The White House

Office of the Press Secretary

Remarks by the President on Small Businesses and the Economy in Woonsocket, Rhode Island

American Cord & Webbing Co., Inc., Woonsocket, Rhode Island

4:53 P.M. EDT
 
THE PRESIDENT:  Thank you very much.  Thank you.  Thanks so much.  Please, everybody have a seat.
 
It is just wonderful to be at American Cord and Webbing.  And thank you -- I just saw all the great work that’s being done here.  I want to acknowledge a few friends here in the first row.  First of all, your outstanding senior senator Jack Reed.  We’re so proud of him.  (Applause.)  And your equally outstanding junior senator, Sheldon Whitehouse is here.  (Applause.)  My dear friend, Congressman Patrick Kennedy.  (Applause.)  And I want to just say right now, Providence mayor Dave Cicilline soon could have another job.  (Applause.)  Congressman Jim Langevin is just a great friend and an inspiration to all of us.  (Applause.)  We’ve got Woonsocket mayor Leo Fontaine is here.  Where’s Mr. Mayor?  There he is, right there.  (Applause.)  And of course somebody all of you know, Mark Krauss.  Where’s Mark?  (Applause.)  And Ray Velino, right here.  (Applause.)
 
You guys are pretty popular.  (Laughter.)  That’s nice.
 
It is great to be here in Rhode Island, and it is great to be here at American Cord and Webbing.  I just had a chance to take a quick tour and see the outstanding work that so many of the workers are doing here.  These guys make webbing, cords, buckles, plastic and metal hardware for sporting goods, outdoor goods, travel gear.  They are also making customized leashes for Bo -- (laughter) -- that I am very proud of, and it is clear that they take enormous pride in what they do.
 
This is a third-generation company, and Mark was telling me how it got started with his grandfather in 1917, and it’s just a testament to American ingenuity and American entrepreneurship.  And now he’s got four beautiful kids, along with his lovely wife.  And one of them or two of them may end up continuing the business once Mark decides he’s ready to retire.  But that looks like a long ways off.  (Laughter.)  He looks pretty young and pretty fit.
 
Like most small businesses, American Cord and Webbing has gone through some tough times in the past few years.  Early in 2009, they lost customers and had to lay off some workers.  But they buckled down -- that was a pun.  (Laughter.)  You got that?  You catch that one?  And then invested in new products and pursued new customers.  And over the past year, they’ve hired back all the workers they had to lay off.  And today business is going well.  (Applause.)
 
So this year, Mark expects to turn a profit.  He’s going to invest in new machinery and new equipment.  And just last month, this company was approved for an SBA loan that’s going to help them expand this facility by nearly half, which is going to be very exciting.
 
Now, this is important -- not just for this particular business and these particular workers, but for America.  It’s small businesses like this one, after all, that are the bricks and blocks, the cord and webbing, if you will, of our economy.  But the financial crisis made it very difficult for them to get the loans that they needed to grow.
 
The recession meant that folks are spending less.  And across the country, many small businesses that were once the cornerstones of their communities are now empty storefronts that haunt our main streets.
 
So the bottom line is, when our small businesses don’t do well, America doesn’t do well.  So we all have a stake in helping our small businesses grow and succeed.  And because small businesses create two out of every three new jobs in America, our economy depends on it.
 
And that’s why, over the past 20 months, we’ve done everything we can to boost small businesses like this one.  And what’s guided us is a simple principle: Government can’t guarantee your success, can’t guarantee Mark’s success -- he doesn’t expect it to -- but government can knock down some of the barriers that stand in the way of small business success and help create the conditions where small businesses can grow and hire and create new products and prosper.
 
That’s why we’ve now passed, with the help of these outstanding members of Congress -- 16 different tax cuts for America’s small businesses over the last couple years -- 16 tax cuts over the last couple years.  (Applause.)
 
We’ve passed tax cuts for hiring back unemployed workers.  We’ve passed tax cuts for investing in new equipment.  There are 4 million small businesses right now that are poised to get a tax break of up to 35 percent of the premiums they pay if they are providing health insurance to their employees -- and that’s a tax break that can free up tens of thousands of dollars to upgrade facilities, buy new equipment, or hire a few new workers.
 
And last month, after plenty of political obstacles, after months in which thousands of small business owners across America were waiting for the loans and tax cuts they badly needed to grow their business and hire new employees, I signed into law the Small Business Jobs Act.
 
Now, that act extended provisions that helped support tens of thousands of new SBA loans under the Recovery Act, and it waived fees on those loans to save owners money on their payments -– something that saved this particular company more than $9,000.
 
In less than a month since that new law took effect, more than 3,600 small business owners have already received more than $1.4 billion worth of new loans, with more to come -- and the SBA has already begun offering larger loans for small business owners who need them.
 
The law also accelerates $55 billion in new tax cuts for businesses both large and small that make job-creating investments over the next year.  It eliminates capital gains taxes on key new investments made in small businesses until the end of this year.  It dramatically increases the amount small businesses can write off on new equipment investments -- and we want to do more, so that you can write it all off.  These are tax cuts that can help America -- help businesses like American Cord and Webbing that are making new investments right now.  And it can help create jobs.
 
Finally, the law that we signed creates new initiatives to increase lending to small businesses. It strengthens state programs that spur private sector lending, and that’s a step that will support $15 billion in new small business loans across the country.  And it sets up a new Small Business Lending Fund that will support Main Street banks that lend to Main Street businesses.
 
We’re doing all this because when times are tough, I believe we should be cutting taxes for small business owners.  We should be cutting taxes for companies that are investing here in Rhode Island and here in the United States of America.  (Applause.)
 
When new loans are hard to come by, I believe we should help free up lending.  When some companies are shipping jobs overseas, we should be helping companies like this one -- our small businesses, our manufacturers, our clean energy companies.  I think those are pretty commonsense values that we can all agree on.
 
Now, I will confess I wish that Republican leaders in Congress had agreed earlier.  They voted against these ideas again and again.  They talk a good game about tax cuts and giving entrepreneurs the freedom to succeed when, in fact, they also ended up voting against tax cuts for the middle class; they voted against tax breaks for companies creating jobs here in the United States.
 
When you vote against small business tax relief and you hold up a small business jobs bill for months, that doesn’t do anything to support small businesses like this one.  It doesn’t do anything to support the outstanding workers at this company.  It’s just playing politics.  If you’re going to talk a big game, then you need to deliver.
 
So I hope that my friends on the other side of the aisle are going to change their minds going forward, because putting the American people back to work, boosting our small businesses, rebuilding the economic security of the middle class, these are big national challenges.  And we’ve all got a stake in solving them.  And it’s not going to be enough just to play politics.  You can’t just focus on the next election.  You’ve got to focus on the next generation.
 
That’s how Mark’s company has succeeded by focusing on the next generation.  And that’s how we have to think about our work in Washington.  (Applause.)
 
So let me just again congratulate the company for doing the great work that you’re doing.  Thank you for your hospitality.  I know it’s always a big fuss when I show up.  (Laughter.)
 
And to all of you here in Rhode Island and all across the country, when I tour plants like this, it makes me optimistic.  We’ve got big problems, and it’s going to take some time to solve them.  It took us a long time to get into this economic hole that we’ve been in.
 
And the recession that we inherited was so deep that it’s going to take some time to get out.  But we are going to get out.
 
And I’m absolutely convinced that there are brighter days ahead for America -- an America where businesses like this one aren’t just thriving, but are powering our economic growth; where workers like the ones who are here are rewarded for the work that you do; where our middle class is growing; where opportunity is shared by all our people, and the American Dream is back within the reach of those who are willing to work for it.
 
So that’s what we’re working for.  That’s the guiding principle behind all of my administration’s activities is how do we make sure that the economy is growing, and that the middle class is growing -- because that’s the beating heart of this economy.  What you do here is a great example of what we’ve got to be able to do all across this country.
 
We’re proud of you, and I thank you so much for letting us join you here today and seeing the wonderful success that you’ve been able to accomplish.
 
Thank you very much, everybody.  Thank you.  (Applause.)
    
                   END           5:04 P.M. EDT

The White House

Office of the Press Secretary

Remarks by the President at a DCCC Dinner in Minneapolis, Minnesota

Van Dusen Mansion

Minneapolis, Minnesota

5:35 P.M. CDT

THE PRESIDENT:  Hello, everybody.  (Applause.)  Thank you.  (Applause.)  Thank you so much.  Thank you, everybody.  Thank you.  (Applause.) Everybody, please have a seat, have a seat.  You're going to make me blush.  (Laughter.)  

I am thrilled to see all of you here today.  And let me, first of all, say that Minnesota has one of the finest congressional delegations of any in the country.  I am grateful to your two wonderful senators who I've gotten a chance to know over the last several years -- Amy Klobuchar, who I served with  -- hey, Amy, how are you? (Applause.)  And Al Franken, who we were very happy to see arrive in Washington.  (Applause.)

The outstanding members of the House -- Keith Ellison, Betty McCollum, Jim Oberstar, and Tim Walz -- all who are here.  We're thrilled to have them.  (Applause.)  

The great congressional candidates who are with us here today, we are proud of you.  And Mark Dayton, who I had a chance to serve with as senator -- he was dedicated, he had a heart as big as this room, and he is going to be just an outstanding governor for this state.  (Applause.)  So we are proud of you.  

And what can I say about Nancy Pelosi -- (applause) -- who will go down in history as one of the finest speakers in the history of the United States of America. (Applause.)  She is -- Nancy is just so elegant and beautiful, and people just don't realize she is tough.  (Laughter.)  She is tough. And she has to be tough, because we are in a very difficult political cycle.

And so I just want to give you a sense of -- oh, I'm sorry, I didn’t know you were here -- a guy who has his own tough job -- Chris Van Hollen, the head of the DCCC, who’s doing great work each and every day.  (Applause.)  Almost missed Chris.  Chris is working like a dog, so I want to make sure everybody knows what wonderful work he’s doing.

Chris will tell you this is a difficult political environment we're in right now.  And it’s because we've gone through as tough a couple of years as this country has ever seen -- certainly the toughest couple years since the 1930s.  And Nancy alluded to it, but just to give people a sense of perspective here -- we lost 4 million jobs in the six months before I was sworn in -- 4 million jobs in the six months before I was sworn in.  We lost 750,000 jobs the month I was sworn in; 600,000 the month after that; 600,000 the month after that.  Almost all of the 8 million jobs that would ultimately be lost during this recession were lost before any of the Democrats’ economic policies were able to be put into place.  Before the Recovery Act could really take root, before some of the other steps that we took in terms of small business loans, tax cuts, could take seed.

And so we saw a massive hole. And that in and of itself would be sufficient to make this a difficult political environment.  But what makes it worse is that crisis was really a culmination of what some have called the lost decade.  Between 2001 and 2009, we had the slowest job growth in any time since World War II. Between 2001 and 2009, we actually saw the middle class lose 5 percent of their income -- 5 percent of their income.  This is at a time when the costs of health care, the costs of a college education were all skyrocketing. People were watching manufacturing ship out to other countries.

And so you had a sense already, before the crisis on Wall Street, that we had not prepared ourselves for the future; that we had left too many challenges untended to; that our politics in Washington had become simply a mechanism for special interests to advance their narrow causes, but that we had lost the capacity to do big things and to finally tackle some of those structural issues that were impeding us from creating the kind of future that we want for our children and our grandchildren.

So we had a big job when we first came in.  And our first job was obviously to stop the bleeding -- and we did that.  An economy that was shrinking is now growing again.  An economy that was shedding hundreds of thousands of jobs every month, we've now seen nine months of consecutive job growth in the public sector  -- in the private sector.

That's in addition to all the jobs that we've saved for teachers and firefighters and social workers and police officers here in Minnesota and all across the country.

And so the good news is, is that we've been able to stabilize the economy.  The bad news is, is that we're nowhere near done.  We've got so much more work to do.  There are still millions of people out of work who are desperate and just hanging on by a thread.  There are hundreds of thousands of folks who are concerned about losing their homes.  People are scared; people are nervous.  

And that's why the tactics that were deployed by the other side at the beginning of my presidency are so frustrating to so many of us, those of us who deeply care about the future of this country.  Because their basic strategy was, boy, we made such a big mess that rather than take responsibility for it -- which most of us would have hoped was going to happen, right?  Our thinking was we're going to come in, and even though the other folks caused it, we're going to be part of the solution, not part of the problem.  We're not going to play politics; we're not going to point fingers; we're going to roll up our sleeves and start getting to work, because although we are proud Democrats, we are prouder to be Americans.  That was our hope and expectation.

And instead, the other side made a tactical decision which was, this is such a mess, it’s probably going to take several years to solve.  And so we're better off sitting on the sidelines saying no to everything, obstructing every possible bit of progress that could be made, so that we are well-positioned by the time the next election rolls around to simply point our fingers and say the Democrats are to blame.  

In other words, their political strategy was based on amnesia.  (Laughter.)  Based on the premise that people would not remember that they were the folks who were responsible for the devastation to our economy.  

Now, we made a different decision.  And because of the members of Congress who are in this room, because of the leadership of Nancy Pelosi, because of the leadership of Harry Reid in the Senate, we didn’t think about the next election, we thought about the next generation.  And we also decided, even as we were going to solve the immediate crisis, that it was time once and for all for us to tackle the big issues that were holding us back as a country.  

And so we started off with education.  We've seen a transformation of our education agenda.  Not only did we save the jobs of teachers, but we also instituted a reform agenda that now has states all across the country raising standards, training teachers more effectively, going out there each and every day and finding out what are the best practices that can ensure that our kids can learn and compete in the 21st century.  And that's K through 12.

And then we said, that's not enough.  We've got to make sure that every young person in America is prepared for college and then can afford to go to college.  So we took tens of billions of dollars that were going to the banks in unwarranted subsidies and we shifted those to our student loan programs and our Pell Grant programs.  And we've got millions of young people all across the country who are now able to afford college because of the steps that these courageous members of Congress were willing to take during the course of this year.  

That's on education.  We took on health care.  And obviously health care is something that's been debated a lot.  It’s going to be very interesting, now that the other side says their main agenda is repealing health care.  What exactly do they want to repeal?  Do they want to repeal us saying to 30 million people, you now finally have affordable health care?  Are they just going to say, you know what, tough luck, you're on your own?  Are they going to want to repeal provisions that say young people can stay on their parents’ health insurance until they’re 26 years old if they can't get health insurance on the job?  Do they want to repeal us closing the doughnut hole so that senior citizens can afford their prescription drugs when they get sick, and don't have to choose between groceries and their medicine?

Are they going to want to repeal what essentially was the most robust patient bill of rights in our history -- that says to insurance companies, you can't drop coverage for people when they get sick; you can't preclude them from getting health insurance when they’ve got a preexisting condition; you can't impose arbitrary lifetime limits that leave people bankrupt even though they’ve been paying premiums all their lives?

What exactly are you going to repeal?  And are you going to repeal all the mechanisms that Nancy alluded to, to lower the costs and improve the quality of care so that the Congressional Budget Office says we will actually save over a trillion dollars in deficits as a consequence of this program?

It’s going to be an interesting exercise if they think that they can follow through on that, because the American people may have heard a lot of arguments on Capitol Hill, but when they see what actually is being delivered I don't think the Republicans are going to feel so good about this repeal call.

But the reason they’re moving forward on it is because they’re being driven by the special interests who have been paying for their campaigns over the course of the last several months.

The same is true on Wall Street reform.  We said that we've got to have a financial system that is vibrant and dynamic, but also a financial system that has basic rules of the road, that works for everybody, not just for some.  So we made sure that credit card companies can't jack up your interest rates arbitrarily, without notice. We made certain that mortgage brokers can't steer you to more expensive interest rate mortgages.  We made sure that we got systems in place to guard against the kind of structural breakdowns that resulted in the taxpayer bailouts that all of us find unacceptable.

And now you’ve got folks on the other side who have said one of their first agenda items is to try to repeal Wall Street reform.  Think about this.  This is in the wake of the worst financial crisis since the 1930s, and they want to go back to the status quo, business as usual.  

Across the board -- energy, education, health care, our financial systems, consumer protections -- their basic agenda is, we're going to do the things exactly as we were doing them before President Obama got into office.  And that's an agenda that America simply can't afford.  It is an agenda that folks simply can't afford.

We were at a rally right before we came here and I’ve been using this analogy around the country -- they drove this economy into a ditch.  And Nancy and I, we've had to put our boots on -- (laughter) -- and the rest of the congressional delegation, we had to rappel down into the ditch, and we're trying to push to get that car out of there.  And the Republicans are just standing on the sidelines watching us, fanning themselves, sipping on a Slurpee -- (laughter.)  They’re kicking dirt back into the ditch. (Laughter.)  We're getting it into our eyes.  Didn’t lift a finger to help -- all they did was point and say, you're not pushing hard enough, you're not doing it the right way.

We finally have gotten this car out of the ditch -- and it’s taken a lot of effort.  And, yes, the car is banged up; it is dented, it is in need of some body work and a tune-up, but it’s moving in the right direction.  We're about to go forward.

And suddenly we get this tap on our fingers and we look back and it’s the Republicans asking for the keys back.  And our basic attitude is, no, you can't have the keys back. You don't know how to drive.  (Laughter and applause.)  You don't know how to drive.           

Now, I want to be clear, they are more than happy to join us for the ride -- but they’ve got to sit in the backseat.  (Applause.)  Because we want America’s families in the front seat.  We want them in shotgun -- not special interests, not the folks who’ve been calling the shots in the past.  

That's the challenge that we face.  Because, look, every Democrat who is here -- Al, Nancy, Chris, Tim, Keith, Betty, Jim -- every -- Amy -- what binds us together as Democrats is a shared vision about what America is.  We believe in hard work and responsibility and individual initiative.  We know government can't solve every problem.  We understand that government needs to be lean and efficient.  Nobody here wants to waste taxpayer dollars.  

In fact, one of our most important agendas is restoring people’s confidence that in fact government in a serious way can do what it’s supposed to be doing -- nothing more, nothing less. But we also believe that part of being an American is, is that we look out for one another, that I am my brother’s keeper, I am my sister’s keeper; that we are willing to invest not just in the here and now, but in the future -- that we're investing in our kids’ education, we're investing in our workers’ skills, that we're investing in our infrastructure.

And, frankly, that's not what we've been doing for a very long time.  And that's part of the change in mindset that we've been undergoing over the last couple of years.  We've got to be thinking about the next generation.

In the words of Abraham Lincoln, we believe that every individual should be able to do what they do best for themselves, but we also believe that government should be able to do what people can't do for themselves as well as government can do.  And there are some basic things that we include in that.

Right now the Republican agenda, what they call the Promise for America, they want to cut education spending by 20 percent in order to pay for $700 billion worth of tax cuts that would only go to the top 2 percent.  We don't have the $700 billion.  We’d have to borrow from China to pay for it, and in part to pay for a tiny amount of that tax cut they would cut education by 20 percent.  

Do you think China is cutting education by 20 percent right now?  Do you think South Korea, or Germany, or India are cutting education spending by 20 percent?  It makes no sense.

We want to restart rebuilding our infrastructure and putting people back to work right now.  Yes, we've saved 3.5 million jobs.  We've got a whole bunch more jobs that we could create out there -- putting people to work doing the work that needs to be done.  Anybody who’s been to Beijing or Singapore, and you walk through their airports and you say, America used to have the best infrastructure.  We used to have the best airports; we used to have the best roads, the best bridges.  And now we're investing less than half of what Europe or Asia are investing in their infrastructure.

Where is that going to leave our children and our grandchildren 10 years from now, 20 years from now, 50 years from now?  Why aren't the best railway lines, the best high-speed rails, the best broadband lines here in the United States of America?  

We've got a race to see who’s going to determine the clean energy future.  And one of the things we did in the Recovery Act was invest in solar panels and wind turbines and advanced battery manufacturing here in the United States of America.  I want those things made here.  But right now we're getting our clock cleaned because we have not been serious about making those investments. And we haven't set the guideposts where private capital could come in and start making those investments.  And that means losing that race.  That's not acceptable.    

And so we've got a lot of work to do.  And as much progress as we've made over the last two years, the only way we're going to continue on that progress is if each and every one of you are out there talking to your friends and your neighbors, knocking on doors, making phone calls -- yes, writing checks to these outstanding members of Congress -- because I've got to have a partner.  I've got to have folks working with me who are willing to put aside their short-term political interests when it comes to the interests of the country.

