As we all know there is a tension in the White House's economic team on jobs creation vs deficit reduction. In the previous few weeks Geithner was considering using the repaid TARP money to pay down the deficit.

However, there has been a HUGE push back from the Congress that that TARP funds should be used for MAIN STREET.

In the last few days it appears that the White House has been listening to Congress and Main street.

According to CNN Obama is going announce in his big speech that he will push Congress to use $200 billion from TARP for job creation. It will be broken down to infrastructure jobs, small business loans, etc. The details will be in the speech.

Before this announcement, top Democrats have been urging the White House to do this very thing.

http://thehill.com/...

A senior Democrat said Congress is more likely to pass a job creation bill this year if President Barack Obama endorses using bailout money to pay for it. Rep. Chris Van Hollen (D-Md.), assistant to the Speaker and chairman of the Democratic Congressional Campaign Committee, said in an interview with The Hill on Friday that the House is "poised" to pass a jobs bill, but Obama's backing is needed to get it through the Senate and shore up support in the House.

Well apparently Obama is going to do just that.

Geithner himself is on board as well. In an interview on Political Captial with Al Hunt, Geithner was asked about TARP funds being used for jobs creation and he said yes.

http://www.huffingtonpost.com/...