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President Obama Takes Message to Main Street; Anti-Government Rage in Egypt; Flash Point: Lebanon; Hot Off The Political Ticker; Trending Online; The Help Desk
Aired January 26, 2011 - 12:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: It's the top of the hour now. I'm Carol Costello. Let's check CNN's big stories right now.
The Dow Jones Industrial Average cracked the 12,000 mark again today. The last time Dow stocks were at the 12,000 mark was June of 2008, the opening months of the financial meltdown.
About 90 minutes ago in Houston, doctors moved Congresswoman Gabrielle Giffords out of intensive care and into the hospital's rehab center. Doctors have upgraded Giffords' condition from serious to good.
Intense in Egypt. Police in Cairo broke out their batons today to break up street protests. The Egyptian government says demonstrations will not be tolerated and protesters will be prosecuted. That statement follows unprecedented anti-government demonstrations Tuesday.
President Obama discusses the economy in the next hour in Wisconsin. In his State of the Union speech last night, he called for increased investment in technology, clean energy and infrastructure. On the issue of jobs, the president said innovation and education will help put Americans back to work.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: This is our generation's Sputnik moment. Two years ago, I said that we needed to reach a level of research and development we haven't seen since the height of the space race. And in a few weeks, I will be sending a budget to Congress that helps us meet that goal.
We'll invest in biomedical research, information technology, and especially clean energy technology --
(APPLAUSE)
OBAMA: -- an investment that will strengthen our security, protest our planet, and create countless new jobs for our people.
(END VIDEO CLIP)
COSTELLO: President Obama also called for tax reform and reducing corporate taxes. (BEGIN VIDEO CLIP)
OBAMA: Over the years, a parade of lobbyists has rigged the tax code to benefit particular companies and industries. Those with accountants or lawyers to work the system could end up paying no taxes at all, but all the rest are hit with one of the highest corporate tax rates in the world. It makes no sense, and it has to change.
(APPLAUSE)
OBAMA: So, tonight, I'm asking Democrats and Republicans to simplify the system. Get rid of the loopholes. Level the playing field. And use the savings to lower the corporate tax rate for the first time in 25 years without adding to our deficit.
(END VIDEO CLIP)
COSTELLO: On the issue of deficit reduction, the president called for an end to earmarks and a five-year freeze on discretionary spending. Republicans want more, but the president touted a note of caution.
(BEGIN VIDEO CLIP)
OBAMA: And let's make sure that what we're cutting is really excess weight. Cutting the deficit by gutting our investments in innovation and education is like lightening an overloaded airplane by removing its engine. It may make you feel like you are flying high at first, but it won't take long before you feel the impact.
(END VIDEO CLIP)
COSTELLO: President Obama takes his message about job creation on the road to Main Street. He's visiting three small businesses near Green Bay, Wisconsin.
CNN's Dan Lothian is traveling with the president.
And Dan, what's the significance of the businesses the president will tour later today?
DAN LOTHIAN, CNN WHITE HOUSE CORRESPONDENT: Well, what you see from the president here today is highlighting those examples that he mentioned during his State of the Union Address last night, companies that are making some big steps in innovation, energy efficiency, and also adding jobs. And so the president wants to shine the spotlight on those three companies that you talked about, one of them making energy-efficient lighting, the other an aluminum company, and then the third company, making wind turbines.
And what's common about all of these companies is they have been adding employees. And we're told by the White House that they will be adding additional jobs this year.
The other thing, too, of what the White House wants to highlight is the fact that these are companies that have been able to move forward and hire new workers because they've been taking advantage of some of the tax incentives that the Obama administration has been putting out there for innovation, for seeking out new technology. And so that's the reason the president chose this town, Manitowoc in Wisconsin.
COSTELLO: And there's something fortuitous in choosing that town, and Wisconsin, I suppose, as well, because President Obama referred to, like, the "Sputnik moment," and it turns out that the Sputnik has sort of a connection -- well, it does have a connection to Wisconsin.
LOTHIAN: That's right. You know, we heard the president talk about that last night in the State of the Union Address, of how the race to space led the United States to come up with new technology, education, that eventually led to a man on the moon. So the connection to this town is that back in 1962, a 20-pound chunk of metal landed here in Manitowoc.
At first, the police officers who found it thought it was just a piece of trash from one of the local foundries. It turned out that it was a piece of Sputnik 4. And so that's what they're known for here in this town.
