- Word leaked that President-elect Obama would choose former congressman and Clinton Chief of Staff Leon Panetta to serve as his director of the CIA. The choice was a surprise, to say the least, and reactions have been as impassioned as they have been varied. The primary bone of contention is that Panetta has no direct experience in intelligence, and will be heading an agency that prefers to be lead by its own. Spooks prefer spooks. Laura Rozen at the Cable has a good rundown of reactions from both sides.
- Some, such as Robert Baer at Time, have argued that Panetta's outsiderness will be an advantage. The CIA was a political tool under President Bush, he says, and having a chief who knows the ins and outs of Washington as well as anyone can only be a boon for the Agency.
- What's more, Panetta is an experienced and proven manager, and as Marc Ambinder points out, he'll have a massive human resources problem on his hands as soon as he arrives.
Politics
- As the Senate is sworn in today, the future of two prospective Senators is still cloudy. Roland Burris, "Crooked" Rod Blagojevich's choice to replace Obama, is wondering if he can get seated without the signature of the Illinois Secretary of State, the approval of the State Legislature, or the support of many Senate Democrats.
- Al Franken, likewise, who was finally declared victor in Minnesota yesterday, will face delays as Norm Coleman initiates a legal challenge to Franken's narrow victory.
- Eve Fairbanks has an interesting piece in TNR on the curious placidity of right-wing Republicans these days.
- Are you new to the House? A first-time Congressperson? Politico throws you a bone with "7 habits of highly effective Freshmen."
Economy
- PEBO worked the Hill yesterday, and did his best to convince
skeptical Republicans that they, too would have a voice in crafting the
stimulus plan. Obama is hoping to have a bill ready for his signature by late January or early February, and wants Congress to get cracking.
- Everyone's in a tizzy over Steve Jobs's choice to sit out this year's MacWorld Expo. Rumors that his health is in decline-- perhaps a recurrence of pancreatic cancer-- have driven Apple's stock price down, and worried investors and Mac fans alike. Jobs's explanation yesterday of his obvious weight loss were not particularly reassuring.
International
- Ten days in, the Israeli Defense Forces continue to push into Gaza, taking control of several high rise buildings in Gaza City. According the WaPo, more than 40 people were killed yesterday, nearly half of whom were children. Calls by European leaders to end the incursion have gone unheeded in Jerusalem.
- The Windy reports on Obama's push to shift US policy toward Cuba. NDN has long argued for a new, more enlightened approach to our island neighbor, including the easing of travel and remittance restrictions on Cuban families, and we're pleased to see Obama taking this stance.
One More Thing
- Just a month after the Clintons' cat Socks was reported to be terminally ill with cancer, the Bushes' cat India (AKA Willie; AKA Kitty) has bought the farm.
- In what some travelers might see as divine retribution, the new, blue uniforms worn by TSA employees are reportedly causing horrible skin rashes and otherwise making the officers ill.
- Did you hear about the man who accidentally bought Joe Biden's cufflinks at a thrift store?
- Last, TPM does a little video on the debate between the five men running for chairmanship of the RNC. For center-lefties, it's deeply reassuring:
- After a week of shelling the physical infrastructure of Hamas, the Israeli military entered Gaza yesterday, dividing the Strip into halves. Under covering fire from air, sea, and land, forces seized key rocket-launching sites and surrounded the main city. In the past week, over 500 Palestinians have been killed. One Israeli soldier was killed in the ground campaign.
- The Wall Street Journal notes that this conflict is characterized by a sharp divergence in strategy from Israel's 2006 war with Hezbollah in Lebanon. Most importantly, the Israeli leadership has set modest and achievable goals for the campaign.
- Israel may have chosen this time to strike in part because they're about to say farewell to a long-time ally in Washington-- President George Bush. Had they waited until after 1/20, an assault would have looked as though they were making an unkind statement about PEBO.
- Obama has remained silent throughout the conflict, maintaining his rule of "one president at a time" with regard to foreign policy matters.
Politics
- Governor Bill Richardson, Obama's choice to head the Commerce Department, has withdrawn his name from consideration for the post. An ongoing investigation involving one of his donors in New Mexico would likely have delayed his confirmation. In a statement yesterday, Richardson took pains to make clear that he had engaged in no wrong doing.
