Obama stimulus catching Democratic flak

Published: Jan. 9, 2009 at 7:54 AM
President-elect Obama delivers remarks on the economy in Virginia

WASHINGTON, Jan. 9 (UPI) -- President-elect Barack Obama's economic recovery plan has run into problems among fellow Democrats in Congress, officials say.

Amid indications passage could take longer than hoped, Senate Democrats complained that major components of his stimulus plan should focus on creating jobs and rebuilding the nation's energy infrastructure rather than cutting taxes, The New York Times said Friday.

Conservatives were criticizing high spending and moderate Democrats were concerned over the swelling deficit, the report says. Liberals meanwhile reportedly want more money for social programs and alternative-energy development.

Obama earlier Thursday warned the recession could last for years unless his plan is adopted within weeks. He has been working on a package worth as much as $775 billion over two years to revive the sagging economy.

Meanwhile, the Obama transition team has been considering how to use the second $350 billion of the bailout program approved by Congress and a possible broader range to provide relief on consumer loans for homes, automobiles and education.

© 2009 United Press International, Inc. All Rights Reserved.
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