Mitt Romney avoids his past mistakes

Mitt Romney’s candidacy is something of a miracle. “Miracle Mitt” continues to claim — falsely — that he didn’t seek to raise taxes as Massachusetts Governor. And he appears to be getting away with it, as enough Republican voters remain ignorant of his record for Mitt to retain his “frontrunner” status in the 2012 Republican presidential primary race.

The Cato Institute reported of Romney’s 2003 proposals as Massachusetts Governor:

He scared some conservatives when he said that he was opposed to tax increases but he couldn’t rule them out. His first budget, presented under the cloud of a $2 billion deficit, balanced the budget with some spending cuts, but a $500 million increase in various fees was the largest component of the budget fix.

However, the “fees” were really taxes — i.e., they had nothing to do with actual costs incurred by government services they provided. Romney’s claim of not raising taxes is based upon a simple deception: He called his tax increases “fees.” During the 2008 presidential campaign, NBC’s Meet the Press host, the late Tim Russert, exploded Romney’s claim that he hadn’t proposed tax increases as Governor:

Mr. Russert: The AP says it this way: “When Romney wanted to balance the Massachusetts budget, the blind, mentally retarded and gun owners were asked to help pay. In all, then-Gov. Romney proposed creating 33 new fees,” [and] “increasing 57 others.” The head of the Bay State Council of the Blind said that your name was “Fee-Fee”; that you just raised fee after fee after fee. That’s a tax.... A fee’s not a tax?

Gov. Romney: A fee — well, a fee — if it were a tax, it’d be called — it’d be called a tax. But…

Mr. Russert: Governor, that’s, that’s gimmick.

Gov. Romney: No, it’s, it’s reality. It is. But — and I have no — I’m not trying to hide from the fact we raised fees. We raised fees $240 million.

Romney argued with Russert: “But a fee is different than a tax in that it’s for a particular service.” Of course, Romney increased fees upon gun owners (gun permits) and for people who needed duplicate licenses. Neither of these are “services” that the government provides; they are simply licenses needed to comply with government-established mandates. The independent FactCheck.org noted that “the Massachusetts Department of Administration and Finance says that fee increases during Romney’s tenure added up to $260 million per year, with another $174 million raised from closing some corporate tax ‘loopholes.’ The independent Massachusetts Taxpayers Foundation puts the revenue total of fee hikes and tax loophole-closings at between $740 and $750 million a year.”

And Romney continues to defend his biggest tax increase, the Massachusetts’ healthcare reform that has served as the model for the ObamaCare national legislation. The 2006 Massachusetts healthcare law required employers to offer employees health insurance (or face a withering fine) and also set a fine for individuals who did not purchase insurance.

He is hoping that Republican voters notice more than just a change in the weather.

The Mitt Romney who visited Iowa on Wednesday for the first time since beginning his front-running presidential campaign is a different Mitt Romney from the one who left, scorned, in 2008 after exhausting his time and money for a second-place finish.

He is betting that he has learned all the right lessons from 2008 — and not just in Iowa. The retooled Romney is more disciplined, more confident in his policy views and seemingly more relaxed. His focus is nearly always on the economy, and his style tends toward Gap jeans and open-collared shirts with rolled-up sleeves over the starched shirts and neckties of the last go-round.

And here in Iowa, Romney is setting low expectations by skipping Saturday’s straw poll and instead waging a stealth effort designed to campaign enough not to ignore the state while not appearing to be competing too hard.

“There were the inevitable ‘lessons learned,’ ” Romney writes in his book, “No Apology,” of his 2008 run. “My dad, George Romney, used to say of his 1968 presidential campaign that ‘it was like a miniskirt . . . short and revealing.’ Mine was a little longer, but just as revealing.”

The question for Romney is whether what he found revealing about 2008 is on the mark for 2012. Will Republican voters hungry for bold leaders who govern from the gut rally behind a methodical and cautious front-runner?

“Romney clearly has a playbook, and he’s not diverting from the game plan. No audibles at the line of scrimmage this time. And it’s working well so far,” said Mark McKinnon, a longtime GOP presidential strategist who is neutral in the 2012 contest.

“It’s a safe strategy,” he continued. “But it may not be a safe election.”

Even as Romney leads the polls and has monetary and organizational advantages over his opponents, there is little evidence that he has expanded his support base far beyond where he left off in 2008. Early buzz has eluded him, instead centering on other candidates, such as Rep. Michele Bachmann (Minn.), and Texas Gov. Rick Perry, a likely contender — and even non-candidates, such as Indiana Gov. Mitch Daniels.

As the 2012 contest moves into a new phase this week, Romney, who has avoided direct engagements with his Republican rivals, is preparing to face an aggressive onslaught during a debate Thursday from the likes of Bachmann and former Minnesota governor Tim Pawlenty.

Ex-judge jailed immediately. Families applaud sentence

A former juvenile court judge in Pennsylvania was sentenced to 28 years in prison on Thursday for his part in an alleged “kids for cash” scam considered one of the worst judicial scandals in US history.

Mark Ciavarella Jr., 61, a former judge in Luzerne County, was also ordered to pay $1.17 million in restitution.

Mr. Ciavarella was convicted in federal court in Scranton, Pa., in February on charges that he and a second judge, Michael Conahan, ran the local court system as a racketeering enterprise.

