David Corn

Barack Obama wins. Mitch McConnell is talking nice about the president-elect. And Henry Waxman bounces John Dingell from the chairmanship of the all-powerful House energy and commerce committee.

It's a good time to be a liberal in Washington.

Sure, Clintonites are scoring well in the Obama administration sweepstakes, and the Clinton years are remembered by liberals for the exasperating triangulations of Bill, Hill and their crew. But the combo of Obama's triumph and the far-from-over economic meltdown has provided liberals with their best opening since the days of the Great Society, or even the New Deal. Forget--for the moment, only for the moment, I promise--Hillary Clinton's possible appointment as secretary of state. There's something larger going on and it's truly a fundamental change: the market is dead. It cannot even take care of itself. So how can anyone rely on--or call for--market-driven solutions for the challenges that face the nation: the economy, the health care crisis, and global warming?

All the talk--and melodrama--about Hillary Clinton becoming secretary of state continues. On Tuesday, I noted that a good argument against her was her management--or mismanagement--of her presidential campaign. Hillary Clinton did a lousy job of putting together a team that could work cooperatively and competently. She veered from one tactic to the next. She engaged in spin above and beyond the call of duty. Her campaign was a mess. Could she do better at State--which desperately needs to be revived after having been kicked in the teeth for eight years by the Bush-Cheney White House?

But here's another reason to ponder. Consider how smoothly the Obama campaign ran. Were there many leaks? Signs of internal disputes? Short answer: no. It was a disciplined shop. Disagreements were worked out in private. No one ran to reporters to play the usual game of leaking. Now consider what has happened in the past week. There has been a flood of leaks about Hillary Clinton and the State Department post. Where are they coming from? The best guess is, the Clinton side. And that side is bifurcated between Bill's people and Hillary's people, who don't always get along. If Obama places Hillary in his cabinet, it's likely such behind-the-scenes scheming and leaking will continue. Imagine if there are any disagreements between State and the National Security Council or the Pentagon. Won't the Clinton ops go into their usual take-no-prisoners-and-leak-away mode? Does Obama want to bring the Clinton circus into his Big Tent?

The more this drama plays out, the more curious it appears. What's Obama thinking on this front? I don't see any leaks about that.

Meanwhile, this morning, I appeared on Democracy Now to discuss Obama's transition team and the initial appointments to his administration.

I know everyone is waiting for me to weigh in on the big question of the week: Hillary to State, yea or nay? Well, I offered some thoughts on this matter at MotherJones.com. And here they are:

I was agnostic on the matter of Hillary Clinton's possible appointment as secretary of state--until last night.

If Barack Obama, the president-elect, wanted to pull a Team of Rivals play, that had seemed fine to me. And placing Clinton in Foggy Bottom would remove her from the dicey business of passing health care reform. Would it unite the party? Well, judging from the election results, the party is pretty darn united already. Despite the griping of a few Hillaryites at the Democratic convention, her voters certainly swung behind Obama in the general election (see Pennsylvania), after HRC and WJC campaigned for BHO in the fall. Unless an explicit deal was made between Obama and Hillary Clinton, it did not seem that Obama, after bypassing her for veep, had to appoint her anything for the party's sake. Still, if Obama and his savvy band of advisers thought that handing her one of the best jobs in the Cabinet would generate political benefits they could use to advance their agenda, I, as a non-fan of Hillary Clinton, was willing to say, okay--for what that was worth.

But then this happened: the presidential transition of no-drama Obama became infected by the never-ending soap opera of the Clintons. And it really is time to turn that program off. There are plenty of policy and political reasons for a progressive not to fancy Hillary. She served on the Wal-Mart board when the mega-firm was fighting unions; she screwed up health care reform for almost a generation; she voted wrong on the Iraq war and then refused to acknowledge she had erred. But, worst of all, as the cliché goes, with the Clintons, it always does seem to be about the Clintons.

So we've had a week of will-she-or-won't-she and what-about-him. Couldn't this have been handled with a little more grace? Maybe not, since it involves the Clintons.

