Will there be radical change?

Many rejoice over the Democratic victory of Congress, as they anticipate change in the country's direction. First ever woman Speaker of the House, Nancy Pelosi and the Democrats have pledged much, such as "changing the course" for the Iraq war, raising minimum wage, ending tax giveaways to big oil and stopping Republican repudiation of stem-cell research.

The Economist however doubts that Pelosi and her generals are unlikely to do anything radical partly because Bush's presidential veto could cause policy gridlocks as well as Bush's tax cuts are set to only expire in 2010. Nevertheless, the publication's pessimism stems mainly from the ambiguity of the Democratic agenda and the new House cheftains not perceiving themselves as revolutionaries. It argues that the Democrats' goal "is not to enact a specific agenda, but to prepare the ground for the presidential election of 2008." Former Secretary of the Treasury under the Clinton administration, Larry Summers also concedes that in the changed political landscape, big structural tax reform or action on entitlements are almost inconceivable.

That said, the Democrats must maximize this opportunity to establish credibility in the public mind. Otherwise, the GOP could continue to occupy the Yellow Oval Room in 2008.