Barack Obama: a six-month assessment

The potential of the United States president to make the change he promised in the domestic arena is becoming clearer, says Godfrey Hodgson, in the first of a two-part overview.

Barack Obama is a nice man, with rare charm and humour. Anyone who doubts that should see the picture of him reading to a White House children's party from Where the Wild Things Are. He is a shrewd and daring politician. If he wasn't, he wouldn't now be in the White House. He is a thrilling speaker. Listen to any of his set-piece speeches, from Philadelphia to Denver, and from Berlin to Cairo.

Also in openDemocracy on Barack Obama's presidency:

Simon Maxwell, "Global development: Barack Obama's agenda" (20 January 2009)

Pervez Hoodbhoy, "Obama's triple test" (21 January 2009)

Fred Halliday, "The greater middle east: Obama's six problems" (21 January 2009)

openDemocracy, "Barack Obama: hope, fear... advice" (19-23 January 2009) - reflections from thirty-seven of our worldwide authors

Simon Critchley, "Barack Obama and the American void" (22 January 2009)

Ruth Rosen, "American women's stimulus: voice, agency, change" (18 February 2009)

Jim Gabour, "The redemption game" (20 February 2009)

Gideon Levy, "Barack Obama: Israel's true friend" (25 May 2009)

Robert G Rabil, "Barack Obama's middle east: pragmatism and hope" (1 June 2009)

Nader Hashemi, "What Obama must say (and do) in Egypt" (3 June 2009)

Plus - regular comment on openUSA

Tens of millions of Americans desperately want him to succeed. So do perhaps even more people elsewhere.

But is he an effective president? Will he be a successful one? We are coming up to the time when that will be decided.

In a few days, he will have been president for six months. That's not a long time, just the beginning of what should be a long march of eight years. But this is the moment when both his friends and his enemies will look at what he has done and what he has tried to do, what he has begun badly, and what he has begun well.

The political context

The president is reported by a leading columnist to have said something typically intelligent, and characteristically both cautious and enigmatic: that he would rather have seventy votes in the Senate for 85% of what he wanted than fifty-two voters for 100% (see David Broder, The ‘Rock' in Health Reform, Washington Post, 11 June 2009).

What Obama  probably meant is that he wants to pass legislation that will have enough cross-party backing to be secure against future reversal. That is all of a piece with Obama's general bipartisan approach. It is arguable, though, that it sounds wiser than it is. Bill Clinton's administration, after all, fell short of expectations, its own and others', at least in part because of an excessive readiness to "triangulate", a polite way of saying compromise.

There is so much emphasis on the personality of the president in the way American politics is perceived, and not least with this president, that it is easy to forget that Obama's political reputation, and therefore his effectiveness, is far more in the hands of Congress than might appear. Obama is a Democrat. The Democrats have a majority in both houses of Congress. So why can't he get whatever he wants?

That is not how it works. A president brings a stock of political capital with him to the White House. Then he trades with it. If he is skilful, and lucky, he conserves his original capital, and even adds to it. Especially, if he trades with the Congress.

Since the comedian Al Franken was finally declared the winner of a super-close election in Minnesota, the Democrats now (in theory) have sixty votes out of 100 in the Senate. That should, (in theory) gives the president sixty votes there, and sixty votes are needed for closure, to end debate and pass a bill.

In practice, the Democrats will find it hard to clear that threshold. They will pick up some liberal Republican votes on major issues like healthcare reform and climate change. But Edward Kennedy of Massachusetts is desperately ill with a brain tumour. Robert Byrd of West Virginia is not well, at 91. Joe Lieberman of Connecticut is a Republican in all but name.

There are other independent-minded, usually conservative Democrats like Mary Landrieu of Louisiana. She voted for the oil interests on drilling on wildlife reserves in Alaska. On the other wing of the party there are more progressive senators who might balk if they felt the president and the Democratic leadership in the Senate were too timid and vote against what they saw as unnecessary compromises.

