PBS NewsHour - 2008-09-30
Channel: malgent
Transcript
Language: English (original, YouTube automatic captions)
[0:09] Good evening. I'm Jim Lara. On the
[0:11] NewsHour Tonight, the news of this
[0:13] Tuesday, then a conversation with four
[0:16] House members about their hopes and
[0:18] fears for the defeated financial rescue
[0:20] plan. Some pointers on coping during
[0:23] these tough economic times from Jane
[0:26] Bryant Quinn and Brett Arenss. a Judy
[0:29] Woodruff report on getting out the vote
[0:31] in the campaign battleground state of
[0:33] Florida and a Richard Rodriguez essay on
[0:37] Mexico's war on drugs.
[0:41] Major funding for the NewsHour with Jim
[0:43] Lara is provided by
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[2:06] >> this program was made possible by the
[2:08] Corporation for Public Broadcasting
[2:11] and by contributions to your PBS station
[2:14] from viewers like you. Thank you.
[2:20] This was a day of recovery on Wall
[2:22] Street after Monday's record plunge.
[2:25] Stocks rebounded on the belief that
[2:27] Congress will resurrect its failed
[2:29] financial rescue plan. Bargain hunters
[2:32] were also out in force buying shares in
[2:34] financial and technology companies. The
[2:37] Dow Jones Industrial Average gained 485
[2:40] points to close above 10,850.
[2:43] The NASDAQ rose more than 98 points to
[2:46] close at 2082.
[2:49] There was another push today toward
[2:50] quick approval of the rescue plan.
[2:52] Congress was in recess for the Jewish
[2:54] New Year, but President Bush made a
[2:57] pitch and senators met informally after
[2:59] the House bill fell apart yesterday. For
[3:02] the second morning in a row, Mr. Bush
[3:04] said Congress must act or the country
[3:07] faces painful and lasting economic
[3:09] damage. As much as we might wish the
[3:12] situation were different, our country is
[3:15] not facing a choice between government
[3:17] action and the smooth functioning of the
[3:18] free market.
[3:21] We're facing a choice between action and
[3:23] the real prospect of economic hardship
[3:26] for millions of Americans.
[3:29] For the financial security of every
[3:30] American,
[3:33] Congress must act. The failure of the
[3:36] rescue bill had ramifications around the
[3:38] world. Australian Prime Minister Rudd
[3:41] and German Chancellor Merkel both
[3:43] pressed the US to pass the legislation
[3:46] sooner rather than later. The attitude
[3:49] that we'll adopt and I believe other
[3:50] friends and allies of the United States
[3:51] will adopt uh is to urge the United
[3:54] States Congress uh to pass
[3:58] this or a similar measure when it's
[4:00] represented to the Congress later this
[4:02] week. This is necessary for the
[4:04] stabilization of US um financial
[4:07] markets. It's necessary for the
[4:09] stabilization of global financial
[4:10] markets.
[4:12] >> The German government expects and I
[4:14] expect that the rescue package in the
[4:17] United States of America be approved
[4:19] this week because this is the
[4:21] precondition for creating new confidence
[4:23] on the markets and that is of incredibly
[4:26] great significance.
[4:28] Germany and other European stock markets
[4:30] posted gains today, but other global
[4:33] markets fell, including Australia and
[4:36] Japan. Both dropped more than 4%. The US
[4:40] Federal Deposit Insurance Corporation
[4:42] asked Congress today for a temporary
[4:44] hike on insured deposits. The FDIC is
[4:47] the agency that protects US bank
[4:50] deposits currently for up to $100,000.
[4:54] The chairwoman, Sheila Bear, asked for
[4:56] authority to raise that cap to an
[4:58] unspecified amount. She said both banks
[5:01] are safe, but this would help ease the
[5:03] crisis of confidence in the banking
[5:05] system. In the presidential campaign
[5:08] today, both candidates made separate but
[5:10] similar appeals for raising the FDIC
[5:13] caps. Democrat Barack Obama and
[5:15] Republican John McCain agreed the limit
[5:18] should increase from 100,000 to
[5:20] $250,000.
[5:22] The candidates also repeated pleas to
[5:24] Congress to finish legislation on the
[5:27] financial rescue. We'll have much more
[5:29] on this story right after the news
[5:31] summary. At least 168 people died in a
[5:35] stampede at a Hindu temple in India
[5:37] today. The chaotic scene broke out in
[5:40] the northwest part of the country, but
[5:42] what exactly caused the stampede was
[5:44] unclear. Accounts ranged from a
[5:47] collapsed wall to rumors of a bomb. We
[5:50] have a report narrated by Nick Pton
[5:52] Walsh of Independent Television News.
[5:55] >> Panic, then the rush to escape. It's not
[5:58] clear how it began. If a collapsed wall
[6:01] or the arrival of a VIP caused this
[6:04] stampede. This ancient fort in Jodper
[6:07] built in the 1400s saw gather 25,000
[6:11] people who eventually trampled their
[6:13] fellow worshippers, injuring hundreds.
[6:16] Over a week given here to celebrating
[6:19] Hindu's sacred mother goddess turned
[6:21] into what's become a familiar site.
[6:24] Little crowd control or organization led
[6:28] to the fourth such stampede in India so
[6:31] far this year.
[6:33] Hospitals groaned with the wounded.
[6:35] Their serious injuries mean the death
[6:38] toll will probably rise. Today's
[6:41] stampede followed a series of recent
[6:43] bombings in India. The latest was Monday
[6:46] night and killed six people. That's it
[6:48] for the news summary tonight. Now, the
[6:51] day after the financial plan, House
[6:53] vote, life in hard times, the voter
[6:56] turnout in Florida, and a Richard
[6:58] Rodriguez essay.
[7:07] And NewsHour correspondentwami Homeman
[7:09] begins our day after report.
[7:12] Within hours of President Bush's call
[7:14] for Congress to redouble efforts on an
[7:17] economic rescue package that could cost
[7:19] up to $700 billion, the major
[7:21] presidential nominees followed suit.
[7:24] >> Barack Obama and John McCain also
[7:27] separately phoned the president and
[7:29] requested the same idea to help a new
[7:31] proposal pass, raising the amount of
[7:34] federal insurance on bank deposits from
[7:36] $100,000 to $250,000.
[7:40] This afternoon, the chair of the Federal
[7:42] Deposit Insurance Corporation also
[7:44] endorsed an increase, saying, "To
[7:46] address this crisis of confidence, I do
[7:48] believe that it would be helpful for the
[7:50] FDIC to have the temporary ability to
[7:53] raise deposit insurance limits."
[7:56] >> Meanwhile, McCain said the US Treasury
[7:59] Department should make full use of the
[8:01] resources already at its disposal. He
[8:04] spoke in De Moine, Iowa. First, the
[8:07] Treasury has already used its exchange
[8:10] stabilization fund to back money market
[8:12] accounts. I encourage it to use this
[8:15] fund as creatively as possible to
[8:18] provide backs stop for accounting
[8:20] accounts across our financial system to
[8:23] maintain confidence on the part of
[8:25] savers and investors. And second, the
[8:28] recent housing bill gave the government
[8:30] nearly $1 trillion in authority to
[8:33] purchase mortgages.
[8:35] Housing and mortg mortgages are at the
[8:37] root of this crisis. I encourage
[8:40] Treasury to take action to shore up
[8:42] mortgage values. The administration can
[8:46] take these actions with a stroke of a
[8:48] pen to help alleviate the crisis
[8:50] gripping our economy. I urge them to do
[8:53] so. I call on everyone in Washington to
[8:56] come together in a bipartisan way to
[8:58] address this crisis. And I know that
[9:02] many of the solutions to this problem
[9:04] may be unpopular,
[9:06] but the dire consequences of inaction
[9:09] will be far more damaging to the
[9:11] economic security of American families
[9:14] and the fault will all be ours.
