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Treasury Sec to brief today

UPDATE: The White House said this morning that President Bush will "not get into details" during his statement on the economy, but will rather "give principles to guide the discussion.""The long-term prospects for this economy are sound," said White House spokesman Tony Fratto. "[Mr. Bush] thinks Americans should have confidence for the long-term prospects."___________Treasury Secretary Henry Paulson and Ed Lazear, chairman of the president's council of economic advisers, will brief reporters at the White House at 12:15. President Bush makes a statement on an economic stimulus package at 11:50 a.m.Mr. Paulson said on "The Today Show" this morning that the economic outlook is "not an emergency," but admitted there is an "urgent need" for government action. - Jon Ward, White House correspondent, The Washington Times

Bush meeting with Kissinger, Primakov

President Bush went into a meeting this morning with former US and Soviet officials this morning, including former Secretary of State Henry Kissinger and former Soviet Prime Minister Yevgeny Primakov.The White House announced the meeting this morning, and originally said it would take place this afternoon.White House spokesman Tony Fratto said that the stated reason for the meeting was that it is "an opportunity for the president to hear the views of these respected statesmen on a number of issues important to the United States and Russia."But Mr. Kissinger and Mr. Primakov head up a working group on US-Russian relations made up of former officials in both governments. The group was formed in April after both leaders met in Moscow with Russian President Vladimir Putin, who supported the idea.Sarah Mendelson, a Russia expert at the Center for Strategic and International Studies, said the group is a way for Mr. Putin to maintain contact with the Bush administration while continuing to close off contact with the US inside his country."Putin wants a funnel system where he has contact with a very few senior folks repeatedly and that's where he’s getting his idea of what policy is going to be, and then he wants to cut off contact for everybody else," Ms. Mendelson said.It's interesting to point out that with this group, Mr. Putin is operating independently of the Bush White House. He can initiate contact, through this group, with any of the presidential candidates and pick right up with the next president where he left off with Mr. Bush.The reason the Kremlin is cutting off contact with outsiders for normal Russian citizens, Ms. Mendelson said, is because Mr. Putin is "actively fostering anti-American sentiment and anti-British sentiment.""It's an old tactic to divert attention away from the fact that institutions at home barely function," Ms. Mendelson said. - Jon Ward, White House correspondent, The Washington Times

Pro-Clinton Magic Johnson: Who you calling 'rookie'?

In a radio ad for Hillary Clinton, Magic Johnson is implying that Barack Obama is untested, lacking the requisite experience for the presidency. The campaign hopes the fright message - Don't roll the dice on a rookie! - from the beloved Lakers legend will stop the hemorrhaging of Clinton's support among blacks in South Carolina.But if there is one figure in American sports who should NOT be making the argument that you can't rely on a rookie, it is Magic Johnson.Anyone out there remember Magic's own rookie season (1979-80) in the NBA?I do. After being selected as an All-Star game starter, he went on to lead the Lakers to the NBA finals against Dr. J's Phildadelphia 76ers. With a 3-2 lead in the series, the Lakers' great center Kareem Abdul-Jabbar was sidelined with a sprained ankle. Lakers coach Paul Westhead boldly decided to start Magic, a 6-9 point guard, at center for game 6. In that game - in Philly - the rookie scored 42 points, snagged 15 rebounds, dished out 7 assists and topped it all off with 3 steals. The Lakers won the game (123-107) and the NBA championship. The rookie was named the NBA Fnals MVP. His game 6 tour de force is widely acclaimed as among the greatest individual performances in league history. - Daniel Wattenberg, arts and entertainment editor, The Washington Times

WH: Stimulus deal in "weeks, not months"

The White House this morning said that they want to reach an agreement with Congress on a financial stimulus package within a few weeks."We're certainly talking weeks, not months," said White House press secretary Dana Perino.As Mrs. Perino briefed reporters at the daily, off-camera gaggle, the Dow Jones Industrial Average opened the day by falling more than 400 points, before rallying about 200 points. But Mrs. Perino was mum on the subject."We don't comment on daily fluctuations in the market," she said. "We are not forecasting a recession. Clearly there is a slowdown."Mrs. Perino said that Treasury Secretary Henry M. Paulson briefed the president by phone yesterday on the global economy, where markets around the world plummeted due to fears of a US recession.Mr. Paulson is acting as the president's negotiator with Congress to hammer out a financial stimulus package to put cash in consumers' hands quickly. Such a deal could include tax rebates of up to $800 a person and $1,600 per family, according to media reports.Mr. Bush will meet this afternoon at the White House with congressional leaders from both parties, to brief them on his recent trip to the Middle East and discuss the stimulus package.Mrs. Perino could not say how quickly money will actually funnel to taxpayers, but White House spokesman Tony Fratto said that they "are looking at ways to best deliver relief as quickly as possible."- Jon Ward, White House correspondent, The Washington Times

