Our Banana Republic  —  In my reporting, I regularly travel to banana republics notorious for their inequality.  In some of these plutocracies, the richest 1 percent of the population gobbles up 20 percent of the national pie.  —  But guess what?  You no longer need to travel to distant …

Assessing midterm losses, Democrats ask whether Obama's White House fully grasped voters' fears  —  President Obama's failure to channel the anxieties of ordinary voters has shaken the faith that many Democrats once had in his political gifts and his team's political skill.

US senator sees ‘confrontation’ with China, war with Iran  —  HALIFAX, Canada — The United States faces a possible war with Iran to curb its nuclear ambitions and a “period of confrontation” with China over its currency, a top US lawmaker warned Saturday.  —  Republican Senator Lindsey Graham …

G.O.P. Plans to Use Purse Strings to Fight Health Law  —  WASHINGTON — As they seek to make good on their campaign promise to roll back President Obama's health care overhaul, the incoming Republican leaders in the House say they intend to use their new muscle to cut off money for the law …

Drafting Mitch  —  The Mitch Daniels draft movement has begun.  —  I spoke this morning to John McKay, a Chicago-area businessman who runs Switch2Mitch.org, which has launched a petition drive to get the Indiana governor into the race for president.  —  “We need him more than any other person,” said McKay.

‘60 MINUTES’: OBAMA OPEN TO TAX DEAL WITH BOEHNER — Bush's book praises Obama — 43 will be 24-7 — Hoyer likely to hold off Clyburn — FALL BACK: you get an extra hour of sleep — Woodhouse b'day  —  BEHIND THE CURTAIN: Network sources tell Playbook that Keith Olbermann was suspended …

Moderate Dems Line Up in Opposition to Pelosi's Bid for Minority Leader  —  In the wake of Speaker Nancy Pelosi's stunning announcement on Friday that she will seek to remain as leader of the diminished House Democrats, moderate members of the party are beginning to line up in opposition.

Would we be better off under a President Hillary Clinton?  —  As I sat in the East Room last week watching a forlorn President Obama account for his shellacking, I listened with concern as he described the presidency as a “growth process” and suggested that the midterm setback was somehow inevitable.

While Warning About Fat, U.S. Pushes Cheese Sales  —  Domino's Pizza was hurting early last year.  Domestic sales had fallen, and a survey of big pizza chain customers left the company tied for the worst tasting pies.  —  Then help arrived from an organization called Dairy Management.

John Boehner and the Politics of Crying  —  WASHINGTON — A presumptive new speaker of the House; so much to consider.  Where will John Boehner stand on energy policy?  Will he be able to manage Michele Bachmann?  And how often will he weep?  —  Much hay has been made over Mr. Boehner …

Texas Considers Medicaid Withdrawal  —  Some Republican lawmakers — still reveling in Tuesday's statewide election sweep — are proposing an unprecedented solution to the state's estimated $25 billion budget shortfall: dropping out of the federal Medicaid program.

Barack Obama, Phone Home  —  AFTER his “shellacking,” President Obama had to do something.  But who had the bright idea of scheduling his visit to India for right after this election?  The Democrats' failure to create jobs was at the heart of the shellacking.

Van Hollen: Democrats hit by ‘Category 3 political hurricane’ on Election Day  —  The outgoing chairman of the Democratic Congressional Campaign Committee acknowledged Sunday that his party was hit by a “Category 3 political hurricane” on Election Day.  —  Rep. Chris Van Hollen (D-Md.) …