I asked a White House official if for some reason they knew about this, and that's the reason they focused on coming here. I was told that the president really wanted to come here to focus on the three companies, but they also realized early on that there was that historic connection. And so he wants to use that as a way to better visualize his story.
COSTELLO: Whatever works.
Dan Lothian, live from Wisconsin.
LOTHIAN: That's right.
COSTELLO: Many thanks.
And a double rebuttal for the president's speech last night from conservatives. The official Republican response came from Wisconsin Congressman Paul Ryan, who is chairman of the House Budget Committee.
(BEGIN VIDEO CLIP)
REP. PAUL RYAN (R), WISCONSIN: Our debt is out of control. What was a fiscal challenge is now a fiscal crisis. We cannot deny it. Instead, we must as Americans confront it responsibly. And that is exactly what Republicans pledge to do.
(END VIDEO CLIP)
COSTELLO: But breaking with tradition, the Tea Party gave their own rebuttal to the president's address delivered by Minnesota's Michele Bachmann.
(BEGIN VIDEO CLIP) REP. MICHELE BACHMANN (R), MINNESOTA: Unless we fully repeal Obamacare, a nation that currently enjoys the world's finest health care might be forced to rely on government-run coverage. That could have a devastating impact on our national debt for even generations to come.
(END VIDEO CLIP)
COSTELLO: Bachmann says the Tea Party response was not meant to compete in any way with Ryan's speech.
Now to international news.
We're watching another day of violent protests against the government of Egypt. Security forces cracking down hard today.
CNN Senior International Correspondent Ben Wedeman is on the phone now from Cairo.
And Ben, what do things look like now?
BEN WEDEMAN, CNN SR. INTERNATIONAL CORRESPONDENT: Things in this particular area seem calmer. Just about an hour ago, however, about 350 protesters were trying to get up this main artery of Cairo to the Ministry of Information in the main TV building. The police stopped them, and the crowd seems to have sort of withered away.
But earlier in the day we saw some pretty intense clashes between protesters and riot place, because, of course, the Interior Ministry here put out a statement this morning saying that there would be absolutely no tolerance for any sort of gathering or protest whatsoever. And what we've seen is they're putting that policy into effect, using tear gas, rubber bullets, and beating, quite mercilessly, not just protesters, also passersby and, disturbingly, journalists as well.
COSTELLO: Ben, what's the goal here? What do protesters want?
WEDEMAN: Well, the protest yesterday was based around a variety of demands. They want a minimum wage. They want the minister of the interior to be sacked.
But more than anything, more than anything else, everybody seems to agree on one single demand. They want the ouster of President Hosni Mubarak, who has been the head of state here since 1981. People saying we've had enough, we're fed up, we want a change.
But, of course, we haven't heard from President Mubarak. But indications are he isn't about to be leaving town any time soon.
COSTELLO: All right. Ben Wedeman, we'll check back with you later. Thanks so much.
Other global hotspots we're monitoring in Moscow and Beirut.
CNN Senior International Correspondents Nic Robertson and Matthew Chance are in those capitals.
Let's get to Nic first on the day after protests in Lebanon -- Nic.
(BEGIN VIDEOTAPE)
NIC ROBERTSON, CNN SR. INTERNATIONAL CORRESPONDENT: This is where the rioting was taking place yesterday, burning fires in the middle of the road. Today it's traffic. But yesterday, stone- throwing youths facing off with the army. The army still here, present, just off to the side of the road, waiting in case trouble erupts again.
But today is the day where the politicians take the lead. Prime Minister Najib Mikati meeting with outgoing prime minister Saad Hariri, trying to negotiate a political deal.
Hariri's bloc still saying that they won't work with this new prime minister. And it's in the vacuum while he's trying to do that. It could take days, months, perhaps even longer for him to form that government.
It seems that the violence that was witnessed here on Tuesday, that they could return. And that's why the army is just off to the side here, waiting to see what happens.
(END VIDEOTAPE)
(BEGIN VIDEOTAPE)
MATTHEW CHANCE, CNN SR. INTERNATIONAL CORRESPONDENT: I'm Matthew Chance in Moscow.
And it's been an official day of mourning here for the victims of the airport bombing. Prayers are being offered at church services across the Russian capital for the 35 people who were killed in the attack when a suspected suicide bomber detonated explosives in a crowded arrivals terminal of Domodedovo Airport.