- Tim Kaine will take over for Howard Dean as Chairman of the DNC. Kaine has one more year Governing Virginia, and will presumably be very busy until January of 2010.
- Al Franken looks poised become the victor in the never-ending recount of the Minnesota Senatorial election. The final margin? 225 votes.
- Mr. Obama is coming to Washington today! The rest of the family arrived Saturday, so that the girls could start school this morning.
- Howard Fineman can think of eight reasons why Obama might want to try to lower some expectations.
Economy
- Time gives grades to various aspects of the bailout in their "Bailout Report Card." Not surprisingly, everybody gets an F in the "keep people in their homes" department.
- Remember when we were promised an economic stimulus on January 20th? Yeah, I didn't think that sounded likely either. We were right.
International
- John Atta Mills won a very close runoff and will serve as the next president of Ghana. Outside observers say there was no evidence of corruption. He assures Ghanaians that he will be "a president for all," which sounds awfully familiar to me.
- The US is moving into a brand new embassy in Baghdad today. It cost nearly $600 million, is the biggest embassy in the world, and is guarded like a fortress. It is meant to represent the new role of the US in Iraq, as ally, rather than occupier.
‘Tis the night before Christmas and DC is away
Or lounging in bed, or perhaps led astray
The news has gone quiet and journos are napping
After quite a long year of political happ’ning
And heck, they’ve all earned it, so I’ll take a crack
At recapping the year with a rhyming look back
Concord, New Hampshire, and Reno, and Ames
A year back began our electoral games
And that was the end of John Edwards and Biden
(Or so we thought then! ‘Twas just 8 months of hidin’)
Bill Richardson also then bowed out with grace
As did Rudy and Fred from the opposite race
On a real super Tuesday, McCain mopped the floor
With his weaker opponents, who soon saw the door
And in the left corner, we were left with just two
Democratic contenders, in a Senate who’s who
There was Barack Obama—young, black, and cool
Who could give a mean speech—his most evident tool
And then Hillary Clinton, of first lady fame
A force in the Senate, and an ace at the game
Barack barnstormed Iowa, and though dared not brag
He looked good in New Hampshire—it was all in the bag
But Clinton held strong, put her campaign in gear
Gave an impassioned speech and—wait—was that a tear?
It’s hard to say now, but the outcome was decisive
And they continued campaigning in a race quite divisive
Of Reverends and fist daps and American identity
Our once-civil quarrels now laced with obscenity
They battled for months, until one day in June
It was suddenly over, not a moment too soon
Obama had clinched it, a real upset win
With a campaign quite free of both malice and sin
Then hit July, and with smiling elation
We all read a novel and went on vacation
Olympics in August kept us glued to the telly
The Michael Phelps gold rush turned insides to jelly
Brown air aside, we admired Beijing
Where athletes faced off and did battle for bling
Saint Paul and Denver fended off the attacks
Of hoards of political junkies and hacks
The endless campaign approached final conclusion
As the Veepstakes at last yielded full-ticket fusion
Joe Biden was swell, a real old-fashioned mensch
And Palin, well, we’ll just say was a wrench
First in Barack’s campaign, and then in her own
As she proved to be more than excessively prone
To non-answers, half-answers and full-blown live gaffes
Summoning cringes, and head-slaps and too many laughs
The campaign’s sad attempts to make blunders less big
Were like trying to put lipstick on an unwilling pig
In debates we heard all about mavericks, my friend
As ec’nomic signals began to portend
Of a hyper-grade meltdown to ruin us all
And the banks soon had all of their backs to the wall
As Lehman neared death, Paulson refused them bail
AIG, it turned out, was much too big to fail
And with crisis still rising the red team got dumber:
Based their whole fiscal plan on Joe/Sam the not-plumber
Riding high on his promise of change and of hope
Barack pulled ahead, looking ready to cope
With whatever foul chance fate should throw his direction
The American people preferred his protection
And on November fourth, took an historic leap
Of such powerful force it made stolid men weep
Since then we’ve been basking in electoral glow
And saying goodbye all our earned dough
Our stocks and our bonds continue to sink
GM and Chrysler are now on the brink
In Iraq, shoes are flying; here we’ve got Blago
The lord of the darkness in seamy Chicago
So we’re distracted with stories about Caroline Kennedy
And Colmes’s depression over breakup with Hannity
But here comes ’09, ripe with fresh opportunity
A time for community and national unity
And from K Street to Petworth to far Kalorama
Everyone’s eyes follow Barack Obama
Hopes ride on Barack, and he’s got quite a task
So I won’t request much, just one small Christmas ask:
Our country is busted! Make everything right!
