Will Joe Manchin thwart Biden's spending? FDA credibility hit

Slowing Jobs Growth Means More Fiscal Space for Democrats | US Politics In :60 | GZERO Media

Jon Lieber, head of Eurasia Group's coverage of political and policy developments in Washington, shares insights on US politics:

What does the disappointing jobs number mean for the Democrats' agenda?

Well, payroll employment in August came in well under expectations with under 300,000 jobs created. This is in contrast to the last several months, which really saw a torrid pace of job creation as the US started to recover from the pandemic and restrictions were lifted. With new mask mandates and the Delta variant spreading, Americans are slowing down their pace of activity and slowing down spending, which means you could see more economic volatility in the next couple of months. At the same time, Democrats are attempting to find consensus around a major new spending initiative, which would spend up to $3.5 half trillion over the next 10 years. This initiative isn't really about coronavirus pandemic recovery, or even stimulus, it's about expanding the size and scope of government for increased transfer payments and increased subsidies for education services and healthcare and also, of course, on infrastructure. The slowing jobs growth creates more fiscal space for Democrats to borrow more, and that's a real sticking point because you have moderates like Senator Joe Manchin from West Virginia, who says the US is already at their borrowing limit and shouldn't be borrowing more to spend money. This is going to be the major storyline in Washington for the next several months because it's also probably going to be the last big initiative of the Biden administration before the midterm elections next year.

Two top FDA vaccine regulators are about to leave this fall. How will this influence the vaccine rollout?

Well, the FDA has really struggled over the last year with vaccines and with the coronavirus pandemic. There's been mistakes and missteps along the way between the FDA and the Center for Disease Control, both around messaging, the science around the pandemic, and on things like testing kits, where there's been major screw-ups by the federal government. The two top vaccine regulators at the FDA announced they're going to leave, supposedly, according to some reports, because they felt like they were under political pressure to approve booster shots. The White House has said they plan on doing booster shots. They've already authorized them for people who have underlying conditions that make them more vulnerable. These two regulators leaving is just another bump in the road for the FDA. It's going to take a long time for the American health agencies to recover their credibility

More from GZERO Media

U.S. President Donald Trump delivers remarks on tariffs in the Rose Garden at the White House in Washington, D.C., U.S., April 2, 2025.
REUTERS/Carlos Barria

During a speech in the White House Rose Garden on Wednesday, Donald Trump announced a universal 10% tariff on all US imports, 25% tariffs on foreign-made cars and parts, as well as a naughty list of trading partners that were hit with “reciprocal tariffs” on top – to the tune of 20% for the EU, 54% for China, and 46% for Vietnam, to name a few of the hardest-hit.

Palestinians travel in vehicles between the northern and southern Gaza Strip along the Rashid Road on April 2, 2025.

Majdi Fathi/NurPhoto via Reuters

Israeli PM Benjamin Netanyahu said Wednesday that Israel was seizing more territory in Gaza to “divide up” the besieged enclave. He spoke as Israeli forces increased the intensity of their assault on Hamas in Gaza, which resumed two weeks ago after phase one of the ceasefire agreed to in January ended.

Vice President JD Vance and his wife, Usha Vance, tour the US military's Pituffik Space Base in Greenland on March 28, 2025.
JIM WATSON/Pool via REUTERS

How much would it cost for the United States to maintain Greenland as its territory? And what are the revenue possibilities from the Arctic island’s natural resources? Those are two questions the White House is reportedly looking into in the surest sign yet that Trump’s interest in Greenland is genuine.

Protesters demanded the ouster of South Korean President Yoon in central Seoul on March 29, 2025.
Lee Jae-Won/AFLO via Reuters

South Korea’s Constitutional Court will tie the legal bow on what has been a tumultuous period for the country as it rules Friday on whether to formally dismiss or reinstate impeached President Yoon Suk-yeol.

After voters elected her to the Wisconsin Supreme Court, liberal candidate Judge Susan Crawford celebrates with Wisconsin Supreme Court Judge Ann Walsh Bradley at her election night headquarters in Madison, Wisconsin, on April 1, 2025.

REUTERS/Vincent Alban

Republicans expanded their lean House majority after a pair of special elections in Florida, but a conservative candidate lost badly in a Wisconsin judicial race — despite a huge cash injection from Elon Musk.