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Palin's Big Debut; Encouraging Youth Vote; President Bush Tours Gustav Damage

Aired September 03, 2008 - 14:00   ET

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

SOLEDAD O'BRIEN, CNN ANCHOR: Good afternoon. Welcome back to the CNN Election Center in New York.
Soledad O'Brien here with continuing coverage of the 2008 Republican convention in St. Paul, Minnesota.

You can see right there the hall. You can expect some fireworks tonight with Rudy Giuliani on the podium. He's expected to throw some punches.

Also, Mike Huckabee, Mitt Romney and Senator McCain's running mate, too, Sarah Palin is a much-expected speech tonight.

John McCain is not going to be in attendance though. He is in town. The Straight Talk Express touched down a short while ago. He was greeted by his wife Cindy -- the senator, that is. Also, the Palin family greeted him as well.

He lingered with his running mate, Sarah, spent even time with her pregnant daughter Bristol, and Bristol's boyfriend, Levi. They of course have been the front page of a lot of newspapers lately. And we're getting some more details on how Governor Palin is getting ready for tonight's big debut.

For more, let's get right to CNN's Ed Henry, who has got a little more information on this.

What do we know about what she's going to do in her speech tonight?

ED HENRY, CNN WHITE HOUSE CORRESPONDENT: Well, Soledad, as you mentioned, this is the biggest speech of Sarah Palin's short political career. She's going to be speaking to millions of people around the world. And she only gets one chance to make a first impression.

That's why we're being told that she's been working intensively on this big speech over the course of the last 48 hours. Sources of the McCain camp telling my colleague Dana Bash just in the last few minutes that basically Sarah Palin has been holed up in a hotel room at a table with a couple of McCain strategists. And they're basically asking her questions, getting educated about her life, her career, and going through it, trying to put it together basically in a narrative.

A lot of these speeches tend to be sort of big picture themes, you know, especially when someone like John McCain speaks. The American people already know him. In this case, you've got to get beyond just those broad themes about the campaign and literally introduce yourself to the American people. So that's a tough task for Sarah Palin. A lot of pressure obviously.

But also, she's getting a little bit of an assist in terms of setting the table by Rudy Giuliani, the former New York City mayor, who will speak before her. Obviously a very popular figure in the Republican Party. Ran for president himself.

And if last night is any guide, we're going to start really seeing some of the political attacks ramping up. The Republicans, after taking basically the first night lightly because of the hurricane, really ramped it up last night with independent Democrat Joe Lieberman going after Barack Obama on his experience, and also Fred Thompson giving a very tough speech.

(BEGIN VIDEO CLIP)

FRED THOMPSON (R), FMR. PRESIDENTIAL CANDIDATE: The Democrats present a history-making nominee for president. History-making in that he's the most liberal, most inexperienced nominee to ever run for president.

(END VIDEO CLIP)

HENRY: And I mentioned that these speeches tend to be broad themes, big picture. But the task is made a little more difficult for Sarah Palin in this case because there have been so many questions in these first few days about just how much experience she does have.

She's faced a lot of media scrutiny, she's faced a lot of attacks from the other side. And so beyond just the broad theme, she's probably going to have to get into some specificity about exactly what kind of experience she does bring to the table, what kind of decision she's made as governor that really sort of inform her judgment, Soledad. So this is a big task.

O'BRIEN: Yes, a lot to sort of get through.

I know you saw pictures. We were showing them a moment ago, the photo-op, as Senator McCain came off his plane and he obviously saw his own wife and his own family members. And then hugged members of Palin's family, too, and that was the first time for many people they saw the young man who is the father of the baby that Bristol Palin -- I feel like I'm in a little bit of a soap opera here -- Bristol Palin is carrying.

To what degree does this bring back on the table what everybody said was off the table, which was families off the table? If you start appearing in a big photo-op -- and everybody knows they're going to take this shot. It's set up for that way. Does that bring everything back on the table, or, as one of our analysts said, listen, you know, you're kind of damned if you do, damned if you don't. If you don't put the kid in the shot, you're answering those questions, too. HENRY: Yes, sure. It's a delicate balancing act, obviously.