Harry Reid, the Nevada senator who is the Democratic majority leader, understands this very well. "We have sixty votes on paper", said Senator Reid after he learned that Franken had finally made it. "But we cannot bulldoze anybody; it doesn't work that way. My caucus doesn't allow it. And we have a very diverse group of senators philosophically."

Exactly. The other thing that cannot be forgotten is that senators, and congressmen, are confronted with a baffling array of votes on every subject you can think of, studded with "earmarks" and sundry special favours, for their own constituents and for the constituents of other legislators who might be available to vote for a pet project of their own. They, too, are traders.

If we look just at domestic issues - and I propose to look at the president's international record and prospects in a second article next week - there are three key areas on which he can and must be judged. They are the economic crisis, healthcare and climate change.

The numbers game

The first key area is Barack Obama's handling of the financial and economic crisis he had to deal with even before he was inaugurated. Immediate disaster was prevented. But great damage was done, and the Obama administration cannot truly claim either to have prevented a recurrence of the crisis, or to have healed the harm.

In spite of the administration's huge expenditure and guarantees and all its efforts to reassure the public, the banks' books are still stuffed with toxic assets. The stock-market has recovered, then stuck on a plateau. The bankers are already poking their heads above the trenches. They are expecting big bonuses again. But great psychological and political harm has been done by the contrast between the avidity with which the administration bailed out the banks, and its comparative reluctance to help workers who have lost their jobs in the automobile and other manufacturing industries.

President Obama understandably sought to reassure sceptics that he was not prejudiced against Wall Street. Unfortunately he did this by handing over the financial side of his new administration to be run by people like his treasury secretary Tim Geithner, who was a protégé of the very Wall Street titans who had caused the trouble in the first place.

It is too early to say whether the president will get away with this mistake, either economically or politically. But it is already time to look at the prospects for his own chosen domestic priorities.

There are many, many tasks he cannot shirk. But there are two other pre-eminent issues which as a candidate Obama awarded high priority in his campaign - reform of America's failing but passionately controversial healthcare system, and climate change. He cannot run away from them, and to do him justice he shows no sign of wanting to do so. He will however be judged by how he frames what he asks from Congress, and how he responds to what Congress hands him on these questions.

In each case, the president's 100% option is not known for sure. But in each case the 85% he seems to have in mind would simultaneously infuriate the right and leave a significant minority on the left deeply disappointed.

The climate calendar

The question of climate change is already at the heart of the legislative process. On 26 June the House of Representatives passed by a vote of 219-212 a bill whose essence was the idea of "cap and trade". Corporations, that is, would be handed permits to pollute, which they could trade; polluters who would not or could not meet a given standard would be able to buy the right to break that standard from those who did not need or want to do so.

There are a number of worrying, some would say disgraceful, aspects of this result. In principle, for one thing, this is not to control pollution, but to allow it. The standard, for another, is low. The House called only for a reduction of 17% from 2005 levels, with a safely future aspiration of an 83% reduction by 2050. By that time most members of the present House will be dead. Most environmental experts think the bill is far too little, far too late.

Second, the Republican opposition still seems not to have accepted the case for doing something about the danger of climate change. Henry Waxman, the bill's Democratic sponsor, said there was now a consensus that the scientists were right about climate change. If so, the consensus has not reached the other side of the aisle.

John Boehner, the Republican leader in the House, called the proposal "the biggest job-killing bill" in history. One of his colleagues said industry would be driven back to 1910 levels of pollution, as though 1910 was a vintage year for the air over Pittsburgh.

Worse, no fewer than forty-four Democrats voted with these Republican dinosaurs against the bill, which passed only with the help of less Jurassic Republicans. Now the Senate will come up with its own bill. The Obama administration will do what it can to pressure the Senate to improve on the House bill.

The good news here is that the Obama administration has tackled what many believe to be the most urgent issue before all of us. The bad news is that it has met more resistance than seemed believable.

