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Supreme Court Denies Appeals by Three Inmates on Death Row; Last Minute Campaigning in Pennsylvania; Carter Criticized on Meeting Hamas Leaders; Growing Global Food Crisis; John McCain Stumps in Selma

Aired April 21, 2008 - 10:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

FREDRICKA WHITFIELD, CNN ANCHOR: A key showdown on the road to the White House. Today Barack Obama and Hillary Clinton are scrambling for votes in Pennsylvania. Tomorrow's primary could be critical in deciding the Democrats' nominee. There are 158 delegates at stake. It's the biggest single state windfall remaining this campaign season. CNN's Jim Acosta is in Philadelphia.
Jim, it is a close race. A lot at stake and it is showing to be that, to be the case on the campaign trail.

JIM ACOSTA, CNN CORRESPONDENT: Absolutely, Fredricka.

Hillary Clinton and Barack Obama are stepping up their attacks on one another as they barnstorm across the keystone state in search of those last-minute undecided voters. Hillary Clinton is campaigning right now in Scranton, Pennsylvania. That is a town where her grandfather worked in the mills. She has emphasized her blue collar biography in northeastern Pennsylvania and she is looking to that area of the state to drum up support for tomorrow's primary. And as expected, both Democrats are airing scores of negative TV commercials aimed at one another, while at the same time both are complaining that they're hitting below the belt.

(BEGIN VIDEO CLIP)

SEN. BARACK OBAMA, (D-IL) PRESIDENTIAL CANDIDATE: When I hear Senator Clinton's campaign say they're going to throw the kitchen sink strategy at us, and they try to manufacture or exploit fake controversies instead of talking about what is important for the American people, how we're going to deal with the energy problems, how we're going to deal with the mortgage lending crisis. And I'm thinking, well, you learned the wrong lessons from those Republicans who were going after you in the same way using the same tactics all those years.

SEN. HILLARY RODHAM CLINTON, (D-NY) PRESIDENTIAL CANDIDATE: While my opponent says one thing and his campaign does another, you can count on me to tell you where I stand. And you can count on me to tell you very specifically the solutions that I'm offering for America.

(END OF VIDEO CLIP)

ACOSTA: The Obama campaign which has spent the most money in Pennsylvania is trying to stay confident that they can pull off an upset in this state. While Hillary Clinton is taking nothing for granted she has seen her lead in the double digits dwindle down to what is now according to our CNN Poll of Polls around seven percent.

Meanwhile, there is still a healthy chunk of undecided voters out there, also roughly seven percent. That explains why Hillary Clinton is wrapping up her campaign day in Philadelphia, a strong base of support for Barack Obama, while the senator from Illinois, he's heading out to western Pennsylvania ending his day in Pittsburgh, which is also very strong for Hillary Clinton -- Fredricka.

WHITFIELD: So, Jim, how about those undecided voters? Are they in large numbers?

ACOSTA: Well, yes, seven percent right now is as high as nine percent over the weekend. If history is any guide, they could break for Hillary Clinton. That's what they've done in the past. But we've seen Barack Obama, he's conscious of this. He has stepped up his negative attacks. It's not something we've seen so much from the Illinois senator throughout this campaign.

He is trying to bill himself as delivering sort of a new kind of politics in this country. But he knows very well that as close as he can make this race be tomorrow, and as tight as he can get this race, that means more delegates that will be coming in his direction because of that proportional allocation rule for the Democrats.

So nothing can be taken for granted. The one thing is certain it won't be Groundhog Day in Pennsylvania after Tuesday. There won't be six more weeks of campaigning. At least not in this state -- Fredricka.

WHITFIELD: Jim Acosta in Philadelphia, thank you so much.

And of course as Jim mentioned, Hillary Clinton will be in Philadelphia later on today. But for now she is campaigning in Scranton, Pennsylvania.

Do we want to listen in a little bit?

All right. Let's take a listen.

(JOINED IN PROGRESS)

CLINTON: ... Because we have to do this together. And you know that I will never forget -- I will never forget the people here. And the hard work, the middle class families, the investments in the community, the way that this region is turning around. The kind of incredible progress I see, when we were in that St. Patrick's Day parade, all of the new construction, all of the new businesses. But we can do so much better.

And we can once again have a president who not only knows where northeastern Pennsylvania is, but cares about northeastern Pennsylvania. Has roots here, and will never, ever give up on what we can do together to turn this economy around. I've laid out very specific plans.