[9:18] >> In Reno, Nevada, Obama acknowledged the
[9:21] widespread public dislike for the
[9:23] financial rescue, but argued it's a must
[9:26] to prevent economic harm to ordinary
[9:28] Americans. If this is managed correctly,
[9:30] we will hopefully get most or all of our
[9:34] money back, possibly even turn a profit
[9:36] on the government's investment, every
[9:38] penny of which will go directly back to
[9:42] you, the investor, or will be going into
[9:46] drawing down on our national debt. And
[9:48] if we do have losses,
[9:51] I've proposed to institute a financial
[9:53] stability fee on the entire financial
[9:56] services industry so that Wall Street
[9:58] foots the bill, not the American
[10:00] taxpayer.
[10:04] But understand, even with all these
[10:06] taxpayer protections, I know that this
[10:08] plan is not perfect and it's not
[10:10] foolproof. No matter how well we manage
[10:13] the government's investments under this
[10:15] plan, we're still putting taxpayer
[10:17] dollars at risk. And I know that there
[10:19] are Democrats and Republicans in
[10:21] Congress who have legitimate concerns
[10:23] about this. I know there are many
[10:25] Americans who share these concerns.
[10:28] What I also know is we can't afford not
[10:30] to act.
[10:31] >> Meanwhile, in Washington, a group of
[10:33] House Democrats who helped bring down
[10:35] the rescue plan yesterday came forward
[10:37] with an alternative. The point is uh
[10:40] there folks would like to come together
[10:42] on something that doesn't put the
[10:43] taxpayers at risk. That's a common theme
[10:46] among members both who voted for the
[10:48] bill and uh who voted against the bill.
[10:51] Don't put the taxpayers at risk. The
[10:53] protections in that bill yesterday were
[10:54] non-existent.
[10:55] >> On the other side of the capital, Senate
[10:57] Republicans met to discuss a strategy to
[11:00] save the rescue plan. Republican leader
[11:02] Mitch McConnell. We've got a genuine
[11:05] crisis in the credit markets that have
[11:08] to be dealt with. And the market sent us
[11:10] a strong message yesterday that no
[11:12] action is not a solution. We're not
[11:15] going to sit around and point fingers.
[11:16] We're going to get the job done. We're
[11:17] going to get it done this week.
[11:19] >> The Senate could act on a bailout bill
[11:21] as early as tomorrow evening. The House
[11:23] is expected to take up the rescue plan
[11:25] soon after it returns on Thursday from a
[11:28] break for the Jewish New Year.
[11:30] Now, how four House members see the
[11:33] situation. Two who voted for it.
[11:35] Pennsylvania Democrat Paul Canorski and
[11:38] Illinois Republican Ray La Hood. And two
[11:40] who voted no, Virginia Democrat Bobby
[11:43] Scott and Michigan Republican Peter
[11:45] Hawkstra. First of all, Congressman Le
[11:48] Hood, the House vote yesterday is being
[11:51] cited now as a gigantic failure of
[11:54] federal government leadership at all
[11:57] levels. Do you agree with that in
[11:58] general?
[12:01] Well, not really. I mean, I think the
[12:03] administration has pushed very hard for
[12:05] their plan and uh I think our leaders,
[12:08] both on the Democratic and Republican
[12:10] side, pushed very hard, too. Uh I think
[12:13] there'll probably have to be some
[12:14] adjustments made but uh look at uh the
[12:18] leaders uh from the White House to the
[12:20] Treasury uh were flexible enough to make
[12:22] the changes that uh some of the leaders
[12:24] wanted and our leaders were flexible
[12:26] enough to uh to try and uh uh influence
[12:30] uh some of our members and uh I think a
[12:33] tweak here, a tweak there and uh we'll
[12:35] have a plan. Jim.
[12:36] >> Okay. Congressman Hustster, of course
[12:38] you're a Republican. You voted against
[12:40] it. Should that be seen as a repudiation
[12:42] of President Bush's leadership?
[12:45] >> No. But I think it does indicate that
[12:47] there is a lack of confidence by the
[12:50] American people in Washington's
[12:52] leadership. Once again, we're unable to
[12:54] deliver a solution to this problem. You
[12:56] know, the people back home, and I've
[12:58] talked to a lot of them today, they're
[12:59] wondering how we got into this
[13:01] predicament in the first place. We have
[13:03] a Treasury Department. We have the, you
[13:05] know, the Federal Reserve. Why didn't
[13:07] they anticipate it? and they put that
[13:08] together with an energy department that
[13:11] couldn't anticipate an energy crisis.
[13:14] And that's why they're so nervous about
[13:15] taking $700 billion of taxpayer money
[13:19] and giving it to another now new
[13:21] bureaucracy in Washington and say go out
[13:24] and buy $700 billion worth worth of
[13:26] asset. You decide what you're going to
[13:28] buy, how much you're going to pay for
[13:30] it, and then you decide who's going to
[13:32] be able to buy it for how much money. So
[13:35] there is a crisis of confidence at the
[13:37] grassroots level in Washington DC that
[13:40] we're going to have to that we're going
[13:41] to have to address.
[13:43] >> Congressman Scott, as a Democrat who
[13:45] voted against this plan, you share the
[13:47] feeling that there's a crisis of
[13:48] confidence is at the bottom of all of
[13:50] this.
[13:50] >> Well, I think it'd be helpful just to
[13:52] get away from the theater and who's
[13:53] winning and who's losing and get to the
[13:55] point that uh Pete just made. you. The
[13:58] bill authorized the Secretary of the
[14:00] Treasury to buy 700 billion dollars
[14:02] worth of assets at who knows what price
[14:04] and who gets to um unload worthless
[14:08] exotic derivatives and options on on on
[14:11] the government. Uh we need a better
[14:13] plan. The as as Senator McCain pointed
[14:16] out, the administration has the
[14:18] authority to buy uh worthful uh uh
[14:21] mortgage back securities uh those that
[14:24] um have value. there's no point in
[14:26] spending all this money on on on
[14:28] worthless assets. The the what we can do
[14:31] to deal with the credit crisis. uh as
[14:34] the group uh you cited earlier today
[14:36] under uh Pete DeFazio's um uh leadership
[14:40] can do administrative things accounting
[14:42] like the mark to to to market which
[14:44] would expand the uh amount of lending
[14:46] capacity the FDIC uh uh adjustment which
[14:49] would relieve the pressure on people
[14:52] pulling their money out of um uh out and
[14:55] the the net worth certificates which
[14:57] have been used in the past uh which
[14:59] would uh give banks confidence in
[15:02] lending money to other banks.
[15:03] uh we could deal with homeowners,
[15:05] struggling homeowners with the home
[15:07] ownership home homeowners ownership loan
[15:10] corporation that we did in the Great
[15:12] Depression, which when the dust settled,
[15:14] we protected all the all the mortgages,
[15:16] prevented foreclosures, and ended up
[15:18] making a profit. There are a lot of
[15:19] things we can do at virtually no cost to
[15:22] the taxpayer. And why we had start off
[15:25] with a $700 billion purchase of
[15:28] worthless assets is um I think was just
[15:30] a step in the wrong direction. uh we
[15:32] ought not get get lost in who's winning,
[15:34] who's losing, whose fault it was. But I
[15:36] think if we slow down and deliberate and
[15:38] think this thing through, uh we can come
[15:40] up with a much better product.
[15:42] >> Now, Congressman Kjorski, you're a
[15:43] Democrat. You voted for it? And uh why
[15:46] what was it why did what did you see in
[15:48] it that Congressman Scott, your
[15:50] Democratic colleague, did not see?
[15:52] >> Well, of course, I'm on the committee of
[15:53] jurisdiction. So, I've been watching
[15:55] >> the Financial Services Committee.
