I was getting ready to expand on the sappy Thanksgiving post I wrote on Open Salon last night when news began to unfold Wednesday about the Mumbai attacks. We don't know enough as I write for me to say anything intelligent about this, but I found myself counting my blessings again, in a more somber way, and including Barack Obama and Joe Biden among them.

It now seems particularly ridiculous that Republicans tried to make an issue out of Biden's factual statement, during the campaign, that Obama would be "tested" by our adversaries early in his term. Of course he will, and maybe this set of attacks will be part of it, maybe it will be something brand-new after Jan. 20.

I find myself particularly grateful for Obama's calm and his clear judgment as I think about future awful days like this one. I'm glad he got a jump on his economic team this week, and I'm relatively happy with the news about his foreign policy and defense team as it emerges, particularly Hillary Clinton at State and Susan Rice as U.N. ambassador. Frankly, I'm torn about reports that Obama will keep Robert Gates as secretary of Defense. Like all Iraq war opponents and Bush critics, I'd like a clean break with the past. On the other hand, Gates was an improvement on Donald Rumsfeld, and wasn't responsible for Abu Ghraib or Rumsfeld's retaliation against war skeptics and critics in Defense.

Watching these scenes from Mumbai, I am a little more sympathetic to arguments that Obama needs experience and stability at Defense as he takes charge. But just a little. It would be wrong to let an ugly terror attack, wherever it occurs, shake our values and our commitment to a sane foreign and defense policy. We tried that seven years ago and look where it got us.

Happy Thanksgiving, everyone. I'm grateful for your readership and support.

I don't know whether Barack Obama can get the economy out of the ditch, but so far his moves have been reassuring. Most important, he's inched carefully into the breach created by the lame-duck, clueless Bush administration.

But it may be too carefully. I find myself wondering whether there's more he or his team could do to change the awful terms of the Citigroup bailout, for instance. And did he have anything to say about the Fed's $600 billion plan to buy more troubled mortgage-backed securities, which even Paul Krugman can't understand?

I watched Obama's Tuesday press conference thinking he may be trying a little too hard to reassure Republicans he's concerned about "fiscal responsibility," as though Republicans have a claim to any kind of responsibility after the last eight years.  Singling out a relatively tiny program that rewards millionaire farmers, as Obama did, isn't going to reassure anybody that he's got a secret weapon for cutting pork. Nor is his promise to go over the budget line by line. Maybe these are a needed sop to people afraid of Great Society overreaching, but I'm not sure he should be worried about that. I'm most afraid of underreaching.

I have been a great advocate of trusting Obama in this transition, and for the most part, I do. It's early to second-guess his appointments, and I'm not inclined to, because they all seem sound. (I think Glenn Greenwald and other bloggers deserve a round of applause for making it politically impossible for him to appoint John Brennan to a top intelligence post. Obama's reported decision to retain Defense Secretary Robert Gates isn't surprising and probably merits its own column.) On the economy, Andrew Leonard has already laid out the reasons Timothy Geithner was a strong pick for Treasury secretary -- mainly, his relatively early (if still belated) recognition of the problems with the greed-inspired toxic phantasms of the lending industry.

And while Greenwald today sounded some valid warning notes about the kvelling over Geithner and National Economic Council chairman Larry Summers -- making the important point that both of them are implicated in the deregulation that led to the current collapse, and the overreliance on monetary policy that slowed a strong response to the crisis -- it's going to be hard to find anyone experienced in government who wasn't misguided about those things. The question is, how early did Obama's new team members realize they were wrong, and what did they do? (Two must-reads on this issue: John Cassidy's New Yorker profile of Ben Bernanke, which shows how everyone at the Fed, including Geithner, was behind the curve, and how they have tried to play catch-up; and John Judis' disturbing piece about Obama's Council of Economic Advisors chair Christina Romer, who likewise seems to have realized too late that monetary policy alone couldn't stop the slide.)