I mean, just this morning, senior McCain strategist Steve Schmidt put out a tough statement, basically saying that the McCain camp is tired about these questions about Sarah Palin and the family, and in terms of the vetting process and when Senator McCain knew that the baby was expecting and whatnot. And that basically, the McCain camp is drawing a line in the sand and saying, we're not answering any more questions about the vetting process.

And then as you say, just a couple of hours later, we see these picture of Sarah Palin's daughter, as well as the father of the baby. They're together and they say they're going to get married. That just brings it right back out there for all the world to see.

But I think the bottom line is that the McCain camp is basically saying, we don't want people dwelling on this, but they also don't necessarily want to sort of keep it in the shadows. They want to be up front.

It's out there. People know about it now. And I think they have little choice but then to acknowledge it. And we'll have to see whether Sarah Palin, in fact, mentions it at the podium tonight -- Soledad.

O'BRIEN: Yes. It will be interesting to hear her speech tonight.

Ed Henry for us.

Thanks, Ed. Appreciate it.

HENRY: Thank you.

O'BRIEN: Coming up next, we're going to be talking politics and young voters with wrestling superstars, Mickie James, and WWE host Josh Matthews. We'll explain the connection if you don't already know it when our coverage continues.

Stay with us.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

CONAN O'BRIEN, TALK SHOW HOST: And the theme for tonight's Republican convention is, "Who is John McCain?" That's the theme. Yeah, yeah. Tomorrow night's theme is "Who Forgot to Check if the Vice President's Daughter is Pregnant?"

(LAUGHTER)

It's a theme. You have to...

(END VIDEO CLIP) O'BRIEN: Well, today more and more young people get their news, for better or for worse, from late night comedians. Here's another way to learn about the political process and how to get involved through Smackdown Your Vote.

And joining us to talk about that is WWE wrestling superstar Mickie James and the host, John Matthews.

Nice to see you both.

Tell me what you're doing -- Mickie, why don't we start with you -- to register new voters? And how is the WWE and voting kind of -- we're talking about it in the same sentence?

MICKIE JAMES, WWE SUPERSTAR: Well, what we have done in the WWE Universe is encourage our young viewers from 18 to 30 years old to get out there and register to vote. And not just register to vote, but become involved. Like, really get to know your politics and just stand for what you believe in, because here in America, we have the freedom and the power to choose what we believe in, and we actually have the power to choose who we want to run our country.

And that's so important. And so, you know, you have a voice, and that voice can be heard. And that's why we have the freedom to vote. And so that's what we encourage all of our viewers to do.

O'BRIEN: Josh, I know that this is a bipartisan effort. What's the reception that you're getting both from the Democrats and the Republicans?

JOSH MATTHEWS, WWE SUPERSTAR HOST: Well, I think when they first see the WWE mike (ph) flag there's a little confusion as to what we're actually doing at the conventions. But the more we talk to people, both in Denver and in St. Paul, I think people are really behind the fact that the WWE reaches 15 million viewers every single week between our show "Monday Night Raw," "ECW" on Sci Fi, and "Friday Night Smackdown."

And those 15 million people, a lot of them are under the age of 30. And we're trying to get those 18-30-year-olds out there and make sure that they not only register, but they're voting on November 4th.

O'BRIEN: Now, Mickie, this is the third presidential election that you've worked on, is that correct? Is that right?

JAMES: Yes.

O'BRIEN: OK. So do you know what kind of success you had with that pool of 15 million people potentially? What kind of numbers are you getting in? What kind of feedback are you getting?

JAMES: I know that we've had, you know, millions of people sign up to register to vote. And I think in 2004, we wanted to double it. And now in 2008, we just want to keep going.

And I think in 2004, we had four million people go out and vote. So that's amazing numbers in itself. So this year, we're really hoping to pick it up.

O'BRIEN: And Josh, what happens? I mean, obviously when the RNC is done, and the same with the DNC, once they're done, how do you keep in touch with people who said, oh, yes, I'm really energized? How do you make sure that come November they actually show up and vote?

MATTHEWS: Yes, this is the cool thing for us. For me, this is like the beginning of the NFL playoffs. And from here on out, it's just going to awesome until November 4th.

But you can go to smackdownyourvote.com. We have a VIP debate between Senators Obama and McCain. And that's where all of our fans of the WWE Universe can log on and see how those guys feel about the issues that are important to 18-to-30-year-olds.

O'BRIEN: So people can learn more on your Web site.