The question of care

On healthcare, the prospect is even less clear. The system is in chaos. Americans spend, as a proportion of national income, roughly twice as much as people in other developed countries on healthcare, but by such measures as life-expectancy and child mortality they are not especially healthy. At its high-technology best American medicine can be superb: the problem is access. Almost 50 million Americans, one in every six, have no health insurance. Many more have insurance that will not protect them against all of the risks they are likely to encounter (see James A Morone & Lawrence R Jacobs, "American sickness: diagnosis and cure", 16 October 2007).

Two trends make it likely that the situation will get worse not better. First, for the well insured, the quality of care does get better and better, and more and more expensive. So already "managed care" by insurers and "health maintenance organisations" has steadily chipped away at the benefits available under policies, in terms of the quantity and expense of medication allowed and for example of the length of hospital stays.

Second, many Americans have health insurance as part of their contract of employment. This is particularly true of trade-union members (a dwindling band) but also of, for example, government employees, military personnel and employees of universities. But now unemployment is rising. Many of these people will lose medical coverage for themselves and for their families if they lose their jobs.

Experts, therefore, believe that the only cure adequate to the scale of the problem is to go to a "single-payer" system like those in Britain or northern Europe. For fifty years and more, however, Americans have been told that anything of the kind, whether a nationalised healthcare system or a universal insurance system, is "socialised medicine", to be shunned at all costs.

In 1993, President Clinton proposed a fairly cautious reform, strongly advocated by his wife, now President Obama's secretary of state. It was laughed out of existence by the notorious "Harry and Louise" TV advertising campaign. A worried couple talk health insurance over in the kitchen. They don't like the Clinton plan. "They chose we lose!"

Now once again an army of lobbyists is descending on Washington like the locusts that plague the city every seventeen years. Already ads are running on TV retailing horror stories of the failings of Britain's National Health Service. They are not, you can be sure, scrupulously careful to show the best of the NHS. 350 former members of congressional staffs, officered by defeated Republican congressmen, have been hired, money no object, to make congressmen shiver with fear.

In the face of this army - recruited by insurance companies, pharmaceutical companies, hospital companies and the rest of an industry whose turnover exceeds 15% of the national income - no wonder if President Obama is retreating from anything that could be represented as "socialised medicine".

Instead, it is thought that he will leave healthcare in the hands of the commercial insurance industry, but make insurance mandatory and perhaps set up a government health-insurance plan to compete with the existing companies. In principle, that would keep the "managed care" brigade honest. In practice, it would need massive government investment and might not succeed.

The interim calculus

Already, therefore, on all three of the most important issues he must confront, Obama seems to have rejected the more daring solutions and settled for, well, 85% of what he might want.

Perhaps that is unfair. Perhaps he will stand in front of the nation like a great teacher, and persuade the people that this is the moment to throw caution to the winds.

Perhaps he will insist on strict limits to pollution, not create a market for it. Perhaps he will bring the American healthcare system into line with other developed countries that, by statistical measures, do substantially better in providing good health care for a fraction of what Americans pay. Perhaps he will stop the same old Wall Street crowd from starting back on the old road of perverse motives, bonuses for reckless leverage, toxic greed sold as "innovation".

That would be nice. But then again, he may be right. His calculus may be the only realistic one. Perhaps the American political system really has been so captured by the special interests of private healthcare, corporate polluters, reckless bankers, that there is nothing even the most idealistic and gifted president we have seen for a generation can do about it.

Let us hope not.