I don't know how the Obama camp approached the issue. But before Obama met last week with Hillary to talk about this, his team should have done a pre-vetting of Bill. And then Obama, at this meeting, ought to have said something like this to her:

The Bush administration feels done. But examples and indications of Bush incompetence are going to be with us for a while. For example, it's remarkable that seven years after 9/11, not all the obvious security steps have been taken to protect Americans from a similar attack. From a press release issued by the Center for American Progress:

The Center for American Progress will release a new report that identifies the 101 most dangerous U.S. chemical facilities, which security experts say are possible terrorist targets. These facilities each threaten one million or more Americans who could be killed or injured in the event of a catastrophic chemical release.

The report also identifies safer, more secure chemical alternatives and processes that are readily available to these facilities. Adopting these alternatives would take tens of millions of Americans out of harm's way. With temporary chemical security standards set to expire in 2009, the report recommends that the incoming Obama administration and new Congress adopt measures to promote facility conversions.

Why has the Bush administration not moved assiduously on this front? You got me.

Meanwhile, USA Today reports:

Scene: A Chicago conference room. Two men--one old, one young--sit at a table. Two other men sit in chairs away from the table.

B: It's good of you to come to see me on short notice.

J: Of course, I would.

B: Can I get right to the point?

J: Straight talk? Sure, fire away.

B: It was a tough campaign. But now it's over. And as I said on the campaign trail, I respect all you've done for this country. All you have given and sacrificed. I do. But now it's time to talk about what comes next. For you.

J: (Slightly sarcastic.) Thanks for thinking of me.

B: John, you're not going to have a lot of friends back there. There's Lindsey, Joe and...well, that's about it--

J: You don't have to worry about me--

B: I'm not worrying--

J: And you want to be my friend now?

B: Not your friend. Your partner. Listen, there's a lot we disagree on. But there are several big things we see eye-to-eye on. Guantanamo, torture, global warming, political reform. And I'd like to ask you, what would you now like to accomplish? What legislation would you like to pass? What do you want your legislative legacy to be?

J: Well, I was thinking of a different sort of legacy.

B: I get that. But now you have to ask yourself, what's the McCain Act of 2009 going to be? I'd really like for us to work together. And do something big. Neither of us needs the usual phony rhetoric that comes out of meetings like this. You don't need for me to issue some statement praising you and the spirit of bipartisanship. And I don't need empty words of support from you. That yada-yada-yada won't do us much good. And it especially won't help you back in the Senate where--let's be honest--you're not going to be the most popular guy in the Republican caucus--

J: I think you made that point already.

B: I know. But let's think about what you want to do. Whatever it is, it's not likely you're going to have a lot of support from your fellow Republicans. But if we can find something together, we can make it happen. I've already talked to Harry--

J: You have?

B: And he's all for this.

J: (Slightly sarcastic.) What a prince.

B: John, it's up to you. I am committed to passing the McCain-Whoever Act.

J: Even if it's with Joe?

B: (Sighs) Yes, even if it's with Joe.

J: (Resigned to the logic of the situation.) I see, my friend: keep your friends close, and your enemies closer.

B: No, John, it's putting country first.

J: Yeah, yeah, yeah, I get it: yes we can, right?

B: Actually, yes we can. If you want to.

J: Can we get back to you?

B: (Nodding to one of the other men.) Sure. Have Lindsey call Rahm whenever you want to move ahead.

J: Thanks.

B: Now, do you need a ride anywhere?

J: No, that's okay. Joe's downstairs with the car.

In the aftermath of a decisive defeat, Republicans and conservatives are nursing their wounds and wondering what went wrong. Many have come up with an easy answer: the GOP has drifted from its core principles; consequently, the voters have handed it the pink slip.

But is the drift more to blame than the principles?

Let's look at one example of this argument. Michael Steele, the former Maryland lieutenant governor and an unsuccessful candidate for Senate in 2006, is running to become the new head of the Republican Party. In a statement he released on Thursday, he said,

The Republican Party must present a vision for the future of America that relies on our conservative values and core principles. It is wrong to believe the voters have suddenly become liberal. They have just lost any sense of confidence that the Republican Party holds the answers to their problems. We must face the fact that our party has failed in recent years to live up to our own principles -- we have failed to be 'solutions oriented' in addressing the concerns of all Americans.