There's still been no claim of responsibility for the bombing, but Russia's president, now at the Davos Economic Forum, has vowed retribution. And he's been scathing in his criticism of airport management, firing several officials. "Those who cannot work properly," he said, "should be punished."
(END VIDEOTAPE)
COSTELLO: Matthew Chance in Moscow.
Taking it back home now, not quite the great escape. A handcuffed suspect in Utah slithers his way out of a squad car, onto the interstate. We'll find out what happened next.
(COMMERCIAL BREAK)
COSTELLO: It's a Miami mystery in the key of bizarre. Play along with our "Random Moment of the Day."
Residents along Biscayne Bay want to know who put this grand piano on a sandbar. Somebody online claims it's from the Titanic, but the 650-pound piano sits on the highest point of the sandbar. There's no way it floated there from the north Atlantic.
A more realistic explanation, maybe music producer used the piano to make a video. Beethoven on the bay, anyone?
A musical mystery, today's "Random Moment."
(WEATHER REPORT)
(NEWSBREAK)
COSTELLO: Creating jobs, it's a top priority on Capitol Hill, and in Davos, Switzerland, where CEOs from the world's biggest companies are now huddling. We'll find out who's hiring.
And we're checking all the stories that are trending online today. Jacqui Jeras is at the helm.
What's on the Web?
JACQUI JERAS, CNN CORRESPONDENT: Hey, Carol.
It's all about karma today. Right? What comes around goes around. Something bad happens to you, something good will happen to you right after.
Remember the guy who lost his job because he was wearing a Green Bay Packers tie?
COSTELLO: Yes.
JERAS: Yes. This was at an Illinois car dealership. Well, guess what? John Stone has a new job. How about that?
The competing dealer called him up and offered him a position. The two are supposed to get together and meet later this week. The boss at the Chevy of Homewood says it was ridiculous to fire him and that a good salesman is hard to find.
COSTELLO: So, is the owner of that dealership a Green Bay fan?
JERAS: I don't know. We'll have to ask. But it's in Illinois.
COSTELLO: But it's possible.
JERAS: It's possible. You never know. And I know you're a Green Bay fan.
COSTELLO: Well, no. I'm a Detroit Lion fan, but I'm rooting for Green Baby in the Super Bowl.
JERAS: OK. But you've got to go for Green Bay if the Lions can't win.
COSTELLO: Yes, in our division.
Thank you, Jacqui.
JERAS: You're welcome.
COSTELLO: We'll be back.
(COMMERCIAL BREAK)
COSTELLO: President Obama says the rules of global competition are changing. He says Washington should put its money on innovation if it really wants to create new jobs and put America back to work.
(BEGIN VIDEO CLIP)
OBAMA: We know what it takes to compete for the jobs and industries of our time. We need to out-innovate, out-educate and out- build the rest of the world. We have to make America the best place on earth to do business. We need to take responsibility for our deficit and reform our government.
That's how our people will prosper. That's how we'll win the future.
(END VIDEO CLIP)
COSTELLO: The president singled out Google as one of those cutting-edge companies. Google says it's going on a hiring spree this year. It's the biggest ever. It will add 6,000 new employees worldwide in 2011.
So Google is hiring. So are other big American companies ready to follow suit.
CNN Money's Poppy Harlow is live in Davos, Switzerland, where the World Economic Forum is under way.
And Poppy, I know there are hundreds of CEOs there. What are they telling you? Are they going to hire?
POPPY HARLOW, CNNMONEY.COM: Yes. You know, it's interesting.
You wouldn't expect a place like this, literally a tiny town in the middle of the Swiss Alps, to be where these things are decided. But I can assure you, Carol, all of these CEOs either listened to the State of the Union, which was in the middle of the night here last night, or they read it very closely, because these are the leaders that have to hire.
No longer can stimulus work to create the millions of jobs we need in this country. It can't work along. No longer can the government work alone. You have these private industries.
And we had a clans today to talk to a number of CEOs from the head of Coca-Cola, to technology giant Alcatel-Lucent, also to the head of the U.S. Chamber of Commerce about that issue, jobs, and whether they think this year is really the turnaround year or not for jobs.
Take a listen.
(BEGIN VIDEOTAPE)
BEN VERWAAYEN, CEO, ALCATEL-LUCENT: You hire if you see opportunity. That's why I think opportunity is so important.
Jobs, of course, is the currency for politicians, but also for companies. If you look to what is a healthy environment, cohesive societies in which you can operate and experiment and do new things, job is a currency we need to take seriously.