[15:57] >> That's right. been watching this
[15:58] disaster, if you will, unfold for
[16:00] probably two years now and particularly
[16:03] since last a not this immediate past
[16:05] August, but the August before that when
[16:07] the uh uh subprime mortgage problem was
[16:11] created and then we saw the
[16:13] deterioration that occurred in October
[16:15] when the the auction market started to
[16:18] fail and then we saw the uh the uh
[16:21] infection spread throughout the
[16:23] financial system until now when uh
[16:26] Secretary Pollson came up to the hill 11
[16:28] days ago and said we are now at a
[16:30] disaster stage. I recognize he was
[16:32] right. Jim, with a lot of people, my
[16:34] fellow members also, they don't
[16:35] recognize the Treasury spent $500
[16:38] billion trying to contain this problem
[16:41] going from institution to institution
[16:43] and bailing them out and doing putting
[16:45] certain protections in place. It didn't
[16:47] work. That that odd hawk firewall is not
[16:50] a concept and that's what the secretary
[16:52] recognized. So he came up here and said,
[16:54] "Look guys, we're going to have to put
[16:55] in a firewall. It's going to cost a lot
[16:58] of money, but if we fail to stop this
[17:00] problem now, it's going to cost
[17:02] trillions or perhaps collapse the
[17:04] system." Now, nobody wants that. My
[17:06] three colleagues here tonight certainly
[17:08] don't want to see that failure. I don't
[17:10] want to, and neither do the constituents
[17:12] across America. Our basic problem is
[17:14] they're correct. There's a crisis of
[17:16] confidence and a crisis of credit in
[17:18] America and both of them are very much
[17:20] related. And the great the worst problem
[17:22] that we have is probably a lack of faith
[17:25] and trust by constituents out there to
[17:27] take our word for it that there is a
[17:29] problem.
[17:30] >> Congressman Lehood, you agree that first
[17:32] of all, why did you vote for it? Uh and
[17:34] then uh and then do you agree that your
[17:37] constituents there in Poria, Illinois
[17:39] may not think that this job can be fixed
[17:43] by people who are running things right
[17:44] now?
[17:46] Well, look, it we're elected to fix big
[17:48] problems, Jim, and uh that's that's what
[17:51] uh people expect us to do and uh that's
[17:53] the reason that I voted for it. The
[17:55] infrastructure of our financial system
[17:57] uh cannot fall down around us because it
[17:59] does hurt people. I'm just a few blocks
[18:01] from Main Street here in in in Peoria.
[18:04] And this is truly Main Street America.
[18:06] And people in central Illinois uh want
[18:09] Ray La Hood to fix the problem and uh
[18:11] stop the blame game uh that uh is
[18:14] prevalent in Washington DC uh and make
[18:16] sense out of it. And I I believe that uh
[18:19] the plan the compromise plan that was
[18:21] put forth uh was about as good as uh we
[18:24] can get. But uh apparently there weren't
[18:26] 218 uh people that felt that way. And uh
[18:30] so as I said earlier, there's going to
[18:32] have to be some tweaking here and there.
[18:34] uh perhaps some of the things that Bobby
[18:36] Scott suggested in order to uh find the
[18:38] 218 votes, but we're responsible uh to
[18:42] uh fix the problem so that people on
[18:44] Main Street and Poria uh don't see their
[18:47] 401ks diminished between 20 and 40%.
[18:50] Jim, as I was driving from Chicago to
[18:52] Poria last night to get home, a friend
[18:54] of mine called me. He just retired from
[18:56] Caterpillar. He's not a Wall Street
[18:58] mogul. He doesn't have a lot of money.
[19:00] He lost $66,000 yesterday as a result of
[19:03] an 800 point drop in the stock market.
[19:06] Uh those are real dollars to people who
[19:08] are just retiring and want to live on
[19:10] their 401k and they're expecting people
[19:13] like us to fix it and I think we have
[19:15] the ability to do it. That's why I voted
[19:17] for the plan yesterday. But Cong
[19:19] Congressman Huxster, you've got a a main
[19:22] street in Grand Rapids just up the road
[19:23] from Peoria and you saw it differently.
[19:25] You voted against it. What? Explain
[19:28] that. Well, I didn't think that the
[19:30] program that was presented yesterday was
[19:33] a program that was going to work. I
[19:34] think uh some of the things that Bobby
[19:36] talked about were things that we became
[19:38] aware of over the last 3 or 4 days that
[19:40] there was an alternative way to go or
[19:42] that there were things that we could
[19:43] attach to this package that would make
[19:46] it better. Now, Bobby and I serve on the
[19:48] same committee, education and the
[19:49] workforce. We don't agree very often,
[19:52] but I can tell you that the plan that he
[19:54] outlined, if we add that to the plan
[19:57] that was presented to the House uh to
[19:59] the House yesterday, I think we don't
[20:02] end up with 218 votes. We potentially
[20:05] end up with something close to 300
[20:07] votes. You heard Ry say that he would be
[20:09] oppo or that he would accept some of
[20:11] those things. I would accept most of
[20:12] what Bobby outlined uh in including some
[20:15] kind of cut in capital gains. I think
[20:18] the objective here should be for us to
[20:20] get to a point rather than getting to
[20:22] the magic number of 218 votes. Wouldn't
[20:25] it be great if we sent a signal to the
[20:27] American people, to the markets, and to
[20:30] foreign investors that we can put
[20:33] together a plan that's going to get 300
[20:36] 325 votes so that there is a clear
[20:39] signal that regardless of who wins on
[20:41] election day on November 4, the House
[20:44] and the Senate have set a clear
[20:45] direction and it's not going to change
[20:48] when we get to a new administration.
[20:50] >> Congressman Scott, do you think that's
[20:51] possible? Can you do that? Can you see
[20:53] can you see 300 votes eventually going
[20:55] for this if they make some of the
[20:56] changes that you've outlined a moment
[20:58] ago with some others that others may
[21:00] have?
[21:00] >> I think we all agree that there is a
[21:02] serious problem and we have to do
[21:04] something and I think the first step the
[21:06] the administrative kinds of things that
[21:07] I outlined are things for which we can
[21:09] get a clear consensus. Uh conscientious
[21:12] people I think can agree on those. There
[21:13] may be some things we would we would
[21:15] disagree on but we ought to at least
[21:16] take this first step. uh those
[21:18] administrative things, the mark
[21:20] tomarket, the FDIC, the U net worth
[21:23] certificates, uh those kinds of things I
[21:25] think we can agree on will would would
[21:27] fix a lot of the problem at no cost to
[21:30] the taxpayer. And you ought to do those
[21:32] first. I think if we just take some time
[21:34] and think through this thing, we can put
[21:35] a good bill together.
[21:37] >> Take When you say take some time,
[21:38] Congressman Scott, everybody's saying
[21:40] it's got to be done quickly or because
[21:41] the crisis is is right here. What What
[21:44] do you mean by time? How much time?
[21:45] Well, uh, if we just take some time and
[21:47] think it through, uh, um, we can do
[21:50] things in stages. We don't have to do
[21:52] everything tomorrow afternoon, right?
[21:53] >> Um, but your vote is still in play,
[21:56] right? I mean, you might you might you
[21:58] might actually end up voting for a
[22:01] rescue plan if it's modified.
[22:03] >> Well, well, we have to we we have to
[22:04] pass something. Um, and and and if we
[22:07] put a good package together, I think 300
[22:09] votes is not unreasonable to expect. But
[22:12] if you try to if you try to get
[22:13] everything in it and if you try to
[22:15] suggest that the secretary of the
[22:17] treasury should have $700 billion that
[22:19] he can spend on whatever he wants for
[22:21] however much he wants without judicial
[22:23] oversight which without any oversight at
[22:25] all which is the first suggestion I
[22:27] think you're going to have have trouble
[22:28] if we sit down and work it out uh agree
[22:31] on what we can do and pass that get that
[22:34] done and then some things uh that we may
[22:36] not agree on uh we we'll have to argue
[22:39] that out but there's so so many things
[22:40] that would make a big difference in
[22:43] credit availability that we can do
[22:45] almost immediately uh that we ought to
[22:47] agree on and get that done.