You've all seen them. If you haven't, please go to my Web site hillaryclinton.com. Because if you want to know what I'll do on everything from energy to autism, from the home foreclosure crisis, to getting these gas prices down, it is all there. But what's important today and tomorrow is that we turn out to vote. Because all of my plans and all of the hard work that I am offering to make it possible for us once again to see the results of presidential leadership that makes a difference in the lives of Americans, can't happen unless we win.

And that's where each and every one of you come in. I need you to make those phone calls. I need you to drive people to the polls. I need you to make sure that the last-minute canvassing is done. This is what will make the difference. People are looking at Pennsylvania, and I will be looking at northeastern Pennsylvania. Because I know that's where -- I have such a strong base of support and so many people who believe as I do in what this country can be again. There isn't a problem we have that we can't solve. All we have to do is start acting like Americans again and roll up our sleeves and get to work.

You know, when I was a little girl, and we would come to Scranton every year, every summer, and some Christmases, and we would go to Lake Winola in the summertime. We have some folks from Lake Winola here. In fact, I don't see where she is, but we were talking about being out in a boat with a boy we both knew named Ernie. But that's another story. I used to not only have a lot of fun, you know, but we learned a lot.

And we learned a lot from our family. And it was really the kind of common sense values that matter here in Pennsylvania and across America. You know, we cared about our family, we cared about our faith. We believed in working hard. And we had unabiding faith in our country. An abiding faith that never, ever quit. You know, my father served in the navy during World War II. I think some of Kimberly's family members. And we believed that we had to give something back to our country because our country had given so much to us.

That's what generations of Americans have believed. That's what we still believe today. We just have been on a detour from America's destiny.

We've had a president who just didn't ask us to do very much. I waited in vain after September 11, especially as a senator from New York, for the president to summons us to something bigger than ourselves. But do you remember what he asked us to do? Go shopping.

We're so much better than that. We're going to demonstrate it in this election. We're going to make it very clear that we have our own destiny in our hands now. The world will breathe a sigh of relief when George Bush finally pulls away from the back of that White House. But that's not the end. That's only the beginning. Then the hard work starts. And it's not going to be just about what your president does, it's what I'm going to ask each and every one of you to help me do. Because if we're going to have a clean energy future, well, then we're all going to have to be more energy efficient, aren't we? If we're going to have universal health care for everyone, then we're all going to have to make sure our children get off to a good start with, you know, good exercise and good nutrition, and make it possible for them to have healthy lifestyles.

If we're going to have an education system that works for the 21st century, we're not only going to end no child left behind -- we're going to ask families to do their part to help prepare their own children for school. So that each child can take advantage of the opportunities that will be made available.

On so many of the important problems we have to solve, and the challenges we have to meet, and the opportunities we can seize, the American people will be equal partners. And I know that we're up to the job. And as we move into this election tomorrow --

WHITFIELD: Hillary Clinton in Scranton, Pennsylvania there, as she continues to stump throughout the state. Less than 24 hours before the polls open for the Democratic primary there in Pennsylvania. Talking about everything from the economy, education, health care, just some of the points that she's touching on there.

Of course, if you want to continue to watch Hillary Clinton there in Pennsylvania, CNN.com/live.

TONY HARRIS, CNN ANCHOR: Quickly, let's get you to John McCain. His time for action bus tour has taken him to Selma, Alabama, and the Edmond Pettis Bridge.

(JOINED IN PROGRESS)

SEN. JOHN MCCAIN, (R-AZ) PRESIDENTIAL CANDIDATE: ... Dedicated to making sure our efforts to start a green technology revolution which could be as transformative as the information revolution produces prosperity throughout this country. There must be no forgotten places in America where they have been ignored for long years by the sins of indifference and injustice. Or have been left behind as the world grew smaller, and more economically interdependent.

In America, we have always believed that if the day was a disappointment, we would win tomorrow. That's what John Lewis believed when he marched across this bridge. That's what he still believes, what he still fights to achieve. A better country than the one he inherited. My friends, Americans change things. We always have. We don't hide from problems or mistakes or history. We change things and we make history. Hope in America is not based in delusion, but in the faith that everything is possible in America.

The time for pandering and false promises is over. It's time for action. It's time for change. The right kind of change. Change that trusts in the strength of free people and free markets. Change that doesn't return to policies that empower government to make our choices for us, but that works to ensure we have choices to make for ourselves.

We have always trusted Americans, always trusted Americans to build from the choices they make for themselves. A safer, stronger, and more prosperous country than the one they inherited. I have always believed in this country, in a good America, a great America, but I've always believed we can build a better America. I am here, I am here, because it is a place where great Americans once fought to do just that. And I'm going to places where they're still fighting for change, to make us a better country. I'm going to meet and learn from patriots.

