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Saturday, 10 August 2013

Amid Domestic Deadlines and Global Crises, Obama Begins a Shorter Break

President Obama heads to Martha’s Vineyard on Saturday for his family’s almost-annual August vacation, toting the usual baggage of unrelenting global crises but stealing a week’s break before dealing with looming deadlines for the budget, his health care law and the appointment of a new Federal Reserve chairman.
The getaway will be Mr. Obama’s fourth in five years; he skipped last year during the presidential campaign. Like his predecessors, he is leaving as pundits and partisan opponents question whether it is a good time for him to be away — once again showing that for presidents, there never seems to be a good time.
When the White House disclosed that Mr. Obama would limit his stay to one week instead of two, there was speculation that the Obama team was worried that a longer vacation would be politically unseemly when across-the-board budget reductions, known as sequestration, are forcing furloughs and other cutbacks in military and domestic programs. But in the days before his departure, the administration’s global alert of potential terrorism attacks raised new questions about the vacation’s timing, and among the aides with Mr. Obama will be his national security adviser, Susan E. Rice.
Mr. Obama and his wife, Michelle, will first fly on Saturday to Orlando, Fla., where each will speak at a convention of disabled veterans. It will be the president’s second trip this week to speak to members of the military, after Wednesday’s pep talk to about 3,000 Marines and sailors at Camp Pendleton, Calif.
In a news conference on Friday, Mr. Obama addressed some of the issues that he will confront after he returns.
He held to his earlier timetable in saying he would decide “in the fall” on his choice to succeed Ben S. Bernanke as chairman of the Fed — ending any speculation that he might announce his choice while he is on Martha’s Vineyard, as he did in 2009 when he went before cameras with Mr. Bernanke to say that he wanted the Fed chairman, a Bush appointee, to serve another term.
Mr. Obama called the much-anticipated nomination to replace Mr. Bernanke “definitely one of the most important economic decisions that I’ll make in the remainder of my presidency.”
“The Federal Reserve chairman is not just one of the most important economic policy makers in America, he or she is one of the most important policy makers in the world,” Mr. Obama added. “And that person presumably will stay on after I’m president. So this, along with Supreme Court appointments, is probably as important a decision as I make as president.”
The president’s use of “he or she” was no accident, given that the two main candidates are Lawrence H. Summers — who was Mr. Obama’s White House economic adviser during his first term and a Treasury secretary in the Clinton administration — and Janet Yellen, another former Clinton economic adviser and now vice chairman of the Fed.
Mr. Obama reiterated that “there are a couple of other candidates who are highly qualified as well,” but the contest has been between Mr. Summers and Ms. Yellen. Liberal Democrats, especially women, have called for Ms. Yellen — she would be the first woman to lead the Fed — but people familiar with Mr. Obama’s deliberations give the edge to Mr. Summers.
The president, however, said his recent public comments supportive of Mr. Summers should not be taken as a signal of his intent, but only as a defense of his former adviser against what Mr. Obama sees as unfair criticism.
“When somebody has worked hard for me and worked hard on behalf of the American people, and I know the quality of those people, and I see them getting slapped around in the press for no reason — before they’ve even been nominated for anything — then I want to make sure that somebody is standing up for them,” Mr. Obama said.
Anticipating one of the biggest fights ahead, the president all but dared Congressional Republicans to follow through on their threats to shut down the government unless the annual spending bills due Oct. 1, the start of the fiscal year, defund the health care law, his signature domestic achievement.
Oct. 1 also is the starting date for a crucial piece of the law — when people among the 15 percent of uninsured Americans can begin signing up for coverage in state-based marketplaces, known as exchanges, where insurance companies will compete to offer policies.
“The idea that you would shut down the government unless you prevent 30 million people from getting health care is a bad idea,” Mr. Obama said.
He emphasized, too, the law’s benefits already in effect for the 85 percent of Americans who have coverage, and provisions barring companies from refusing insurance to those with pre-existing medical conditions.
Republicans “used to say they had a replacement,” Mr. Obama said, adding, “Now I just don’t hear about it, because basically they don’t have an agenda to provide health insurance to people at affordable rates.”

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