The federal indictment says the two judges accepted $2.8 million in kickbacks from the owner and builder of two privately-run juvenile detention facilities. In exchange, the judges agreed to close down the county’s own juvenile detention center, which would have competed with the new, privately-run facilities. In addition they guaranteed that juvenile offenders from their court would be directed to the privately-run facilities.

Mr. Conahan, pleaded guilty last year to a single count of racketeering and is awaiting sentencing.

In comments to the court, Ciavarella apologized to the community and to the children whose cases he had adjudicated. “I blame no one but myself for what happened.

On Thursday, the tables turned against the 61-year-old former judge as he found himself on the receiving end of a 28-year prison sentence that in all likelihood assures he will spend essentially the rest of his life in prison. He was also ordered to pay nearly $1.2 million in restitution.

The sentence was nearly four times the length of the 87-month prison term Ciavarella and his one-time co-defendant, ex-Judge Michael Conahan, had previously worked out with prosecutors in a plea agreement reached in January 2009. The deal was later rejected by U.S. District Judge Edwin Kosik.

Ciavarella, his family and others in the courtroom showed little reaction when the sentence was read. At Ciavarella’s request, he was taken immediately into custody. He was transported by federal marshals to an unknown facility to await transfer to a federal prison that will be designated at a later date.

Kosik imposed the sentence following a roughly hour-long hearing at which Ciavarella first apologized to all those he had harmed, then turned defiant as he again denounced the “kids for cash” moniker with which he has been branded.

Ciavarella was convicted in February of 12 of 39 counts, including racketeering, money laundering, mail fraud and tax evasion relating to his acceptance of nearly $1 million from Robert Mericle, the builder of the PA and Western PA Child Care juvenile detention centers.

Addressing the court, Ciavarella acknowledged he illegally accepted money from Mericle. But he denied that he ever jailed a juvenile in exchange for cash, or that he violated the civil rights of youths who appeared before him.

“I blame no one but myself for what has happened,” Ciavarella said during a 20-minute address to the court. “I had the opportunity to say ‘no’ to taking money that I believed was legal to receive, but knew that I should not take ... because it was wrong and unethical for me do so, especially in my capacity as a juvenile court judge.”

Ciavarella apologized to his family, the citizens of Luzerne County, his former colleagues on the bench and probation department employees. He also apologized to juveniles who appeared before him, saying he hoped they could forgive him “for being a hypocrite by not practicing what I preached.

Political gridlock criticized in Obama's visit to Holland, Mich

New auto technologies will create jobs and help automakers meet higher mileage requirements and lessen U.S. dependence on foreign oil, the White House said.

Technological advances, combined with new mandates requiring automakers to bring their average fuel mileage for passenger cars to 55.4 miles per gallon by 2025 from the current 27 mpg mandate, "represent the largest single step our nation has ever taken to reduce our dependence on oil," Heather Zichal, who coordinates the administration's energy and climate policy, told reporters ahead of a trip by President Barack Obama Thursday to Holland, Mich., to tour a Johnson Controls Inc. advanced battery facility.

"This facility just emphasizes the administration's commitment both to job creation and investment in clean-energy technologies," Zichal said.

"Because of the critical investment we have made and because of innovative companies like Johnson Controls, the United States will soon have the ability to produce enough batteries to support 500,000 plug-in and hybrid vehicles," she said.

Obama, who made similar remarks July 29 when he announced the 55.4 mpg fuel-efficiency standards for light-duty vehicles, was expected to deliver remarks at 2:40 p.m. EDT highlighting "the key role innovative technologies will play in helping automakers achieve the historic fuel-economy standards, establishing U.S. leadership in advanced vehicle manufacturing, spurring economic growth and creating high-quality domestic jobs in cutting-edge industries across America," the White House said late Wednesday.

America voted for divided government and that makes it tough," he told the crowd of about 400 people at Johnson Controls. "But you didn't vote for dysfunctional government, a do-nothing government.

Obama's challenges escalated this week as the stock market has swung wildly for a fourth-straight day with the Dow Jones Industrial Average up 423 points after a 519-point decline Wednesday. The roller coaster ride followed Standard and Poor's downgrading of the federal government's credit rating last Friday.

"This downgrading we're reading about could have been entirely avoided if there had been a willingness to compromise in Congress," Obama said. "What Congress doesn't have is the capacity to come together and get things done. It was a self-inflicted wound. And that's what frustrates me."

He said partisanship is undermining public confidence in government and urged the crowd to contact their members of Congress.

"If you agree with me, it doesn't matter if you're a Democrat, Republican or Independent, you've got to let Congress know that you've had enough of the theatrics and start passing some bills that will help our economy right now," he said.

Kevin Eaves, 39, of Holland, an electrician for one of Johnson Controls' facilities in Holland, said he welcomed the tough words from the president.

"I was surprised that he was so stern on Congress," he said. "But he was right on point. They're acting like a bunch of kids in Washington."

State Sen. Rick Jones, R-Grand Ledge, said while he was glad the president came to Holland, he was disappointed at his rhetoric.

"All we heard today was the blame game," he said. "When we should have heard 'The buck stops with me and we're going back to Washington to get our credit rating back.' He took no responsibility."

Compared with his last visit to Michigan -- a frigid day in Marquette in February when he touted new efforts to take the Internet to rural areas -- this summer day was a perfect 78 and sunny.

Still, Holland wasn't exactly welcoming. There were no extra flags flying downtown, or signs welcoming Obama. The marquee on the Knickerbocker Theater downtown welcomed Hope College students to campus for the fall.