Thank you. And God bless. And thank you for being here today.

HARRIS: The GOP -- there you go, the presumptive GOP presidential nominee, John McCain back at the microphone. He's going to take some questions.

Why don't we listen in.

QUESTION: People in areas like this, what are some of the issues that you're hearing specifically from folks in Selma, Alabama, that they would (INAUDIBLE) you can address?

MCCAIN: The mayor of Selma brought up several issues with me as well as the mayor of Thomasville, as well as Senator Sanders. One of the major challenges that small business people face, and it's getting worse, is access to credit, access to the ability to finance their small businesses. We all know that most of the jobs in America are created by small businesses.

Most of the taxes in America are paid by small businesses. Most of the hard work and new jobs are created by small businesses. And there is not only not an increased availability to credit and financing from banks and Small Business Administration, but according to many, many people I've talked to, there is a bureaucracy which is almost impossible to find your way through, and it's called the Small Business Administration. That's got to be fixed.

Second area that we need to concentrate on, obviously, is our community colleges. As you know, we have a very unique relationship between the city of Thomasville and the educational system there, and the local community college. This is a partnership. We need to have every community college in America provide the wherewithal to educate and train workers, particularly displaced workers who have lost their jobs through no fault of their own because their job fled overseas.

I'm not a protectionist, I don't believe in building walls, but we have an obligation to educate and train displaced members of the work force so they have another opportunity to have a chance at the American dream. Those are two of the major issues that we face. Challenges that we face. Yes?

QUESTION: How about securing our borders? Saving our borders.

MCCAIN: We need to secure our borders. American people want the borders secured first. I know how to secure those borders. I come from a border state where a huge percentage of those who cross illegally into this country, but we need to secure our borders. We can do it through a variety of ways. And we need to have a temporary worker program that works, that has -- excuse me -- that has tamper proof biometric documents for the hiring of people legally who come to this country to work, and any employer who employs someone without those documents would be prosecuted.

HARRIS: There you have the presumptive GOP presidential nominee John McCain taking some questions now after making some remarks on the historic Edmund Pettis bridge there in Selma, Alabama where 43 years ago a peaceful protest met a rather violent interruption on that bridge. If you would like to continue to watch this question-and- answer period here with John McCain, once again just go to CNN.com live.

Back to the Democrats in Pennsylvania for just a moment here. How do the candidates stack up on this eve of the Pennsylvania primary? We've crunched the numbers of the various surveys and have this poll of polls for you. It shows Clinton with a thin lead. She has the support of 48 percent of the Democratic voters in Pennsylvania compared to Obama's 43 percent. The critical number may be the undecided. Nine percent haven't chosen their candidate yet.

WHITFIELD: Are we there yet? Gas prices, setting another record surging to an average of $3.50 a gallon for unleaded regular. $3.85 if you're into premium, in today's AAA survey. Oil, well, now more than $117 a barrel. It is issue number one and some economists say you've reached the tipping point. That's when gas costs so much, you start cutting back. Prices are up nearly 16 cents a gallon in just the past two weeks alone, according to the Lundberg survey. You're paying 60 cents more a gallon over last year. Analysts predict summer demands could drive prices even higher.

Which also means why there are soaring sales now of hybrid vehicles. Just one reason for the 38 percent surge in those sales just last year alone. Industry analysts say the numbers are up even though overall car sales are down. The Toyota Prius is still the most popular hybrid. But more choices, including SUV versions are making hybrids more desirable. Owners also get to brag about going green.

Keeping a watch on your money, here at CNN, our money team has you covered, whether it's jobs, debt, housing, or saving, join us for a special report it's called "ISSUE #1," the economy, all this week noon eastern only on CNN.

HARRIS: It is testing day in Texas. The 416 children taken from a polygamist ranch getting DNA tests starting today. CNN's Susan Roesgen is in San Angelo, Texas this morning in front of the San Angelo coliseum where the children are living temporarily.

Susan, good morning.

SUSAN ROESGEN, CNN CORRESPONDENT: Good morning, Tony. Because of the privacy rights of the children, to protect the privacy of the children, you won't actually be able to see that DNA testing. But we do know that the children inside the coliseum, as well as the men and women at the ranch will all get this DNA testing. A couple of reasons for that, first of all, there are only a few family names among all the people who are living at that ranch. So that's been very confusing.

And second, some of the child abuse investigators have said that they don't believe that all of the children have been entirely honest with them about who they are. Even the lawyers in this case, even some of the lawyers say they don't know which children belong to which parent.

