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Editorial Writer Says Attacks on One-Percenters Like German Nazi Attacks on Jews; UNC May Admit More to Fake-Class Controversy; Hillary Clinton Admits Benghazi Is Biggest Regret as SecState; McCartney, Starr Reunite at Grammys; Another Cruise Ship Outbreak; 2014 May Be Best Year to Ask for Raise; Rosie Guesting on "The View"

Aired January 27, 2014 - 15:30   ET

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


(COMMERCIAL BREAK)

BROOKE BALDWIN, CNN ANCHOR: Bottom of the hour, you are watching CNN. I'm Brooke Baldwin.

And this rising debate over income inequality, the gap between the "haves" and the "have-nots" just got a new jolt of controversy here, Silicon Valley investor Tom Perkins is the stereotypical rich guy here in this story.

He writes this letter to the editor of "The Wall Street Journal," basically comparing protests against the wealthy, like Occupy Wall Street, to Nazi Germany.

Let me quote part of his letter here.

"Writing from the epicenter of progressive thought, San Francisco, I would call attention to the parallels of fascist Nazi Germany to its war on its one percent, namely, its Jews, to the progressive war on the American one percent, namely the rich.

So let's bring in CNN political commentator Ben Ferguson and Democratic strategist Robert Zimmerman, and, gentlemen, welcome to both of you, first of all. Nice to have you both on.

And let's just -- can we just agree on the outset that bringing up Hitler and Nazi Germany with income inequality, bad move? I don't want to waste anyone's time debating that.

That analogy --

BEN FERGUSON, CNN POLITICAL COMMENTATOR: Can I call him an idiot real quick? Is that OK?

BALDWIN: OK, get it out of your system.

Go ahead, Robert, just quickly.

ROBERT ZIMMERMAN, DEMOCRATIC STRATEGIST: Quickly, it's more than a bad move. It's just shockingly immoral and stunningly ignorant. BALDWIN: OK, we got it out of our systems, but to the sentiment. And, Ben Ferguson, let me begin with you, because the sentiment is very real.

Did you feel like the one percent is under attack in this country?

FERGUSON: Sure. It's an easy target. It's easy for politicians to tell you and sell you that the easy person is keeping you down is the one percent. It's a constant, easy attack because only one percent of the people can really relate to that one percent. It is the one percent.

So, everyone else, it's an easy argument to say it's those evil people on Wall Street. It's those evil one-percenters. They are not paying their share.

They deserve to pay more in taxes. They're the ones that are the cause of your problem.

When in reality they have done nothing but be successful. And I don't think that should be something we should attack.

ZIMMERMAN: Ben, while taking up a collection for the one percent, I'm going to focus on trying to strengthen our middle class, because if we want to build our economy and if we want to secure the one percent's role in our society, then we have to build the middle class.

And the reality is --

FERGUSON: I agree with building the middle class.

BALDWIN: OK. OK, hang on. Let me jump back in, and, Robert, I'm coming to you.

But we know that the president in his State of the Union tomorrow night -- we know he's been tackling, recently, in a lot of speeches the issue of income inequality in this country, always talking about people paying their fair share of taxes.

Are the wealthy being targeted unfairly for success, Robert?

ZIMMERMAN: Look, there's no question that in many respects the political rhetoric has been antagonistic towards who are in the one percent, and I am very blessed by my success in business.

So, I understand some of the resentment. I think the rhetoric has been too heated.

But the reality is we all have to do our fair share, and the only ones whose salaries are declining or stagnant in the past decade have been the middle class.

The one-percent salaries have grown dramatically.

BALDWIN: You can't tax away income inequality.

FERGUSON: But, Brooke - ZIMMERMAN: No, you can't, but what you can do is invest in research and development. You can invest in science. You can invest in programs to train and build a workforce and create new jobs.

BALDWIN: Ben?

FERGUSON: I'm in favor of having training in high school and teaching kids a trade so they have something they can do to be in the middle class or even above.

But here is the problem. If you constantly attack those who are successful and you constantly go after them as somehow they're immoral people, I've never in my life have been hired by a poor person.

I have always been hired by someone that was wealthy. They are the ones that create middle-class jobs. They are the ones that create the private sector.

Fifty percent of Americans now for the first time ever don't pay any income tax at all at the end of the year.

So, let's not act like --

ZIMMERMAN: Ben, let's do a fact check here. People are not paying taxes not because they don't want to, but because their income risen to the level where they are paying federal taxes.

And let's also put into perspective there's no question I think my party at times -

BALDWIN: Robert, you get the final word here.

ZIMMERMAN: -- has been too heated with their rhetoric.

But the reality is asking those to pay a little bit more in taxes to build our middle class is not attacking them.

