podesta-emails
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*Main Topics:* Gramm controversy, McLobbyists, Fiorina controversy, Social
Security
*Summary of Shift:* Tonight almost every program led with or featured
Gramm's 'nation of whiners' comments. With the exception of CNN, few outlets
seemed to take Gramm's equivocation, that he meant the leaders not the
people very seriously, or even mentioned it. Bill O'Reilly's 'No-Spin Zone'
completely ignored the Gramm remarks and focused almost entirely on
Jackson's scandalous comments. Shows that did not lead with the Gramm
controversy generally led with Jesse Jackson's remarks about Obama, but did
eventually cover the story.
Criticism of Obama's alleged flip-flop on FISA was a recurrent subject of
reports and panel discussions again tonight. Rep. Kucinich continues his
push for impeachment, which FNC meets with the question, 'Is it a waste of
time?' Jonbenet news takes up a considerable amount of airtime.
Highlights
1) 'Nation of whiners'
a. CBS: Considering Gramm's position within the campaign, his remarks
are bad news for McCain
b. NBC: Gramm's claim may worsen voter's perception of McCain's economic
aptitude
c. ABC: As McCain distances himself from them, Gramm stands by his words
d. CNN: Wolf Blitzer interviews Nancy Pfotenhauer
e. MSNBC: Buchanan identifies Gramm's favored economic approach as root
of current national woes
f. MSNBC: Panel finds Gramm's remarks to be in poor taste, but the
substance not too far off-target
2) Other McLobbyists
a. CNN: Lou Dobbs reminds viewers of Fiorina's infamous statement on
outsourcing
b. FNC: David Sirota reminds viewers McCain is surrounded by lobbyists
3) MSNBC: Viagra controversy undermines McCain's outreach to female
voters
4) MSNBC: For McCain, it is best not to mention social security.
No clip
1) CNN: In story on Obama's outreach to women, Jessica Yellin reminds
viewers that McCain voted against the fair pay law.
2) CNN: Dana Bash reminds viewers that McCain uses Gramm as a character
witness and economics expert
3) FNC: Twice on *Special Report with Brit Hume* reporters notify viewers
that, 'While McCain was saying Gramm doesn't speak for him today, Gramm was,
in fact, speaking for McCain today to the *Wall Street Journal* editorial
board,' and once on *Fox Report with Shepard Smith*.
4) FNC: David Sirota calls Phil Gramm's statement an insight into the
mentality of the GOP, that it's the peoples' problem—not the governments.
5) CNN: Panelist reminds viewers that Gramm authored Enron loophole and
his wife profited from it
Clips
Highlight #1
*McCain Having Difficulty Claiming to "Feel Voters' Pain" While Gramm Calls
them "Whiners" *(CBS 07/10/08 6:39pm)
KATIE COURIC: Turning to the presidential race and John McCain is raking it
in. He reported today he raised $22 million in June. It was his best month
yet . . . meanwhile Sen. McCain spent the day distancing himself by comments
made by one of his top advisors . . . Phill Gramm, the former Texas senator
is now a top member of the McCain economic team and in an interview with the
*New York Times* he suggested that the economy's not as bad as we've been
led to believe. Gramm said, "You've heard of mental depression; this is a
mental recession." He went on to say, quote, "We have sort of become a
nation of whiners, complaining about a loss of competitiveness, America in
decline." . . .
[. . .]
COURIC: John McCain made clear he doesn't agree with his old senate
colleague either.
JOHN MCCAIN: Phil Gramm does not speak for me. I speak for me.
COURIC: After a town meeting in Michigan, Sen. McCain was asked if there
might be a spot for Gramm in a McCain administration.
MCCAIN: I think Sen. Gramm would be in Serious consideration for a
Ambassador to Belarus.
COURIC: . . .John McCain and Phil Gramm go way back. Is this a case of
loyalty, personal loyalty trumping political strategy?
