Believer: My Forty Years in Politics

by David Axelrod

The episode was a parable about Obama and his approach to politics, dating back to his years in the Illinois legislature. He is both idealistic and pragmatic, progressive in his goals but practical in pursuing them. He liked Warren and valued her leadership for the consumer protection bureau, but he wasn’t going to sacrifice its creation or the larger financial reform law, or invite rearguard actions to undermine it after its passage, by surfacing her name too early or keeping her in place for too long. The Left was eager for the fight. Obama was playing for meaningful gains. Ironically, Summers fell victim to that same sense of pragmatism. Despite his yeoman service, and Obama’s deep respect, Larry was twice passed over for the Fed chairmanship he had been promised when he agreed to serve in the White House. The first time, in the spring of 2009, Obama yielded to Geithner’s recommendation that he reappoint Bernanke in order to reassure the jittery markets. Four years later, when Bernanke retired, the president passed over Summers again, concerned that opposition from the Left, including Senator Warren, would make the nomination too heavy a lift, jeopardizing other priorities. Obama had shown a willingness to make such sacrifices and strike hard bargains in order to achieve his larger goals, but he drew bright lines when he felt such concessions would undermine fundamental principles. As the financial reform bill was winding its way through Congress, Obama instructed his t...