(BEGIN VIDEO CLIP)

SUSAN HAYS, ATTORNEY FOR ONE CHILD: Anytime there's a question of parentage in Texas you're going to have a DNA test. And that's what's going on. There was no way that was going to be avoided, particularly in this situation. There's so many questions about parentage.

(END OF VIDEO CLIP)

ROESGEN: It's going to take a couple of weeks, probably, at least for those DNA test results to come back Tony. And then the state of Texas has the really tough job of trying to find better temporary housing for most of those children. Instead of being all on cots in that coliseum behind me, the state wants to get them into better temporary homes until the next custody hearing, which will be in a couple of months. Ultimately until there's possibly a criminal trial -- Tony.

HARRIS: I know this is probably impossible to know, but do we have any idea, Suzie, of what toll this has taken on these children, some of them very small?

ROESGEN: Yes, very small. And we did hear from some testimony of a child psychiatrist in the custody hearing, who said that it is very traumatic for these children to be separated from their parents, as it would be for any children. But also, Tony, these are kids who have lived in this very isolated, insular community.

They've been taught to be afraid of the outside world, afraid of outsiders. So can you imagine these children, some of them being broken up, brothers and sisters put into different homes, perhaps really not knowing why they're there or what's going on, being terrified of the situation.

So it will be tough. We do know that some of the lawyers are suggesting that why don't we find Mormon families at least, Mormon families to put this fundamentalist sect of the Mormon faith in with so at least these Mormon families would be closer to the sort of relations that they have with their own families on the ranch.

HARRIS: For these kids to be going through all of this, and to be housed in a coliseum, let's hope that situation improves.

Suzie Roesgen for us this morning, Suzie great to see you, thanks. WHITFIELD: Still ahead Tony, gas prices, another record. And it's still climbing. How you can dull some of that pain. Our personal finance editor Gerri Willis is straight ahead in the NEWSROOM.

(COMMERCIAL BREAK)

HARRIS: And good morning again everyone you are in the CNN NEWSROOM I'm Tony Harris.

You've seen them at your grocery store, higher food prices. It is a growing global crisis. We will talk to a leading international economist ahead in the CNN NEWSROOM.

(COMMERCIAL BREAK)

HARRIS: Before we get to Gerri Willis, let me give you a quick look at the New York Stock Exchange and of course the big board here inside the first hour of their trading. They were off to a bit of a sluggish start. Well not triple digits in losses yet, but we're heading in the wrong direction here. The Dow down 76 points and the NASDAQ down 10. Well we're going to get a market check in just a moment with Susan Lisovicz, right here in the NEWSROOM.

WHITFIELD: You have to wonder whether crude oil and gas prices has anything to do with that.

HARRIS: Yes.

WHITFIELD: Let's talk a little bit more about gas prices. They've climbed more than a penny a day in the last two weeks. That hurts. Experts say we're inching ever closer to $4.00 a gallon. CNN personal finance editor, Gerri Willis, is here with some tips on how to numb some of the pain at the pump.

Is that even possible?

GERRI WILLIS, CNN PERSONAL FINANCE EDITOR: Well you know I've got to tell you, this is painful Fredricka. You know there are companies out there that will send you a test message with the lowest gas prices to your cell phone. Go to gasmob.com, you can sign up for free text messaging alerts to tell you when lower gas prices are available.

Another Web site gasbuddy.com offers a similar service. And to get text messaging updates send an e-mail to gass@gassbuddy.com. A text message e-mail will be sent back to you shortly with the five lowest gas prices or diesel prices from the area that you requested. Keep in mind text messaging fees will apply if you don't pay for the services already.

WHITFIELD: Yes and if you're any one like me and you hate text messaging, then maybe I won't mind so much.

WILLIS: They're on their way.

WHITFIELD: I know, OK, well let's talk about the other ways. I don't mind using the mouse from time to time.

WILLIS: There are Web sites just for you Fredricka to help you track the cheapest gas in your area. Check out gasprocess.mapquest.com. Here you just plug in your zip code and you'll get info on the cheapest gas stations along with addresses, directions, phone numbers, and if you're going on a trip you can get an estimate of what your gas bill will likely be on the site's gas price calculator.

I think that's great. You can also get information on cheap gas prices in your area for gaspricewatch.com. Keep in mind though the difference between the most expensive gas station and the cheapest gas station. Why would you shop around 30 to 40 percent a gallon on average. It's nothing you'd definitely want to shop around. It will make a big difference in your gas bill.

WHITFIELD: That's a huge difference. OK, so what is look for lost leaders. What do we mean?

