Here is the relevant quote, posted by Wall Street Journal:
“Over the course of two years we were so busy and so focused on getting a bunch of stuff done that we stopped paying attention to the fact that leadership isn’t just legislation, that it’s a matter of persuading people and giving them confidence and bringing them together and setting a tone and making an argument that people can understand.”The implication should be clear. Obama is smart enough to know what's good for Americans but is not smart enough to relate to a bunch of simpletons.
POLITICO posted a short clip of the interview but it does not include the part about 'making an argument that people can understand.'
Actually, it was Rep. Paul Ryan (R-WI) who made the argument Obama couldn't understand. Remember this complete dress down and spanking of the president during the health care debate?