At noon on Wednesday, a divisive, unpopular Republican administration will have ended. By the end of the day, Democrats will have control of the House, the Senate and the presidency. The last time this happened, in 2009, the country faced an international economic crisis, several wars overseas, calls to prosecute members of the departing administration, a nation grappling with its racist past and a federal government poised to shatter spending — and debt — records.
That all sounds familiar.
Unlike then, though, Democrats don’t have the luxury of assuming that they have four years to govern. If anything, history shows that Democrats need to hit the ground running and assume they have just two years to achieve their goals, bipartisanship be damned.
President Barack Obama and his team in 2009 were sure that what would become the American Recovery and Reinvestment Act wouldn’t be the only stimulus bill Congress passed after the financial crisis. They were wrong. The result of haggling with congressional Republicans was a smaller deal that, while it helped to stanch the bleeding, was too small and phased out too quickly to give the economy the oomph it needed after the 2008 financial crisis. It was still big enough, though, that GOP opportunists could hammer him for it for the next two years before they retook control of the House.
President-elect Joe Biden, in contrast, decided to swing for the fences with his stimulus package, the first part of which is estimated to offer $1.9 trillion in relief. Packed inside are all kinds of provisions that will be necessary in the coming months, including $160 billion to deal with Covid-19 that includes vaccine distribution and expanded testing, and $20 billion to aid public transit.
But the second half of Biden’s plan — which would address investment in infrastructure and clean energy jobs — won’t be detailed until later. Biden’s team is also reported to be planning to negotiate with Republicans over this first package, rather than using budget reconciliation to pass it with only Democratic votes. Which is, to be honest, worrying.
Two major differences between 2009 and 2021 tell me that Biden needs to be willing to walk away from talks with the GOP sooner rather than later. First, the country’s financial status means bigger is absolutely better. His pick for treasury secretary, former Federal Reserve Chair Janet Yellen, framed the price tag in her testimony to the Senate Finance Committee on Wednesday as the only logical choice given historically low interest rates.
Biden needs to be willing to walk away from talks with the GOP sooner rather than later.
Second, unlike interventions after the Wall Street-fueled collapse in 2008, there’s no perception that this spending will be solely for the benefit of big business. Instead, Biden’s plans are, for the most part, targeted directly at middle- and working-class Americans struggling during the pandemic, which makes for better politics should the GOP get in the way. Cries of “socialism” ring a bit hollower to a country whose government is actually delivering the help it needs.








