Biden Gave His State of the Union Speech. Key Takeaways

Dow Jones03-08

President Joe Biden delivered a forceful and at times fiesty State of the Union address, seeking to draw a distinction between himself and his likely opponent in the fall and outlining a vision for a second term in office.

The president made 13 references to his predecessor in the prepared text of the speech without mentioning him by name as he set out a broad outline of his policy priorities, including raising taxes on corporations and wealthy individuals, creating a fairer economy for all Americans, and standing up to foreign aggressor nations.

The speech comes with just months to go before the general election, when Biden is expected to face former President Donald Trump in a rematch of 2020.

In his speech, Biden drew contrasts between his own agenda and that of Trump and Republicans on policies ranging from reproductive rights to migration and the U.S. border.

“America’s comeback is building a future of American possibilities, building an economy from the middle out and the bottom up—not the top down, investing in all of America—in all Americans—to make sure everyone has a fair shot and we leave no one behind,” he said in his prepared remarks.

The speech was punctuated by several rounds of applause and chants of “four more years,” and with a vocal push back by Republicans in the chamber on his comments on border policy and Social Security.

Here are five take aways on the speech.

American Comeback

“I inherited an economy that was on the brink; Now our economy is the envy of the world,” Biden said, noting 15 million jobs created in three years, including 800,000 new manufacturing jobs, 16 million new small businesses, and historic job growth for black, Hispanic, and Asian Americans.

He used the speech to highlight administration efforts to clamp down on hidden fees consumers pay for everything from banking services to healthcare. He vowed to stop snack and candy companies from shrinking product sizes while charging the same price. He urged Congress to cut prescription drug prices for everyone, not just Medicare recipients, and keep lower healthcare premiums.

He also proposed restoring an expanded child tax credit, which could affect 39 million low- and middle-income households, and increasing access and affordability of educational opportunities from preschool through college.

Biden has been battling public perceptions about the economy and his administration’s efforts to fight inflation, and has been traveling to key battleground states to tout economic achievements such as infrastructure and energy projects.

Housing costs have been a persistent battle for the administration, with mortgage rates elevated and fewer sellers in the market, keeping home prices high. Biden wants Congress to pass a $10,000 tax credit spread over two years for first-time home buyers, and a new up-to-$10,000 tax credit for people who sell their starter homes, which he sees as unlocking housing inventory.

He announced the White House’s first-ever Initiative on Women’s Health Research and proposed $12 billion to fund it. He asked the audience to stand up for seniors, telling anyone considering raising the retirement age: “I will stop you.”

Foreign Affairs

Biden started his speech with a forceful rebuke of Russian President Vladimir Putin, and said freedom and democracy are under attack both at home and abroad.

He called for aid for Ukraine in its fight with Russia, evoking former President Ronald Reagan’s call to the former Soviet Union to tear down the Berlin Wall. He also noted the strengthened North Atlantic Treaty Organization, which Sweden joined Thursday and Finland joined last year, urging Congress to send him a bill offering aid for Ukraine, Israel, and other allies.

He also outlined efforts to deliver more aid to residents in Gaza, and announced he has directed the U.S. military to establish a temporary emergency sea pier on the Mediterranean Coast of Gaza to accelerate deliveries of food, water, medicine, and temporary shelters. “No U.S. boots will be on the ground,” he said.

Differences With Trump

Biden also used the speech to draw contrasts between Democratic and Republican policies, especially on the issues of reproductive rights, Social Security, and the U.S. border.

Looking out over a large number of Democratic women lawmakers wearing white in a symbolic show of support for reproductive freedom, Biden promised that “If you as the American people send me a Congress that supports the right to choose, I promise you: I will restore Roe v. Wade as the law of the land again.”

Biden criticized Trump for telling Republicans to block a bipartisan border security package that would have hired 100 more immigration judges and 4,300 more asylum officers, introduced 100 more high-tech drug detection machines to prevent vehicles from smuggling fentanyl into America, and granted him the emergency authority to temporarily shut down the border when the influx of migrants is overwhelming.

“We can fight over the border or we can fix it,” he said. “Send me the border bill now.”

Fairness

Much of the speech was dedicated to leveling the playing field for middle-class Americans, taking aim at the tax code and tax cuts enacted by the Trump administration.

While Republicans want to keep tax cuts enacted during former President Donald Trump’s administration and make them permanent, Biden proposed increasing both the corporate tax rate and taxes on the wealthiest Americans.

He wants to raise the corporate minimum tax to 21% from 15%, and he proposed a 25% minimum income tax on the wealthiest American households, which he said would raise $500 billion over the next 10 years.

Unity Message

Biden also used his speech to appeal to American unity while pushing back at criticism about his age.

“History is watching,” he said, evoking the riots of Jan. 6, 2021, when Trump supporters stormed the Capitol as lawmakers were trying to certify the 2020 election results.

“This is a moment to speak the truth and bury the lies,” he said. ”And here’s the simplest truth. You can’t love your country only when you win.”

Alabama Sen. Katie Britt, delivering the Republican response, said Biden has been a politician for longer than she has been alive.

Her speech, which didn’t mention the former president, focused on border issues and inflation, two issues likely to be major Republican talking points during this year’s campaign season. “Our families are hurting,” she said.

Biden’s spending “dug our economy into a hole and sent the cost of living through the roof,” she added. “Hardworking families are struggling to make ends meet today, and with soaring mortgage rates and sky-high child care costs, they’re also struggling to plan for tomorrow.”

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  • Mywish
    03-08
    Mywish
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