December 13th, 2008
10:01 PM ET
5 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. MoneyMoney

    Everyone is asking where the money is coming from, c'mmon people we print the money. Its easy.

    December 13, 2008 08:19 pm at 8:19 pm |
  2. Maine dude

    Wheres bush when you need him??? Can't say since no one ever has, but right now he's picking out speak 'n spells to stock his preidential library I imagine.

    December 13, 2008 08:19 pm at 8:19 pm |
  3. Lolita

    MAN this crap is becoming annoying!

    December 13, 2008 08:21 pm at 8:21 pm |
  4. Jim Bob

    and $3M of the $500M will go to Governor Begoylavich.

    December 13, 2008 08:21 pm at 8:21 pm |
  5. ITSONNOW

    WOW, AND I THOUGHT PLAYING THE RACE CARD WAS AN OBAMINATION...AND MEAN SPIRITED TOO?? DEPENDS ON WHICH SIDE THE POO ENTERS THE FAN I GUESS!!!

    December 13, 2008 08:22 pm at 8:22 pm |
  6. Erika, KS

    What will the "savior" say? Oh Boy! He speaks again! Bet you Obamabots are sitting on the edge of your seats! LOL.

    December 13, 2008 08:22 pm at 8:22 pm |
  7. tr

    Obama isn't even president yet and already some cooks are complaining. Bush has put this country through pure hell for the last 8 years and Republicans still can't admit he is a complete failure!!

    December 13, 2008 08:23 pm at 8:23 pm |
  8. WTW

    Maybe it's time to quit spending 100 billion a year to arrest and incarcerate hemp smokers? Ya think?

    December 13, 2008 08:27 pm at 8:27 pm |
  9. Rob

    Jeff - seems to me that Bush is the reason you only have two dimes left in your pocket!

    December 13, 2008 08:27 pm at 8:27 pm |
  10. sEAN

    "the Southern States paid $BILLIONS OF BUCKS to foreign Car/Truck manufactures to relocate in the USA."
    What if American Companies that Outsourced did the SAME thing to KEEP Jobs in AMERICA?

    December 13, 2008 08:31 pm at 8:31 pm |
  11. victor

    What obame is doing is thinking longterm, if he is successful and makes the u.s more enrgy independant, cleaner and reduce carbon emissions he will be remembered as the greatest u.s president ever, even more than abraham lincoln. Republicans are the ones that want to keep us slaves of big oil american haters in the middleast, the liberals want to liberate us from their hands, think about it global warming is now taught at schools and there is a concesus that it has to stop in the future people will look back and say, wow man was he a great president and I think Obama knows this, if he is successful ofcourse.

    December 13, 2008 08:32 pm at 8:32 pm |
  12. Kevin

    To Jeff who posted at 8.11pm,
    You ask, "Where's Bush when you need him?"

    Um, he's still in office, driving this country into the ground!

    December 13, 2008 08:32 pm at 8:32 pm |
  13. Not again

    These stimulus packages have never worked as a real LONG-TERM. Just another politician using tax-payer money to make himself look like a good guy and give the nation a bad-aide when it really needs surgery.

    December 13, 2008 08:38 pm at 8:38 pm |
  14. Jeff - Mt. Juliet, TN

    Well let's talk about honesty in the whitehouse, Will -
    After an ULTRA successful 8 years of DEMOCRAT administration, in 2001, Bush was sworn in and began trying to impersonate a president. The U.S. had a surplus created by the Clinton administration, the economy was thriving (no thanks to Ken Starr and his 7-million dollar taxpayer-funded B.S. investigation because Clinton had an affair), gas prices were reasonable, and unemployment was the lowest since the depression.
    In his 8 years, Bush depleted the surplus, created our present 3 trillion-plus deficit, increased gas prices 115 percent, tortured prisoners of a RIDICULOUS war, leaked the name of a CIA operative, etc. etc. etc.... and is leaving with the LOWEST approval rating of a president in 60 years, 20 percent.
    Clinton left with an 80 per cent approval rating, the HIGHEST is 60 years.

    December 13, 2008 08:44 pm at 8:44 pm |
  15. Bambang Sriwijonarko, S.Ip

    Where in the hell is all this money coming from. It's got to be from taxes, taxes, and more taxes. I can't stand to pay any more. Please stop to handouts.

