1.4 Trillion, and Rising.

“Today’s American system values upheaval; it’s been a while since we’ve seen too much of it. But Americans who lived through the Depression knew the pain real disruption can bring. Today’s Chinese, looking back on their country’s last century, know, too. With a lack of tragic imagination, Americans have drifted into an arrangement that is comfortable while it lasts, and could last for a while more. But not much longer.The Atlantic‘s James Fallows examines the unstable financial codependence between China and the United States, and how it could all too easily unravel. “Lawrence Summers calls today’s arrangement ‘the balance of financial terror,’ and says that it is flawed in the same way that the ‘mutually assured destruction’ of the Cold War era was…With allowances for hyperbole, something similar applies to the dollar standoff. China can’t afford to stop feeding dollars to Americans, because China’s own dollar holdings would be devastated if it did. As long as that logic holds, the system works. As soon as it doesn’t, we have a big problem.Update: Make that 1.53 trillion.

Obama: Let’s Move On.

Saying he was “concerned about the tenor of the race in these past few days,” Senator Barack Obama moves to quell some of the arguing over identity politics this past week.

Concerning Sen. Clinton’s LBJ history lesson: “‘I don’t think it was in any way a racial comment,’ Obama told ABC News. ‘That’s something that has played out in the press. That’s not my view.’ But, he said, the comment was revealing about her political character. ‘I do think it was indicative of the perspective that she brings, which is that what happens in Washington is more important than what happens outside of Washington,’ he said. He said he believes the quote betrays a belief on her part, ‘that the intricacies of the legislative process were somehow more significant than when ordinary people rise up and march and go to jail and fight for justice.’ He called that a ‘fundamental difference’ between them.

Concerning Bill Clinton’s fairy tale: “[A]gain, Obama looked past the racial controversy. Instead, Obama directed his response to the dispute over whether opposition to the Iraq War was consistent. (Clinton has since reiterated that is what he meant when he invoked the ‘fairy tale’ line.) ‘Both he and Sen. Clinton have been spending a lot of time over the past month trying to run down my record,’ Obama said. ‘What particularly distresses me is this notion that I wasn’t against the war from the start. This is coming from a former president who suggests that he was and nobody can find any record of it,’ he said.

A great, classy response. The Clinton strategy only really works if you play along. As my old employer, James Carville, was wont to put it, “Don’t waste your time wrestling with a pig. You just dirty, and the pig loves it.” (And, just to avoid confusion and just as McCain with Romney, I’m not calling the Clintons porcine, even if they have engaged in some swinish political tactics of late. It’s a figure of speech.)

Update: Senator Obama continues in the same vein at a press conference this evening. Speaking of a possible Bradley effect in New Hampshire, Senator Obama said: “I don’t think that’s what was going on…as I understand it, basically there was a big shift in undecided’s going towards Sen Clinton, particularly among women in the last minute. And keep in mind there was a big gap, a gender gap that cut both ways — I won among men and she won among women — there were more men than women who voted. If it had been a racial issue, there’s no reason why that would have been something that was unique to women as opposed to men, so I don’t’ think that is the case.

Update 2: Speaking yet again of Clinton’s “fairy tale” rant, it seems another — substantive — deception has emerged from Clinton’s remarks (and Hillary’s statement on MtP.) Did you notice how they both keep mentioning anti-war opponent Chuck Hagel? “[T]he talking point appears to misconstrue the facts.”

Update 3: Sen. Clinton seconds the call for truce, although she then somehow failed to get word to Charlie Rangel.

Clinton’s Racial Provokatsiia.

We seem to be at the point where there are now two credible possibilities. One is that the Clinton campaign is intentionally pursuing a strategy of using surrogates to hit Obama with racially-charged language or with charges that while not directly tied to race nonetheless play to stereotypes about black men. The other possibility is that the Clinton campaign is extraordinarily unlucky and continually finds its surrogates stumbling on to racially-charged or denigrating language when discussing Obama.TPM‘s Josh Marshall ponders the last week in politics, while going on to defend Clinton’s “fairy tale” remark as untinged by race. (I would agree — I found it dismaying for other reasons, which I’ve explained twice, and which The Nation‘s David Corn also finds reprehensible — the Rovian swift-boating of Senator Obama’s stance on the Iraq war.)

Another commenter at TPM aptly characterized what the Clintons have been doing here (the “rope-a-dope” strategy I outlined in the comments the other day.): “I think that the Clintons’ anti-Obama strategy is more subtle than commentators are realizing. It is in the nature of a ‘provokatsiia’, as the Russians say…Such comments are a provocation, waving a red cloak in front of the Obama people. When they respond angrily with charges of racism, suddenly they look like Jesse Jackson redux…just the kind of angry, militant black folks who scare white people…The whole point was to get the Obama people to respond angrily, which they did. Clintons win.” And we all get dirty.

