Return to Transcripts main page
Lou Dobbs Tonight
McCain's Economy Backlash; Obama to Speak in Germany; More Signs of the Weak Economy
Aired July 11, 2008 - 19:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
LOU DOBBS, HOST: Thank you, Wolf.
Tonight, Senator McCain facing something of a backlash from voters who have had a bellyful of his so-called free trade agenda. We'll have complete coverage and tonight one of the country's most powerful lawmakers, Senator Christopher Dodd in effect telling Americans who are struggling with this housing crisis, don't worry, be happy and tonight compelling new evidence that independent voters could determine the outcome of this presidential election. A third of all voters are independent, half of them are undecided. All of that, all the day's news and much more, with an independent perspective, straight ahead here tonight.
ANNOUNCER: This is LOU DOBBS TONIGHT, news, debate and opinion for Friday, July 11. Live from New York, Lou Dobbs.
Good evening, everybody.
Senator McCain tonight, struggling to win over independent voters with his message of so-called free trade and faith-based economics. McCain facing rising problems trying to sell his economic agenda, that after one of his top advisers, former Senator Phil Gramm said we're a nation of whiners.
Senator Obama also struggling with independents, he's pandering to ethnocentric special interests and facing a backlash of his own. Obama today trying to backtrack from comments earlier this week when he declared unequivocally that Americans should make sure their children learn Spanish.
We have extensive coverage tonight and we begin with Dana Bash in Washington -- Dana.
DANA BASH, CNN CONGRESSIONAL CORRESPONDENT: Well, Lou, this week started with a real determination in the McCain campaign to finally focus their message that McCain's economic plans will create jobs. But as one Republican strategist put it to me, McCain is ending the week scarred with some self-inflicted wounds.
(BEGIN VIDEOTAPE)
BASH (voice-over): In many ways, this town hall with Wisconsin women was the kind of makeover John McCain's aides retooling his campaign were going for.
SEN. JOHN MCCAIN, (R) PRESIDENTIAL CANDIDATE: I have a proven record. I have a proven record of reaching across the aisle. Now sometimes ...
BASH: McCain was connecting with swing voters. He was loose but maybe a bit too loose.
MCCAIN: I'll do everything in my power to get those offshore reserves exploited -- explored, discovered and -- explored and ...
BASH: A Freudian slip from the self-described environmentalist calling for drilling offshore, evidence that McCain's week of events to relaunch his campaign had some misfires. Case in point.
PHIL GRAMM, MCCAIN ADVISOR: We've sort of become a nation of whiners.
BASH: Having to rebuke his good friend and economic adviser for declaring the country is in a mental recession.
MCCAIN: Phil Gramm does not speak for me. I believe that the person here in Michigan that just lost his job isn't suffering from a mental recession.
BASH: Some awkward moments got less national attention but may be just as politically perilous, like going to the battleground of Michigan, where many voters believe free trade sent their jobs overseas and saying this.
MCCAIN: I believe that free trade is important.
BASH: Too much straight talk for these voters. Who told him so.
UNIDENTIFIED MALE: So what we need to do is control some of the trade issues that we've got going on and we want fair trade.
BASH: Some Republicans tell CNN they worry McCain's free trade message is alienating blue collar voters he's trying to pull from Barack Obama. Experts agree.
BERNIE PORN, MICHIGAN POLLSTER: He may think he's telling the truth about the issues but this is one of the issues where I can assure him that voters can't handle that truth.
(END VIDEOTAPE)
BASH: And McCain did talk hour after hour, day after day this week about his prescriptions for the ailing economy and how he believes Barack Obama will raise your taxes. What's unknown is whether voters really heard it -- Lou.
DOBBS: Thank you very much, Dana.
Dana Bash from Washington.
Senator McCain left no doubt where he stands on the issue of so- called free trade, it was in December last year that McCain said, "I'm the biggest free marketer and free trader you will ever see." End quote. That is a message he's clearly having a hard time selling to hard pressed working men and women and their families. Senator McCain tonight also pushing his amnesty agenda, trying to win Hispanic votes, McCain launching a new ad that uses patriotic images to pander to the pro-amnesty, open borders groups and their supporters.
(BEGIN VIDEO CLIP)
MCCAIN: You go to Iraq or Afghanistan today you're going to see a whole lot of people who are of Hispanic background. So let's, from time to time, remember that these are God's children. They must come into our country legally but they have enriched our culture and our nation as every generation of immigrants before them.
(END VIDEO CLIP)
DOBBS: Yes, you heard Senator McCain correctly there. The senator suggesting illegal aliens are what he calls God's children, assuming that he meant all of us are God's children.
This ad will be running in three states we're told by the McCain campaign, with large Hispanic populations, Colorado, Nevada and New Mexico. Senator Obama is sparing no effort to pander to the illegal alien lobby himself, these two candidates working very hard to outdo one another in the panderama.
One example, Senator Obama's declaration that Americans should be sure their children speak Spanish. Obama today did what most candidates do when faced with a backlash and voter outrage. He issued a so-called clarification that stretches broadly the meaning what have he said and truth itself.