Godfrey Hodgson was director of the Reuters' Foundation Programme at Oxford University, and before that the Observer's correspondent in the United States and foreign editor of the Independent

Godfrey Hodgson's most recent book is The Myth of American Exceptionalism (Yale University Press, 2009)

His earlier books include The World Turned Right Side Up: a history of the conservative ascendancy in America (Houghton Mifflin, 1996); The Gentleman from New York: Senator Daniel Patrick Moynihan (Houghton Mifflin, 2000); More Equal Than Others: America from Nixon to the New Century (Princeton University Press, 2006), A Great and Godly Adventure: The Pilgrims and the Myth of the First Thanksgiving (PublicAffairs, 2007)

Among Godfrey Hodgson's openDemocracy articles:

"Barack Obama: at the crossroads of victory" (11 June 2008)

"America's foreign-policy election" (28 August 2008)

"America's economy election" (17 October 2008)

"Yes he can!" (6 November 2008)

"Change?" (2 December 2008)

"An end and a beginning" (5 January 2009)

"Barack Obama: don't waste the crisis" (6 February 2009)

"Barack Obama's reality gap" (27 February 2009)

"Barack Obama: end of the beginning" (30 March 2009)

"After the G20: America, Obama, the world" (6 April 2009)

"Barack Obama's hundred days" (29 April 2009)

"The Cairo speech: letter to America" (8 June 2009)

 

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Comments

Lawrence Efana
11 July 2009 - 2:27pm

Godfrey Hodgson has made an exclusively enlightening paper available to oD readers. A complex picture of a unique American democracy is put across. That picture is technically and formally interesting, especially with the constitution in mind. But beyond both qualities, the much needed flexibility as acts enabling rather than disenabling hence stifle the running of the state seems still a longway from the much wanted appreciation for a balance. The effectiveness of a national constitution for the running of a state that is known as democracy, gives much historically. But isn't it now the time to take stock of things? The world is old. Likewise growth and wealth too are aging, in spite of hope in power of technology. Hence the need to ask: if it isn't yet time to take all political values to task? There is no need to wait for all to crumble while keeping up the faces. These are what President Obama's political balancing acts so far seem to be taking stock of. The empirical arguments of Hodgson prove of it, while neutrally sensitive to all the other dimensions of values and arguments in the pudding. If there is the will - it would seem to many], that the much loved American democracy could do more to muster enthusiasm for democracy worldwide, through a new culture of 'non-stifling consensus' on stunning political issues: to show also that "the signs of time" are well read and appreciated alongside promises that they will be well managed. It is all about an inward trust element as an asset for outward engagements! 

On the part of interest groups and defense of their interests, it might be helpful to carefully argue that freedom contextually does not have to mean running down own system or possibly its future. Europe, not to mention Northern Europe, both tend to represent a picture of democracy models on issues of the weight consensus could have at times. US democracy as a habituated model cannot keep pretending not to see much of what is good - worthy of a closer examination and adaptation, if "all must learn from all" for a greater world harmony: so central psychologically to Africa and the current 'visit'!

In fact the empirical contents of this paper, though benefit too from arguements of interest groups: political cultures and pragmatism], in my view a greater part tends to drag its readers to the "philosophical ends" as they would make contemporary American politics best known. It isn't generally about dilemmas of capitalism or democracy, but the will to make a good working sense of both in a "turning" age with predictable and unpredictable challenges. Obama does't seem one to reject 'the more daring solutions or settle for, well 85% of what he might want'. Rather 'balancing', watchful of implications for challenging authority, is his and his team's in the complexity of the politics that made them. (Environmental..) or climate, economy and health-care policy at a time of induced pandemics, will most likely win in the end, not only as a result of his gifted use of words, but also calculated acts and the fact that the myth that put him where he is knew it all before hand - or else how can we explain it! 

Ryan Jones (not verified)
12 July 2009 - 8:10pm

There's a couple of cliché arguments here.

First, that television ads have something of a monopoly on political power. The same argument was made during the primaries. It was said that Clinton, because she had a dynasty of rich politicians behind her, would become the candidate. It was also said that, since she started with deeper pockets, she could afford to fight better against McCain. Then it was said that McCain, since he had that entire Republican platform behind him and all of their money to pay for television, he was going to trounce Obama. Needless to say, I'all of these assertions were... wrong.

Therefore, I do not think it an accurate warning "they spent X. amount of dollars on advertising."