And so let me just leave you with this thought.  I know that because this has been a tough couple of years I've had people come back -- come up to me sometimes and say, gosh, when you were elected in 2008, that was so exciting.  Election night was just unbelievable, and then Inauguration Day, you had Beyoncé singing and -- (laughter) -- Bono.  And I was at the inauguration and it was just so inspiring.  And I've got to admit, Mr. President, sometimes over the last couple of years, with all the negative ads and all the money that's been pouring in, all the filibustering and obstruction in Congress, sometimes I just start losing altitude, start losing hope.  It just seems like change is so hard to bring about.

And I've got to remind people, first of all, I warned you it was going to be hard.  I never said it was going to be easy.  If it was easy it would have already been done. We knew it was going to be hard.  But what I also tell people is don't let anybody tell you that what we've been fighting for hasn’t made this country better, hasn’t been worth it.  

Because of the work that these members of Congress did, because of the support that you’ve provided them, there are people right here in Minnesota who are able to get coverage for their cancer treatments instead of having to sell their house.  Right now, today.  Because of what you did, there are small businesses that are open right now that otherwise would have shuttered their doors.  

Because of what you did, there are parents here in Minnesota who are able to look their kids in the eye and say, you know what, even though our savings got blasted by the economy downturn and the fall in the stock market, despite all that we can guarantee that you're going to go to college.  

Because of what you did, there are 100,000 young men and women who’ve come home from Iraq, no longer involved in a combat mission.  (Applause.)  And because of what you did, when those 100,000 come home, they’re getting the treatment they need, they’re getting the benefits that they deserve.  They got a post-9/11 G.I. Bill that they can count on so that they can be part of this latest and greatest generation, and help grown and expand and build our middle class.

Those are all the consequences of the work that you did.  And so, yes, things don't happen as quickly as we want; they’re not always as smooth as people would want.  This is a big, messy democracy.  That’s the nature of America. It’s always been that way.  This nation was founded on hard.  A revolution of 13 colonies breaking away from the greatest empire on Earth -- that was hard.  It was hard to free the slaves and ensure that we weren’t living half-free and half-slave.  It was hard for all those immigrants, our grandparents and great-grandparents and great-great-grandparents, to come here and try to carve out a life for themselves. It was hard to overcome war and depression. And it was hard to fight for civil rights and women’s rights and workers’ rights.

But they did it because they understood that in America when citizens join together and decide they’ve got a vision for the future; when they decide our destiny is not written for us, it is written by us -- when they made that decision we can't be stopped.  And that's what this election is about -- whether we continue with that trajectory, whether we continue with that tradition.

I'm absolutely confident we can.  So I want everybody here to understand that we're just in the first quarter.  We're just starting.  We've got a lot more work to do.  And the only way we're going to be able to do it is if each and every one of you had that same spirit of possibility, are undaunted in the face of uncertainty, are unafraid in the face of difficulty.  If you will join with us, I promise you we will look back on this period and we will say, yes, we were tested but we met that test for future generations.

Thank you very much, everybody.  (Applause.)  Thank you.

END
5:35 P.M. CDT

The White House

Office of the Press Secretary

Remarks by the President at a Rally in Minneapolis, Minnesota

University of Minnesota

Minneapolis, Minnesota

3:42 P.M. CDT

THE PRESIDENT:  Hello, Minnesota! (Applause.)  Hello, Gophers!  (Applause.)  Oh, it is good to be back in Minnesota!  (Applause.)  And it’s an honor to be standing here next to your next governor, Mark Dayton. (Applause.)  

Let me just make mention of the other wonderful public servants who are here:  Former Vice President Walter Mondale is in the house.  (Applause.)  Your terrific pair of senators -- Amy Klobuchar and Al Franken are here.  (Applause.)  An outstanding congressional delegation -- Keith Ellison, Betty McCollum, Jim Oberstar.  (Applause.)  

All the great candidates who are on the DFL ticket are here today and we're thrilled to see them.  And obviously I am very honored to be here with Mark, because I served with Mark in the United States Senate.  (Applause.)  And so I know this man. And I know that he’s been fighting for the people of this state his entire career.  You know what kind of leader he is.  You know what kind of fighter he is.  Everybody else in this race might be talking about change -- here’s the only candidate who can actually deliver change, who’s actually delivered change before. (Applause.)

The only candidate who’s helped grow this state’s economy.  The only candidate who’s put people back to work.  The only candidate who’s saved taxpayer dollars by cutting waste and abuse.  So you know Mark Dayton. He’s got a track record.  He’s the only candidate in this race who will stand up for the middle class, who’s got a plan to balance the budget without sacrificing our children’s education. (Applause.)  A candidate who has a plan to create jobs and help small business owners grow and to thrive.

The point is Mark Dayton has spent his life fighting for Minnesota.  And now I need all of you to fight for Mark Dayton so we can keep this state moving forward.  (Applause.)

It looks like you're kind of fired up.  (Applause.)  And I need you fired up -- because in just 10 days, you have the chance not just to set the direction of this state but also help to determine the direction of this country -- not just for the next two years, but the next five years, the next 10 years, the next 20 years.  

And just like you did in 2008, you have the chance to defy the conventional wisdom –- because right now the conventional wisdom is that you can’t overcome the cynicism of politics; that you can’t overcome all the special interest money that Mark was talking about; that you can’t tackle big challenges, that the political system just can't digest it.  The same way that they said in 2008 that you can't elect a skinny guy with a funny name to the presidency of the United States of America -- (applause)  -- and so in 2008, you said, “Yes, we can” -- in 2010 you’ve got to say, “Yes, we can.”  (Applause.)  

AUDIENCE:  Yes, we can! Yes, we can!  Yes, we can!  (Applause.)  

THE PRESIDENT:  Yes, we can.  (Applause.)      

Look, there is no doubt that this is going to be a difficult election.  And it’s because we’ve been through an incredibly difficult time for our nation.  For most of the last decade, the middle class in America was getting pounded.  

I'll give you a few statistics.  Between 2001 and 2009, when Republicans were in charge, the middle class saw their incomes go down by 5 percent -- during that period.  That's not according to me; that's according to the Wall Street Journal.  Between that same period, we had the slowest, most sluggish job growth of any time since World War II.  So this was a lost decade for middle-class families.  Costs of everything from health care to getting a college education were skyrocketing.  Jobs were disappearing overseas.  Too many parents had to say to their kids, you know we might not be able to afford to send you to college.  Too many families had to pass up going to the doctor when they got sick because they couldn't afford it.  Too many Americans having two, three jobs and still not being able to make ends meet.

And then all of this culminated in the worst financial crisis and the worst economic crisis since the Great Depression. I want everybody to think back to when I was first sworn in. We had lost 4 million jobs in the six months before I took office.  We lost 750,000 the month I took the oath; 600,000 the month after that; 600,000 more the month after that.  We lost almost 8 million jobs, almost all of them lost before any of our economic policies could be put into place.

And when I arrived in Washington, my hope was that we could put politics aside for a moment to meet this once-in-a-generation challenge.  My hope was we could stop the division and the bickering and the partisanship that had dominated Washington and that we could come together to solve problems -- because although we are proud Democrats, we are prouder to be Americans, Minnesota.  (Applause.)  And I believe there are a lot of Republicans out there that felt the same way.

But when we got to Washington, the Republican leaders in Congress -– they had a different idea.  Their basic theory was they looked around and said, boy, we really made a big mess, we really screwed up.  It’s going to take a long time to get those 8 million jobs back.  People are going to be angry and frustrated. It’s better if we refuse to cooperate, we say no to everything, we try to gum up the works in Congress, and we may be able to deflect the blame come the next election.  We'll just pretend like we had nothing to do it, and we'll point our fingers at the Democrats.

AUDIENCE:  Boooo --

THE PRESIDENT:  In other words, the other side was betting on amnesia.  (Laughter.) They’re betting that you’ll forget who caused this mess in the first place.   

But, Minneapolis, it is up to you to show them that you have not forgotten.  (Applause.)  It’s up to you to remember that this election is a choice -– between the policies that got us into this mess and the policies that are leading us out of this mess. It’s a choice between the past and the future; a choice between hope and fear; a choice between falling backwards and moving forwards. And I don’t know about you, but I want to move forward. (Applause.)  I don't want to go backward.    

And if you don't think this is a choice, if you think somehow there’s a new and improved Republican Party out there, let me be clear:  The chair of the Republican campaign committee was asked, well, what are you going to do if you take over Congress.  He said, we'll pursue the “exact same agenda” as we did before Obama took office.

AUDIENCE:  Boooo --

THE PRESIDENT:  I mean, it’s not as if they went off into the desert, they realized, boy, we really screwed up, and they went and meditated for a while and came up with some new ideas.  All they’ve got is the same old stuff that they were peddling over the last decade:  Cut taxes mostly for millionaires and billionaires; cut rules for special interests; and then cut middle-class families to fend for themselves.  So if you're out of a job, tough luck, you're on your own.  If you don't have health care, their philosophy says, tough luck, you are on your own.  You're a young person trying to afford a college education -- too bad, pull yourself up by your own bootstraps, you're on your own.  This same agenda turned a record surplus into record deficits; allowed Wall Street to run wild and nearly destroyed our economy.

And I make these points not because I want to re-argue the past.  I just don’t want to re-live the past.  (Applause.)  We can't afford it.  We can't afford it.  We tried it their way.  It’s not as if we didn’t try it.  We tried it for eight years, and it didn’t work.  And you know the true sign of madness is if you do the same thing over and over again and expect a different result.  We've tried what they’re doing and it didn’t work.  And we wouldn't get a different result if we went back to it.  So we've got to move forward, not back.  (Applause.)

I know that Al Franken talked to you a little bit about the analogy of a car being driven into the ditch -- although I guess Al embellished it a little bit.  He said there were alligators down there -- (laughter) -- I didn’t see the alligators. But it is true the car went into the ditch.  (Laughter.)  And it is true that me and Al and Amy and Mark and others, we had to climb down into the ditch.  And it is hot down there and dirty.  

And we've been pushing that car, pushing it, pushing it, pushing it.  The whole time the Republicans have been standing on the sidelines.  (Laughter.)  They’ve been looking down, fanning themselves, sipping on a Slurpee.  (Laughter.) Kicking dirt down into the ditch.  Kicking dirt in our faces.  But we kept on pushing.  (Applause.)  

Finally we got this car up on level ground.  And, yes, it’s a little beat up.  It needs to go to the body shop.  It’s got some dents; it needs a tune-up.  But it’s pointing in the right direction.  And now we've got the Republicans tapping us on the shoulder, saying, we want the keys back.

You can't have the keys back. You don't know how to drive.  (Applause.)  You can ride with us if you want, but you got to sit in the backseat.  (Laughter.)  We're going to put middle-class America in the front seat.  We're looking out for them.  (Applause.)  

I mean, you have noticed, when you want to go forward, what do you do with your car?  You put it in “D.”  If you want to go backwards, what do you do?  You put it in “R.”  (Laughter and applause.)  I don't want to go backwards.  I'm going forwards, with all of you. (Applause.)     

Minnesota, because of the steps we’ve taken, we no longer face the possibility of a second depression.  The economy is growing again.  We've seen nine straight months of private sector job growth.  But we’ve still got a long way to go.  There are a lot of folks hurting out there, a lot of people hanging by a thread.  There’s still families who have members who are desperate for a job.  There are still a lot of folks who are still worried about losing their home.  That’s what keeps me up at night.  That’s what keeps Mark up at night.  That's what keeps us fighting.  

Because we've got a different idea about what the future should hold for America.  (Applause.)  And it’s an idea rooted in our belief about how this country was built. We understand government can't solve every problem.  We know government has to be lean and mean.  We know that everybody who pays taxes expects efficiency.  They don't want to see their tax dollars wasted.

But in the words of the first Republican President, Abraham Lincoln -- who, by the way, could not win the nomination of the Republican Party these days -- (laughter) -- we also believe that a government should do for the people what they cannot do better for themselves.  (Applause.)  We believe in an America that rewards hard work and responsibility and individual initiative, but also an America that invests in its people and its future.  An America that invests in the education of our children, in the skills of our workers.  We believe in an America in which we look after one another; where I say I am my brother’s keeper; I am my sister’s keeper.  (Applause.)  That’s our vision.  That's the America that I believe in and that Mark believes in, and that you believe in.  That’s the choice in this election. (Applause.)  

If you give the other side the keys, the other side will keep giving tax breaks to companies that ship jobs overseas.  Mark and I, we want to give tax breaks to companies that are investing right here in Minnesota, right here in the United States -- (applause) -- in small businesses and American manufacturers. (Applause.)  We want to invest in clean energy companies -– because I don’t want solar panels and wind turbines and electric cars built in Europe or built in Asia.  I want them built right here in America, with American workers.  (Applause.) That’s the choice in this election.  

If we give them the keys, here’s their big economic idea.  This is their big job plan -- is to cut taxes for the top 2 percent.  It will cost $700 billion.  It will be an average $100,000 check for millionaires and billionaires -- 98 percent of folks would not see any of this money from this tax break.  And to pay for it we’d have to borrow money from China -- oh, and by the way, we’d also have to cut education spending by 20 percent.  
AUDIENCE:  Booo --

THE PRESIDENT:  Now, why on earth do we think that would be good for our future?  Do you think that China is cutting education spending by 20 percent?

AUDIENCE:  Nooo --

THE PRESIDENT:  Is South Korea or India or Germany, are they cutting education by 20 percent?

AUDIENCE:  Nooo --

THE PRESIDENT:  They’re not playing for second place.  They understand that our competitiveness will be determined by how well we educate our workers for tomorrow.  And America doesn’t play for second place either.  We play for first place.  (Applause.)    

That’s why Amy, that's why Al, that's why we worked together -- Keith, Patty -- that's why we came together to make sure that we took tens of billions of dollars that were going to banks in unwarranted subsidies and we sent that money where it should be going -- to you.  We are financing millions of young people’s college educations more effectively now -- (applause) -- higher Pell Grants, better student loans; a $10,000 tax credit for every young person going to college.  Those are the kinds of choices we're making.  And that’s the choice in this election.

That's why, when it comes to tax cuts, we gave 95 percent of working families a tax cut.  (Applause.) We gave the tax cuts to families that needed them, not folks who didn’t need them, because we know you're the ones that need relief.  That's the choice in this election.  (Applause.)  

If we give the other side the keys back and I promise you we'll have those special interests sitting shotgun.  The chair of one of the other party’s committees has already promised that one of the first orders of business is to repeal Wall Street reform. Now, think about this.  We just had the worst financial crisis since the 1930s, and one of their orders of business would be to eliminate protections for consumers, eliminate protections for taxpayers, go back to a system that resulted in us having to save the entire economy and take these drastic measures.

Why would we do that?  Why would we do that?  Why would we go back to the point where credit card companies could jack up y our interest rates without any notice, and could institute hidden fees?  Why would we go back to the health care policies that they believe in, where insurance companies could drop your insurance when you get sick?  Why would we do -- why would we put those folks back in the driver’s seat?

Let me tell you about health care reform.  Because of health care reform, everybody here who is under 26 can stay on their parents’ health care even if they don't have health insurance.  (Applause.)  Because of that reform, insurance companies can't drop somebody because they’ve got a preexisting condition. (Applause.)  Because of health care reform, millions of small businesses are getting tax credits so they can afford to provide health insurance to their employees.  

That is their agenda, to repeal that?

AUDIENCE:  Nooo --

THE PRESIDENT:  Let me tell you something.  We believe in making sure people don't get ripped off when they sign up for a mortgage.  We believe in making sure that credit card companies treat you fairly.  We believe taxpayers shouldn’t ever be forced to pay for Wall Street’s mistakes.  We believe that insurance companies should cover you when you’ve been paying your premiums. (Applause.)  That's what we believe.  That's the choice in this election.  That's why you’ve got to elect Mark Dayton governor, because he believes it, too.  (Applause.)  

Whether you care about protecting Social Security, or you care about protecting our environment; whether you care about having an energy policy that can start freeing ourselves from dependence on foreign oil, or you believe in a foreign policy that fosters cooperation among other nations, there is a choice in this election.  We know what we're fighting for.

But right now, the same special interests that we’ve battled on your behalf, they’re fighting back hard.  Mark mentioned that they are spending millions of dollars. They want to roll back the clock.  And they are pouring millions of dollars through a network of phony front groups, flooding the airwaves with misleading attack ads, smearing fine public servants like Mark.  

And thanks to a gigantic loophole, these special interests can spend unlimited amounts without even disclosing where the money is coming from.  We don't know where it’s coming from.  We don't know if it’s from the oil industry.  We don't know if it’s from banks.  We don't know if it’s insurance companies.  Could be coming overseas -- we don't know.  They won’t tell you.  They don’t want you to know.  They won't stand behind what they do.

This isn’t just a threat to Democrats.  This is a threat to our democracy.

Minnesota has always had a tradition of clean, fair elections; a tradition of good government -- (applause.)  And the only way to uphold that tradition, the only way to match their millions of dollars is with millions of voices -- millions of voices who are ready to finish what we started in 2008.

And that’s where all of you come in.  That’s why all of you have got to get out -- all of you have to vote.  If you are not registered to vote yet, you can walk right now, you can register anytime between now and Election Day.  There is no excuse.  Because if everybody who fought for change in 2008 votes in 2010, then Mark will win his election.  (Applause.)

A lot of you got involved in 2008 because you believed we were at a defining moment; that it was a time when the decisions we make now would have an impact across the decades -- would impact our children and our grandchildren for decades to come.  That’s the reason you knocked on doors and you made phone calls and you -- some of you cast your vote for the very first time -- because you believed that in America citizens who want to make their country better can make a difference. (Applause.)\

And you know what -- I told you then -- two years ago I told you that change is not easy; power does not give up without a fight.  And I understand that some of you since Election Night and Inauguration Day -- when it was a lot of fun; Beyoncé was singing, and Bono, and everybody had their Hope posters, and everything looked like it might be easy.  And I warned folks then, this won't be easy.  Power concedes nothing without a fight.  

And so for the last two years we have been grinding it out.  We passed health care reform, but it was a hard fight.  We passed Wall Street reform, but it was a hard fight. (Applause.) And now maybe some people are feeling discouraged, thinking, boy, this is harder than I expected.  And maybe all that work that I did in 2008, maybe it didn’t make as much of a difference as I had hoped.  

But I want everybody here to understand -- don’t let anybody tell you that what you did has not made a difference, that the fight isn’t worth it.  (Applause.) Because of you -- because of you, there’s somebody in Minnesota right now that, instead of going bankrupt, is able to get treatment for their cancer.  Because of you, there’s a young person who’s going to be able to go to college.  Because of you, some small business has stayed open in the depths of a recession.  Because of you, there are 100,000 brave young men and women who we've brought home from Iraq. (Applause.)  Because of you.  Because of you.  

So don’t let them tell you that change isn’t possible.  It’s just hard, that's all. And that's okay.  We've got to earn it.  We're just in the first quarter.  We've got a lot more quarters to play.  (Applause.)

You know, this country was founded on a tough, difficult idea -- 13 colonies deciding to break off from the most powerful empire on Earth, and then drafting a document -- a Declaration of Independence that embodied ideas that had never been tried before: “We hold these truths to be self-evident that all men are created equal, endowed by our Creator with certain inalienable rights; that among these are life, liberty, and the pursuit of happiness.”  (Applause.) That's not an easy idea.  And it had to be fought for, inch by inch, year by year.

Slowly -- slaves were freed. Slowly -- women got the right to vote.  (Applause.)  Slowly -- workers got the right to organize.  (Applause.)  

Imagine if our grandparents and our great-grandparents and our great-great-grandparents had said, oh, this is too hard.  Folks are saying mean things about us.  I'm not sure if we can ever get to the promised land.  We wouldn't be here today.  But they understood that we are tested when we stand up in the face of difficulty; when we stand up in the face of uncertainty; when we're unafraid to push forward.  Because we know we're doing it not just for ourselves, but for future generations.  (Applause.)  
That's how we came through war and depression.  That's why we have civil rights and women’s rights and workers’ rights.  (Applause.)  That's why we've been able to clean up our air and clean up our water.  (Applause.)  That's why we've been able to end combat operations in one war.  

The journey we began together was never about putting me in the White House -- it was about building a movement for change that endures.  (Applause.)  It’s about understanding that in America anything is possible if we're willing to work for it and fight for it, and most of all, believe in it.