(BEGIN VIDEO CLIP)
SEN. BARACK OBAMA, (D) PRESIDENTIAL CANDIDATE: I said something the other day down in Georgia, and the Republicans jumped on this. I said, you know, absolutely, immigrants need to learn English, but, but we also need to learn foreign languages.
(END VIDEO CLIP)
DOBBS: Well, actually what the senator was make sure your children learn Spanish. That's what he said, and he also said that he gets embarrassed that Americans go abroad and can't speak the language of the countries in which they're traveling. Well, the senator's explanation doesn't do much to straighten out the record, and as you just heard, senator talked only about the need for children to learn foreign languages today, not as he said yesterday, be sure that your children learn Spanish.
We should note that both Senator Obama and Senator McCain this week will -- well they're not through pandering. They will be addressing a pro-amnesty group, the National Council of La Raza.
Senator Obama takes his message of so-called change overseas, possibly as soon as this month but it appears Obama won't be receiving quite the warm welcome he's been hoping for in at least one country, that's because the German government has taken some offense apparently about one of the senator's choices for a venue for a speech.
Ed Henry has our report.
(BEGIN VIDEOTAPE)
ED HENRY, CNN WHITE HOUSE CORRESPONDENT (voice-over): Barack Obama will soon embark on a global tour to beef up his foreign policy credentials with stops in big European capitals like Berlin, London and Paris, where people are giddy about his presidential campaign.
DOMINIQUE STRUYE DE SWIELANDE, BELGIAN AMBASSADOR TO U.S.: I think Obama is seen a bit in line of the continuation of Kennedy, a very dynamic, charismatic person.
HENRY: During his own trip to Germany in 1963, John F. Kennedy famously said "Ich bin ein Berliner" a town hall near the Brandenburg Gate. Obama is now considering a speech at the gate itself, but German chancellor Angela Merkel, a key ally of President Bush, is trying to squash it. A Merkel spokesperson said it's inappropriate to use the gate as a campaign backdrop. It was the sight of Ronald Reagan's most famous anti-communism speech in 1987 when he prodded he Soviet leader Mikhail Gorbachev to open up the gate.
(BEGIN VIDEO CLIP)
RONALD REAGAN, FORMER PRESIDENT OF THE UNITED STATES: Mr. Gorbachev, tear down this wall.
(END VIDEO CLIP)
HENRY: On Thursday, a German newspaper reported a U.S. official approached Merkel's staff at the G-8 summit in Japan to express concerns about Obama's planned speech but a White House official told CNN, "The U.S. delegation did not raise this issue with Merkel" and a Merkel aide insisted it was pure fiction to suggest the chancellor was pressured by the president.
The Obama campaign is trying to be diplomatic, a spokesman saying the candidate "has considered several sites for a possible speech and he will choose one that makes most sense for him and his German hosts."
(on camera): Senator Obama is also going to Israel, and he's widely expected to make a stop in Iraq, important places to try and show he's ready to be commander in chief.
Ed Henry, CNN, the White House.
(END VIDEOTAPE)
DOBBS: Well, as Ed reported Senator Obama expected to go to Iraq very soon. Today the Pentagon said troops in Iraq have found the remains of two of our missing soldiers, our troops have been searching for those soldiers after an ambush south of Baghdad in May of last year. The body of another soldier who was also captured was found shortly after that attack. So far this month three of our troops have been killed in Iraq, 4,118 since this war began, 30,349 of our troops wounded, 13,483 of our troops wounded seriously.
More evidence tonight that Iran's show and tell missile tests were actually a huge fraud, partly created with Photoshop software. Iran doctored not only this image which showed one missile still stuck on its launch vehicle to create the impression four missiles had been fired simultaneously, there are also questions about the types of missiles that the Iranians supposedly fired and whether any of them actually had the range to hit any target in Israel as the Iranians claimed.
In point of fact tonight, there are suspicions that the Iranians may have fired anti-aircraft missiles in some of their tests, not ballistic missiles that the Iranians claim that they possess in large quantities.
Coming up here next, don't worry, be happy, that's the stunning message from members of Congress, that's the message they're trying to send to our working men and women and their families who are struggling to survive this economic downturn. We'll tell you what's going on.
And the Mexican drug cartel is literally invading the United States, urgent new warnings about the spread of the drug wars along our southern border. We'll have that story and a great deal more. We'll be right back. Stay with us.
(COMMERCIAL BREAK)
DOBBS: Federal banking regulators have shut down a major California mortgage lender. Indymac closed down by the Treasury Department, its assets transferred to the Federal Deposit Insurance Corporation. Regulators determined Indymac to be unlikely to meet depositor demands. Indymac's Web site now says it's the second largest independent mortgage lender in the country, not yet acknowledging that it was shut down. The bank had focused its business on customers who couldn't provide the documentation for a conventional mortgage.
There were other signs today that our economic struggles are far from ended. Tension over Iran, other supply concerns leading to a new intraday record high for crude oil, oil hitting $147 a barrel, before settling at $145. Wall Street of course reacting to crude oil prices, and to fears about fragile condition of the two largest mortgage giants, Fannie Mae and Freddie Mac. The Dow Jones Undustrials fell below 11,000 for the first time in two years, recovering somewhat this afternoon, closing just above 11,100. With major lender Fannie Mae and Freddie Mac on shaky ground, the top government officials are discussing their options.