Update: “Is it possible that accusing Obama and his campaign of playing the race card might create doubt in the minds of the moderate, independent white voters who now seem so enamored of the young, black senator? Might that be the idea?” The Post‘s Eugene Robinson sees a similar strategy at work.

Update 2: As does Margaret Carlson: “While it isn’t clear from whose sleeve the card was pulled, it is likely it wasn’t from the person with the most to lose. If Hillary Clinton’s campaign had taken only one shot at Obama, it might have been blown off as a mistake. But four shots constitutes a pattern.

Update 3: As does the New York Times: “By the time the campaigns got to New Hampshire, the Clinton team was panicking…It was clearly her side that first stoked the race and gender issue.

The Obama Record: Consensus.

In Washington, Obama continued to work on ethics issues, teaming up with fellow Democrat Russ Feingold after a series of national scandals surrounding GOP lobbyist Jack Abramoff. Their legislation required more disclosure of pork-barrel spending and the ‘bundlers’ who collect large campaign contributions. James Thurber, director of American University’s Center for Congressional and Presidential Studies, says Obama deserves much of the credit for the cleanup. ‘I think he was one of the major forces behind the provisions that came out in the act,’ says Thurber, who testified to Congress on the issues. ‘He held meetings, a lot of cross-party ones. He was trying to find support where he could.’” A thoughtful Newsweek piece by Richard Wolfe and Karen Springen examines the consensus-building nature of Obama’s leadership in both the Illinois and U.S. Senate. “Hillary Clinton says Obama’s ethics reforms left too many loopholes…Yet Clinton herself was one of 20 Democrats who rejected the Office of Public Integrity idea.

Greenberg: Missing the Thread.

In the Washington Post, Rutgers historian David Greenberg calls Barack Obama the “great white hope”, and argues that his broad-based appeal amounts to little more than “a fantasy of easy redemption…Inspiring and exhilarating as it is, Obamamania allows us to sidestep the hardest challenges, at least for now.” Now, Greenberg is a friend and colleague with whom I’ve disagreed in the past. Still, with all due respect, this is about as wrong as I’ve ever seen him, and, by putting so much argumentative emphasis on race, this article veers dangerously close to being the historian’s version of the “imaginary hip black friend” argument of earlier in the week. My quick response, originally posted over at Cliopatria, is below.

The problem for me with Greenberg’s piece is that he too readily dismisses the ideological appeal of Obama’s candidacy in one sentence. “On the contrary, Obama’s ideology, insofar as he has articulated it, seems to be a familiar, mainstream liberalism, heavy on communitarianism. High-minded and process-oriented, in the Mugwump tradition that runs from Adlai Stevenson to Bill Bradley, it is pitched less to the Democratic Party’s working-class base than to upscale professionals.

I consider Greenberg a friend and an excellent historian, but as I’ve written before, I disagree with him fundamentally on this point. Obama’s language of civic-minded progressivism cannot be dismissed so readily. It’s a huge part of his appeal, bigger — to my mind — than the simple fact of his race. And by sloughing off Obama’s ideological appeal so quickly, Greenberg is then forced to overstate significantly the racial nature of Obama’s candidacy, and make extremely dubious claims about we Obama supporters looking for “easy redemption.”

Also, I’m by no means a reflexive Clinton-hater, although I do feel the past week in American politics has tarnished their legacy considerably. Still, I would not concur with Greenberg that Clinton managed to “formulate a viable and vital new liberalism.” The restoration of fiscal sanity in 1993 notwithstanding, by the middle of his first term, Clinton liberalism was in full rout, and it pretty much has been ever since. The remaining six Clinton years were spent mainly just triangulating madly to stay afloat.

Putting race aside — if we can still manage to do that after the past few days — Obama’s rhetoric calls for a repairing of the civic fabric and a progressive-minded style of governance that dreams big. And that — not easy fantasies of racial reconciliation — is what people are responding to. Without vision, the people perish…and, frankly, school uniforms and V-chips just aren’t going to cut it anymore.

Update: See also TNR’s Noam Scheiber.

You’re biased! No, really, you are.

“If you are unprepared to encounter interpretations that you might find objectionable, please do not proceed further…I am aware of the possibility of encountering interpretations of my IAT performance with which I may not agree. Knowing this, I wish to proceed with either the Democratic Candidates task or the Republican Candidates task. As the 2008 Democratic primary season degenerates into a Clintonian morass of identity politics and invective, now seems as good a time as any to test your own internal bias with an Implicit Association Test. (For more info, Slate’s Jay Dixit covered the test and it social implications a few years ago.)