Second, that everyone is terrified of "socialized medicine." This is a new generation, a generation that did not grow up under the misplaced propaganda demonizing any and all forms of single-payer economics. Like the kids 50 years ago who couldn't remember World War II and didn't know why we were fighting peasants in some country we had never heard of, the kids today don't remember the Cold War.

So we are not terrified of socialism. No only that, but since television just not going to brainwash us, the industries are going to have a hard time reminding us.

Lastly, we voted for Obama, we want change, we demand it, we are not afraid. Against all odds, Obama won on a platform of change.

GALB (not verified)
16 July 2009 - 6:21am

Hile Obaaahhhhma. You need to say "I" instead of "WE". Approval ratings are down below 48% and falling. The annointed one is leading the sheep to the slaughter. Learn from history so you do not repeat the same mistakes. The US was formed to break away from this kind of ruler. Obama is un-constitutional.

Phil Daniels (not verified)
13 July 2009 - 2:13am

Why do US politicians & pundits invariably turn to the UK when seeking alternative policy approaches, especially on healthcare?

One might think it's because they share a common language, legal foundations and political structures, and that they're both "free market democracies" - i.e they're members of the so called Anglosphere.

But that's only half the truth, mainly it's because the opponents of reform always seek out the model with the worst possible reputation - preferably within the Anglosphere. They then present that model as the only alternative to the status quo. The pity is that many of those who favour reform then leap to the defence of the "worst possible model", with "yes, but ...." arguments

The USA & the UK are not the only members of the Anglosphere, significant others include Canada, Australia and New Zealand. Each of which has a healthcare system that most Americans would find far more acceptable than Britain's NHS.

Australia's Medicare scheme is a publicly funded universal system (which allows choice of doctor(s)) that also facilitates and encourages the involvement of the private sector in the provision of additional benefits. It runs at a significantly lower cost that the current US system and employment plays no direct role in its provision. Healthcare delivery is a shared responsibility between the national and state authorities, which makes it closer to the current US system that Britain's NHS. Comparing outcomes, Australia's Medicare delivers outcomes that are at least as good as those that US citizens with moderate cost insurance enjoy; for US citizens who have no insurance its outcomes are generally better, and for those who choose to have private cover the outcomes are similar to those US citizens enjoy who have high cost insurance. Australia's scheme was initially developed in the mid '70s; hence it's designers could go out of their way to avoid the pitfalls of the NHS. The scheme has not become a sacred cow in the way of the NHS (or for that matter US Medicaid and Medicare), consequently it has undergone at least 2 major revisions and many minor adjustments since its inception.

Other countries that have healthcare systems that are more effective than the NHS and significantly less costly than the current US system include The Nederlands, France and Norway.

David Walls (not verified)
13 July 2009 - 6:48pm

That's Senator Joe Lieberman of Connecticut (not Kentucky).

[David, Thanks very much - that's corrected]

Edward (Ted) Coltman
13 July 2009 - 7:50pm

You might well think that Lieberman is from Kentucky in all but name, but -- like his affiliation with the Democratic party -- his constituency is (at least nominally) the state of Connecticut.

[Ted, Thanks very much - that's corrected]

David Cohen (not verified)
13 July 2009 - 9:26pm

Geoffrey Hodgson continues the remarkable group of British commentators who appreciate and understand how matters work in the US.His analysis reflects the state of concern that courses among those who want Obama to succeed and at the same time reflect disappointment.

Obama's approach to governing was made clear in the campaign. He promised to steer away from ideology, polarization and punitive actions. The dominant wing of th Congressional Republican party has chosen all out opposition. Not the classic "loyal" opposition but destructive opposition, thereby undermining Obama's constructive efforts..

The Republicans make the Senate a dysfunctional body at best and arguably far too often not functional at all. So cloture (60 votes) (not closure as Hodgson wrote) that stops a filibuster stands is the new norm.