[22:49] >> Congressman Kenjorski, as you say,
[22:50] you're on been on the committee who's
[22:51] been watching following all of this is
[22:53] what Congressman Scott, Congressman
[22:55] Hustra, and others have said, is that
[22:57] possible to get this thing together and
[22:59] and change it quickly enough and get it
[23:01] done in such a way to resolve this
[23:03] crisis?
[23:04] >> The magic word is whether it's quickly
[23:06] enough, Jim. And uh from what we've been
[23:08] told by experts on both sides, both
[23:11] political parties, experts in government
[23:13] and in the academic world, they say it's
[23:16] a matter of a limited time before this
[23:18] really explodes. I think you can see
[23:21] what happened here just by our failure
[23:23] to act yesterday cost us already 1
[23:26] trillion200 billion $500 billion more
[23:30] than the whole plan would have cost us
[23:32] just in the the loss in the command
[23:35] yesterday. Congresswoman the Hood was
[23:36] talking about in Peoria. I lost so many
[23:39] thousand dollars.
[23:40] >> Absolutely. And that's going to happen.
[23:41] And I've been on the telephone for the
[23:43] last several days to small business
[23:45] people. Their lines of credit are
[23:47] running out. They're being denied
[23:48] financing from banks. Within a matter of
[23:51] weeks, people will have to be laid off.
[23:53] Expansion of business won't occur. A
[23:55] major American corporation has exhausted
[23:57] its line of credit. And if they can't
[23:59] get additional new credit, they won't be
[24:01] able to make payrolls within two weeks.
[24:03] We're talking about tens of thousands of
[24:05] jobs in that instance. This is not We
[24:08] started the program wrongly. Somebody
[24:10] described as a bailout of Wall Street.
[24:12] They're not one of these four members to
[24:14] give one hell of a damn about the people
[24:15] on Wall Street. We get We represent the
[24:18] people on Main Street. And we know that
[24:21] they're the ones that are really going
[24:22] to suffer when the economy implodes.
[24:25] >> Well, let's go around on that.
[24:26] Congresswoman the Hood. Is that the is
[24:28] that the is that been the problem here
[24:29] with the public from the beginning? It
[24:30] was seen as a bailout of Wall Street,
[24:33] not a rescue plan.
[24:34] >> Well, well, look at I I'm told that
[24:36] Secretary Pollson is a genius when it
[24:38] comes to knowing the ins and outs of
[24:40] this, but uh look at he's not a genius
[24:42] when it comes to communication. And uh
[24:45] we need people to communicate. Uh and I
[24:48] guess those of us that represent 6 or
[24:51] 700,000 people are pretty good
[24:53] communicators. And uh so I think what uh
[24:56] Representative Kandjorski is saying is
[24:58] uh is probably proof in the pudding. Uh
[25:01] we need people to communicate that this
[25:03] is going to help people on Main Street
[25:06] in Peori, Illinois. And uh as I've been
[25:09] talking to bankers today and common
[25:11] ordinary citizens, uh they understand
[25:13] that we need to fix a big big huge mess
[25:16] that we have and it'll be up to us to do
[25:19] it.
[25:19] >> What are you hearing from the folks in
[25:21] Grand Rapids? Congressman Hooker, they
[25:23] want this thing fixed, too. Are they
[25:25] concerned about bailing out Wall Street?
[25:27] >> Well, I think it's very clear they want
[25:30] this fixed. I talked to a number of my
[25:31] small and medium-sized business folks.
[25:33] Some of them were very angry. Their
[25:34] credit lines are running out. They said,
[25:36] "Pete, we need it fixed and we need it
[25:39] fixed quickly." I did some door-to-door
[25:41] campaigning today. They view this as a
[25:44] bailout of Wall Street and they're very
[25:46] nervous about it, but they also
[25:48] recognize that it needs to be fixed. One
[25:50] final point. I think in Congress, we got
[25:53] to be very, very cautious about taking a
[25:55] look at what the market does on any
[25:57] given day. It was down 700 and some
[26:00] points yesterday. It was up almost 500
[26:02] points today. Should we then infer that
[26:04] Congress not being in session is good
[26:06] for the market, so we should maybe stay
[26:08] home two or three more days and we'll
[26:10] recover everything we lost? No. That's
[26:12] silly. But what we do need to recognize
[26:14] is and work with our constituents that
[26:16] we are developing a long-term plan that
[26:19] will enable us to get back to financial
[26:22] stability and economic growth. That is
[26:24] what we have to be focused on, a
[26:26] long-term solution. We can't be swung by
[26:28] major fluctuations in the market from
[26:31] day to day. And I think, you know, as
[26:33] others have said, I think all four of us
[26:35] are committed to getting a solution
[26:37] done, doing the right thing. And I think
[26:40] that there's common ground that the four
[26:42] of us representing different factions of
[26:44] our political party can come together
[26:47] and develop a very broad-based consensus
[26:51] package.
[26:51] >> Congressman Scott, can it be done on
[26:53] Thursday? I don't know if it can be done
[26:55] on Thursday or Friday or Saturday or or
[26:57] or Sunday or Monday, but I think if we
[27:00] are shown to be working on it and coming
[27:02] up with something that actually works,
[27:04] passing the bill that doesn't do
[27:06] anything other than allow the Secretary
[27:08] of the Treasury to buy worthless assets
[27:10] for $700 billion does may not in my
[27:14] judgment would not do anything for
[27:15] credit. We need to target our assistance
[27:18] in such a way and draft a bill in such a
[27:20] way that will actually solve the problem
[27:21] that we're trying to solve. Well, I
[27:23] think the four of you just did, so we'll
[27:25] leave it right there. Thank you all four
[27:27] very much. Thank you.
[27:36] >> Next, the impact of the crisis on
[27:38] personal finances. Margaret Warner has
[27:40] that story.
[27:42] >> The meltdown on Wall Street and the
[27:44] credit market crunch is causing ordinary
[27:46] Americans deep anxiety about their own
[27:48] financial security. To help make sense
[27:50] of how to navigate the current financial
[27:52] turmoil, we turn to two writers, Brent
[27:55] Arens, personal finance columnist for
[27:57] the Wall Street Journal online, and Jane
[28:00] Bryant Quinn. She's the best-selling
[28:01] author and columnist for Newsweek and
[28:03] Bloomberg.com.
[28:05] Welcome to you both. Uh Jane Quinn, we
[28:07] spoke last week, the week that Lehman
[28:09] Brothers tanked and the government took
[28:11] over AIG. Has the situation gotten
[28:14] appreciably worse for ordinary Americans
[28:16] since then in terms of the impact it's
[28:18] having?
[28:19] Yes, it has. You just have to look at
[28:21] what happened to the market uh
[28:23] yesterday. It came back up today, but
[28:26] people are suddenly aware that they
[28:28] faced some terrible losses in their
[28:30] retirement plans, in their investments.
[28:32] And I would say that the level of fear
[28:34] has ratcheted up considerably, and
[28:36] that's not good for the economy. It's
[28:38] not good for jobs. So I I think that
[28:40] what we've seen in the market in not
[28:41] passing this package and people suddenly
[28:44] looking at the at the edge of the cliff
[28:46] and say my gosh this could be real
[28:49] trouble. I think that's a huge
[28:50] difference since we last talked Margaret
[28:52] I think people are a little more
[28:53] comfortable then saying I don't think
[28:55] this is going to affect me this is a
[28:56] Wall Street thing. I think they now see
[28:59] the extent to which it's going to affect
[29:00] all of us. And Brent Erenss, do you are
[29:03] you are you seeing that say in terms of
[29:05] credit? We heard the congressman talking
[29:07] about small businesses not being able to
[29:09] get credit. Is that worse than two weeks
[29:11] ago or are we just more aware of it?