    December 13, 2008 08:47 pm at 8:47 pm |
  16. Jim

    The Obamabots got what they deserved. No change whatsoever. Obama brought back the Clinton retreds and surrounded himself with Chicago insiders. The bailouts are going to kill the taxpayers because afterall we are the ones paying for it (at least those of us who pay taxes). Those who don't pay taxes will get a check from the gov't thanks to Obama's wealth redistribution plan. For those of you who think wealth redistribution is fair let me put it in simple terms. Let's say you worked hard in school and made straight A's while one of youyr friends partied all the time and made all F's. It would be like you giving up half of your A's and trading him for half of his F's so you wpould both end up will all C's. Is that FAIR???? NO it is not. Wake up Obamabots!!!

    December 13, 2008 08:47 pm at 8:47 pm |
  17. Larry

    Howie,

    The money ,or part of it is coming from the savings on energy,we are going to be changing the light bulbs almost right away in all of the government buildings,and I 'm sure there are other changes too.

    December 13, 2008 08:47 pm at 8:47 pm |
  18. Andrea Norman, VA

    Will, Will, Will... you poor ignorant creature... stop complaining and let Obama do his job. Believe me, he doesn't need your advice. He's surrounded himself with educated people and he'll do whatever is necessary under the circumsances. Don't forget that your precious Bush screwd us up... And you moron voted for him and for that idiot Palin, didn't you? So why don't you shut up and go back to work. Go now. Dismissed.

    December 13, 2008 08:49 pm at 8:49 pm |
  19. nick

    where the heck is our help, im sick and tired of struggling day in and day out , obama needs to create a bail out for us the people, we are the spenders the hell with the ceo of car companys they have been living there platnum spoon lifestyles for years now help us obama between myself and my wife we put in over 80 + combined working hours a week and we have nothing to show for it, we barely have enough to put food on the table, let alone pay the bills again help us OBAMA, give us our bail out plan we need it NOW

    December 13, 2008 08:49 pm at 8:49 pm |
  20. Richard Nixon

    The great change is coming with Chicago political games arriving at Washington DC by January 2009.

    December 13, 2008 08:50 pm at 8:50 pm |
  21. joe lavery

    I think President Obama will do the best job possible for everyone in this country. He didn't create this mess, he inherited it.Give the guy a chance
    before you start with all the conservative BS

    December 13, 2008 08:51 pm at 8:51 pm |
  22. Sue in MI

    Will, why are you so insulting to anyone who doesn't share your belief that GWB hasn't trashed the economy, the country, the environment, and everything else he touched? I voted for Obama, but I have worked hard my whole life, my children went to colleges on scholarships (my daughter is finishing law school where she earned a full scholarship based on merit) and we also support paying taxes to funds services (not war!)
    As far as honesty, you might want to check out the lies told by Bush that brought about the ruination of the economy through the BILLIONS lost in Iraq.I guess that's OK with you, because in your mind, "he kept us safe." Bull! We are in more peril now than we ever were on Sept. 12.
    But you'd rather rant about the mistruths out there concerning Obama, and about any of us who prefer a man who understands the Constitution instead of using it for bathroom tissue. Enjoy your bitterness.

    December 13, 2008 08:52 pm at 8:52 pm |
  23. floridajack

    where's n\my comment??

    you only publishing anti-obama comments now?

    December 13, 2008 08:52 pm at 8:52 pm |
  24. Mark

    forget the bailout....just make sure we all get plenty of free Kool-Aid to drink and the majority of voters can still be easily manipulated into thinking how great things are because The One tells us how great things are now that the Chicago Machine is coming to power!!
    Hope! Hope! Have hope, people! Cuz you're not going to have any money left.

    December 13, 2008 08:55 pm at 8:55 pm |
  25. tony

    Jeff,

    Bush is responsible for 5 trillions of our total national debt, which stands at 10.6 trillions. In other words, the national debt under Bush almost equals the combined total of the previous 42 presidents in our nation's history. Who is the fiscally responsible party, Republican or Democrat?

    December 13, 2008 08:56 pm at 8:56 pm |
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