MUHTAR KENT, CEO, COCA-COLA: We invested, for example, last year $3 billion in the United States in 2010 in our infrastructure, in our brands. That investment invariably leads to job.
KEVIN KELLY, CEO, HEIDRICK & STRUGGLES: Every time I talk to a CEO, it's about yes, we need to add individuals, we need to upgrade our talent, we need to focus on retention.
HARLOW: Do you expect a job pickup, a meaningful one, this year?
KENT: I think we will see an improvement compared to the past 12 months.
NOURIEL ROUBINI, CHAIRMAN, ROUBINI GLOBAL ECONOMICS: I expect that the U.S. is going to create about 150,000 jobs per month this year, but 150,000 is just increasing the labor supply, so it's not going to lead to a significant reduction in the unemployment rate. So unemployment is going to remain a significant problem for the U.S. economy for many years.
KELLY: I would say it's going to be a lot better than 2010. But, you know, we're seeing that trend come in to 2011, so I'm pretty optimistic about this year.
(END VIDEOTAPE)
HARLOW: And, you know, Carol, so that is the overall tone. It's optimism. But it's all relative to last year.
And last year, we were truly in the midst of the crisis. The unemployment situation is still pretty much as bad as it was last year.
So to give you a sense of the numbers here that these men and women, the heads of these companies they lead, they have $2 trillion, with a "T," dollars of cash on hand, money they could use to hire. The president clearly speaking to them last night in his State of the Union. He needs them to hire.
At the same time, Carol, I just finished an interview with Tom Donohue, the head of the Chamber of Commerce, and he said to me, point blank, "We have too much regulation in this country. Health care reform and Wall Street reform is creating uncertainty, and these companies won't hire until we don't have that uncertainty anymore."
So very opposing views for jobs is the focus here.
COSTELLO: But they're sitting on trillions of dollars, Poppy. They're sitting on millions and millions of dollars.
HARLOW: Yes, they are.
COSTELLO: So why are they so nervous? They're doing great.
HARLOW: Well, it's a great question. You're exactly right. There's a number of things.
What they don't know is what their corporate tax rates will be. We heard the president address this last night, saying let's bring the corporate tax rates down without adding to the deficit. That's very difficult to do. Can that be done?
Also, let's think about these companies. Coca-Cola, for example, that's not just a U.S. company, that is a truly global company.
So the question is, why would they hire in United States when they can hire elsewhere for less? It is all about competing on a global platform.
And really, they're asking many executives for the government to give more incentives for them the hire in this country, whether it's tax incentives, whether it's other incentives, Carol. But that's really it. They don't have to hire in the U.S. They can hire anywhere in the world.
COSTELLO: Poppy Harlow, live in Davos, Switzerland.
Thanks.
Economists say we may have turned a corner when it comes to consumer spending. A CNNMoney.com survey found Americans are finally opening their wallets again.
The survey of 27 economists forecasts a four percent jump for the fourth quarter. If that is correct, it will be the strongest improvement in five years.
Analysts say it's a sign consumers are more confident and their jobs are more secure. As one economist put it, though, "The growth isn't a sugar rush. It's protein."
Last fall she told the president she was exhausted defending him all the time. We'll get Velma Hart's opinion now when we discuss the state of the union.
And he's not the final say on what sayeth the lord, but Joel Osteen certainly has the ear of millions of Christians. So CNN's Piers Morgan pushes the renowned evangelist on one of Christianity's most controversial topics.
(BEGIN VIDEO CLIP)
PIERS MORGAN, HOST, "PIERS MORGAN TONIGHT": What is your view? Because it seems to change depending on the interview that I've read or seen? Is homosexuality a sin in your eyes?
JOEL OSTEEN, EVANGELIST: Yes. I've always believed, Piers, the scripture shows that it's a sin. But I'm not one of those that are out there to bash homosexuals and tell them that they're terrible people and all that.
I mean, there are other sins in the bible, too. And I think sometimes the Church -- and I don't mean this critically, but we focus on one issue or two issues. And there's plenty of other ones. So I don't believe homosexuality is God's best for a person's life.
(END VIDEO CLIP)
COSTELLO: Be sure to watch that interview in its entirety, the megachurch pastor and his wife Victoria, on "PIERS MORGAN TONIGHT." That's at 9:00 Eastern on CNN.
(COMMERCIAL BREAK)
COSTELLO: Innovation, education and reforming government, those were key things for President Obama in his State of the Union speech last night.