So I need you to keep fighting.  I need you to keep working.  And I need you to keep believing.  (Applause.)  And if you knock on some doors again, if you make some phone calls again, if you talk to your neighbors again, if you go to vote again, then I promise you we won’t just win this election, we won't just have Mark as governor, but you and I together, we are going to restore the American Dream for future generations.

God bless you.  And God bless the United States of America.  (Applause.)  

END
4:13 P.M. CDT

The White House

Office of the Press Secretary

Remarks by the President at Las Vegas "Moving America Forward" Rally

Orr Middle School Park

Las Vegas, Nevada

6:15 P.M. PDT

THE PRESIDENT:  Hello, Vegas!  It is good to be back in Vegas.  It is good to be back in Nevada.  Oh, I am fired up.  Are you fired up? (Applause.)  

There are a couple of folks that I want to make mention of.  First of all, Congresswoman Shelley Berkley is in the house.  (Applause.)  An outstanding freshman congresswoman, Dina Titus is here.  (Applause.)  Senate Majority Leader Steven Horsford is in the house.  (Applause.)  Former governor Bob Miller is here.  (Applause.)  My dear friend, my senator from Illinois, Dick Durbin is here to help his partner Harry Reid.  (Applause.)  

And I want to say to all the folks from Orr school, thank you so much for your hospitality, and thanks to Principal George Leavens.  Thank you.  (Applause.)

I am happy to see all of you. (Applause.)  And I have to say, for some reason, whenever I’m coming to Vegas, suddenly a whole bunch of folks on my staff want to come with me. I don’t know.  (Laughter.)  Suddenly there are no seats on Air Force One, it’s all crowded.  (Laughter.)  So I’ve already told them they’ve got to behave themselves a little bit while they’re here.

But the main reason I’m here, the main reason I need you fired up, is because in just 11 days, you have the chance to set the direction of this state and this country -- not just for the next five years, not just for the next 10 years, but for the next several decades.  (Applause.)

And if I’m going to be able to help middle-class families all across this country live out their dreams, then I want to have a partner in the United States Senate named Harry Reid. (Applause.)

You know, Harry’s not the flashiest guy, let’s face it.  (Laughter.)  You know, Harry kind of speaks in a very soft voice.  He doesn’t move real quick.  (Laughter.)  He doesn’t get up and make big stem-winding speeches.  But Harry Reid does the right thing.  (Applause.)  

Harry Reid has never forgotten what it’s like to grow up Searchlight, Nevada.  Got a Searchlight folk right here.  (Applause.)  He knows what it’s like to be poor.  He knows what it’s like to work hard.  He knows what it’s like sometimes to hit some bumps in the road, to hit some obstacles, to have to overcome some stuff; that things don’t always work out perfectly.

But because of that, because he remembers where he came from, it means that he thinks every single day about how am I going to give the folks in Nevada a better shot at life. (Applause.)  

And so I want everybody here to understand what’s at stake.  

AUDIENCE:  Obama! Obama!  Obama!

THE PRESIDENT:  I appreciate everybody saying “Obama,” but I want everybody to say “Harry! Harry!  Harry!”

AUDIENCE:  Harry! Harry!  Harry!

THE PRESIDENT:  That’s right.  I need partners like Harry and I need partners like Dina Titus.  (Applause.)  And I need partners like Shelley Berkley. Look, but it all depends on you.

Just like you did in 2008, you can defy the conventional wisdom -- the wisdom that said you can’t overcome cynicism in politics; the wisdom that says the special interests always win; the wisdom that says somehow the folks with the big money who are running the most negative ads, somehow they’re always going to be successful; the wisdom that says we can’t tackle big challenges in America anymore.

In 11 days, you can say to them, you may think, no, we can’t; we think, yes, we can.  (Applause.)

AUDIENCE:  Yes, we can! Yes, we can!  Yes, we can!

THE PRESIDENT:  Yes, we can.  Si, se puede.  There is no doubt that this is going to be a difficult election.  And that’s because we’ve been through an incredibly difficult time as a nation.  And nobody’s been hit harder than Nevada.  

But keep in mind, things were tough even before the financial crisis hit.  Between 2001 and 2009, average middle-class families in America lost 5 percent income, when the Republicans were in charge.

AUDIENCE:  Booo!

THE PRESIDENT:  We had the slowest job growth since World War II when the Republicans were in charge.

AUDIENCE:  Booo!

THE PRESIDENT:  You saw your health care costs go up.  You saw the cost of a college education go up.  Too many jobs being shipped overseas.

AUDIENCE:  Booo!

THE PRESIDENT:  Too many folks working two, three jobs and still barely making ends meet.  And all this culminated in the worst financial crisis since the Great Depression.

So we know the results of the Republican philosophy when it comes to the economy.  It’s no secret. Basically their theory was you cut taxes for millionaires and billionaires, you cut regulations for Wall Street and other special interests, and then you cut middle-class families loose to fend for themselves.

AUDIENCE:  Booo!

THE PRESIDENT:  That was their theory.  And what happened was, before I took office, we had already lost 4 million jobs all across this country.  A whole bunch of them were right here in Nevada.  The first month that I was sworn in we lost 750,000 jobs; month after that, 600,000; the month after that, 600,000.  We lost almost 8 million jobs before my policies, Harry Reid’s policies, were put into effect.  

And so our hope was that because we were in crisis, that we could come together, both parties, put politics aside, and deal with this once-in-a-generation challenge.  I wanted to move beyond the bickering and the game-playing and the partisanship that had dominated Washington for so long, because although we are proud to be Democrats, we are prouder to be Americans.  (Applause.)

I know there are a whole bunch of Republicans out there who felt the same way.  But the Republican leaders in Washington, they made a different decision.  Here’s the thing, they realized what a big mess they had made.  They said, boy, we screwed up so bad, it is going to take a really long time to recover those 8 million jobs that were lost.  It’s going to take a long time before the housing market fully recovers.  So our best bet, instead of trying to help Obama and Harry Reid to solve problems, we’re going to stand on the sidelines, sit on our hands, and basically just say no to everything.  

AUDIENCE:  Booo!

THE PRESIDENT:  Their theory was, people will forget that we were the ones who caused all this stuff, and we’ll be able to blame them, and people will be so angry and frustrated that we’ll be able to ride this anger all the way to the ballot box.  That was their theory.

In other words, they are basically betting on all of you having amnesia.  (Laughter.)  They’re basically -- they’re banking on the fact that you might forget who got us in this mess in the first place.

So let me tell you, Las Vegas, you have not forgotten.  I have not forgotten.  We are not going to buy what they are selling.  That is the choice we’ve got in this election.  (Applause.)

We’ve got a choice between the policies that got us into this mess and the policies that are helping to get us out of this mess.  It’s a choice between the past and the future, between falling backwards and moving forward, a choice between hope and fear.  I don’t know about you, but I want to move forward.  (Applause.)

You know, the chair of the Republican campaign committee was asked, what would you do if you win back the Congress?  And he said, we’re going to do the exact same thing, pursue the exact same agenda as before we took office.

Now, think about this.  Their policies resulted in the worst economic crisis since the 1930s, and they want to go back to that exact same set of policies.  Does that make any sense to you?

AUDIENCE:  No!

THE PRESIDENT:  I mean, it would be one thing if they had kind of gone away and gone off into the desert -- you know, there’s some desert here.  They could have gone off into the desert.  They could have meditated and thought about, boy, how did we screw up so bad?  And they felt bad about it, and then they came back and they had some new ideas and they wanted to cooperate with us.  

But that’s not what happened. They want to do the exact same things they did before.  And it’s not as if we didn’t try them.  We tried them for eight years and it didn’t work.  So why would we buy that snake oil now?  We’re not going to.

Look, this is -- imagine that the economy is a car, and the Republicans drove this car into a ditch.  And it was a really deep ditch.  And somehow they were able to walk away from the accident, from the scene of the crime, but they left the car down in the ditch.

So me and Harry and Dina and Shelley, we put on our boots and we went down into the ditch.  We had to rappel down, it was so deep down there.  (Applause.)  And when we got down there, it was muddy and dirty and it was hot.  (Laughter.) We’re sweating, there are bugs everywhere.  But we had to make sure we get that car out of the ditch, so we start pushing.  We’re pushing, we’re pushing.

And every once in a while we’d look up, and lo and behold, up on the hill there, there’s the Republicans. They’re just standing there, slipping on a Slurpee -- (laughter) -- fanning themselves.  

And we’d say, “Why don’t you come down and help?”  And they’d say, “No,” and then they’d kick some more dirt down into the ditch.  (Laughter.)  But that’s okay.  We kept on pushing.  We kept on pushing.

Finally we get this car up on level ground.  Finally we get it out of the ditch.  Now, the car is banged up.  It’s banged up, and it’s got a bunch of dents.  It’s got to go to the body shop.  It needs a tune-up.  But it’s pointed in the right direction.  (Applause.)  The engine is still turning.  

And suddenly, as we’re about to get in the car, we feel this tap on our shoulder, and we look back, and who is it?  It’s the Republicans.  (Laughter.)  And they say, “Excuse me, we’d like the keys back.”  (Laughter.)  

And we got to tell them, “I’m sorry, you can’t have the keys back.  You don’t know how to drive.” (Applause.)  You don’t know how to drive.  If you want, you can ride with us, but you’ve got to ride in the backseat.  (Laughter and applause.) We’re putting middle-class families in the front seat where they belong. (Applause.)

You ever notice when you want to go forward in your car, what do you do?  You put it in “D.”  If you want to go backwards, you put it in “R.”  I don’t want to go backwards. Let’s go forward.  (Applause.)  Let’s go forward.  I want to go forward.

Look, because of the steps that we’ve taken, we no longer face the possibility of a second depression. The economy is growing again.  Private sector job growth has happened nine months in a row.  But look, everybody here in Nevada knows we’ve still got a long way to go.  We’ve got a lot of work to do.  A lot of folks are hurting out there.  Families are hanging on by a thread.  A lot of folks are seeing their homes lose a lot of value.  A lot of foreclosures out here.  

It keeps me up at night, it keeps Harry Reid up at night.  That’s what keeps us fighting, because we’ve got a different idea about what the future should hold, and it’s an idea rooted in our own lives, because neither Harry or I were born with a silver spoon in our mouths.  Our families were working folk.  And we understand how hard it is sometimes.  

But we understand that government doesn’t have all the answers to our problems.  Government has got to be lean, it’s got to be efficient.  We believe in individual initiative, but we also believe, in the words of Abraham Lincoln, that government should do for the people what they cannot do better for themselves.  (Applause.)

We believe in a country that rewards hard work and responsibility.  We believe in an America that invests in its future and its people, in the education of our children, in the skills of our workers.  We believe in an America where we look after one another, where I am my brother’s keeper, I am my sister’s keeper.  That’s the America we believe in.  That’s the choice in this election. (Applause.)

If we give them the keys back --

AUDIENCE:  No!

THE PRESIDENT:  If we give them the keys back, the other side is going to keep giving tax breaks to companies that ship jobs overseas.  We want to give tax breaks to companies that are investing right here in Nevada; companies creating jobs here in America; small businesses; American manufacturers; clean energy companies.  We want solar panels built right here in the United States of America.  (Applause.)  We want wind turbines built right here in the United States of America.  We want electric cars built here in the United States of America by American workers.  (Applause.)

If the other side gets the keys, they say they want to give a $700 billion tax cut to the top 2 percent -- millionaires and billionaires.

AUDIENCE:  Booo!

THE PRESIDENT:  They don’t have the money.  The only way to pay for it is to borrow some money from China, and then to cut education spending by 20 percent.  

AUDIENCE:  Booo!

THE PRESIDENT:  Now, think about this.  Here we are in the 21st century where everybody knows that the country that educates their people the best is going to succeed the most.  Do you think China is cutting education by 20 percent?

AUDIENCE:  No!

THE PRESIDENT:  Do you think South Korea or Germany or India are cutting education by 20 percent?

AUDIENCE:  No!

THE PRESIDENT:  Those countries, they’re not playing for second place.  And neither does the United States of America.  We play for first place.  (Applause.)

And that’s why Harry Reid and Dina Titus and Shelley Berkley, that’s why Democrats in Congress helped to take away tens of billions of dollars that were going in unwarranted subsidies to banks, and they shifted those to fund college scholarships for young people all across the country, millions of young people -- (applause) -- millions of young people getting more help to go to college.  That’s what this election is about.  That’s the choice that we face.  (Applause.)

When we give tax cuts, we want to give tax cuts to middle-class families who need help.  They deserve relief.  We don’t want the special interests to be back in the shotgun seat.  They’ve already promised to roll back Wall Street reform. They’ve promised to roll back health insurance reform.  

AUDIENCE:  Booo!

THE PRESIDENT:  We refuse to let that happen, because I don’t want your health care denied just when you need it most because insurance companies are playing games. (Applause.)  I don’t want you to have to pay for another Wall Street bailout.  I don’t want credit card companies to be able to jack up your interest rates whenever they feel like it without giving you notice.  

That’s the old way of doing business.  We’ve got a new way of doing business.  We’re moving forward.  We’re not moving backwards.  That’s the choice in this election.  (Applause.)

We believe in rebuilding our infrastructure.  I just came into Las Vegas Airport.  We’re doing work right there, putting people back to work because of Harry Reid, because of Dina Titus, because of Shelley Berkley.  (Applause.)

We need to make sure that we’ve got the best infrastructure in the world.  We’re not going to have better airports in other countries than here in the United States.  We can’t have better roads and bridges and broadband lines.  We’ve always had the best infrastructure.  We need to continue that.  That’s the choice in this election.

And by the way, another choice in this election is making sure that Social Security is there, not just for this generation but for the next generation.  We’re not going to privatize Social Security.  Not on my watch and not on Harry Reid’s watch. That’s a choice in this election.  (Applause.)  

Now, let me say this -- let me say this.  We’ve got some big problems because the same special interests that we’ve been battling for the last two years, they’re fighting back hard. They want to roll back the clock.  And all across America they are pouring hundreds of millions of dollars into a bunch of phony front groups running negative ads.  Have you seen some negative ads out here?

AUDIENCE:  Yes!

THE PRESIDENT:  You don’t even know who’s sponsoring these ads.  They have all these names like “Americans for Prosperity,” “Mothers for Motherhood.”  (Laughter.) Actually, I made that last one up, but -- (laughter) -- but they’re spending without limit, keeping their contributions secret.  They don’t even have the guts to stand up for what they say they believe in.  And we don’t know who’s funding them.  Is it the oil industry?  Is it the insurance companies?  Is it speculators?  They won’t tell you.  They won’t say.  They don’t want you to know who’s bankrolling all these negative ads.  

This is not just a threat to Democrats, this is a threat to our democracy.  And Nevada, the only way to fight it, the only way to match their millions of dollars, is with the millions of voices.  All those folks who fought for change in 2008, we’ve got to fight for change in 2010.  (Applause.)

So this is where all of you come in.  You have to vote, everybody.  Now, I just want everybody to know we’ve got early voting here in Nevada.  And if you go right across the way to Boulevard Mall -- (applause) -- if you get in line before eight o’clock, you can cast your ballot right now.  (Applause.)

Don’t wait.  Don’t wait. If everybody who showed up in 2008 shows up in 2010, we will win this election.  (Applause.)

So let me just say this.  You know, in 2008, a lot of you got involved, some for the very first time. Some of you knocked on doors, some of you made phone calls, some of you talked to your neighbors, talked to your friends, because you understood we were at a defining moment in our history.  You believed that this was a chance for you to make some history; to help finally move America in a better direction.  You understood that what happened today was going to shape the lives of our children and our grandchildren.  That’s the reason you got involved.  That’s why you worked so hard, some of you for the very first time.

And I know sometimes over the last two years, as we’ve been grinding out change, doing battle, dealing with filibusters, dealing with obstruction, dealing with the “No, you can’t” crowd, I know sometimes you might have gotten discouraged.  

You think back to Election Night two years ago, you think back to the inauguration, and Beyoncé was singing, and Bono, and you think, boy, that was so much fun.  And then the work of bringing about actual change is so hard.  And sometimes you may get discouraged and lose heart.  

And maybe, as you travel around Nevada, you see all the foreclosures.  Somebody in your family still doesn’t have a job, and you say, well, maybe what I did didn’t really make a difference.

But I’m here to tell you, Nevada, don’t let anybody tell you that what you’ve done didn’t matter. (Applause.)  

Because of what you did, there’s somebody in Nevada who’s able to get their cancer treatments without mortgaging their house.  (Applause.)

Because of what you did, there’s a small business owner somewhere that kept their doors open in the depths of recession.  (Applause.)

Because of what you did, there’s somebody who’s going to work every day on that construction site. (Applause.)

Because of what you did, there’s a child somewhere that’s getting health care.  (Applause.)

Because of what you did, there are 100,000 brave young men and women who have come back from Iraq. (Applause.)

Because of what you did, America is a better place.  But we’ve just begun.  We’re just in the first quarter.  I can’t have you tired now.  I can’t have you tired when we’re just getting started.

Look, change has always been hard in this country.  This country was founded when 13 colonies came together in a revolution that nobody believed could happen, except they believed. They founded this country on ideas that hadn’t been tried before:  We hold these truths to be self-evident, that all men are created equal -- (applause) -- that they are endowed by their Creator with certain inalienable rights; that among these are life, liberty and the pursuit of happiness.  (Applause.)

Nobody believed that the slaves could be free -- (applause) -- except they believed.  

Folks didn’t believe that women could win the right to vote, except women believed.  (Applause.)

Nobody believed that we could get workers’ rights, except workers believed.  (Applause.)

There were a lot of folks who said we would never get civil rights.  But we got civil rights because somebody out there believed.  (Applause.)

Imagine if our parents, our grandparents, our great-grandparents had said, oh, this is too hard; oh, I’m feeling tired; oh, I’m feeling discouraged; oh, somebody is saying something mean about me.  (Laughter.)  We would not be here today.  

We got through war and depression.  We have made this union more perfect because somebody somewhere has been willing to stand up in the face of uncertainty; stand up in the face of difficulty.  That is how change has come. (Applause.)  And that’s the spirit we have to restore in 2010. (Applause.)  

And if all of you are going to go out and vote, all of you knock on doors, all of you are talking to your friends and neighbors, I promise you we will not just win this election, we just won’t elect Harry Reid, but we are going to restore the American Dream, the Vegas dream, the Nevada dream, for families for generations to come.

God bless you.  And God bless the United States of America.  (Applause.)

END
6:45 P.M. PDT

The White House

Office of the Press Secretary

Remarks by the President at Los Angeles "Moving America Forward" Rally

University of Southern California -- Alumni Park

Los Angeles, California

2:06 P.M. PDT

THE PRESIDENT:  Hello, L.A.!  (Applause.)  Oh, this is a Trojan kind of welcome right here.  (Applause.)  Fight on!  (Applause.)  I am fired up!  (Applause.)  

You know, Jamie Foxx is pretty good at this.  We might have to recruit him. We’d have to make him shave his goatee, though.  (Laughter.)  

It is wonderful to see all of you. Let me just say how proud I am to be here with some of the finest elected officials that I know:  The next governor of the great state of California, Jerry Brown.  (Applause.)  Your outstanding mayor, Antonio Villaraigosa.  (Applause.)  Speaker of the California Assembly, John Perez.  (Applause.)  L.A. City Council president, Eric Garcetti.  (Applause.)  A dear, dear friend of mine, so I want everybody to do right by her -- San Francisco district attorney, Kamala Harris.  (Applause.)  An outstanding congressional delegation, Diane Watson, Judy Chu, Adam Schiff, Grace Napolitano, Xavier Becerra. (Applause.)  An unbelievable Secretary of Labor, Hilda Solis. (Applause.)  And somebody who has been fighting on your behalf for many, many years, and needs to be -- keep on fighting for us for the next six years -- Senator Barbara Boxer.  (Applause.)  

It is great to be with all of you on this beautiful day.  You know, we are going to need --

AUDIENCE MEMBER:  We love you!

THE PRESIDENT:  I love you back.  (Applause.)