As for me, I took it three times. At first, my reptile-brain displayed a bias for Hillary Clinton, with Barack Obama and John Edwards exactly tied below her, and Bill Richardson lagging considerably behind. (My apologies, Governor Richardson. I think it might be because you look older than the rest of the candidates. At least, I hope that’s the reason.) The second time I took it involved just the candidate’s names, and it was completely inconclusive — all four were tied exactly in the center of the chart. The third time — perhaps because I was growing more used to the interface — Barack Obama was up high, followed by Edwards, followed by Clinton followed by Richardson.

Edwards Steps In.

“‘As someone who grew up in the segregated South, I feel an enormous amount of pride when I see the success that Senator Barack Obama is having in this campaign,’ said Edwards. He then added, with a laugh: ‘Some days I wish he was having a little less success.” In South Carolina, John Edwards gives his take on recent events. ““I must say I was troubled recently to see a suggestion that real change that came not through the Rev. Dr. Martin Luther King but through a Washington politician. I fundamentally disagree with that…Those who believe that real change starts with Washington politicians have been in Washington too long and are living a fairy tale.

Nelson and McCaskill Aboard.

Two more Senate endorsements for Obama: Sen. Ben Nelson of Nebraska and Sen. Claire McCaskill of Missouri. “Nelson, pledging his support for his Illinois colleague, said Obama has ‘the greatest potential to ending the bitterness and poisonous atmosphere in Washington.‘” Update: McCaskill’s statement.

The Victim Card…Again.

“I regret the way that this matter has been used,’ Clinton told reporters. ‘The comments about it are baseless and divisive. I was personally offended at the approach taken that was not only misleading but unnecessarily hurtful.’” When asked about Congressman Jim Clyburn’s dissatisfaction with her recent remarks on the civil rights movement, Sen. Hillary Clinton suggests she‘s the aggrieved party here, and, worse, that a vast Obama conspiracy is to blame for people — including Clyburn — finding fault with her remarks. “She suggested reporters consider the sources of the criticism, much of which has come from the black community. ‘I think it clearly came from Senator Obama’s campaign and I don’t think it’s the kind of debate we should be having in our campaign,’ she said.” Wow. I mean, I’m running out of ways to be surprised here. Isn’t this the exact same cynical and misleading strategy that President Clinton just accused Senator Obama of running? This is just getting depressing.

Update: On Meet the Press, Sen. Hillary Clinton continues the “Vast Obama Conspiracy” defense. “‘This is, you know, a, a — an unfortunate story line that the Obama campaign has pushed very successfully,’ she said. ‘They’ve been putting out talking points. They’ve been making this — they’ve been telling people, in a very selective way, what the facts are.” Uh, swift-boat much? What evidence do you have that the Obama team is responsible for people finding your recent actions dismaying? And why not just say your words could be misconstrued, apologize, and move on? Instead, we get: “Clearly, we know from media reports that the Obama campaign is deliberately distorting this.What media reports? (The closest I could find was this, when an Obama spokesman suggested there might be a “pattern” here. Well, given Billy Shaheen, mandatory minimums, “imaginary hip black friend,” and such readily misconstruable remarks as “fairy tale” and “kid,” and the LBJ “It takes a president” history lesson, I can see why one might think so. But I see little other evidence that the Obama campaign is responsible for the general dismay surrounding the Clintons right now. These people have no sense of shame.

Update 2: Obama’s response: “‘The notion that this is our doing is ludicrous.” Meanwhile, the Clinton people point to this memo, drawn up by Amaya Smith, Obama’s press secretary in SC but not released to the press. Sigh…this may well be the dumb mistake the Clintons have been baiting the Obama team to make. Still, having read through the memo, I’m not seeing any “deliberate distortions” of the Clintons’ behavior, so much as a litany of the unfortunate incidents that have been emanating from the Clinton camp. (I hadn’t heard the Trippi v. Penn “cocaine” one. Cute.) Plus, the memo seems to follow the concerned responses of leaders such as Jim Clyburn and Donna Brazile — in fact, that’s the newspeg. Hard to say that it created them.

Update 3: Hillary Clinton is defended by BET’s Robert Johnson, who also sees fit to bring up the drug spectre again. “‘As an African American, I’m frankly insulted that the Obama campaign would imply that we are so stupid that we would think Bill and Hillary Clinton, who have been deeply and emotionally involved in black issues when Barack Obama was doing something in the neighborhood that I won’t say what he was doing but he said it in his book’…Clinton’s campaign says Johnson was not referring to Obama’s past drug use. Meanwhile, Rep. Stephanie Tubbs Jones, another African-American supporter of Clinton, said of the comments, ‘Sometimes people say things that aren’t sanctioned…I can’t speak for Bob.’

Update 4: Johnson — previously a stalwart foe of the estate tax, by the way — also went on to compare Obama to Sidney Poitier, and not in a good way. Yep, a classy day all around for Team Clinton. I have to think this’ll backfire.