Now, Merry Christmas to you, and to you, a good night
- In the wake of the Senate's refusal to bail out the big Detroit auto makers, the White House has come up with a $17 billion package to rescue GM and Chrysler. The bailout is dependent on serious restructuring within the corporations, particularly the reduction of their debt obligations and renegotiation of their agreements with the UAW union. $13.4 billion will come as an immediate emergency loan, and another $4 billion will come in February.
- WH Press Secretary Dana Perino made everyone's teeth chatter yesterday when she suggested that the administration was considering opting for an "orderly" bankruptcy process.
- As a bonus measure, the White House is sticking it to the man, by demanding that the auto execs get rid of their corporate jets, and sacrifice some of their pay.
Politics
- Ron Kirk, the former mayor of Dallas, will serve as Obama's trade representative. A member of NDN's advisory board, Kirk brings strong free trade credentials to the job.
- Rep. Hilda Solis will be Secretary of Labor. She served on the Education and Workforce committee, and will be a powerful voice for working America.
- Mark Felt, better known as "Deep Throat," died at 95 yesterday. The famous anonymous source helped bring down Richard Nixon.
- You've heard of a millie, and even a billie, but Obama's stimulus plan, which just keeps growing, is approaching a trillie. There's all sorts of good stuff in there.
International
- The majority party in South Korea blockaded themselves into a committee session yesterday, in an attempt to move forward a free trade deal with the US. The minority party busted into the meeting with sledgehammers, only to be sprayed in the face with fire extinguishers. The deal has not yet been passed.
- The US military conducted a raid of an Afghan village near the Pakistani border yesterday. The military is calling it a successful counterterrorism operation, and the Afghans are calling it a massacre of civilians. This is just the latest episode in rising tensions between the states.
- As many as 35 Iraqi government officials have been rounded up and arrested by Prime Minister Nuri al-Maliki on accusations that they were trying to reconstitute Saddam Hussein's Baath Party. As many as six of those detained worked in Iraq's Interior Ministry.
- Maliki is generally seen as a strong leader, but one with few political allies. He is also, reportedly, deeply suspicious of a coup by military officers. Some suspect this move may have been intended to consolidate his own power.
- In related news, Maliki says that the infamous shoe-thrower has apologized to the Prime Minster for embarrassing him on television.
Economy
- In the face of zero demand, Chrysler will be shutting their doors for a month, and not making any new automobiles. Chrylser execs are reportedly seeking a merger with GM, once again. Many Chrysler factory workers are understandably concerned that the doors will not reopen, and they'll find themselves jobless within a month.
- OPEC, presumably trying to be helpful by solving that deflation problem, is planning to cut oil production by 2.2 million barrels/day-- a record amount.
- Cancel your trip to Japan! The dollar has hit a 13-year low against the Yen.
Politics
- The full program of Obama's inauguration ceremony has been released. The big news is his selection of Rev. Rick Warren, an Orange County evangelist, to give the invocation. Many are up at arms over the selection of Warren, who outspokenly opposes abortion rights and gay marriage. Everyone, however, thinks the selection of Aretha Franklin was a terrific idea.
- Rep. Pete Stark, Chair of the Health Subcommittee of the House Ways and Means Committee, says any vote on healthcare reform will have to wait until early 2010. Congress, he says, just has too much else to do this year.
- Ray LaHood, a former Republican congressman from Illinois, will be Obama's Secretary of Transportation. Many transportation reformers are not happy.
- Mary Schapiro, a serious regulator, will be running the SEC under Obama.
