As hundreds of well-wishers crowded the wrought-iron fence outside, the president-elect and his wife, Michelle, joined Bush and first lady Laura Bush for a traditional visit that was short on substance but long on symbolism. The women hugged, the men shook hands, and all four posed for photographers.

Meeting without aides in the Oval Office for about an hour, Bush and Obama talked primarily about the economy, as Obama pressed his case for rapid passage of a new economic-stimulus package and help for the automobile industry, aides said. Then the pair strolled through the residence before returning to the West Wing.

Their wives embarked on their own tour of the building that will soon be home to the Obamas and their daughters, Malia, 10, and Sasha, 7.

The Oval Office meeting came after two years of sharp, if indirect, skirmishing between Bush and his Democratic successor, whose candidacy was built as a rebuke to the Republican administration. Obama had condemned Bush's "failed policies" and said John McCain, the GOP nominee, would represent "another four years" of the unpopular commander in chief. Bush once suggested that Obama was naive on Iraq and said at another point, "He's got a long way to go to be president."

The two couples were all smiles yesterday, however, with no evidence of tension. Stephanie Cutter, an Obama spokeswoman, said that the Obamas were warmly welcomed and that the Oval Office meeting was productive and friendly.

"They had a broad discussion about the importance of working together throughout the transition of government in light of the nation's many critical economic and security challenges," she said. Obama thanked Bush "for his commitment to a smooth transition, and for his and first lady Laura Bush's gracious hospitality in welcoming the Obamas to the White House."

Bush similarly described the meeting as "good, constructive, relaxed and friendly," according to a summary by White House press secretary Dana Perino. The two discussed world and domestic affairs, and Bush showed Obama the presidential office, the Lincoln Bedroom, and the bedrooms for the Obamas' daughters, she added.

"The president enjoyed his visit with the president-elect, and he again pledged a smooth transition to the next administration," Perino said.

Obama flew from Chicago in a chartered Boeing Super 80. The president-elect sat in a regular first-class seat for the 1-hour, 17-minute trip, walking back to coach briefly to talk to aides. He and the future first lady traveled to the White House in a presidential-style limousine - another switch from the sport-utility vehicles that were common during the campaign.

Michelle Obama also spent time yesterday scouting out schools for their daughters, according to sources familiar with her plans. She visited Georgetown Day School and Sidwell Friends School, the Associated Press reported. Chelsea Clinton attended Sidwell when Bill Clinton was in the White House.

The president-elect's return to Chicago produced some moments of minor drama for accompanying journalists. First, the president-elect went into a private 40-minute meeting at Reagan National Airport with people unknown to them. Then, after boarding his plane, reporters were able to overhear his conversation as he talked on a cell phone.

"I am not going to be spending too much time in Washington over the next several weeks," he said, adding that he did not want to "go lurching so far in one direction" and wanted to come up with "some good, solid, sensible options."

The topic of the remarks was not known, and Obama turned away after a staff member intervened.

Obama is moving rapidly to undo some of Bush's signature initiatives while tackling the economic crisis and other pressing issues. His transition chief, John D. Podesta, said over the weekend that Obama might use executive orders to ease restrictions on stem-cell research, change interrogation policies that Democrats oppose, and slow plans for offshore oil drilling.

In the longer term, Obama has pledged to end the Iraq war, reverse almost a decade of Bush economic policy, and take a dramatically different approach toward health care and social policy.

Obama aides said the transition team had begun to review all of Bush's executive orders and would move forward with decisions once Cabinet secretaries had been chosen. The men did not discuss those issues at the White House meeting yesterday, Obama aides said. Aides also have said there were no plans for Obama to announce Cabinet choices this week.

Yesterday's meeting focused on the economy, and that is what aides say will be among Obama's top priorities once he moves into the White House on Jan. 20. He promised a quick focus on middle-class tax cuts, health care, and energy independence.

Obama had never set foot in the Oval Office before yesterday and has had only a handful of direct interactions with Bush, most recently during a September meeting on the economic crisis.

Dean Won't Seek 2d Term at DNC

Howard Dean, chairman of the Democratic National Committee, plans to step down when his four-year term expires in January, wrapping up a tenure in which the party heavily invested in all 50 states for a payoff that helped elect Barack Obama president.

Dean, a physician and former governor of Vermont who ran for president in 2004, was elected DNC chairman in 2005 and has long vowed to serve only one term. At a postelection news conference last week, Dean indicated again that he didn't plan to stay on, aides said yesterday. Obama was expected to choose Dean's successor.

The margin in Minnesota's unresolved Senate race between Republican incumbent Norm Coleman and Democrat Al Franken has gotten tighter. The latest figures reported to Minnesota's secretary of state gave Coleman a lead over Franken of only 204 votes. The difference of about one-hundredth of 1 percent between the two candidates will trigger an automatic recount next week.

- Associated Press