[29:14] >> Well, I think it's a it's a combination
[29:15] of both. Um I think what's really
[29:17] happened in the last couple of days is a
[29:19] loss of confidence as well in the
[29:21] ability of the political system to deal
[29:23] with this. I mean what happened on
[29:26] Monday was just a harbinger of what we
[29:28] might expect if this system uh if this
[29:31] process collapsed and we were not able
[29:33] to get some kind of rescue package. Um
[29:36] you know I I like to tell people I was
[29:38] actually on Monday morning I was working
[29:39] on a column. I was going to be advising
[29:41] people you know about buying the market
[29:43] and about investing long-term and when
[29:45] the deal collapsed I was so stunned. I
[29:47] mean, I can't write that with any
[29:48] confidence until I am sure or feel
[29:51] confident that W Washington is going to
[29:53] step in and actually do something to fix
[29:55] this problem.
[29:56] >> Meaning that for now, you would not be
[29:57] advising people to follow the classic
[29:59] advice, which is buy now because
[30:01] everything's cheap.
[30:01] >> Listen, I am always I'm usually a a guy
[30:05] who buys in a panic. I usually advise
[30:06] people to buy buy in a panic. I wasn't
[30:09] phased by the 1998 crash, uh the
[30:12] financial cr crash in 2001, 2002, 2003.
[30:15] But this is totally different because if
[30:17] this if the credit system seizes up
[30:19] completely and our politicians can't fix
[30:22] it and certain people uh unfortunately
[30:25] in the media play uh sort of political
[30:27] games and demagoguic games with this
[30:30] then we you know
[30:32] >> you just have to go I mean I've tried to
[30:33] describe this to people. I've said
[30:35] listen look at the Jimmy Stewart movie
[30:36] it's a wonderful life. Look at the run
[30:38] on the bank and look at, you know, Jimmy
[30:39] Stewart standing up on the table in the
[30:41] in this building alone and explaining to
[30:43] people that their money isn't held in
[30:44] the bank. Now, imagine a run on the bank
[30:47] on a massive scale. Imagine not just
[30:48] Wall Street banks. Imagine every bank
[30:50] says, "Well, we can't pay you because we
[30:52] can't get our money out of another
[30:54] institution across the road because
[30:55] they're, you know, they can't get their
[30:57] money out of a third institution." Now,
[30:58] I'm assuming it won't get to that
[31:00] because it can't do. But you look at
[31:02] this what was allowed to happen on
[31:04] Monday and it really is very hard to
[31:06] have confidence. Jane Quinn, a very
[31:07] scary picture. What can ordinary
[31:09] Americans do to weather this storm? What
[31:12] is the most important thing?
[31:14] >> I think one of the most important
[31:15] things, and this is something that, you
[31:17] know, personal finance writers like me
[31:19] and like Brent tell people all the time,
[31:21] and the first thing is that you need to
[31:22] have savings. If you have some cash in
[31:24] the bank, something that can weather
[31:27] carry you through times like this,
[31:28] that's a really important thing. And
[31:30] that's something people are taking a
[31:32] look at today. I think I also have to
[31:34] say although I am tell you I'm just as
[31:37] scared as Brent is in terms of what
[31:38] could happen here with the
[31:40] irresponsibility we see all around us in
[31:43] in downtown Wall Street and and with our
[31:46] politicians. But nevertheless, I just
[31:50] don't believe that this is the end of
[31:52] America. I don't think it's the end of
[31:53] our corporations or the end of uh of uh
[31:56] uh the fact that our stocks eventually
[31:59] will go up, all that sort of thing. So I
[32:01] I I would say that people who are still
[32:03] investing for the long term, that column
[32:06] Brent was trying to write the other day,
[32:08] they still have to keep on making their
[32:11] regular contributions to it because if
[32:14] you if you bail out now and hide, I
[32:17] don't think you're going to get back in
[32:18] at a time when you would like to get
[32:20] back.
[32:20] >> Don't jump out of the market at this
[32:21] point. Don't jump out of the market. I
[32:23] agree with Jane entirely. And if you are
[32:24] on a a dollar cost averaging plan, when
[32:27] you're putting in a bid each month,
[32:28] stick with that plan. stick with that
[32:30] plan and do not jump out of the market
[32:32] at this point.
[32:33] >> Okay, Jane, back to you. You said people
[32:35] should have savings, meaning cash. All
[32:36] right, where can you put it? Where is it
[32:38] safe? I mean, we all know that the FDI
[32:40] ensures up to sort of a h 100,000 per
[32:43] person per bank. But all these banks are
[32:45] now consolidating, merging. I mean, do
[32:47] you have to keep moving your money
[32:49] around to a bank that hasn't been taken
[32:50] over by another bank you may have an
[32:52] account in?
[32:53] Well, you've got to keep it at that
[32:55] 100,000 level unless they do go ahead
[32:57] and raise the limit even if temporarily
[33:00] to 250,000 which might give people a
[33:02] little more comfort. But there there's
[33:04] something you can do actually though if
[33:06] you have a if you have a big account in
[33:08] a bank and it's in your name and its
[33:10] savings and say say you're married, if
[33:12] you put your spouse's name on it, you
[33:14] know you're insured for 100,000 and your
[33:16] spouse is insured for 100,000 on that
[33:18] account. So suddenly you have double the
[33:20] insurance. If you've got two kids, you
[33:22] could add their names to the account and
[33:24] and each one of you has uh a thousand
[33:28] dollar $100,000 worth of insurance. So,
[33:30] if you go to your bank and ask, is there
[33:32] a way if I you have a really big account
[33:35] there, is there a way that I can bring
[33:37] all of this under insurance, there are
[33:39] some ways you can do it. So, I think you
[33:41] need to pay attention to that. One other
[33:42] thing Margaret just in terms of the
[33:44] safety you know we all are used to the
[33:46] idea investing for the long term again
[33:48] as we were talking and saying you ought
[33:50] to have be in stocks but what is the
[33:52] long term I think that if you have money
[33:54] you're going to need not just next week
[33:56] but but in the next four years you know
[33:59] that kind of money you should never have
[34:01] invested in stocks because you don't
[34:03] know what's going to happen the whole
[34:05] idea that I'm not going to need it for
[34:06] two or three years so it's safe to put
[34:08] in the market is clearly wrong. I don't
[34:11] think you should be in the market unless
[34:13] you have money you are pretty sure
[34:14] you're not going to touch for 12 or 15
[34:17] years. If it's going to be one to four
[34:19] years, that should always be kept safe.
[34:21] And maybe one thing you should do as
[34:22] you're as you're looking at your
[34:24] finances now is say, "Okay, maybe I
[34:27] haven't had it allocated right and I
[34:29] should have more money set aside in safe
[34:31] places. I should say, okay, for the long
[34:33] term, I'll keep on putting it in
[34:35] stockowning mutual funds and then sort
[34:37] of that money in the middle, put it in
[34:39] bond funds." So Brett, do you agree that
[34:42] you ought to take a look at your
[34:43] portfolios right now? And even if you're
[34:45] near retirement or in retirement, you
[34:47] should think about changing the
[34:48] allocation.
[34:49] >> Oh, absolutely. I mean, one of the uh if
[34:51] a positive thing comes out of this is
[34:52] that people actually pay attention to
[34:54] what's in their 401k.
[34:56] Um it's never the wrong time to do the
[34:58] right thing. people should be uh taking
[35:01] a look at their allocation, making sure
[35:03] that they're uh spread across a variety
[35:06] of mutual funds of different asset
[35:08] classes and different investment styles.
[35:10] There's more options out there than
[35:12] there ever were before. You should think
[35:14] globally and not just US stock market.
[35:16] Um and of course, as you get older, uh
[35:18] the more money you should have more
[35:20] money in, uh less volatile investments,
[35:22] including bonds, um and less money in
[35:25] stocks. And if you're younger, of
[35:25] course, you have more money in stocks.
[35:27] Can I ask you both a quick question?
[35:28] Jane, quick one to you. What if you were
[35:30] planning a major purchase this fall? New
[35:32] house, new car. I mean, should you go
[35:35] ahead or is now the time to retrench?