We need all of you to fight on.  We need all of you fired up -- (applause.)  We need all of you ready to go -- because in just 11 days, in just 11 days, you have the chance to set the direction of this state and of this country not just for the next two years, but for the next five years, the next 10 years, the next 20 years. (Applause.)  And just like you did in 2008, you can defy the conventional wisdom –- the conventional wisdom that says young people are apathetic; the conventional wisdom that says you can’t beat the cynicism in politics; that you can’t overcome the special interests; that all that matters is all the big money and the negative TV ads.  You have the chance to say, “Yes, we can.”  (Applause.)      

AUDIENCE:  Yes, we can! Yes, we can!  Yes, we can!

THE PRESIDENT:  Yes, we can.  Yes, we can.  Si, se puede.  (Applause.)  

Look, now, I don't want to fool anybody.  Even though this is an incredible crowd, a magnificent crowd -- but let me be clear.  This is going to be a difficult election -- because we’ve been through an incredibly difficult time as a nation.  

For most of the last decade, the middle class has been hurting.  Families saw their incomes, between 2001 and 2009 -- by about 5 percent.  That's not my statistics.  That's the Wall Street Journal talking.  Job growth was more sluggish during that period than any time since World War II.  Jobs were being shipped overseas.  Parents couldn’t afford to send their kids to college. Families couldn’t afford to send somebody in their family to a doctor.  Americans were working two, three jobs just to try to make ends meet.  And all this culminated in the worst economic crisis since the Great Depression.

Understand we lost 4 million jobs in the six months before I took office; 750,000 the month that I was sworn in; 600,000 the month after that; 600,000 the month after that.  We haven’t seen anything like this since the 1930s.  We lost 8 million jobs before any of my economic policies had a chance to be put into place.   

Now, my hope was that in this moment of crisis, we could come together and both parties would put politics aside; that we would come together to meet this once-in-a-generation challenge  -- because although we are proud Democrats, we are prouder to be Americans.  (Applause.)  And you know, there are plenty of Republicans who feel the same way out there.  

But the Republican leaders in Washington, they made a different calculation.  They looked around at the mess that they had made, at the mess that they had left me, and they said, boy, this is a really big mess.  And they said it’s going to take a long time to fix.  Unemployment is probably going to be high for a while, and in the meantime, people are going to get angry and frustrated.  So maybe if we just sit on the sidelines, say no to everything, and then point our fingers at Obama and say he’s to blame, they figured that maybe you all would forget that they caused the mess in the first place, and they’d be able to ride anger all the way to election time.

AUDIENCE:  Noooo --

THE PRESIDENT:  But, Los Angeles, as I look out on this crowd, this tells me you haven’t forgotten.  (Applause.)  

Their whole campaign strategy is amnesia.  And so you need to remember that this election is a choice between the policies that got us into this mess and the policies that are leading out of this mess; a choice between the past and the future; a choice between hope and fear; a choice between moving forward or going backwards.  And I don't know about you, but I want to move forward, Trojans.  I want to go forward.  (Applause.)

Now, look, understand it would be one thing if the Republicans, having made this mess, they went off into the desert or into some retreat somewhere and they meditated on, boy, we really screwed up, and now let’s come up with some new ideas because we recognize the error of our ways.  But that's not what’s going on.  The Republican Campaign Committee chairman promised the “exact same agenda” if they win back the House and if they win back the Senate -- the same agenda of cutting taxes for millionaires and billionaires --

AUDIENCE:  Booo --

THE PRESIDENT:  -- of cutting rules for the special interests, from cutting middle-class families loose to fend for themselves.  Their basic philosophy is, you’re on your own. If you're sick, you don't have health care, too bad, you’re on your own. You don't have a job, them’s the breaks, you’re on your own.  You’re a young person wants to go to USC, wants to get his education but can’t afford it, tough luck, you’re on your own.

It’s the same agenda that turned a record surplus into a record deficit; the same agenda that allowed Wall Street to run wild; the same agenda that nearly destroyed our economy.

And I bring all this up not because I want to re-argue the past.  I bring it up because I don't want to relive the past.  We can’t afford it.  (Applause.)  I bring it up because it’s not as if we haven’t tried what they're selling.  We tried it. We didn’t like it and we’re not going back to it.  (Applause.)

I want you to think about it this way.  Imagine that these folks drove a car into the ditch.  And it was a really deep ditch.  And somehow they were able to walk away from the accident, but they did nothing to get the car out of the ditch.  And so, me and Barbara and Jerry and Antonio, we all put on our boots and we climbed down into the ditch.  

And it’s hot down there. Flies are down there -- (laughter) -- and we’re sweating.  But we’re pushing, we’re pushing to get the car out of the ditch.  And even though Barbara Boxer is small, she is pushing, too.  And we’re all pushing. (Applause.) And as we’re pushing, we look up and the Republicans are all standing there at the top of the ditch.  They’re all looking down. And we say, why don’t you come down and help?  And they say, no, that’s all right.  And then they kick some dirt down into the ditch. (Laughter.)  They’re sipping on a Slurpee.  They’re fanning themselves.  You’re not pushing hard enough, they say.  You’re not pushing the right way.  

And, yet, despite all that, we still get the car out of the ditch.  And it’s finally on level ground.  (Applause.)  And I admit, the car is a little banged up.  I mean, the fender is bent and it’s going to have to go to the body shop, and it needs a tune up.  But it’s on level ground and it’s pointing in the right direction.  We’re ready to move forward.

And, suddenly, suddenly, we get this tap on our shoulder and we look back, and who is it?  It’s the Republicans. And they say, we want the keys back.

AUDIENCE:  Nooo --

THE PRESIDENT:  And we’ve got to tell them, you can’t have the keys back.  You don’t know how to drive.  (Applause.)  You can ride with us, but you got to be in the backseat -- because we got middle-class America in the front seat.  We’re looking out for them.  (Applause.)

You ever notice when you want to go forward, what do you do? You put your car in “D.”  You want to go backwards, what do you do?  You put it in “R.”  (Applause.) That’s not a coincidence.  We want to go forward.  We don’t want to go backwards.  (Applause.)    

AUDIENCE:  Yes, we can! Yes, we can!  Yes, we can!  

THE PRESIDENT:  Yes, we can.  

Look, because of the steps that we’ve taken, we no longer face the possibility of a second depression. The economy is growing again.  The private sector has seen job growth nine months in a row.  But we’ve still got a long way to go.  We’ve still got a lot of work to do.  There are a lot of people out there still hurting. I know there are a lot of families still hanging on by a thread.  That’s what keeps me up at night.  That’s what keeps me fighting.  That’s why all of you are here, because you know we’ve got more work to do.  

But understand, we’ve got a different idea about what the future holds.  It’s an idea rooted in our belief about how this country was built.  We know that the government doesn’t have the answers to all our problems.  We believe government should be lean and efficient.  But in the words of the first Republican President, Abraham Lincoln -- who, by the way, couldn’t get a nomination in today’s Republican Party -- (laughter) -- we also believe that government should do for the people what they cannot do better for themselves.  (Applause.)   

We believe in an America that rewards hard work and responsibility and individual initiative, but that also puts a hand up to help people live out their dreams.  (Applause.)  We believe in an America that invests in its people, in its future, the education of our children, the skills of our workers.  We believe in a country where we look after one another, where I am my brother’s keeper, where I am my sister’s keeper.  (Applause.) That’s the America that I know.  And that is the choice in this election.  (Applause.)

This election is a choice. And if we give them the keys -- which will happen if you don’t vote -- they’ll keep giving tax breaks to companies that ship our jobs overseas.  We want to give tax breaks to companies that create jobs right here in the United States -- (applause) -- to small businesses and American manufacturers and clean energy companies.  (Applause.)  Because I don’t want wind panels and -- wind turbines and solar panels and electric cars made in Europe or Asia.  I want them built right here in the United States -- (applause) -- by American workers here in the United States of America.  That's the choice in this election.  

If we give them the keys back -- and we will if you don't vote -- the other side has said they are going to cut taxes for millionaires and billionaires, costing us $700 billion, and to help pay for it, they’re going to cut education spending by 20 percent.  

AUDIENCE:  Booo --

THE PRESIDENT:  Now, think about this.  This is at a time when the question of whether a country competes almost entirely depends on how well we educate our children.  Do you think that China wants to cut education by 20 percent?  

AUDIENCE:  Nooo --

THE PRESIDENT:  Is South Korea cutting education by 20 percent?  

AUDIENCE:  Nooo --

THE PRESIDENT:  Those countries aren't playing for second place.  America doesn’t play for second place.  We play for first place.  (Applause.)

AUDIENCE:  USA! USA!  USA!  USA!

THE PRESIDENT:  We play for first.  And that's why, instead of giving unwarranted subsidies to the banks, we've taken tens of billions of dollars and we’re now putting them where they should go -- to students like you -- (applause) -- to make sure that you can afford a college education, and a $10,000 tuition tax credit for every young person in America so you can get the education you deserve.  That's the choice in this election.  (Applause.)

We want tax cuts to middle-class families.  We don't want special interests back in shotgun.  You know, the other side has already promised to roll back Wall Street reform, roll back health insurance reform.  We refuse to make that happen.  We want to make sure that insurance companies can’t deny you coverage when you get sick.  We want to make sure that the law we passed to make sure that you can stay on your parents’ health insurance till you’re 26 years old, that that remains the law of the land. (Applause.)

We want to make sure that credit card companies can’t hit you with hidden fees or jack up your rates without notice.  We want to make sure that taxpayers aren’t stuck with a Wall Street bailout because somebody else took unwarranted risks.  

We’re going to fight the effort to privatize Social Security, because as long as I’m President, nobody is going to take a generation’s worth of retirement savings and hand them over to Wall Street.  Not on my watch.  (Applause.)

We are going to make sure we continue to invest in clean energy and we enforce our clean air and clean water laws.  You’ve seen what they're trying to do here in California, trying to roll back laws that will keep California at the cutting-edge.  And now that we’ve got special interests spending millions of dollars out there to gut these clean air standards and clean energy standards, and they're doing the same thing all across the country -- millions of dollars in special interest money, using phony front groups.  You don't know their names.  They call themselves “Americans for Prosperity,” or “Mothers for Motherhood.” I made that last one up, but -- (laughter) -- but it might as well be.

And you don't know who’s behind it.  You don't know, is it an insurance company?  Is it a bank? Who is financing all these negative ads against Jerry Brown?  Who’s financing all these negative ads against Barbara Boxer?

And you know how they're able to do this without disclosing their donors is because of a Supreme Court ruling called Citizens United --

AUDIENCE:  Boooo --

THE PRESIDENT:  -- which shows you how important it is who’s making appointments on the Supreme Court. I’m proud I appointed Sonia Sotomayor.  (Applause.)  I appointed Elena Kagan.  (Applause.)

All this money pouring into these elections by these phony front groups -- this isn’t just a threat to Democrats; it’s a threat to our democracy.  And the only way to fight it is all of you -- all these voices matching those millions of dollars, all of you being committed to finish what we started in 2008.  That's why it’s so important all of you get out -- all of you have got to vote, because if everybody who fought for change in 2008 turns out this time, we will win this election. (Applause.)

And so I want to remind you why you got involved.  You didn't just get involved to elect a President. You got involved because you believed we were at a defining moment.  You believed that this was a time when the decisions we make, the challenges we face, are going to shape the lives of our children and our grandchildren and our great-grandchildren for decades to come.  

That's why you knocked on doors.  That's why you made phone calls.  That's why some of you cast your vote for the very first time.  (Applause.)

And, look, I understand the last two years haven’t been easy.  I know that a lot of you -- you're thinking back to Election Night or Inauguration Day, and how much fun that was -- and Beyoncé was singing, and Bono.  (Laughter.)  And Jamie was there.  And it felt like a big party.  But I want everybody to understand, I told you this was going to be hard.  I told you power concedes nothing without a fight.  

Inch by inch, day by day, week by week, we’ve been grinding it out, because that’s the nature of change in a big, complex democracy.  And I recognize some of you may feel now that, gosh, it seems so distance from those wonderful memories and change is harder than I expected, we haven’t gotten everything done that we hoped for yet.  And maybe you know somebody in your family who’s out of a job, or maybe somebody in your neighborhood has put up a foreclosure sign, and you think, boy, we’re not moving as quick as we want.

I understand that.  But don’t let anybody tell you that our fight hasn’t been worth it.  Don’t let them tell you that we’re not making a difference.  Because of you, there are people right here in California who don’t have to choose between getting treatment for their cancer or going bankrupt.  (Applause.)  Because of you, there are parents who are able to look their children in the eye and say, yes, you will go to college.  We can afford it, we’re getting some help.  (Applause.)  Because of you, there are small businesses who are able to keep their doors open, even in the midst of recession. Because of you, we have brought home nearly 100,000 brave men and women from Iraq.  (Applause.)
Because of you, we are going to continue to fight to end “don’t ask, don’t tell.”  Because of you, we are going to make sure that we’ve got an energy policy for the future of America. (Applause.)    

Because of you.  So don’t tell -- don’t let them tell you that change isn’t possible.  Because here’s what I know.  Change is always hard.  And if our parents, if our grandparents, if our great-grandparents, if they have listened to the cynics 50 years ago, 100 years ago, 200 years ago, we wouldn’t be here today.  

Think about it.  This country was founded on 13 colonies coming together to do what had never been done before -- declaring a revolution, throwing off the yoke of tyranny, battling the biggest, baddest empire on Earth.  And then, they decided, you know, we’re going to try to form a new type of government.  And they wrote on paper, they said in their declaration, “We hold these truths to be self-evident that all men are created equal” -- (applause) -- “that we are all endowed by our Creator with certain inalienable rights; that among these are life, liberty, and the pursuit of happiness.”  (Applause.)  

The cynics didn’t believe it. And then, when we had to perfect that union and fight a civil war, the cynics didn’t believe it.  They didn’t think we could free the slaves.  If our ancestors had given up, if they had given up to the cynics, we couldn’t have gotten through war; we couldn’t have gotten through depression; we would not have been able to battle and finally achieve civil rights and women’s rights and workers’ rights.  (Applause.)  

That is the spirit we have to summon today.  The journey we began together was not just about putting a President in the White House.  It was about building a movement for change. (Applause.)  It was about realizing the promise of the United States of America, and understanding that if we’re willing to work for it, there’s nothing we cannot achieve.  (Applause.)  

So I need you to keep on believing.  I need you to keep hoping.  And if you knock on some doors and make some phone calls, and keep marching and keep organizing, we won’t just win this election; we are going to restore the American Dream for not just some, but for every -- every -- everybody in this great land. (Applause.)    

Thank you very much, everybody.  God bless you and God bless the United States of America.  (Applause.)    

END
2:32 P.M. PDT

The White House

Office of the Press Secretary

Remarks by the President at an Event for Senator Boxer in Los Angeles, California

12:38 P.M. PDT

THE PRESIDENT:  Thank you! Thank you, Los Angeles!  Thank you.  Thank you.  Thank you so much.  Thank you.  Thank you.  Thank you.  Everybody please have a seat.  Thank you.  

Thank you so much.  It is good to be back in L.A.  It is good to be back in L.A.  It is good to see such wonderful friends.  I just want to make mention of a few of them. Congresswoman Jane Harman is here.  (Applause.)  Congresswoman Laura Richardson is here.  (Applause.)  Congressman Adam Schiff is in the house.  (Applause.)  Soon-to-be Congresswoman Karen Bass is here.  (Applause.)  State Controller John Chiang is here. (Applause.)  I know Stevie Wonder was in the house. (Applause.)  And Sim Farar, thank you so much for doing an extraordinary job, and to all the other co-chairs who helped put this together.  Thank you.  (Applause.)  

It is good to be back in L.A.  And it is an honor to be standing here with one of my all-time favorite senators, Barbara Boxer.  (Applause.)

It was one of my great privileges to work with Barbara in the United States Senate.  And during that time, we became good colleagues and even better friends.  And I had a chance to see her at work, day in and day out.  And I came to learn that while Barbara is somewhat vertically challenged -- (laughter) -- you should see the box I had to push out of the way here -- (laughter) -- Barbara is somebody who’s got more fight in her than anybody I know.  And she’s always fighting for the right reason, fighting for the right cause.  

And today Barbara is in a tough election, even though the
choice should be easy, because there’s only one candidate in this race who has spent her career fighting for California’s families, and that is Barbara Boxer.  There’s just one candidate who’s done that. (Applause.)

There’s one candidate who fought for and helped pass the most progressive and largest middle-class tax cut in history.  There’s only one candidate who is fighting to create thousands of construction jobs all throughout California, rebuilding its roads and its bridges and its highways so that this great state has the best infrastructure in the world.   

There’s only one candidate who stood up to insurance companies so that every Californian can have accessible and affordable health care, making sure that insurance companies aren’t dropping you when you get sick, making sure young people can stay on their parents’ health insurance until they’re 26 years old.  (Applause.)  

There is only one candidate who has consistently fought to protect our children’s education, and will protect a woman’s right to choose.  (Applause.)   

There is only one candidate who’s fighting to make California the clean energy hub of America.  (Applause.)  Only one candidate who’s championed clean air and clean water, and the most beautiful coastline in the world.  

And that candidate is your senator, Barbara Boxer.  (Applause.)  So, she’s fought for you for a long time. Now she’s got to see you fight for her over these last couple of weeks. We have to have Barbara back in the Senate.  We have to have her back in the Senate.  (Applause.)   

And in 11 days, your decision will set the direction not just of this state but of this country for the next five years, the next 10 years, the next 20 years, for generations to come.  Some of you brought your kids here, and I love when I have a chance to see young people here, because it reminds us of why we do what we do.  

And just like you did in 2008, you’ve got an opportunity here to defy the conventional wisdom and defy the pundits, defy all those talking heads who say you can’t overcome cynicism in politics; you can’t overcome special interests; that millions of dollars in negative ads are what determine the outcome of races.  

In 11 days, you’ve got a chance once again to say, “Yes, we can.”  (Applause.)  “Yes, we can.”  

Now, look, let’s not fool ourselves. This is a tough election.  This is a difficult election because this country has gone through one of the most difficult periods in our nation’s history.  And it didn’t just start with the financial crisis.  Over the last decade, between 2001 and 2009, middle-class families had seen their incomes actually decline by 5 percent.  Think about that.  During that eight-year period, middle-class families had less money at the time -- at the same time that their health care costs were shooting up, sending your kids to college was becoming more and more expensive.  Job growth between 2001 and 2009 was the most sluggish since World War II, more sluggish than it’s been over the last year.

And so you had folks who were out there working two jobs, three jobs just to make ends meet.  You had parents who had to say to their kids, I’m not sure I can afford to send you to college, and families who had to make a decision, maybe we don’t go to the doctor even though we’re feeling sick.  All that was happening before the crisis hit.  

And then it culminated in the worst economy since the Great Depression.  We lost 4 million jobs in the six months before I was sworn in, 750,000 the month I was sworn in; 600,000 after that; 600,000 after that.  So we had lost almost 8 million jobs before any of the economic policies that Barbara and I helped to put into place had any chance to take an effect.

Now, when I got to Washington, my hope was that we were going to be able to bring the parties together to address this crisis, because although we are proud Democrats, we are prouder to be American. And every once in a while you’d think that folks would stand up and say, enough of the politics, enough of the game-playing, let’s get to work. (Applause.)  

That’s my hope.  That was my hope. But we know what actually happened.  The Republicans made a tactical decision.  I mean, they bragged about this, so this is not something I’m making up.  They basically said to themselves, you know what, we created such a big mess, we have dug such a big hole, the economy is going to take so long to recover that we’re better off not trying to solve the problems. We’re better off standing on the sidelines and hoping people forget that we caused the problems -- (laughter) -- and then pointing our fingers and trying to place the blame on Barack Obama or Barbara Boxer.

That was their strategy.  Their strategy was premised on amnesia.  (Laughter and applause.)  That was their approach.  

Now, we made a different decision.  We decided we can’t afford to play politics.  We understood that some of the decisions that had to be made might be unpopular.  But what we said to ourselves was that we go to Washington not to have a fancy office and not to have a fancy title; we go there to do what’s right.  You did not elect me to do what was easy.  You elected me to do what was right.  And that’s the same reason that you elected Barbara Boxer -- to do what was right.  (Applause.)

Now, it is now up to you to let the Republicans know that we haven’t forgotten how we got here, that we don’t have amnesia.  It’s up to you to be clear that this isn’t a referendum on Barbara.  This is a choice between the policies that got us into this mess and the policies that are going to lead us out of this mess.  (Applause.)

