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Mitt Romney's Final Push as Caucuses Near; New York City Prepares for New Year's Party; Stopping Celebratory Gunfire; Ron Paul's Impact On The Race; Why The Iowa Caucuses Matter; Traders Reflect on 2011, 2012; Gun Sales Skyrocket
Aired December 30, 2011 - 12:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
FREDRICKA WHITFIELD, CNN ANCHOR: Top of the hour right now. Hello again, everyone. I'm Fredricka Whitfield.
Let's get you up to speed.
The race to the Iowa caucuses heading into the home stretch. The first votes of the 2012 presidential race just four days away now.
A new poll shows that a CNN survey found earlier this week Mitt Romney is in first place, neck and neck with Ron Paul, in the second spot. A re-energized Rick Santorum is in third. More on the race straight ahead, live from Iowa.
(CHANTING)
WHITFIELD: And crowds defied danger and took to the streets in Syria today. Opposition groups called the rallies the "Crawl to Freedom Square." They urged demonstrators to defy sniper attacks to make their way to public gathering places. The opposition says 32 people were killed by security forces today.
The uprising in Syria has prompted some soldiers to defect.
(BEGIN VIDEO CLIP)
ABDEL RAZZAQ TLAS, DEFECTED FROM SYRIAN ARMY (through translator): We got orders in the army that went against my oath as a soldier. I had sworn to protect civilians, but when I saw what the government forces were doing to the people, I defected.
(END VIDEO CLIP)
WHITFIELD: North Korea says there will be no change in policy in the secretive country despite the death of Kim Jong-il, now replaced by his son. The state-run news agency put out a statement saying North Koreans are insulted South Korea didn't allow more people to attend Kim's funeral. It says the tears they shed will turn into a "roar of revenge."
And police in Egypt stormed the offices of 10 human rights and pro- democracy groups, taking documents, computers, and other electronics. The Egyptian general prosecutor's office says it's part of an illegal funding probe. The U.S. State Department condemned the raids. (BEGIN VIDEO CLIP)
VICTORIA NULAND, STATE DEPT. SPOKESWOMAN: We call on the Egyptian government to immediately end the harassment of NGOs.
(END VIDEO CLIP)
WHITFIELD: And President Barack Obama is expected to ask for a $1.2 trillion increase in the debt ceiling later on today. Remember all the drama over his last request? Well, not so much this time. Congress will have 15 days to refuse the president's request, but since lawmakers are in recess until January 17th, it will likely go through without much controversy.
New York police are preparing for a record crowd in Times Square tomorrow night. Police Commissioner Ray Kelly says he plans to deploy thousands of officers to keep the estimated one million people safe.
(BEGIN VIDEO CLIP)
RAY KELLY, NEW YORK POLICE COMMISSIONER: You'll see mounted police officers. Our helicopters will be up in the air checking a 200-block area around Times Square. Everyone who enters the area will have to go through a magnetometer check. Those entry points are along 6th Avenue and 8th Avenue. There's 16 of them.
(END VIDEO CLIP)
WHITFIELD: And that mystery lottery ticket in Iowa has been turned in just two hours before it was set to expire The unidentified winner sent a representative to claim the $16.5 million jackpot. Lottery officials hope to find out why it took the winner a year to come forward.
Now just four days to go until the first votes of the 2012 presidential race, and the candidates are making a final push for support in the Iowa caucuses. Mitt Romney and his team may be feeling more confident after a second poll showed him leading the pack.
Jim Acosta joins us live now from Des Moines.
All right. So, Jim, Romney started slow in Iowa, but he is campaigning hard in the home stretch. And this after not spending a whole lot of time in Iowa.
JIM ACOSTA, CNN CORRESPONDENT: That's right. He is going all in, in Iowa, Fredricka, after spending basically very little time in this state. He was only on his eighth trip this week.
Mitt Romney is really kicking it into high gear, trying to win these Iowa caucuses, because it would basically be a near knockout blow to the rest of the GOP field. If he were to win in Iowa, then go on and win in New Hampshire, he would be very hard to stop.
As you mentioned, there's that new NBC News survey that just came out showing him statistically tied with Ron Paul, but in the lead. That is basically what our CNN/"TIME" magazine/ORC poll showed earlier this week.
And how has Mitt Romney been able to pull this off? Well, basically, the rest of the field has been beating each other up, while he's been able to focus on President Obama. It's something we heard earlier this morning as he was campaigning with his top surrogate, New Jersey Governor Chris Christie, in West Des Moines.
Mitt Romney went right after the president.
(BEGIN VIDEO CLIP)
MITT ROMNEY (R), PRESIDENTIAL CANDIDATE: The other day President Obama said, you know, "It could be worse." That was his line, "It could be worse." Can you imagine hearing that from a pessimistic president, "It could be worse"? That goes down with Marie Antoinette, "Let them eat cake."
He's in Hawaii right now. We're out in the cold and the rain and the wind because we care about America. He's out there -- he just finished his 90th round of golf.
(END VIDEO CLIP)
ACOSTA: Now, Chris Christie probably had the line of the day. He said to the crowd here in Iowa that if they don't deliver a victory for Mitt Romney, he's going to come back Jersey-style. So it was sort of a lighthearted threat from the New Jersey governor. And I think the crowd took him pretty seriously.
