2020 Election/Transition

Janet Yellen has had a long and distinguished career in the academy and in public service. Like anyone with such a lengthy career, there have been misses along the way. And RDP and other progressives will be sure to speak out in the future should any of them resurface. But Yellen’s commitment to fighting unemployment and the conventional wisdom has been the through line of her career. The differences between the worldviews of Janet Yellen and Tim Geithner, President Obama’s first Treasury Secretary, could hardly be more stark.

Last week, Mitch McConnell chose to fan the flames of baseless electoral conspiracy rather than acknowledge Joe Biden’s indisputable victory. Meanwhile, prominent Democrats took to the airwaves to insist that working with McConnell would not be nearly as hard as people claimed. This is dangerous, wishful thinking.

Joe Biden is already up against the clock. Amid overlapping public health, economic, racial justice, and climate crises, failure to act and act fast will translate into lives lost, deeper economic pain, and a hastening climate catastrophe. To make matters more dire, it’s looking like the Senate will be a formidable, though not necessarily insurmountable, roadblock. It is, therefore, essential that the Biden Administration be prepared to capitalize on the momentum that propelled it into office. But even the strongest White House team will not be able to tightly manage all components of this policy onslaught on the timeline required. To succeed, the Biden Administration must embrace creative, sometimes unusual strategies, push many initiatives simultaneously, and rely heavily on the talents of the figures it has appointed.

For corporate America, divided government is a blessing. A dysfunctional legislature will struggle to pass laws raising corporate taxes or cracking down on corporate malfeasance. But just as importantly, by pushing the narrative that no progressives could ever get anything through a Republican-controlled Senate, corporate executives can position themselves as bipartisan “consensus” picks for powerful cabinet posts and regulatory jobs.

General Services Administration (GSA) Administrator Emily Murphy is often introduced as “obscure” or “little known.” Her new-found notoriety stems from her refusal to declare Joe Biden as the president-elect. This inaction blocks his team from meeting with senior agency personnel, even as Murphy herself looks for her next job. Murphy has drawn bipartisan condemnation for playing along with Trump’s assault on democracy. The condemnation should extend to the system that prioritizes rewarding political operatives like Murphy over any principles of merit, efficiency or meaningful accountability.

It’s important to recognize that the idea of hopelessness around a Biden Cabinet is nonsense. Biden has several tools available to him to circumvent McConnell’s Senate and still appoint the Cabinet secretaries he needs. And to have any hope of Democratic victory in 2022 and 2024, Biden must not only build a functional, Rooseveltian government, but he must take public credit for it—and publicly jeer those who would stand in his way.

A false narrative, undergirded by self interest and misguided assumptions, is dominating early transition coverage. Key voices are already insisting that Joe Biden’s presidency will fail to deliver on any of its promises. According to this view, with Mitch McConnell in the Senate, Biden will not only be impelled to abandon his legislative vision, but also any hope of delivering for the American people via his power over the executive branch. They say that to wrest confirmations from McConnell’s hands, Biden will have no choice but to appoint moderates who will not rock the boat.

Having won more votes than any President in U.S. history, Joe Biden is set to enter the Oval Office with a mandate. However, it looks as though the wave that will have propelled him to the White House may not have been strong enough to break Republican control over the profoundly undemocratic Senate. For at least the next two years, Biden’s legislative agenda will face a formidable breakwater in the form of Senate Majority Leader Mitch McConnell. There is little doubt that McConnell will attempt to extend his stranglehold on action to the executive branch as well, by denying the President many, if not all, Senate confirmations.

For almost four years, the breathtaking cruelty, mismanagement, and corruption of the Trump administration have kept the pundits yapping, the printing presses running, angry congressional letters flying, and the Twittersphere ablaze. Depending on the results of next Tuesday’s election, however, Joe Biden may soon be in a position to actually do something about it all. As Biden and his advisers survey the rubble, it will be important that they not get distracted by the nonsense (“I will tweet less” is not a compelling administrative pillar), but rather home in on those features of the Trump administration that have made life worse for millions.

Thousands of people, from all walks of life, are attracted to doing policy work in Washington. The ones who aren’t multimillionaires don’t get offered the Treasury undersecretary position as an entry-level job.

Over the past decades, U.S. trade policies have primarily served the interests of corporate America. The result? The American worker experienced few if any of the promised benefits of globalization. President Trump seized upon this in his bid for the Presidency in 2016, but his declaration of China as an enemy and ill-advised trade war have only widened the trade deficit he vowed to close. The data show that the trade deficit reached $67 billion in August, its highest level since August 2006. More so, job growth in the manufacturing sector has been on decline since before the pandemic. Indeed, the current deficit in manufactured goods, $84 billion, is the largest on record with data starting in 1992.

The Democratic base, still scarred from the 2016 election, is frantic not to count its chickens before they hatch. But Wall Street and corporate America have no such qualms. As Joe Biden leads in national polls and swing states, the most powerful firms in the country are seeking assurances that his administration won’t crack down on their crimes.

Last week, the Congressional Oversight Commission — charged with overseeing $500 billion in federal coronavirus aid — finally published its fifth report. Disagreements between Republican and Democratic commissioners delayed its release. The Commission described in detail the blatant prioritization of Wall Street over everyday Americans of Jerome Powell’s Fed. Here’s what we learned: