'Meet the Press' transcript for June 28, 2009

MR. GREGORY:  All right, let's turn to the topic of foreign policy, specifically Iran.  This weekend, Mahmoud Ahmadinejad saying that the United States keeps saying that they want a different relationship, that they want to hold talks, but they've made a mistake.  He said that Iran will now have a harsher and more decisive reply, will make the West regret its "meddlesome stance." Something is changing on this policy of whether to engage Iran.  The president said so during press remarks on Friday.  Watch.

(Videotape, Friday)

PRES. OBAMA:  There is no doubt that any direct dialogue or diplomacy with Iran is going to be effected by the events of the last several weeks.

(End videotape)

MR. GREGORY:  Is the policy of engaging the Iranians on the ropes?

MR. AXELROD:  Well, look, that's up to the Iranians.  The fact is that the permanent nations in the Security Council plus Germany have extended an offer to sit down and talk about this nuclear issue and lay out what the options are.  One leads to participation in the community of nations, the other leads to further isolation and, and consequences.  The Iranians have to make that decision.  But as for Mr. Ahmadinejad, understand that he's not the decision maker when it comes to foreign policy and defense policy in Iran.  His comments are meant for domestic political content.

MR. GREGORY:  Right.

MR. AXELROD:  And it's a, it's a, it's a, it's a long-used technique in Iran to try and make the United States the foil for their own problems.  His problems are with the Iranian people, not with us, when it comes to this--the events of the last few weeks.

MR. GREGORY:  Should there be consequences?  The president has been now very clear about what he thinks about what's gone on in Iran, calling it outrageous.  Should there be consequences for what the Iranian regime has done to demonstrators?

MR. AXELROD:  Well, I think the--look, everybody is dismayed and appalled by what's happened in Iran, and the consequences, I think, will unfold over time in Iran.  I think that there are events in motion there that they're going to have to deal with...

MR. GREGORY:  But should there be consequences from the United States and the international community?

MR. AXELROD:  David, we don't have, we don't have diplomatic relations with Iran.  And the international community has made its, made its views known. This is going to further--again, this sets them down a--the wrong path in terms of what is in the interests of their country.

MR. GREGORY:  Let me ask you some political questions.  Should Governor Mark Sanford of South Carolina resign?

MR. AXELROD:  Boy, I'm not going to get into that.  That's between him and the people of South Carolina.

MR. GREGORY:  Do you think he's abused his power, disappearing, not telling his staff where he was, not telling the voters where he was?

MR. AXELROD:  Again, I mean, obviously there's been a lot of focus on this, particularly in the state of South Carolina.  That's where it should be dealt with.

MR. GREGORY:  What about the midterm elections, as you face next year?  Chief political adviser to the president; how has the president impacted what you think will happen in the midterm race?

MR. AXELROD:  Look, I think that the American people voted for change, they voted for action, they voted to get things done and to deal with the big problems facing this country.  I think the president has done that.  I think he's done that at home.  I think he's changed the tenor abroad in a way that is positive for the United States.  So, you know, I, I think that that has, that that is going to root down to the benefit of the Democratic Party.  The other fact is that those who oppose what he's doing have really...

MR. GREGORY:  Yeah.

MR. AXELROD:  They're looking backwards, not forward.  And the question is, what are you going to do to build a better future?  Don't recycle old ideas that haven't worked.  Where are your new ideas?

MR. GREGORY:  Do you think Republicans have a legislative strategy, or do you think they just have a strategy for the midterm elections in opposing this president?

MR. AXELROD:  I think that that's a good question to ask your next guests. All I would say is that what we've heard primarily is a recycling of the very same ideas that got us into the mess we're in right now.  And unless the Republican Party develops fresh ideas, they're going to continue to have problems.

MR. GREGORY:  Are they constructive in their opposition?

MR. AXELROD:  Well, sometimes yes and sometimes no.  Just this week in the, in the health committee on--in the Senate, where Senator Dodd has done such a great job in moving healthcare reform along, 82 amendments were accepted from Republican members that I think will strengthen the healthcare bill.  And that is a positive thing.  We had a meeting on--at the White House on the, on the issue of immigration, where Senators McCain and Graham and others participated.  I thought it was a constructive meeting.  So we're going to look for every opportunity we can to work with the Republican Party and, and, and, and where, where we can come together around the issues we're going to do that.

MR. GREGORY:  A couple of points before you go.  Here was a moment from the press conference on Tuesday when there was a question that the president took from The Huffington Post.  Let's watch.

(Videotape, Tuesday)

PRES. OBAMA:  Since we're on Iran, I know Nico Pitney is here from Huffington Post.

MR. NICO PITNEY:  Thank you, Mr. President.

PRES. OBAMA:  Nico, I know that you and all across the Internet we've been seeing a lot of reports coming directly out of Iran.  I know that there may actually be questions from people in Iran who are communicating through the Internet.  What--do you have a question?

(End videotape)

MR. GREGORY:  I just want to be clear.  Did the White House coordinate with a reporter about a question to be asked at a press conference?

MR. AXELROD:  The White House didn't coordinate with the reporter about a question, we were looking for a way to get questions from within Iran.  We could--we did not have access to Iranian journalists.

