2nd debate: Obama seen ahead

By : Kenneth J. Cooper

Boston, Oct. 8: Barack Obama and John McCain exchanged direct, polite criticisms in their second debate, but agreed about the US economy, the biggest issue for voters in the election in November.

The presidential candidates said, in slightly different words, the world’s largest economy is in the worst shape in decades. Then both predicted it will recover.

Mr Obama called the current turmoil that has rocked world markets "the worst financial crisis since the Great Depression" before he sounded an optimistic note about the future at an unspecified date.

"I am confident about the American economy," Mr Obama said. "We’re going to have to coordinate with other economies."

Mr McCain described the economic situation as "the biggest financial challenge and crisis of our lifetime." He also expressed certainty that Americans "can fix our economy" because the United States has "the best workers in the world."

A Republican whose party puts its faith in private markets, Mr McCain proposed the US government do even more to turn around the country’s economy, beyond the huge bailouts of financial firms that have been already initiated.

He called for buying home loans that are not being repaid on time and renegotiating terms more favourable to borrowers to reflect the depressed values of their properties. Aides said afterwards that Mr McCain would commit $300 billion to that effort.

Democrats in Congress, members of Mr Obama’s party, had unsuccessfully pushed a similar proposal as part of the $700 billion bailout of Wall Street that President Bush signed into law last week. Mr McCain’s echo of that plan may appeal to voters resentful of publicly-funded bailouts of financial companies, but at the same time alienate members of his party who oppose government intervention in markets. Mr McCain and Mr Oba-ma did disagree about the cause of the financial crisis. Mr McCain blamed the lending practices of two private companies, which were originally created as government-sponsored enterprises. Mr Obama cited the loosening of government regulations that he said Mr Bush has pushed and Mr McCain has supported.

Mr McCain was the aggressor in the debate on Tuesday night in Nashville, Tennessee, which was similar to a television talk show with a live studio audience, whose members asked questions. Mr Obama remained cool in the face of Mr McCain’s attacks and resp- onded in kind.

The presidential nominees paced as they talked. The short, stiff steps of Mr McCain, 72, made his age more apparent than it was two weeks ago when they debated standing behind lec-terns. His movements contrasted with the long, gliding strides of Mr Obama, who at 47 is a generation younger. Americans have wearied of nasty attacks during political campaigns, and both nominees couched their criticisms in polite terms. The notable exception was when Mr McCain referred to Mr Obama impersonally as "that one."

Snap polls and neutral analysts indicated Mr Obama prevailed over Mr McCain, who has fallen further behind in the polls as the economic situation has worsened.

"Overall, my feeling is Obama came in modestly ahead," David Gergen, a former adviser to Republican and Democratic Presidents, said on CNN.

The writer is a former New Delhi-based South Asia bureau chief of the Washington Post and a Pulitzer Prize winner