I want to thank you both, Mickie James and Josh Matthews, for talking with us. And also for getting millions of folks to get their vote heard.

Thank you for being with us. We appreciate it.

Much more convention coverage coming to you in just about 15 minutes, and throughout the day, of course.

In New York, I'm Soledad O'Brien at the CNN Election Center.

We'll send it back to Atlanta and CNN NEWSROOM right after this break.

(COMMERCIAL BREAK)

DON LEMON, CNN ANCHOR: Oh, yes. There is no place like home, and no stopping many folks who fled New Orleans ahead of Hurricane Gustav. Gustav's gone, and the mayor wishes the people would stay away too, just one more day though.

Hanna in Haiti. Deadly floods and mudslides from a meandering storm, one that could hit the southeastern U.S. sometime this weekend.

Hello, everyone. I'm Don Lemon, live here at the CNN world headquarters in Atlanta.

You are live in the CNN NEWSROOM.

Well, there is more trouble in the tropics. Much of the southeastern U.S. coast is on alert this hour as three tropical storms, three of them, they're churning in the Atlantic -- Hanna, Ike and Josephine. Preparations are already under way in Georgia and the Carolinas for Hanna's possible arrival, and that should happen this weekend.

In Louisiana and Mississippi, it is day two of damage assessment and cleanup after Hurricane Gustav. At last count, 1.4 million homes in Louisiana didn't have power, 92,000 in Mississippi. New Orleans residents who want to come home won't be turned away, even though the evacuation order remains in effect until midnight. President Bush is visiting the storm zone today. He is in Louisiana at this hour.

We'll check in on him and see what he is up to there.

(WEATHER REPORT)

LEMON: You heard Chad mention Haiti. We want to take you there now so you can look at the misery there, witness that misery of Haiti.

This Caribbean island has been hammered by one storm after another after another for three weeks straight. Overnight, Tropical Storm Hanna slammed ashore, causing more catastrophic flooding and mudslides. Haitian authorities say at least 25 people have been killed, and the storms have killed more than 100 people in Haiti since the middle of last month.

Well, in the wake of Hurricane Gustav, Louisiana Governor Bobby Jindal has postponed congressional primaries originally scheduled for Saturday. Congressman William Jefferson is among the candidates affected. Jefferson faces six Democratic challengers, not to mention federal bribery charges. No word yet on when the primaries will be held there.

International news now.

North Korea reportedly has started rebuilding its main nuclear plant. Back in June, the communist government blew up a water-cooling tower to show it meant business about a deal to give up nukes in exchange for energy aid and removal from the U.S. list of terror sponsors. Well, North Korea is upset that it's still on that list, and apparently will stay there until the U.S. can verify it is not building nuclear bombs.

Well, so Osama bin Laden, the target of a reported coalition attack in Pakistan? Well, Pakistan says coalition forces from Afghanistan killed at least 15 people, including civilians, in a rare cross-border ground attack.

Now, officials say it happened in the tribal region of south Waziristan, where bin Laden and his top lieutenant are believed to be hiding. No word on whether any militant leaders were killed or captured. Pakistan calls the attack a "grave provocation." U.S. military sources say they heard about military activity in the region but couldn't say just what it was.

Also today, snipers fired on the motorcade of Pakistan's prime minister, hitting his car at least twice. Officials aren't saying whether he was in the car, only that he wasn't hurt.

All right. The economy, of course, issue #1. Gas prices have been falling recently, but hat doesn't undo the damage in Detroit from months of pain at the pump. And today, the big three, well, they take another hit. (BUSINESS REPORT)

LEMON: Let's take you to Chicago now.

It is the first week of school there, but not for everybody. Parents kept about 1,500 kids out of class yesterday to protest what they see as an unfair distribution of school funds. Now, many parents and students took buses to a wealthy district 30 miles away and applied for school there. Students and parents in the city district say conditions are simply bad.

(BEGIN VIDEO CLIP)

JOY WILLIAMS, CHICAGO 5TH GRADER: I have a small classroom and big -- I have, like, 40 kids in my classroom, and it's like a small classroom. And it's always hot in my school when it's summertime and it's always cold in my school when it's wintertime.

MURIAL WILLIAMS, STUDENT'S MOTHER: I want her to see that -- look into her future and see where she needs to be 10 years from now.