Ottawa County, Holland's home, is one of Michigan's most Republican counties. Obama lost it to Republican John McCain, 61%-37% in 2008.

State Rep. Joan Bauer, D-Lansing, said Obama needs to visit places like Holland. "Anytime the president comes to our state, it's an important day because it allows us to tell our story."

Holland City Councilman Shawn Miller said he's thrilled Obama visited Holland for a second time in 13 months.

President Obama Visits New Johnson Controls-Saft Advanced Battery Center in Holland, Mich.

Johnson Controls Inc. will build a second factory to make lithium-ion batteries for electric and plug-in electric vehicles, the company said Thursday.

A location for the factory has not been announced.

"Once a location is identified and the facility constructed, it would add nearly 300 additional jobs when at full capacity," the company said.

Plans for a new factory were announced as Johnson Controls welcomed President Barack Obama to its Meadowbrook factory in Holland, Mich.

Obama said administration policies aimed at reducing oil imports are part of an effort to invest in research and new technology.

"That's why we're investing in clean energy," he said, according to a transcript provided by the White House. "That's why I brought together the world's largest auto companies who agreed, for the first time, to nearly double the distance their cars can go on a gallon of gas. That's going to save consumers thousands of dollars at the pump."

The Michigan factory that Obama toured will be the first in the country to produce complete lithium-ion battery cells and systems for hybrid and electric vehicles, such as Ford Motor Co.'s Transit Connect plug-in electric delivery vans.

Johnson Controls and the federal government's stimulus package each invested $299.2 million in the Michigan factory, while the state of Michigan provided $168 million in incentives

The Michigan plant will employ 320 people at full capacity, the company said.

"These projects are great examples of public-private partnerships that use innovation and technology to produce products that reduce fuel consumption and create jobs," said Steve Roell, company chairman and chief executive, in a statement.

Across the Midwest, Johnson Controls is adding 700 jobs and retaining another 400 through its investment in advanced lead-acid and lithium-ion batteries, Roell said.

"Through innovation and investment in technology and people, Johnson Controls is a leader in the energy storage industry," he said. "We are investing more than $460 million in our advanced battery business for manufacturing and technical facilities here in Michigan and the U.S. These investments will lead to over 700 new jobs, retention of another 400 and approximately 1,000 construction jobs," Roell said.

Start-Stop Vehicle Technology, near Toledo, Ohio – Johnson Controls is investing $138.5 million to convert and expand an existing plant to produce batteries for Start-Stop vehicles, which have been successful in the European market and will be introduced next year in the U.S. These batteries help reduce fuel consumption and emissions by 5-12% for internal combustion engine vehicles with little added cost for the consumer. This investment will retain 400 jobs, and create 50 new positions and 800 construction jobs.

Battery Technology and Test Center, Milwaukee, Wisc. – Johnson Controls recently opened its newly renovated Battery Technology and Testing Center in Milwaukee. It is the largest energy storage R&D center in the country with 60 new jobs.

Meadowbrook Li-ion Battery Production Facility, Holland, Mich. – This new facility will be the first in the U.S. to produce complete lithium-ion battery cells and systems for hybrid and electric vehicles, producing battery systems for U.S. based automakers, such as Ford's Transit Connect. The facility was supported in part by a $299.2 million American Recovery and Reinvestment Act (ARRA) matching grant and more than $168 million in incentives from the state of Michigan. Johnson Controls invested $299.2 million to match the ARRA grant and more. Employment at this facility will be 320 at full capacity. Johnson Controls has committed to building a second facility in U.S. Once a location is identified and the facility constructed, it would add nearly 300 additional jobs when at full capacity.

"These projects are great examples of public-private partnerships that use innovation and technology to produce products that reduce fuel consumption and create jobs. We are grateful for the outstanding support we have received from the White House, the U.S. Department of Energy, the state of Michigan and the city of Holland for their vision in building an advanced battery industry for vehicles in the U.S. and for the financial incentives that were provided," Roell said.

"We want to express our appreciation to President Obama for his leadership on improving the energy efficiency of buildings and his support of the auto industry. We are honored that he has selected to tour our facility."

About Johnson Controls

Johnson Controls is a global diversified technology and industrial leader serving customers in more than 150 countries. The company's 154,000 employees create quality products, services and solutions to optimize energy and operational efficiencies of buildings; lead-acid automotive batteries and advanced batteries for hybrid and electric vehicles; and interior systems for automobiles. Johnson Controls' commitment to sustainability dates back to its roots in 1885, with the invention of the first electric room thermostat. Through its growth strategies and by increasing market share we are committed to delivering value to shareholders and making our customers successful. In 2011, Corporate Responsibility Magazine recognized Johnson Controls as the #1 company in its annual "100 Best Corporate Citizens" list. www.johnsoncontrols.com

Consumer advocate Warren to decide Senate run soon

Harvard University law professor Elizabeth Warren has hired Gov. Deval Patrick’s campaign architect Doug Rubin and is reaching out to other top Democrats as she explores a possible run against U.S. Sen. Scott Brown.

Warren, who served as President Obama’s top consumer protection adviser until last month, will be assisted by Rubin’s Northwind Strategies and expects to make a formal announcement of her plans by Labor Day, a source close to Warren said.

