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Each morning, Bill Scher and Terrance Heath serve up what progressives need to affect change on the kitchen-table issues families face: jobs, health care, green energy, financial reform, affordable education and retirement security.

GOP Takes House Without Mandate

Weak economy overwhelms weak Republicans. W. Post: "Despite Republicans' gains, 53 percent of voters said they view the GOP unfavorably. Obama's health-care overhaul proved not to be as toxic as some had expected at the polls. It ranked a distant second on people's minds, with 18 percent saying it was their top issue, far behind the economy, which 62 percent said mattered most."

NYT analysis argues incoming Speaker has no mandate: "There is a craving, polling shows, to see the current system upended, but preferably without gridlock or rancor. Voters want federal spending curtailed, but jealously guard costly entitlements. They angrily reject what is, but have no clearly articulated vision for what should be. Indeed, Mr. Boehner and his party were delivered no clear mandate from voters, who, polls suggested, were rejecting a policy agenda more than they were rallying around one. One demand resonated loudly: the reduction of federal spending immediately, a daunting goal. Yet, among the first things that Mr. Boehner has said he will seek to accomplish are reversing cuts to the Medicare program and extending the expiring Bush-era tax cuts, steps that are hard to reconcile with a commitment to reining in the national debt."

"Old bulls, no votes on healthcare, pledges not to vote for Pelosi for speaker -- those promises by incumbents didn’t matter in several races..." notes The Hill.

"Of the 34 Democratic incumbents who voted no to health care reform, sixteen are projected to have lost their seats Tuesday while three are locked in races that are too close to call." reports CNN.

Split decision on carbon cap supporters. The Hill: "A slew of the 211 Democrats who voted for the sweeping 2009 House
climate bill lost their seats Tuesday, such as Reps. Rick Boucher (Va.), Zack Space (Ohio), Tom Perriello (Va.) and John Boccieri
(Ohio) ... But in Kentucky, a coal state like Virginia, Rep. John Yarmuth (D) won his race and Rep. Ben Chandler (D) appeared headed for victory ... Jeremy Symons of the National Wildlife Federation Action Fund pointed to
their wins and the victory of Rep. Heath Shuler (D-N.C.), another lawmaker from a conservative-leaning region who supported the House bill last year ... the GOP wave also swept away a number of the 44 Democrats
who voted against the climate bill..."

Blue Dog caucus sliced in half. HuffPost: "...23 of the 46 Blue Dogs up for re-election went down on Tuesday ... It remains to be seen whether the remaining lawmakers will be able to find new members, or whether the Progressive Caucus -- which lost far fewer members, in part because many of them are in solidly liberal districts -- will instead see its hand strengthened."

Voters who blame bankers for the economy went Republican, notes TNR's Jonathan Chait: "...more evidence that the biggest political paradox of the election is that Republicans have seized the mantle of economic populism."

No conservative wave to roll back taxes in ballot initiatives. CNN: "A trio of controversial tax initiatives in Colorado failed, as did an effort to slash sales taxes in Massachusetts ... 'Voters are not willing to go so far as to start to disassemble state government,' said Jennie Bowser, an elections analyst for the [National Conference of State Legislatures.]" But Washington State rejects income tax on wealthy.

California voters keep their carbon cap. SF Chronicle: "'I think it's extremely significant that in recessionary times Californians once again prove you can have both a strong economy and a clean environment,' said Steven Maviglio, spokesman for the campaign against Prop. 23."

"Welcome to gridlocked America" writes W. Post's Ezra Klein: "From the perspective of actually getting anything done in the next two years, there was perhaps no worse outcome ... Health-care repeal will not pass the Senate, and if Republicans attempt to defund the program, it will be the House acting on its own ... It is also difficult to see major new stimulus programs -- for instance, a payroll-tax holiday ... a time of implementation for the White House, oversight for the House, and paralysis for the Senate. As for getting the economy back on track, that's now Ben Bernanke's job..."

Midterm campaign drenched with money, and it will only get worse. W. Post: "Independent groups have reported spending $270 million so far, but that number does not include tens of millions of dollars more that were not disclosed to the Federal Election Commission. Much of the money has been spent by nonprofit groups such as the U.S. Chamber of Commerce that do not have to reveal the sources of funds. 'It's the how-to for 2012,' said Ellen Miller, executive director of the Sunlight Foundation, which tracks money in politics. 'It's how to use corporate money, how to use secret money, to buy elections. . . . It's going to be no-holds-barred.'"

What To Do First? Repeal Health Care? Prosecute Warren? Destroy America's Credit?

Will the first act of the new House be to plunge the global economy into oblivion?. LAT's Tim Rutten: "One of the first tests of his ability to discipline populist revolutionaries fresh from the electoral barricades will come when the new Congress is asked to raise the federal debt limit from $12.4 trillion to $14.3 trillion. No Congress has ever refused to approve such an increase and, if such a refusal were to occur, the consequences for the global financial system would be apocalyptic. Many of the new senators and House members have pledged to vote against an increase in the debt."

