Obama Cites Grim Economy At Start, as Past Presidents Have

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Obama Warns of Consequences Without Stimulus

President-elect Barack Obama warned of dire and lasting consequences if Congress doesn't pump unprecedented dollars into the economy, making an urgent pitch Thursday for his mammoth spending proposal in his first speech since his election.

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"He wants to press the urgency of his stimulus plan," said Dean Baker, co-director of the Center for Economic and Policy Research. "He wants to build the political momentum to get this through Congress quickly."

But already, some of the urgency seems to be cooling. Initially, Obama's economic advisers had hoped to have the stimulus plan through Congress and on Obama's desk shortly after his Jan. 20 inauguration.

But that date has slipped, and Obama now hopes to sign the recovery act in mid-February.

House Speaker Nancy Pelosi (D-Calif.) told reporters yesterday that she plans to hold the vote the last week of January, with House committees considering the legislation the week before Obama is inaugurated.

Under the new timeline, a delay of several weeks from the original timeframe, the Senate would not take up the legislation until the first week of February. Differences would be worked out the week of Feb. 9, with a final vote a week later.

"Whatever day they pass it, it is going to take some time to get the money out of the door," Baker said, adding that the economy's downward momentum increases by the day. "Most economists would like to have been spending money now."

Staff writers Paul Kane and Neil Irwin contributed to this report.