Says President Obama will win another four years; also holds forth on the mortgage crisis and fracking
As voters in 10 states head to the polls Tuesday in primary elections that could bring clarity to the Republican presidential field, former Democratic President Clinton told an audience in New Orleans this morning that he expects this year's races to usher in an era of cooperation in Washington. "I predict to you that as this presidential election unfolds that there might be a surprising number of things accomplished in the Congress this year," Clinton told a conference of nearly 600 entrepreneurs gathered in red-state Louisiana's only remaining blue outpost.
Former President Bill Clinton speaks Tuesday morning to the GrowCo conference sponsored by Inc. Magazine at the Hyatt Regency Hotel in New Orleans.Not surprisingly, Clinton also forecast a second four-year term for the sitting president.
"Given what's happened in the Republican primary, I think the strong likelihood is that President Obama will be reelected," he said, adding that Republicans "will probably hold onto House with smaller margin," while Democrats have a fighting chance to retain a majority in the Senate.
"Under any circumstances, the (next) Congress will be closely divided and everybody will have then a vested interest in working together," the former president said. "I think you will get more cooperation, but the problem is, will you get the cooperation to do some big things?"
Among potential game-changers is dealing with the mortgage financing dilemma. "By not fixing this system, we're hurting everybody and it's slowing the economy and it's freezing up the credit channels for small business," Clinton said.
The former president suggested that lenders lower the value of mortgages in cases where home prices have plummeted to equal property values, then allow owners to refinance to today's historically low rates.
"But if you take that deal, knowing that when the economy comes back your house price is going to going up, you should be willing to split the profit with them," he said. "You let the bank or the holder of the mortgage convert a portion of their debt to equity. They are investors with you in the future of this house."
Clinton, who spoke for about 65 minutes at Inc. Magazine's GrowCo conference at the Hyatt Regency New Orleans, also weighed in on hydraulic fracking.
Referring to the technique that blasts sand, water and chemicals underground to stimulate oil and gas production, he said that in places like Louisiana where the method long has been in use, "there's an enormous consensus about how to safely do this and what kinds of strictures should be on the oil and gas industry to do this."
"I think this gas can be taken out of the ground safely. It's a good transitional fuel. It's half or less as polluting as coal, doesn't contribute to global warning and puts a heck of a lot of people to work and gets us energy independence," Clinton said.