The bigger question about Obama's economic plan is going to be whether and when he'll be able to tell the truth about how much blame the Bush administration bears for the current mess, and what it's going to take to get us out of it. Speaking today, the president-elect again talked about the need for bipartisanship in this time of crisis. Meanwhile, Grover Norquist was on CNBC blaming the crisis on Democrats retaking control of Congress in 2006 and raising the specter of repealing Bush's tax cuts for the rich. Whatever the problem, the solution for most Republicans is tax cuts for the rich, even after the Bush economic agenda brought us to the brink of ruin. Bravo to David Sirota for stating the factually true and obvious: Bill Clinton's tax increases on the wealthy after the last Bush recession helped usher in an era of prosperity.

The issue isn't as simple as tax cuts or tax hikes, and this economic downturn is much more complex and troubling than that of the early '90s. But Democrats need to say, every chance they get, that they are inheriting a crisis caused by an overdose of Republican, free-market economic policy, which tried to establish a tax-cutting, regulation-slashing, winner-take-all, loser-gets-nothing (unless he runs a big dumb corporation that took unconscionable risks driven by greed, and then he gets a bailout) paradise. I wanted Obama to say that in Chicago this afternoon.

Even as I write that, I know that's not the president we elected. As much as we on the left like to think we're his base, and like to talk about how much he owes us, Obama made a conscious decision to pitch himself as a post-partisan guy who'd appeal to centrists and even Republicans. I wrote about that during the primary season; Digby writes about it here. Now, he did hone a more populist message in the last months of the campaign, and I believe he won largely because people believed he'd deliver real solutions to the economic crisis. Obama himself noted that today, saying, "We had a decisive win, because of the extraordinary desire for change on the part of the American people."

But he then went on say that "it's important we enter into the administration with a sense of humility, and recognize that wisdom isn't the monopoly of any one party." I'm sure he's right; it just doesn't feel that way right now. As Obama speaks to the other party with respect and diplomacy, I desperately want him to remember that he'll never have a window like this one to make big economic and political change. There's actually a bipartisan consensus behind a big domestic stimulus package; next week we'll be asking experts what it should do. It's fine for Obama to talk nicely to conservatives; I just frankly hope he's listening mostly to liberals as he shapes his economic plan.

Tuesday's short press conference also gave us a window onto what reporters are concerned about: whether Obama is confusing people about who's president (if only) and whether he's going to "overreach."  Oy. That's why I'm largely inclined to give Obama a pass until he's actually president, and can do things -- rather than just talk about them, and have the media worry about problems that don't exist. Jan. 20 can't come soon enough for me.

Given the state of the economy, it's hard to cheer when any organization shuts down, but I enjoyed a Nevada newspaper's report that funder Sheldon Adelson is set to pull the plug on Ari Fleischer's silly Freedom's Watch.

Fleischer launched the conservative advocacy group, set up to support pro-war GOP candidates, with self-aggrandizing bravado, announcing, "For people who believe in peace through strength, the cavalry is coming." Describing pampered Beltway lobbyists and fat cats as "cavalry" in a time of war was bad, but it was worse when Fleischer used real disabled soldiers in his Freedom's Watch ads, but couldn't remember their names.

On Monday the Las Vegas Review Journal reported that after spending $30 million in the last election cycle, Freedom's Watch was winding down. The group's spokesman refused to give the Review Journal a list of the races where it was active, although in Las Vegas itself it ran goofy, ineffectual ads against Democrat Dina Titus, who won.

In the anti-meritocracy that is the GOP, Fleischer is sure to be rewarded with another cushy post, but let's celebrate small victories.

I find myself in a very strange position this week. When the world was overtaken by Obamamania last year, I was a late swooner. Some may recall that I even occasionally criticized the Democratic nominee. So why am I mainly happy with the way Obama's handled the presidential transition, when so many early swooners, especially in the blogosphere and mainstream media, are so critical?

Since his most controversial move is (reportedly) considering Hillary Clinton for secretary of state, it's clear my respect for Clinton has a lot to do with it. I thought she'd be an excellent president, so it's not surprising I think she'd be a good choice for secretary of state. She's smart and tough, has a lot of respect worldwide, she had an international portfolio as first lady, and she's strengthened that experience as a senator and on the Armed Services Committee. She'd also be a strong voice for women's rights globally.

