the increase on the maximum loan amounts that qualify mortgages for backing from Fannie Mae, Freddie Mac and the Federal Housing Administration, a measure that House Financial Services Chairman Barney Frank, D-Massachussetts, is advocating. On January 1, the limit will drop to $625,500 from $729,750 in the highest-cost housing markets.

–CNN's Jessica Yellin contributed to this report


Filed under: Economy • Obama transition • Popular Posts
soundoff (180 Responses)
  1. gp

    What is killing this country is the racisim will never end. These idiotic comments about Chicago Machine, as this country goes down the tubes. Some will never accept the fact that a black man will be our President. They rather see Bush like idiots who doesn't have new ideas to save this country. Instead, you rather stick with the status quo. That is why our country is in this mess. It is rediculous and it is time to move on. Minorities are good enough to go to war for this country but not good enough to be President. It is ashame and a disgrace!!

    No Chicago machine will be running this country, only an intellect that has opportunity to change situations for the better. Instead of running off at the mouth and sitting around with hate in your heart, get up off the couch and get yourself educated, you may learn something. Also, read the facts and research before you make idiotic statements. Fitzpatrick said that P.E. Obama is not involved at all, but that is not good enough for you. Stop digging you are only hurting yourselves.

    Another thing as you sit around talking nonsense, our enemies are watching. Be careful of what you wish for because beleive me as soon as we become vunerable, they will seek opporunties to hurt us. Therefore support your President, because my country, your country is all we have.

    December 13, 2008 09:55 pm at 9:55 pm |
  2. redbarchetta88

    For the past eight years, Democrats have bashed the president for spending beyond this country's means and running up a deficit. The national debt has doubled under his watch. Now Obama is proposing even more spending beyond our means, yet he is praised for trying to lift us out of our "depression". What makes you think the deficit won't double under his watch like it did under Bush?

    December 13, 2008 09:55 pm at 9:55 pm |
  3. FreeNLovIt

    To ECON Student

    No one willing to pay more taxes? If we can get this economy going again, Obama has my pledge to pay more taxes. I am willing to do whatever it takes to secure America's future. No one likes paying more taxes, but I know that we love America and we will do it. If a Prez shows judgement and accountability, we will do the same. In these times, we all need to carry 'UNITY' signs, like the one at CO. It was amazing. You keep repeating it and you're going to want UNITY.

    December 13, 2008 10:02 pm at 10:02 pm |
  4. gp

    All this complaining about the $500 billion. Does anyone out here have an ideas of getting the economy moving again. It seems that $700 billion bailout is not working so far. It would be nice to see people presenting ideas, instead of complaining. I don't care, I just want my job back, I want the economy moving forward, I want us to catch up with countries like China who are moving forward in the 21st century. We are lagging behind, and yet some of you are complaining. It is time to look to the future, instead of looking back.

    December 13, 2008 10:03 pm at 10:03 pm |
  5. Luis Villan

    These conservatives neocons are still in stage of denial that what happened to the worl now as we speak was the result of these conservatives running the country(world). Wait till this war is over, most of Bush's close friends will be one of the billionaires in Forbes list that would himself and DICK! cheney.

    December 13, 2008 10:08 pm at 10:08 pm |
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