Congratulations to President-elect Obama and to Senator McCain, who was gracious in defeat. I'm sure they're glad the election is over. I know I am.

But what now?

Exit polling shows most Obama voters supported him because they are worried and angry about the economy. That fear overrode ideology, Obama's dubious associations, and his very liberal voting record. So there is no question Americans want Barack Obama to concentrate on improving the economy first and foremost.

With a very unpopular Bush administration and disaster for Americans who honestly invested in stocks and bonds, McCain had only one chance to win: become a crusader for the folks, promise to punish those who have perpetuated this massive financial fraud. But Senator McCain would not take that position. So he lost to a man who simply ran on one word: change. Yes, but what kind of change?

There's an old country expression: you dance with the one who brung you. Barack Obama defeated the Clinton machine and the Republican Party largely because the hard-left supported him with money and workers on the ground. Now the far left is going to want payback.

That puts President-elect Obama in a very difficult position. If he further escalates the enormous federal deficit by massive funding of entitlement programs, which he promised to do, "Talking Points" believes the U.S. dollar and the economy will completely collapse. But if Obama does not try to institute an entitlement culture, the far left will scream very loudly.

Also, there is a question of San Francisco values. The far left wants a European-style culture, but as California has demonstrated Tuesday night, that's not what the folks want. Looks like the gay marriage deal was voted down in the Golden State, which is somewhat stunning. I think some of the vote was against judges who want to impose ideology on America. But no matter, some traditional values are still strong, even in a liberal state like California.

If Obama begins to work against traditional values, he'll lose support fast. "Talking Points" believes America is still a center right country, even though the folks voted left last night.

As for "The Factor," we will now ramp up our watchdog role. I've stated that I did not watch the economy under President Bush closely enough. My fault. I should have been on that mortgage con. I should have been on that, and that mistake will not happen again.

Our focus now is to report exactly what President-elect Obama is doing and what it means to you. Let's be honest. The guy is still a mystery, so our oversight will be intense. However, we're not going to nit-pick Barack Obama, and we will not demonize him because that's not fair. We'll report on him in a clear voice with a clear head.

And that's "The Memo."

Pinheads & Patriots

As you may know, "The Factor" is no fan of San Francisco values, but Tuesday night some sanity prevailed. Voters said no to Proposition K, legalizing prostitution in San Francisco, which would have given the pimps free reign. They said no to naming a sewage plant after President Bush. How insulting. And most importantly, they said no to banning ROTC recruiting in public schools. So for all the voters who did the right thing in San Francisco, you're patriots.

On the pinhead front, it looks like Senator Norm Coleman has defeated Al Franken for the Senate in Minnesota. There will be a recount. Official word won't come until December. How any American can vote for a bad guy like Franken is inconceivable. Pinhead doesn't even begin to cover it.

You can catch Bill O'Reilly's "Talking Points Memo" and "Pinheads & Patriots" weeknights at 8 and 11 p.m. ET on the FOX News Channel and any time on foxnews.com/oreilly. Send your comments to: oreilly@foxnews.com