But there's one qualification to my belief that she'd be a good choice: I only think so if Barack Obama thinks so. If he believes she can contribute to his foreign policy, but most important, carry it out; that she can represent him well and inform his worldview; that she can improve our standing abroad, well, then, I believe she can, too. This choice is neither a popularity contest nor a meritocracy; it's all about the person the president believes can best represent his foreign policy and America's interests in the world. He has to deeply trust the man or woman in that role.

One reason I believe Clinton could loyally represent Obama's foreign policy is that I think the differences between them were exaggerated for political reasons during the primary season. He had a political stake in portraying her as a hawk; she had one in portraying him as naive and unready. He was right about Iraq from the get-go and she was wrong, but their positions on how to get out were virtually identical. Despite their debates about how and when to sit down with dictators, I think they'd take much the same approach to dealing with both our enemies and our friends. So it makes sense to me that Obama would seriously consider her for the post.

Now, if they continue to talk and he has doubts about her capacity to loyally represent him abroad; if concerns emerge about President Clinton's global dealings; if any number of genuine troubles arise that convince Obama that despite his initial enthusiasm, it's not the right choice, I'll accept that. The only bad reason not to pick Hillary Clinton as secretary of state is the predictable media mob of Clinton haters telling him not to.

I just finished a "Hardball" debate on this with Michelle Bernard, who said it was "bordering on sheer lunacy" that Obama was considering Clinton. My friend Chris Matthews, no Clinton fan, led off the segment blaming the Clintons for the flurry of leaks about her possible appointment, although I reminded him that when NBC's Andrea Mitchell broke the news last week, she cited only Obama sources. It's clear there's more leaking from the Obama transition team -- about Rahm Emanuel, Eric Holder and Tom Daschle, not just Clinton -- than there was from the campaign team. Rather amazingly, Matthews said I won him over with my argument that people who trust and believe in Obama should trust him on the choice of Clinton as secretary of state as well. We'll see.

Meanwhile, the selection of former Sen. Tom Daschle as secretary of Health and Human Services should mollify those who were beginning to wonder whether Obama was leaning too heavily on Clinton loyalists in his staff and Cabinet picks. My God, it just seems early to worry. He has a ton of appointments left. The only reason Clinton is getting so much attention is that Clinton haters are making her the top story. Who's going to be secretary of the Treasury, and how should he or she modify the bailout Henry Paulson is managing so poorly? Who's Obama's education pick, and what can that person do to improve American education, especially for low-income kids? Why aren't we debating those questions all day and night on cable news? Trust me: It's not because Bill Clinton is holding a gun to someone's head, demanding that we talk about him and his wife 24/7, no matter what Christopher Hitchens might claim.

On MSNBC's "Hardball" tonight, Pat Buchanan was not only insisting Barack Obama should pick Hillary Clinton as secretary of state, he also gave Obama advice about handling his left-wing base – and it's not what you'd expect. Buchanan suggested that with his next Cabinet pick, "he ought to give someone to the Daily Kos ... the people who supported and elected him."

This on a day when one anonymous Democratic aide bragged to Chris Cilizza that letting Joe Lieberman keep his chairmanship would mean: "The left has been foiled again. They can rant and rage but they still do not put the fear into folks to actually change their votes. Their influence would be in question." It's odd that Buchanan shows more respect for the left than leading Democrats do. The Lieberman decision is an abomination, and Obama and the Democrats may well regret it. Buchanan is no friend of the left, obviously, but he's an old-time pol who understands the importance of keeping the base happy. Too many Democrats seem to think the first thing they should do when they get power is display contempt for their base.

But I think it's important to keep the Democrats' and Obama's moves on Lieberman separate from the way we assess his Cabinet choices right now. I’m obviously not someone who sees Hillary Clinton as a bad, anti-change appointment; I think she'd make a terrific secretary of state. I have no problem with Eric Holder as attorney general, either; I think he'd fix the Justice Department that Bush destroyed, and I'm happy to see that Obama isn't afraid to make an African-American his first official Cabinet pick. I wish Holder had tried to block the awful Marc Rich pardon when he was deputy attorney general in the Clinton administration, but I'm not sure a lot of deputies would have stood up on that issue.