But as you might suspect, they haven't come up with anything close to a solution or the problems facing homeowners, and this administration continues to insist that lenders are not in a crisis.
Kitty Pilgrim has the report.
(BEGIN VIDEOTAPE)
KITTY PILGRIM, CNN CORRESPONDENT (voice-over): President Bush flanked by Secretary Paulson and Fed Chairman Ben Bernanke tried to calm fears about financial stability of the country's two largest mortgage finance companies which own or guaranty half of U.S. mortgages.
GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Freddie Mac and Fannie Mae are important institutions. We spent a fair amount of time discussing these institutions. He assured me that he and Ben Bernanke will be working this issue very hard.
PILGRIM: The mortgage default rate has risen so high, Wall Street investors are in turmoil over what may come next. Even Secretary Paulson admitting this week many of today's unusually high number of foreclosures are not preventable, putting the estimated number for this year at 2.5 million. Banking analysts estimate it's higher, running at some 8,000 a day. Lawmakers on Capitol Hill have been locked in a partisan stalemate over foreclosure relief legislation.
But at best, the Congressional Budget Office estimates those would help 500,000 homeowners. Some economists say the mortgage crisis isn't over.
MARK WEISBROT, CENTER FOR ECONOMIC POLICY AND RESEARCH: We have a housing bubble that's burst, maybe 60 percent of it has burst but that still leaves a long way to go and that's got to hit consumer spending a lot more.
PILGRIM: But Senator Chris Dodd, chairman of the Senate Banking Committee saying today the two largest mortgage lenders were fundamentally sound and strong.
DODD: There is a sort of panic going on today and that's not what ought to be. The facts don't warrant that reaction in my view.
PILGRIM: Senator Dodd said Fannie Mae and Freddie Mac are adequately capitalized and mostly held 30 year fixed mortgages and not risky sub prime lending.
(END VIDEOTAPE)
PILGRIM: Now mortgage rescue legislation passed late this evening in the Senate by 63 to five. Still faces a big battle, the House has to make changes in the legislation next week. Now Congress promised to pass this measure before the August recess. That holds pretty little comfort because they also promised to pass it before July 4th -- Lou.
DOBBS: In this situation let's go with the good news, for crying out loud, at least the Senate did pass it finally, and I can't imagine the House failing to at least provide some help. The question is, to what degree that help will arrive in time for literally now millions of homeowners facing foreclosure. Kitty, thank you very much, Kitty Pilgrim.
With all of the pain being inflicted on our hard-working middle class family, Congress might be moved to take some action soon but Capitol Hill right now rife with examples of inaction and delay. As we reported to you last night, Congress has held more than 40 hearings this year alone on crude oil and gasoline prices. But those fuel prices are still at record highs and there's been no prescription for any kind of solution or new direction in public policy.
Perhaps one of the reasons so many important pieces of legislation aren't being passed is that members of Congress put in so little time at work, this being of course an election year our representatives have scheduled only 35 work days from now until you and I go to the polls in November. And how many days do you suppose our elected representatives scheduled have between Election Day and the swearing in of a new Congress and of course new president in January? The answer is so far, zero.
Let's take a look at our poll question tonight, do you believe the Bush administration, Congress and the two principal presidential candidates understand the economic hardship now facing our middle class? Yes or no, cast your vote at loudobbs.com. We'll have the results here later.
Up next our nation's roads and bridges are crumbling, the government's system for fixing them has flat out failed. We'll have that report and lawmakers vowing to take on oil speculators over those high prices but do they know what they're talking about, are speculators really responsible for the soaring prices? We'll have the report, and give you the answer, next, stay with us.
(COMMERCIAL BREAK)
DOBBS: The concern about the spread of Mexican drug cartel violence to our side of the border, law enforcement officers and experts on security and terrorism say Mexico's drug wars are now a grave threat to this country and to American citizens. Those experts comparing violence along our border with Mexico to the violence in Iraq.
Casey Wian has our report.
(BEGIN VIDEOTAPE)
CASEY WIAN, CNN CORRESPONDENT (voice-over): Twelve more dead bodies, including three police investigators, the latest victims of Mexico's drug cartel wars. Now there's more evidence that war has crossed the border. Phoenix police continue to investigate an incident last month where at least six heavily armed men dressed in SWAT-style body armor killed a man, firing more than 100 rounds at this suburban house. Police call it a cartel drug hit.
Only three of the shooters were captured. Police say two are previously deported Mexican illegal aliens. The third is a U.S. citizen. One former State Department counterterrorism official says Mexican drug cartels are now recruiting in the United States. FRED BURTON, V.P., COUNTERTERRORISM, STRATFOR: What you have a symbiotic relationship between the cartels who have cords of money they can pay cash for mercenary training, specialized tactical training, so they'll take the street gang members from the United States, for example, MS-13, bring them into border training camps and train them in tactical kind of operations. Very similar to what we're seeing in Iraq, and in many cases what's taking place (AUDIO GAP)
(END VIDEOTAPE)
WIAN: Lou, what Fred Burton was saying there is that in many cases, along the border with Mexico, conditions are actually worse than in Iraq. He also talked about many local law enforcement officers say that in many cases they're outgunned by these gang bangers trained by the paramilitary drug cartel operatives in Mexico. We had a statement from the Phoenix Police Department. They say they have so far not encountered very many members of the Mexican military or former law enforcement officers from Mexico but they say it will be no surprise when we run across those who have had prior military or law enforcement training.