[35:38] >> Well, I if you are the least bit unsure
[35:42] of your job, and I think more of people
[35:44] are going to discover they're unsure of
[35:45] their jobs, this is a good time to
[35:47] retrench. It's a good time to pay off
[35:49] your debt. I wouldn't mind putting off a
[35:51] car purchase for another year. I'd feel
[35:53] very comfortable doing that. A house, of
[35:55] course, is another matter. A house is a
[35:58] lifestyle decision. You know, it's not
[35:59] an in clearly not an investment decision
[36:02] anymore. So, if if you've had a new
[36:04] baby, you need to move. If you're going
[36:06] to move to take a new job, and if of
[36:09] course you have enough for a down
[36:10] payment because you need a pretty big
[36:11] down payment now to buy a house, it
[36:13] would be a good time to buy a house. But
[36:15] I wouldn't try to do it for trading up
[36:17] reasons or investment reasons. That
[36:19] would be just nuts.
[36:20] >> And Brett, quickly, how what is your
[36:21] view on that? How important is it right
[36:23] now to be paying off that credit card
[36:24] debt?
[36:25] >> Oh, absolutely. Absolutely. Paying off a
[36:26] credit card is this is the simplest
[36:28] piece of financial advice you give
[36:29] anyone. Having carrying credit card debt
[36:31] is like walking up a down escalator. As
[36:34] long as you just keep walking, you're
[36:36] going to keep walking and walking
[36:37] walking and get nowhere. You have to put
[36:38] your head down and run to the top of
[36:40] that escalator and get out of that debt
[36:42] trap. Um, in a in a time like this, the
[36:45] one thing you can control to some degree
[36:47] is your family budget. It's not just the
[36:49] big ticket items, but take a look at
[36:50] recurring expenses and discretionary
[36:52] expenses. Really do try and economize
[36:55] and find some savings and put more cash
[36:57] aside. I do think we could be in for
[36:59] some bumpy times, not just in the stock
[37:01] market, but also in the economy. And I
[37:03] do want people to be, you know, better
[37:04] prepared for that.
[37:06] >> Brett,
[37:07] I'm sorry we are totally out of time,
[37:09] but thank you both very much and we'll
[37:11] definitely have you back. We need your
[37:12] advice. Thanks.
[37:14] And in our online insider forum, you can
[37:17] ask two financial columnists about how
[37:19] the crisis will affect you personally.
[37:21] As always, go to pbs.org and then scroll
[37:24] down to Newshour Reports.
[37:33] Now, the second of our reports from
[37:36] Florida on the presidential campaign.
[37:38] Judy Woodruff's subject tonight is voter
[37:41] turnout.
[37:42] These are among the many underwrites
[37:45] that
[37:45] >> every week for the past four months at
[37:47] the Miami Dade County Auditorium, there
[37:50] have been three ceremonies one after the
[37:52] other like this one last Friday morning.
[37:59] Emotions ran the gamut from tears to
[38:02] cheers as 1,200 immigrants from 73
[38:06] countries pledged loyalty to their new
[38:08] home country.
[38:13] Within minutes, these brand new US
[38:15] citizens, more than half from Latin
[38:17] America, walked out into the bright
[38:19] South Florida sunlight to confront
[38:22] arguably the most important
[38:24] responsibility and privilege of
[38:26] citizenship, registering to vote.
[38:29] >> Would you like to register to vote,
[38:30] ma'am?
[38:31] Greeting them were dozens of
[38:33] representatives of the McCain and Obama
[38:35] campaigns, urging them to register and
[38:38] critically to declare a party
[38:40] affiliation. New citizens are among the
[38:43] main targets of both presidential
[38:45] campaigns in a race that has drawn even
[38:48] in Florida. Polls show a small advantage
[38:51] for John McCain has shrunk further in
[38:53] the past couple of weeks. And with the
[38:56] deadline for new voter sign up looming
[38:58] October 6th, there's even more urgency
[39:01] to the competition.
[39:03] >> Did you choose a political party?
[39:04] >> Yes.
[39:05] >> Which one?
[39:06] >> Republican.
[39:06] >> Why?
[39:07] >> Because the the I feel related. You
[39:10] know, I like it.
[39:12] >> It's important that, you know, as
[39:14] citizens, we make our voice heard. And
[39:17] it's rare that, you know, in a
[39:19] democracy, in a country where there's a
[39:21] democracy, every voice counts. And this
[39:23] is a country where democracy matters.
[39:27] >> The largest ethnic group up for grabs
[39:29] here, Hispanic voters. They used to be
[39:32] mostly from Cuba and driven by
[39:34] anti-Castro sentiment voted reliably
[39:37] Republican. But increasingly, the
[39:39] younger generation of Cubanameans is
[39:42] supporting Democrats. And the newest
[39:44] Latino voters moving into Florida from
[39:47] Puerto Rico and other Latin American
[39:49] nations are also trending more
[39:51] Democratic
[39:52] >> percentage-wise. In actual numbers,
[39:54] Democrats, Democratic Hispanics, now
[39:56] outnumber Republicans for the first time
[39:59] in forever.
[40:00] >> Political scientist Susan Mcmanis of the
[40:02] University of South Florida says it's
[40:05] important for the campaigns to focus on
[40:07] Hispanics, but they must also focus on
[40:10] other voter groups, too. Older folks,
[40:13] young people, Jewish voters, and
[40:15] African-Ameans.
[40:16] We're to the point in Florida where
[40:18] every single block of voters can say,
[40:21] "If you don't win us over, you're not
[40:23] going to win the state." And that's what
[40:25] makes it so important to do
[40:27] microargeting in Florida.
[40:30] >> Hi, how you doing?
[40:32] >> Sorry, I'm with the Obama campaign.
[40:34] Every day for the past few months in
[40:37] South Bay and other towns across
[40:39] Florida, volunteers like Lavell Franklin
[40:42] and paid workers like Enasi Okafor have
[40:45] been going doortodo to door to encourage
[40:48] people to vote for Barack Obama.
[40:51] >> Franklin and Okafur, the first paid
[40:54] campaign worker in this economically
[40:56] depressed part of the state, say this is
[40:58] not the usual voter outreach effort.
[41:01] This time they say there's serious
[41:03] followup.
[41:04] >> We go back to them. Hey, have you voted?
[41:06] Have you voted? Do you need help? Do you
[41:08] need absentee ballot? Do you need a ride
[41:09] to the poll? So, it's more just taking
[41:12] an investment in the person instead of
[41:14] just their vote. It's like, how are you
[41:15] going to make it to the polls?
[41:17] >> Yesterday, I registered a man who was
[41:19] blind a and whose wife thought that um
[41:23] you know, he couldn't vote because he
[41:24] was blind. And um you know, I he was a a
[41:29] strong Obama supporter. He just didn't
[41:30] know how to negotiate the system. It's
[41:33] all part of a carefully drawn plan to
[41:36] attract more African-Ameans, Hispanics,
[41:38] and young people, and to boost already
[41:41] likely popular vote margins in South
[41:44] Florida. Obama's state campaign
[41:46] director, Steve Shale, says their 50
[41:49] offices around the state and more than
[41:51] 10,000 volunteers is unheard of for
[41:54] Democrats. Florida is a is a home to
[41:57] close elections and that you know we
[41:59] don't have to move the entire state for
[42:02] Barack Obama. We just have to do a
[42:03] little bit better than John Kerry and a
[42:04] little bit better than Al Gore.
[42:06] >> In addition, the Obama campaign is
[42:08] reliably reported to have more than 300
[42:11] paid staffers in Florida, contributing
[42:14] to an impression they are out organizing
[42:16] the competition. But the head of the
[42:18] state Republican party, Jim Greer, says
[42:21] he doesn't buy it. On several occasions,
[42:23] I've asked my staff to help me find and
[42:26] locate all these victory offices of the
[42:29] Obama campaign, all these thousands of
[42:31] paid staff people, and we can't find
[42:34] them. I think it's a uh a marketing
[42:36] ploy. I think it's a phantom
[42:38] organization in the state.