But heading into the final stretch here, the last days before the Iowa caucuses, Mitt Romney's going to be spending a lot of time here. He's just going back briefly today for one or two stops up in New Hampshire, then he's coming back to Des Moines, back to Iowa this weekend.
He's going to be here for basically the final stretch of these days before the Iowa caucuses. Then he's going to spend the night on caucus night in Des Moines before doing some TV interviews the following morning, after the returns have come in. That is a sign that the former Massachusetts governor is very confident right now -- Fredricka.
WHITFIELD: So, Jim, very intriguing here. Chris Christie, New Jersey governor who received a whole lot of pressure and encouragement to run himself, and then he said no.
ACOSTA: That's right.
WHITFIELD: But he is on the campaign trail, instead promoting Mitt Romney. What does he bring to the campaign? And how comfortable does he seem to be trying to push for another candidate on the presidential campaign trail?
ACOSTA: Yes. You know, he is clearly one of the most popular figures inside the Republican Party right now. There's no doubt about it. I mean, as you said just a few moments ago, there was a lot of pressure to get Chris Christie to jump into this race, and not just by Republican activists, conservative activists. There were big donors who wanted Chris Christie to get into this race.
WHITFIELD: Right.
ACOSTA: So, Chris Christie, campaigning with Mitt Romney out on the campaign trail, is not going to hurt Mitt Romney when it comes to raising money to run in this campaign. And the other thing that it does, Fredricka, is it gets a lot of people talking about a Mitt Romney/Chris Christie ticket in 2012.
Christie was asked about this possibility in recent days. He has said, "Look, this is something I would actually look at." So he did not close the door on this, even though at that press conference that you remember earlier this year he said, wait a minute, I'm not thinking about 2012, I'm focused on being the governor of New Jersey.
WHITFIELD: Right.
ACOSTA: But the other day he did leave the door open. So folks are going to be talking about this, and because Christie is so popular, that doesn't hurt Mitt Romney.
WHITFIELD: It doesn't hurt at all.
All right. Thanks so much, Jim Acosta. Appreciate that. We'll check back with you.
ACOSTA: You bet.
WHITFIELD: And of course this weekend, your chance to see the Republican candidates for president offering their closing arguments, so to speak, uninterrupted and in their own words. Watch "The Contenders 2012" on CNN this Saturday and Sunday afternoon, beginning at 2:00 Eastern Time.
And this reminder -- tune in next week for the country's first vote in the presidential race, "America's Choice 2012." Live coverage of the Iowa caucuses beginning Tuesday night, January 3rd, 7:00 Eastern Time.
All right. Now it's your turn to "Talk Back." Whether political, economic or personal, what are your hopes for 2012?
At the stroke of midnight tomorrow night, time to begin a new outlook on a new year. We want to hear from you as you ring in the new year.
What are your hopes for 2012? You can leave your post on my Facebook page. It's Facebook.com/FredrickaWhitfieldCNN. We'll air some of your thoughts later on in the hour.
Meantime, here's a rundown of some of the stories we're covering over this next hour.
First, they're getting ready to drop the ball in Times Square. We'll take you there live.
Then, the tragedies behind shooting off guns on New Year's Eve.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: It took my only child away.
UNIDENTIFIED MALE: Do you think people realize what they're doing?
UNIDENTIFIED FEMALE: That person probably didn't know what he did.
(END VIDEO CLIP)
WHITFIELD: And the census says half of Americans are considered low- income or poor. We'll talk to some families who went from middle class to relying on food pantries.
Also, Ron Paul is making a decent showing in Iowa, but if he gets the Republican nomination, would any of the presidential candidates actually vote for him?
And later, they're locking and loading around the country, how an increase in gun sales is tied to the presidential race.
(COMMERCIAL BREAK)
WHITFIELD: All right. As we mentioned, just four days away from the Iowa caucuses, and a rather rare moment on the campaign trail just witnessed moments ago.
Republican candidate Newt Gingrich on the campaign trail in Des Moines. He was actually the centerpiece of kind of a coffee talk with moms there, and he was asked about his mother Kit, who died back in 2003, and it really ended up being a rather tender moment for the Republican candidate.
Let's take a look at that moment when he started to talk about his mom and how she suffered from depression and other health matters.
(BEGIN VIDEO CLIP)
NEWT GINGRICH (R), PRESIDENTIAL CANDIDATE: And my whole emphasis on brain science comes indirectly from dealing with -- see? But dealing with the real problems of real people in my family. And so it's not a theory. It's, in fact, you know, my mother.
(APPLAUSE)
GINGRICH: I do policy much easier than I do personal.
UNIDENTIFIED MALE: And they're going to be mad at me. But if she were here today, what would you tell her?
GINGRICH: If she were here today?
UNIDENTIFIED MALE: Yes. GINGRICH: Well, she'd be talking to all these people.
(END VIDEO CLIP)
WHITFIELD: All right. A real tender moment there for Newt Gingrich talking about his mom, Kit, who died back in 2003. And he was kind of revealing himself there before a large crowd of moms at that coffee talk there in Des Moines. Again, just four days away from that Iowa caucus.