(END VIDEO CLIP)

LEMON: Well, the Chicago Public School District is the third largest in the nation, with more than 400,000 students. Organizers say the boycott will continue through the week.

A house fire would have been a death trap for an 8-year-old New Hampshire girl if not for the bravery and the speed of a Conway police officer.

(BEGIN VIDEO CLIP)

OFC. MICHAEL BOUCHER, CONWAY, NEW HAMPSHIRE, POLICE DEPT.: I heard the crying, and there was no way I was leaving without whoever was crying coming with me. I was able to grab her and drag her out of the smoke, to the stairs, where we both ended up tumbling down because I was so disoriented. But once we got back to the first floor, I was able to get her outside to reunite her with her family.

(END VIDEO CLIP)

LEMON: All right. Well, the cause of that fire is still unknown.

We're going to tell you in a little bit about $2 billion in funds to talk about insurance companies from the damage from Hurricane Katrina -- excuse me, Hurricane Gustav. You see all of that damage there. CNN was witness to that, all of our crews on the ground.

But also, we know that at least 1.4 million people we're told are without power in Louisiana. Many people still can't go home. They don't have phones, they don't have working toilets. And of course, the mayor of New Orleans allowing people back in just before that curfew at midnight tomorrow morning. I saw them this morning coming back in on I-10 trying to get into their homes. Many camped out on the side of highways running out of gas with their children in the backseat. And of course that's been the criticism for the government, that people want to get there.

Let's go now to the president, who is on the ground in Louisiana. He has been visiting folks there and talking to volunteers, as well as people who had to be evacuated from their homes.

(JOINED IN PROGRESS)

GEORGE W. BUSH, PRESIDENT OF THE UNITED STATES: Then I want to come around and say thank you in person to you.

First of all, Governor, thanks for having me down here.

Phase one of the response to Gustav went very well. A lot of it had to do with the people in this room. We're much better coordinated this time than we were with Katrina. The state government, the local government and the federal government were able to work effectively together.

There is still more work to be done. One of the key things that needs to happen is they've got to get electricity up here in Louisiana to get moving as fast as possible.

The governor understands it's a problem. His team understands it's a problem. And I understand it's a problem.

There's a lot of folks from this state that are working hard to restring the lines. There are people from out of state coming into Louisiana to help as well. And of course, all the citizens of this state want to thank the people from other states that are moving in here to help get the electricity up as soon as possible.

And I would ask that if utilities in neighboring states have extra manpower, please coordinate with the state and send the folks in. Part of this recovery is going to require the electricity coming back as quickly as possible.

We talked about the need to make sure that in parts of Louisiana that are getting flooded now, rural Louisiana, that MREs and water and ice get delivered to those communities as quickly as possible. And as the governor of a neighboring state, I remember often how people would say all they care about is the big cities. And I understand there is a lot of focus on New Orleans, and there should be focus on New Orleans.

But in the briefings today, it is clear that this state is focused as well on people who live in rural Louisiana and in the smaller towns of Louisiana. And so the efforts will be aimed at helping people there.

Bobby talked about the need for -- to release energy or oil from the Strategic Petroleum Reserve. Last night we got a request from a company doing business here in Louisiana, and we met that request. And if -- so oil was released from the Strategic Petroleum Reserve. And we will continue to do that upon requests by companies.

All in all, the response has been excellent. But the people here understand that there is more work to be done. And that's why I came down here with members of the federal government to listen and to figure out how to help.

I can't thank you all enough for working as hard as you are. Looking around me, I can see that some people may not have had much sleep recently.

(LAUGHTER)

BUSH: The people of your state care a lot about the fact that you are working as hard as you are. And if this helps you keep going, I want to thank you and I want to thank all the volunteers and the faith-based community that always rises up in a challenge like this.

They listen to that universal call to love a neighbor like you'd like to be loved yourself. And that's happening here in Louisiana again. And I know the people that are -- whose lives have been affected appreciate a total stranger coming in to help.

And finally, people in Louisiana must know that all across our country, there is a lot of prayer. Prayer for those whose lives have been turned upside down. And I'm one of them. It's good to come down here, Governor. I can't thank you enough for your leadership and your team's leadership. We stand ready to help.

Now I'm going to come around and thank you every one of you for working.