Pelosi on the economy

House Speaker Nancy Pelosi this morning sought to reassure the nation that the Democrat-led Congress is "working as quickly as possible" to jump-start the sputtering economy."Today's emergency rate cut by the Federal Reserve Board indicates a commitment across all levels of government to revitalize the economy, restore confidence in the markets, and help Americans struggling with soaring bills for gasoline, groceries, housing and home heating," the California Democat said."Congress is also taking action — working as quickly as possible in a bipartisan way with the Bush administration to stimulate the economy by putting money into the hands of people who will spend it," Mrs. Pelosi said. "Any stimulus package will be timely, targeted, and temporary, and we are working with great speed to get this done and get relief to Americans."— S.A. Miller, Capitol Hill correspondent, The Washington Times

Bush quotables: Metaphorically, not literally

"And as you begin your march, I'm proud to be standing with you." - President Bush, to participants in today's "March for Life," by phone

GOP fiscal hawks drop tax cut demands (for stimulus package)

UPDATE — An RSC spokesman correctly points out that House Republicans are still calling for the tax cuts to be made permanent, and have not dropped that as a priority issue.The tax cuts have been dropped from the current negotiations over the stimulus package.On Friday, Mr. Hensarling, in a statement on the economic stimulus package, said that "nothing would help our economy more than making permanent the tax relief that is soon to expire."The stimulus package released by the RSC today did not include the tax cuts, but the original post should have made clear that permanent tax cuts are still a top priority for GOP fiscal hawks._____The Republican Study Committee today issued their own economic stimulus package, in which they dropped demands that President Bush's tax cuts be made permanent. Also today, House Republican leaders indicated which Democratic demands will be sticking points in negotiations.A House Republican source said that Democratic desires to increase Medicaid funding, aid to states and infrastructure funding are all "nonstarters."Democrats also are pushing for including non-income taxpayers in any tax rebate.The RSC, a group of more than 100 fiscally conservative House Republicans led by Rep. Jeb Hensarling of Texas, said last week that any stimulus package needed to make the president's 2001 tax cuts permanent beyond 2010.But in the proposal released today, the tax cut demand was dropped."The Democrats took it off the table," said a source inside the RSC.The RSC is still calling for four specific business-friendly measures: full, immediate expensing of assets; a reduction in the corporate tax rate, from 35 percent to 25 percent; elimination of the capital gains tax on inflation; and reduction of the capital gains rate, from 35 percent to 15 percent. "The best way to encourage an economic turnaround, help preserve jobs, and spur widespread economic growth is to ensure that job-creators face a lower tax and regulatory burden," said Hensarling spokesman Brad Dayspring.The Club for Growth is calling for similar measures. Here is a summary of the RSC's measure, which they're calling the "Economic Growth Act."1) Full, Immediate Expensing. The bill would allow all businesses to immediately expense-or deduct on their tax returns-the costs of assets (including buildings) they purchase for their business in the year that they buy such assets ('Section 179” expensing). Under current law, businesses can only take such deductions in pieces, over several years. This provision, by accelerating the expensing, would encourage the purchase of assets with which to grow a business.2) Significant Reduction in the Top Corporate Tax Rate. The bill would immediately cut the top corporate income tax rate from 35% to 25%, aligning it with the average rate in the European Union. This provision, by allowing businesses to keep more of the money they earn, would encourage the expansion of businesses, the hiring of more workers, and an acceleration of investment, while making American companies more competitive internationally.3) End the Capital Gains Tax on Inflation. The bill would index for inflation the cost basis used when calculating the capital gains tax on assets acquired before the end of 2008. Under current law, the capital gains tax is based on the difference in the original purchase price of the asset and the sale price of the asset. However, some of this difference, or 'gain,” can be attributed to inflation. This provision, by effectively reducing the amount of a gain that is taxable, would encourage the movement of capital in 2008 and spur voluminous economic investment.4) Sharp Reduction in the Capital Gains Rate for Corporations. The bill would allow corporations to benefit from the 15% capital gains rate. Under current law, individuals pay a top capital gains rate of 15%, but corporations are subject to a 35% top rate. This provision, by encouraging corporations to sell unwanted assets, would unleash funds and materials with which to create jobs and grow the economy.— Jon Ward, White House correspondent, The Washington Times

Interesting: Rahm on the Bush legacy

From a release put out this afternoon: "As President Bush prepares his final State of the Union address, House Democratic Caucus Chairman Rahm Emanuel will hold a media availability to discuss the Bush legacy."It's scheduled for 1 p.m. in the House Radio/TV Gallery.— Jon Ward, White House correspondent, The Washington Times