All right. Meantime, just a little over 24 hours away now from the big ball to drop in New York's Times Square, saying good-bye to 2011. "The New York Times" (sic) already getting ready for the annual New Year's Eve party, where you and a million of your closest friends will be welcoming in 2012.
Workers there are putting final touches on the ball and making sure the lights and confetti machines are ready to go off. In fact, they did kind of a dry rehearsal, a dry run of that confetti.
Susan Candiotti joining us now from Times Square in the middle of this all. And still a lot of debris of that dress rehearsal, right, on the ground?
SUSAN CANDIOTTI, CNN NATIONAL CORRESPONDENT: Oh, sure. Well, we're probably the ones causing the debris, Fred.
Here, I'll show you. We've got the glasses and we have our own confetti. We got this from organizers and we saved it just for you.
Also, your timing is perfect. Look up behind us.
WHITFIELD: What's happening?
CANDIOTTI: They just brought the ball up from the bottom to the top. Obviously, they're testing it out. The beautiful ball, made of Waterford crystals. You're getting a preview. They're slowly dropping the ball right now.
WHITFIELD: Oh, wow.
CANDIOTTI: And, you know, that's a tradition that goes back to 1907. At that time, the ball was made of iron and wood. Not so much now. It looks a lot different, doesn't it?
WHITFIELD: Yes.
CANDIOTTI: Part of many preparations going on right now, Fred. They've got the stage set up here, right over here. We've got -- Lady Gaga will be performing, Justin Bieber. And, of course, not performing, but our own Anderson Cooper and Kathy Griffin will be right up there on a corner of the stage as well broadcasting for CNN -- Fred.
WHITFIELD: Well, they'll kind of be performing. They're going to keep us all amused. We know that's going to happen. CANDIOTTI: In a manner of speaking, that's right.
WHITFIELD: Yes. With so many people, hundreds of thousands who will be descending upon Times Square there, let's talk about that very serious subject of security and how the city is preparing to keep everyone safe.
CANDIOTTI: Because of all the people that will be here, of course. We're in the middle of where one of the pens will be.
It covers a 10-block span. And there will be people behind barricades here, as we've seen every year, a billion people watching this on television. So, yes, the eyes of the world will be on us. So security is very important.
And, in fact, the commissioner of police here, Ray Kelly, told me just yesterday that there is no current security threat, but clearly New York is always regarded, he says, as a primary target, and so they are ready. They will have more than 500 cameras trained on this area. There will be checkpoints at 16 points up and down the entrances into Times Square.
Everyone will have to pass through a metal detector. And if you have come into the barricades here, you can't go out and come back in without going through security all over again. And good luck with that -- Fred.
WHITFIELD: Yes, good luck on much movement anyway, because everyone's going to be sandwiched up against one another.
They know they're going to be staying put for hours. So once you're there, you're there.
CANDIOTTI: That's right.
WHITFIELD: All right. Susan Candiotti, thanks so much.
And, of course, if you're not going to be there physically, you can be by way of television. Of course you can tune in right here on CNN starting at 7:00 Eastern Time for Anderson Cooper's big celebration with all the stars, and Kathy Griffin there from New York's Times Square.
So, what goes up must come down. If that object is a bullet, the outcome, of course, can be deadly. Around New Year's we hear a lot about celebratory gunfire and the damage that it does.
George Howell shows us what one mother is doing to stop the shooting.
(BEGIN VIDEOTAPE)
UNIDENTIFIED MALE: I see sparks. I see the sparks.
GEORGE HOWELL, CNN CORRESPONDENT (voice-over): It's a dangerous tradition that plays out across the country each year with deadly consequences -- NATALEE PETERS, SON KILLED BY CELEBRATORY FIRE: We were sitting exactly over here, on this right-hand side, exactly where that bucket is. That's where both of us were sitting, next to each other.
HOWELL: -- something Natalee Peters knows all too well since her son was killed two years ago inside this church at a New Year's watch party.
(on camera): You can still see it.
PETERS: Yes, right there.
HOWELL: When you look up there, you can still see --
PETERS: It pierced the roof.
HOWELL: That's where it came down?
PETERS: Yes. So I didn't really know what happened, so I picked him up because he was bleeding so much. And then others were saying it was a bullet.
HOWELL (voice-over): The victim of celebratory gunfire. A stray bullet struck Marquel Peters in the head. His mother may never know who fired the fatal shot, but the tragedy has sparked a movement. Officials are asking people to take Marquel's Pledge online, a promise not to fire off weapons.
(on camera): Has Marquel's Pledge made a difference in DeKalb County when it comes to celebrating gunfire?
BURRELL ELLIS, CEO, DEKALB COUNTY, GEORGIA: Well, I think that we can make headway and slow it down. We saw a 47 percent decline in celebratory gunfire from one year to the next as a result of our awareness campaign.
HOWELL (voice-over): Many other cities are taking similar stands. From Los Angeles to Birmingham, Alabama, police are using technology called Shot Spotter, microphones placed in neighborhoods that can capture the sound of gunfire and pinpoint its origin. And in Miami, city officials are promoting a campaign called One Bullet Kills the Party to prevent death and injuries seen in recent years.