Update 5: Johnson’s official response to his earlier comment: “Johnson said it would be ‘simply irresponsible and incorrect’ to read his words that way. ‘My comments today were referring to Barack Obama’s time spent as a community organizer, and nothing else.’” Now, read back into the original quote, that clearly doesn’t make a lick of sense. But who’s got his back? Why, Bill Clinton: “I think we have to take him at his word.” It’s not a lie if you believe it, right, Mr. President?

Mr. President, there’s a “Mr. Kettle” on the phone…

“‘This is what happens any time anyone tries to question a statement or a position of Senator Obama,’ Clinton says in an interview now airing on Sirius satellite radio. “The response is, ‘You’re attacking me personally,’ and that relieves him of the obligation to address the substance.Bill Clinton spins himself deeper. When has Sen. Obama said anything of the sort? The closest I could find was this, from Dec. 21, after several weeks of Sen. Clinton’s “Now comes the fun part” attack strategy: “‘So far, I think, attempts to go negative in a way that’s not policy-based have backfired on the people who have gone in that direction,’ Obama said during a brief interview…’I would distinguish between ads that I would say maybe mischaracterize my positions but had to do with policy, versus personal attacks or attempts to go at my character or those things. In which case, I will answer them swiftly and truthfully if they’re false and trust in the voters.’” So Obama hasn’t said anything of the kind. Clinton instead appears to be projecting his own tried-and-tested strategy upon the Senator from Illinois.

President Clinton’s clarifying of his sad “fairy tale” moment is as follows: “Clinton told Sharpton the ‘fairy tale’ remark was only intended to describe Obama’s claim to have exercised better judgment about the war, and was not intended as a sign of ‘personal disrespect.’” Clinton has then continued to press this “flip-flopper on Iraq” attack: “And in fifteen debates, no one ever once bothered to ask Senator Obama, ‘How can you say you were always against the war, and your judgment is better than theirs, and they were wrong to vote for that resolution which authorized force, when two years after you gave the anti-war speech in 2004, you, Senator Obama said you didn’t know how you would have voted on that anti-war resolution, number one, then two days later, you said there was no difference between you and President Bush on the war?’

For what it’s worth, Tim Grieve posted on this on “fairy tale” day, as did I, and an exhausted-seeming Obama responded to ABC then too. (Note, in Obama’s response to Clinton, that he says nothing akin to what Clinton is claiming about personal attacks.) So I’m repeating myself now, but then again so are the Clintons.

As Americans can remember all too well, former President Clinton has a practiced affinity for the lawyerly half-truth. (“That depends on what your definition of the word “is” is,” ad absurdum.) With regard to this continued smear, the key word is “debates.” This exact question may not have come up during a Democratic debate, sure. But it was one of the centerpieces of Obama’s appearance on Meet the Press on November 11 — see page 2 of the transcript — and it’s been asked and answered. (See also this incomplete clip of CNN’s Candy Crowley covering the same ground with Obama.) Worse, Clinton keeps leaving out the parts of Obama’s quotes that prove his charges are baseless. I’ve reposted Grieve’s summation below:

Yes, Obama said in 2004 [at the Democratic convention, as we were nominating two war-voting Senators] that he did not know how he would have voted on the war if he’d been in the Senate at the time. But he suggested in the same interview that his uncertainty stemmed from the fact that he wasn’t ‘privy to the Senate intelligence reports” that sitting senators saw,’ and he added: ‘What I know is that, from my vantage point, the case was not made.” [My emphasis.]

Did Obama really say in 2004 that there was ‘no difference’ between his views and George W. Bush’s on the war? Not exactly. As the Washington Post has explained previously, what Obama actually said in the interview to which Clinton was referring was that while he would have voted against the resolution authorizing the use of force in Iraq, he was not in favor of ‘pulling out now.’ Thus, when Obama said that there’s ‘not much of a difference between my position and George Bush’s position at this stage,’ he was plainly referring to the question of whether to stay in Iraq, not the decision to invade in the first place.

Clinton kept repeating this “fairy-tale” accusation in his string of so-called apologies today, but he has yet to give the full story about Obama’s remarks. He’s contrived a negative attack out of a deceptive half-truth, and he’s clearly just trying to confuse people. When it comes to the substance of Clinton’s smear, there’s no there there.

In short, President Clinton is obfuscating here about Senator Obama’s view of the war. Use a stronger word if you’d like.

Update: “‘I’m really troubled by his questioning the sincerity of Barack Obama’s opposition to the war in Iraq,’ Durbin said. ‘I really think it is unfortunate to question Barack’s sincerity on the war. He has been there from the start, opposing this war.’” Obama supporter Sen. Richard Durbin responds — and responds hard. I love this: “If President Clinton had opposed that war as strongly as Barack Obama at the time, it would have helped a lot of us who had voted against authorizing an invasion.” Touche.