The US government has lost sight of the larger issue here. The tail (NSA and law enforcement) is wagging the dog.
The NSA and law enforcement agencies want to be able to intercept anything, since it makes their jobs easier. However, this runs counter to the larger national interest of the United States.
Which country has the highest level of connectedness and dependence on the Internet? Which country would be worst hurt if a sophisticated attacker was able to penetrate and conduct malicious actions using the systems connected to the Internet? The US, that's who. It is by far in the US's overall national interest to properly secure the Internet and communications infrastructure. Eavesdropping on everyone else is a secondary benefit, in comparison.
The proper role of the President and the Attorney General is to separate the desire of the NSA and law enforcement to make their jobs easier from the greater benefit to the country as a whole. They need to tell the ambitious underlings "NO" in unequivocal terms, then bitch slap them if they keep whining about it.