AUDREY EDMUNDSON, MIAMI-DADE COUNTY COMMISSIONER: When you hear the gunshots, when you see someone out there this holiday season, when you see them out there celebrating with gunfire, please, stop, pick up the phone, dial 911.
HOWELL (on camera): Whether people don't think about it, or if they don't realize it at the time, you fire a bullet in the air, it can travel great lengths, and it must come down somewhere. And in this case, two years ago it came down through the roof of this church and changed a family's life forever.
PETERS: It took my only child away.
HOWELL: Do you think people realize what they're doing?
PETERS: That person probably didn't know what he did, but he probably didn't know what happened.
(END VIDEOTAPE)
WHITFIELD: Heartbreaking.
George Howell with us now.
So, let's talk specifically about Georgia and what legislation or protections are in place so that this sort of thing doesn't continue to get out of hand.
HOWELL: Well, right now it's a misdemeanor in Georgia. You know, you get caught, you pay a fine. You could spend some time in jail, but Natalee Peters, you can understand with what she went through, just not satisfied with that.
She wants to see this become a felony if you're caught, with more jail time attached. She is talking to lawmakers and getting some traction on the idea of making this a felony.
WHITFIELD: Because there really is this kind of common, I guess, sense or feeling in many communities that it's OK. It is just something that's acceptable. It is something that people do. And --
HOWELL: And I've seen it.
WHITFIELD: -- there really isn't any discouragement.
HOWELL: You see people. You know, I worked at WSB traveling around on New Year's, covering stories.
WHITFIELD: Here in Atlanta.
HOWELL: Yes, right here in Atlanta. And on this night, that you would see people shooting bullets into the air -- you'd hear it, rather. It's something that happens in neighborhoods across the country. So this is an effort here in Georgia to at least try to stop it.
WHITFIELD: All right. George Howell, thanks so much.
All right. We also know this these days -- the middle class is shrinking. But did you know almost half of all Americans are considered low income or poor? That's 146 million people.
Hear from two mothers who went from having great homes, comfortable homes, and great jobs, to eating at food pantries.
(COMMERCIAL BREAK)
WHITFIELD: All right. The recession officially ended long ago, but tell that to the 146 million Americans now considered either low income or in poverty. The Census Bureau says 97 million Americans are in the low-income category right now. Another 49 million fall below the poverty line.
Poppy Harlow met up with two families to hear about their struggles, and they are the new faces of the poor.
(BEGIN VIDEOTAPE)
UNIDENTIFIED FEMALE: It's a fight every day.
POPPY HARLOW, CNN CORRESPONDENT: A fight every day?
UNIDENTIFIED FEMALE: Every day.
HARLOW (voice-over): They're stuck in the middle, not living in poverty, but not making it either. Many too ashamed to show their face.
We met this young mother at a New Jersey food pantry she used to donate to. But today, she came for help.
(on camera): Why did I meet you here today?
UNIDENTIFIED FEMALE: Five kids, one bag of chicken left in the house, and it's only four pieces in there.
HARLOW (voice-over): A mother of three and helping take care of two other children. Her job, she says, a victim of downsizing.
But it wasn't always this way.
(on camera): 2009, for you, life was good.
UNIDENTIFIED FEMALE: It was great. You know, three cars, house, kids.
HARLOW (voice-over): A similar story for this mother an her daughter.
(on camera): Did you ever think that you would be living with your three kids in a shelter?
UNIDENTIFIED FEMALE: No. I never thought in a million years that I would be at this point this bad. I was working. The money that I was making, I was able to pay my bills until I got laid off from my job.
HARLOW (voice-over): She was bringing in between $40,000 and $50,000 a year. Here in Bergen County, New Jersey, the median household income is more than $77,000 a year, but the cost of living is steep. They were evicted in December.
(on camera): And where do you sleep?
UNIDENTIFIED FEMALE: Well, we transition from church to church.
HARLOW: Do your friends know that you're living in a shelter?
UNIDENTIFIED FEMALE: No. I just feel like they might look down on me or, like, feel pity for me. I don't want that. HARLOW (voice-over): Nearly one in two Americans is now living on the lower end of the income scale. For a family of four, that's less than $45,000 a year.
The recession may be over, but it doesn't feel that way.
UNIDENTIFIED FEMALE: We're seeing a tremendous increase, and much of that increase has to do with people that never, ever thought that they were going to need to come to an emergency center.
HARLOW (on camera): People that were middle class?
UNIDENTIFIED FEMALE: People that were middle class, people that were donors.
KATE DUGGAN, EXECUTIVE DIRECTOR, FAMILY PROMISE OF BERGEN COUNTY: I think what we're seeing is that the middle class is going away.
HARLOW (voice-over): Kate Duggan runs a local nonprofit and is working to help get this family back on their feet.
DUGGAN: Families that do have educations and had decent jobs are now being laid off.
HARLOW (on camera): These are the families that are stuck in the middle, aren't they?
DUGGAN: Exactly. They fall through the cracks.
HARLOW: And there's a lot of them.