International
- China is sending a naval fleet to the Gulf of Aden to do battle with pirates. Ban Ki-Moon says the time is not yet ripe to send UN Peacekeepers to Somalia, whether to battle piracy, anarchy, or whatever else they might find there.
One More Thing
- Last, remember that Help for Homeowners program that was going to save us all? Not going so well:
- Just when we thought the federal funds interest rate couldn't go any lower, the Fed reminds us there is, in fact, a number below one... The new rate will float in a range between 0 and 0.25%. This, in effect, exhausts the Fed's most powerful monetary tool, unless they're going to start paying people to take their money (which actually doesn't seem so implausible anymore).
- This move was more symbolic than anything else; much more importantly, the Fed announced they would not hesitate to print as much new money as they need to loosen up the credit markets. In normal times, these measures would cause the danger of spiraling inflation, but considering recent deflation (the consumer price index fell a dramatic 1.7% in November, the biggest drop... ever), nobody's too worred about that right now.
- David Leonhardt of the NY Times finds a silver lining in the present deflation-- falling prices could soften the recessionary blow for many families.
Politics
- Caroline Kennedy has a new ally in her hunt for a senate seat: Harry Reid. Politico would like to have a conversation about dynasty and nepotism in the Democratic Party. So would Joe Klein, who offers up a few as-yet unheard names of potential star Senators.
- Jesse Jackson, Jr., it turns out, has been an informant against "Crooked" Rod Blagojevich for years now, though not in the current investigation. He may come out of this scandal looking clean after all. Howard Fineman wonders why the Obama team is looking to bury the report on their dealings with Blago by releasing it Christmas week.
- The Bush administration has generously been preparing memos to the incoming Obama team, offering contingency plans in the event of a global crisis very early in the year.
- Tom Vilsack will be the next Agriculture Secretary, and Xavier Becerra will not be the next US Trade Representative.
National
- In the latest sign of the demise of print media, the Detroit Free Press and the Detroit News have both decided to stop home delivery of their newspapers. Paper and ink just doesn't sell anymore.
International
- One of Robert Mugabe's chief henchmen was shot, non-fatally, in a nighttime ambush in his home. By all accounts, this was a failed assassination attempt. Was it a political opponent? A supposed political ally? Nobody knows.
- The Italian police arrested nearly a hundred suspected Mafiosi, in a city-wide raid in Palermo yesterday. This was an attempt to prevent the Mafia from regaining control
One More Thing
- Guess who is Time's Man of the Year? Hint: It's like, duh.
- Last, Bernard Madoff is very close with the regulators. I think they'll soon be a whole lot closer:
- Caroline Kennedy's hat is clearly in the ring in the contest to become Hillary Clinton's successor as junior senator from New York. She's taken on a few veteran political advisors, begun making calls to her formidable network in New York politics, and gotten serious coverage in all the relevant papers. Karen Tumulty at Time wonders if Caroline is ready, and, also importantly, if she will even like working in the Senate.
- She's already racked up the endorsement of Rep. Louise Slaughter from upstate New York-- a good start. Slaughter applauded her experience as a lawyer (among other, more significant, accomplishments), which brought to light the slightly embarrassing fact that, until last week, Kennedy's legal registration in NY was delinquent. It's not clear that she's ever practiced law.
- After seeming uninterested in politics for so long, what's driving Caroline to Washington now? The Caucus thinks it might be the brutal experience of turning fifty last year.
Politics
- Arne Duncan, the superintendent of Chicago(!) public schools, is Obama's choice to be Secretary of Education. His choice is a compromise-- he is one of few notable educators not to have taken sides in the hard-line teacher accountability vs. teachers' unions fight.
- Ken Salazar will be the next Secretary of the Interior. With defections mounting on Capitol Hill, Josh Marshall observes that the Senate really must not be much fun these days. Why is everybody leaving? Perhaps because congress isn't so good at the "Internet."
- With Obama and Salazar on the way out, and Mel Martinez planning to step out in two years, Sen. Menendez could be the only member keeping the Senate from becoming a total cracker barrel.
