Yarmuth, Northup Trade Jabs At Debate

LOUISVILLE, Ky. -- The troubled economy was front and center Friday in the first debate for Louisville's seat in Congress.

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Rep. John Yarmuth and challenger Anne Northup clashed on a wide variety of issues, and they even disagreed with key positions from the presidential candidates in their own parties.

At the beginning of the debate, there was also a clear difference on the recent $700 billion rescue plan.

"Instead of actually purchasing these securities, guaranteeing them gives them the instant same wealth," Yarmuth said. "I didn't want to vote for this bill, but when I talked to business leaders throughout the community, small-business owners, they were desperately concerned."

Both candidates expressed doubts about key plans of their respective party's presidential candidates to turn around the economy and help taxpayers.

Yarmuth characterized Sen. Barack Obama's health care plan as a stopgap measure. Obama has also said he'd give 95 percent of Americans a tax cut.

"Right now, we're in a very, very difficult situation, and I think talk of a tax cut is probably premature right now," Yarmuth said.

Sen. John McCain has complained about earmark money for specific community projects. Northup said they're necessary and cost effective, and she completely disagrees with McCain's plan to buy $300 billion in mortgages from people who can't afford to pay them.

"What about the person who's living in an apartment that wanted to buy a home, but thought, 'I don't think I could afford that' and never got a house to begin with," she said. "They're going to pay tax money to bail out the person that did?"

And with the stock market plummeting, the credit markets in trouble and the world economy suffering, neither candidate claimed to have the answer to fix it or know what the ultimate effect of the recent bailout plan will be.

"It's not that I know for sure that it's going to be the right move," Yarmuth said. "What I'm hoping is that it would change the psychology of the markets. Instill some confidence. It clearly hasn't done that yet."

"I think it's going to come back, but in the meantime, you know, what we don't need is a Congress that continues to spend hundreds of billions of dollars," Northup said.

The candidates also disagreed on an issue of local interest, the bridges project.

Northup said the East End Bridge should be built with the money already set aside and it could be done in four years.

Yarmuth said that move would violate the community agreement and accused Northup of supporting southern Indiana's position instead of Kentucky's.

He said there needs to be a push for alternative funding sources.