{I don't understand how the entire nation has been hornswaggled by the tax cuts create jobs ridiculousness. And to create enough demand, you need a large middle class with income to spend.}
Well, maybe not the entire nation.

And I think your last sentence hits the nail on the head. Middle class has been decimated by the shipping of jobs to China, Mexico, Guatemala, et al by the corporate crowd. So not only does Obama have to deal with a recalcitrant Congress, but probably more importantly, also figure out how to bring jobs back to the U.S. What a daunting task.