DUGGAN: There are a lot of them. But that's the frightening part.
UNIDENTIFIED FEMALE: I never thought I would be here. I don't know why I have to go through this.
(END VIDEOTAPE)
HARLOW: All right. Poppy with us now.
So why is it that so many families are in worse shape this year?
HARLOW: Right. I mean, we hear the recession is over and the economy is slowly supposed to be getting better. I think the stark reality, Fredricka, is that it's not getting better for these people.
A number of reasons, mainly because if they have a job, it's likely that their wages are stagnated or have fallen dramatically. That's what we've seen in this country not only the last three years, but for decades.
And also, the cost of living is going so much higher -- the cost of food, the cost of energy, the cost of rent, for example, if you've lost your home and you are trying to rent. And that's what happened to these families and it's what happened to so many people that I spoke with on the phone, that I met in person out in the field. A lot of them just would not go on camera, would not share their stories. These families were brave enough to do that, but this is not just two families. This is really this growing tale of two Americas, a growing wealth gap, and the fact that the recession may technically be over, but it does not feel like it for millions and millions of Americans.
WHITFIELD: All right. I know they're hoping for better. So are we, for them, for 2012.
HARLOW: Yes.
WHITFIELD: All right. Thanks so much, Poppy.
Well, his rivals say his views are outside the mainstream, but Ron Paul has the potential to shake up the Republican race. We'll talk about the Paul factor next.
(COMMERCIAL BREAK)
WHITFIELD: All right. Here's a rundown of some of the stories we're working on right now.
Next, the resurgence of Ron Paul and why it's becoming an interesting factor on Capitol Hill.
Then, Iowa, why so much is riding on next week's caucus.
And later, Wall Street wraps up another year, what this last trading day means for 2012.
All right. He's running high in the polls in Iowa, but few of his rivals expect Ron Paul to be the Republican presidential nominee.
(BEGIN VIDEO CLIP)
GINGRICH: I mean, I think it's very difficult to see how you would engage in dealing with Ron Paul as a nominee.
(END VIDEO CLIP)
(BEGIN VIDEO CLIP)
RICK SANTORUM (R), PRESIDENTIAL CANDIDATE: I'd have to take a lot of antacids when I go in the voting booth and vote for him.
(END VIDEO CLIP)
WHITFIELD: All right. Dana Bash joining us now from Washington to talk about the Ron Paul factor. So Dana, why is a possible victory for Ron Paul potentially problematic and for whom?
DANA BASH, CNN SENIOR CONGRESSIONAL CORRESPONDENT: Well, look, Fredricka, some Iowa voters are really focused on picking the most Republican likely to beat Barack Obama.
Our poll numbers show that those voters are settling on Mitt Romney in Iowa. But the same dynamic we saw with the GOP takeover of the House is propelling Ron Paul in Iowa. They mostly want to send a message to Washington.
WHITFIELD: What would be that message?
BASH: You know, the message, Fredricka, is that the government is too big, that the deficit and debt are too large, that we need to rein in the government and slash spending. To be fair, Ron Paul has been talking about this for years and years.
Way before it was cool. You know, several Republican leaders in Iowa that have been talking to about this over the past few days tell me what's going on there is that the electorate in many ways is catching up with Ron Paul.
Where Paul runs into problems and is real reason virtually that no one thinks he can ultimately become the Republican nominee is because he takes his libertarian views to an extreme and he is an unbending isolationist when it comes to foreign policy -- Fred.
WHITFIELD: OK, so let's talk a little bit more, zero in on some of that foreign policy or his views on that. Recently, he had some pretty sharp views about Iran's threat to close the Strait of Hormuz. This is what he said.
(BEGIN VIDEO CLIP)
RON PAUL (R), PRESIDENTIAL CANDIDATE: If tomorrow under these conditions if they closed the Straits of Hormuz, I would not see that as an act of war against us. It would be an act of war against those countries there.
(END VIDEO CLIP)
WHITFIELD: So why is it that some members in the party kind of bristle when they hear Ron Paul's explanation like this?
BASH: You know, Ron is a great example. It is a huge issue for many of the so-called neoconservatives in the GOP. So hearing Ron Paul say what he just said or that sanctions are an act of war, or he doesn't believe that Iran has a nuclear weapon, or that he doesn't think Iran is a threat to Israel.
It makes Republicans, many of them, go berserk, Fred. It is not just that. It is also how libertarian his views are and how that affects things like his position on terrorism. Let me give you an example.
The publisher of the conservative "Union Leader" newspaper in New Hampshire wrote about this and the fact that Paul doesn't want to read Miranda Rights to terror suspects. Let me just read you a quote.
This publisher said, "This is nothing short of nuts. What is needed to competently fight a war and al Qaeda is indeed a war with us is the ability to gather information. Telling the enemy that it has a right to remain silent is absurd."
This editorial was really scathing. It called Ron Paul truly dangerous. That's the kind of thing that he is up against. One of the reasons why despite the fact that he has incredible support and may actually win in Iowa.
May do pretty well in the libertarian live free or die state of New Hampshire, ultimately maybe his rivals are right, that he probably will not succeed in getting the nomination.