[42:40] >> For its part, the McCain organization is
[42:42] sponsoring dozens of phone banks like
[42:45] this one in Miami.
[42:47] Jim Greer also discounts Democrats
[42:50] success in registering more new voters
[42:53] than the Republicans.
[42:54] >> The Democrats are registering anybody
[42:56] with a heartbeat, whether they intend to
[42:58] vote or whether they don't. Uh the
[42:59] venues that they're using to register
[43:01] voters at are venues that typically
[43:03] those uh people would not participate in
[43:05] the political process. They're simply
[43:07] stand signing a a form that says, "Yeah,
[43:10] yeah, I'd like to be a Democrat." So the
[43:11] Democrats use that as a PR uh uh method,
[43:14] too. The other issue to remember is
[43:16] we've been outregistered in 2000 and
[43:19] 2004, but at on election day, on
[43:22] election day, more Republicans went to
[43:25] the polls. Greer is correct that in the
[43:27] last two presidential campaigns, the
[43:29] Democrats advantage in new registrations
[43:32] didn't turn the tide on election day,
[43:34] but independent observers like Susan
[43:36] McManus say that this year the
[43:39] Republicans are playing catch-up. The
[43:41] bottom line is they simply don't have
[43:43] the money that the Obama campaign has.
[43:46] They don't have the paid organizers on
[43:49] the ground. They have started to open
[43:52] headquarters, but they've come a little
[43:53] bit late to the game. But the
[43:55] Republicans in Florida say that's okay.
[43:57] We'll be where we need to be by election
[44:00] day because we already had a very good
[44:03] organization in place tracking back to
[44:05] 2004 and the Democrats are simply
[44:08] catching up with us. In fact, Republican
[44:11] organizer Greg Truax says he even sees
[44:14] improvement in the GOP effort.
[44:16] >> Uh, this is the best coordinated
[44:18] campaign I've ever seen between the
[44:20] Republican Party of Florida and the
[44:21] McCain campaign. Um, we're working um
[44:25] actively. We're phone banking at night.
[44:28] We're uh doing our precinct walks and uh
[44:32] we have a very fired up and excited uh
[44:34] grassroots operation. One group the
[44:36] campaigns are battling over is Jewish
[44:38] voters who used to go reliably
[44:41] Democratic, but this year some have been
[44:43] reluctant to embrace Obama.
[44:45] >> I am here to talk about Senator Obama's
[44:48] record on Israel. It is my goal that
[44:52] everybody in the Jewish community and I
[44:54] am talking to groups throughout the
[44:55] state
[44:57] makes a decision on November 4th based
[45:00] on the truth. At an upscale Jewish
[45:03] community center in Boca Raton, Obama
[45:06] staffer Haley Soyer tackled questions
[45:08] from skeptics and supporters.
[45:11] >> The senator has never been a Muslim.
[45:15] He is a lifelong Christian.
[45:17] >> Independent pollster Jim Kaine says the
[45:20] Democrats have reason to worry.
[45:22] >> It's probably been the diciest thing I
[45:24] think the Barack Obama campaign. It's
[45:26] still not 100% solid for him. There's
[45:29] still a lot of doubts. There's still a
[45:31] lot of the rumors about, you know, is he
[45:32] really a Muslim, is he not? And there
[45:35] have been some kind of uh there's been
[45:36] racial differences between Jewish uh the
[45:40] population and the black population over
[45:42] the historically in this country. So,
[45:45] you know, all of that's come into play
[45:47] here. And then, of course, uh the early
[45:50] the early the early save the Republicans
[45:52] were at least saying is that Barack
[45:53] Obama was as pro-Israel as John McCain.
[45:57] And whether that's true or not, I don't
[45:59] know. But certainly that was a lot of
[46:01] people had doubts about him early on.
[46:05] >> If Barack Obama doesn't become the next
[46:07] president of the United States, I'm
[46:09] going to blame the Jews.
[46:10] >> Democrats are also trying humor with
[46:13] internet videos like this one from
[46:15] comedian Sarah Silverman.
[46:17] >> I'm making this video to urge you, all
[46:20] of you, to shle over to Florida and
[46:23] convince your grandparents to vote
[46:25] Obama. The campaigns are both trying to
[46:28] mobilize armies of young firsttime
[46:30] voters. At a McCain field office in
[46:33] Tampa, college Republicans were calling
[46:36] their classmates, urging them to turn
[46:38] out for an event in the city last week.
[46:42] We found University of Miami students
[46:44] tailgating at a football game Saturday.
[46:47] Several said this is their first time
[46:49] voting and they're registered in Florida
[46:52] rather than in their home state. Kate
[46:54] Dresser, a Democrat, hails from
[46:56] California.
[46:57] >> I knew California would vote the way I
[47:00] wanted to vote. And I think that with
[47:02] the close election in 2000 and even in
[47:05] 2004 that my vote might um actually make
[47:09] more of a difference with the outcome if
[47:11] I registered in Florida.
[47:13] >> Brendan Smith registered as a Republican
[47:16] after moving here from Illinois. It's
[47:18] such a better state than Illinois
[47:19] because Illinois's so um blue that I can
[47:22] have more of a decision here and I so I
[47:24] uh registered right when I came here as
[47:25] a freshman. I've been registered in
[47:26] Florida for now two years.
[47:28] >> The registration of so many new voters
[47:30] by both parties is adding to the
[47:32] unpredictability here in Florida ahead
[47:35] of election day. And for both campaigns,
[47:37] the focus will soon shift from signing
[47:40] up new voters to making sure they
[47:42] actually cast a ballot.
[47:45] University of Miami President Donna
[47:47] Shala says both campaigns have the
[47:50] potential to boost turnout among
[47:52] students. One way or another, I think
[47:54] these young people are going to turn
[47:56] out, particularly freshmen who are
[47:58] voting for the first time. And that's
[48:00] who's living on college campuses who are
[48:03] registering. Do I know whether they're
[48:05] going to vote for the Democrats or the
[48:06] Republicans? Four years ago, they split
[48:09] 50/50 on this campus. We're heavily
[48:12] Hispanic, too. What will they do this
[48:15] year? I can't tell you at this time.
[48:17] >> And that means with exactly five weeks
[48:19] to go, the get out the vote effort in
[48:22] Florida is only going to intensify with
[48:25] both campaigns targeting all voter
[48:27] blocks in the state. The prize,
[48:29] Florida's 27 electoral college votes.
[48:33] They will likely go to the campaign with
[48:35] the best ground game between now and
[48:37] election day.
[48:38] >> Are you a registered voter, sir?
[48:41] Tomorrow night, Judy explores where
[48:43] former Hillary Clinton supporters are
[48:46] headed.
[48:54] And finally tonight, SAS Richard
[48:56] Rodriguez considers the consequences of
[48:58] Mexico's drug war.
[49:02] Who will explain Americans to Mexico?
[49:05] Every day in Mexico's newspapers, there
[49:08] are tallies of the latest casualties and
[49:10] the Mexican government's war on the
[49:11] gangster families that transport
[49:13] Colombian drugs across Mexico and into
[49:16] America.
[49:18] In America, one hears more said about
[49:20] the unruly border separating Pakistan
[49:22] from Afghanistan than about the daylight
[49:25] shootouts taking place in the six
[49:27] Mexican states bordering the US. Since
[49:31] taking office in 2006,
[49:33] Mexico's president, Felipe Calderon, has
[49:36] mobilized his country's armed forces in
[49:39] war against the drug cartels.
[49:42] Following the example of Colombia,
[49:44] Mexico hopes, if not, to eradicate drug
[49:47] traffic altogether, then to disassemble
[49:50] the major cartels, reducing the power of
[49:53] the few.
[49:55] Hollywood knows something about drug
[49:57] use. Last year, deflecting any serious
[50:01] consideration of its own culpability,
[50:03] Hollywood honored No Country for Old Men
[50:06] with an Oscar for best picture.