Warren, who has been wooed by national Democrats to take on the well-funded Brown, declined to comment but posted a lengthy missive on the lefty blog BlueMassGroup.com yesterday that resembled a campaign roll-out speech.

I left Washington, but I don’t plan to stop fighting for middle-class families,” she wrote in a post that begins with stories about a hardscrabble American upbringing and her “Aunt Bert” and “Aunt Bee.”

“I spent years working against special interests and have the battle scars to show it — and I have no intention of stopping now,” Warren wrote, telling readers, “I’m looking forward to discussing with you what we can accomplish together.

Up until a few weeks ago Warren had been setting up the new Consumer Financial Protection Bureau for the Obama administration.

Warren conceived the idea for the bureau, which was created as part of the 2010 Dodd-Frank financial oversight law.

Warren has earned a high profile from her time in Washington and is a hero to many liberals for her outspoken criticism of Wall Street in the aftermath of the 2007-2009 financial crisis.

Many Democrats had pushed President Obama to nominate her to be the agency's first director. He instead chose former Ohio Attorney General Richard Cordray for the job, disappointing liberals.

Democrats have since been urging Warren to remain on the national stage and run against Brown in the 2012 Senate race.

"In the weeks ahead, I want to hear from you about the challenges we face and how we get our economy growing again," Warren said in her blog post. "I also want to hear your ideas about how we can fix what all of us -- regardless of party -- know is a badly broken political system."

Kyle Sulilvan, a former spokesman for Massachusetts Governor Deval Patrick, and Doug Rubin, who ran two of Patrick's campaigns, are working with Warren as she mulls a run.

Brown burst onto the national political scene in 2010 when he won the race to replace Senator Edward Kennedy who died of a brain tumor in August 2009.

Since then, Brown has leveraged his high national profile into a large campaign warchest.

Warren's popularity with liberals would likely help Warren raise the funding needed to take on Brown.

Perry looms over debaters with news of entering race

Texas Gov. Rick Perry will make "a definitive announcement that he is in the 2012 race for the presidency Saturday," aides told Fox News.

In a time where America needs real leadership, voters want a candidate who can lead, balance the budget, preserve America’s Judeo-Christian principles, reform Washington, and maintain unwavering love for this great nation.

Thus far, President Obama has failed to deliver as Commander-in-Chief on all accounts.

Notable failures include the 800-billion dollar ‘stimulus’ package, Cash for Clunkers program, ObamaCare, continuing resolutions, surging unemployment, a fourth war in Libya, and the recent downgrade of our credit from AAA to AA+.

If Obama wins a second term, Americans can expect more failed policies, exorbitant taxes, and no prospect of economic recovery.

Come 2012, who will lead us in the right direction?

Michael Reagan is confident that someone Reaganesque will run for president. He believes that person is Rick Perry:

Gov. Rick Perry is the "Most Reaganesque" of all potential candidates (besides Michael Reagan).

Many people parallel Rick Perry to former George W. Bush.

Indeed, both men hail from Texas and were governors, but they bat for two completely different teams. The Bushes are part of the Texas Republican establishment, while Rick Perry is viewed as an outsider.

National Review Online’s Kevin Williamson dispelled myths about Governor Perry being Bush 2.0:

Speaking of presidents: Rick Perry has a complicated relationship with the Bushes, which is to say that he’s hesitant to criticize them and they hate his guts. W. stayed well away from Perry’s gubernatorial-primary melee against Sen. Kay Bailey Hutchison, whose oatmeal-mushy Republicanism has a distinctly Bushian savor to it. But the mark of W. was all over the campaign against Perry.

Moreover, Rick Perry’s announcement will further irk establishment Republicans like Karl Rove. Politico’s Kenneth Vogel highlights their difficult relationship below.

He represents the status quo,” shrugged Rep. Ron Paul, whose third bid for the White House has been eclipsed for months by his fellow Texan’s shadow campaign, which finally becomes official this weekend.

And no, he said, Perry hasn’t outsmarted him and the rest of the field by avoiding the spotlight for so long. “Maybe he’s not up to the challenge,” Paul said.

Eight candidates shared the stage at Iowa State University for the third debate of the season, taking swipes at the president and each other, and sparring over the debt crisis, war and gay marriage . Most will return Saturday for the Iowa Straw Poll, the same day Perry will enter the race in South Carolina, as aides confirmed Thursday. So his specter was unavoidable.

“That’s just one more politician,” said pizza magnate Herman Cain, though others seemed to be saving their barbs for the next debate, after Labor Day.

“There’s room in the race for Governor Perry” or Sarah Palin , said Rep. Michele Bachmann , though Perry has signaled he’ll come at her hard, appealing to evangelicals with his prayer rally last weekend, and by planning his first Iowa stop in Bachmann’s hometown, Waterloo, on Sunday.

Former Speaker of the House Newt Gingrich, who lost his top campaign staff to Perry, called him a “very formidable person.”

Former Utah Gov. Jon Huntsman, who like Perry has staked a claim as a job-creating governor, said Republicans should welcome anyone who “brings a little savvy on the subject.”

While Perry continued to reap attention with his lengthy political tease, rivals were left to sweat in the Iowa sun, shaded only by his long shadow.

At the state fair in Des Moines , national front-runner Mitt Romney spent part of the afternoon at the Iowa Republicans booth, chatting up volunteers and voters in plain sight of stacks of pro-Perry pamphlets with the slogan “a proven conservative who will win” — a clear swipe at him and Bachmann.