FERGUSON: They are all right paying a lot more. They are already paying a lot more taxes.

BALDWIN: Gentlemen, until the next time, got to go.

Robert Zimmerman, Ben Ferguson, thank you so much.

And now to this, we told you about the scandal at Carolina and Chapel Hill, fake classes for athletes at the University of North Carolina and charges by a whistleblower that the average third-grader reads better than certain student athletes at Chapel Hill.

The school administration has been defensive, but now they seem to be conceding it is a bigger problem than they have acknowledged.

And CNN's Sara Ganim has been out front, all over this story for us. And, Sara Ganim, what's happening?

SARA GANIM, CNN CORRESPONDENT: Brooke, at a board of trustees meeting Thursday of last week, Chancellor Carol Folt made a statement that is probably the strongest she's ever made on the topic.

She admitted that UNC failed in academic oversight for years, that the university was wrong and that students deserve better.

Take a listen to what she said.

(BEGIN VIDEO CLIP)

CAROL FOLT, CHANCELLOR, UNIVERSITY OF NORTH CAROLINA: We also accept the fact that there was a failure in academic oversight for years that permitted this to continue.

This, too, was wrong, and it has undermined our integrity and our reputation.

(END VIDEO CLIP)

BALDWIN: Up until now, the university has basically said there's this one renegade department head. He's been indicted. It's all his fault, but now maybe not.

GANIM: Maybe not.

So, on Saturday, the provost of the university, James Dean, he flew to New York to talk to a Bloomberg reporter.

Now, you should know the chairman of Bloomberg is also a member of the Carolina board of trustees, but regardless of all of that, during the interview, the provost announced that the university will look into who is really behind this idea for the fake classes that so many athletes with poor academic skills were taking.

Now, up until this point, this is significant, UNC officials had told everyone, including CNN, this was all the doing of man, one professor who has been indicted by now on fraud charges.

Now, according to this Bloomberg report, it seems that UNC is admitting things might have been bigger than just one person.

So, in light of all of that, CNN today, we reached out to UNC to see if they're going to be reopening their investigation, because previously they found that it wasn't something they needed to deal with. It wasn't an athletic scandal.

But today, of course, they say they won't comment.

BALDWIN: And this whistleblower has said these phony classes were created, right, for these athletes admitted with little or very poor -- let's call it that -- reading skills.

GANIM: Right. And the provost has attacked that whistleblower Mary Willingham's credibility over and over -

BALDWIN: You talked to her.

GANIM: -- since she talked to CNN. Right. He has been attacking her and he has repeatedly mischaracterized her findings on the reading levels of student athletes.

But Bloomberg actually really took them to task on the way UNC has gone after her, saying it was shooting the messenger.

And, you know, she works firsthand with the athletes and her stories that she shared with us, they were very, very compelling.

BALDWIN: It's just tough to think of these athletes reading on the level that they have been, according to you and your reporting. Sara Ganim, stay on it for us. Thank you.

Coming up, Hillary Clinton opening up today during this Q&A session, what she says was her biggest regret as secretary of state, that's next.

Also later, Sir Paul McCartney and Ringo Starr, together again on stage, the performance at last night's Grammy Awards, and what they are planning for the future, coming up.

(COMMERCIAL BREAK)

BALDWIN: Hillary Clinton reveals her biggest regret in New Orleans. Here's how she responded when she was asked about do-overs.

(BEGIN VIDEO CLIP)

HILLARY CLINTON, FORMER SECRETARY OF STATE: My biggest regret is what happened in Benghazi. It was a terrible tragedy, losing four Americans to diplomats and I can say losing an ambassador like Chris Stevens who was one of our best and served in Libya and across the middle east and both Arabic and well regarded by the vast majority of Libyans who came into contact with. It was a great loss.

(END VIDEO CLIP)

BALDWIN: Let's go to Washington on the hill. Jake, this is the first time she expressed regret, but obviously a lot of attention on her.

JAKE TAPPER, CNN ANCHOR, "THE LEAD": Well, because there two set up for her to run for president. She made the decisions that she wanted to.

She is pulling far ahead of the pack in terms of Democratic voters, wanting her to run for president.

I think she hasn't made a decision, but she is probably going to run for president and based on all that people around her want her to, pretend you are at the state department and it's relevant.

This evening was supposed to be closed, but Clinton aides requested that be open. They wanted something she said with that comment to be out there.

BALDWIN: You are out of the studio and on Capitol Hill previewing the state of the union. Sounds like the president will be ready.

TAPPER: You never know what he is going to do. President Obama is rewriting that State of the Union speech right until the moment he delivers.

