Hard Choices And Challenges Follow Triumph

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Obama's Hometown Rejoices in Historic Win

In downtown Chicago, tens of thousands of supporters young and old gathered in Grant Park to celebrate Sen. Barack Obama's election night victory.

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In the final stages of the campaign, Obama spoke in generalities about scrubbing the federal budget line by line, looking for cuts. He has yet to identify specific reductions, but soon after he is sworn in, his administration will have to present an alternative budget. At that point, Obama will reveal more of who he is.

If that budget appears pinched, he could face a revolt among congressional Democrats, especially in the House. "My own hunch is that Obama is smart enough not to want to govern as a liberal," said Peter Wehner, a former Bush administration official. "But he is going to have hydraulic pressure from the House and Senate to do that."

John Feehery, who was a top aide to former House speaker J. Dennis Hastert (R-Ill.), said House Democrats represent a political threat to an Obama presidency. "His real challenge is to understand that the House leadership does not necessarily lead you into a reelection," he said.

Clinton and Carter both had difficult relationships with Democratic leaders on Capitol Hill, but Galston said Obama may be able to negotiate a productive relationship because he did not challenge Democratic orthodoxy on his way to the White House.

An Obama adviser said Senate Majority Leader Harry Reid and House Speaker Nancy Pelosi have given every indication of wanting to have a cooperative relationship with Obama. "The mistake executives make is setting an agenda and expecting others to follow along," the adviser said. "I think they are open and eager to be a partner with Barack in setting an agenda and executing it."

Research director Lucy Shackelford contributed to this report.