(END VIDEO CLIP)

LEMON: President Bush there holding that press conference in Baton Rouge, Louisiana just a short time ago. He is taking a tour of the devastation down in Louisiana. You see him there talking to the volunteers, mentioning the volunteers, thanking them for their and also reaching out to the people who had to be evacuated from their homes, many who don't know when they're going to get electricity back. At least 1.4 million people in Louisiana still don't have electricity. And many in New Orleans don't have working toilets.

The important thing to point out is the president released oil from the Strategic Petroleum Reserve to help people get back on track.

When the CNN NEWSROOM continues we're going to take you back to New York and also back to St. Paul, Minnesota. There you see a live shot of the Republican National Convention right in the middle of it all.

We'll continue our stories just after this.

(COMMERCIAL BREAK)

O'BRIEN: Welcome back, everybody. You're watching the CNN Election Center in New York. I'm Soledad O'Brien, as we continue our coverage of the 2008 Republican convention in St. Paul, Minnesota.

Let's begin with a wide shot there the Xcel Energy Center on a bright sunny -- really a beautiful day in the Twin Cities. John McCain arrived just a little while ago to the Twin Cities. Fireworks expected tonight with Mitt Romney, Mike Huckabee, Rudy Giuliani all on the agenda. All eyes, though, will be on Sarah Palin, who is going to make her prime-time debut tonight.

CNN's Dana Bash tells us she's been hold up in a hotel room trying to assemble a speech of the story of her life. They are expected to continue tweaking it up until the very last moment. So much more on what exactly is at stake with CNN contributors Leslie Sanchez and Hilary Rosen -- Republican and Democratic strategists respectively.

Nice to see you both.

What do you think -- what can change the focus? Some of the issues that people have been talking about, even the ones that haven't been talked about, are sort of chipping away at the message, I think, the Republicans would like to get out of this RNC? You've got the -- what they've been calling "Troopergate," the DUI of the husband, the daughter is pregnant. These are all issues that have been kind of out there. How do you change that focus and get back on -- will the speech definitively be able to do that for her?

LESLIE SANCHEZ, CNN POLITICAL CONTRIBUTOR: I don't think she's going to talk about any of those issues.

O'BRIEN: No. Not that she's going to cover it, but that everybody has sort of moved away from what's out there to sort of a new story.

SANCHEZ: I think the Republican convention is really aimed at doing those things we talked about: introducing the candidates, who they are, their character, their leadership, their vision, and also, what are their themes and positions for changing Washington, not necessarily changing America. Contrasting that, not only with George Bush, but also with Barack Obama. There is the two-fold approach there.

But I think -- in terms of Sarah Palin, I think she has to speak from her heart. She already has galvanized and piqued the interest of a lot of women, a lot of Independent voters. And now it is, can she really produce and be authentic in a way that people feel that she can get the job done?

O'BRIEN: There are a couple of interesting things. If you look back on some of those things that she did as mayor -- talked about, with the librarian, banning books from the library. It was never actually done, but was the -- at least this is according to an article in the "New York Times" -- ran on a platform as governor saying that she wanted to teach creationism along with evolution, although never, again, actually did it as governor, but said that she didn't think that there was any problem with them teaching the two of those side by side. She shot down sex ed in schools as a governor -- this one she did.

To what degree does the story move to those topics, which are issue-oriented, and not the daughter pregnancy and sort of the background issues.

SANCHEZ: I think there are balanced budget issues too. She balanced the budget as mayor, she balanced the budget as governor. She's taken on her own party, she's taken on special interests, she's taken on the energy company. She has built a platform to talk about climate and the environment and try to be a leader in that.

There are a lot of very positive things as well. I would also argue that the media sets such a low expectation about this speech that I think she can hit it out of the park by being herself and talking about her record of achievement.

O'BRIEN: Do you think that's true, that there is a low expectation? Because, in a way, is it a low expectation, or is it really that there's a very high bar might be another way of looking at that?

HILARY ROSEN, CNN POLITICAL CONTRIBUTOR: No, I think there is a low expectation for what she needs to come out there and look thoughtful, responsible and managerial in some respects. And people will say, she did a fantastic job.

You know, the issue, I think for over the next couple of weeks is, it's pretty clear to me that her positions on issues, like you mentioned, are outside the mainstream of where the American people are. And tonight, my guess is that Democrats and Republicans and Independents alike are going to give her her night, let her explain herself to the American people. Democrats had a couple of good nights last week. We expect the Republicans to have a couple of good nights this week, and then the campaign starts up again.

