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...Rove, who devised Bush's "big idea" agenda, is steering the President toward Medicare and health-care reform for his State of the Union speech Jan. 28. Medicare is a vexing issue that has resisted all attempts to fix it. Expect the President to be swinging from the heels. --Reported by Matthew Cooper, John F. Dickerson and Douglas Waller/Washington and Daren Fonda/New York
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...Neither the president nor his economic advisers believe the broader economy actually needs a stimulus. As Bush and his spokesmen have been saying for months, the economy is growing, albeit fitfully, and its underlying fundamentals remain sound. What does need stimulating -- and this is where political advisers like Karl Rove come in -- is the public's perception of the economy's health. And that is tied directly to the markets. "People look at the Dow and the Nasdaq and they feel queasy about the economy," a White House official told me the other day. "They look at their retirement portfolios...
...Well liked and respected within the GOP and beyond, Frist is rumored to be mulling a 2008 presidential run. In the meantime, he maintains a very close relationship with the current White House, and particularly with presidential advisor Karl Rove. The Associated Press reports there are some Republicans who fear Frist may be perceived as simply a "yes man" for the President's agenda, and others who worry his proximity to Bush could make him especially vulnerable to partisan attacks...
...Some readers felt the cover photo of President Bush and Karl Rove enjoying a laugh in the Oval Office in April 2001 was misleading. "The President went out of his way to avoid any hint of gloating over the election results," wrote a reader from upstate New York, "so how did TIME depict him? Smiling in an old picture that gave exactly the opposite impression. Shame on you." A Georgian was just as disgusted: "Your snide attempt to convey that Bush was gloating was below the loosest journalistic standards. Unbelievable!" But an Arizonan thought the picture could...