Still, I understand the disappointment of some Obama supporters, watching so many Clinton staffers line up for jobs in the change administration. I don't share their disappointment, because I honestly didn't believe there was much difference between Clinton and Obama, and how they would govern, in the first place. Some of the angst seems a little goofy: It's always been true that a lot of people closest to Obama during the campaign -- Holder, new White House counsel Greg Craig, foreign policy advisors Susan Rice and Anthony Lake; after the primary, Rahm Emanuel – once worked for the Clintons. So should they be seen as Clinton loyalists, or the new Obama team? It's funny how they were all seen as part of the new politics of change represented by Obama -- until he started building his administration, and then the mainstream media (and a few on the left) started deriding them as old school.

So while I think anger about the Lieberman maneuver is justified, I think it's way too early to panic about Obama's Democratic status-quo Cabinet. He's got plenty of time for unconventional picks.

Meanwhile, I don't know what to think on the Hillary Clinton front. It seems very strange that the Obama team revealed this possible appointment, and yet five days later, it's still little more than a well-sourced rumor. Are they really letting the media vet Clinton -- and Bill Clinton -- to see if they're worth the trouble? That doesn't seem like the Obama we've come to know, who appears to be a person of courage and integrity. All of Clinton's pluses -- intelligence, experience, stature on the world stage -- and minuses -- certain policy differences with Obama, her husband's baggage -- were well known before anybody ever mentioned a possible Clinton Cabinet post to a reporter. It's an odd mini-drama that's dragging out longer than it should, but this time it doesn't seem as though Clinton is to blame.

I've been pretty convinced that the Democratic Senate leadership needs to strip Sen. Joe Lieberman of his role as Homeland Security chairman. Below is a great debate between Sen. Evan Bayh, D-Ind., and MSNBC's Rachel Maddow, whatever side you're on. Bayh told Maddow that Lieberman "needs to apologize" for his attacks on Barack Obama during the campaign, and says Senate Democrats can "take away his chairmanship" if he undermines Obama's administration in his leadership role. But he says a "bitter" Lieberman who leaves the Senate (to be replaced by Connecticut's Republican governor) or caucuses with Republicans is worse for Democrats than a turncoat senator who remains in place.

Whatever you think about Lieberman, it's amazing to have someone like Maddow interrogating the Evan Bayhs of the world. Here's the interview:

MADDOW: You have been outspoken of Senator Lieberman keeping his role as chair of Homeland Security and Governmental Affairs. Why do you think he's the best Democrat for that job at this point?

BAYH: I don't think this is about Joe Lieberman, Rachel. I think this is about maximizing our chances of making the changes that we need in America, maximizing the chances that President-elect Obama will meet those expectations you referred to by addressing the challenges that we face that you also reported on just a few moments ago. And let me explain to you what I mean. If this was just about Joe Lieberman and the things he said in the campaign, well, I'd say we'll let it go. I mean, if people want to settle scores, fine. I mean, he's a big guy, he can live with the consequences of his actions.

But one of two things will be likely to happen if we were to kick him out of his chairmanship. No. 1, he might very well decide to just resign from the Senate. You know, he probably would not want to be a person without a home, wandering the hallways without any influence of any kind. And Connecticut has a Republican governor, who would appoint a pure Republican to that seat, who would vote against the wishes of the president-elect and the Democratic caucus, you know, the vast, vast majority of the time. That's No. 1.

No. 2, Lieberman, Joe Lieberman might decide to stay and be embittered. And what would happen there would be from time to time, we have close votes. You've been reporting on the Alaska race and the Minnesota race and the Georgia race. We could be at 58, 59, maybe even 60 votes. Every two or three or four months, there's going to be a critically important vote, very close, every vote will count. And it might come down to one vote.

Now, if Senator Lieberman has a strong view, he'll vote his conscience, but if he's conflicted, frankly, you know, doesn't really know what to do, and we've exacted revenge on him, I suspect we could probably expect the same in return. That's really not where we want to go. Let's see if we can move this in a better direction.