“We’re getting a great response,” said Jeff Brown, a volunteer from Michigan, standing nearby in a burnt orange Americans for Rick Perry T-shirt.

As for Romney, he was more noncommittal.

“A good man. A fine friend,” he said of Perry while walking the fairgrounds, shaking hands.

Later, in the debate, Romney touted the value of a long career in the private sector — an asset Perry lacks, though it was at most a veiled reference to the Texan. Still, the comment provoked a sharp retort from Californian Bob Schuman, Americans for Rick Perry’s national director.

“Being a successful governor as opposed to being a mediocre governor trumps being a businessman,” he said.

Much of the night’s fireworks came from the two Minnesotans on stage.

Baited by Fox News anchorman Brit Hume , Bachmann and former Gov. Tim Pawlenty engaged in a smack-down that left the half-dozen others looking like bystanders to a car wreck.

“In Congress, her record of accomplishment and results is nonexistent,” Pawlenty said. Bachmann shot back that, as governor, Pawlenty pushed a health care mandate and cap-and-trade policy “that sounds a lot more like Barack Obama” than a Republican president.

Obama Urges Voters to Scold Republicans

A passionate speech to auto industry workers aimed at deflecting public anger over policy gridlock in Washington, Obama said the refusal to put country ahead of party "has got to stop."

His hopes for reelection in 2012 will hinge on his success in lowering unemployment, currently pinned above 9 percent, and boosting sluggish economic growth, and he promised to deliver fresh approaches.

"I'll be laying out more proposals in the days ahead," Obama, a Democrat, said. The problem was not a lack of answers to the pressing issue of economic growth and hiring, rather it was people "playing political games," he said.

But Obama did not spell out any new initiatives beyond renewing his call for Congress to extend a payroll tax cut, advance trade pacts with South Korea, Panama and Colombia, and deliver patent reform.

The president has few tools left to stoke growth. Fiscal stimulus efforts during the 2008-2009 recession, including a multibillion-dollar auto industry bailout, have vastly expanded the budget deficit. Now the United States is under market pressure to slash it or face higher funding costs.

Republicans on Capitol Hill -- and on the presidential campaign trail -- strongly oppose big, new spending programs and are giving the White House little wiggle room to boost hiring through public works programs or business incentives.

"There are some folks in Congress who would rather see their opponents lose than see America win," Obama told an audience at a battery facility in Michigan, a car-producing state that was hard hit by the recession and which he hopes to win again in the 2012 election.

Critics complain the president has failed to assure Americans during one of the worst weeks in the stock market since he took office amid the financial crisis in January 2009.

But the president remains more popular than Congress, whose approval rating slumped after a toxic debate to lift the U.S. debt ceiling prompted a downgrade of the nation's AAA credit rating by Standard & Poor's and an ensuing stock market rout.

Markets have whipsawed this week. U.S. stocks shot up 4 percent on Thursday.

Obama blamed the violent market gyrations on forces beyond his control, noting European financial turmoil was "lapping up" on U.S. shores, while the credit rating downgrade had been a "self-inflicted wound.

Rather, the president said, echoing what his aides have been saying privately for days, “What I figure is, they need to spend more time out here, listening to you, and hearing how fed up you are.”

It is a sign, perhaps, of the White House’s desperate search for a way forward that Mr. Obama is hoping that American voters — who are deeply disgusted with Congress, but not exactly thrilled with him either, according to recent polls — will somehow rise en masse and make their representatives see the error of their ways.

“If they’re listening hard enough,” he said, “maybe they’ll come back ready to compromise, ready to do what you sent them there to do.”

That may be a tall order. Even before Air Force One had left the Washington area on Thursday morning to ferry Mr. Obama here to talk about better fuel efficiency and how his auto bailout had saved the country’s car and truck industry, House Republicans were criticizing his trip.

The office of the House majority leader, Eric Cantor of Virginia, put out this statement:

“While the goal of promoting more fuel-efficient vehicles is laudable, such costly new regulations will only create more obstacles to growth and make it harder for working families and small businesses. With 10.5 percent unemployment in the Great Lakes State, the president should explain to people of Michigan how his calls for tax increases and new regulations will create jobs or spur economic growth.”

And, lest anyone think that Republicans were having any second thoughts after Mr. Obama spoke, Speaker John A. Boehner, Republican of Ohio, lobbed this statement: “President Obama likes to talk about being ‘the adult in the room’—but there’s nothing ‘adult’ about political grandstanding. If the president wants to do something productive, he can start by delivering on his promise to outline his own recommendations to rein in the massive deficits and debt that are undermining job creation in our country.”

For Mr. Obama, Thursday’s trip, coming at perhaps the lowest point in his presidency, was a chance to try to regain his footing and present himself as an assured leader with programs and proposals that will help put the American economy back on track and make the country more competitive globally.

But Mr. Obama spent most of his remarks assailing the Congressional Republicans who have knocked down most of his proposals. At times, the president sounded angry, noteworthy since he is famous for rarely losing his cool. He called the credit downgrade “a self-inflicted wound,” and added: “That’s why people are frustrated. You can hear it in my voice; that’s why I’m frustrated.”

There’s nothing wrong with our country,” Mr. Obama said, speaking at Johnson Controls, a maker of battery systems. “There’s something wrong with our politics.”