- It has looked like confirmations of Obama's cabinet would hurtle through congress at record speed. Republicans may be throwing a wrench into the machinery by asking that Attorney General-selectee Eric Holder's hearing be delayed until the end of January. Sen Leahy, Chairman of the Judiciary Committee, has obligingly obliged.
- Mike Madigan says: You're done, Blago. After giving him six days to resign, the Illinois House Speaker says it's time to move forward in the legislature with impeachment hearings. Those begin today.
Economy
- Retail prices fell dramatically in November, leading to a month of flat inflation and even sparking fears of deflation. Oil prices led the way, putting the big plans of some oil companies in jeapordy.
- Bernard Madoff's mega-Ponzi scheme has hit Jewish individuals and groups particularly hard, reports the LA Times.
International
- The Iraqi shoe hurler has quickly gained fame around the world, and has become something of a cult hero in parts of the Middle East. Yet more evidence of the power of one short video.
- Writing in Sunday's WaPo, Sarah Chayes had an extraordinary Op-Ed on home for the past seven years: Kandahar, Afghanistan. Use of the Taliban by the Pakistani military has gradually resulted in "invasion by proxy" she says.
One More Thing
- With more than 70 candidates in the race, no single breed was able to garner more than 13% of the vote in the race to become the Obamas' new dog. It's unclear how the impasse will be resolved.
- Joe Biden and Barack Obama will roll into DC by train, making whistle stops in Philadelphia, Wilmington, and Baltimore. How cool is that?! (Or is it just me...?)
- Last, the Illinois legislature gets ready to tear Crooked Rod into a million crooked pieces:
- The ongoing saga of Crooked Rod continues. Yesterday, Illinois Attorney General Lisa Madigan suggested that Blago might step down today. Crooked Rod responded: "Like hell I will! There's work to be done!" It's seriously hard to imagine him sitting behind the governor's desk, going about his business as usual. Although, knowing what we now know about what "business at usual" means for him, maybe it's not so strange.
- John Heilemann takes a look at Obama's Chicago pol past, and wonders how "past" it even is. It's nearly impossible to completely escape that kind of a swamp, but we had better hope, for Obama's sake and our own, that this is the last we hear of this kind of thing in this presidency.
- Jon Alter has a tribute to Chicago journo Mike Royko, who would have carved up Crooked Rod from the moment he came on the stage.
Economy
- Thirty states are on the edge of insolvency, at risk of becoming unable to pay unemployment benefits. Two states-- Michigan and Indiana-- are already themselves on the federal dole, to keep individuals on the dole.
- The details of Bernard Madoff's stock trading operation-- the biggest Ponzi scheme in history-- are bizarre, convoluted and depressing, not unlike the details of the rest of our economy.
Politics
- At Salon, Tom Schaller talks to Steve Clemons, Rick Pearlstein, and Winnie Stachelberg about the numerous, colossal problems that will face Obama on day one, and how he should prioritize.
- James Steinberg is the likely pick for Deputy Secretary of State. Mark Lippert will be CoS at the NSC. Tom Roemer is the probably choice for the top intelligence job. Which job that is remains to be seen.
- Shaun Donovan will run HUD. He's the former housing commissioner for New York City.
- John McCain isn't sure he'd support Sarah Palin in a 2012 run. Coincidentally, Sarah Palin's church was set on fire Friday.
National
- Politico and Reuters have joined in a partnership, whereby third party publications can subscribe to and use the content of both news agencies together. I applaud them for continuing to work to find ways to fill the vacuum and make the news business a functional business.
International
- President Bush made an unexpected trip to Iraq, to defend the war and insist the struggle is not yet done. He has now moved on to Afghanistan for similar purposes. The whole trip was overshadowed by [see video below].
One More Thing
- The Obamas wanted to move into the Blair House on January 15th-- ten days early-- so that their daughters could start school at Sidwell on time. Response: Denied!
- Remember how Barack promised Sasha and Malia they could get a puppy when he won the election? Apparently Jill Biden made the same promise to Joe. It's sooooooo cute!