WILLIS: Well OK, if you're still on the hunt for cheap gas, check out big warehouse stores or discount retailers like Costco, Wal- Mart, these retailers sometimes have gas pumps with the lowest gas prices in town. They call them lost leaders. What they're really trying to do is get people into the stores.

And of course, keep in mind that with warehouse stores you have to pay for a membership. So if you don't have a membership you may find that that amount alone is eating up your saving. If you don't want to buy a membership, check out gas stations around the wholesalers or discount retailers. Hey it's a competitive world out there. If they're located close to the Wal-Mart they have to drop their prices too.

WHITFIELD: Wow. So look for credit cards with like a gas rebate or something to that affect.

WILLIS: Exactly. Credit cards can help you lower the cost of gas with rebates on your gas purchases. You want to look for a card that has five percent cash back on those purchases with no restrictions, no caps. Some cards have teaser rates that can be six percent back on gas purchases. But hey, read the fine print and make sure you know when the teaser rate ends.

And other cards will decrease the amount you get back on the more you charge. Keep in mind a gas rebate card is only good at stand- alone stations. You may not be able to collect the rebate if you go to a gas station affiliated with a Costco or a Wal-Mart. Compare the rates and terms of gas rebates go to cardratings.com -- Fred.

WHITFIELD: OK. I know you're going to be delving some more into gas, crude oil, all that stuff on "ISSUE #1," but what else?

WILLIS: Well we're talking about your job, your debt, your housing, your savings at noon eastern right here on CNN. We'll also be answering your e-mails live in the show. Join us at noon for "ISSUE #1." WHITFIELD: Won't miss it. Gerri Willis, thanks so much.

WILLIS: My pleasure.

HARRIS: And still to come in the NEWSROOM this morning, a former U.S. president trying to talk peace in the Middle East. Is it doing any good? A live update.

(COMMERCIAL BREAK)

WHITFIELD: Hello again, everyone, and welcome to the CNN NEWSROOM.

I'm Fredricka Whitfield.

HARRIS: Good morning, everyone. I'm Tony Harris.

We received this note just a couple of moments ago from our CNN Supreme Court Producer, Bill Mears. I'll read the note to you. The Supreme Court has denied the appeals of three death row inmates allowing officials in Texas, Mississippi and in Alabama to set new execution dates.

You'll recall that just last week the Supreme Court ruled that lethal injection procedures are applied properly. In another state -- and, Fred, that state was Kentucky. So we got this ruling today that executions can move forward in Texas, Mississippi and Alabama. And the justices issued this ruling without comment this morning.

WHITFIELD: President Carter drawing criticism from the Bush administration and Israel after his meeting with Hamas leaders.

CNN's Atika Shubert is in Jerusalem here to tell us more about the meeting -- Atika.

ATIKA SHUBERT, CNN JERUSALEM CORRESPONDENT: Well, President Carter defended his decision to meet with Hamas leaders, saying that the policy -- the Bush administration policy of excluding Hamas simply has not worked, and that in order for peace negotiations to continue, Hamas cannot be ignored.

(BEGIN VIDEO CLIP)

JIMMY CARTER, FORMER PRESIDENT OF THE UNITED STATES: The President's strategy of excluding Hamas, and excluding Syria, is just not working. It only exacerbates a cycle of violence of misunderstanding and of animosity between the two, and among all those that I've mentioned.

(END VIDEO CLIP)

SHUBERT: Now, instead, Carter offered what he hoped clearly would be a break-through. He said that Hamas leaders told him that they would recognize the state of Israel and accept a peace deal as long as it was approved by the Palestinian public in a referendum. Now, this has been stated by Hamas in the past. But the fact that former President Carter has now brought it forward into the public clearly gives it a lot more weight and credibility, and a lot more pressure on both Israel and the U.S. to deal directly with Hamas. Fredricka?

WHITFIELD: And so what's his next step now?

SHUBERT: Well, the next step is to see how Israel in particular will continue to deal with Hamas. Israel says it will not deal with Hamas until it renounces violence, recognizes the state of Israel, and promises to abide by previous peace agreements. So far, it doesn't seem like Hamas is renouncing violence.

In fact, just over the weekend, the Passover holiday here, they launched two more attacks on the Gaza border. So it doesn't seem like there will be a change anytime soon.

WHITFIELD: All right, Atika Shubert. Thanks so much from Jerusalem -- Tony.

HARRIS: And back here at home, 18 quakes in three days, the ground won't stop moving in Illinois. It started with a 5.2 magnitude earthquake that rattled the Midwest on Friday. Since then, at least 17 aftershocks have been reported. The latest happening just after midnight this morning. The epicenter is in southern Illinois, in the same area as that original quake. This morning's aftershock measured 4.5. One of the strongest yet.