Mr. Obama characterized the last few months in Washington as the “worst kind of partisanship, the worst kind of gridlock,” which he said had “made things worse instead of better.”

He reiterated his calls for an extension of the payroll tax cut, and for a road construction bill, intended to get workers back on the job on infrastructure projects. Of course, those ideas would need Congressional approval.

After Michigan, Mr. Obama headed to New York to attend two Democratic fund-raisers to bring in money for the 2012 elections. That leg of his trip coincided with the Republican presidential debate in Iowa on Thursday night.

The White House press secretary, Jay Carney, speaking to reporters aboard Air Force One en route to Michigan, said he was curious “whether anyone participating in the debate tonight will have any concrete proposals.

Romney skates amid Pawlenty, Bachmann slugfest

Tim Pawlenty’s attacks on her drew surprised whispers. When the Minnesota congresswoman jabbed back, there were murmurs. When she disappeared from the stage following a commercial break, the debate paused as everyone wondered aloud what had happened. And then there was the question from debate moderator Byron York on whether Bachmann would be submissive to her husband if she became president.

York, of the Washington Examiner, reminded Bachmann that she had previously said she became a tax attorney because Marcus Bachmann wanted her to, and that wives should be submissive to their husbands. “Would you be submissive to your husband as president?” he asked. The question elicited a collective gasp from members of the press assembled inside the Coliseum.

Bachmann stayed silent for a beat, her face unreadable. Then: “Thank you for that question, Byron.”

Bachmann then explained how, in her 33-year marriage, submission means respect — and “I respect my husband. He respects me.”

The press inside the event and Bachmann’s team agreed: Good answer.

“They wouldn’t ask a man that,” Bachmann spokeswoman Alice Stewart said after the debate. “But the answer was spot-on. She clearly has a different definition of submission than some people, and I think she did a great job clearing it up.”

It was the sharpest moment of a debate punctuated by aggressive attacks on a level unseen so far in the presidential race. Pawlenty, who declined an opportunity to attack Mitt Romney during the last debate, pulled no punches this time around — but he directed most of his fire at Bachmann, his key rival heading into Saturday’s straw poll.

oderator Chris Wallace pointed out, there aren't many worse things a Republican can say about another Republican these days than they remind them of the president. But Bachmann didn't back down, saying that while Pawlenty backed Obama-like policies as governor, she has fought them every step of the way.

Pawlenty countered by arguing, essentially, that Bachmann has been a failure - after stating that "she's got a record of misstating and making false statements. And that's another example of that list."

"She fought for less government spending, we got a lot more," Pawlenty said. "She led the effort against ObamaCare, we got ObamaCare. She led the effort against TARP, we got TARP. She said she's got a titanium spine. It's not her spine we're worried about, it's her record of results."

"If that's your view of effective leadership with results, please stop, because you're killing us," he added.

Ouch.

In the spin room afterward, Bachmann spokesperson Alice Stewart told me Bachmann "wasn't going after anyone" during the debate - suggesting, contrary to the evidence, that the congresswoman's only aim during the debate was to talk about her record. Stewart also said that while the Bachmann campaign had released documentation to back up its claims, they were "still waiting" for Pawlenty to do the same.

Pawlenty representative Sarah Huckabee Sanders, meanwhile, suggested Bachmann "came into the debate tonight looking to attack" - despite the fact that Pawlenty took the first shot. She pointed to the fact that the Bachmann campaign handed reporters a document immediately after the fireworks entitled "The Big Government of Tim Pawlenty" that included a number of attacks on the former governor.

Iowa GOP debate: Winners and Losers

Gloves come off between Pawlenty and Bachmann in GOP debate

In Iowa, GOP contenders in high-stakes battle for straw poll victory

Pawlenty has been hobbled by the notion that he is too "nice" to be president - his decision not to attack Romney on health care in the second debate seriously hobbled his campaign - and he appeared determined Thursday night to show himself to be a fighter.

"I don't think anybody will question whether he is tough enough to be president" after this debate, Huckabee Sanders told me. "I think he answered those questions tonight."

Eric Fehrnstrom, Romney's spokesman, said the fact that the other candidates fought it out while Romney largely remained unscathed "helped point out Governor Romney's unique ability to focus on the president."

"The opponent is the Obama administration and its policies," Fehrnstrom continued. "Campaigns are a lot about focus, and that's what he's focused on." He added that Romney "doesn't view" the other Republicans on the debate stage as his opponent.

That will likely change as the field is winnowed. But Romney's decision to essentially skip Saturday's straw poll now looks particularly wise, since it helped keep the target off his back.

Republican presidential candidates former Massachusetts Gov. Mitt Romney speaks as Rep. Ron Paul, R-Texas, listens during the Iowa GOP/Fox News Debate at the CY Stephens Auditorium in Ames, Iowa, Thursday, Aug. 11, 2011. (Credit: Pool,AP Photo/Charlie Neibergall)

There was more harsh back and forth between Bachmann and Pawlenty -- at one point Pawlenty called Bachmann's comments "illogical" -- but let's put that aside and talk about the other candidates. Newt Gingrich also got into a battle Thursday night, but, oddly enough, it was with the Fox News moderators. Asked by Wallace about his campaign having been a "mess so far," Gingrich accused Wallace of "gotcha questions."