Boehner likes the RSC stimulus ideas

House Minority Leader John Boehner said today that he favors long-term economic stimulus ideas floated by GOP fiscal hawks yesterday, which we blogged about yesterday."This package contains essential components to ensure long-term US economic growth, not just this quarter or this year, but for many years to come," said the Ohio Republican.Mr. Boehner and House Speaker Nancy Pelosi, California Democrat, are the chief congressional negotiators working with Treasury Secretary Henry Paulson to reach a deal within the next few weeks.Mr. Boehner said the RSC package "will be an impetus for a discussion in the coming weeks and months about our long-term economic future."The legislation, when agreed upon, will start in the House and move to the Senate.— Jon Ward, White House correspondent, The Washington Times

Did addict role lead Ledger to drugs?

The New York medical examiner's office says it will take 10 to 14 days to get the results from an autopsy performed today on 28-year-old actor Heath Ledger, who was found dead yesterday in his Manhattan apartment. Until then, we can only speculate about whether the actor's untimely passing was an accident, a suicide attempt or, as some are suggesting, a drug overdose.This much is clear, though: Emerging details about Mr. Ledger's recent life paint the picture of a deeply troubled and increasingly isolated individual. Perhaps this deteriorating mental state was entirely biological, although past interviews and new information coming out lead us to believe that the actor's intense portrayals of late took a toll on him. It would be ludicrous to suggest that acting killed Mr. Ledger, although it seems reasonable to ask whether the pressure he felt to perform and the places he went in order to give his best contributed to his demise.In an interview published in the New York Times in November, Mr. Ledger said he "stressed out a little too much" while playing one of six Bob Dylans in Todd Haynes' "I'm Not There." When I spoke with the director that same month, he told us that Heath "was so hard on himself."In that same New York Times interview, Mr. Ledger spoke about his upcoming role as the Joker in the "Batman Begins" sequel, "The Dark Knight." He described his character as a "psychopathic, mass-murdering, schizophrenic clown with zero empathy," then mentioned how he'd had trouble sleeping of late. His mind wouldn't stop racing, even when he took an Ambien, he said.Not long before this, people had begun to notice a change in Mr. Ledger, observing that he'd grown reclusive, erratic and unkempt following his split with actress Michelle Williams (the mother of his 2-year-old daughter, Matilda) in September. It's entirely possible that Mr. Ledger's sleepless nights were related to the loss of this relationship, which, being a star, he did not get to mourn privately. Yet, his comments do leave one to wonder about the impact that going so deeply into such dark places on screen might have had.One particularly dark place Mr. Ledger went in recent years was in "Candy," a 2006 film that had him playing a heroin addict. I spoke with the actor in November of that year, and in between yawns (he said he was tired), he told us how he and co-star Abbie Cornish had gone to a rehab clinic to prepare for the role, learning the proper techniques for shooting up and the way the drug might effect the body at various times. Those of who've seen the film know what an emotional ride "Candy" must have been for the star. On screen, Mr. Ledger realistically took us through every injection, every ache, every impulse of a drug addict.When I asked if he drew from his own experiences, the actor said, "Not really. I can certainly understand addiction. I've been addicted to tobacco; I know what it is to crave something, to be thirsty. I've certainly smoked a joint, so I know what it's like to be high."He made no mention of ever having shot up, but several reports now claim that prior to Mr. Ledger's death, he was battling a heroin addiction and other substance abuse problems. A source told London's Daily Mail that "he had a stint in rehab last year when he was treated for heroin."Supposing Mr. Ledger had been addicted to heroin before "Candy," it's obvious why he wouldn't divulge that information in an interview. But if we take his words at face value, one could reasonably infer that this particular film may have introduced him to a destructive and potentially deadly behavior.Much has been made about how watching sex and violence on TV and film may encourage such behaviors, and it would stand to reason that watching scenes about drug abuse might have a similar effect. Now just think about the compounding effect that not just seeing but actually emotionally inhabiting and recreating these scenes might have. Look at the life of River Phoenix, for example, a similarly intense actor whose role as a drug-using street hustler in 1991's "My Own Private Idaho" left some people wondering if it hadn't contributed to his eventual heroin and cocaine overdose two years later.We'll find out in the coming days just how credible the reports about Mr. Ledger's drug abuse are, and we'll also find out more about the circumstances surrounding his death. But perhaps we shouldn't wait any longer to start thinking about this: Acting is a wonderful thing that brings joy to many and a life's work to others, but role research and preparation may - when taken to a literal-minded extreme - be hazardous to young stars' health. Maybe it throws them into a mental state they find it hard to get out of. Maybe it introduces them to a damaging new behavior. And maybe we should start listening for the warning signs - for those times when actors start to reveal just how sleepless their nights are becoming. - Jenny Mayo, arts and entertainment writer, The Washington Times