No. 2 House GOPers claims mandate to repeal health reform. CBS quotes: "I hope that we're able to put a repeal bill on the floor right away because that's what the American people want."

Cantor also pretends tax cuts don't cost anything. TNR's Jesse Singal: "Cantor, of course, wants to extend the Bush tax cuts. But when Rachel Maddow asked where he was going to find the funds to make up for the revenue that would be lost if they were extended, he pulled a bit of rhetorical jujitsu: They're not tax cuts! Since next year taxes will either stay the same or go up, no one's talking about tax cuts. This is clever in the way it's clever when you lend a three-year-old your hat, you ask for it back, and he hides it behind his back and says, 'What hat?'"

GOP Rep. Darrell Issa guns for Elizabeth Warren. WSJ: "[He] pledged early Wednesday morning to prevent so-called czars appointed by the administration from committing government money to programs they oversee. Mr. Issa, who as committee chairman will have subpoena power over the Obama administration next year, made his remarks in response to a question about whether he would force Senate confirmation for the special administrators; Elizabeth Warren ... was singled out." W. Post's Al Kamen announces "Who gets the first subpoena" contest.

Stephanie Mencimer, at Mother Jones, reports that Tea Party are plotting ... to become career politicians: "Not only have tea party activists been busy plotting their next move, they've already revealed much of their plan. It looks something like this: Raise money, have more tea parties, and join the permanent political class. It's a far cry from a movement that has emphasized its insurgent organizing structure and disdain for politics as usual."

What's Obama's Next Move?

The Atlantic's Marc Ambinder speculates on the White House response: " Expect humility, determination and no hint of 'moving toward the center.' ... White House officials hope that Republicans immediately adopt a celebratory, no-compromise, 'we're back!' posture ... [The President] is almost certain to invite the new leaders of Congress to the White House, or to Camp David. There will be private meetings and a public photo op. Message: it's easy to say no, guys, but now this big pile of problems is on you, too..."

Mother Jones' David Corn argues Obama must prepare for confrontation: "To protect [his] policy victories, Obama is going to have to engage in divisive battle with the Republicans. (In the Senate, Rand Paul can use a variety of parliamentary rules to bring any and all action to a halt. And if he blocks raising the debt ceiling, he could singlehandedly precipitate a global economic crisis.) Yet in the days before the elections, Obama was still sending I-can-work-with-them smoke signals."

The President needs Elizabeth Warren to be front and center now, argues Baseline Scenario's Simon Johnson: "What the president needs is someone who can take the fight to the Chamber [of Commerce] – force them publicly to defend business practices that are unacceptable and abhorrent to responsible entrepreneurs and executives ... Elizabeth Warren has the vision, the credibility, and the communication skills needed to really bring overdue changes to our financial system – and to lay the groundwork for 2012."

Progressives Slam Deficit Hysteric Dems For Stunting Economy

OurFuture.org Robert Borosage warns Democrats not to interpret election as call for austerity: "Republicans made gains with an agenda – a forced march to austerity – which will only make things worse, and a paymaster – corporate and wealthy donors threatened by reform – intent on defending entrenched interests ... Democrats and the president have to lay out a bold plan to get the economy going and fight for it against those standing in the way. Joining the Republican embrace of cuts to Social Security and harsh budget austerity would be bad policy and bad politics ... It would be far better to lay out what the country needs, stand firm against the special interests and make the choices clear."

Paul Krugman debunks calls for Obama to move rightward: "...at every stage there was a faction of Democrats standing in the way of strong action, demanding that Obama do less, avoid spending money, and so on. In so doing, they shot themselves in the face: half of the Blue Dogs lost their seats. And what are those who are left demanding? Why, that Obama move to the center."

OurFuture.org's Dave Johnson says listen to the bloggers next time: "For the first half of the year all the progressive bloggers were saying that the November election is going to turn out very, very badly for Democrats if they don't focus on jobs. We said please, please drop this 'austerity' nonsense, the only way to cut the deficit is to grow the economy. We were going kind of nuts about it, saying if you don't spend money on jobs the voters will punish you."

PCCC blames Dem leaders. CNN: "'What the average voter saw of Democrats was weak, watered-down change - and weak Democratic leaders who cut deals with the very Wall Street banks and insurance companies they are supposed to be fighting,' Adam Green, the co-founder of the Progressive Change Campaign Committee said in a statement."

OurFuture.org's Isaiah Poole notes the enthusiasm gap: "Early exit polls indicated that the youth vote was half what it was in 2008, and African-American turnout was down as well. Not motivating what Stan Greenberg calls the 'rising American electorate' was a significant missed opportunity for Democrats, one we saw coming in the past few weeks as we surveyed the websites of Democrats in contested races. We found scant evidence of Democrats touting their party's stands on the kitchen-table concerns that would have grabbed the allegiance of voting groups most anxious to hear a message of aggressive action..."

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