"I'd love to see the rest of tonight's debate asking us about what we would do to lead an America whose president has failed to lead, instead of playing Mickey Mouse games," added Gingrich, who appeared exasperated for much of the evening. Countered Wallace: "Speaker Gingrich, if you think questions about your records are Mickey Mouse, I'm sorry. I think those are questions that a lot of people want to hear answers to, and you're responsible for your record, sir."

Later, questioned about his seemingly inconsistent position about intervention in Libya, Gingrich accused moderator Brett Baier of another "gotcha question." He suggested his contradictory quotes had been taken out of context, adding, "the fact that I was commenting on Fox about a president who changes his opinion every other day ought to be covered by a Fox commentator using all the things I said, not handpicking the ones that fit your premise."

Meanwhile, an ideological tussle broke out between Ron Paul, a strong advocate for states' rights, and Rick Santorum, who said social conservative values should essentially override them.

"We have Ron Paul saying, oh, what the states want to do -- whatever the states want to do under the 10th Amendment's fine," Santorum said at one point. "So if the states want to pass polygamy, that's fine. If the states want to impose sterilization, that's fine."

"No, our country is based on moral laws, ladies and gentlemen. There are things the states can't do," he added. "...I respect the 10th Amendment, but we are a nation that has values. We are a nation that was built on a moral enterprise, and states don't have the right to tramp over those because of the 10th Amendment."

Paul, as usual, was most animated on the issue of reducing the U.S. military presence abroad, at one point looking genuinely angry as he shouted, "It's trillions of dollars that we're spending on these wars!" The comment elicited a mixture of boos and applause from the audience.

Rick Perry, Sarah Palin: The elephants not in the room

10th Amendment up for debate within the Republican presidential field

CBSNews.com special report: Campaign 2012

Making his debate debut was former Utah governor and ambassador to China Jon Huntsman, who was polished, smooth, and somewhat forgettable amid all the fireworks. His best line came when asked about alleged cyber espionage from China, when he turned his experience as ambassador in the Obama administration into an advantage. "I think it would be great thing," he said, "to have a president of the United States who knew something about China." If the campaign turns to a focus on foreign policy, Huntsman could emerge as a serious contender.

Cain, the breakout star of the first debate, largely looked out of his depth this time around; at one point, a moderator explicitly referenced some of his past comments and asked if he simply wasn't quite ready for the job. Cain's most buzzworthy moment came when he said "never will I apologize for saying that Sharia law does not belong in the courts of the United States of America," prompting applause from the audience.

All the candidates stressed their opposition to raising taxes - and Romney and Pawlenty maintained they always had, even when confronted with evidence suggesting otherwise. Romney seemed to set up a contrast with Texas Governor Rick Perry, a strong rival who is entering the race Saturday, in stressing that he hasn't spent his whole life in government. Perry has worked his way up through the political ranks in Texas.

Asked about Romney's statements, Bob Schuman of Americans for Rick Perry told me, "well, [Perry] was a rancher first." He then went after the former Massachusetts governor.

Perry "has been a successful politician, and I think being a successful governor as opposed to being a mediocre governor trumps being a businessman," Schuman said.

The most awkward moment of the debate came when Bachmann was asked about her past comment that wives should be submissive to their husbands. Asked moderator Byron York: "As president, would you be submissive to your husband?"

Bachmann paused for a few moments before quipping, "thank you for that question, Byron." She then went on to offer up something of a non-answer.

"Marcus and I will be married for 33 years this September 10th. I'm in love with him. I'm so proud of him," she said. "And both he and I -- what submission means to us, if that's what your question is, it means respect. I respect my husband. He's a wonderful, godly man, and a great father. And he respects me as his wife. That's how we operate our marriage. We respect each other. We love each other."

From a policy perspective, however, the most important issue of the night centered on taxes. Congress has just formed a "supercommittee" to seek deficit reduction, and while most Democrats insist any deficit reduction plan include revenue increases, most Republicans say revenue increases should not be included. The candidates were asked if there was any ratio of spending cuts to tax increases they would accept - even up to ten to one.

Bachmann, Pawlenty tensions boil over in Iowa debate

Preamble: Welcome to tonight's Republican presidential candidates debate in Iowa – or, if you prefer, the competition to decide who will get beaten by Rick Perry for the 2012 Republican nomination.

On stage at Iowa University in Ames tonight are the eight people battling for the nomination. But not on stage – and looming over proceedings like that guy in No Country For Old Men – is Perry, the governor of Texas.

It now appears certain that Perry will announce that he's a candidate as of Saturday in Charleston. And that changes everything, since Perry is a bigger presence than any of the puny earthlings at tonight's debate.

So it kind of makes you wonder what the point of this is. Except that for the eight on stage, it's their last chance to make an impression before Perry enters the race. They should, therefore, go at it like rats in a sacks. (And by that I mean fighting, not having sex.)

Apart from Perry there is another absent figure haunting this debate like Banquo's ghost – St Sarah of Wasila, the patron saint of pipelines. The former governor of Alaska was said to be running for the nomination. But then during a bus trip across America in June she disappeared and has not been seen since.

Mitt Romney, meanwhile, faced questions about the universal health care plan he enacted as governor of Massachusetts, but for the second debate in a row, the Republican frontrunner escaped without suffering a campaign-altering blow.

The nationally televised forum, sponsored by Fox News and The Washington Examiner and held in an arena at Iowa State University, took place only hours after news broke that Texas Gov. Rick Perry plans to officially join the presidential fray on Saturday.