And the final thing I'd say is, if he does retain his chairmanship, we still exert oversight over him and control over him. He doesn't have the ability to just do whatever he wants. The caucus still has the right to remove him from that position at any time if he starts going off on some kind of tangent.

So I simply think it maximizes the chances of getting progressive policies a better outcome if we have a Joe Lieberman, who is a little reticent, who apologizes for the things that he said that were way over the line, and instead is trying to do the right thing, instead of an embittered Joe Lieberman or a Republican replacement who will not be with us any of the time.

MADDOW: Is it not setting a strange precedent, though, for somebody to have not only campaigned against the nominee of his party but also to have campaigned against other Democratic Senate candidates and for Republicans, and to have honestly not only campaigned for his friend John McCain but also really deliberately against Barack Obama -- as you said, going, I think, quite over the line in terms of some of his criticism.

Is it not setting a strange precedent that he essentially gets to set the terms on which he stays in the caucus? He's said he will bolt the caucus if he doesn't get to hold on to his chairmanship. It seems weird that he should be the guy driving the bargain at this point, particularly when he's sort of politicized homeland security in order to make political points this year.

BAYH: Well, it is unusual territory. And you know, I was on another national show, one of the Sunday programs sitting right next to him, when he basically said that Barack Obama was for defeat in Iraq. And I had to cut him off and say, Joe, that's not true. I mean, he said things that were simply unacceptable, and I think he needs to apologize for that. And the question for us, then, Rachel, is how do we move on from here and maximize the chances of us getting good things done for the country, for your viewers. And I think the best way to do that is to look to the future rather than to just exact revenge for the past.

Now, at the same time, you have got to expect an apology, a sincere apology, and you have got to keep -- to tell him, look, we're going to give you a chance here. But if you don't do the right things as chairman, if, you know, we see any continuation of this kind of behavior, well, then, at that point, you know, the game is up at that point.

MADDOW: But the game would be up in the sense that he would get stripped of his leadership positions?

BAYH: Of the chairmanship, yes. You've got to remember, we have the right to change chairmen at any time during the session, and you know, we would expect him to conduct himself in that capacity, as someone who was supportive of the administration and did not certainly conduct himself in a way that reflected some of those comments, which I strongly disagreed with at the time, and still do disagree with.

MADDOW: Senator Bayh, do you think that there are going to be major issues -- major divisions within the Democratic caucus on issues of national security and homeland security moving forward? I mean, one of the things about Joe Lieberman's chairmanship is that he, in the past couple of years, has been a real contrast with his colleague in the House, his counterpart in the House, Henry Waxman, who heads the Government Affairs Committee there, in terms of what he's been willing to investigate. Joe Lieberman didn't investigate the government's response to Katrina or the Blackwater shootings in Iraq or anything like that. Are there going to be real interparty divisions on security issues, or do you see a united front going forward?

BAYH: Well, I would hope we would have a united front. And you know, if the caucus and the committee feels that there are areas worthy of investigation -- and you mentioned two that I think would warrant investigation -- then there should ... one would need to go forward, regardless of what the chairman happens to think. And we have the power to demand that sort of thing.

But I do hope, Rachel, we have just come through a tough campaign. We have major issues that we face, real challenges -- healthcare, education, the environment, getting out of Iraq -- a lot of things that we need to do. I would hope we would have the maximum amount of unity addressing those things. And I honestly think -- you know, look, we can take away his chairmanship. That's something we have the right to do. What you will have at that point is either someone who may very well resign or someone who's embittered, and if, you know, all else being equal, might not be with us on some of these key votes. I honestly think we have a better chance to get unity for the kind of policies that you would probably support, most Democrats would probably support, if we try and have some reconciliation here rather than resorting to revenge right off the bat. You always have that option if things don't seem to be working out very well.

MADDOW: You're giving me a great prompt to ask Senator Lieberman to come deliver that apology on this show. So thank you for that. And thank you for -- sorry, go ahead.

BAYH: Issue the invitation. And by the way, congratulations on being No. 7. In the United States Senate -- in the United States Senate, that would be right up there.

MADDOW: I would be fighting it out with Lieberman at this point, I know.