WHITFIELD: Two tornado touchdowns in Maryland caused damage, but no deaths. One twister tore off part of a roof of an elementary school outside Washington. The tornado struck yesterday afternoon just a couple hours after a school event. Close call debris from the school hit a nearby church as well, and winds blew over a trailer. Another tornado hit south of the Nation's Capitol knocking trees onto houses and cars. Severe weather.

HARRIS: Yes, I've heard of a little concern about my hometown, my home state. I'm wondering is the worst over for right now at least, Rob?

(WEATHER REPORT)

HARRIS: Want to take you to Eudora, Kansas right now. Take a look at these live pictures. Now searchers continuing to work and search the Kansas River today, where a man has been missing since his canoe flipped over during a weekend outing with a couple of buddies. The authorities there are looking for 26-year-old Shaun Shaw of Desoto, Kansas.

Again, he was out canoeing with two buddies near Eudora on Saturday, about 6:00 p.m., when the canoe overturned. And his companions actually ran home to just try to get some help. Searchers have actually been walking the shoreline, and rescuers as you can see are searching it from the sky and in the water as well. And Shaw disappeared in eight to 10 feet of water.

WHITFIELD: Oh, no.

HARRIS: So this is a search, as you can see here, is continuing for 26-year-old Shaun Shaw. We will keep an eye on these pictures for you right here in the NEWSROOM.

WHITFIELD: All right, meantime something else we're watching. Going with the flow, how students stopped pollution on a creek by taking a cue from nature.

(COMMERCIAL BREAK)

HARRIS: Food riots in Egypt, police guarding food warehouses in Pakistan. Across the globe skyrocketing food prices. Jeffrey Sachs is the director of the Earth Institute at Columbia University. And he joins us from New York.

Great to see you. Thanks for your time this morning.

JEFFREY SACHS, DIR. EARTH INSTITUTE, COLUMBIA UNIVERSITY: Thank you so much. My pleasure.

HARRIS: I guess should also mention that we've also seen these food riots in Haiti, as well in this hemisphere. I'm just sort of curious, this story sort of broke on the radar for me about two weeks ago when I started to hear the stories out of Egypt.

What is behind the shortages right now?

SACHS: We have a worldwide rise of food prices, really dramatic, actually, more than a doubling of food prices of the basic grains, rice, wheat, maize, or corn, in the last six months. And this has come through a surge of demand from Asia in particular. A frustration of supply through shocks like droughts in Australia, and flooding in hot weather in Europe, which crimped the supply side. The diversion of a lot of our grain into the gas tank through our corn-to-ethanol program, which makes little sense -- all of this has just added up into this soaring price of food. And it's impacting countries all over the world.

HARRIS: Well Jeffrey, if everything had been normal, and I'm talking about normal supply, normal output, normal production, and lower prices, would we be seeing this kind of -- I'm trying to understand the surge of demand right now. If everything had been as usual, would we still be talking about a surge in demand? Sounds like we would.

SACHS: We might have been having a 20 to 25 percent increase of prices. We wouldn't have a doubling of prices. In other words, because of the wheat dollar, and the strong world economy, commodities prices are going up in general. But the food prices have really skyrocketed, absolutely incredibly, because of all these shocks to the system, on top of what would have been pressure, like you say, in any event.

HARRIS: I see. We're talking globally of corn up 30 percent, rice up 74 percent, wheat up 130 percent. I'm just sort of curious, so what do we do? I don't know. Can we grow our way out of this in the short term? It doesn't feel like we can.

SACHS: Well, in the poorest countries, we have to focus on helping the farmers there, who are very poor, to grow more food. The good news is, the potential is much higher than the actual food production throughout Africa, for an example. Same with Haiti. Because what they're getting is maybe one-third or one-fourth of the production that they could if these farmers could get a little bit of help to get better technology.

HARRIS: Well Jeffrey, if we're talking about help, it sounds like we may be talking about technology and some kind of subsidy. The farmers are saying the price of producing rice, for example, is so much higher than the selling price.

SACHS: Well, I think right now, with these world prices, with the higher prices for the inputs also, like fertilizer, we're just going to have to help these small holder farmers or we're going to see massive unrest, basically.

HARRIS: Who is the we?

SACHS: We as -- Europe, which has promised to do a lot of help, and they're sitting on their hands, I think it's quite amazing that they haven't come forward with a plan right now because they promised to help Africa a lot more than they have. The United States has to do more. We have to stop putting our corn into the gas tank also.