With a respectable jobs record, deeply-held Christian beliefs and an ability to raise millions for his campaign, Perry has the potential to fundamentally alter the shape of the Republican race.

The eight candidates on stage - Romney, Pawlenty, Bachmann, former Utah Gov. Jon Huntsman, former House Speaker Newt Gingrich, former Pennsylvania Sen. Rick Santorum, Texas Rep. Ron Paul and businessman Herman Cain - were largely complimentary when questioned about Perry.

The kind words were a departure from a series of sharp exchanges between Bachmann and Pawlenty that dominated the first half of the debate.

Pawlenty, a former two-term governor, said Bachmann's record in the House is "non-existent."

"She has said she has a titanium spine," Pawlenty said. "It's not her spine we are worried about, it's her record of results."

He went on, calling her an ineffective member of Congress, naming several laws that President Barack Obama and Democrats have passed since taking 2009.

"If that's your view of effective results, please stop," Pawlenty said. "You're killing us."

A stone-faced Bachmann shot back, accusing Pawlenty of having abandoned his conservative principles while serving in St. Paul.

She said he supported a cap-and-trade plan to cut carbon emissions and once expressing support for a mandate that individuals purchase health insurance, though neither idea became law during his administration.

"That sounds a lot more like Barack Obama if you ask me," Bachmann said.

The two Republicans have engaged in long-distance sniping for weeks as both have raced across the state hunting for votes ahead of the potentially pivotal Ames Straw Poll on Saturday.

Bachmann has surged to the front of Iowa polls by appealing to a coalition of tea party activists and social conservatives, while Pawlenty has struggled to gain traction despite staking his campaign on a strong showing in the caucuses, the opening act of the 2012 Republican nomination fight.

Pawlenty's aggressive posture was an eye-opening departure from the last Republican debate in June, when he shied away from attacking his opponents, subsequently raising questions about his toughness and ability to take on President Obama in a general election.

His performance Thursday was an acknowledgment that his campaign needs to do more to raise doubts about his rivals if he hopes to boost his standing among Republican voters and donors.

Palin's supporters have been out in force and many claim that she will appear among them in Iowa, for so it has been prophesised on Palin's Facebook page.

So who is actually on stage tonight? Here's a quick run-down:

Mitt Romney: currently the Front-Runner In Name Only (FRINO), the former Massachusetts governor leads the polls. But if you've got a poll, throw it away, it's worthless. After Saturday the polls will just say: "Rick Perry. The end."

Michele Bachmann: Bachmann was said to be the winner of the last debate, which was roughly a million years ago in June, so no-one cares. Currently on the cover of Newsweek looking a bit mad.

Jon Huntsman: A first appearance for the former governor of Utah, who graciously left his governor's mansion to serve his country as the US ambassador to China. Naturally he's as popular as anthrax.

Newt Gingrich: Less popular than anthrax.

Ron Paul: Iconic, veteran congressman, principled, intelligent. He has no chance. Quite the libertarian, except for abortion and gays. Then he's not. Seriously, he would win the nomination but for a secret alliance of the Mainstream Media, Wall Street and Republican voters who insist on not voting for him in large numbers.

Rick Santorum: Is he still running? I forget.

Herman Cain: Pizza guy. Meh.

Gary Johnson: According to NPR: "the former New Mexico governor will be a curiosity since most people still don't know who he is". I know he was governor of Mexico. Sorry, New Mexico. (Actually, he'd have more chance of becoming president of Mexico. Maybe he should try?) In fact Johnson is smart, sensible, was a very good governor and seems like a nice guy. Obviously: zero chance. Update: No, Gary Johnson's not in this debate. Whoops. I blame the internet.

Tim Pawlenty: Still running. May as well not bother. Seriously, have you seen his latest poll ratings? He's now less well-known than when he started. That's quite an achievement: negative publicity.

But Romney dismissed the charge and offered a familiar response, arguing that his health care law was right for Massachusetts and appropriate under the Tenth Amendment that reserves powers not granted under the Constitution to the states.

He called the health care law signed by President Obama a federal takeover and said that as president he would grant states health care waivers.

Later in the debate, Santorum and Paul battled over foreign policy and what they would do about Iran if elected to the White House.

Paul, a libertarian and longtime critic of American efforts overseas, said the United States should engage in diplomacy with Iran.

That prompted a fiery response from Santorum, who has long advocated for regime change in Iran. He told Paul that Americans should be wary of the Iranian nuclear threat.

"Anyone that suggests that Iran is not a threat to this country or is not a threat to stability in the Middle East is obviously not seeing the world very clearly," he said, jumping at the chance to highlight his foreign policy record from his time in the Senate.

Santorum, also a staunch social conservative, raised eyebrows by criticizing Iran's treatment of gays.

The regime, he said, "tramples the rights of women, tramples the rights of gays, tramples the rights of people all throughout their society."

Gingrich won applause with a punchy performance laced with attacks against the media, including the debate hosts.

He accused one debate moderator, Fox News host Bret Baier, of asking "gotcha questions."

The national media is obsessed with political process rather than "basic ideas that distinguish us from Barack Obama," he said.

The debate also presented Huntsman, who returned from his post as ambassador to China in April, with his first chance to address a national audience.

He avoided criticizing his rivals and instead set his sights on introducing himself to voters, touting his record of cutting taxes and fostering a strong business climate in Utah, which had a AAA bond rating during his tenure.