JEFF GREENFIELD: *Well of course John McCain endorsed Gramm for president in
1996 and knows that Phil Gramm's passion is economics, which is not John
McCain's passion. *The problem is what Gramm says about economics is in
direct contrast to a lot of what McCain has been arguing about; CEO pay and
corporate greed. Gramm is a passionate deregulator, thinks that this is all
class warfare. *When your top economic advisor is talking about a nation of
whiners when your message this week is I feel the pain of the average
American? Not so hot.*
COURIC: The McCain campaign did not need this.
*McCain Doesn't Think As Highly of Gramm as he did in February *(MSNBC
07/10/08 7:07pm)
BRIAN WILLIAMS: Now we turn to presidential politics and remarks on the
economy by John McCain's campaign co-chair and his senior economic advisor
that the candidate had to disavow . . .
KELLY O'DONNELL: When John McCain stopped for coffee today in hard hit
Michigan he expected to talk about the economy. But not like this.
JOHN MCCAIN: Phil Gramm does not speak for me. I speak for me. So, I
strongly disagree.
O'DONNELL: The trouble for McCain: he has relied on and praised his longtime
friend's expertise.
MCCAIN: There is no one in America that is more respected on the issue of
economics than Sen. Phil Gramm . . .
O'DONNELL: What happened? Gramm is a former senator from Texas with a
doctorate in economics and he told the *Washington Times* he thinks the
country is not in recession right now and says public perception is the
bigger issue.
PHIL GRAMM: You've heard of mental depression. This is a mental recession.
We've never had more natural advantages than we've had today we've sort of
become a nation of whiners.
[. . .]
O'DONNELL: And McCain tried to get as far away from Gramm today when asked
if he might serve in a McCain administration.
MCCAIN: I think Sen. Gramm would be in serious consideration for ambassador
to Belarus. Although I'm not sure the citizens of Minsk would welcome that.
O'DONNELL: With voters worried about jobs and mortgages, advisors say all
this attention today ended up giving McCain a bigger megaphone to claim that
he gets it.
*Gibson: 'Obama Was Quick to Pounce and McCain was Quick to Renounce'* (ABC
07/10/08 6:31pm)
CHARLES GIBSON: So how bad is the economy? Not all that bad, says a key
economic adviser of John McCain. Former Texas senator, Phil Gramm said
today, 'America is in a mental recession.'
'You've heard of a mental depression,' said Gramm, 'This is a mental
recession.' Adding, 'We've become a nation of whiners.' Well, the
fundamentals of the economy may be sound, as Gramm argues but there are a
lot of people suffering right now. So Barack Obama was quick to pounce and
John McCain was quick to renounce Gramm's remarks. [...]
DAVID WRIGHT: [...] This isn't the first time in this race that a top
adviser has stepped all over his candidate's message and, for John McCain,
it's a serious consideration because the economy is the number one issue for
voters and he has been working hard this week to show people he gets it.
Today John McCain was in one of the hardest-hit areas of the rust belt,
trying to convince voters he feels their pain.
JOHN MCCAIN: People are hurting. People are hurting very badly.
WRIGHT: But one of his top economic advisers was sharply at odds with
McCain's message.
PHIL GRAMM: You've heard of mental depression? This is a mental recession.
WRIGHT: Former senator, Phil Gramm suggested to the Washington Times that
the bad economy is just a figment of peoples' imagination.
GRAMM: You just hear this constant whining, complaining [...]. We've sort of
become a nation of whiners.
WRIGHT: The former Texas senator enjoys cult status among many fiscal
conservatives.
MCCAIN: There is no one that is more respected on the issue of economics
than Senator Phil Gramm.
WRIGHT: But today, McCain couldn't distance himself quickly enough.
MCCAIN: Phil Gramm does not speak for me. I speak for me.
WRIGHT: Knowing his rival, Barack Obama would be ready to pounce.
[Obama's 'Dr. Phil' response.]
MCCAIN: You're talkin' about Dr. Phil; he's Dr. No. I've been leading us
forward with plans of action to address our economy and our need for energy
independence. He's Dr. No.