Based on what we have heard, he is planning on taking a number of executive actions. Although it's interesting, when the read the interviews with him, there was a great "The New Yorker" last week.

He does seem somewhat regretful about the limits of his powers, the limits of his office. I'm not really quite sure what to expect.

You are going to hear about immigration reform and things he would like to accomplish, but obviously 2013 was not exactly a year packed full of accomplishments.

You look at what he wanted to do, it's not a list of things that have been crossed off because they were.

BALDWIN: We will be listening to the promises for the next year tomorrow night. We will see you in 15 minutes, live from Capitol Hill.

Tune in for coverage of the State of the Union address, 7:00 Eastern here on CNN.

Coming up, we will take you inside the reunion of the remaining Beatles, why this is not their final collaboration.

(COMMERCIAL BREAK)

BALDWIN: She has 40-plus albums and 40-plus years in the biz, and now in 2014, Dolly Parton has sold out her first show of her "Blue Smoke World Tour" which just kicked off in California, just more proof of her star power, and something I got to experience firsthand.

She has, honest to goodness, gift of music, and I'm not lying when she sounds just as good as she does on stage. Got to sit down with her in 2012, Dolly Parton.

(BEGIN VIDEOTAPE)

BALDWIN: What was it in you that said I'm going to be a star? Because you knew it, didn't you?

DOLLY PARTON, SINGER/SONGWRITER: Yes, I wanted to be something.

BALDWIN: Something?

PARTON: I didn't know what. I wanted to sing. I wanted to travel. I wanted to be loved. I wanted to make money. I wanted to get out there and do stuff.

I wanted to not -- I just wanted to do more. I didn't know what was out there, but I knew I wouldn't couldn't be any poorer than we were at home.

So, I wasn't going to worry about starving to death. I could find a boy to take me to the Burger King to buy me a burger.

BALDWIN: You wanted more than a boy.

PARTON: I wanted more than a boy. I wanted more than a cheeseburger. I wanted to own the restaurant.

BALDWIN: Will sing a couple of bars from just another one of your big hits?

PARTON: I will always love. I will always love you.

I can hear people saying, Oh, Lord, not like Whitney. She's -

BALDWIN: I'll take yours. Thank you very much.

(END VIDEOTAPE)

BALDWIN: You saw it, the much-anticipated reunion worth a thousand song.

Beatle-mania took over the Grammys last night when the only two surviving band mates, Sir Paul McCartney and Ringo Starr, hit the stage.

That song was called "Queenie Eye" from Sir Paul's latest album, a joint performance, just incredible to watch.

Earlier in the night, the academy bestowed The Beatles with the Lifetime Achievement Award. This was the first time McCartney and Starr shared the stage since 2010.

So let's talk about this. "Rolling Stone" contributing editor Anthony DeCurtis joins me now.

And it was fun to watch, of course, Anthony. But I'm just curious in general, how often do Sir Paul and Ringo communicate?

ANTHONY DECURTIS, "ROLLING STONE" CONTRIBUTING EDITOR: I think they're in fairly regular touch. There was never any feuding between Paul and Ringo.

Paul and John certainly had their moments and Paul and George as well.

But, you know, Ringo kind of got along with everybody and I think -- I don't think they are palling around every single day, but they are on very good terms and pretty much always have been.

BALDWIN: You bring up John, leads me to seeing Yoko Ono in the audience -

DECURTIS: Yes.

BALDWIN: -- and I think -- was that Sean -

DECURTIS: And Sean.

BALDWIN: -- Lennon next to her?

DECURTIS: Yes.

BALDWIN: Talk about the significance of them out there?

DECURTIS: I think that everybody now in The Beatles camp is trying to make nice.

I don't know what all of the feuding means at this point, you know?

In recent years, which is to say in the last 10 years or so, McCartney has given some interviews stirring the waters a little bit, but in very recent years, in the last year or two it seems like everybody has kind calmed down and really just trying to concentrate on the band's legacy, concentrate on what their remaining members can do, Paul and Ringo, and concentrate on the future and the legacy of what this band is going to be.

BALDWIN: We'll be seeing more of these two. I know there's an upcoming show, celebrating 50 years since the British Invasion.

Anthony, what should we expect there?

DECURTIS: Well, I think that we're going to see a variety of celebrations. Everybody is doing, I think, a Beatle special.

It's a huge -- it was a massive event when The Beatles came to the United States in 1964 and performed on Ed Sullivan.

That just was -- to use the name game-changer is to completely underestimate what that event meant.

So, I think it's perfectly possible that Paul and Ringo will perform on that special and maybe they'll even do a Beatles song, which -

BALDWIN: I know.

DECURTIS: -- was kind of the disappointment last night.