MR. GREGORY:  So you talked to a reporter beforehand and said, "Could you ask a question about--from--directly from Iran at a press conference?"

MR. AXELROD:  We said if you--we, we, we, we, we knew that he had been and he was very publicly involved in getting--in trafficking and communications in and out of Iran, and we felt it was important...

MR. GREGORY:  Well, why is it appropriate to coordinate with a reporter about what's asked at a time when we're championing democracy around the world?

MR. AXELROD:  No, no, David, you miss...

MR. GREGORY:  Is that, is that what you should do at a press conference?

MR. AXELROD:  You're not, you're not listening to what I said.  We didn't coordinate with, with him about what was asked.

MR. GREGORY:  Right.

MR. AXELROD:  In fact, he asked probably one of the most--the toughest and most probing questions at that press conference.  We had no idea what he was going to ask.

MR. GREGORY:  But you coordinated with him about, about that subject of a question beforehand.

MR. AXELROD:  He was a, he was a, he was a, he was a vehicle to get questions from Iran asked at this press conference, and that we thought was not only appropriate but, but necessary.

MR. GREGORY:  If President Bush had done that, don't you think Democrats would have said that's outrageous?

MR. AXELROD:  I do--well, I do not, because if--what would have been outrageous is if we knew what question was going to be asked, just as if you told us what question you were going to ask.

MR. GREGORY:  Right.  So you would, so you'd do it again?

MR. AXELROD:  Yeah, I have no problem with what was done.  We want to foment dialogue around the world.  And if we can get quotations from within Iran asked, whatever those questions may be--and as I said, that one was a tough one--I think we're, we're doing something positive.

MR. GREGORY:  Finally, before you go, the president has not spoken directly about the death of Michael Jackson, and yet obviously people around the world are talking about it.  And it's interesting to hear some African-American leaders say the significance of this popular cultural icon was significant.  I mean, before there was Barack Obama...

MR. AXELROD:  There's no doubt.

MR. GREGORY:  ...before Tiger Woods and Oprah Winfrey there was Michael Jackson crossing over, breaking barriers.  Does the president see it that way?

MR. AXELROD:  Well, I, I think Robert Gibbs spoke to this a little bit on Friday when he was asked this question.  Nobody asked the question of the president when he took questions on Friday.  The president obviously believes that he was an important and magnificent performer, and, and, and obviously he, he led a sad life in many ways as well.  But his impact is undeniable, as you can see on your own airwaves and everywhere.

MR. GREGORY:  Hm.

MR. AXELROD:  I mean, the reaction has been very, very strong.  But we, you know, the president has written the family and has shared his feelings with the family, and he felt that was the appropriate way to go.

MR. GREGORY:  All right, David Axelrod, thank you very much.  Good luck with your important work.

MR. AXELROD:  OK.  Good to be with you.

MR. GREGORY:  Coming next, another rising star in the GOP stumbles.  Can South Carolina Governor Mark Sanford recover?  And what's next for the party? Two key Republicans weigh in; 2008 presidential candidate Mitt Romney and Senator Lindsey Graham of South Carolina are next.  Plus, insights and analysis from our political roundtable only on MEET THE PRESS.

(Announcements)

MR. GREGORY:  Mitt Romney and Senator Lindsey Graham weigh in on the future of the Republican Party after this brief commercial break.

(Announcements)

MR. GREGORY:  We are back, joined now by Mitt Romney and Senator Lindsey Graham.

Welcome back to both of you.

SEN. LINDSEY GRAHAM (R-SC):  Thank you.

MR. GREGORY:  David Axelrod making some news; first on the stimulus, Senator Graham, talking about revisiting--the potential of revisiting a second stimulus come the fall.  Do you think that's appropriate?

SEN. GRAHAM:  Yeah, I think we should revisit it and make sure that it's focused on jobs, not adding to the debt.  If you had another vote in the Senate or the House I think it would be redone, it would be more focused on job creation, because it clearly has not helped jobs, has added to the debt and I think it just missed its mark.  So I'd love to revisit it.

MR. GREGORY:  Do you think this thing was oversold?

SEN. GRAHAM:  Yeah.  I think, one, he comes in at a tough time.  He does something bold, he does it quick.  He picked up three Republicans, lost 11 Democrats in the House.  They had a chance to meet between $440 and $800 billion and get probably 15 Republicans, but they jammed it through.  They went back to the old way of politics, the Karl Rove style of picking off a few Republicans.  He missed a chance to have a bipartisan stimulus package that would have created more jobs and helped people who'd lost their jobs.  I hope they'll rethink it can come back again.

MR. GREGORY:  Governor, can you possibly pay for even what Warren Buffett says should be a second stimulus, that there needs to be more medicine not less for this economy?

FMR. GOV. MITT ROMNEY (R-MA):  Well, I actually think that you're going to see the economy begin to turn around probably next year.  Maybe you'll see the signs at the last half of this year, but next year you'll see a turnaround. This economy does turn around.  I don't think the stimulus that was passed is going to be much help.  The stimulus that was passed was, unfortunately, focused more on government and creating employment inside government than it was creating jobs in the private sector.

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