[50:09] >> The Spanish actor Javier Bardm
[50:12] >> played a cartoon Mexican psychopath on
[50:14] the loose in Texas.
[50:16] >> This was my wife's father's place.
[50:19] >> You married into it.
[50:21] >> That's the way you want to put it.
[50:23] >> I don't have some way to put it. That's
[50:26] the way it is.
[50:28] The movie played on an American fear
[50:30] that Mexican criminality will make its
[50:32] way across the border.
[50:34] Plain to type, American politicians in
[50:37] the US Southwest have voiced alarm that
[50:39] Mexico's violence is spilling over.
[50:42] Border Patrolmen have been shot and
[50:44] corrupted. American drug enforcement
[50:46] agents are being targeted. And indeed,
[50:49] Mexican drug cartels are colonizing the
[50:51] United States. Atlanta is the hub for
[50:54] UPS and Delta Airlines and Mexican drug
[50:58] traffic. In Chicago, Mexicans have taken
[51:01] over the drug trade, serving the streets
[51:03] and the skyscrapers.
[51:05] In the serene national forest of
[51:07] Northern California, marijuana is being
[51:09] quietly cultivated by Mexican outlaws.
[51:12] Mexico has a long history of portraying
[51:14] itself as the vulnerable neighbor.
[51:18] plane to type. Mexico's Attorney General
[51:20] Eduardo Medina Mora complains that
[51:23] grenade launchers and highcaliber
[51:26] machine guns are easily purchased by
[51:29] Mexican gangsters at US gun shows, few
[51:32] questions asked. The weapons are then
[51:35] taken south into Mexico.
[51:37] If Americans are convinced of our virtue
[51:39] in the world, the Mexican accommodation
[51:42] is to human failure. Mexicans
[51:44] >> colors and pattern options with a
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[51:51] by Lenolium City, conveniently located
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[52:01] >> Millions of Americans used to think they
[52:03] couldn't afford their prescriptions
[52:04] month in and month out, that they'd have
[52:07] to cut back or go without their
[52:08] medications altogether.
[52:12] Then they asked us for a second opinion.
[52:15] The Walmart prescription drug program
[52:17] has saved Americans $1 billion in just
[52:20] over a year. It's another way we're
[52:23] working to make quality healthc care
[52:24] affordable and accessible for everyone.
[52:27] Save money. Live better. Walmart.
[52:30] Oregon's economy is hurting and gas
[52:32] prices are out of control. But Jeff
[52:34] Mkeley can't see the forest for the
[52:36] trees. Jeff Mkeley voted to increase the
[52:38] gas tax four different times. And Jeff
[52:41] Mkeley supported all kinds of jobkilling
[52:43] tax hikes. Mkeley voted for higher
[52:45] personal income taxes, higher taxes on
[52:48] businesses, higher property taxes.
[52:50] Mkeley even voted against the kicker tax
[52:53] refund. Jeff Mkeley, he's bad for job
[52:56] growth in Oregon. The National
[52:57] Republican Senatorial Committee is
[52:58] responsible for the content of this
[52:59] advertising. And now in these tough
[53:01] economic times, we just learned Steve
[53:03] Dunn starting to take cooking lessons so
[53:05] he can prepare yes, Campbell soup. Here
[53:08] he is tonight with the circular file.
[53:11] >> Don't you love Campbell soups and
[53:12] crackers lessons?
[53:14] >> That's a good lesson for Campbell Soup.
[53:16] I actually do, believe it or not.
[53:18] Internet circular file. Let's go to
[53:19] Middletown, Ohio. That's where we find
[53:21] Michelle Allen. Now, I'm going to show
[53:23] you a picture of Michelle, and this
[53:24] might explain why she's in trouble with
[53:25] the law. See? Doesn't that tell the
[53:28] story? If ever noticed, she's wearing a
[53:30] cow suit. Police say she was chasing
[53:32] children through the neighborhood.
[53:34] >> What?
[53:35] >> It's unclear why Allan was roaming
[53:37] through the streets in that outfit, but
[53:38] she has been arrested more than 50 times
[53:40] in the past. She's in jail now and
[53:42] police say she refuses to move out of
[53:45] her outfit.
[53:46] >> Utterly chasing children around in a
[53:48] cow.
[53:49] >> Strangest story, guys. See you tomorrow,
[53:51] folks.
[53:55] >> Fisher Communications.
[53:57] Government should be handsoff when it
[53:59] comes to our personal lives, like
[54:00] protecting our right to choose. But
[54:02] Gordon Smith and the Bush Republicans
[54:04] voted to overturn Row versus Wade, which
[54:06] could criminalize abortion and allow
[54:08] government into our personal lives.
[54:10] >> Over and over, Smith votes to take away
[54:12] our fundamental right to choose
[54:14] >> 100% of the time.
[54:16] >> That's wrong.
[54:17] >> I'm Jeff Mkeley and I approve this
[54:19] message because President Bush and
[54:21] Gordon Smith are wrong and I will always
[54:23] protect a woman's right to choose no
[54:25] matter what.
[54:27] This Friday. How you doing?
[54:29] >> Critics rave. Beverly Hills Chihuahua is
[54:31] hilarious and heartwarming.
[54:33] >> I think I'm going to cry. Disney has
[54:34] done it again.
[54:35] >> I have never had my teeth brushed
[54:37] before. It's minty.
[54:39] >> Beverly Hills Chihuahua. Rated PG. See
[54:41] it Friday.
[54:43] >> Each year, Portland Community College
[54:45] helps 86,000 people find their future in
[54:48] today's changing economy. Whether it's
[54:51] training for a new job or getting back
[54:53] to work after a layoff, being the first
[54:56] in your family to go to college or
[54:58] learning new skills for a changing
[55:00] career, becoming a nurse, a welder, a
[55:04] teacher, a success. We're Portland
[55:08] Community College. We're all about your
[55:10] future.
[55:13] This Friday, Saturday, and Sunday,
[55:15] thousands of people will be here at
[55:16] George Morland Plumbing and Tigard. Why?
[55:19] It's our annual fall inventory clearance
[55:21] sale with hundreds of plumbing items on
[55:23] sale, including sinks, faucets,
[55:25] whirlpool bathtubs, and more. All at
[55:27] rock bottom clearance prices. If you're
[55:29] building or remodeling, don't miss it.
[55:31] Friday, Saturday, and Sunday only here
[55:32] at George Morland plumbing in Tiger.
[55:42] >> Fabric Depot, the largest, most complete
[55:44] fabric store in the country. Locally
[55:46] owned right here in Portland. With over
[55:48] 20,000 fabrics to choose from, we'll
[55:50] have everything you're looking for.
[55:52] Andover Fabrics has masterfully rendered
[55:55] the timeless classic children's book,
[55:56] The Very Hungry Caterpillar, on fine
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[56:03] Delight the children with this
[56:04] captivating caterpillar from Andover
[56:06] Fabrics. Fabric Depot. For great
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[56:11] today or shop online.
[56:12] >> A vetinarian deals with all kinds of
[56:14] situations. It has to get through when
[56:16] someone won't listen to reason. Up,
[56:18] Oliver.
[56:20] Well, sounds like perfect practice for
[56:22] Congress. I'm Kurt Shrader and I approve
[56:24] this message because instead of playing
[56:26] partisan games, I'll work for real
[56:28] solutions, fiscal responsibility, bring
[56:30] our troops and money home from Iraq,
[56:32] improve our education system, and invest
[56:35] in renewable energy and a better economy
[56:37] right here in Oregon. Certainly,
[56:39] communicating with these guys is good
[56:40] training for Congress.
[56:42] >> Do you have ADHD? Are you restless,
[56:45] easily distracted, hyper, disorganized?
[56:47] Do you have trouble concentrating and
[56:49] lose things? You may qualify for an
[56:50] investigational medication research
[56:52] study for ADHD. Call Summit Research
[56:55] Network at 503228 CARE.
[56:57] >> The grand opening of Oregon's largest
[56:59] flooring center. Just dial 503 Carpets.