Does Steele have it right? Has his party failed to present "solutions" in recent years? Not really. The Republicans have presented plenty of "solutions," but the voters have not cared for them.

What are the two core principles of the Republican Party? Cutting taxes (to ensure a smaller government) and swinging a big stick when it comes to national security. There's also the social issues, such as opposing abortion rights and gay rights. But those lifestyle issues have often been a second-tier matter for many Republican leaders.

I have a day of medical stuff to do today--nothing serious--so I'll be brief.

Remember weeks ago, when a small number of public voices were counseling to go slow on the $700 billion bailout for Big Finance? They said there was--despite Treasury Secretary Hank Paulson's urgent pleas--no need to rush. They said that Congress ought to hold hearings and examine various alternatives to Paulson's blank-check plan. They said that the Bush administration and the Democrats in Congress (including then-presidential candidate Barack Obama) were merely throwing money at a problem without proceeding in a deliberate manner. You can see here for examples of such naysaying.

Well, they (which includes me) were right. Take a gander at the top of the front page of The Washington Post. To the right, you will find a story reporting:

Treasury Secretary Henry M. Paulson Jr. announced a series of moves yesterday that redefine the federal government's $700 billion rescue plan for the financial industry in order to tackle what he called a dire situation in the consumer credit markets.

In recasting the program, the Treasury no longer plans to buy troubled assets from financial firms, the idea initially presented to the country, but instead will offer aid to banks and other firms that issue student, auto and credit card loans in part by jump-starting the market that provides financing for these companies.

That is, Treasury is taking those hundreds of billions of taxpayer dollars Congress gave it and now using it in a completely different manner than it said it would. Maybe this will be a better deployment of those bucks. Maybe it won't. But shouldn't there have been some public debate or discourse about the shift? Whose money is it, anyway?

Next, shift your eyeballs slightly to the left, and you will see a related article reporting:

In the six weeks since lawmakers approved the Treasury's massive bailout of financial firms, the government has poured money into the country's largest banks, recruited smaller banks into the program and repeatedly widened its scope to cover yet other types of businesses, from insurers to consumer lenders.

Along the way, the Bush administration has committed $290 billion of the $700 billion rescue package.

Yet for all this activity, no formal action has been taken to fill the independent oversight posts established by Congress when it approved the bailout to prevent corruption and government waste. Nor has the first monitoring report required by lawmakers been completed, though the initial deadline has passed.

"It's a mess," said Eric M. Thorson, the Treasury Department's inspector general, who has been working to oversee the bailout program until the newly created position of special inspector general is filled. "I don't think anyone understands right now how we're going to do proper oversight of this thing."

Get the picture? The program was misdirected, is being redirected, and has no oversight. By the way, it will probably cost more than the $700 billion first mentioned.

It is a mess. A gigantic mess. Just one of the several George W. Bush (with the help of Congress) is bequeathing Obama. The new president and his people better have some good ideas for making it work better. For even though it was made in the Bush administration, if this quasi-con game continues along this present course after January 20, Obama will own it.

It's already entertaining to watch how Republicans and conservatives are responding to the triumph of Barack Obama and the near-collapse of the GOP in Congress. Yesterday, I pointed out one extreme reaction: a letter sent to conservatives by Michael Reagan, talk show host and son of Ronald Reagan, who complained that a "new 'Evil Empire'...called Socialism" has "taken over our once-free nation." Reagan announced he was starting a new organization that would, among other things, expose the sexual "flings" of Democratic leaders.

I can't wait. That's exactly the sort of politics that independents and moderate Republicans want to see, right?

Not all conservatives are pulling out their hair in this fashion. My Bloggingheads.tv vlog-mate, Jim Pinkerton, reporting from the Republican Governors Association meeting, says all is well in GOPGov-land:

Here at the Republican Governors Association winter meeting, there is no great sense of defeat, but rather a sense of positive anticipation--and for good reason.