WHITFIELD: All right, we shall see how galvanizing potentially a win in Iowa might be for Ron Paul. Dana Bash, thanks so much.
BASH: Thanks, Fred.
WHITFIELD: All right, so we're going to talk some more about Iowa and you know, why Iowa. Why is it so potentially important? Why is this state at the center of presidential politics the way it is right now? And what is a caucus anyway?
Joining us to talk about that, Carol Hunter, she's a politics editor for "The Des Moines Register." So first of all, good to see you.
CAROL HUNTER, POLITICS EDITOR, DES MOINES REGISTER: Hello, good to see you, Fredricka.
WHITFIELD: All right, so, Carol, how is it Iowa became so important or pivotal just because it's the first caucus state?
HUNTER: Well, it really does come down to being first. We like to say we cover a lot more than the horse race and we do. We cover issues and policy.
But everyone likes to count and everyone likes to win, so all the journalists and everyone in the political world gets hyped up about the first votes that count.
So the votes cast Tuesday will be among the most important because they will sort of set the race in a very important framework.
WHITFIELD: So now break it down for us and explain, how does this caucus work? Who gets to be a caucus goer and why do they get to cast their ballot?
HUNTER: Well, just about anyone can become a caucus goer. All it takes to be a registered member of that party and to show up on caucus night.
In fact, there is same-day registration. So if you are not even registered to vote in Iowa, as long as you are a resident here, can show a photo ID and proof of address, then you can register for that party and vote in the caucus.
WHITFIELD: OK, so now those who show up, is that kind of a microcosm of the electorate for all of Iowa or does it tend to be a certain segment of the population?
HUNTER: It does tend to be party activists. It takes more to vote in a caucus than it does in a primary. In a primary you can go all throughout the day and it only takes a few minutes.
A caucus you have to be there at a specific time, 7:00 p.m. for the Republicans, and it usually takes at least an hour or so. Representatives speak to you about their candidate and there is a discussion among the attendees.
And there is an election of people who will participate in the county and district conventions as well, and even some discussion of platform resolutions if someone wants to bring one forward.
WHITFIELD: OK, so is Iowa particularly proud that who caucus goers select on that caucus day pick a winner? What's the track record?
HUNTER: Well, the track record is somewhat mixed on the Republican side, there have been six competitive caucuses since the modern era in the 1970s and three out of the six times, Iowans have picked a winner.
A little bit better on the Democratic side, six of the nine times. But most political experts say Iowa's job isn't necessarily to pick a winner, Iowa's job is to whittle the field.
Iowans get to see these candidates up close over many months. They take a great deal of pride in vetting candidates, in asking tough questions, and so there's this saying about three tickets out of Iowa and usually it is the top three or so that go on to make a real race of it in later primaries.
WHITFIELD: Interesting. All right, so kind of 50-50 on that and maybe half of the contenders that are going to be on that ballot for the caucus Tuesday night you think after this caucus would be whittled down to maybe three.
HUNTER: That's been the historical track record. It has held true all except last time around on the GOP side. John McCain actually came in fourth. He was just nudged by Fred Thompson.
But that was a special case. McCain was very well known of course and he had campaigned a lot early in Iowa. But he ran into financial problems so he had to pull back, didn't campaign as much here through the late summer and fall.
But he did come in just edged by fourth and then headed into New Hampshire and obviously went on to win the nomination.
WHITFIELD: Wow, all right, Carol Hunter, very fascinating stuff of the "Des Moines Register". Thanks so much. Happy New Year and have fun, come Tuesday. It is going to be a big day.
A reminder, big day for us, big day for you at home. Tune in next week for the country's first vote in this presidential race. America's Choice 2012 live coverage of the Iowa caucuses beginning Tuesday night, January 3rd, 7:00 Eastern Time. This weekend it is your chance to see the Republican candidates for president offer their closing arguments uninterrupted in their own words. Watch "The Contenders 2012" on CNN this Saturday and Sunday afternoon beginning at 2:00 Eastern Time.
All right, Wall Street traders are likely breathing a sigh of relief. The last closing bell of 2011 just a few hours away. The Dow is down about 31 points. Not so bad. You'll see how the markets wrap up this volatile year.
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WHITFIELD: All right, people on Wall Street are marking the last trading day of the year. So what are traders saying about the year that was, 2011 and the year to come?
Alison Kosik joins me now from the New York Stock Exchange. Alison, first of all, how do investors sum up 2011?
ALISON KOSIK, CNN BUSINESS CORRESPONDENT: I think they're going to sum up 2011 as good riddance at this point, what a year it's been. It looks like as for today, it is really going out with more of a whimper than a bang.
The Dow is a bit lower right now. The Dow is off about 30 points right now, but it is on track to end the year with a modest gain of about 6 percent. Now the S&P 500, that's what we're really watching right now up until the closing bell.
Today's session, Fredricka, is really going to determine whether or not the S&P closes the year with a gain or a loss. The S&P is a really good indicator of how your retirement fund, your other mutual fund investments fared this year.
Many of them track the S&P 500 and for investors. This year has kind of like been like we've been running on a treadmill, you know, going real hard, but ending up right where we started -- Fredricka.