This is a choice between the past and the future, between fear and hope, between moving backwards and moving forwards.  And I don’t know about you, but I want to move forward. (Applause.)

The chair of the Republican campaign committee was quoted in the newspaper a while back, Barbara.  He was asked, well, what would you do if you took power in the House?  He said, well, we’re going to pursue the exact same agenda that we pursued before Obama took office.

Now think about this:  This resulted in the worst economy in our lifetimes.  So you could have imagined the Republicans going off into the desert and doing some reflection -- (laughter) -- and saying to themselves, boy, we really screwed up.  We need some new ideas. (Laughter.)  

And then they might have come back and said, you know what, we got some great new ideas that we think can get the economy moving -- that’s not what happened.  They are clinging to the same worn-out, tired, snake-oil ideas that they were peddling before. (Laughter and applause.)

I’m not -- you know what they are.  They do have the benefit of being simple.  (Laughter.) You cut taxes, mostly for millionaires and billionaires, regardless of the impact on the deficit.  You cut rules for all manner of special interests.  And you cut middle-class families to fend for themselves.  So if you’re somebody who just lost your job, tough luck.  You’re on your own.  You might not even get unemployment insurance, according to this philosophy.  You’re a young person who can’t afford to go to college?  Pull yourself up by your own bootstraps. Tough luck, you’re on your own.  You don’t have health insurance? Too bad, you’re on your own.  This agenda that poses as conservatism is not conservative.  It resulted in a radical shift from record surpluses to record deficits, allowed Wall Street to run wild.  Nearly destroyed our economy.

Now, I bring this up not to re-argue the past.  I bring it up because I don’t want to re-live the past.  We have been there.  We tried what they are trying to sell and we’re not buying this time.  (Applause.)

I’ve been using an analogy that Barbara likes quite a bit, so I’ve got to make sure to use it here.  (Laughter.) Otherwise, she’ll scold me.  Imagine the Republicans driving our economy into the ditch.  And it’s a deep ditch.  (Laughter.)  And they and their buddies somehow walk away from the accident, but the car is still down there.  So Barbara and I, we put on our boots and we rappel down into the ditch.  (Laughter.)  And it’s muddy and hot.  And there are bugs there.  And we’re pushing on this car, trying to get it out of the ditch -- pushing and pushing.  And even though Barbara is small, she’s tough.  So she’s pushing.  (Laughter.)

And every once in a while we look up, and there are the Republicans, they’re up there, you know, slipping on a Slurpee and fanning themselves.  (Laughter.)  And we’ll ask them, “Why don’t you come down here?”  And they say, “No, no.  But you guys aren’t pushing hard enough.  You’re not pushing the right way.”  

Finally, we get the car up on level ground.  We’re ready to move forward.  The car is banged up.  It needs some bodywork.  It needs a tune up.  But it’s ready to move in the right direction.  And we get this tap on our shoulders.  We look back.  Lo and behold, it’s the Republicans.  And what are they saying? They’re saying, “We want the keys back.”  (Laughter.)  You cannot have the keys back.  You don’t know how to drive.  You don’t know how to drive.  You don’t know how to drive.  (Applause.)  No, no.

You can ride with us.  (Laughter.) But you’ll have to be in the backseat.  We’re going to put middle-class families in the front seat.  We’re driving for them.

You notice, when you want to go forward, you put your car in what?  “D.”  When you want to go backwards, what happens?  You put it in “R.”  (Laughter.)  We don’t want to go back into that ditch.  (Applause.)  Don’t do it.  Don’t do it.

Because of the steps we’ve taken, because Barbara was there in the Senate, this country is no longer facing a second depression.  Our economy is growing again.  The private sector has created jobs nine months in a row.  But, look, we still have a long way to go.  We’ve still got a lot of work to do.  There are still families out there that are hurting badly, some hanging on by a thread.  That’s what keeps me up at night.  That’s what keeps Barbara up at night. And that’s why this election is so important.  That’s why the choice we make is so important.

Look, Barbara and I, we’ve got a different idea, a different vision about what our future should look like -- and it’s an idea rooted in our own experience, living out the American Dream, because we didn’t come from plenty.  We know government doesn’t have all the answers to our problems.   We want a government that is lean and efficient.  

But in the words of the first Republican President, Abraham Lincoln -- who, by the way, could not win a Republican nomination these days -- (laughter and applause) -- no, seriously, can you imagine him trying to run with these folks?  (Laughter.)  Lincoln said government should do for the people what they cannot do better for themselves.  So we believe in an America that rewards hard work and responsibility and individual initiative.  But we also believe in an America that invests in its future, that invests in its people –- in the education of our children, in the skills of our workers.  We believe in a country that looks after one another; where we say I am my brother’s keeper; I am my sister’s keeper.  That is the America that I know.  That is the America that Barbara knows.  That is the choice in this election. (Applause.)

So if we give them the keys back, they’ll keep giving tax breaks to companies that ship jobs overseas.  I want to give tax breaks.  Barbara wants to give tax breaks.  We already have -- to companies that are investing right here in the United States of America, to small businesses and American manufacturers and clean energy companies that are building solar panels and wind turbines and electric cars right here in the United States of America with American workers.  That’s the choice in this election.  That’s what we’re about.  (Applause.)

You give the keys to the other side, they want to have a $700 billion tax break that would only go to the top 2 percent -- wealthiest 2 percent of Americans -- and they’d cut education by 20 percent in the process.

Now, think about this -- let me tell you, China is not cutting education spending by 20 percent.  South Korea is not cutting education by 20 percent.  Germany is not cutting education by 20 percent.  They understand that whoever out-educates us today will out-compete us tomorrow.  They are not playing for second place.  And the United States of America doesn’t play for second place.  We play for first place.  (Applause.)  

And that’s why Barbara and I, working together, took away unwarranted subsidies to banks and have now provided tens of billions of dollars in additional aid to students so they can go to colleges.  We’re creating tax credits worth $10,000 in tuition relief for every student.  (Applause.)

That is the choice in this election.  That’s the choice in this election.  Yes, we want tax cuts going to middle-class families -- make those permanent.  Yes, we believe in clean air and clean water.  And we think that those laws should be enforced.

You give the keys to the other side, they’re going to put those special interests right back sitting shotgun. They’ve already promised to roll back Wall Street reform, roll back health insurance reform.  And we refuse to let that happen because we think that if you’re paying an insurance premium, they shouldn’t be able to drop you when you get sick.  The whole point of having health insurance is to have it there when you need it.  (Applause.)

We don’t think credit card companies should be able to jack up your rates without any notice and without any reason. We want to make sure that taxpayers never again have to pay for bailouts because of reckless risks taken by a few.  We don’t believe in privatization of Social Security -- because as long as I’m President we’re not going to have our retirement savings handed over to Wall Street. (Applause.)  

Those are all choices that we’ve got to make in this election.  That’s what we’re fighting for.  

We believe in making investments in infrastructure.  We shouldn’t be the country that is lagging behind when it comes to high-speed rail, when it comes to a smart electric grid.  We should have the best airports in the world, the best roads in the world, the best bridges in the world, the best broadband access in the world.  That is our legacy.  That is our history.  

But you know what -- right now the same special interests that fought us every inch of the way, they are fighting just as hard in this election.  They want to roll back the clock.  Here in California, oil companies and the other special interests are spending millions on a campaign to gut clean air standards and clean energy standards, jeopardizing the health and prosperity of this state.  All across America, special interests have poured millions of dollars into phony front groups -- you’ve seen them.  They’re called “Americans for Prosperity,” or “Moms for Motherhood.”  (Laughter.)  I made that last one up. (Laughter.)  

They don’t have the guts to say, we’re funding this.  So they hide behind these front groups.  You don’t know who these groups are.  You don’t know who’s funding it -- although we have a pretty good idea.  Smearing Democratic candidates.  This is thanks to a gigantic loophole.  They can spend without limit, keep their contributions secret.  It could be oil companies, Wall Street speculators, insurance companies.  You don’t know.  They won’t tell you. They won’t say.

And by the way, those of you who don’t think that the Supreme Court is important, this is a direct result of a ruling called Citizens United, which is why when Barbara and I make sure that we’ve got people like Sonia Sotomayor and Elena Kagan on the bench -- (applause) -- the only way we’re going to do that is if we’ve got a Senate majority that is serious.

These rulings are not just a threat to Democrats.  They’re a threat to our democracy.  And the only way to fight, the only way to match their millions of dollars is your millions of voices -- to finish what we started in 2008.  

That’s why it’s wonderful that you’re at this lunch, but I’ve got to ask more of you.  You’ve got to go out there and talk to your friends and your neighbors and your coworkers, to your cousins and nephews and uncles and whoever is out there.  You’ve got to talk to them.  We’ve got to fight for this.

You fought in 2008 because you believed we were at a unique moment in our history, where the decisions we made now would have an impact for generations.  But we just started.  This is just the first quarter.  We’ve got a lot more work to do.  And I know that there are times over the course of the last two years where some of you may have thought back to Election Night, or the campaign, or the inauguration and Beyoncé was singing -- (laughter) -- and Bono.  And it all seemed so wonderful and fun.

And then suddenly the actual work of change, not just talking about change, but the actual work of change began.  And we had to grind it out.  And suddenly we’ve got filibusters.  And we’ve got distortions in the media.  And suddenly everybody starts feeling like, boy, this is harder than we expected.

Well, we knew it was going to be hard.  I told you it was going to be hard.  And yet -- and yet, we’ve made a difference.  Don’t let anybody tell you that that work we’ve put in has not made a difference.  (Applause.)

Because of you -- because of the work that you did, because of the hope that you showed, there’s a woman here -- somewhere in California who is going to be able to get treatment for her cancer instead of having to mortgage her house.

Because of you, somewhere here in California, there’s going to be a young person who says, you know what, I can afford to go to college.

Because of you, there’s some small business owner who was able to keep their doors open despite the worst possible recession.  

Because of you, there’s a clean energy company that has some magnificent idea that could end up leading to unbelievable innovation sometime in the future.  That happened all because of you.

Because of you, there are 100,000 young men and women who have come home from Iraq and are no longer at war. That’s because of you.  (Applause.)  Don’t let them tell you that what you did didn’t make a difference.  (Applause.)  Don’t let them tell you that what you did didn’t make a difference.  

Change is hard, but it’s always been hard.  That’s been the history of this country, from its founding. And if our grandparents, our great grandparents, our great-great grandparents, if they had said to themselves, well, I can’t do this because it’s too hard, success is uncertain, there are people saying mean things about me -- (laughter) -- we would have never gotten through a war, we would have never gotten through depression, we wouldn’t have gotten civil rights or women’s rights or workers rights.  

We got through those things and helped to perfect our union because in the face of uncertainty, in the face of adversity, in the face of difficulty, people stood up.  They said, “Yes, we can.”  They had the courage of their convictions.  And we had leaders like Barbara Boxer.

What was true then is just as true now.  And so if everybody here keeps that spirit alive, and is out there knocking on doors, and making phone calls, and calling their friends, and calling their neighbors, and reminding everybody of the same hope, the same possibility that we did two years ago, we’re not just going to reelect Barbara Boxer, we are going to make sure that the American Dream is alive and well for future generations.

Thank you, everybody.  God bless you.  God bless the United States of America.  (Applause.)

END
1:05 P.M. PDT

The White House

Office of the Press Secretary

Remarks by the President at a DNC Dinner in Palo Alto, California

Mayer Residence, Palo Alto, California

THE PRESIDENT:  Please have a seat.  I’m going to come to you and I’m not going to bore you with a long speech because I’m going to be able to sit with each of you at your table and to have a terrific conversation.

My main message is to say thank you to Zachary and Marissa for opening up this wonderful home.  I was especially thrilled to see the pumpkins -- (laughter) -- and the Halloween stuff out there because in the Obama household, Halloween is big.  And in fact, for all the campaigning I’m going to be doing over the next 10 days, I will be home on Sunday night -- (laughter) -- when the girls get dressed up and do some trick-or-treating.

I see a lot of old friends here, people who have supported us for a very long time, and I see some new ones as well.  Some of you I had a chance to meet around the same time I first met Marissa.  I remember that first visit to Google very well.  In fact, it made it into my second book.  And I talked about how inspiring it was and how it spoke to the essence of America -- the American idea that if we’re innovating, if people have the tools to let their imaginations run, that there’s nothing we can’t do in this country.

And that’s I think the spirit that all of us want to see recaptured after a decade in which, frankly, that can-do spirit had been lost.  Obviously we’re going through a very difficult time right now -- the worst financial crisis since the Great Depression, the worst recession since the Great Depression.  But my task over the last two years hasn’t just been to stop the bleeding.  My task has also been to try to figure out how do we address some of the structural problems in the economy that have prevented more Googles from being created, prevented more Hewlett-Packards from being created, prevented more engineers from being trained in our schools -- how do we unleash this incredible energy and dynamism that we know has always driven America, decade after decade.

We’ve made a start on all these fronts.  I think our education reform agenda has been as innovative and aggressive as anything that we’ve seen, and we’re now partnering with the private sector to figure out how do we get more math and science education so that we can train more engineers and more computer scientists and more mathematicians and more researchers to help drive the next wave of technology.

We have tackled things like health care that have been weights around the necks of not just individual families and businesses but also our federal budget.  We’re taking on clean energy in ways that we have not seen before.  We’ve raised the national CAFE standards on cars and trucks for the first time in 30 years; made the largest investment in clean energy in history.  We’re seeing solar panels and wind turbines and advanced battery manufacturing all across the country because of the efforts that we’ve been making.

And so I’m optimistic about the future.  But in the short term, we’ve got a long way to go.  There are a lot of people out there who are hurting, a lot of families who are struggling to make a mortgage payment or pay the bills, a lot of kids who still aren’t sure whether they can finance their college educations.

And so we’re going to have a big choice in this election in an environment in which people are frustrated and hurting.  And it’s going to be very important that we’re able to make the choice clear about going forwards or going backwards.  And the only way we can get that message out effectively is if we’ve got the support of folks like you, because in a place like California, frankly, as many people as I meet when I travel here, I can’t meet everybody.  At some point, we’re going to have to be able to get the message out, and you help us do that.

So I’m grateful to you.  We are excited about these last 10 days.  I’ve been traveling around the country.  We had rallies in Portland and Seattle earlier over the last couple of days, I think 15,000 in each place; 35,000 in Columbus, Ohio; 30,000 in Madison, Wisconsin.

And as we travel around the country, although everybody recognizes that the last two years have been tough, what has been remarkable is the degree of resilience people feel and the sense that as hard as things have been, we’re still going to keep on fighting to make sure that we have a better future for our kids and our grandkids.

Your presence here represents that.  I am going to be quiet now because I want to make sure that I have a chance to talk to all of you and hear from all of you.  And if at any time people want to come in here and provide an update on the Giants game -- (laughter) -- I am perfectly happy to hear from them.

So, again, to our hosts, thank you very much.  To all of you, it’s great to see you again and I look forward to a good conversation.  (Applause.)

                       END           6:39 P.M. PDT

The White House

Office of the Press Secretary

Remarks by the President to Overflow Crowd at University of Washington

University of Washington

Seattle, Washington

 
11:42 A.M. PDT

THE PRESIDENT:  Thank you, Huskies!  It is great to see all of you.  Look, I'm not going to give a long speech now because then you’ll be listening to two long speeches.  I just wanted to -- the main reason I wanted to come out, because I thought it would be cool to run through the tunnel. (Laughter.)  I liked doing that.  

But I also wanted to come out and just say thank you to all of you, because there are a lot of you who worked on our campaign, there are a lot of you who voted, some for the very first time, because you realized that we're at a crossroads in history right now. America is the greatest country on Earth, but we didn’t get here because it was preordained.  We got here because our parents and our grandparents and our great grandparents, they were all willing to roll up their sleeves and work -- to work on behalf of freedom, to work on behalf of opportunity.

A lot of our parents, grandparents, great grandparents came here from other countries to start a new life because they realized that if they worked hard here in America then there was nothing that could stop them, and that there was a unique legacy in this nation of being able to live out your dreams.  

And over the last decade, some of those dreams felt like they were slipping away.  People felt as if the economy was only for those at the very top and that no matter how hard you worked you were treading water, and people were having trouble making ends meet and paying for health care and paying for college educations.  And I think a lot of young people started feeling that maybe the 21st century wouldn't be the American Century like the 20th century was.

And what our campaign was about in 2008 was reminding everybody that there is nothing we can't do when we join together as citizens from every walk of life; that there is nothing we can't accomplish when we dream big dreams and are willing to work for them.  

And over the last two years, as difficult as things have been, as big as the problems that we inherited were, I have been so inspired because I've had the opportunity to work with people like Patty Murray -- (applause) -- to make sure that every American has decent health care; to make sure that an economy that was shrinking is growing again; to start putting people back to work; to make sure we've got equal pay for equal work; to make sure that we've got a couple of wonderful women on the Supreme Court; -- (applause) -- to make sure that young people can afford a college education; -- (applause) -- to make sure that we brought back 100,000 troops from Iraq; -- (applause) -- to make sure that we're respected around the world once again; to start investing in research and development so that our economy can thrive; to make sure that we're investing in clean energy -- (applause) -- so that we're at the forefront not only of growing our economy but of saving the planet.

And I've been inspired by you because, wherever I go, traveling across this country, especially when I meet young people, I am reminded of your energy and your drive and your imagination. And for all the problems we're going through right now, we still have the best workers on Earth, we've got the finest universities on Earth, we've got the best entrepreneurs on Earth.  We've got the freest, most vibrant economy on Earth --

AUDIENCE MEMBER:  -- best President on Earth!

THE PRESIDENT:  Well, I won't say that -- (applause) -- but we've got a pretty good President. (Applause.)  

But here’s what I need from you now, and this is the point that Patty was making.  Look, Patty has worked so hard on behalf of Washington, worked so hard on behalf of this institution, worked so hard on behalf of you -- I've got to have Patty as a partner in Washington.  (Applause.)  

So I am here to deliver one simple message:  If you have not voted yet, you’ve got to get that ballot and put it in the mail. Don't delay.  Do it right after this rally. You’ve got to then talk to your friends.  You’ve got to talk to your neighbors.  You’ve got to make phone calls.  You’ve got to knock on doors.  You have to make sure that you are as fired up and as excited now as you were two years ago -- because the work is not yet done.  And I have to have Patty Murray back in the United States Senate.

Can I get that promise from you guys?  (Applause.)  Are you going to vote?  (Applause.)  I need Patty Murray back in the United States Senate.  And you need to send her there.  If you do, I guarantee we're going to continue to work to make sure the American Dream is not just here for this generation but for generations to come.

Thank you, everybody.  God bless you.  God bless the United States of America. (Applause.)  Thank you.  (Applause.)  

END
11:47 A.M. PDT

The White House

Office of the Press Secretary

Remarks by the President at a Rally for Senator Murray in Seattle, Washington

University of Washington

Seattle, Washington


12:15 P.M. PDT

THE PRESIDENT:  Hello, Huskies!  (Applause.)  Thank you!  Woof, woof! (Applause.)  Give it up for Patty Murray!  (Applause.)  I am thrilled to be back in Seattle.  (Applause.)  It is great to be back in the state of Washington.  

We’ve got some great friends here that I want to make sure everybody acknowledges.  The governor, Chris Gregoire, is here.  (Applause.)  Representative Jim McDermott is in the house.  (Applause.)  Representative Norm Dicks is here. (Applause.)  Representative Joe Inslee is here.  (Applause.) King County executive Dow Constantine is here.  (Applause.)  And your great United States senator, Patty Murray, is in the house.  (Applause.)

AUDIENCE MEMBER:  We love you!

THE PRESIDENT:  I love you back.  (Applause.)         

When this state sent Patty to the Senate, she wasn’t one of those lifelong politicians who wanted the job for the fancy title or the nice office.  She was the mom in tennis shoes -- (applause) -- who was just looking to help a few people and solve a few problems.  All these years later, that’s exactly what she has done.  (Applause.)  That’s exactly what she’s done. She’s helped a lot of people.  She’s solved a lot of problems.  And now she needs our help so she can keep on fighting for you in the United States Senate.  (Applause.)     