The House and Senate Democrats have a working majority for matters the bind liberals and moderates.
There is no majority for the total liberal agenda. If Senator Kennedy were well he would negotiate compromises to gain significant advances but he is not well and other liberals do not have his standing.
The new barricades for too many liberals is the blogosphere . They indulge far too much in verbal expectoration. What they should do is do what Obama did: organize and work to persuade others that even if you are not an American liberal/progressive the changes being sought move in the direction of taming the special interests and benefit ordinary people.

The enemy is not Obama's moderation but moneyed interests on health care such as the pharamceuticals and the insurance industry. That holds true for other issues as well as auto ,oil and others whine on climate change legislation or do not want to pay their fair share of their taxes.

If only Obama could get 85% of his agenda that would be great. The Republican opposition doesn't want 85%. It wants zero. They have to be bested and it will be done only by weaving liberals and moderates together.

jdubow
14 July 2009 - 11:52am

Godfrey Hodgson has presented a good explanation of the American political environment that Obama faces. I differ with him on healthcare. The failure of the Clinton reform of 1993 and the likely failure of this year's reform arises more from simple calculations than from any amount of lobbying by insurance and health care stakeholders. Americans may be dumb, but they are not that dumb.

Specifically, both Hillary and Obama make extending healthcare to the uninsured and under insured their top priority in health care reform. Since the lower sixth of the economic ladder has more healthcare problems than the other fifths, this will expand the health care bill by at least another 20 percent. Since members of the middle three fifths of the population are already seeing their health coverage being reduced, this poses a dilemma for them between the equity of universal coverage and the care of their families and themselves. Do I need to ask what the choice of most of them will be?

Ah ha, supporters of present Health Care reform advocates say- the additional expenses will be offset by savings. First institute the increase in coverage and the savings will come later. This is the critical test of any Health Care plan. Most Americans and, one suspects, most people anywhere simply do not believe the savings will occur. Their experiences over a lifetime and over history are just the opposite. In their mind, and in the mathematical models of health care reform made by unaffiliated analysts it is a bad deal to trade present day resources with the government in exchange for future promises.

Many non-opponents of Health Care reform suggest trying out various plans in single or multi-state markets. Health Care reform advocates oppose this. So now the question becomes, how can or will extended health care coverage be implemented? Again, the most credible models say that care levels will need to be significantly rationed by care providers. This will improve health care for those presently uninsured and reduce it for the middle 60% of those presently insured at various levels. This is not viewed as a reform worth supporting by the majority of the population.

Thus, the question is further reduced to how can the administration demonstrate reduced costs, or equivalently, increased productivity in the health care system. For most liberals wishing (or expressions of faith) will make it so. That argument leaves over half the population unconvinced. This chain of common reasoning leaves Obama and the Administration in the position of having to do two things to obtain broad based, lobbying-independent support for Health Care reform. One is to develop a roadmap with specific goals (equivalent to landing on the moon by 1970 that Kennedy proposed) to reduce costs and increase productivity in the health care delivery system. A few specific victories in this regard would go a long way. The second is to develop the equivalent of a "business plan" for the health care system.

The framers of the US Constitution did this in 1789. The resulting plan  was debated for two years and then adopted. It has worked out well for the country. It detailed who would be responsible for what and how conflicts would be resolved. The founders plan was detailed but not too detailed. A similar plan for health care would go a long way to answering most objections.

 It is also likely to galvanize opposition and intensify debate. Back in 1993-increased clarification of the reform plan killed what became known as Hillarycare.Yet this sort of clarification is the only way to develop a consensus in support of health care. Lack of clarification is seen as a way to slip reform past the people without them understanding what they are really buying and tends to be a showstopper.

In conclusion, there is likely no way to implement health care reform without getting into the trenches and working through the issues. This is less probable than trading on the support and charisma of Administration super stars to pass a half-baked reform that will either kill the reform agenda or so degrade the system to make complete overhaul the only option.  

 

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