February 8th, 2009
04:45 PM ET
9 years ago

Stimulus will lead to 'disaster,' Republican warns

WASHINGTON (CNN) - Leading Republicans warned Sunday that the Obama administration's $800 billion-plus economic stimulus effort will lead to what one called a "financial disaster."

"Everybody on the street in America understands that," said Sen. Richard Shelby, the ranking Republican on the Senate Banking Committee. "This is not the right road to go. We'll pay dearly."

Shelby, of Alabama, told CNN's "State of the Union" that the package and efforts to shore up the struggling banking system will put the United States on "a road to financial disaster."

But Lawrence Summers, the head of the administration's National Economic Council, said Republicans have lost their credibility on the issue.

"Those who presided over the last eight years - the eight years that brought us to the point where we inherit trillions of dollars of deficit, an economy that's collapsing more rapidly than at any time in the last 50 years - don't seem to me in a strong position to lecture about the lessons of history," Summers told ABC's "This Week."

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soundoff (400 Responses)
  1. Max

    To the Republicans in Congress: Keep up the good fight, here. There might be some starry-eyed folks who will take Obama's words as gold no matter what he says, but just remember that the best decisions aren't always the popular ones at the time they are made.

    February 8, 2009 07:02 pm at 7:02 pm |
  2. Charlie in Maine

    Wait a minute Senator. Are you the same guy who wants Detroit to fail?

    Well I'eve got news for you sir.
    You've got it exactly backwards. It is a disaster that has resulted in the stimulus package. The disataster's name in case you cant remeber back to last month is George W. Bush. This economic situation is a direct result of his war, YOUR war. 12 million dollars an hour starts to add up after a while. So you can choose to be a pot-hole on the road to economic recovery... but don't expect your party to do well in the coming century.

    February 8, 2009 07:02 pm at 7:02 pm |
  3. John

    His words are simple political grandstanding. The debt the left from the Republican President AND his Bank bailout and HIS auto bailout will do it. May as well give the average guy a fighting chance to grab a reaft as the ship sinks just not the wall street crooks.

    February 8, 2009 07:02 pm at 7:02 pm |
  4. arnolde

    "Shelby, of Alabama, told CNN's "State of the Union" that the package and efforts to shore up the struggling banking system will put the United States on "a road to financial disaster."


    I don't know which road Mr Shelby is travelling on, but he seems to have missed all the signs saying we are ALREADY on the road to disaster, and it isn't the stimulus package that put us there.

    February 8, 2009 07:03 pm at 7:03 pm |
  5. daniel cabrera

    Only a COCOZOID OR A WACKADOO could think this is a good plan,
    But you see, democrat ranks are loaded with this type of beings,..many are in Washington! he-he-he-he

    February 8, 2009 07:04 pm at 7:04 pm |
  6. Helen

    Who the hell is he to make the comment that Obama's plan will lead to "disaster". Doesn't he realize that his government has lead us over the cliff for the past eight years. We are already in a "disaster". Is he aware of how many people are suffering, without jobs, can't care for their children, no house, commiting suicide. He can't even understand as I am sure he has never been there.


    February 8, 2009 07:05 pm at 7:05 pm |
  7. Citizen

    Republican Senators helped to destroy the economy by letting that simple minded George Bush steal at will from this country; yet now they have the gall to complain the destruction economy.

    February 8, 2009 07:05 pm at 7:05 pm |
  8. Student

    Senator, you party leadership no longer has credibility. Your TARP package was only a few weeks ago. It's time for a new conservative party.

    February 8, 2009 07:06 pm at 7:06 pm |
  9. Richie

    This guy is irresponsible. How dare he use the politics of fear when our country is in a crisis.

    February 8, 2009 07:06 pm at 7:06 pm |
  10. rick

    I'm an indepedent but I am tired of the Democrats saying the last 8 years were all Bush and the Republicans fault. True, they made a lot of wrong choices but when the Democrats took control of both houses of congress a little over 2 years ago the GDP was at 3%, the market was over 12,000 and unemployment was at 4.6%. Thanks to Franks and Dodd heading committees to force Freddie and Fannie to make home loans to unqualified buyers the economy has steadily headed downward. You can point fingers at both parties.