And Washington -- Washington, you know Patty Murray.  You know what she’s made of.  You’ve seen her go to bat to keep Boeing jobs and aerospace jobs right here in Washington.  (Applause.)  You’ve seen her fight for clean energy jobs and new infrastructure jobs.  (Applause.)  You’ve seen her fight to make sure that this nation keeps faith with our veterans because it is a sacred trust.  (Applause.)  This is a senator who still flies across the country every weekend to come home.  When we were in the Senate together, I used to think, poor Patty.  (Laughter.)  I mean, I got my little hour-and-a-half flight to Chicago.  And she had a lot longer way to go.

But she knew how important it was to come home and listen to the cares and concerns of her constituents. That’s the kind of leader you need at a time like this, somebody who knows your lives.  (Applause.)

So, look, if you haven’t already voted for Patty Murray, let me be clear, you need to go right after this rally, fill out that ballot, and mail it in.  (Applause.)  Today -- not tomorrow, not the next day, but today.  (Applause.)

Let’s get this done. Let’s get Patty Murray back into the United States Senate. (Applause.)

Look, we need you fired up. We need you fired up, Seattle.  (Applause.)  Because in just a few days your decision in this election is going to set the direction of this state and of this country for years to come.  

And there are a lot of folks out there in Washington, D.C. -- not in Washington state, but in Washington, D.C. --who are saying, you know what, it can’t be done, just like they said in 2008.  You can’t -- what they’re saying is -- what they’re saying is that you can’t say no to the special interests, that you can’t overcome the cynicism in politics.

AUDIENCE:  Yes, we can!

THE PRESIDENT:  That you can’t overcome the millions of dollars in negative ads.

AUDIENCE:  Yes, we can!

THE PRESIDENT:  That you can’t elect a black guy with a funny name, Barack Obama.

AUDIENCE:  Yes, we can! (Applause.)

THE PRESIDENT:  That’s what they always say.  (Applause.)  

AUDIENCE:  Yes, we can! Yes, we can!  Yes, we can!

THE PRESIDENT:  They’re always telling us what we cannot do, and you just keep on coming back and saying, yes, we can.  (Applause.)

Now, look, let’s be honest.  There’s no doubt this is a difficult election.  And it’s because we have been through an incredibly difficult time as a nation.  And it didn’t just happen a year ago or two years ago.  For most of the last decade, middle-class families saw their incomes fall.  Between 2001 and 2009, which corresponds to when the Republicans were in charge, middle-class incomes of families fell.  Job growth was actually more stagnant than any time since World War II.  Jobs were disappearing overseas.  In the meantime, the costs of everything from health care to college tuition were going up.    

There were too many parents who couldn’t afford to send their kids to college, too many people who couldn’t afford to go see a doctor when they got sick, too many Americans working two, three jobs just to make ends meet.  And then all these problems culminated in the worst economic crisis since the Great Depression.  We lost 4 million jobs in the six months before I was sworn into office; 750,000 the month I took the oath of office; 600,000 jobs lost the month after that; 600,000 jobs lost the month after that.  We lost almost 8 million jobs before any of my economic policies were put into place.

Now, when I got to Washington, my hope was that both parties would put politics aside and that we would roll up our sleeves and meet this once-in-a-generation challenge.  The hope was that we could start moving beyond the division and the bickering and the game-playing that had dominated Washington for so long, although -- because although we are proud to be Democrats, we are prouder to be Americans. (Applause.)  We are prouder to be Americans.  (Applause.)

And let me tell you -- let me tell you there are a lot of Republicans in this country who felt the same way, but Republican leaders in Washington, they made a different calculation.  They made a different decision because -- here was their tactic, here was their theory.  They realized, boy, we made a really big mess. (Laughter.)  And the economy is in such bad shape, we’re going to be climbing out of such a deep hole, that we are better off standing on the sidelines because then maybe people will forget what a big mess we caused.  And we’ll just let Obama and Murray and the Democrats try to solve all these problems.  And we’re going to sit on the sidelines and carp and complain and obstruct and say no.  

And their calculation was that because it was going to take a long time to dig ourselves out of this hole, longer than any of us would like, that all of you would get frustrated and would get angry.  And they figured that if they just sat on the sidelines and opposed us every step of the way, that eventually -- eventually they could ride that anger and that frustration to success in this election.  That was their calculation.  That was their theory.

AUDIENCE:  Booo!

THE PRESIDENT:  In other words, they were betting on amnesia.  They were betting on the idea that you’d forget who caused this mess in the first place.  (Applause.)

Well, let me tell you, Seattle, it’s up to you to tell them you haven’t forgotten. (Applause.)

It’s up to you. It’s up to you to remind everyone that this choice is an election between two different visions of America -- a choice between falling backwards and moving forwards; a choice between an America that embraces opportunity for everybody and an America that’s a cramped vision just for the few.  

If they win this election, the chair of the Republican campaign committee has promised publicly, he said, we’re going to pursue the exact same agenda as they did before I took office.  

AUDIENCE:  Booo!

THE PRESIDENT:  I mean, this is not a situation where the Republicans said, boy, we really figured screwed up, let’s figure something new out to do.  They want to pursue the same agenda:  tax cuts mostly for millionaires and billionaires; cutting rules -- cutting rules for special interests, whether it’s the oil companies or the banks or the health insurance companies; cutting middle-class families loose to fend for themselves; the same agenda that let Wall Street run wild; the same agenda that took record surpluses and turned them into record deficits; the same agenda that nearly destroyed our economy.

That’s what they’re promising -- more of the same.  It’s not as if we didn’t try it, Seattle.  We tried it for eight years.  It did not work and we can’t afford to go back to that same agenda.  (Applause.)

Let me just give you an example.  They want to cut education by 20 percent.  

AUDIENCE:  Booo!

THE PRESIDENT:  They want to use that money and then borrow more money from China and other countries to help pay for a $700 billion tax break that only the wealthiest 2 percent of Americans will ever see.  That’s their main -- that’s their main economic agenda.

AUDIENCE:  Booo!

THE PRESIDENT:  They want to roll back health reform so insurance companies can deny you coverage when you’re sick, or drop your coverage.  

AUDIENCE:  Booo!

THE PRESIDENT:  They want to roll back Wall Street reform so taxpayers are once again on the hook for Wall Street bailouts --

AUDIENCE:  Booo!

THE PRESIDENT:  -- and credit card companies can hit you with hidden fees and penalties.

Patty Murray’s opponent has the distinction of being the first candidate in the country to call for repeal of Wall Street reform.  Think about this --

AUDIENCE:  Booo!

THE PRESIDENT:  We almost had a financial meltdown that plunged America and the world into catastrophe, and he thinks we should go back to the old rules that got us into that problem.

He wants to eliminate the oversight that we desperately need.  Look, this is the same theory these folks have been peddling for years.  And it’s up to you to say, we are not buying what you are selling.  (Applause.)  

We did it -- we tried it before.  It did not work.  We are not going back.  We’re not going back.  (Applause.)

Yes, times are tough.  But because of the steps we’ve taken, we’re no longer facing the possibility of a second depression.  The economy is growing again. (Applause.)

The private sector has created jobs for nine months in a row now.  (Applause.)  Yes, we’ve still got a long way to go.  Yes, we still have a lot of work to do.  There are a lot of people hurting out there right now.  There are some families that are just hanging on by a thread.  That’s what keeps me up at night.  That’s what keeps Patty up at night.  That’s what keeps us fighting.

But I also know this:  The biggest mistake we could make is to go back to the very same policies that caused all this hurt in the first place.  (Applause.)  And I say this -- I say this not because I want to re-argue the past.  It’s because I don’t want to relive the past.  (Applause.)

Let me offer an analogy I’ve been using around the country.  The Republicans took America’s car and drove it into the ditch.  (Laughter.)  And it was a really deep ditch.  And it was really reckless driving.  So Patty and I show up at the -- we show up at the scene of the accident.  The Republicans have climbed out of the car, abandoned the accident.  Patty and I, we’re putting on our boots, and we go down and into the ditch, and it’s muddy down there, and it’s hot, and it’s dusty.  But you know what, we know we’ve got to get the car out, so we just start pushing.

And Patty, even though she’s small, she’s tough, so she’s pushing hard.  (Applause.) She’s pushing.  And even though I’m skinny, I’m pretty tough, so I’m pushing.  (Applause.)

And sometimes our feet slip a little bit, and sometimes it’s not budging, but we’re just staying on it, and we’re sweating.  And every once in a while we look up, and the Republicans are up there on the road, they’re just waving. (Laughter.)  They’re going around whispering to everybody, “They’re not pushing hard enough.  They’re not pushing the right way.”

And we say to them, “Well, why don’t you come down here and help push?”  “No, no, no, no.”  (Laughter.)  “But push harder, push harder.”

So we just go ahead and push. And finally, finally, we get this car up on the road -- finally. (Applause.)  The car is a little banged up.  The car is banged up, it’s got to go the body shop.  We need to get a tune-up.  But you know what, it’s pointing in the right direction.  It’s ready to move.

And suddenly, we get this tap on our shoulders, and we look back.  Who is it?  It’s the Republicans.  And they say, “We want the keys back.” (Laughter.)  

And you can’t have the keys back.  You don’t know how to drive.  (Applause.)  I want Patty Murray driving the car.  (Applause.)  The Republicans can ride with us, but they’ve got to be in the backseat -- (laughter) -- where they can’t do too much damage.

Have you ever noticed when you want your car going forward, what do you do?  You put it in “D.”  When you go backwards, you put it in “R.”  (Applause.)  Don’t go back in the ditch.  (Applause.)  Don’t go back in the ditch.  I don’t want to have to push us out again.   

Patty and I, we’ve got a different idea about what the future should look like, and it’s an idea rooted in our belief about how this country was built.  Patty and I, we grew up understanding the sacrifices our families made to allow us to have opportunity.  (Applause.)  We grew up watching working parents struggle, and then make it and live out their American Dream.  We know that government doesn’t have all the answers to our problems. We’ve seen how hard our parents, grandparents had to work.  We understand that self-sufficiency is part of what made America great.  We believe that government has to be lean and efficient.  

But in the words of the first Republican President, Abraham Lincoln -- who, by the way, would have difficulty winning the Republican nomination today -- (laughter) -- we also believe that government should do for the people what the people cannot do better individually for themselves.  (Applause.)  So we believe in a country that rewards hard work and responsibility.  We believe in individual initiative.  But we also believe in a country that’s investing in the future.  (Applause.)  We believe in a country that’s investing in our young people.  We believe in a country where we’re looking out for one another.  (Applause.)  We believe in a country that supports our veterans when they come home.  (Applause.)  We believe in a country that says I am my brother’s keeper, and I am my sister’s keeper.  That’s the America I know. That’s the America Patty knows.  That’s the choice in this election.  (Applause.)  

We see a future where the next century is driven by American innovation and American ingenuity.  We don’t want to keep giving tax breaks to companies that ship jobs overseas.  We want to invest in companies that are investing in jobs right here in the United States of America -- (applause) -- in small businesses, in American manufacturers, in American clean energy companies.  We don’t want solar panels and wind turbines and electric cars made in Europe and Asia.  We want them made right here in the United States of America, with American workers.  That’s the choice in this election. (Applause.)    

We see an America where every citizen has the skills and the training to compete with workers anywhere in the world.  The other side might think it’s a good idea to cut education by 20 percent, but you know what?  China is not cutting education by 20 percent.  South Korea is not cutting education by 20 percent. Germany is not cutting education by 20 percent.  They’re not playing for second place.  And the United States of America doesn’t play for second place.  We play for first.  We play for number one. (Applause.)    

That’s why tens of billions of dollars in taxpayer subsidies that used to go to big banks are now going where they should -– to you, to students, to families. (Applause.)  That’s why we want to make our new college tax credit permanent, worth $10,000 in tuition relief for every student, because we want to invest in you.  That’s what this election is about. (Applause.)

We see an America where the middle class is growing, and where opportunity is shared by everyone.  And the only limit to your success is how hard you’re willing to try.

That’s why when we designed tax cuts, they were for middle-class families.  That’s why we’ll fight the efforts of some in the other party who think it’s still a good idea to privatize Social Security, because as long as I’m President, no one is going to take the retirement savings of a generation of Americans and turn it over to Wall Street.  Not on my watch.  Not on Patty’s watch.  That’s the choice in this election. That’s what we’re fighting for.  (Applause.)

We want to create jobs through investments in research and development.  We want to rebuild our infrastructure so it’s the best in the world.  

We want to have the number one college graduation rates of anyplace in the world.  (Applause.)  We want a financial system that works for consumers.  We want enforcement of clean energy legislation, but also clean air legislation and clean water legislation.  (Applause.)

Look, right now the same special interests who would profit from the other side’s agenda, they are fighting back hard.  They were fighting us tooth and nail on everything we did over the last two years.  And now they see their opening, they see their chance.  So to win this election, they are plowing tens of millions of dollars into front groups that are running misleading negative ads all across America.  You’ve seen them.  You’ve seen them.

AUDIENCE:  Booo!

THE PRESIDENT:  Just flooding the airwaves with negative ads.  And they don’t have the courage to stand up and disclose the identity of the donors.  They could be insurance companies.  They could be Wall Street banks.  We don’t know.  We don’t know who it is.

But understand, this kind of politics, that’s not just a threat to Democrats.  It’s a threat to our democracy.  (Applause.)  And the only way to fight it -- the only way to match their millions of dollars in negative ads is with the millions of voices who are ready to stand up and finish what we started in 2008. That means you.  That’s where you come in.  (Applause.)

That’s why you need to mail in your ballots, Seattle.  That’s why you’ve got to vote in this election.  If everybody who voted in 2008 shows up in 2010, we will win this election.  (Applause.)  We will win this election.  But you’ve got to come out and vote.

A lot of you got involved in 2008 because you believed that we were at a defining moment in our history. And you believed that this was a time when the decisions we make would have an impact not just on us but on our children, our grandchildren, our future generations.

And you wanted to make sure that your voice was heard.  The reason you knocked on doors and made phone calls and cast your vote -- some of you for the very first time -- was because you believed that your actions could make a difference and you’d play a role in bringing about historic change.  (Applause.)

Now, we are in the midst not just of advocating for change, not just for calling for change, we are grinding it out.  We are doing the hard, frustrating, inch-by-inch, day-by-day, week-by-week work of bringing about change.  (Applause.)

And, look, I understand -- I understand that when you’re watching it, you say to yourself, boy, this is hard.  This isn’t easy.  This isn’t happening as fast as I would like.  And I understand how some of you might think back to Election Night or Inauguration Night when Beyoncé was singing and Bono. (Laughter.)  And you were saying, boy, that was exciting, that was fun, that was a big party.  And now it just seems like we’re working all the time and folks are arguing and everybody is mad.  All these pundits are on TV.  And this is just kind of discouraging.

And then maybe there’s some of you who know it’s hard to keep faith when a family member still hasn’t found a job after months of trying.  Or you see another foreclosure sign hanging on the house down the street.  And of course, it doesn’t help when you’re seeing all these negative ads, and people putting each other down.

But I want everybody to understand this.  I want everybody to understand you can’t let it get to you.  Don’t ever let anybody tell you that this fight is not worth it.  Don’t let them tell you that you’re not making a difference. (Applause.)

Because of what you did, Seattle, because of what you did, there’s a woman somewhere who no longer has to choose between losing her home and treating her cancer.  (Applause.)

Because of you, there are parents who can look their children in the eye and say, you are going to college. (Applause.)

Because of you, there are small businesses that kept their doors open and folks who didn’t lose their jobs.  Because of you, there are teachers in the classroom who are still teaching.  Because of you, there are firefighters who are still fighting fires.  (Applause.)

Because of you there are 100,000 brave men and women who are back from a war in Iraq.  That’s because of you.  (Applause.)

So don’t let anybody tell you change isn’t possible.   Don’t let them get you down.  Because if our -- think about the founding of this country, what we -- think about it.  None of us would be here if it weren’t for that extraordinary leap of faith that had been taken.  Thirteen colonies deciding to start a revolution based on an idea that had never been tried before -- a government of and by and for the people.  (Applause.)  A government based on the simple proposition that all men are created equal.  (Applause.)  That we’re endowed with certain inalienable rights.  (Applause.)

Think about it.  If our parents and grandparents and great-grandparents have listened to the cynics 50 years ago or 100 years ago or 200 years ago, we wouldn’t be here today.  They would have said, don’t even try a revolution.  The British Empire is too powerful.  Don’t try to liberate the slaves.  It’s too hard.  Don’t try to get women the right to vote.  (Applause.)  Don’t try to initiate workers’ rights or civil rights.  Don’t try.  We can’t.  

The only reason we are here today is because past generations, they didn’t listen to the cynics.  They were unafraid to push forward even in the face of difficulty, even in the face of uncertainty.  That’s why we’ve come so far, through war and depression.  That’s why we have civil rights and workers’ rights and women’s rights.  (Applause.)  That’s why we will end "don’t ask, don’t tell."  (Applause.) That is the spirit we need today.  

The journey we began together was not about putting a president in the White House.  It was about building a movement for change that endures.  (Applause.)  It’s about realizing that in America, anything is possible -– if we’re willing to work for it, if we’re willing to fight for it.  

That’s what Patty Murray believes.  That’s what I believe.  And if that’s what you believe, I need you to knock on doors, and make phone calls, and talk to your friends and talk to your neighbors.  And if you do that, I promise you, not only will we win this election, but we will restore the dream for the next generation.

God bless you, and God bless the United States of America.  (Applause.)  

END            12:46 P.M. PDT

The White House

Office of the Press Secretary

Remarks by the President in a Discussion on Women and the Economy in Seattle, Washington

Foss Residence, Seattle, Washington

10:01 A.M. PDT
 
      THE PRESIDENT:  Hello, everybody.  Have a seat, have a seat.  Have a seat.  Well, thank you so much for taking the time to be here.  And I am just thrilled to be able to join you and have a little conversation in the backyard.  And I want to obviously start by thanking the Fosses for their extraordinary hospitality.  Give them a big round of applause.  (Applause.)  Not only Cynnie and Erik, but also Anna and Elsa, although they said that since they get out of school today it’s okay.  (Laughter.)  They thought that was a pretty good deal.  They did not mind.
 
      In addition, I want to make sure that everybody has had a chance to meet your outstanding senator, Patty Murray, who’s here.  (Applause.)  And I want to see if there are any other elected officials that I’ve got to introduce.  We do have Jim McDermott, who is doing an outstanding job in the House of Representatives.  (Applause.)  The outstanding mayor of Seattle, Mike McGinn, is here.  (Applause.)  And one of my favorite governors in the country, Christine Gregoire is here.  (Applause.)
 
      So we really try to organize these as conversations as opposed to me making a speech.  I’ll be making a big speech later.  So if you guys want to tune in or anybody wants to come on over, you can check it out.  But this is as much an opportunity for me to hear from you as it is a chance for me to speak.  But I just want to say a few things up top.
 
      My economic advisors actually put out a report today, and they put out a lot of pieces of paper, but this one we thought was really interesting because it had to do with reflections on what’s happening to women in the economy.  And obviously the economy is something that’s on everybody’s minds right now.  It’s something that we’ve been struggling with for the last two years since I was first sworn into office.
 
      We had a financial crisis that was unprecedented, the worst financial crisis we had seen since the Great Depression.  It caused a massive recession.  In the six months before I was sworn in, we lost 4 million jobs.  We lost 750,000 the month I was sworn in; 600,000 the month after that; 600,000 the month after that.  So we lost almost 8 million jobs before any of the economic policies we put into place were able to take effect.
 
      And so we’ve got a big hole that we’re digging ourselves out of, and obviously everybody here in one way or another has either seen the impact of it or seen the impact on one of your family members or your friends, your community.
 
      Now, it turns out that men have gotten really hard hit in this -- during this recession.  They’ve actually lost jobs a little bit faster than women have, particularly in the construction industry because so many of them were involved in the construction trades, and when the housing bubble burst, that really had a significant impact.
 
      But what’s interesting is that the economy has changed where women have made such enormous strides that they now constitute fully half of the workforce.  They actually constitute probably more than half of the money that’s coming in to middle-class families.  And business -- small business owners are now a much higher proportion women than they used to be.
 
      And so when you talk about what’s happened to the middle class, part of what you’re talking about is what’s happening to women in the workforce.
 
      We’ve made enormous strides since the 1960s, when my grandmother was a secretary at a bank, and wasn’t expected to go to college, and had to work her way up until she finally became the vice president of the bank, but still hit a glass ceiling and could never quite go as far as her talents could take her.  That’s not as true as it used to be.  But what is still true is we still have a significant gender gap when it comes to wages.
 