WHITFIELD: OK, so what does that mean for 2012?
KOSIK: You know what? Things are looking a little bit optimistic. The outlook for next year, it's improved over the past month. A CNN Money survey of top economists are predicting that the economy will wind up growing 3.3 percent for this current quarter and about 3.2 percent for all of next year.
And that's about double the rate of growth this year at much closer to what's considered healthy. But of course, we've still got some big worries as we head into the New Year. We've got Europe weighing on our shoulders, jobs and housing.
Europe may actually be the biggest unknown with its debt problems still far from being resolved. We've gotten some better looking data from the jobs and housing markets recently here in the U.S. We've got the unemployment rate coming down.
The economy's adding jobs. The housing market is actually planting some seeds of a recovery, so at least we're seeing a little bit of optimism as we head into 2012.
WHITFIELD: We could all use that. We like that optimism. That should be the word of the year, right? Optimism, all right, thanks so much. Happy new year to you.
A pack of rescued wolf dogs are doing their part to actually help others.
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UNIDENTIFIED FEMALE: You don't usually put your face in a wolf dog's face because there's always a danger of them being startled by something.
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WHITFIELD: All right, we'll show you how these once neglected animals are helping war veterans. But first, some free advice from the "CNN Help Desk."
POPPY HARLOW, CNN MONEY.COM CORRESPONDENT: Time now for the "Help Desk" where we get answers to your financial questions. Joining me this hour, Gary Schatsky, he's a financial planner and the president of objectiveadvice.com and Gail Cunningham is with the National Foundation for Credit Counselling.
Thank you both for being here today. First question for you, Gary. This comes from Michael in Florida. Michael writes, "My mortgage company requires me to have property insurance and flood insurance, which cost a total of $3,600. I've got 90k left on the mortgage. I have over $200,000 in investment. Should I cash out some of my investments and pay off the mortgage to reduce or eliminate the insurance."
GARY SCHATSKY, FINANCIAL PLANNER: Well, you know, if you borrow money, people want to make sure the property's going to be there. So I understand that concern. But at the end of the day you need insurance. I mean, unless you somehow find you're not in a flood zone then there would be a value to that.
So I think the real analysis would be what's the interest rate on the underlying loan and do you have money that's sitting around? But even if you paid it off, very few people would be well advised to get rid of their homeowners insurance or their flood insurance because they are protect being the value of your home even if they are not protecting the lender's value.
HARLOW: And many are required -- I know I pay renter's insurance.
SCHATSKY: Many people aren't required to have renter's insurance.
HARLOW: But it is good to have.
SCHATSKY: You should absolutely have it. A couple of hundred dollars --
HARLOW: Can go a long way. Gail, your question comes from Lenny in West Virginia. Lenny writes, "Is it possible to declare bankruptcy on a federal college loan?"
GAIL CUNNINGHAM, NATIONAL FOUNDATION FOR CREDIT COUNSELING: Well, the government is very serious about getting repaid. And as a rule, bankruptcy does not cover student loans. The government though can even garnish your paycheck so you need to treat this very seriously. I would encourage him to do thorough research.
Don't make bankruptcy -- or try it make it your first stop, try it make it your last. There are options. There's a deferment, which would stop the payment for a short period of time, forbearance. Would stop or lower the payment for a longer period of time. And even loan forgiveness.
HARLOW: Look at bankruptcy last.
CUNNINGHAM: Exactly.
HARLOW: Because it sticks with you for many years.
All right. Thank you guys very much.
If you've got a question you want answered, send us an e-mail any time to cnnhelpdesk@cnn.com.
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WHITFIELD: All right, some wolf dogs have a new home in California thanks to a rescue center near Los Angeles. The animals were rescued from a roadside attraction in Alaska. Paul Vercammen has their story.
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DR. LORIN LINDER, LOCKWOOD VALLEY ANIMAL RESCUE CENTER: You don't usually put your face in your wolf dog's face because there's always a danger of them being startled by something. But this animal has been exposed to quite a bit of human contact.
PAUL VERCAMMEN, CNN CORRESPONDENT (voice-over): Harmony is one of 29 Alaskan wolf dogs just transferred to Dr. Lorin Lindner's Lockwood Valley Animal Rescue Center. These hybrid animals were rescued from a roadside attraction in Alaska, a state which has severe restrictions on owning wolves. Some of the wolf dogs are recovering from injuries. Harmony was shot in the eye with a tranquilizer dart.
UNIDENTIFIED MALE: We were treating her with medication. That's why she's in the small enclosure by the house.
VERCAMMEN: Shiloh tore open her paw pad.
LINDER: They all have a little bit of a limp getting used to walking up and down the hillsides and all the different terrain, walking on rocks. Their pads will stiffen up pretty quick though. VERCAMMEN: The wolf dogs develop soft tender paws while chained up at what animal rights activists called a pathetic attraction near anchorage, Wolf Park USA. Rumors swirled like snowdrifts that 29 wolf dogs might been destroyed, casualties of a criminal investigation into the attraction which charged $5 to walk alongside and take pictures of the wolf dogs. Wolf Park USA's owners told CNN that the animals were treated well and no laws were broken.
