Economy & Budget

Sen. Norm Coleman (R-Minn.) has opened up a small lead over Democratic-Farmer-Labor candidate Al Franken in his reelection bid as both campaigns ratcheted up their campaigning this week.

A Quinnipiac/Wall Street Journal/Washingtonpost.com poll released Tuesday showed Coleman leading with 49 percent in the race, topping Franken, who drew 42 percent. The poll did not ask about Independence Party candidate Dean Barkley, a thorn in Franken's side in earlier polls. Three percent of respondents said they would vote for "someone else" in the Quinnipiac poll, while six percent said they were undecided.

The Quinnipiac poll, which included voters who "leaned" toward one candidate, was conducted between September 14 and 21, and had a 2.7 percent margin of error.

Coleman's lead was much smaller in a Rasmussen Reports poll released Monday, however, in which he led Franken 48-47 with Barkley at three percent. The Rasmussen poll, conducted September 18, had a 4 percent margin of error.

The polls come on the heels of a recent flurry of campaigning, with Coleman telling voters in Minnesota this past weekend that the assistance to the financial industry under consideration may be profitable to the government.

Senate Majority Leader Harry Reid (D-Nev.) on Tuesday called out Republican presidential nominee John McCain to take a position on a massive bill aimed to bail out Wall Street.

John McCain's call for the resignation of Securities and Exchange Commission Chairman Chris Cox is "dishonest," Rep. Dana Rohrabacher (R-Calif.) said Monday.

Two of the presidential campaign's top economic advisers -- Ike Brannon for John McCain and Gary Gensler for Barack Obama -- pushed their bosses' talking points on the economy at a forum hosted by the National Association of Federal Credit Unions Congressional Caucus.

In a largely civil exchange, both advisors congratulated federal officials for avoiding a Lehman Brothers bailout and laid out competing visions for the country

Speaking in Florida this morning, John McCain said that despite "very, very difficult times" the fundamentals of the economy are still strong.

McCain has said the line before, but given the timing Democrats have jumped on the line.

"If John McCain is worried about an earmark to study bear DNA

Both presidential candidates responded to the report of more job losses by railing against taxes for American workers. The national unemployment rate rose to a five-year high of 6.1 percent last month as American companies cut about 84,000 jobs, according to a Labor Department report released Friday.

Here are the candidates' full statements.

McCain:

"Americans are hurting and we must act to create jobs. Unfortunately, while millions of Americans are gathering around the kitchen table and questioning how they can keep their homes, pay their medical bills and afford their children's education, Washington has failed to act. As I promised last night, I will fight for those that lost their jobs, savings, and real estate investments. Some Americans have been left behind in the changing economy, and it often seems your government hasn't even noticed. We must prepare every worker for the jobs of tomorrow. We will use our community colleges to help train people for new opportunities in their communities. As President, I will enact a Jobs for America economic plan that creates jobs, helps small businesses, expands opportunities and opens markets to American goods. Washington must stand beside the American people, not in their way.

"Sadly there are those who believe that to grow this economy we must raise taxes, impose costly new mandates and isolate America from the global economy. When our economy is hurting, the last thing we should do is raise taxes as Barack Obama plans to do and has done. The American people cannot afford a Barack Obama presidency."

Obama:

"Today

Pennsylvania Gov. Ed Rendell (D) charged today that Republican presidential candidate John McCain would increase the tax burden on middle class families if he wins the White House.

Rendell cited McCain's proposal to eliminate the current federal tax exemption for the premiums paid to buy health insurance through employers. Under that proposal, the money would be subject to income tax for the first time since the exemption was created in the post-World War II era.

McCain also proposed, however, to provide tax credits of up to $5,000 to replace the tax exemption.

"He not only doesn't want to cut taxes on the middle class, he wants to increase taxes on the middle class," Rendell said at an event Wednesday sponsored by the Service Employees International Union and the liberal healthcare group Families USA.

- Jeffrey Young

Another Democrat facing a tough race is breaking from his party and emphasizing offshore oil drilling.

Freshman Rep. Tim Walz (D-Minn.) is going up with a new radio ad Friday, and it pointedly says that he differs from his leadership on the issue.

The announcer says Walz is "bucking his party leadership to create a real energy plan that gets something done."

"It expands offshore drilling," she says, pausing for effect, "and uses those royalty dollars to speed up our transition to clean energy, create jobs and make us energy independent."

Walz is one of several Democrats in a tough race who is emphasizing drilling, even as leadership has been cool to the idea. Rep. Mark Udall (D-Colo.) has notably become a drilling proponent during his Senate campaign.

Download the ad here.

- Aaron Blake

The Republican National Committee (RNC) launched a website this afternoon dedicated to Barack Obama's ties to fundraiser, convicted felon, and real estate developer Antoin "Tony" Rezko, looking to hit back as the Obama camp hammers John McCain for telling reporters he's not sure how many houses he and his wife own.

Obama's ties to Rezko, who raised money for Obama and helped the senator buy his Chicago home, have been a cornerstone of their response to the "houses" gaffe. The RNC sent an e-mail to reporters, dubbing the Rezko association "Obama's Housing Problem."

The website accuses Obama of hypocrisy in criticizing McCain's gaffe, offers links to news articles about Rezko and Obama, and alleges a "shady deal" between the two. Rezko and his wife purchased an adjacent plot of land to Obama's Chicago home from the same seller, then sold some of it to Obama, according to news reports. Rezko has also raised money for Obama's U.S. Senate campaign.

See the RNC's new site here.

Touching on other recent economic statements by John McCain--that Americans qualify as rich if they make $5 million per year and that the U.S. economy is fundamentally strong--Barack Obama today had this to say about a report that McCain is unsure of how many homes he owns:

"I guess if you think that being rich means you