On the economy and reducing the deficit, the president called for a five-year freeze on non-defense spending. He called for innovation through investment in research and technology. And on health care, he defended his he form law but said he is open to improving, but not repealing it.
We want to take the politics out of all this and talk to people whose lives will be affected by the president's policies. One is an Obama supporter who earlier expressed frustration over the president's economic policies.
(BEGIN VIDEO CLIP)
VELMA HART, VOTER: I'm exhausted of defending you, defending your administration, defending the mantle of change that I voted for, and deeply disappointed with where we are right now.
(END VIDEO CLIP)
COSTELLO: Velma Hart is also an Army veteran. She joins us now from Washington.
And Drew Greenblatt is a business owner, a small business owner, we've talked with before. He's president of Marlin Steel in Baltimore, and he's actually now joining us now from Miami.
Before we start talking to you guys, the president has started speaking in Wisconsin, where he's visiting three small businesses. Let's listen to a bit of what he has to say and then get your reaction.
(JOINED IN PROGRESS)
OBAMA: But even if it didn't go the way that I wanted, I'm glad to see that one of the greatest rivalries in sports is still there, and we will get you next year.
(LAUGHTER)
OBAMA: I'm just letting you know. Congratulations. In the spirit of sportsmanship, I wish you good luck in the Super Bowl.
Now, last night I gave this little speech that I have to do once in a while, and what I said was in this new and challenging time, when America is facing tougher competition from countries around the world than ever before, we've got to up our game. We're going to need to go all in. We're going to need to get serious about winning the future.
Now, the words of the man that the Super Bowl trophy is named after has something to say about winning. He said, "There is no room for second place. There's only one place in my game, and that's first place." That's the kind of determination to win that America needs to show right now. That's what we need to show. We need to win the future.
(APPLAUSE)
OBAMA: And that means making sure all of our kids are getting the best education possible, not only because we need to give every child a chance to fulfill her God-given potential, but because we need to make sure American workers can go head to head with workers in any country on earth. We've got to be more productive, more capable, more skilled than any workers on earth.
It means making sure our infrastructure can meet the demands of the 21st century. Rebuilding our crumbling roads and bridges, connecting America and the American people with high-speed rail and Internet.
It means doing what we try to do in our own lives, by taking responsibility for our deficits, by cutting wasteful, excessive spending wherever we find it. And it means reforming the way our government does business so it's efficient and responsive to the needs of Americans instead of being responsive to the needs of the lobbyists.
Now, as important as these urgent priorities are, we've also got to make sure that the breakthroughs, the technological breakthroughs that come to define the 21st century, that they take root right here in America. We've got to lead the world in innovation. I spent a lot of time talking about this last night. That's how we'll create the jobs of the future. That's how we're going to build the industries of the future, because we make smarter products using better technology than anybody else. That's how we'll win the future in the 21st century.
(APPLAUSE)
OBAMA: So, I came here to Manitowoc to glimpse that future. It was right here almost 50 years ago -- I couldn't have made this up. It wasn't until I was on my way here that I found out that a chunk of metal came crashing down to the earth right here. I promise you, we did not plan this originally. The press won't believe me. It turns out that it was part of a satellite called Sputnik that landed right here and that set the space race into motion.
So, I want to say to you today that it is here, more than 50 years later, that the race for the 21st century will be won. This is a place --
(APPLAUSE)
OBAMA: This is a place that's been doing what America has always done throughout its history. You've reinvented yourself.
Back in 2003, one of the largest employers around, Miro, moved their operations abroad. And that must have been a really tough time for this town and this community. Jobs were lost, families were hurting, community was shaken up. And I know from Illinois, my home state, when a town loses its major employer, it is hard to bounce back. A lot of the young people start moving away, looking for opportunities someplace else.
But you fast forward to 2011, and new manufacturing plants and new hope are now taking root. Part of the reason the unemployment rate here is four points lower than it was at the beginning of last year. That's good news.
(APPLAUSE)
COSTELLO: All right. We'll step away from the president's remarks as he continues to talk in Wisconsin. We'll take a short break and we'll be back with more. Stay with us.
(COMMERCIAL BREAK)
COSTELLO: We've been talking about the State of the Union, and we wanted to take politics out of it and talk to people whose lives will be affected by the president's policies, the policies he spelled out last night. One is an Obama supporter who earlier expressed frustration over the president's economic policies. Velma Hart is also an Army veteran. She joins us live from Washington.