This is a subsidy program costing American consumers billions of dollars, costing the world's food consumers a massive amount. And it's politics, it's not good environmental or energy policy.

HARRIS: OK. Well, let me jump away from the politics for just a moment, if I can. I want to get back to this point of who leads on this. The United States probably should and probably can, but can't lead on everything.

SACHS: Right.

HARRIS: There is a World Food Programme. Is that the organization that should lead on this?

SACHS: The World Food Programme is one of them. The International Fund for Agricultural Development. But what's happened is, they don't have the funds to take this on. In recent weeks, in my capacity as special adviser to the secretary-general, I've called, also, for more funding. And I've been surprised at how donor governments, the rich countries that have promised to do things, they're just sitting there. They're saying, it's a crisis.

HARRIS: Why? Tell me why.

SACHS: Well, because they promise more than they deliver. HARRIS: OK.

SACHS: And then just don't follow through on what they've said in terms of actual funding.

But here now, this is life and death. This is hunger. It's right to the core of the challenge. They have to step up. Not food aid, it's not shipping expensive food, it's helping small holder farmers grow the food to help them to earn an income and to stay alive.

HARRIS: That seems a simple enough way to approach it -- just help the farmers. Let's get to that level.

Jeffrey Sachs --

SACHS: I think that's right.

HARRIS: Yes -- Jeffrey Sachs is the director at Earth Institute at Columbia Univeristy.

Jeffrey, thanks for your time this morning.

SACHS: Pleasure. Thank you.

WHITFIELD: To Wall Street now. Two record highs, but these are records most of us don't like to hear about. Susan Lisovicz is on the floor of the New York Stock Exchange with the details.

Gas, oil, it's rough.

SUSAN LISOVICZ, CNN CORRESPONDENT: Yes, it's rough.

You know, we had a winter of discontent, Fredricka, and now we have a spring of misery. Because that's right, oil and gas both hitting highs today. AAA says the national average for a gallon of regular gas has now topped $3.50 for the first time. For anybody who's keeping count, that's 65 cents higher than a year ago -- $3.50 is the number that a lot of analysts have been looking at, saying that this might prompt real lifestyle changes, whether it's moving to be closer to work, or car pooling, whatever.

We know that it's at $3.50. And the path of least resistance seems to be moving higher. Crude hit $117 a barrel in electronic trading this morning. Geopolitical concerns spiking crude. A Japanese oil tanker got hit by a rocket near Yemen. And also Nigeria, which is a big producer, says it launched -- a militant group says it launched two more attacks there.

Basically, you see these headlines and it just takes off. Right now crude is trading slightly lower, but it's still at $116.50 a barrel, Fred.

WHITFIELD: Wow. So with oil and gas prices at record highs, that means a lot of folks are starting to look for alternatives. And that also means people are thinking a little more seriously about hybrid cars now, aren't they?

LISOVICZ: That's right. This is part of the whole lifestyle changes that we're talking about, Fred. Hybrids are still a tiny part of the overall car market, just 2.2 percent, to be exact. But hybrid sales have shot up 38 percent, while overall car sales have declined three percent. So they are growing.

And just to keep count on the number there, about 350,000 hybrids. Gas prices obviously a huge factor. And there's more options now, evolving technology. Toyota's been the leader, but a lot of other folks are getting into it, a lot of other companies -- Nissan, Saturn, Lexus. And consumers are responding to that.

Investors are not responding to the news that they're seeing this morning. We're coming off a terrific week on Wall Street. One of the best weeks of the year. The three major averages, each up about four percent, going in the opposite direction today. The financial sector in focus. Bank of America reporting a nearly 80 percent drop in its first quarter profits.

And a big bank, National City, clearly in distress, getting a $7 billion cash infusion, shares of National City down are down 27 percent. You see the blue chips are down 84 points. The NASDAQ is down eight points it looks like from here. And crude, as I said, is like hovering at about $116.60 a barrel.

WHITFIELD: Not very encouraging. We're seeing red there in a week that's supposed to be green.

LISOVICZ: Well it's a busy week. And remember, the bulls might be resting a little bit. We came off a great week. We've got a lot of information hitting us this week. We've got about nine Dow 30 stocks reporting their earnings this week, Dow -- Fred.

WHITFIELD: I'll go for Dow today.

LISOVICZ: Too much information in my head.

WHITFIELD: I know, too many monosyllabic names.

All right, thanks so much, Susan.

LISOVICZ: Your welcome.

HARRIS: She always manages to keep it all sorted out and straight.