BALDWIN: That was a little bit of a bummer.

DECURTIS: Absolutely. To do a track from Paul's new album -

BALDWIN: Love "Queenie Eye." I wanted to hear a classic. I totally agree with you. I wasn't necessarily around in '64 to appreciate the game-changer nature of all of this.

But just the two of them, seeing them last night, we'll look forward to it, hopefully, in one of these specials coming up.

Anthony DeCurtis -

DECURTIS: Very good.

BALDWIN: -- of "Rolling Stone," thank you.

DECURTIS: Thank you.

BALDWIN: And, as we mentioned, five decades ago, The Beatles arrived in the States for their first American tour, launched the British Invasion.

You can see how it all unfolded, what really happened, rarely seen footage and interviews from the bands that led to this British Invasion.

It's a special episode of the upcoming CNN original series, "THE '60S -- THE BRITISH INVASION" premieres Thursday night at 9:00 here on CNN.

Coming up, this is something maybe you've uttered recently. You want a raise? Hear why this year in 2014 this is the year for you to ask for that raise. That's next.

(COMMERCIAL BREAK)

BALDWIN: Just a nightmare for hundreds of passengers on board a Royal Caribbean cruise ship, falling ill in the middle of the ocean.

Right now, the Centers for Disease Control has its people on board this cruise ship and now believe they are dealing with an outbreak of norovirus, more than 600 people, including 49 members of the crew, been affected.

(BEGIN VIDEO CLIP)

ARNEE DODD, EXPLORER OF THE SEAS, CRUISE PASSENGER (via telephone): As soon as we got down there, the nurse walked out and looked at everyone and said, if you're not sick, you have to leave right now, because this is spreading faster than we can contain it.

(END VIDEO CLIP)

BALDWIN: Cruise officials making the call to cut the trip short. It's now en route to New Jersey, two days early, expected to dock Wednesday, Royal Caribbean telling passengers they will be compensated.

Closing Bell coming up in just a few minutes on Wall Street, right now the Dow is flat. Take a look at the numbers.

2013, a great year for retirement accounts, but an article today caught our eye, because it says this could be the year that you find something a little extra in your paycheck. You like the sound of that, I know.

Chief business correspondent Christine Romans with that, Christine?

CHRISTINE ROMANS, CNN CHIEF BUSINESS CORRESPONDENT: Brooke, for months CEOs have been telling me they can't find enough workers for the jobs that are really in demand in America, which is why today's "USA Today" story caught my attention.

That story claims that 2014 is the year to ask for a raise. Here's why. Unemployment is falling, down more than one-percentage point last year. It now stands at 6.7 percent.

As the jobless rate falls, the pool of available workers gets smaller and that may be what turns the tables for workers who haven't seen an increase in their paycheck in years.

This is especially good news for workers in cities like Boston, Minneapolis, Dallas, and San Francisco, cities that are reaching full employment. Full employment is an unemployment rate of 5.5 percent.

Now, you might be thinking, what? I thought the biggest story in the jobs market was the long-term unemployed.

That's true. There are two job markets right now. For those out of work for six months or longer, it's still pretty tough out there.

There's a catch. Those with the leverage are the skilled, high- performing workers willing to switch jobs or industries.

Think high-skilled manufacturing, mining, welding, the gas and oil business, software and just about anything in Silicon Valley. That's where you can ask for a raise.

Brooke?

BALDWIN: The last time Rosie O'Donnell sat in the chair on ABC's "The View," this happened.

(BEGIN VIDEO CLIP)

ROSIE O'DONNELL, TV HOTS: Do you believe that I think our troops are terrorists?

And you would not even look me in the face, Elisabeth, and say, no, Rosie, I can understand how people might have thought that.

Why don't you take this opportunity like I'm 6?

ELISABETH HASSELBECK, TV HOST: Because you are an adult and I'm not going to be the person for you to explain your thoughts. They are your thoughts. Defend your own insinuations.

(END VIDEO CLIP)

BALDWIN: Oh. That was back in 2007, Rosie O'Donnell sparring with Elisabeth Hasselbeck.

Fast forward to now, Rosie is coming back next month as a guest -- as a guest. The thing is, everyone who starred on that show during that time is gone except for Barbara Walters and Sherri Shepherd.

Rosie, by the way, coming on the show to promote a new show on ABC.

And just a quick reminder, if you ever miss an interview we do on this show, just go to what we call the Brooke Blog. Go to CNN.com/Brooke.

And, again, quick reminder, tomorrow, State of the Union, Jake Tapper on Capitol Hill with a preview of that. All of our coverage begins 7:00 p.m. Eastern.

Thanks so much for watching.

"THE LEAD" starts right now.