Economy & Budget

Senate Majority Leader Harry Reid (D-Nev.) and House Speaker Nancy Pelosi (D-Calif.) renewed their calls for a second stimulus package today after a Bureau of Labor Statistics report showed 240,000 jobs shed by the U.S. economy in October, bringing the nation's unemployment rate to 6.5 percent--the highest it's been since 1994.

"The House has already passed strong economic recovery and job creation legislation in September.

Sen. Richard Shelby (R-Ala.) said Thursday that he doubts the $700 billion Wall Street bailout was the right decision but that lawmakers are stuck with it now.

"I hope it works, but I have my doubts in the long run," Shelby said in an interview with The Hill. "We'll know in a year or in two years

Senate Majority Leader Harry Reid (D-Nev.) and Sen. Charles Schumer (D-N.Y.) were quick to seize on Federal Reserve Chairman Ben Bernanke's endorsement Monday morning of considerations of a second economic stimulus package.

Reid said he hoped Bernanke's statement to the House Budget Committee will sway President Bush and Republicans to support a second stimulus package, while Schumer said a second package is "very much needed."

House and Senate leaders have both publicly declared their intent to raise a second stimulus package during the Nov. 17 lame duck session, including ideas that had been previously unsuccessful such as unemployment benefit extensions, new infrastructure spending, hiring incentives for businesses, bankruptcy reform, aid to homeowners facing foreclosure, heating assistance for low-income households and cash infusions to states facing budget shortfalls. Read more...

House committees will hold hearings on a second economic stimulus bill, a proposal House Speaker Nancy Pelosi (D-Calif.) has been pushing since April, Pelosi announced today.

"I have asked the chairs of relevant committees to schedule hearings in the coming weeks on the key provisions of a fiscally responsible recovery package to get our economy moving again," Pelosi said today in a statment released by her office.

"With Americans worried about losing their jobs, their savings, their homes and their chance at the American Dream, the New Direction Congress will work in a bipartisan way to lift our economy and help America

Democratic leaders are meeting with economists today to develop a plan to help the U.S. economy recover from its current crisis.

House Speaker Nancy Pelosi (D-Calif.) hosted members of the House Democratic leadership along with ten economists and Iowa Gov. Chet Culver (D) in her office this morning as the meeting convened.

"Each and every one of these people who are here today will take us to a new place in our thinking on how we can protect the taxpayers, create jobs, stabilize our economy and the markets, and do so in a way that is fair to the American people," Pelosi said, welcoming the group.

House Democrats have pushed Republicans and President Bush to support a second economic stimulus package, and some have speculated that party leaders will bring Congress back into session after Nov. 4 to try to pass one.

The goal of today's meeting, Pelosi said last week when it was announced, is to develop a plan that "will create jobs by rebuilding our roads, bridges and highways, prevent cuts to vital government services such as health, education, and public safety, extend unemployment benefits, and help families cope with rising food costs."

See the list of economists attending today's meeting here.

House Democratic leaders will convene an economic forum on Monday, meeting with economists in House Speaker Nancy Pelosi's (D-Calif.) office, Pelosi announced this afternoon.

The House is currently out of session, and is not expected to return until after Nov. 4, when the lower chamber may gather to work on an economic stimulus package.

Monday's meeting is geared toward

A small but vocal contingent of protesters camped outside the Capitol Friday to protest the controversial $700 billion Wall Street bailout bill.

One particularly excited man, dressed in a jacket and tie but wearing a pink sign on his back reading "TRAITOR PAULSON," moved toward Rep. Henry Waxman (D-Calif.) as the committee chairman approached a crosswalk.

"Waxman! Did you vote nay?" the man asked.

"I voted aye," Waxman said simply.

The protester's walk turned into a quick trot, and Hollywood's Congressman got a little nervous.

Waxman held out his hand and exclaimed, "Get away from me or I'm going to call the police!"

Waxman and the protester exchanged a few words as the lawmaker sought the attention of a nearby Capitol Police officer, who ran a nice screen between Waxman and his assailant, allowing the rattled Democrat to make his way safely across the street.

As Waxman walked away, the protester shouted, "150 pages of pork! 150 pages of pork!"

Waxman didn't look back.

- Jeffrey Young

The following is a list of representatives who switched their votes in favor of Congress's Wall Street bailout package after voting "no" on a previous version of the bill Monday.

Party leaders pushed hard all week for passage of the bill, which, if signed by President Bush, will grant the Treasury Department authority to spend up to $700 billion in increments on the purchase of toxic, mortgage-based assets from failing U.S. financial firms. An earlier version failed in the House 205-228 Monday; today's version, which was passed by the Senate with added provisions earlier this week, passed by a margin of 263-171, as leaders won an additional 58 votes total from their caucuses.

Here is a list of the 58 members who switched to "yes" (and the one who switched to "no"), as compiled by The Hill. Read more...

The Congressional Black Caucus (CBC), a key group of House Democrats that had been split over the Wall Street package that failed in the House Monday, swung in favor of the package today, as the caucus largely changed its stance and voted in favor of a newer version of the package.

After CBC members were split evenly Monday on whether or not to spend billions to assist collapsing Wall Street firms, 12 of the CBC's 38 voting members switched their votes to "yes" today as the updated, Senate-passed version of the bill soared through the House by a margin of 263-171.

One of those switched votes--and perhaps the most significant--was cast by CBC Chairwoman Carolyn Cheeks Kilpatrick (D-Mich.), who reportedly had an icy exchange with House Speaker Nancy Pelosi (D-Calif.) on the House floor Monday as the first Wall Street vote approached. Read more...

It's just 31 days until the country picks a new president, but everyone, including one Barack Obama campaign staffer, has been focused Friday on the bailout vote.

The Hill's Jim Mills bumped into Phil Schiliro, the Obama campaign's congressional liaison, on Capitol Hill. Here's Mills's exchange with Schiliro, a former chief of staff for Rep. Henry Waxman (D-Calif.):

Mills: "Hey.. What you doing back here?... Thought you were on the campaign trail."

Schiliro: "This is the campaign trail!"

Obama himself has gotten into the bailout mix. His calls to Democratic House members resulted in a few more votes for the rescue package, The Hill's Jared Allen reports.