[Obama's response on whether the recession is imaginary.]
WRIGHT: That's certainly what voters seem to think.
GUY ON STREET: I think it's way more than just our imagination. It's in our
face and we need help.
WOMAN AT GAS STATION: What do I whine about? High grocery prices. You know,
the price of milk and eggs.
WOMAN ON STREET: It's real, not just mental.
WRIGHT: Today, in light of the controversy, McCain was asked, 'Is he still
seriously considering Phil Gramm to be his treasury secretary'?
MCCAIN: I think Senator Gramm would be in serious consideration for
ambassador to Belarus. Although I'm not sure the citizens of Minsk would
welcome that.
WRIGHT: But *Gramm himself is standing by his remarks* and his point seems
to be that, while consumer confidence has been at record lows, other
economic indicators are pretty good; that the fundamentals are sound. Of
course, that's no consolation to folks who worry about their mortgages and
who are paying these high prices at the pump.
*Blitzer Interviews Pfotenhauer on Gramm and Viagra* (CNN 07/10/08 4:16pm)
WOLF BLITZER: Clarify, because Carly Fiorina, the top adviser to the
republican candidate, she said it's sort of unfair that these insurance
companies cover Viagra for men but don't cover birth control for women.
NANCY PFOTENHAUER: The whole root problem is that American consumers are
not really dealing directly with their insurance companies. They're not the
customers, if you will; their employers are the customers. That's why
Senator McCain's plan tries to put the consumers back in the driver's seat.
That's why we've established a program that would give every family a
refundable $5,000 tax credit to purchase your own insurance.
BLITZER: Is there a double standard here we're talking about, one standard
for men, another standard for women that Senator McCain would like to
rectify?
PFOTENHAUER: What he wants to do is let each consumer decide or each family
decide what should be in their own package, and they should be the ones
dealing with the insurance company and be able to shop across state lines.
That's one of the big components of our proposal.
BLITZER: […] As far as birth control, he doesn't believe that should be
funded, because he opposes abortion, right?
PFOTENHAUER: He believes that American families should be able to choose
what their insurance covers. For example, if you're a woman and you're past
child bearing age, you might not be paying for maternity benefits or, if
you're a single man, you may not want—
BLITZER: But, if you're a young woman who wants birth control—
PFOTENHAUER: Then you should be able to purchase a program that has the
things that you decide is [sic] important to you. If you have a child, for
example, or a family member with a chronic illness, you may want to be able
to choose a plan that will allow you to treat that person over decades.
BLITZER: So McCain would support that. What about Viagra? I don't know if
you've had a chance to discuss it with him since he had the exchange with
that reporter.
PFOTENHAUER: I think what he would say is every American family should be
able to put in to the insurance matters that matter to them. If Viagra
matters to you, then you would be shopping for an insurance program that
also covered that. However, if it didn't, if you were a single woman, then
you wouldn't be willing to pay for money that covered things like that, at
least, in most instances.
BLITZER: Let's talk about former senator Phil Gramm. He told the *Washington
Times*, and I'll put it up on the screen, 'You've heard of mental
depression, this is a mental recession.' He went on to say, 'We have sort of
become a nation of whiners.' Now, *Phil Gramm is not just a former senator.
He's a close friend, a top adviser. He and John McCain are extremely tight.*
PFOTENHAUER: Well, Senator Gramm has had a long history of being a leader on
economic issues and he was the author of the Gramm-Rudman-Hollings
legislation, bipartisan legislation that helped bring the budget back under
control. Clearly he doesn't speak for Senator McCain. Senator McCain speaks
for senator McCain. He has spent the last year crossing the country. Some
people who have traveled with him say thousands of times listening to the
American people.
BLITZER: Just to be precise, Senator McCain doesn't agree with Phil Gramm
that there is a 'mental recession' under way right now, not a real economic
recession.