From local police to the border patrol, law enforcement officials are warning their officers to be prepared for heavily armed cartel operators on U.S. soil. Lou?
DOBBS: And in the case of Phoenix, that is a confounding case, because we're hearing very little about the investigation. Is there, do we have names of the suspects, the other three suspects in that case, do we know what's going on.
WIAN: Lou, we don't know how many other shooters were involved. The initial police report said there were four suspects in one vehicle, four in other. Now Phoenix say that there were at least six shooters total, so somewhere between six and eight, the others escaped, the three that are in custody, they do know they have checked them out through ICE, through ICE's contacts in the Mexican government, they say they were not former Mexican military officers, Lou. That's all we know at this point.
DOBBS: All right, Casey, thank you very much. Meanwhile the death toll continues to rise in Mexico as a result of this drug cartel violence.
Well, the raging violence and threats from those drug cartels have led many to flee Mexico and to seek asylum in the United States. U.S. Customs and Border Protection officials now say more than 500 people have sought political asylum at crossings along our border with Mexico from October through June. Those seeking asylum include police officers, prosecutors, journalists and others hoping to flee the violence.
Customs and immigrations officials telling Lou Dobbs tonight that 200 of those requesting asylum were found to have quote, "credible fears." Their cases passed on to the Customs and Immigration Service for consideration. The rest rejected, they will be sent back to Mexico. Well, time now for some of your thoughts.
Michael in Massachusetts: "Elaine Chao is the anti-labor secretary. Minimum wage, overtime laws, child labor, etc. She's been anti-labor from day one."
And Charles in Connecticut: "Oh Lou, be kind to Senator Gramm. It isn't easy to stay in touch when someone else pumps gas in your limo, someone else shops and cooks your food and you have to concentrate so much energy on keeping those lobbyists happy."
Well, you have a point.
And Gary in Ohio said: "Lou, why don't we cut to the chase. You seem to be the only one that we've heard that has a real interest in what's happening in this country."
Well, I think there are millions of us who do, it's giving all of those concerned voice and making something happen, maybe, maybe this will be our year. We'll have more of your thoughts here later in the broadcast.
Up next, gasoline prices in this country, of course are soaring. Members of Congress are busy spouting partisan blather, holding hearings and offering no solutions for working men and women and their families.
Also Senator Obama says your children should be speaking Spanish and Senator McCain says free trade is good for you. What in the world do independent voters think of these two candidates? I'll be talking about that and more when three of the best political analysts. Stay with us. We'll be right back.
(COMMERCIAL BREAK)
ANNOUNCER: This is LOU DOBBS TONIGHT -- news, debate and opinion. Here again, Mr. Independence, Lou Dobbs.
DOBBS: There are now almost 1,100 cases of salmonella poisoning documented in this country's largest outbreaks ever. These cases, reported across 42 states, the District of Columbia and now into Canada. The Centers for Disease Control saying more than 200 people hospitalized. But, three months into this outbreak and investigation, federal officials don't know or at least aren't saying what they believe to be the source of the widening outbreak. The salmonella outbreak appears to be linked to products from Mexico.
Well, new efforts by Congress tonight to crackdown on oil speculators. Some lawmakers say speculators are to blame for skyrocketing fuel prices and now they're demanding quick action, but Congress may in fact have it all wrong. Industry experts say speculators aren't the sole cause or even the primary cause of high fuel prices. Carrie Lee has our report.
CARRIE LEE, CNN NEWS CORRESPONDENT (voice over): Democrats and airlines are cranking up the heat on oil speculators. Airline leaders spoke out today.
JAMES MAY, AIR TRANSPORT ASSOCIATION: If the market is allowed to go forward unchecked, unregulated, through the course of the summer and into the fall, that there will be very serious consequences for this industry.
LEE: Industry executives say speculators buy two-thirds of the oil contracts traded today, adding up to $60 to the price per barrel. House speaker, Nancy Pelosi wants to investigate all energy contracts.
NANCY PELOSI (D), HOUSE SPEAKER: Oil speculators are making money by betting against the American consumer at the pump. We want to help the American people here and now.
LEE: But Illinois senator, Dick Durbin, is towing a delicate line. The Chicago Mercantile Exchange is a big player in U.S. oil trading and earlier this year, Durban commended the Commodity Future's Trading Commission to vigorous oversight. His recent bill to curb speculation would give money to the CFTC to hire 100 new employees. Even some of his Democratic colleagues call that a misguided plan.
SEN BYRON DORGAN (D), NORTH DAKOTA: Providing for resources to an agency that chooses to do nothing is largely irrelevant. I mean, part of the problem here is excess speculation that has occurred because we have brain dead regulators perfectly happy to do an imitation of a potted plant while all of this goes on.