Going back to the issues, because you're not going to hear the disagreements, those issues that are more controversial, the positions she holds, out of her tonight. She's going to stay away from those controversial issues.

O'BRIEN: In her first speech over the weekend, you heard her reference Geraldine Ferraro and Hillary Clinton as her heroes. And I have to imagine that plenty of people who would liked to have seen Hillary Clinton on the ticket who say, oh, wait a minute, this person deserves another look if you're interested in John McCain.

ROSEN: John McCain has tried to use Hillary Clinton in this campaign to bring women over to his side. Hillary Clinton couldn't have been more clear that her position on the issues and what she sees for American women is the exact opposite of where John McCain goes. You're going to see her start to say that more visibly about Sarah Palin as well. It's not a disrespect; it's about the issues and the policy. Tonight Sarah Palin's --

O'BRIEN: That's why everybody is being quiet. SANCHEZ: No, I think one thing Hillary Clinton was not clear on is whether or not Barack Obama was ready to lead. That was the big question mark after her phenomenal speech --

(CROSSTALK)

O'BRIEN: But that's kind of off topic for --

SANCHEZ: Not necessarily.

ROSEN: She was very clear on that.

SANCHEZ: Her husband was very clear on that.

ROSEN: They were both clear that.

O'BRIEN: But that's not at issue. Here's a woman who references in her speech, Hillary is my hero, Gerri Ferraro is my hero. We haven't heard back from Hillary Clinton saying, well, in reverse, she's not my hero. Do you expect that to happen?

SANCHEZ: That doesn't really matter. What's she saying is that it's personal to her. She's a woman she admires. She -- the 18 million cracks in the ceiling. Hillary Clinton did a phenomenal job in this campaign. You cannot discount that. I think it's -- it shows to her character that she would reward her and give her the due credit that she deserves.

ROSEN: It's progress. You have prominent women who can disagree on the subject. That's progress for women.

O'BRIEN: And sit next to each other and not kill each other. It's all progress, isn't it?

Hilary and Leslie, thank you very much.

Up next, the issue Americans say is the No. 1 issue, the economy. We're going to talk about it with Ben Stein straight ahead.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

FRED THOMPSON, FMR. PRES. CANDIDATE: We need a president who understands that you don't make citizens prosperous by making Washington richer. And you don't --

(APPLAUSE)

-- and you don't lift an economic downturn by imposing one of the largest tax increases in American history.

(END VIDEO CLIP)

O'BRIEN: That was Fred Thompson last night. One of the very few times that the economy actually came up in a speech. It wasn't really the theme last night. Certainly it's a fact of daily life, though, for tens of millions of voters who say it is the No. 1 issue for them as they pick a president.

With me to talk about dollars and jobs and votes is Ben Stein, a man of many achievements, including a best selling author. His latest work is called "How to Ruin the United States of America." Almost sounds like a cookbook.

Mr. Stein, nice to see you. Thanks for talking with us.

You have been --

BEN STEIN, AUTHOR, FMR. NIXON SPEECHWRITER: Thank you so much.

O'BRIEN: My pleasure.

You have been a speech writer and a lawyer for President Nixon. Let's talk first about Governor Palin's speech. What do you think she needs to get across? And as a speech writer yourself, how do you navigate some of those tricky things, the controversy, with specifics that some people said they want to hear?

STEIN: I don't think she has to do much. I think as one of your previous guests said, expectations are so low, if she basically can put one word in front of the other, people will be impressed. I don't think anybody is going to be picking on her about her daughter, I don't think anybody is going to be picking on her about a 22-year-old DUI for her husband. People want to know if she is a down to earth, pro-family, pro-life conservative. And I'm sure she'll hit that one right out of the park.

I've met her. I've had a long, long, long conversation with her. She's a fireball of a speaker and I'm sure she'll do very well.

O'BRIEN: How about America's energy economy? Talking economy with you today.

STEIN: Well, we --

O'BRIEN: Yes, go ahead.

STEIN: We've got some real problems with the economy. I mean, the economy is really a very serious problem. We're not in a recession. But real (ph) wages in this country have not risen in 35 years under Republicans and Democrats. They have not risen. They are lower now than they were in 1973.

