Five Challenges for the New President

The new president will have to deal with five challenges.

1. Bring the two parties together

The new president needs to have both parties by his side so that he can draft a proposal to solve the current problems. In order to repair confidence in the market, the proposal must be widely accepted. Lack of cooperation between the two parties has already hindered progress toward a solution to America’s crisis. For instance, the $700billion plan to bail out U.S. economy has been already turned down by the Congress a few times.

2. Restore confidence in the market

The new president has to work hand-in-hand with Department of The Treasury, the Federal Reserve and all other monitoring institutions to demonstrate their determination to fix the problems. The new administration also needs to work more closely with other nations to restore confidence to the market.

3. Rejuvenate the real estate market and banking industry

The financial sector has become the new leader’s biggest problem. He will have to be extremely cautious about the degree of governmental interference in financial institutions as well as in determining how to help those who have suffered. The president will have to lead the reform of the financial regulatory system.

4. Withhold from raising taxes

In the current difficulties, the American people will not accept any measures to raise their taxes. This is particularly relevant to Obama’s plan to raise tax on high-income individuals. Will Obama push it in any sense? It is too early to comment.

5. Be patient

Washington has often been noted for its impatience. Nevertheless, it needs to realize that time is what is required in rejuvenating the market and restoring people’s confidence. Solutions to the problems of the financial market are not going to yield a harvest in a snap, while the real estate sector is yet to reach its bottom.