      Women, because they’re running more and more small businesses, are now having a tougher time getting financing and loans than male-owned businesses are.  And I think women, because -- at least in my household -- tend to have a better sense of the family budget, they’re mindful of how tough not just this recession has been but the last decade has been on middle-class families.  It turns out that from 2001 to 2009, the average middle-class family lost 5 percent of their income.  Their wages actually went down during that period.  And between 2001 and 2009, job growth was actually more sluggish than at any time since World War II, even more sluggish than it’s been over the past year.
 
      And so as I travel around the country and I talk to families, what they’re concerned about is not just the immediate recovery from the recession but also what does the future hold in terms of middle-class families being able to grow, being able to afford health care, being able to pay the bills, being able to send their kids to college.  Those are the challenges that I think we’re going to have to continue to confront.
 
      And we can’t confront those unless we understand that our economy works only when everybody is participating, and that means that things like equal pay for equal work aren’t just women’s issues, those are middle-class family issues, because how well women do will help determine how well our families are doing as a whole.  It means that everybody has got to have access to financing for small businesses.  And one of the things we’re very proud of over the last couple of years, with the help of people like Patty and Jim, is that we’ve massively expanded lending to small businesses so that they can help create the kind of opportunities not only for themselves but also for their workers that ends up being the driver of our economy.
 
      It means that we’ve got to make sure that our girls are getting as good of an education as our boys, particularly in math and science, where traditionally they’ve lagged.  And as the father of two daughters, this is something that I spend a lot of time thinking about.
 
      And so with, again, the help of Patty and Jim and others, we’ve been able to shift billions of dollars that were going in unwarranted subsidies to banks and now put them directly into the student loan programs and to Pell Grants so that more and more people are able to get the kind of higher-level training that they need to compete in this new global economy.
 
      So here’s the bottom line:  Where the economy was shrinking by 6 percent when I took office, the economy is now growing again.  Where we were losing 750,000 jobs a month, we’ve now seen nine consecutive months of private sector job growth.  So we’ve made progress, and we’re moving in the right direction.  But we’ve still got a lot of work to do.
 
      And what I want to hear from you about is how you think we can be even more effective in helping you meet the challenges that your families face, or your businesses face.  We want to partner with the state, we want to partner with cities to figure out how are we fostering economic development that pulls everybody in, because one thing I’m absolutely certain about -- and this is one of the reasons I ran for President in the first place -- is that America succeeds best when everybody’s got a shot, not just when a few are doing well.  The beating heart of our economy has always been a growing and expanding middle class, where families are able to see a vision about where they might take their lives and pursue it, and if they work and they put effort into it, then they can succeed.  If that happens for everybody, then we all succeed.
 
      And unfortunately, over the last decade, that wasn’t what was happening.  And it’s going to take us some time to turn it around.  But I’m confident that we’re now moving in the right direction, but we’ve still got more work to do, which is part of the reason why this election coming up is so important.
 
      But as I said, what I’m really interested in is hearing from you what are the day-to-day concerns and challenges and roadblocks that you see for your success, because that’ll help shape how we move our agenda forward over the next couple of years.
 
      Now, what I want to do, if you don’t mind, is I’m going to start with a couple of small business owners who are here, because I think they’re indicative of the positive changes that have taken place in the economy.  These are women-owned businesses that are doing outstanding work and hiring a lot of people here in the local economy.  And then we’re just going to open it up and people can ask questions, give me comments, give me suggestions.
 
      So what I want to do is start with Christina Lomasney, who is the owner of Modumetal.  And she’s also a physicist, so I think this is very cool because -- and so, Christina, tell me a little bit about your business.  And then tell me sort of how you think government can be helpful in seeing Modumetal grow even faster.
 
      MS. LOMASNEY:  Mr. President, as you said, I’m Christina Lomasney.  I’m the president of Modumetal, which is a company that’s dealing in advanced metals manufacturing in Seattle.  I started the company with my co-founder, John Whitaker, in 2007 as an outgrowth of an environmental restoration company called Isotron that I started in 2001.
 
      Modumetal has been growing through these challenging economic times from our original team of three people.  And we attribute that growth to the clarity of our vision for the future, as well as a committed group of stakeholders that have engaged with us, and a new manufacturing technology that all the team at Modumetal believe is going to change the world.
 
      Last year, Modumetal received a grant from the United States Department of Energy that was made possible by the American Recovery and Reinvestment Act, and that grant made it possible for us to conduct some important business development activity -- or rather product development activities inside of the company.
 
      Today Modumetal employs 25 people, including interns from the university, and we are actively hiring as a result of a collaboration that we recently announced with a major steel company in the United States.  I hope to grow the company by about 15 percent over the coming months and am very optimistic about what the future holds for us.
 
      THE PRESIDENT:  That’s great.  Congratulations.  Now, let me just -- on the grant that you received, one of the things that is really important for our economy long term is making sure we’re investing in research and development.  And the Recovery Act contained probably the biggest increase in research and development funding that we have seen in a very long time.
 
      Just how important is it for you to be able to get that kind of seed money to engage in the new research that you’re doing?  Because part of what your company is all about is cutting-edge technology and you can’t just keep on doing the same things and expect to be able to compete in the global economy, is that right?
 
      MS. LOMASNEY:  Absolutely.  So seed funding for us is absolutely critical to our ability to build this company.  We’re starting with, as I mentioned, a new manufacturing technology that we began from scratch from a research concept and we’re building it up now and scaling up the manufacturing.
 
      So these -- this investment, this kind of investment and other kinds of investment that occur in our economy are absolutely critical to a company like Modumetal.
 
      THE PRESIDENT:  That’s great.  A lot of times I think we get in these ideological arguments about what the government’s role is in the economy.  Now, none of us think that government alone creates jobs.  That’s not its task.  This economy has always thrived because of the private sector and entrepreneurship and people having an idea and running with it.  But what historically has happened is government has had an important role in sparking, catalyzing new technologies, new research, that then the private sector is able to take over, partly because the private sector sometimes isn’t willing to invest in really cutting-edge technologies on the front end.  They’re unproven; they don’t want to take the risks.
 
      And so whether it’s the Internet or the bar code or you name it, a lot of that initial impulse has come from government grants and government funding like this.  It doesn’t mean that the government then ends up creating the products or the technologies themselves, but it does give companies like yours a start in terms of being able to move forward.
 
      And so we’re very proud of the investments that we’ve made in research and technology, and we’re going to have to keep on doing that in the years to come.
 
      Now, next we’ve got Jody Hall, who is the owner of Cupcake Royale.  I don’t know if she brought any samples.  (Laughter.)  But just in case any of you are hungry, you might want to pay attention here.
 
      MS. HALL:  Well, thank you so much.  It’s such an honor to be here.  My business is called Cupcake Royale, and I did bring some samples.  But you have some fierce security, so somebody might be enjoying them --
 
      THE PRESIDENT:  I suspect Secret Service confiscated them and are now eating them as we speak.  (Laughter.)
 
      MS. HALL:  I see Duncan with a little bit of frosting on his -- (laughter.)  So, yes, I did bring you some treats for the First Family as well, because everybody loves cupcakes.
 
      But -- so I started my business in 2003.  We were actually the first cupcake bakery that I know of that opened outside of Manhattan.  And so it was a risky move.  I came from corporate America and grew up there and decided to kind of spread my wings and give it a try.  And we did really well.
 
      We now have five retail locations in the Puget Sound area.  We have a thriving wholesale business.  We employ 85 people.  And we provide health care for people who work 30 hours or more.  And I’m also a mother as well as being a business owner, and my partner, Kelly, and I have a son named Truman, and he’s a year -- I’m sorry, 18 months.  Nervous sitting here, you guys.  (Laughter.)
 
      So I guess the first thing I want to say is, just very quickly, I worked very hard with Senator Murray to pass and fight for small businesses for health care legislation reform, and you guys passed that, and I just have great respect for that.  There is not one small business owner that I know in the city of Seattle that I connect with that isn’t looking forward to the implementation of the exchanges to reduce costs and bring higher-quality insurance to small businesses.  We need that.  So thank you.  Just have to say that.
 
      THE PRESIDENT:  That’s great.  Good job, Patty.  (Applause.)
 
      MS. HALL:  Patty was a great leader and took a very early start in the Senate, and obviously Congressman McDermott as well.  So that said, I also worked with the government to help me with my business.  A year and a half ago, I had the opportunity to buy our fourth retail location in Capitol Hill.  We were able to open a bakery and a café there.  And it allowed us to really grow our business.  I did this through the SBA 504 loan, so I was able to purchase a building in Capitol Hill in one of the hottest spots in the city.  I was only -- I only had to put down 10 percent versus if I walked into a bank probably 25 or 30 percent for somebody in my position and length of business and that kind of thing.
 
      So I put 10 percent down.  I was able to lock in a rate for 20 years that’s really favorable, and grow a business that added 15 jobs when we did that.  As well, we had this huge new bakery, so we could grow a thriving wholesale business.  In fact, we just added University of Washington to our wholesale accounts along with a few other strategic players like Metropolitan Market and things like that.  So we started growing -- with the momentum of this loan, grew this wholesale business.  And then beyond that, just a month ago, we opened our fifth retail location, which is crazy, over the lake in Bellevue, and with that, we added another 15 jobs.  So in the last 18 months, starting with this loan, we’ve been able to add 30 jobs.  And I’m very proud of that.
 
      And that, plus adding the Salted Caramel the day you were inaugurated, has really helped our business to thrive.  (Laughter.)  I hear you’re a big fan of salted caramel.
 
      THE PRESIDENT:  Absolutely.  (Laughter.)
 
      MS. HALL:  And that’s what I brought you.  So --
 
      THE PRESIDENT:  Wonderful.  Well, thank you so much.  This is a wonderful story, Jody.  And I just wanted to underscore something:  Women-owned businesses have grown significantly faster than small businesses overall.  But one of the challenges still ends up being financing.
 
      And one of the things that the Small Business Administration has done really well is that they are three times more likely to provide loans to women-owned businesses than regular banks have been.  And so the story that you told about being able to access financing, for what obviously is a great product and a great business model, is something that we want to continue to emphasize.
 
      We had a big fight, some of you may remember, about a month, month and a half ago, where for six months we’d been advocating getting more financing to small businesses through the SBA and other mechanisms, as well as cutting taxes on small businesses.  We finally were able to get that through the Senate thanks to the hard work of folks like Patty.  And that means that there are going to be companies like yours all across the country that are really going to be able to benefit.
 
      And I’m really looking forward to trying your cupcakes.  (Laughter.)  So, fantastic.
 
      All right, now, let’s just open it up.  So you can just raise your hands.  We got a couple folks with mics here.  Don’t be shy.  Even though every word you say will be recorded -- (laughter) -- by those people back there.
 
      Q    Hi, I’m Jordan Royer (ph).  And my wife Julianna (ph) is here with us.  We have two daughters as well.  So obviously what you’re talking about, education reform, science, mathematics, all of that is very important to us.
 
      THE PRESIDENT:  Right.
 
      Q    One of the things that I wanted to ask you, though, is it seems like in the media the stuff we’re talking about, the health care reform, which we’ve supported, and some of the other things -- the Recovery Act -- there’s a distortion that’s happening on the facts in the media.  And the media in our view -- in my view should be a referee on that.  And we’re not getting that.  And I’m just wondering how we can help you -- what your plan is, and Senator Murray’s and the other elected leaders here.  How do we get the facts out to people?  Because it really is hurting us that these distortions continue in the public sphere.
 
      THE PRESIDENT:  Well, look, I appreciate the question.  First of all -- I’ll take health care first.  Health care is just really big and complicated, and so the truth of the matter is, we knew going into the debate that it would be subject to distortions, particularly because there were a number of interests out there that were doing pretty well through the status quo.
 
      And it’s a multitrillion-dollar business.  And so if you’re going to make significant changes to the system, it’s going to have an impact on people’s bottom lines.  And they’re going to fight back.  And they did vociferously for a very long time.  And that meant it was subject to some misleading information.
 
      As we begin to implement, I think we’re going to have a better chance of clarifying what health reform means.  So let me be very specific.  You’ve got about 4 million small businesses out there right now -- even before we set up the exchanges -- who stand to get a tax break of up to 35 percent of the premiums that they’re paying if they’re already providing health insurance to their employees.  So right off the bat, that can mean tens of thousands of dollars that small businesses are able to reinvest in new plants, new equipment, hiring a few extra workers just because of the tax provisions that were in the Health Reform Act.
 
      Once they start seeing those benefits, it’s a little harder for them to argue, boy, this is a terrible thing.  Senior citizens have already started receiving $250 checks as a down payment on us closing the doughnut hole for those who have difficulty paying for their prescription drugs and have significant need.  And so we’ve already got millions of people across the country who are receiving it.  So instead of them thinking there are going to be death panels, now they connect health reform with the fact that this is helping them on their prescription drug coverage.
 
      Everybody here who has health insurance, what you’re going to start discovering is that you now have a patient’s bill of rights which didn’t exist before and makes your insurance more secure.  So everything from if you have somebody in your family with a preexisting condition, being able to know that you can get coverage for them; to if you’ve got a young person who’s graduating from college and they don’t get health care on their first job, being able to stay on your coverage until they’re 26 years old; to insurance companies not being able to drop you when you get sick just because of some fine print or you making some technical error in filling out your application -- all those changes are suddenly going to mean something for people as they start using them more.
 
      Now, it also requires, though, us constantly beating the drum and being very clear about what exactly is in the bill.  And, look, the challenge that Patty is facing, because she’s in the middle of an election, Jim and others are facing, is that we’ve got now tens of millions of dollars in every media market that is just constantly sending out negative ads -- not really specifying what it is exactly about the health care bill that they don’t like other than just sort of a knee-jerk assertion that it’s socialized medicine or it’s a government takeover.  And that obviously in the short term can have a negative impact on people’s opinions.
 
      Over the long term, as I said, when people start seeing its impact on folks, and I think as more and more people see that the traditional health care that they got through their employer is being threatened by higher premiums and higher deductibles and is less reliable than it might have been before, I think that we’re going to look back 20 years from now and say this was absolutely the right thing to do.
 
      When it comes to the Recovery Act, again, every specific provision in it people like.  So if you say 40 percent of the Recovery Act were tax cuts -- not tax hikes, but tax cuts -- to small businesses, to 95 percent of working families, people say, well, that’s a good idea.
 
      Then we say, well, and then a big chunk of it was infrastructure so we can start rebuilding our roads and our bridges and our airport runways.  And people say, well, I like that.
 
      Well, how about investment in clean energy so that the solar panels and wind turbines and electric cars are built here in the United States?  Well, we fully support that.
 
      Well, how about help to the states so that they didn’t have to lay off tens of thousands of teachers and police officers and firefighters?  Well, we support that.
 
      Well, that’s the Recovery Act.  What I just listed, that’s what this was.  And so I think that one of the challenges we had two years ago was we had to move so fast, we were in such emergency mode, that it was very difficult for us to spend a lot of time doing victory laps and advertising exactly what we were doing, because we had to move on to the next thing.
 
      And I take some responsibility for that.  I mean, our attitude was we just had to get the policy right, and we did not always think about making sure we were advertising properly what was going on.  But I think that we have the opportunity now that the economy is more stabilized to be as clear as possible with folks about what we’ve done.
 
      Last point I’ll make.  People have a legitimate concern, I think, about the debt and the deficits.  And a lot of the emergency steps that we took in 2009 and then the first half of this year, it cost money and added to the deficit.  So the key issue here is that had we not taken those steps, had we dipped into a depression, had unemployment gone up to 12 or 13 percent, then the deficit would have been even worse.
 
      But that’s kind of a hard argument to make.  And I think people have a legitimate concern, a legitimate worry, as to what are we doing to start -- now that we’re out of the immediate crisis but we’re only experiencing sluggish job growth at this point and sluggish economic growth -- how do we get back to a point where we’re living within our means?  That’s an entirely legitimate concern.  It’s a concern that I have.  And we’re going to have to have a serious debate over the next several years about how to do it.
 
      The problem I have with the argument the way it’s playing out right now in the country is that there’s a suggestion on the other side that somehow the problem with our debt and our deficits all arose magically the minute I took office, whereas in fact when I arrived at the White House I was inheriting a $1.3 trillion deficit.  We had taken record surpluses last time there was a Democratic President, and over the course of a decade moved to record deficits.
 
      The big problems we have in terms of debt and deficits have to do with structural gaps between the amount of money we’re taking in and the amount of money we’re spending.  And if we’re going to get serious about the deficit, then we’re going to have to look at everything:  entitlements, defense spending, revenues.  How do all those things fit together so that we can have a sustainable budget that invests in the things that we absolutely need for our long-term future, and we stop funding some things that are nice to have but we can’t afford.
 
      And that’s going to be a tough conversation -- which is -- it’s interesting now when you listen to the Republicans talk about out-of-control government spending, and then you ask them, well, what would you cut, and there’s this deafening silence.  And they’ll say things like, well, we’ll roll back health care -- except it turns out that, according to the Congressional Budget Office, the health care bill is actually going to reduce our deficit by over a trillion dollars over the next 20 years.  So that would add to the deficit.
 
      Then they’ll say, well, we’ll pull back the unused portion of the stimulus.  Well, first of all, that’s -- most of it has already been spent and a big chunk of what hasn’t been spent are actually tax cuts, which they say they’re for.
 
      And then they’ll say, well, we’ll roll back spending back to 2008 levels, without being clear that that would mean, for example, a 20 percent cut in education spending.
 
      So one of the things that I think as voters everybody here should be doing is constantly asking people, when you say you want to get the budget under control, what exactly do you mean?  What exactly are you going to do?  And if they can’t answer the question then it means they’re not serious about it.
 
      All right.  Right here.
 
      Q    Hi, Mr. President.  My name is Emily East (ph).  And it’s such a privilege to have this opportunity to talk to you.
 
      THE PRESIDENT:  Thanks, Emily.
 
      Q    I want to ask you a question about a program you implemented early on in your presidency that doesn’t really make it to the top of the headlines, per se -- the sustainable communities program.  And this is more getting to quality of life for middle-class families.  It’s the idea that the federal government is going to invest kind of more comprehensively by a partnership between transportation, housing and urban development, and sustainable communities.
 
      You did a fantastic job of incorporating that in the stimulus act, and actually Seattle has received the benefit of that just recently with funding through the TIGER program, with Senator Murray’s support, on the South Park Bridge, which is helping a community that really needs it.
 
      Are you going to be -- are we going to be seeing more of that kind of innovation, having the bureaucracy, if you will, talk to each other and be more systemic and thorough in how they’re addressing communities to help us kind of live and work and be sustainable and have access to transportation which will make all of our lives a little bit easier?
 
      THE PRESIDENT:  Absolutely.  And I appreciate you asking the question.  Look, part of my goal is to figure out how do we make government smarter.  I don’t want government bigger; I want government smarter, because a lot of what we do is not as efficient as it should be.
 
      And so the idea behind sustainable communities is pretty simple.  If you’ve got Department of Transportation over here, and you’ve got the Environmental Protection Agency over here, and then you’ve got -- the Social Service Agency is over here, and they’re not talking to each other, and they’re not planning together, and there’s no coordination regionally between the city of Seattle, surrounding suburbs, then what you end up with is the sum being less than the whole of -- or the whole being less than the sum of its parts.
 
      And so what we want to do is make sure that there’s just more efficient coordination and we’re thinking through if we’re spending money on transportation, how do we do it in a way that is encouraging economic growth, how are we doing it in a way that is reducing sprawl, how are we doing it in a way that makes commuting easier for people, how are we coordinating between various localities.  And I think we’ve got a great opportunity to do more of this as we think about our future infrastructure needs.
 
      One of the things that I’ve said would make a huge difference in us continuing the progress that we’ve made on economic growth, and putting more people back to work, is to finally tackle the huge backlog of infrastructure needs that we have; not just traditional infrastructure like roads and bridges and sewer lines and water mains, but also high-speed rail, also a smart grid that can help us get clean energy from one place to another in an efficient way where there’s -- we don’t lose as much energy as we do right now with these old power lines that we have.
 
      How do we make a air control system that reduces delays?  I’ve got to admit I don’t fly commercial that much anymore.  (Laughter.)  But from what I hear, it has not improved -- it’s not that pleasant of an experience.
 
