BUSINESSWEEK ONLINE : DECEMBER 25, 2000 ISSUE
GOVERNMENT Challenges Facing Bush THE PRESIDENCY The sharply divided election outcome could erode the new President's power and lead to a diminished, largely custodial Presidency. Bush will have to work hard to dispel his image as the ''Accidental President'' and to maximize what little leverage he has to create an impression of executive vigor. REPUBLICANS For the first time in 48 years, the GOP controls both the White House and Congress. But because its hold on the Hill is slight, and Bush will be politically weak, Republicans could face a crisis of expectations. They seem to control the levers of power but can't make much happen without cutting deals with Democrats. DEMOCRATS House Democrats have enjoyed some success by enticing Republicans into negotiations over popular issues such as HMO patients' rights--and then dancing away from compromises at the last minute. But with Bush willing to meet them halfway, Dems risk being seen as obstructionists if they don't make some deals. HYPERPARTISANS With policy coalescing in the center, activists on both the left and right fringes will face reduced clout. That could mean big headaches for Bush, since social conservatives have waited eight years for an agenda of strict abortion restrictions, pro-family tax cuts, and curbs on gay rights--items he can't deliver. _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ BACK TO TOP					RELATED ITEMS Can Bush Heal the Nation? TABLE: Challenges Facing Bush With Allies Like These, Who Needs Democrats? Commentary: Justice Ran Out the Clock ``Sand in the Gears of Government'' TABLE: What Washington Might Deliver Commentary: Lessons of the Fiasco TABLE: What We Learned from the Election Mess Who Won the New Economy Voter? TABLE: Dissecting the Vote INTERACT E-Mail to Business Week Online

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