Obama Calls for 'Shared Responsibility,' But Yields Little Ground on Spending, Obamacare
                 WASHINGTON – Pleading for unity in a newly divided  government, President Barack Obama implored Democratic and Republican  lawmakers to rally behind his vision of economic revival for an anxious  nation, declaring in his State of the Union address Tuesday night: "We  will move forward together or not at all."
The president unveiled an agenda of carefully balanced political goals: a  burst of spending on education, research, technology and transportation  to make the nation more competitive, alongside pledges, in the  strongest terms of his presidency, to cut the deficit and smack down  spending deemed wasteful to America. Yet he never explained how he'd  pull that off or what specifically would be cut.
On healthcare, Obama signaled a slight willingness to compromise on his  signature legislative effort over the last two years, but drew a stark  line between his plans and those of Republicans wanting to repeal the  trillion-dollar law.
Obama said he knows there's opposition to the bill extending insurance  coverage to 30 million people. But he said he's not willing to go back  to the days when insurance companies could deny coverage.
The Republican-controlled House repealed the bill last week but it's not expected to go anywhere in the Senate.
Obama also said in the speech that he wants to work with Congress to  further reduce the cost of healthcare, including state reforms to the  medical malpractice system.
But he didn't endorse capping payouts in malpractice lawsuits. That's a  GOP idea that would yield big savings but is opposed by trial lawyers --  a key Democratic constituency.
Obama spoke to a television audience in the millions and a Congress  sobered by the assassination attempt against one if its own members,  Rep. Gabrielle Giffords. Her seat sat empty, and many lawmakers of  competing parties sat together in a show of support and civility. Yet  differences were still evident, as when Democrats stood to applaud his  comments on health care and tax cuts while Republicans next to them sat  mute.
In his best chance of the year to connect with the country, Obama  devoted most of his hour-long prime-time address to the economy, the  issue that dominates concern in a nation still reeling from a monster  recession — and the one that will shape his own political fortunes in  the 2012 election.
Eager to show some budget toughness, Obama pledged to veto any bill with  earmarks, the term used for lawmakers' pet projects. House Speaker John  Boehner and other Republicans applauded. But Obama's promise drew a  rebuke from his own party even before he spoke, as Senate Majority  Leader Harry Reid, D-Nev., said the president had enough power and that  plans to ban earmarks were "a lot of pretty talk."
Obama's proposals Tuesday night ranged across the scope of government:  cutting the corporate tax, providing wireless services for almost the  whole nation, consolidating government agencies and freezing most  discretionary federal spending for the next five years. In the  overarching theme of his speech, the president told the lawmakers: "The  future is ours to win."
In essence, Obama reset his agenda as he heads toward a re-election bid  with less clout and limited time before the campaign consumes more  attention.
Yet Republicans have dismissed his "investment" proposals as merely new  spending. Republican Rep. Paul Ryan of Wisconsin, giving the GOP's  response, said the nation was at "a tipping point" leading to a dire  future if federal deficits aren't trimmed.
The Senate's Republican leader, Mitch McConnell of Kentucky, said the  president had gotten the message from the November midterm elections and  "changed the tone and the rhetoric from the first two years."
Obama entered the House chamber to prolonged applause, and to the  unusual sight of Republicans and Democrats seated next to one another  rather than on different sides of the center aisle. And he began with a  political grace note, taking a moment to congratulate Boehner, the new  Republican speaker of the House.
Calling for a new day of cooperation, Obama said: "What comes of this  moment will be determined not by whether we can sit together tonight but  whether we can work together tomorrow."
On a night typically known for its political theater, the lawmakers  sometimes seemed subdued, as if still in the shadow of the Arizona  shootings.
Many in both parties wore black-and-white lapel ribbons, signifying the  deaths in Tucson and the hopes of the survivors. Giffords' husband was  watching the speech from her bedside, as he held her hand. At times,  Obama delivered lighter comments, seeming to surprise his audience with  the way he lampooned what he suggested was the government's illogical  regulation of salmon.
Halfway through his term, Obama stepped into this moment on the upswing,  with a series of recent legislative wins in his pocket and praise from  all corners for the way he responded to the shooting rampage in Arizona.  But he confronts the political reality is that he must to lead a  divided government for the first time, with more than half of all  Americans disapproving of the way he is handling the economy.
Over his shoulder a reminder of the shift in power on Capitol Hill:  Boehner, in the seat that had been held by Democratic Speaker Nancy  Pelosi.
Obama conceded that everything he asked for would prompt more partisan  disputes. "It will take time," he said. "And it will be harder because  we will argue about everything. The cost. The details. The letter of  every law."
Obama used the stories of some of the guests sitting with his wife,  Michelle, to illustrate his points, including a small business owner  who, in the tradition of American ingenuity, designed a drilling  technology that helped rescue the Chilean miners.
Flanking Mrs. Obama in the gallery: Brianna Mast, the wife of a soldier  seriously injured in Afghanistan, and Roxanna Green, mother of the  nine-year girl killed in the Tucson shooting.
The president cast the challenges facing the United States as bigger  than either party. He said the nation was facing a new "Sputnik" moment,  and he urged efforts to create a wave of innovation to create jobs and a  vibrant economic future, just as the nation vigorously responded to the  Soviets beating the U.S. into space a half century ago.
There was less of the see-saw applause typical of State of the Union  speeches in years past, where Democrats stood to applaud certain lines  and Republicans embraced others. Members of the two parties found plenty  of lines worthy of bipartisan applause.
In a speech with little focus on national security, Obama appeared to  close the door on keeping any significant U.S. military presence in Iraq  beyond the end of the year. "This year, our civilians will forge a  lasting partnership with the Iraqi people while we finish the job of  bringing our troops out of Iraq," the president said.
The president reiterated his call for a comprehensive immigration bill,  although there appears little appetite for it Congress. Another big  Obama priority that stalled and died in the last Congress, a broad  effort to address global climate change, did not get a mention in the  State of the Union. Nor did gun control or the struggling effort to  secure peace in the Middle East.
Obama worked in a bipartisan shout-out to Vice President Joe Biden and  Boehner as two achievers emblematic of the American dream, the former a  working-class guy from Scranton, Pa., the latter once a kid who swept  floors in his father's Cincinnati bar. Biden and Boehner shook hands  over that, and Boehner, clearly moved, flashed a thumbs-up.
After dispensing with all the policy, the president ended in a sweeping fashion.
"We do big things," the president said. "The idea of America endures."
               
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