PFOTENHAUER: He made that perfectly clear today. In fact, I think he said,
'When I'm talking to someone from Detroit who's lost their job, that's not
mental, that's real. When I'm talking to a mother who can't find money to
pay for education,' or I would add in there, health care, facing rising
prices in gas and groceries, that's why he's developed a program that will
deal with the underlying problems as well as providing immediate relief. I
have to say, Senator Obama doesn't do that. He has a band-aid the approach
to these things and he says no across the board, whether it's energy or tax
policies, he says, 'No,' to these things.
BLITZER: But you know this other statement, he said that 'We have sort of
become a nation of whiners.' That's about as politically, I guess, you know,
bad to say something like that as you can imagine.
PFOTENHAUER: Well, I—
BLITZER: There are a lot of people who are really suffering.
PFOTENHAUER: Absolutely there are a lot of people who are really suffering.
I think all of us have someone within our family, our extended family who is
feeling the pain, if not many members. We know it's real. Particularly there
are pockets of this country where the—as the economy has evolved, the
industries that they work in have kind of been left behind. They have to
transition.
BLITZER: Will Phil Gramm remain a key player in this campaign?
PFOTENHAUER: I think Senator McCain will speak to that. He's made it clear
he disagrees with Senator Gramm on this, as plainly as he could. Of all the
folks out there who are in the political world, I think Senator McCain is
someone who makes—you know, who speaks for himself. He's very, very clear
and he talks straight to the American people, as you know.
BLITZER: Is this something that's under consideration, to dump him?
PFOTENHAUER: I've heard no even murmurs about these things.
*Buchanan: Economic Problems of Today Caused by the Economic Stylings of
McCain and Gramm *(MSNBC 07/10/08 5:05pm)
CHRIS MATTHEWS: Phil Gramm's comments on the state of the economy . . .
[reads Gramm's quote] an economic and political autopsy, please.
JIM CRAMER: Well first, can I say, actually, I like Phil Gramm and I think
the second part of what he said is true. We've never been more competitive.
We own the new technology world . . . we are dominant. But the whining
thing, hey, wait a second, if you're paying three dollars more than you did
seven years ago at the pump, if your food prices doubled, don't you really
have something to whine about?
MATTHEWS: I was wondering, Pat, about the old thing about Jimmy Carter and
malaise and you guys back in '80 certainly took advantage of that little
stink bomb. I'm wondering if the goose is as good as the gander here. Are
you going to say this was a mistake to blame the customer for the lousy
service, if you will, economically speaking?
PAT BUCHANAN: *Well, look, Phil Gramm has always had sort of the bedside
manner of Nurse Rachet, he is really good Chris on spending, he is really
good on taxes but this was really a . . . politically foolish thing for him
to say.* I think McCain was brutal in the way he treated him. But the truth
is, Chris, *we've lost 3.5 million manufacturing jobs under George Bush, it
is directly related to the free trade policies of McCain and Phil Gramm, the
dollar has lost half of its value against the euro . . . this is a problem
with the Republican party of today. It is addicted to this free trade
ideology* which has driven away the Reagan Democrats . . .
*Panel Agrees Gramm's Comments Politically "Boneheaded" but Debate Their
Substantive Merits *(MSNBC 07/10/08 6:34pm)
DAVID GREGORY: . . .again, go back to what he said here, the idea that what
you're seeing at the gas pump, the foreclosures in the market, what's
happening in the financial markets, that this is a mental recession, that
it's in your mind, this is the kind of thing that on top of McCain having to
deal with his statement that he's not an expert on the economy, he's got to
be able to own this issue and inspire confidence in what may be the defining
issue of this campaign.
MICHAEL SMERCONISH: I think there are two analyses. One is a political and
this was boneheaded, indefensible, politically speaking and then to come
back and try and explain? They should send him away on vacation. There's no
amount of explaining that can salvage this. But on a substantive level, what
I am trying to argue is there are some grains of truth in that which he is
articulating. I think the way in which the media tells us what's going on in
the economy, I mean this is one of those perception becomes reality
scenarios . . . there's a heavy mental component.