- Last, GWB suffered the gravest insult in the Middle Eastern books when a journalist, shouting and yelling, launched his shoes at the President's head. Let it be known that Bush's ducking skills are anything but lame:
- With just 52 votes, the bailout bill failed to gain cloture in the Senate, and no action will be taken before January. GM and Chrysler have both suggested they might not make it that long, and GM, in particular, could go up in flames before the new year. Both auto manufacturers are hoping that President Bush will authorize the Treasury to use some of the $700 billion in the Wall Street fund to bail them out.
- At times through the marathon negotiation session, it appeared the two sides would be able to reconcile and reach an agreement. The ultimate sticking point was over Republican demands for steep cuts in pay and benefits for the United Auto Workers union members. Democrats agreed in principle, but disagreed with the timetable insisted upon by the GOP.
- European and Asian markets tumbled on the news, and US markets have begun the day in the red. As Harry Reid said last night: "This is going to be a very, very bad Christmas for a lot of people as a result of what takes place here tonight."
Politics
- A bipartisan Senate panel published a report that blames Donald Rumsfeld and other senior Bush administration officials for detainee abuse at Guantanamo. Their decisions led to excessively harsh treatment in Iraq and elsewhere.
- Election 2.0 is past, Presidency 2.0 is in the future. Coming soon: Inauguration 2.0, in which regular folks are inspired by their president to use new tech to prepare for inauguration.
- With an approval rating of seven percent, Crooked Rod Blagojevich does not stand to last very long. We still don't know how the empty senate seat will be filled, but if it's a special election, two things are fairly clear: Rep. Jesse Jackson, Jr. will not be a candidate, and Rep. Jan Schakowski will.
- Now that all the racial boxes have been checked, people are looking for other constituencies absent from Obama's cabinet. Found one! Southerners.
International
- A suicide bomber blew himself up in a crowded restaurant in Kirkuk, killing 48 (The WaPo says it was 57). The attack injured nearly 100, and is the deadliest in Iraq in six months.
- Joe Klein returns from Afghanistan with a question: What are we doing there?
One More Thing
- Last, John McCain doesn't want to talk about the bleeping campaign:
- Fallout continues around "Crooked Rod" Blagojevich. Though the unflappable, hardworking man obstinately went back to work yesterday, Barack Obama called for him to step down, as did all 50 senate Democrats-- Harry Reid leading the pack. This, perhaps, is not surprising, as Ezra Klein recalls a New Yorker piece describing a 1978 incident in which Reid nearly strangled someone for trying to bribe him.
-Rep. Jesse Jackson, Jr. was identified as the mysterious "Candidate #5" from the complaint against Crooked Rod-- that candidate who allegedly offered Blago half a million bucks for the senate seat. Jackson, in no uncertain terms, denied the accusation, and as Mike Tomasky points out, all the evidence we have at this point comes from the mouth of one crazy man.
- CQ covers another bit of fallout from the skullduggery of Crooked Rod: Democrats might not be able to hang on to Obama's senate seat.
Economy
- A $14 billion auto bailout has cleared the House with some room to spare, but the bill will face serious opposition in the Senate. Will Senate Republicans kill Detroit?
- The Economist reports that Japan is sliding into what could turn out to be a very painful recession.
Politics
- Obama's environmental team appears to be set: Steven Chu, a Nobel-prize winning physicist, will run the Department of Energy, Lisa Jackson, who worked in New Jersey's DEP, will be run the EPA, and Carol Browner, head of the EPA under Clinton, will act as a White House-based Energy Czar. Is anybody else really excited by the idea of having a scientist in the cabinet?
- Rather than a Secretary of Agriculture, writes Nick Kristof in the NY Times, how about a Secretary of Food?
- Sen. Max Baucus likes the Health IT system in Obama's stimulus proposal, but would like to see SCHIP in there, too. The two together could pave the way to serious healthcare overhaul.
International
- China just announced that its exports dropped 2.2% in the past year, which is very bad news for nearly everyone on earth.
- An article from Lydia Polgreen in the NY Times looks at a recent massacre in the Eastern Congo, one of the most horribly war-torn parts of the world. 150 were killed, despite a UN peacekeeping force less than a mile away.
One More Thing
- Not getting invited to any holiday parties this year? Don't worry, it's not because you were bad this year. (Or was it?)
- Check out this fun new ad from the Big Three this holiday season.