Despite the general GOP wipeout of 2008, no incumbent Republican governor was defeated for re-election this year; indeed, two Republican incumbents, Mitch Daniels of Indiana and Jim Douglas of Vermont, hung on, even as their states went for Obama. Indeed, the case of Vermont's Douglas is particularly striking: he won a fourth term with nearly 55 percent of the vote, while Obama was winning the Green Mountain State by more than 2:1.

So while the Grand Old Party's presidential candidate, and its Congressional wing, were both soundly repudiated at the polls earlier this month, Republican governors did well. Indeed, Republicans still have 21 governors--including a certifiably hot political property for the future, Alaska Governor Sarah Palin, who speaks here this afternoon.

Yesterday, in response to the not-surprising news that Howard Dean will soon step down as Democratic Party chief, I wrote a piece suggesting that David Plouffe, who so competently and successfully managed Barack Obama's presidential campaign, should be Dean's replacement. After that piece came out, Plouffe said he won't be taking this job. (He declined to say what else he might be doing.)

So that brings us back to the question: who will head up the DNC? One name floated yesterday was Senator Claire McCaskill of Missouri. I had noted that the party needed an uber-operative who could build a kick-asss operation more than an elected officials who could do well on the talk show circuit. Also, would being head of the DNC help McCaskill in her still (but barely) red state? As of yet, there's no telling if McCaskill is in serious contention for the position--or even really wants it.

A senior Democratic strategist tells me that the top priority of the new chief Dem has to be to "modernize and revolutionize" the party--especially the state parties. He calls the state units the "largest progressive assets that are underutilized in the country. We need an urban renewal program for them and the party." Moreover, he adds, the news of Dean's departure at this point in the transition "was not helpful. But when Rahm Emanuel became White House chief of staff it meant Dean was dead. Rahm hates Dean."

So who else may be in the running? Others mentioned so far include New Mexico Governor Bill Richardson and Virginia Governor Tim Kaine. Says this senior Democrat: "My sense is that nobody connected to the DNC really has any good ideas about what to do."

And this is not a job that can just be handed to someone. It's an elected position. The next chair (or co-chairs) will have to win over party committee members and state party chairs. Usually a president gets a big say in who leads the party. "But no one controls the DNC," this Democratic leader says. "It's a very unruly and decentralized beast." In 1993, Bill Clinton had a candidate to be party chair, yet five others ran. In the end, Clinton's man did triumph.

It might be best for Barack Obama and his crew to move quickly to pick someone who can easily win over the DNC. In the middle of a presidential transition, the Democrats do not want a messy transition at party headquarters.

Transition fever strikes! In Washington that means: who is going to get what?

The town is full of anxious and curious people. Some are wondering what posts they may end up with in the new Obama administration. Others are merely engaged in the rampant speculation that began about 17 seconds after CNN called the election for Barack Obama. At brunches and dinner parties, on the Metro and street corners--folks are talking about jobs. And I don't mean jobs for the middle class.

It's an interesting phenomenon to observe. I've talked to several Washingtonians who profess not to want a position, but if it should happen that they are asked to take one, well then....After all, it's not considered good form to lobby for yourself. It's much better if someone else champions you. (See Joe Klein making the case that his friend Richard Holbrooke ought to be named secretary of state.) Plus, no one wants to be publicly humiliated by being explicitly rejected. If Holbrooke is passed over at State--for Senators John Kerry, Chuck Hagel, Richard Lugar, or Chris Dodd, or retired General James Jones, or career diplomats Nicholas Burns or Chris Hill--it won't enhance his standing.

An aside: I'd be interested in Hill. He toiled on the Bosnia peace talks in the 1990s (with Holbrooke) and since 2005 has been in charge of the tricky negotiations with North Korea concerning its nuclear activities. He's also well-versed in Chinese matters, having worked closely with Beijing on the North Korea business. He's energetic and 56 years old. Putting a fresh face in charge of US foreign policy would send a signal. Talk about a reset.