LINDER: Once we learned that there were 29 wolves in jeopardy, we knew we had to take action.
VERCAMMEN: Linder, and her husband, Matt Simmons, jumped in, raised money and transferred the wolf dogs to their sanctuary 100 miles north of Los Angeles.
VERCAMMEN (on camera): Cynics may wonder if the wolves will survive here at this sanctuary. But what they may not realize is, we're up at 6,000 feet. It does snow here. And it can get bone-chilling cold here in the Lockwood Valley.
LINDER: This is truly a great place for wolves to live. And it was where they used to live.
VERCAMMEN (voice-over): And this is a refuge for several war veterans employed here, caring for the wolf dogs.
GREGG HALL, WOLF DOG CARETAKER: Good boy.
VERCAMMEN: Gregg Hall once fired weapons at Iraqi targets from a U.S. Navy vessel.
HALL: You feel really good about what you're getting to do every day, knowing the situations these guys came from and that you're working with rescued animals, helping them make their lives better.
VERCAMMEN: The wolf dogs are too wild to become pets, but they have each other, bonded by a voyage from chains in Alaska, to sanctuary far south.
Paul Vercammen, CNN, Lockwood Valley, California.
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WHITFIELD: And a whole lot of you are responding to our "Talk Back" question. What are your hopes for 2012? Earl says, "I know that this sounds cheesy, but for 2012 I just want world peace and for us to stop fighting each other individually or politically." I don't think that's cheesy at all! All right. More of your responses moments away.
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WHITFIELD: All right, you've been responding to our "Talk Back" question as we're in the waning hours of 2011. What are your hopes for 2012?
Calvin writes, "I hope there will be jobs for everyone." Amy says, "I hope that we don't go to war with Iran or any other country in 2012. I'm really worried about the Strait of Hormuz situation."
And Julia writes, "I want to get rid of the cancer I have. That is my one hope for 2012."
And George hopes "that we come together as a nation to solve our domestic issues and problems such as unemployment, corruption, education and health. And hopefully we can set an example for the rest of the world in 2012." That from George.
And Kaytee says, "quit smoking and start a new life for my son and myself."
And Jay writes, "no partisan bickering. I would love to win the lottery. Sadly, I think the one most likely to happen is winning the lottery."
And Dominique has a simple hope. She says, "I'll be happy as long as I get a kiss at midnight."
All right, thanks to all of you for writing and hopefully you've got a happy new year straight ahead in 2012.
And, of course, you may want to start by ringing in the new year with Anderson Cooper and Kathy Griffin live from Times Square. Our live coverage starts Saturday night, 11:00 p.m. Eastern Time.
And, of course, the presidential election is less than a year away. We'll tell you why that's triggering a boom in gun sales.
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WHITFIELD: All right, so you may have found the latest tech gadget or hot new toy under your tree for Christmas, but one of the hottest gifts this year was firearms. Barbara Starr explains the reason may be political.
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ANDREW RAYMOND, GUN SHOP OWNER: These are like $3,300 rifles. We sold three of these over the weekend.
BARBARA STARR, CNN CORRESPONDENT (voice-over): In this holiday season of peace on earth, good will to man, gun sales are on the rise.
RAYMOND: It was our busiest December ever.
STARR: Maryland gun shop owner Andy Raymond says people are buying everything from assault rifles to handguns.
RAYMOND: We're totally sold out of almost all of our 9 millimeter glocks, all our standard, most popular models, we're totally sold out of it.
STARR: It's a nationwide trend.
STARR (on camera): The FBI is reporting a million and a half background checks in the month of December alone. That is an all-time record.
STARR (voice-over): Raymond says many customers already own guns and are buying more.
RAYMOND: Then there's also the political aspect of it because we have an upcoming election. So a lot of people are, once again, concerned about that. They're concerned about what Obama is going to do if he is re-elected. So they're trying to get stuff while they can.
STARR: Criminal justice experts aren't surprised at the chatter.
JACK MCDEVITT, CRIMINOLOGIST, NORTHWESTERN UNIVERSITY: There is a set of groups out there that every time there's a Democrat going to be elected or a Democrat going to be re-elected say, you should go out and get guns because they're going to ban guns.
STARR: There's no indication of a new ban, but Republicans again are making sure the photo-ops show them as pro gun ownership.
GOV. RICK PERRY (R), PRESIDENTIAL CANDIDATE: I'm actually for gun control. Use both hand.
MCDEVITT: It's the largest increase we've ever seen. The largest month of sales. It's something that has to -- we have to look into as public safety officials and say, why is this happening?
STARR (on camera): Some of the people we talked to out there buying guns say the reason they want to buy, they want to hunt or have personal protection. And many say they are buying guns to give as gifts.
Barbara Starr, CNN, Washington.
(END VIDEOTAPE)
WHITFIELD: All right, thanks so much for being with me this afternoon. I'm Fredricka Whitfield. Much more in the NEWSROOM straight ahead with Natalie Allen.
Happy New Year to you also, Natalie.
NATALIE ALLEN, CNN ANCHOR: Happy New Year to you as well, Fred. Thanks so much.
