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Analysis: Obama's 




assertive speech portends clash

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He specifically defended Medicare, Medicaid and Social Security. Although Obama has expressed a willingness to slow the growth of these costly programs, he seemed to caution Republicans to back off the deeper cuts they propose.

Obama starts his second term facing three immediate priorities: restoring the economy’s health, overhauling immigration laws and reducing gun violence. He also vowed Monday to “respond to the threat of climate change.” That issue, however, seems likely to wait its turn.

Restoring the economy has been Obama’s biggest challenge. Any relapse into recession could put millions of Americans out of work and vastly complicate his hopes for second-term achievements.

From the start, two forces have pulled at him on the economy. Liberal economists implored the president to pour federal money into stimulus programs, saying the deficit’s resulting spike could be addressed later. But anti-deficit activists gained ascendancy in the Republican Party, demanding deep spending cuts without detailing who would pay the price.

Deficit reduction remains the GOP battle cry. House Republicans recently agreed to postpone a showdown on the debt ceiling by three months but say they will use other coming budget deadlines to extract reductions in social programs from reluctant Democrats.

“Spending has raged out of control and America’s debt has ballooned,” House Republican Conference Chairwoman Cathy McMorris Rodgers said in her response to Obama’s speech Monday. Senate Republican Leader Mitch McConnell promised Obama a “fresh start,” but reminded him of “the transcendent challenge of unsustainable federal spending and debt.”

The Republicans’ highest-ranking official, House Speaker John Boehner, used a Lincoln quote to offer Obama an olive branch. The nation’s leaders, Boehner said at a Capitol luncheon, were assembled to “renew the old appeal to better angels.”

Obama on Monday seemed to signal a willingness to work with Republicans, couched in a reminder that he won the last election and thus can’t be expected to yield very much.

Boehner and his fellow Republicans this week will craft the next legislation in the deficit-spending confrontations. It will be the first of many tests of whether the nation’s “better angels” can break through a barrier of bitter standoffs.

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