LEE: Dorgan wants to split the market, protecting true buyers of oil, discouraging speculators. But energy experts say oil prices are rising because of tight capacity. The National Commission on Energy Policy says: "No one really knows how big any speculative bubble may be...what we do know is that supply and demand is so tight, this is really the basic engine of these higher prices."
(END VIDEOTAPE)
Now so far, we've seen at least nine bills from Congress on speculation alone, several calling for even more oversight so in total, as we've discussed, there have been over 40 bills that focus on rising oil and gas prices, one more number for you, Lou, oil hitting a new intraday trading record above $147 a barrel.
LOU: It's impressive. Senator Dorgan, I have to say, I couldn't agree with him more and I love it when he refers to the regulators as "potted plants," which is suggesting probably more vigor and animation than they really possess. The Commodity Futures Trading Commission is a complete and utter joke, has been for decades and the exchanges, when Senator Durbin talks about complimenting them for their self- regulation, I mean we've seen that in the housing market, we know that doesn't work. So, well, maybe another 40 hearings and we'll see something happen here. The reality is if they want to take care of the speculators, raise the margin requirements, get in, and shut it down.
And by the way, this will require political leadership from the White House, from Congress and from corporate America. Lets see if any one those people, besides, I think we have to give credit here to Boone Pickens, he is the only one to step forward and say, we've got a plan, whether you like it, you don't like it, whether it's complete or adequate, one doesn't know, but at least it's a plan.
Carrie, thanks a lot. Carrie Lee.
DOBBS: Well, Russia tonight is stepping up its efforts to begin exploring new oil fields and grab an even larger share of the world's dwindling crude oil resources. Russia taking action as President Bush talks about drilling for oil in the offshore oil fields and the Arctic.
Russian prime minister, Vladimir Putin today, touring a new oil rig designed to drill for oil in the extreme conditions of the Arctic. By the way, he was there. Putin sending a clear message to this country and nations around the world that he considers much of the Arctic region to be under Russian control, and by the way, while we sort of blather about issues here, Russia is taking action.
Up next, Senator Obama declares American children should learn Spanish. Is he pandering? Is he pandering? Well, we'll have that answer. And Senator McCain sticks with his free trade message. Is he on message? Well, I don't know. We'll be talking about that and more with three of the country's best political analysts. Stay with us as they examine the not so obvious answers. We'll be right back.
(COMMERCIAL BREAK)
DOBBS: I suspect you know how much I detest political correctness. I think of it as just an attempt to control speech and thought and little more. There is a new controversy brewing in one of my favorite places, Dallas, Texas, over the expression "black hole," it's a rather scientific expression in point of fact. Dallas County commissioner, John Wiley Price, says that term used to describe an astronomical phenomenon is racist.
Price, apparently, became absolutely furious when another commissioner in Dallas called the traffic collections office a "black hole" because so much paperwork sent there is simply lost. By the way. Commissioner Price also believes -- he is, by the way, black -- believes the terms "angel food cake" and "devil's food cake" and "black sheep of the family" also are racist.
Well, joining me now, three of the best political analysts and CNN contributors anywhere, Republican strategist, Ed Rollins, White House political director under Reagan, he recently chaired Mike Huckabee's presidential campaign, Pulitzer Prize winning columnist, "New York Daily News," Michael Goodwin, Democratic strategist, Robert Zimmerman, Democratic national committeeman and one of a brokering superdelegates, I believe that's correct, isn't it?
ROBERT ZIMMERMAN, DEMOCRATIC STRATEGIST: You nailed it. (LAUGHTER)
DOBBS: What a -- let's start. Michael, I'm going to start with you tonight because -- I'm going to leave this for our partisan friends just for a second. I mean, these two candidates, for whom I have very little enthusiasm, period, this week really seemed to be distinguishing themselves as absolutely clumsy.
MICHAEL GOODWIN, NEW YORK DAILY NEWS: Well, it's interesting too, Lou, because there's a high percentage of voters who say that they're uncertain at this point, much higher than there were four years ago, for example, almost a third, I think, according to the latest survey. That's a good indication. And, of course, others say they could shift their position from one to the other. That's a good indication that the public is not getting what it wants, not hearing what it wants from these candidates and look, it's early, but it's a warning sign to both of them.
DOBBS: A warning sign, Independents comprise just about a third of the registered voters in this country, it's the fastest growing registration in the country, faster than either Democrats or Republicans and I keep hearing people telling me how much enthusiasm there is for Barack Obama. It seems to me to be a testament to the fact there's not much enthusiasm at all about either of the parties.
ZIMMERMAN: Well, I think where you're seeing these...
DOBBS: You can take the Democratic side if you like.
ZIMMERMAN: Actually no, this is a bipartisan -- you're making a very important bipartisan point. There is enthusiasm in every poll showing 85 percent of the country want a new direction. There's clearly -- Bush's approval rating is at 28 percent, a real commitment...
DOBBS: How is the Democratic Congress doing?
ZIMMERMAN: I think they're about six percent last time I checked.
DOBBS: No, they're doing much better than that, nine percent.
ZIMMERMAN: Nine percent. Well, you see, the point is the public still thinks the Republicans are in control of the Congress, that's the Democratic defense.