HAROLD FORD JR.: Can we do some numbers here for one moment? There have been
5 million jobs created since George Bush was president, there were 23
million created by his predecessor . . .we have a competitiveness problem in
this nation whether we want to admit it or not . . . this is not mental,
this is real . . .
[. . .]
GREGORY*: . . .John McCain is going to have a hard time distancing himself
from Phil Gramm now and saying he doesn't speak for me when his bona fides
on the economy, he's told us in debates, he's told us on the campaign trail
during the primaries. He's said, that's why people like Phil Gramm and John
Kemp vouch for me on my economic credentials*. That in a sense he was
disciples of these guys and now he's saying, no, no, don't listen to Phil
Gramm, he doesn't speak for me. Can he really distance himself now?
MICHELLE BERNHARDT: You know, this is a serious problem for McCain. Not just
as one instance by itself but if you look at the totality of the instances
where Sen. McCain is literally being stabbed in the back by surrogates, they
go out, they make ridiculous comments and he is put in the position of
having to defend them and particularly when you're talking about economic
issues, which as you just said, Sen. McCain has admitted that is his weak
point. It is going to be very difficult. Phil Gramm has sort of opened the
door and Barack Obama is walking right through it . . . in these economic
times it was a ridiculous thing to do. McCain is not a good speaker.
Highlight #2
*After Report on Gramm Controversy, Dobbs Moves to Fiorina* (CNN 07/10/08
7:07pm)
LOU DOBBS: Another top McCain adviser, Carly Fiorina also being criticized
for her views on so-called 'free trade' and jobs. Fiorina is the former CEO
of Hewlett-Packard she presided over thousands of layoffs at Hewlett-Packard
before she was ultimately fired herself. Fiorina defended her outsourcing of
middle-class jobs to cheap overseas labor markets. She said famously—or
infamously—'There is no job that is America's God-given right anymore.'
*Amidst Gramm Controversy, Sirota Reminds Viewers of the McLobbyists *(FNC
07/10/08 5:23pm)
E.D. HILL: […] Today we have this statement from Phil Gramm, calling us
whiners. Are we?
DAVID SIROTA: I think it's an absurd statement […] and we're not whiners. We
have major economic problems in this country. […] What you see here, you
have an insight into the psychology of the Republican Party; that it's the
people's fault and not the government's fault.
[…]
HILL: […] Phil Gramm, by the way, is known for having a pretty good head
when it comes to economics along with his wife and he makes this strong
statement knowing that, *while he wasn't technically speaking for John
McCain*, he is one of the key advisers.
[…]
SIROTA: Let me just say that I think *part of the problem is that you have
people like Phil Gramm who are investment bankers, advising presidential
candidates like John McCain. John McCain is so lobbied up*—
HILL: Yeah, but the investment banking industry is a key part of our
economy, isn't it?
SIROTA: But the point is that *you've got […] a candidate like John McCain
so surrounded by corporate lobbyists that he's got people around him saying
that the problem is the American people*. The problem is the country when,
in fact, the problem is […] a corrupt political system that allows lobbyists
to surround presidential candidates and propose policies that create more of
a problem.
KATE OBENCHAIN: […] I think the real point that E.D. was asking is what are
the specific solutions and J*ohn McCain has talked about specific solutions,
[…] continuing President Bush's tax cuts. If you increase taxes—*
SIROTA: More of the Bush legacy.
OBENCHAIN: Hang on a second! If you increase those taxes right now, that
will be devastating to the American public. […]
SIROTA: I really hope the Republican Party continues to argue that George
Bush's legacy is the legacy that will fix the economy.
Highlight #3
*McCain's Forgetfulness on Viagra Votes, Stance on Women's Rights Undermines
Fiorina's Efforts to Appeal to Women Voters *(MSNBC 07/10/08 8:15pm)
RACHAEL MADDOW: When pressed by that reporter . . . on whether it was fair
that some insurance companies cover erectile dysfunction meds but not birth
control, McCain answered, quote, "It's something that I had not thought much
about." And yet, he voted on it in the US senate. IS the big headline here
that a senator admits to not even think about things he nevertheless votes
on?
