Obama has outlined “five pillars” for a new economy that would “make this new century another American century.” In addition to his vague promise of new regulations on finance, Obama listed education (including several right-wing policy initiatives) and “new investments in renewable energy and technology.”

The other two “pillars” foretell massive cuts to social spending: cutting health care costs and “restoring fiscal discipline.”

Obama did not explain how he would cut the cost of health care, referring only to his stimulus packages’ investment “in electronic health records” and “preventive care.” However, the support his reform initiative has thus far enjoyed from insurance corporations, health maintenance organizations (HMOs), and the pharmaceuticals indicates that “cost savings” will come at the expense of patients and the provision of services.

Obama did not tarry long on the first four pillars, but a considerable portion of his speech was dedicated to the fifth, “restoring fiscal discipline.”

Obama boasted that he would “reduce discretionary spending for domestic programs as a share of the economy by more than 10 percent over the next decade.” This will not come from the military budget, which has been handed a record $640 billion for the coming fiscal year.

But what will that entail?

Obama said:   “The biggest cost drivers in our budget are entitlement programs like Medicare, Medicaid, and Social Security, all of which get more and more expensive every year,” Obama continued. “So if we want to get serious about fiscal discipline—and I do—we will also have to get serious about entitlement reform.”

Does this mean that medicare or social security or what?  If there are going to be cuts and the banks are exempt, where will the savings promised come from?  If it comes from where it sounds like it will, then the retired and elderly will be hit the hardest while banks and their CEOs continue to live the “high life”.