DOBBS: Are you suggesting that the American people aren't intelligent enough...
ZIMMERMAN: I'm mocking the Democratic spin. But, here the point is the issue -- and Ed has made this point before -- what type of change...
(CROSSTALK)
DOBBS: ...appealing to you? ZIMMERMAN: No, no, I think it's a very important and fair point. What type of change is the country looking for? What type of change do they have confidence in?
DOBBS: Well, the kind that Obama wants. What is that?
ZIMMERMAN: Well, I think what you're talking about is changing direction. Oh, I can do that for you easily, changing direction in Iraq. Changing...
DOBBS: Changing direction? No, no, no, no let's talk about changing direction. He said troops out in 16 months.
ZIMMERMAN: Absolutely, because we want to refocus the battle against the Taliban and against terrorism, not spend $3 billion a week propping up the Iraqi army.
DOBBS: All right.
ED ROLLINS; REPUBLICAN STRATEGIST: That's a major change on both Robert's part and obviously on Obama and I think one of critical things of this week -- and I think this -- if you really want to step back, this is going to be an historic week of blunders on both sides, very significant -- and very significant by surrogates. They had these big ego people like, Phil Gramm and Jesse Jackson, all out there, basically trying to attract attention when in essence they should be trying to be supportive.
The bottom line though is both campaigns have moved away from substantive issues. Your candidate, now I assume he's your candidate, basically ran as an anti-war candidate who is going to bring the troops home on day one, we teased about it on this show for a year- and-a-half -- he's now not so sure anymore. He's going to go to Iraq, he's going to see what the generals say. Now, let me finish. He was against wiretapping, voted for the bill the other day, and obviously has created a lot of -- John McCain went out and basically said: I'm going to build a fence. I was wrong on the immigration bill. Last couple of weeks he's been saying a lot of things that are very misleading or at least a lot of things to make Republicans think he may not be so strong and then touches the wire, the third rail that every Republican should stay away from, Social Security. Social Security is "disgusting" was the term he used, that young people actually have to pay for older people. That's the way it's been since 1936, the way it was in 1984 when...
DOBBS: Somebody's got to explain that to me. What in the heck was he thinking? What in the world was he thinking?
ROLLINS: I have no idea. So, it was a week of blunders and part of it is that both of these people are trying to cover bigger bases than they had to.
ZIMMERMAN: I think it's a valid point in this, especially regarding Obama's position on FISA, which I strongly disagree with or his position on illegal immigration. But the point here is, both of them are going to get caught up in the game of gotcha and the trick is not for them to be on the defensive and that will be interesting to see how they...
DOBBS: They're no longer in the game of gotcha. The national news media is awakening to the fact that we have two very flawed candidates running for the president of the United States. Even the national media that is so in the tank for Obama and now realizes you got a man out telling people to have their children not learn languages -- foreign languages, but specifically, while discussing the issue of illegal immigration tells them they've got to learn Spanish. I mean the man -- this is ridiculous what we're watching these two people do.
GOODWIN: Well, the other thing is too, Lou, is if you look at the news of week that was not political, I mean, you've got of course the continuing meltdown on Wall Street, you've got the deficit, the oil crisis, gasoline prices...
DOBBS: Have you heard either of these candidates talk about, in specific terms, what to do about a credit crisis, a housing crisis...
GOODWIN: I was just going to say that. That's the disconnect. They're talking about things in kind of small bore ways and we have these huge problems that are terrifying most Americans and certainly putting the squeeze on most Americans and the candidates just don't seem to come -- be able to meet the challenge head on, they're talking around it and under it, but these are huge problems that are fundamental to the nature of how we live in this country.
DOBBS: Why in the world is the national media not doing its job, here? The national media is not asking tough questions of either candidate, they're sitting there playing games. Obama is traipsing about like some rock 'n' roll star without any discussion of issues. McCain is bumbling issues that suggests a lack of understanding about even the most superficial elements, whether it be Social Security or the economy, itself.
ROLLINS: The whole media, though, is going through a change, sitting around worried about who's going to get displaced next from the newsroom and I think, to a certain extent, they fell in love with John McCain in 2000, many of them still were in love with him in the primaries. They fell in love with Barack Obama in the beginning because they thought they had access. At the end of the day they're not doing their job, and their job is to be responsible and tell the American public what's going on so the American public can make up their mind.
GOODWIN: You know, I thought it was interesting this week that T. Boone Pickens came out with his oil plan. He's got a much more comprehensive energy plan, whether you like it or not, it's much more comprehensive and logical than either one of the candidates. That's what the presidential candidates should be doing.
DOBBS: Yeah, and how do you square this one up? Even the Sierra Club now, is saying that a compromise is available to offshore drilling and the Democratic Party and Obama saying no to offshore drilling which it took Senator John McCain -- he's not supposed to be exactly the agent of change here, it's supposed to be Obama, saying drill offshore, permit it, get something done for working people.
ZIMMERMAN: And I'm not a Democratic Party spokesperson, but in fairness the Democratic position is, there are...
DOBBS: Should we bring somebody else in?
