In 2008, John McCain was leading Barack Obama until September when the financial crisis hit home. McCain was flip floppy when he canceled his campaigning only to do nothing and then vote for the first bail out. Obama did nothing but looked less uncertain and more ‘Presidential’. Voters did not have time to process what was the right thing to do and voted for the new guy hoping for new ideas.
2 years later people have had a chance to see the results of the “crisis” and the 3+ trillion dollars in added deficits and have rejected Washington solutions.
The Republican majority in the house is slim and the Senate is even with the White House to keep them in check. I believe the White House will now actually get involved with law making, instead of allowing Pelosi and Reid to do what they want and just sign rubber stamp it.
Deficit spending will decline, and passed bills (healthcare, cap & trade) will be cut back before they take effect. Most importantly the tax code will be shored up with a continuation of the Bush tax cuts for a majority of people (not exactly like it is now) and you will see businesses decide it is okay to hire and invest to expand.
I believe it will be a while before banks loosen up credit as we are going to be going through another housing bubble for more expensive homes. This is a subject not yet discussed in the mainstream media.
Thus begins the 2012 election cycle. Have fun, but for now no more crappy campaign ads.
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