I'm told by people who know these kinds of things, that if you made all the banks in this country strictly accountable for their losses, most of the banks in this country would be insolvent right now. The real estate sector is in trouble, the auto sector is in deep, deep trouble, the retail sector is wavering, the finance sector is in real trouble. This administration has really got to get up off its back side and take some action, especially about the finance sector, right now.

O'BRIEN: What do you see in Governor Palin, or do you see anything in Governor Palin, that maybe she --

STEIN: I don't see a thing about --

O'BRIEN: Yes, go ahead.

STEIN: I don't think she has said a word in her whole life about the national economy, which contributes to making this one of the oddest choices in the history of presidential politics. I think this may go down as the most peculiar vice presidential choice there has ever been.

O'BRIEN: Well, expound on that a little more for me, because if I were a Republican strategist standing here, I would say, she's got five kids, a woman who has managed -- has executive experience. You know the drill. You've heard them around the clock coming on to talk about that. So what makes it odd for you?

STEIN: Look, they were selling themselves as the team, the ticket of experience. That's out the window. They're selling themselves as the ticket of steady habits. That's out the window. They're selling them as the ticket of people who are ready to deal with America in a foreign policy crisis. That's out the window.

What we have now is back to, what you might call, fundamentalists, born again, backwoods, values of the United States of America. That's fine. I love those values. I'm all for them. I believe in intelligent design, which I'm probably the only person ever to be on CNN who believes in that. But let us be fair about this, she's a very different person from what John McCain was advertising himself as.

And in terms of the economy, as far as I know, she has absolutely zero background in it. That's fine, neither did John F. Kennedy. But somebody's got to get in there and fill her in on it really quick.

O'BRIEN: Is that doable? Again, back to the speech writing thing, which is how we began, that's lot to learn before --

STEIN: It's doable. It's a lot to learn. It's a lot to learn before a presidential campaign where you're going to have people, very smart people, from the media picking her apart little bit by little bit.

She's got to have around her very, very smart people, telling her the basics of the economy, telling her the basics of foreign policy, night and day. She's going to have to be like that business in the "Superman" movie where the little super baby was traveling through space and they're giving him a tape of all the knowledge in the world for him to absorb. She's going to have to have people like Martin Feldstein (ph) from Harvard, probably the best Republican in Congress and America, around her every second drilling in her head what she has to know.

O'BRIEN: A lot to learn.

STEIN: She should have Henry Kissinger babysitting her. O'BRIEN: Well -- duly noted.

Ben Stein, thank you. Appreciate the time.

We're going to have more convention --

STEIN: Thank you.

O'BRIEN: -- in just about 15 minutes and throughout the day of course.

In New York, I'm Soledad O'Brien at the CNN Election Center in New York. We're going to send it back to Atlanta and CNN NEWSROOM after our break.

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LEMON: All right. They are getting ready for a very big night at the Republican convention. You're looking at live pictures now. The Xcel center where vice presidential candidate Sarah Palin will give the most important speech of her life. After days of controversy surrounding her experience, or, her lack of it and the revelation that her unmarried 17-year-old daughter is pregnant. Tonight's speech will give the little-Known Alaska governor the chance to speak directly to the voters. Palin visited the center earlier today to check out the podium. She told reporters her speech will emphasize government reform.

It is coming up on nine to the hour. Here are some of the stories we're working on for you today right here in the CNN NEWSROOM.

Louisiana residents are returning home and assessing damage two days after hurricane Gustav barreled through. More than 1 million homes and businesses are still without power. And about 77,000 of them are in New Orleans. They are stocking up on plywood in South Carolina today where the next big storm could hit. Forecasters say tropical storm Hanna could skirt Florida and Georgia, before hitting South Carolina this weekend.

There are reports North Korea has started reassembling its nuclear complex apparently because of a dispute with the United States. The North Koreans have accused the U.S. of dragging its feet on an agreement to remove North Korea from a list of states supporting terrorism.

All right. Well, last week we told you about Barack Obama's energy policy. This week, we look at John McCain's policy and what kind of Energy Fix it can provide for you.

CNNmoney.com's Poppy Harlow joins us from New York with our Energy Fix.

LEMON: Hello, Poppy.