ZIMMERMAN: I'm hanging in, here. I'm hanging in. But, there are 16 million acres that are reserved for offshore oil drilling. The oil companies...
DOBBS: Very simply, very simply, Democratic position, Obama's -- we need relief for high fuel costs. The only way to do it is (INAUDIBLE) to supply -- move to alternate energy and begin the transition now. I think we can all agree on that. What in the world do we do if we do not drill for oil offshore and in Anwr and begin the process immediately because we need the transition.
ZIMMERMAN: The reality is, the transition you're describing is not an immediate cure, it's not even a 10-year cure. We won't see the results of that offshore...
DOBBS: If we continue to delay and listen to this nonsense...
ZIMMERMAN: No, we're not delaying...
DOBBS: If we listen to this nonsense any longer it will take 11 years and then we'll wait another year, it will take 12. In the meanwhile, working people and their families in this country are going to watch energy prices go through the roof. They could well be strangled this winter with home heating oil. The pain is already being felt at the pump.
ZIMMERMAN: But Lou, the difference is the delay that's coming about is because the Congress and this administration in particular refuse to look -- refuse to remove themselves...
DOBBS: You think this is partisan? I've watched Democratic and Republican idiots for 35 years get nothing done. It's time to move. And it's time for the Democrats and the Republicans to understand that. McCain made that position, where is your candidate?
ZIMMERMAN: My candidate has a very strong position in the context of moving away from a dependency on oil and focusing on alternative source of energy...
GOODWIN: Like ethanol.
ZIMMERMAN: No, not like ethanol...
ROLLINS: One last thing. Newt Gingrich has this thing, drill now, 1.4 million signatures in about 30 days, he's delivering to Congress next week, drill now.
ZIMMERMAN: Ed, there's no question, McCain's taking the popular position, but it's not an honest position to deal with the energy crisis. DOBBS: Well, it may be the popular position, but this may be a newsbreak to both the Republicans and the Democrats: the majority rule in a Democracy and the popular will, in this country, as an expression of the consent of governed and we don't need any more elites in either party, it's time to end that nonsense, as well. I'm sure you agree. Robert Zimmerman, thank you very much. Michael Goodwin, Ed Rollins.
ROLLINS: None are elite.
(LAUGHTER)
DOBBS: Up next, "Heroes," our tribute to the men and women who server this nation. Tonight, Captain James Barkley, a young man recovering from his wounds, two years after being in Afghanistan. Later we'll tell you about a remarkable new effort to help our wounded warriors. Stay with us, we're coming right back.
(COMMERCIAL BREAK)
And now, "Heroes," our tribute to men and women who serve this nation in uniform. Tonight we want to introduce you to Captain James Barkley. Captain Barkley was on patrol in Afghanistan on his first wedding anniversary when he was badly wounded by a roadside bomb. Barbara Starr has his story.
(BEGIN VIDEOTAPE)
CAPTAIN JAMES BARKLEY, U.S. ARMY: I was hit with an IED.
BARBARA STARR, CNN NEWS CORRESPONDENT (voice over): Twenty-five- year-old Army Captain James Barkley still has rehab every day, two years after his convoy hit a roadside bomb in Afghanistan.
BARKLEY: I was thrown about 50 feet. As soon as it hit the gas tanks, the fumes came into the cabin there and I was on fire.
STARR: Barkley's only option? Roll on the ground to stop the flames.
BARKLEY: I think that's the worst pain you can have is being burned.
STARR: Barkley had third-degree burns and so much inhalation damage to his lungs, he couldn't talk for two months. His hands are partially immobilized by scar tissue.
BARKLEY: It's the being trapped inside of a body that you can't do the same things that you used to do.
STARR: Like other burn patients here at the Brooke Army Medical Center in Texas, when asked, he would like the Americans to know more about the struggles burn soldiers face to get a piece of their lives back.
BARKLEY: To get that back is what is the biggest fight for guys, to get their independence back. Because you start from ground-one, where you don't have any independence and you're learning to walk again.
STARR: His face now rebuilt. But like other burned soldiers, he wants to be able to once again use his hands.
BARKLEY: It's the little things like playing video games again, or, you know, doing stuff on the computer that guys like to do. Those are the little things that people don't realize...
STARR: But for all these troops, each challenge is a big challenge.
BARKLEY: It takes a guy a little while to realize I'm not going back, you know? I'm going to be here, this is my fight now. And so this is what I have to do.
STARR: Barbara Starr, CNN, Brooke Army Medical Center, San Antonio, Texas.
(END VIDEOTAPE)
DOBBS: Well, as you saw, Captain Barkley is undergoing physical therapy at the Center for the Intrepid at the Brooke Army Medical Center. Up next, I'll be talking with the leaders of the Intrepid Fallen Heroes Fund about a new remarkable project for our wounded warriors.
And up at the top of the hour, the ELECTION CENTER with Campbell Brown.
Campbell, tell us what you're working on.
CAMPBELL BROWN, ELECTION CENTER: Thanks, Lou. Well tonight on the ELECTION CENTER: Should Barack Obama give a campaign speech at a German landmark? Ronald Reagan did, but of course, he was president, not a candidate. They're even charges, accusations that the White House may be trying to sabotage Obama's plans, we're going to have that.