All right. Still to come in the NEWSROOM this morning, the DNA will decide more than 400 children from the Texas polygamy sect being tested. It's happening today. Our legal analyst weighs in next in the NEWSROOM.

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WHITFIELD: Court-ordered DNA testing today four the 416 children from that polygamist ranch in Texas. The ACLU now questioning the raid and the decision to keep the children in state custody. CNN legal analyst, Sunny Hostin, is in New York this morning.

Good to see you, Sunny.

SUNNY HOSTIN, CNN LEGAL ANALYST: Good to see you.

WHITFIELD: All right. So much to tackle here. Boy, this is just such a curious case. But let's tackle the DNA first.

What exactly can you learn from the DNA testing? Simply who's the mother, who's the father, or can you also determine age?

HOSTIN: You usually are looking to determine familial relationships. And we've all seen "Maury Povich" and that sort of thing, and you're usually doing the paternity test -- who's the daddy. But that is really not what is only happening here.

We're trying to figure out who is the mom and who is the dad, because reportedly, many of the children that have been interviewed, and usually you do interview children before you ask for this type of intrusive test, they've all testified or reported mothers, many, many mothers. So they're identifying all the sister wives as their mothers. And so the judge really had no other choice but to determine who is the mother and who is the father through this paternity test.

My question is, I wonder if these mothers' attorneys have advised them that I think this really opens the mothers up in this case to a lot of criminal exposure. Because if they're turning over their underage daughters for marriage, any judge could find them complicit and they could be indicted for child sex abuse. And so I think --

WHITFIELD: Oh, my goodness.

HOSTIN: -- you can really learn a lot with these DNA tests.

WHITFIELD: And so is consent at all an issue here? I realize it's court ordered, but can a mother, for example, say, you know what, I don't want you testing my two-year-old child?

HOSTIN: Well they certainly don't have the ability anymore to act for their children, because their children are now in state custody. So they have no authority to do that. They can try to say, you know, I'm not going to do that.

But again, this is a court-ordered, court-mandated test. If they don't do it, they would be in contravention of a court order, which could land them in jail. And every mother that has been interviewed to date has said, I'm going to do whatever I need to do to get my kids back.

WHITFIELD: Well if what precipitated this entire raid, or the taking of children and some of their mothers into protective custody, if the suspicion was, there were underage marriages, and pregnancies here, what about the men in terms of arrests? Has anyone been charged with anything as it pertains to the men who were part of this compound?

HOSTIN: The men have not been charged yet. But I believe that those charges are coming. I think the only reason that they --

WHITFIELD: Why has no one been charged yet? Because they can't determine the ages of these young girls? Is it that simple?

HOSTIN: I think it's actually complicated only in that, one, yes, they can't determine the ages, because a lot of the kids just don't -- aren't cooperating. But really, the other thing is, this investigation is in its infancy. We're talking about many, many fathers, many, many wives, many, many children.

The investigators are probably doing the best that they can to unravel this. But it has not been unraveled yet. But we're going to see a lot of indictments in this case. I just can't imagine that we're not. This is a case that is not going away.

WHITFIELD: Yes, and -- this case is in its infancy, and you suspect there will be many indictments. Even though -- barring the fact that there is now this latest, I guess, twist in the case, that the woman who may have allegedly tipped off authorities, may have made up the story, or perhaps is not able, I guess, to substantiate the claim.

And if investigators went into this compound on the pretense that a 16-year-old girl was allegedly abused, if that turns out not to be correct, does that mean that everything else that is learned in this investigation could potentially be thrown out?

HOSTIN: No, it does not mean that at all. That is not what's going to happen. It is another twist and turn to this very twisty case. But that is not what's going to happen. The bottom line here is, if law enforcement officials relied upon that information, in good faith, the Supreme Court has found that that good faith exception makes it so that everything that they find comes in -- subsequent to that warrant.

And I think that's what happened here. There's no indication that the law enforcement officials knew that this was a hoax, or a bad tip. So they relied upon it. And let's not forget, when they got there, they're saying they found evidence of child sex abuse, and that's what matters.

WHITFIELD: Sunny Hostin, thanks so much. It's such a complicated case. I know we're going to be talking about it for a long time now. But each day we're learning some new kernel of something and learning something from that too, in terms of the legal steps here. It is very complex.

HOSTIN: Unreal.

WHITFIELD: All right, Sunny, thanks so much.

HOSTIN: Thanks.

HARRIS: FBI agents seriously hurt. A company accused of selling them defective equipment. Our special investigations unit has been digging. The findings in the NEWSROOM. (COMMERCIAL BREAK)