And Drew Greenblatt is a small business owner that we've talked with before. He is the president of Marlin Steel in Baltimore. And he's actually joining us live today from Miami. Thanks to you both.
VELMA HART, OBAMA SUPPORTER: You're welcome. Pleasure to be here, Carol.
DREW GREENBLATT, SMALL BUSINESS OWNER: Thank you. COSTELLO: Oh, I'm excited to talk to you both!
Velma, I know you don't want to hear about this anymore because you've been known as the woman who stood up at a town hall meeting back in September and said you were exhausted defending President Obama, but that's how the country knows you, unfortunately.
But we're not going to center on that issue. I want to know how you feel about what the president said last night. Are you more encouraged by what you heard?
HART: Let me first go back to the exhausted comment and just speak to that for a second. What I want you to understand about that is there was a frustration there. But the fact of the matter is, what has been more disappointing to me is the focus on the sound bite rather than the substance of my question.
My question was about exactly what the president was talking about yesterday and today in Wisconsin, about the change that is needed to advance this country. That's what my question was about, but you never would know it based on the sound bite the media yes is running. That's disappointing to me is because what happens is people don't focus on the complete question. They only hear the sound bite.
But getting back to your question, absolutely. I think the president's comments were spot on last night. I think he was reserved. I think he was presidential. I think he talked about what we all can do, each of us, Congress, the White House, us as American citizens can all do to contribute to advancing this country. Not just from a jobs perspective, but from an innovation perspective. For moving the country forward to the leader -- and in fact the leader it's always been in the world. I think he made those points very succinctly.
COSTELLO: You're still -- are you out after job right now, Velma?
HART: Yes.
COSTELLO: So, what in the president's speech gave you the hope that you will find a job soon?
HART: The issue for me is not my job. The issue for me is this nation. Because if he focuses on the nation, if Congress does their job and focuses on this nation, I'll find a job because things will get better for all of us.
To talk about a single person to me seems to be a waste of time. I'm just one cog in the wheel of American people who want this, our legislative leaders, to lead this country in a definitive manner, to make decisions that are going to count for us, and to make the change happen that they've all been talking about for the last 24 hours.
Do that thing, I'll find a job. All of us will find a job.
COSTELLO: Oh, I hope so. Drew Greenblatt, I want to get your perspective as well. You're a small business owner. What in the president's speech struck you?
GREENBLATT: Well, I'm pleased, I'm delighted that he is pushing hard on getting America competitive. Because if we're competitive, we will grow, we will prosper, we'll hire people. That's great for our country.
COSTELLO: So, when he talks, Drew, about innovation, what does he mean from a small business person's perspective?
GREENBLATT: Well, we have to make it so that when you create something great, that it's obvious that you have to build it here in America. And he has to create a culture, an ecosystem here in our country so that you build factories in America, in Maryland, in Baltimore, and you don't build factories in Shanghai. Because you just make more money by putting the factory in America.
So, we have to create that kind of system so that we're so competitive, we're so cutting edge, that it makes a lot of sense financially to put the factories here.
HART: Here, here, Drew. That was a great point.
COSTELLO: It was a great point. I want to put you on the spot, Drew. Because what specifically in the president's speech made you think that our lawmakers and the president are going -- it's going to be possible to create this kind of environment? He talked about free trade a little bit, although he didn't mention the term. But what else made you think that this would be possible?
GREENBLATT: Well, I think he talked about restructuring the corporate tax code, for example. Canada now has taxes half what our federal corporate taxes are. We're paying 35 percent at the federal level. Canada is half. So, if he could restructure our tax schedules, it will make it more competitive to build that factory in the USA and not build the factory in Canada.
We want American factories to build in the best place possible which is our country. Not in China, not in Canada, not in Mexico. I'm hoping that President Obama follows through and executes and cuts our taxes so that we can be a very competitive society. We want to build things here in the USA because then you're going to grow jobs here in the USA.
So, I think he's on to something. He's just got to follow through now.
COSTELLO: Velma, I know the president --
HART: And he can't follow through alone, Drew. That's the important point. He cannot follow through alone.
GREENBLATT: Amen.
HART: I'm sorry, carol.
COSTELLO: No, no, Velma, I'm with you here. I know the president's remarks about education struck you last night. I also wanted, Velma, to ask you about Democrats and Republicans sitting together and if that was a big deal to you?
HART: You know, I certainly understand the symbolic nature what -- and how it's tied to the Arizona shooting, the importance of that symbolism in the hall. Absolutely. I get that.