    February 8, 2009 07:08 pm at 7:08 pm |
  11. Steve (the real one)

    Why are the dems not honest? They are crying eight years, eight years! The truth to the matter is was the dems who held the checkbook for the last years it was the dems who held power and the federal checkbook for the last two years! No president writes law, no president hold the checkbook. Ladies and Gentlemen it is the Congress! This stimulard bill is a by product of Pelosi and Crew! I said before the biggest headache this president has is Reid and Pelosi! At the same time, whatever happened to the "no earmark" promise?

    February 8, 2009 07:09 pm at 7:09 pm |
  12. K Fergus

    It's time Senator Shelby retires. He is clearly not in touch with what is happening to the working American. His party accumulated a $1.2 trillion on a useless immoral war. In addition, there was no oversight on how the first half of the TARP bailout was spent. This was all under the Republican watch (or should I say neglect). Republican policies are the main reasons that the country is in the mess. How dare they criticize the spending now.

    The Republicans are HYPOCRITES!!!!!!! Go home you've done enough damage.

    February 8, 2009 07:10 pm at 7:10 pm |
  13. Proud Yankee

    Bring it on ... it can't be worse than what Bush / Cheney Inc. cooked up for us.

    February 8, 2009 07:10 pm at 7:10 pm |
  14. daniel cabrera

    My comments with a lot of substance are not posted for the BRAIN CAPACITY of the moderator or moderators ,..that 'brain capacity' is not enough to understand squat. So, that is life,..you see I have to write very simplistic so they can catch it.

    Actually,...I think they erase/dicart them as soon they reach the 7th line
    WAHHH !

    COCOZOID?, WACKADOOS?, or just plain inept FUZBALLS? take your pick,...ha-ha-ha-he-he-he

    February 8, 2009 07:12 pm at 7:12 pm |
  15. frank, pennsylvania

    You've clearly sacrificed your credibility on the altar of partisanship. It is a shame that republicans will go after stimulus package with reckless abandonement of the people the are supposed to represent. The worst diservice is when you deceive the uneducated members of your electorate because of partisan politics – this is very shameful and unacceptable! I think it is time to recall some these republicans!

    February 8, 2009 07:12 pm at 7:12 pm |
  16. Sarty

    Oh Selby, keep quiet.

    February 8, 2009 07:14 pm at 7:14 pm |
  17. John in KY

    I heard enough from this "IDIOT" during the Big 3 hearings!
    climb into your BEAMER and go bird hunting with Dick Cheney.

    February 8, 2009 07:14 pm at 7:14 pm |
  18. Proud American

    Republicans have had 8 years only to fail miserably. It's time they shut up and sit down!

    February 8, 2009 07:14 pm at 7:14 pm |
  19. bsmith171

    he warned them. by the end of 2010 unemployment will be 10% and inflation 10-12%.

    that's as simple as it gets.

    this is a stimulus program to grow governement .

    February 8, 2009 07:15 pm at 7:15 pm |
  20. Lurker

    Where was this fiscal disicipline when we wasted a trillion dollars on the Iraq war?

    February 8, 2009 07:15 pm at 7:15 pm |

    Republicans have ZERO CREDIBILITY.

    They have been lying to you about this economic recovery package. Lying about supposed pork, lying about CBO reports that don't exist while ignoring the one that does and that verifies this package WILL help. Don't believe their hype.

    February 8, 2009 07:16 pm at 7:16 pm |
  22. The Lady

    If all the Repulicans were worried about our country eight years ago the way they are today we would be in much better shape. All I see you doing is trying to stay divided as a country, can we just come together and get back on our feet and quit pointing fingers at who is right and who is wrong, for goodness sakes you all are grown men now can you start acting like it.

    February 8, 2009 07:16 pm at 7:16 pm |
  23. Sye the Pychic

    Shelby cares more about the New Confederacy and Japanese Auto Industry than the American people as a whole.

    February 8, 2009 07:18 pm at 7:18 pm |
  24. daniel cabrera

    Ok, in very 'plah-language' (so the moderators (he-he-he-he) will understand?,...

    Obama and his gang of CORRUPTED AND DISHONEST POLITICIANS ARE SCREWING-UP THE BLOODY COUNTRY,...'as soon as possible and,....quick and swiftly..."
    Hey!,..did he say (Obama, 'the magic one') something like that?


    See? simplistic ,.....that is why you are reading.

    February 8, 2009 07:18 pm at 7:18 pm |
  25. Joe

    "Everybody on the street knows" that the majority voted for Obama and not your loser strategy to give tax cuts to the rich. Get on board or get lost. The American people have spoken already.

    February 8, 2009 07:19 pm at 7:19 pm |
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