CHRIS HAZE: it's funny, this is actually kind of a John McCain tick, he does
this fairly often . . . and reporters like it the first time the encounter
it or the second time the encouter it because it seems so kind of frank. *He
says, well you know, actually I don't much about that . . . it seems kind of
like a breath of fresh air because it's honest but he does it enough times
you start to think, well do you pay any attention to the votes you're
casting? . . .*
MADDOW:* And, if Carly Fiorina is appealing for women's votes on the basis
that John McCain believes something about this, that not only did he vote
against but he's never thought about, it's awkward. Fiorina also said, "John
McCain has never signed onto efforts to overturn Roe v. Wade." Yes he has. On
the campaign trail he said that the law protecting a woman's right to have
an abortion, quote, "should be overturned."* How exactly is Carly Fiorina
actually helping here? . . .
HAZE: Well, she's trying to help, she's trying to run a hustle . . . John
McCain is pro-life, John McCain thinks Roe v. Wade should be overturned . .
. that fact is not widely known, this kind of aura or patina of moderateness
kind of hangs over John McCain . . . So, Carly Fiorina's a very effective
surrogate because my own sense is that she herself is pro-choice . . . and
she's going around the country trying to sort of portray the softer side of
John McCain, the pro-woman side. But the fact of the matter is his record is
clear . . .
Highlight #4
*McCain Better Off Not Even Mentioning Social Security *(MSNBC 07/10/08
5:13pm)
CHRIS MATTHEWS: The other day, it didn't get mentioned at the time but the
Democrats have jumped on it. Here's John McCain on Monday talking about that
old third rail of American politics, the Social Security system.
JOHN MCCAIN: Americans have got to understand that we are paying present day
retirees with the taxes paid by young workers in America today. And that's a
disgrace. It's an absolute disgrace and it's gotta be fixed.
MATTHEWS: Well the question there Pat is here's a guy, opening up that old
can of worms, ripping the scab off the old issue that hurts every
Republican, including Reagan in the old days in saying there's something
wrong with a ystem where workers pay for retirees in current dollars. He's
saying we've got to have a different system than that. Is that smart
politics Pat?
PAT BUCHANAN: It is not smart politics to raise the Social Security issue
and the funding of it because now Chris what is going to happen is: OK, Sen.
McCain, how are the retirees going to get their benefits and who's going to
provide them if not today's workers? And then he is into the can of worms
you described. I don't know, I mean after the Jesse Jackson day, it looked
like a good day for Republicans, but I mean, these guys, they can't stand
good luck.
MATTHEWS: What about it Jim? Because I think it's a hard bit of ideology
here and fair or not, smart or not, Republicans don't like the idea of
Social Security as it is, whereby when you're working and you're young,
you're 18 years old, your first job . . . you're kicking into a system
that's going to somebody who's 75 years old. That's the way it's always
worked. He's saying that's a disgrace.
JIM CRAMER: *I've got to tell you. McCain is the most disorganized, lack of
any knowledge whatsoever about economics*, the real issue is, as Pat said,
the whole banking system is falling apart. If you have money in the stock
market, look, the Republicans want you to invest it yourself. You would've
lost a fortune. Is that what we want? A bailout of another bailout of
another bailout*? When is either Obama or McCain going to address the fact
that almost every major bank in this country is insolvent . . . those are
the real problems facing America . . . and all they want to do is cut taxes
. . .*
MATTHEWS: . . . suppose the Chinese curse had visited George Bush and we'd
gone to a pay into the Social Security system and you'd put your money into
the stock market, imagine the last couple months, what the country would be
like.
BUCHANAN: A lot of us would have our social security checks nipped a little
bit. You're exactly right . . . but John McCain really, just as a practical
matter, you don't mention Social Security and get into that ball of wax in
the middle of a campaign.
--
Jacob Roberts
PAO
208.420.3470 (c)
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