But if it's all about show last night and no continuation of more restrained and conservative behavior tomorrow or today, then I don't think it did the job.
I think that what we as American people want to talk about is moving this country forward. Where we sit to do that is incidental. What is more important is that our hearts are in the right place, we understand and have the information to make good decisions and that those decisions can, in fact, have the direct impact on the American way of living.
I absolutely echo -- Drew, I'm going to be a cheerleader for you. I absolutely echo everything he said about business. We have to make it palatable for people to do business in this country. We have to make it a must-have so that people will bring those jobs, will bring that expertise to this country. It's been here, it's just been exported.
GREENBLATT: Carol.
COSTELLO: Oh, yes, it's been here. It is here.
GREENBLATT: Carol, you know the president --
COSTELLO: I know we could go on forever with this conversation, but I have to wrap it up. Thanks to both of you for joining me and taking the politics out of this thing and talking like real people because, you know, the --
HART: Thank you, Carol, for having us.
COSTELLO: Oh, thank you so much, Velma Heart (ph) and Drew Greenblad (ph).
GREENBLATT: Thank you.
Down and dirty. We've got a list of the dirtiest hotels in the country. Find out where you may not want to book your next vacation.
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COSTELLO: President Obama is on the road selling his State of the Union message. So how did the president do last night? Our Wolf Blitzer, host of "The Situation Room" and part of "The Best Political Team on Television," live in from New York.
What's crossing right now, Wolf?
WOLF BLITZER, HOST, "THE SITUATION ROOM": Well, a lot of reaction coming in to the president's major speech, the State of the Union address. He's following up, as you were showing live, with another speech today in Wisconsin that potentially could be a battleground state in his bid to seek re-election next year. So we're watching that speech closely. Normally, after a major State of the Union speech, the president -- any president goes out into the heartland to address -- to fill in some of the blanks on some of the issues that were raced in the State of the Union speech.
There were a lot of themes, some specific. Not as many specifics necessarily the complete laundry list as usual, but some specifics. And, of course, Democrats and liberals, for the most part, are praising the president. Although some on the liberal side don't think he's going far enough and spending enough to create the kind of jobs to improve the economy. The conservatives and Republicans are critical.
We also heard, as you know, not just one but two responses. One from Paul Ryan, the Wisconsin Republican, who gave the official GOP response, and the other one from Michele Bachmann of the -- a Republican but speaking on behalf of the Tea Party Express.
What's crossing the CNN Political Ticker right now, she's going back to Iowa next month. She's been toying with the idea of seeking the Republican presidential nomination. She has now agreed to speak at the March 23rd meeting of the network of Iowa Christian Home Educators. That's an evangelical group in Iowa. And they issued a statement saying, "as a" -- a Bachmann spokesman, I should say, issued a statement saying, "as a mother of five and foster mother to 23, as well as someone who home schooled her children, Congresswoman Bachmann is a strong supporter of home schooling and is looking forward to speaking to the group in Iowa."
She was just there, by the way, the other day in Iowa. So that's fueling speculation she may throw her hat in the ring. A lot of people think that --
COSTELLO: Well, Wolf, can I ask you --
BLITZER: If Sarah Palin doesn't run, she probably will run for that Republican nomination. But we'll see first if Sarah Palin is going to run. We'll then see if Michele Bachmann decides to run.
You were going to say, Carol?
COSTELLO: I just wondered, Wolf, you know, does Michele Bachmann have wide support out there? I know she's a favorite of the Tea Party, but does she possibly have a chance to have a successful run for president?
BLITZER: You know, you never know at this point. You know, when President Obama was thinking of running for the Democratic presidential nomination, he was in the low single digits and all of a sudden he emerged and he took off. So, you know, you can't rule anything in, you can't rule anything out. Politics, as you know, is a very, very strange business. But there's no doubt that within the Tea Party, she's one of the founders of the Tea Party caucus in the House of Representatives. Within that conservative -- very conservative base of the Republican Party, she's very popular. She's got a following. And that's obvious. She's got a lot of critics. There's no doubt about that as well.
I just want to note that later today in "The Situation Room," Carol, and I know you and our viewers will be interested, we have two other darlings of the Tea Party movement who will be joining us, Rand Paul, the new senator from Kentucky, and Jim DeMint, the senator from South Carolina. We'll also get the very liberal perspective from Bernie Sanders, the independent senator from Vermont, who caucuses with the Democrats. So we're going to get a lot of reaction.