And hear from Obama himself in a CNN exclusive interview with Fareed Zacharia, that will -- Fareed will also be here to tell us about that a little later. Also, a look back at John McCain's very tough week. And we asked Jesse Ventura if there is a Senate campaign in his future. We've got all that and a lot more just ahead -- Lou.
DOBBS: Thank you, Campbell.
A reminder now to vote on our poll, the question is: Do you believe the Bush administration, Congress and two principal presidential candidates understand the economic hardship facing our middle class? Yes or no. We'd like to hear from you. Cast your votes at loudobbs.com. We'll be bringing you the results in just a few moments.
And still ahead, you'll meet two people behind an important new center that will help this nation's very important wounded warriors. Stay with us, we're coming right back.
(COMMERCIAL BREAK)
DOBBS: A recent study by the Rand Corporation finds that nearly one in five of our service members who have returned from Iraq and Afghanistan report symptoms of post-traumatic stress disorder or depression. Incredibly, another 19 percent say they might have experienced a traumatic brain injury. Last month the Intrepid Fallen Heroes Fund broke ground on a medical center to specifically help those troops and their families.
Joining me now from West Palm Beach, Florida, Arnold Fisher, he's the honorary chairman of the Intrepid Fallen Heroes Fund and I can't think of any American who does more for our wounded warriors, for veterans than Arnold Fisher.
Arnold, it's a great pleasure and an honor to have you with us, here.
ARNOLD FISHER, INTREPID FALLEN HEROES FUND: Thank you.
DOBBS: And here in New York, another outstanding American, Bill White, he's president of the Intrepid Fallen Heroes Fund.
Good to have you with us, as well, Bill. It's good to see you both.
Arnold, let me turn first, the numbers are astounding. We get nothing like that from, frankly, the Department of Defense when we talk about these injuries. This is a tremendous need. Tell us what your thoughts were in starting up the center.
FISHER: Well, we had the Intrepid Fallen Heroes Fund was begun by a group of businessmen and it now has been handled by over 600,000 Americans, civilian Americans that want to do something to push our government to do things and I don't have to tell you about that.
DOBBS: Well, you're very successful at making the government understand that the American people can still get done what needs to be done, with or without government help. This is going to be called the National Intrepid Center of Excellence for Psychological Health and Traumatic Brain Injury for Our Returning Vets. It's going to be built, and there is the rendering of it. This is an ambitious project. What will the center do?
FISHER: It's going to, first of all, it's going to educate the family as well as the returning veteran. It will diagnose them, it will educate the family and one very important thing is that when they are diagnosed and when they are sent either back to their base or the veterans hospital, we're going to tie a string around their finger and we're going to follow them up in three months or four months or six months to see how they're doing and if they're not doing right, we're going to bring them back. We're not going to leave them out to fend for themselves. They have put a lot in for us, in this country, and we owe this to them. DOBBS: Absolutely, Arnold. And, you know, what you're saying makes us all proud. Bill, you work with Arnold hard, to make sure that what he says is executed. What are your thoughts on the center? How soon, how large will the fundraising be and what can people do to help?
BILL WHITE, INTREPID FALLEN HEROES FUND: Well, thank you, Lou, again. A great tribute to Mr. Fisher, and our board, our chairman, Rich Santulli, and our vice chairman, Marty Edelman, who said this is the signature war wound of Iraq and Afghanistan. And so this is going to be a 75,000 square foot state of the world facility with the most technologically advanced equipment to take care of these kids. We've got to raise $80 million in about the next six months. And we believe that we have somewhere around $40 million toward that goal.
But we ask everybody who's watching this program, who believes, like you do, Lou, that these kids matter and that we've got to show them our love and respect, to please go online and donate and say, I care about you, I thank you for your service.
DOBBS: All right. And you can do so -- let's be very clear, I don't think -- there's not any hesitation here. Whatever you can give, whatever you can do to support our troops, go to fallenheroesfund.org. And I like the telephone number -- 1-800-340- HERO -- because that's precisely who these people are.
Arnold, your thoughts?
FISHER: Well, I -- three months ago I went to Iraq and Afghanistan. And I went to meet some of these troops. And I have to tell you, that we have the finest military in the world. They are the greatest kids in the world. They know what they're there for. Whether Americans want this war or don't want this war, we cannot take it out on them. They need to get our help. And if we need to push the government by starting it ourselves, we'll do it.
DOBBS: And we will do whatever we can, our small part for these who do so much for this great country.
Arnold Fisher, as always, thank you for your leadership. Thank you for all you're doing.
Bill White, thank you, sir.
WHITE: God bless you, Lou. Thank you.
FISHER: Thank you.
DOBBS: You, too. Thank you both.
And we're going to keep that address up on our Web site. It is fallenheroesfund.org and 1-800-340-HERO. Whatever you can do.
Tonight's poll results -- 98 percent of you don't believe the Bush administration, Congress and these two principal presidential candidates understand the economic hardship facing our middle class. We thank you for being with us tonight. Join us here tomorrow.
For all of us, thanks for watching. Good night from New York.
The "ELECTION CENTER" with Campbell Brown begins right now -- Campbell.
