The Congressional Democrats’ stampede to join Republican efforts to defund ACORN was stupid on many levels, as Paul Rosenberg explained in this post. Among other things, Rosenberg argued, Democrats empowered and validated the GOP’s strategy of demonization. They may have thought cutting off ACORN’s funding would cause Republicans to stop exploiting the issue, but of course, the opposite is true.

The White House is making a huge deal out of a commitment to introduce cost-saving measures from “the presidents of Pharma, Advamed (device manufacturers), the American Medical Association (doctors), the American Hospital Association, America’s Health Insurance Plans, and SEIU’s Health Care project.”

The White House arranged an urgent Sunday-afternoon conference call with reporters to break the news, and President Obama went on tv on Monday to talk about it. (Click here for the transcript of Obama’s televised remarks.)

Unlike the 1970s, when stakeholders’ promises to hold down costs derailed legislative action on health care, Obama made clear today that the current agreement on savings is “complementary to and is going to be completely compatible with a strong, aggressive effort to move health care reform through here in Washington [….]”

It’s too early to know how significant today’s announcement will be, so I’m laying out the cases for optimism and pessimism after the jump.