And one story we're not going to go away from, totally different but very important right now, what's happening in Egypt. This is a story that could have enormous strategic, economic, military ramifications for the United States. So we'll be all over that as well.
COSTELLO: All right. We'll be watching at 5:00 Eastern. Thanks so much, Wolf.
For the latest political news, go to cnnpolitics.com.
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COSTELLO: It's the top 10 list of hotels you want to avoid. It's the dirtiest hotels in America. And we've got the number one offender, not Jacqui Jeras --
JACQUI JERAS, CNN CORRESPONDENT: Well, thank goodness.
COSTELLO: (INAUDIBLE) with some -- oh, this is disgusting.
JERAS: It really is. It's one of those stories that you read about and you just kind of do that little chill, don't you?
COSTELLO: Yes.
JERAS: Yes. Well, Trip Adviser revealed the list. And the number one spot goes to, drum roll, the Grand Resort Hotel in Pigeon Forge, Tennessee. Out of 224 reviews to Trip Adviser, 161 of them were ranking this hotel as just being terrible. One Trip Adviser comment said, "if you are looking for a hotel with chewing tobacco spit oozing down the halls and corridors, spiders actively making webs in every corner of your room, carpeting so greasy and dirty you wouldn't want to sit your luggage down - let alone walk around barefoot" -- which I never do in hotels by the way -- "by all means stay at The Grand Resort."
Well, the Grand Resort Hotel's CEO says changes are coming.
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NICK CHANEY, PRES. & CEO, THE GRAND RESORT: And we're taking this very seriously. And we are going to have this back to being what it was at one time, The Grand Hotel and Convention Center.
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JERAS: And also on that list, Jack London Inn in Oakland, California, The Desert Inn Resort in Daytona Beach, Florida, Hotel Carter in New York City, and the Polynesian Beach & Golf Resort, which sounds so nice --
COSTELLO: Yes.
JERAS: In Myrtle Beach, South Carolina.
That's the list. Bring your hand sanitizer with you.
Carol Costello will be right back.
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STEPHANIE ELAM, CNN BUSINESS CORRESPONDENT: Welcome to "The Help Desk," where we get answers to your financial questions. Joining me this hour, Ryan Mack. He's the president of Optimum Capital Management. And Gary Schatsky is the president of objectiveadvice.com. Glad you guys are here.
Our first question comes from Tony. He's in Hawaii. And he writes in, "is it best to use a debit card or credit card? I am 22 years old and trying to build credit but I had to bring my mom to the bank and she had to open an account for me."
At 22 years old, I think you're trying to be a little bit more independent. What do you say, Ryan?
RYAN MACK, PRESIDENT, OPTIMUM CAPITAL MANAGEMENT: Well, the debit card does not have any affiliation with your credit. It's the same as using cash the credit does. So he just opened up a bank account. Maybe he wants to check out that bank and see if they have a good secured card to use. He wants to know where he stands right now. With individuals who are younger and they have a lot of problems establishing credit, go to annualcreditreport.com, check out your -- or go to myfico.com as well, check out your score. Start to doing his thing (ph), paying your bills on time, making sure that you have utilities in your name that you're paying on time as well. It helps to establish credit history. You're doing all those things and help establishing credit history.
ELAM: I love the fact that he's thinking about, though, at 22.
MACK: Exactly.
ELAM: That's great.
MACK: That's great.
ELAM: All right. Our next question is from Dan in Pennsylvania. He writes in, "I have some stock in my personal brokerage account and have not made any trades in 2010. Do I need to report anything in my 2010 tax return?"
Gary.
GARY SCHATSKY, PRESIDENT, OBJECTIVEADVICE.COM: Well, I assume the question is, do I have to report anything from that brokerage account. Because if you have other things, you have to report it. If you don't have trades, you don't have to report the trades. But, hopefully, there were some dividends, some interest, something in the account, that'll need to get reported, and that should be reflected on your return, in addition to any other wage income you might have had.
ELAM: Yes, so that's what you -- you still have to say something about it probably.
SCHATSKY: That you do.
ELAM: All right. Ryan and Gary, thanks so much. If you have a question that you would like for us to take a look at, we are happy to help you out. Send us an e-mail any time to CNNhelpdesk@cnn.com.
COSTELLO: We will. Thank you, Stephanie. CNN NEWSROOM continues, right now, with Ali Velshi.