      So these are all areas where we’ve got a huge amount of progress to make.  And if we have a serious agenda for infrastructure, and instead of politics determining where the money goes, we start giving some thought to how do we get the best bang for the buck, how do taxpayers get the best value for the money they’re spending so that we don’t build bridges to nowhere but instead we’re connecting people in the most effective way possible, then that can not only put people to work but it also lays the foundation for long-term economic growth well into the future.
 
      That’s going to be a major focus that we have over the next couple of years.  And my hope is we can get Republican support, because historically, the issue of infrastructure has always been bipartisan.  And if we’re thinking from a perspective of how do we make America competitive long term -- people go to China right now and they come back and they can’t believe that China has better airports than us, or they’re building high-speed rail lines and we’re not.
 
      We used to have the best infrastructure in the world.  And, frankly, we can’t make that claim any more.  And I want us to get back to number one and put some people back to work in the process.
 
      All right.  Right here.
 
      Q    Mr. President, I’m Esie Hilton (ph).  I’m a neighbor down the street.  And my question is regarding the future and being number one in the U.S.  One of my fears is that we are not going to be competitive, and we’re going to shift our dependence from Mideast oil over to other countries that are innovating and manufacturing like crazy with alternative energy.
 
      And I know we’ve done some work to encourage the U.S. to catch up, but I’m still concerned that we’re already falling way behind and that will affect the future for my children in terms of jobs and our economy.
 
      THE PRESIDENT:  Well, it’s a great question.  Unfortunately, we haven’t weaned ourselves off Middle East oil, so we’re already -- we’re still sending the billions of dollars there.  And we’re falling behind when it comes to alternative energy.
 
      We got a good start with the Recovery Act.  We started investing in clean energy in projects all across the country.  And I’ll just give you one example of what we’ve been able to jumpstart.  When I came into office, the United States accounted for about 2 percent of the market in advanced battery technology.  Now, these are the batteries that go into electric cars and electric trucks and hybrids.  We had 2 percent of the market.
 
      And I said, well, if we’re going to make an investment in the cars of the future, we should be making the parts here in the United States, too.
 
      And so we’ve started looking at who’s got capacity to start building these advanced batteries, and through an investment in the Recovery Act, we are now on pace to have 40 percent of the market by 2015.  So in a relatively short period of time we have created advanced battery manufacturing plants, privately owned all across the country.  We’ve got the expertise to do it.  We just didn’t have the wherewithal to do it.
 
      That shows you how fast we can turn things around if we’re making good, smart, strategic investments.  And I think that there’s more that we can do next year.  Part of it has to do with things like a renewable energy standard, for example, that’s -- local governments and the federal government are big purchasers of energy.  So us being good role models by saying we’re going to buy more fuel-efficient cars, and we are going to be customers for these new nascent industries, that can make a difference as well.
 
      Another good example of an area where we can make progress right away is making buildings more energy-efficient.  We can probably solve, at least theoretically, a huge chunk of the greenhouse gas problem just by making our buildings more energy-efficient.  And Erik is a contractor, so I haven’t talked to him about this, but one of the things that I’d love to do is to see more and more contractors just be in the business of retrofitting homes to make them better insulated, have better HVAC units.
 
      When I was here a couple of years ago, I went to a company called McKintry -- McKinstry, which is doing unbelievable work.  It started off as a mom-and-pop operation and built itself up.  It’s got over a thousand employees now.  And it goes to hospitals and schools and helps them figure out how can they save huge amounts of money by becoming more energy-efficient.
 
      A lot of families and businesses are interested in becoming more energy-efficient, but the challenge they’ve got is finding the capital upfront.  And so we’ve been talking about, at the legislative level, creating a program called Home Star where families could get a tax credit or the money upfront to make these investments, and then pay it back gradually as they saw their electricity bills go down.
 
      So there are a lot of creative ways that we can jumpstart this industry.  I think people are really interested in it.  But you’re absolutely right -- right now we’re behind.  We invented a lot of technologies where we are now no longer the leader -- solar energy, wind energy -- and that’s something that I’m determined to change.
 
      But government is going to have to play a role in helping to jumpstart a lot of investment from the private sector that will eventually come in, once they know that there’s going to be a market for this clean energy.
 
      All right, yes, sir.  You’ve got a mic right behind you.
 
      Q    I’m Cliff Ekman (ph).  I’m Cynnie’s father, and Erik is my son-in-law.
 
      THE PRESIDENT:  You’ve got some cute granddaughters.
 
      Q    And I have some very cute granddaughters.  Yes, we’re very proud of them.  Anyway, we’d like to welcome you to the Northwest.  And you may not hear this very often, but I would like to say we’re very proud that you’re our President.
 
      THE PRESIDENT:  Well, I appreciate that.  Thank you.  Thank you very much.  Thank you.  (Applause.)
 
      Q    Many of us feel that way.
 
      THE PRESIDENT:  Thank you.
 
      Q    But my question is, it seems like -- I was just reading that our trade deficit, announced in August, was like $46 billion; $28 billion of that was with China.  And it seems to me one of the big problems are import tariffs.  We have -- a lot of countries such as China, Korea, Japan, many European countries have import tariffs that protect their industries.  That’s one question, and what can we do about that.  And the other is the export of jobs that happen with corporations -- and they get tax benefits for it, which doesn’t make a lot of sense to me.
 
      THE PRESIDENT:  Well, look, they’re both great questions.  And I’ll take the second one first.  We’ve got a bunch of tax loopholes, a bunch of provisions in the tax code that actually encourage companies to invest and keep profits overseas.  They’ve been on the books for a long time.
 
      Jim, Patty, others have consistently voted to close these loopholes.  It has been consistently resisted by the other side.  In fact, one of the ways that we were able to get some help to local governments to keep teachers on the payroll this summer was by closing one of the most egregious loopholes that even some of the companies who were getting the benefit admitted really didn’t have any logic to it.  But the other side voted against us.  We were able -- we had to really fight to get it done. 
 
      So I want tax breaks to go to companies that are investing here in the United States -- investing in research, investing in development.  That’s common sense.  And that’s what every other country does.  Every other country structures their tax code so that you have an incentive to invest there and create jobs there.  We should be doing the exact same thing.
 
      Now, when it comes to trade, I’m a big supporter of trade -- and obviously Seattle and the Pacific Northwest generally benefits greatly from trade.  And we don’t want to build a wall between ourselves and other countries.  We’ve got the best workers on Earth; we’ve got the most innovative entrepreneurs here; we’ve got unbelievable universities.  There’s no reason why we can’t compete with anybody on anything around the world.
 
      But it’s got to be structured so that it’s fair.  And, frankly, because we used to be so big and other countries were so far behind, when a lot of the trade rules were initially set up, I think we neglected to drive as tough of a bargain as we could have -- just because the feeling was, well, if China is making low-wage -- or low-skill assembly-line toys, that’s not a huge loss to the United States relative to our overall economy.  But what we didn’t understand was if they’re working hard, competing, advancing each and every year, then over time they’re going to try not just to be making toys, but then they want to make computers, and then they’re going to want to make cars and -- right?  And they move up the value stream of the economy.
 
      And if we have the same rules as we had, where they’re able to keep our products out but we’re wide open to any products they want to send in, then we’re going to be at a huge disadvantage.  And we have seen that disadvantage grow and grow over the last several decades.
 
      So what I’ve said is I am for trade but it has to be reciprocal.  If you want to sell cars here in the United States, then we’ve got to be able to sell cars in your markets.  If you want to be able to sell manufacturing goods where having low-wage workers is a big advantage to you, then we’ve got to be able to sell services that take advantage of our knowledge and our high-skill workers, and we’ve got to be able to go into your markets and you can’t protect them.
 
      And that’s going to be, I think, a major debate that’s going to be coming up over the next couple of years.  Now, this is going to be a tough debate because I think a lot of people, their instinct is, well, trade just doesn’t work for us generally, and so a lot of people are going to want to, I think, close our borders or slap on huge tariffs on other countries.
 
      My attitude is not that I want to end trade -- I want to grow trade; I want to expand trade; I want to double our exports.  We’ve set a goal of doubling our exports.  But I want to do so by driving a better bargain with our trading partners.  And the truth of the matter is they probably expect it.  They’re trying to figure out why we’ve been such pushovers for the last couple decades anyway.  (Laughter.)  It doesn’t make sense.
 
      All right, yes.  Go ahead.
 
      Q    Mr. President, forgive me for having my notes.  But first I want to let you know how much I applaud your efforts on behalf of this country.
 
      THE PRESIDENT:  Thank you so much.
 
      Q    And as a mother, former foster parent, and now a kindergarten teacher here in the Seattle area, I’ve seen the impact of limited resources on our educational system.  Our schools are in disrepair.  The teachers in my school, we work long hours.  And throughout the district we’re dealing with crowded classrooms.  And despite this effort, many students are not academically prepared to participate, innovate and compete in this workforce.
 
      And I realize the economy is in dire straits and our limited dollars are stretched pretty thin.  But what can you do at a national level to support teachers at the regional and local level?  And by the way, have you and Michelle seen -- or had a chance to see “Waiting for Superman”?
 
      THE PRESIDENT:  Well, Michelle and I did see “Waiting for Superman.”  I’ve got to admit, that’s another good deal of being President, is, like, everybody sends you their movies ahead of time.  (Laughter.)  And so -- so we get them on DVD before they hit the theaters.  (Laughter.)
 
      And it was a powerful movie.  Not only did we see the movie, but we actually -- I was so moved by the kids in the movie that I invited them to the Oval Office.  And they came and visited and we had a wonderful time.  And they’re all doing well.  Not surprisingly, once they were in the movie, suddenly everybody rallied to make sure that they could get into a terrific school.
 
      But of course, there are millions of kids like that who are talented, curious, energetic, and yet right now are still trapped in schools that don’t work well.
 
      Now, we’re not going to transform our education system overnight.  It took us decades to get to where we are; it’s going to take us a while to get to where we need to be.  But here’s what we know. 
 
      We used to rank number one in proportion of college graduates; we now rank ninth.  We used to be at the top when it came to math and science education; we’re now 21st and 25th respectively in the world when you test 15-year-olds.  That’s a recipe for disaster.  So there’s nothing more urgent than for us to make sure that our education system is working effectively.
 
      Part of it is a resource issue.  Part of it is also a reform issue.  And unfortunately, over the last couple of decades we’ve had a debate where some people argue, just give us more money, and other people argue, just blow up the system -- instead of recognizing it’s both.  We’ve got to make investments in education, but we also have to make sure that the money is well spent.
 
      So what we did was we designed something called Race to the Top.  And the concept is pretty simple.  Most federal money going to education -- and education accounts for about 7 percent of overall spending on education because most of it’s locally funded -- but most of that money is allocated through a standard formula and it’s designed to help particularly schools that have less of a resource base.
 
      But what we said was how about pulling out a few billion dollars and creating a competition -- so schools are still going to get their formula-based funding, but if you want some extra money, then we want you to show us that you’re pursuing aggressively a reform agenda that focuses on what we know works, which is having high standards, making sure that there’s accountability, making sure that we are investing in great teachers, and focusing on low-performing schools and making them transform themselves so that they’re not just accepting year after year 50 percent dropout rates or kids reading at three grade levels behind where they should be.
 
      And lo and behold, with this relatively small pot of money, because schools all across the country were so interested in competing, we saw -- already 46 states have initiated legislative changes to move forward on reform.  And not every state has won the competition -- it’s designed to be a competition -- but what it’s done is made everybody look more carefully at are we doing things smart, are we doing things right when it comes to educating our kids.
 
      We want to continue that Race to the Top agenda.  And as I said, the single most important ingredient for improving our education system is our teachers, making sure we’re investing in them.  And my sister is a teacher.  She’s taught in some very tough public schools.  So I know how hard teachers work.  And the vast majority of them go into it not for the money, they go into it because they care deeply about kids and they love their jobs.
 
      But a lot of them don’t get the training that they need.  They don’t get the support they need.  They don’t have the professional development that they need.  A lot of math teachers didn’t major in math in school; a lot of science teachers didn’t major in a scientific subject in school.  And so we’ve got to make sure that we’re constantly investing in them -- and also holding them accountable.
 
      If we’re not seeing a good enough performance, then we’ve got to say, you know what, here’s how you can improve, and give them concrete ways so that they can up their game because that has the single biggest impact in terms of kids.
 
      Now, the last thing I’ll say is just on higher education -- I already mentioned this.  We have shifted, in a deficit-neutral way, billions of dollars into our student loan programs, into our community colleges.  It is making a huge difference for millions of students all across the country.
 
      And it was a pretty simple proposition.  For years we had a system in which the student loan program went through banks and financial intermediaries who would take a fee, even though they were taking no risk, because these were all federally guaranteed loans.
 
      And so we said, well, why would we do that?  Why wouldn’t we just send these loans directly to the students?  If these banks and these financial intermediaries want to help administer the program, then we can hire them for that purpose, but they shouldn’t be making a profit off the loans themselves.
 
      And we’ve saved $40 billion now that is going to go over the next several years directly to students who -- in the form of bigger loans, more students getting loans, it can make a huge difference.  And that’s an example of not making government bigger, just making it work smarter.
 
      And those are the kinds of agendas that I think Patty and I and Jim and others want to pursue further over the next couple of years.  All right?
 
      How much time do we have?  I just want to make sure.  Sometimes I get scolded by my team.  (Laughter.)  Time for one more.  There he is.  There’s Marvin.  I’m going to go back here.
 
      Q    Thank you so much for being here today and doing this.  And I apologize for reading, but this is so very personal and so very important for the women that I work and care for.  And I’m a nurse practitioner, nurse midwife, working at a community health center, Planned Parenthood.  My clients range between 13 and 16 years of age.
 
      The women I see, about three-quarter, rely on state programs, or pay out of pocket, and a quarter have health insurance in varying degrees, mostly catastrophic.  As a health clinic, we are reimbursed 50 percent or less for DHHS Medicaid patients.  We are one of the few providers who do not cap our Medicaid patients, even though the reimbursement is so low.
 
      How will coverage between now and 2014, when more patients will need to be on government programs, not bankrupt our community public health clinics?
 
      THE PRESIDENT:  Well, first of all, part of our goal is to make sure that there are more people who are able to get health insurance for the job -- through their job, or through these health exchanges that we’re going to be setting up by 2014.  So ideally that will drive down the number of folks who are uninsured and where you are giving uncompensated care.  So that is important.
 
      This notion that somehow we did something radical because we shouldn’t have government-run health care -- the fact is, is that right now there’s all kinds of government-run health care.  There’s Medicare, there’s Medicaid, and then there’s emergency room care that indirectly we pay for, one way or another, either because we are subsidizing hospitals that have a lot of uncompensated care or because all of our premiums are higher since hospitals have to figure out some way of paying for it, or clinics have to figure out some way of paying for it.  So what they do is they just charge people who do have insurance a little bit higher.  On average, everybody pays $1,000 per family in higher premiums to pay for other people.  It’s a tax; you just don’t know it.  And it’s administered not through the government but through your insurance premiums.
 
      So part of our goal is to make sure, A, that more people have basic coverage; B, that means that more people have preventive care.  And if some of your clients have preventive care -- I mean, you know this better than I do -- then they’re not coming in with diseases that could have been managed very early and much less expensively.
 
      And diabetes is a classic example.  The number of people who have diabetes -- because they’re grossly overweight, they didn’t catch it fast enough, they haven’t changed their eating habits -- and that had they gotten some effective care on the front end could have avoided it entirely, is astronomical.  It adds huge amounts of money to our health care bill overall.
 
      So we want to emphasize prevention.  We want to give people more options in terms of being able to be covered in the first place.  And then we also have to make sure that Medicaid and Medicare doctors and providers are effectively reimbursed.
 
      And, frankly, what’s happened historically is when states or the federal government run short on money, what they do is they just say, well, you know what, we’ll just pay 70 percent or 60 percent of what the costs are, and we’ll make the providers figure it out.
 
      And as a consequence, you got more and more providers who are not taking Medicaid patients.  And if we don’t fix the reimbursement formula for Medicare, you’re going to have a bunch of doctors and hospitals who are going to start declining Medicare patients, too -- which is a scary proposition.
 
      So -- now, keep in mind that’s expensive.  And so part of what health reform is about is figuring out how can we make sure that every provider gets every dollar that they need for quality care that they are providing.
 
      On the other hand, let’s make sure that the care that’s actually being provided is improving the health of the patients as opposed to just being a hidden way for providers to get more money.
 
      And what I mean by that is -- let me -- and I don’t want to get too technical here, but I’ll try to give you a simple example.  It turns out that there are a lot of tests that are done that probably aren’t needed, but because the system is so inefficient and because providers get reimbursed for a lot of these tests, that we’re probably paying more than we should just on testing that doesn’t improve the quality of care.
 
      And part of the Health Reform Act is going to have doctors and medical experts say, what’s the best way to care for a patient with a particular ailment?  And let’s start reimbursing doctors for the overall outcome, as opposed to the number of procedures that they’re doing.
 
      That way it may turn out we’ll have fewer procedures, but overall a better outcome.  And providers will get full reimbursement for those things that are effective.  They may not get reimbursement for things that have been shown to be less effective.
 
      Now, all these changes are not going to happen overnight.  They’re going to take some time because this system has been such a mess for such a long time, that making it more rational is something that will take several years.  But I’m optimistic we can do it.  And I appreciate the great work that you’re doing.  So tell everybody, all your coworkers, help’s on the way.  (Laughter.)
 
      This has been a terrific conversation.  I want to close just by telling you something that happened this week that was I think the highlight of my week.
 
      I had a -- we hosted the first White House Science Fair at the White House because we realized when the Lakers win the NBA championship, we have them over to the White House.  And when the Alabama Crimson Tide wins the national championship, we have them over to the White House.  And when these incredible young people are winning international science competitions, or participating in these national competitions, nobody is acknowledging them.  And that’s sending the wrong message about what’s going to be the most important thing to allow us to compete into the future.
 
      So we had this national science competition.  And a select group of them set up displays in the State Room in the White House.  And it was unbelievable watching these kids.  I mean, you had a young woman who was -- had designed a energy-efficient car, and had a scale model that was made out of some material that I had never heard of before.
 
      You had a group from Tennessee that had designed this water purification system that was self-generating through a water wheel.  And the whole thing was only about yea big, but it could provide filtered water for 60 families very cheaply.
 
      These are all high school kids, by the way.  You had this -- a couple of these Latino kids who had designed this chair for doing therapy for people who are disabled that they had designed from scratch because they had seen a friend of theirs who was disabled and not had the equipment that he needed.  And they didn’t have a lot of money in the school, so they actually sold tamales to finance this project.  First time they had ever been on a plane was actually to fly to the competition that they ended up doing so well on.
 
      And then the last person I met -- and there were others who were doing unbelievable stuff -- but the last young woman I met, she was 16 years old.  In her freshman year, she had taken biology, had gotten interested in the life sciences.  Was particularly interested in cancer treatment.  So she decided, between her freshman and sophomore year, to teach herself chemistry in the summer, because she was so anxious to get started on learning more about cancer treatments.
 
      And she decided as a science project to try to invent a new cancer drug -- (laughter) -- because right now there are clinical trials and experimental treatments where you inject the drug into the cancer, and then it’s activated by light, and it potentially will just kill the cancer cells without killing the healthy cells, unlike chemotherapy or radiation treatments.
 
      And so -- but apparently the ones that are being tested right now by all the big laboratories, they only can be used for skin cancer or places where the light can penetrate fairly close to the surface.
 
      So she literally designed a new drug, won the international science competition, and now is being contacted by all these laboratories around the world who are working on this -- these types of drugs.  She’s very smart.  (Laughter.)  She’s 16 years old.  She hasn’t graduated from high school yet.
 
      Here’s the point:  When you talk to these young people, you felt so optimistic about America.  You felt like there’s nothing that can stop us.  If we can just harness that energy and that ingenuity, and if we’re investing in those kids, and we’re giving them a chance, and they’re able to start their own businesses and their own engineering firms, and if they’re in the classroom teaching younger kids that same sense of wonder and excitement, there’s nothing we can’t do.
 
      And I think that’s important to remember because we’ve gone through a very difficult time over the last couple years.  But there are kids like that all across the country.  And if we create the right conditions for them, they will make sure that the 21st century is the American century just like the 20th was.
 
      Thank you so much, everybody.  Appreciate you.  (Applause.)
 
      END               11:08 A.M. PDT