POPPY HARLOW, CNNMONEY.COM: Hi there, Don. Well, of course i1t's much different than what Obama wants. John McCain said in a speech recently quote, "whoever controls oil, controls so much more than oil." It is a hot topic right now. That's why he's making a big push for domestic drilling.

Now McCain says we have enormous energy reserves in this country. He says we can access them in an environmentally friendly way. Only recently has his opponent warmed up to some limited offshore drilling. But that's not McCain's only difference with Obama. McCain really is also pushing for a lot of nuclear power in this country. Like in France, he wants 45 new nuclear power plants by the year 2030. Obama is not opposed to it fully but he is less enthusiastic about the idea.

But unlike a lot of Republicans in the past, McCain's position share common ground with Democrats. He says, quote, "we need to draw on the best ideas of both parties for the common good." Aides say of course, Don, that energy will be a priority in the first 100 days of a McCain presidency -- Don.

LEMON: I got to ask you this. Has he, or if he has, how has McCain reached out across the aisle for his energy policy, Poppy?

HARLOW: Exactly. People often say McCain has reached across the aisle many times. He does have an environmental streak to him that is true. One example, he doesn't want to drill in the Arctic National Wildlife Refuge, or ANWR, like a lot of Republicans do. He said, we call it a refuge for a reason.

Obama is right there with him on that position. But guess who is not? This is pretty interesting. Someone really familiar with the region. Alaska's governor, there she is, Sarah Palin. She has said she hopes to convince her running mate how to change his mind, saying you can drill in ANWR without causing harm to the environment. Of course, Don, she addresses the nation tonight at the convention.

We also want to let you know within the hour, President Bush did announce last night that he approved the release of some oil -- just a little bit -- from the strategic petroleum reserves to try to help aid that cleanup after Gustav -- Don.

LEMON: Poppy Harlow, joining us from New York with our Energy Fix.

Thank you very much, Poppy.

Meantime, Jerry Reed is being remembered as a Grammy-award winning musician, a good ol' boy actor and a character.

Remember that. Reed died Monday on complications from emphysema at his home near Nashville. He was best known as Burt Reynolds' sidekick in a string of "Smoky and the Bandit: movies. But Reed had an extensive career in country music. He was a virtuoso guitarist, a singer and songwriter with a string of hits in the 1970s and '80s, including, "Amos Moses" and "When Your Hot You're Hot." Jerry Reed was 71 years old.

She calls herself a hockey mom. The GOP calls her the next VP. What about people back home? (BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: She's a political rocket ship. It's amazing.

(END VIDEO CLIP)

A daughter of Alaska, Sarah Palin, burst onto the national stage. Our Kyra Phillips is in anchorage with more on her meteoric and controversial rise.

But first, aircrafts burn toss of fuel and emit tons of greenhouse gases -- carbon dioxide, I should say. So, when a retired jewelry invented a plane that burned no fuel, well, heads turned.

Our Miles O'Brien has more in Today's Solutions.

MILES O'BRIEN, CHIEF TECHNOLOGY AND ENVIRONMENT CORRESPONDENT (voice-over): Retired jewelry Randall Fishman is trying to put a charge into the world of aviation.

RANDALL FISHMAN, ELECTRAFLYER PILOT: All right, Miles. We're going to turn it on, there's a couple of little switches. Now it's ready to go. All you have to do is move the throttle.

O'BRIEN: That's the sound of an 18 horsepower electric motor in Fishman's ElectraFlyer-C. It's an airplane that will fly about 60 miles per hour for 90 minutes on a single charge.

FISHMAN: When I started doing it about three years ago, I just wanted a quiet ultralite. Kind of a modern, magic carpet that wasn't loud.

O'BRIEN: But interest in Fishman's power plans for ultralite airplanes has soared, along with fuel prices.

(on camera): Not bad. I can have a pleasant conversation with you with the propeller turning in front of me. This ElectraFyler is one seat, it's not exactly cosy, but it's a start. The question is, how big could you make an electric airplane? Could an airliner be running on batteries? Not right now.

FISHMAN: For sport aviation, for the guy who wants to fly and have a little fun, this is the way to go.

O'BRIEN (voice-over): It's a slow, low, quiet, green way to reach the blue yonder. And it is fueling a lot of talk about the future of general aviation.

Miles O'Brien, CNN, Oshkosh, Wisconsin.

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