updated 8/24/2011 12:34:23 PM ET 2011-08-24T16:34:23

Guests: Bernie Sanders, Bill Press, Jo Anne Duncan, Lawrence Korb, Nicole
Lamoureux


ED SCHULTZ, HOST: Good evening, Americans. And welcome to THE ED
SHOW tonight from New York.

Lots of big news out there tonight. In Libya, Moammar Gadhafi`s
compound was breached by the rebels. Over here in the United States, the
East Coast saw its most powerful earthquake in over a century. And back on
the campaign trail, Michele Bachmann continues to believe in the pipe dream
that she will slash gas prices as president.

Senator Bernie Sanders is here. He does know how to lower gas
prices.

This is THE ED SHOW -- let`s get to work.

(BEGIN VIDEOTAPE)

REP. MICHELE BACHMANN (R-MN), PRESIDENTIAL CANDIDATE: Certainly we
can get it back down to that level again. Why wouldn`t we be able to do
that? We`re a can-do America.

SCHULTZ (voice-over): Michele Bachmann doubles down on her pledge to
drive gas prices under $2 a gallon if she becomes president. Her plan?
There is no plan.

Tonight, Senator Bernie Sanders and Bill Press will give us the facts
on what`s driving price and politics.

GOV. RICK PERRY (R-TX), PRESIDENTIAL CANDIDATE: America needs to be
about freedom. It needs to be about freedom from overtaxation, freedom
from overlitigation, freedom from overregulation.

SCHULTZ: First, Beck, now, Perry -- co-opting civil rights leader
Martin Luther King for their own cynical political gain. The day that King
Memorial opened to the public, Rick Perry compared the civil rights
movement to the fight for lowering corporate taxes. I don`t think that was
what Martin Luther King, Jr. was fighting for.

And in psycho talk tonight --

JON HUNTSMAN (R), PRESIDENTIAL CANDIDATE: I`ll be the first person
to sign up, absolutely.

SCHULTZ: Just when I thought he was the normal one in the bunch,
John Huntsman`s backtracking has landed him in the zone tonight.

(END VIDEOTAPE)

SCHULTZ: Great to have with you us tonight, folks. Welcome to THE
ED SHOW.

Lead story tonight -- you know, I just don`t think it`s the
earthquake. I don`t think it`s the hurricane coming. And it`s not the
regime change in Libya.

What`s the most important story in America? I think it`s Michele
Bachmann. She still thinks she can make gas prices drop below $2 a gallon.

Now, think about that. The economy is the biggest story. Gas prices
really hit middle class families more than anything else. It`s on every
kitchen table in America and there is actually someone in the Congress who
says she has a plan to turn all of that around.

Remember, Bachmann, she believes government is just all bad and can`t
do anything right. We`re going to show you how her ideology won`t help gas
prices but government regulation will. You think she`d be a Democrat.

Bachmann made this wild campaign promise on the stump down in South
Carolina last week. Michelle Bachmann still thinks that she can make gas
prices drop below $2 a gallon. She made this wild campaign promise on the
stump in South Carolina.

(BEGIN VIDEO CLIP)

BACHMANN: The day that president game president, gasoline was $1.79
a gallon. Look at what it is today.

Under President Bachmann, you will see gasoline come down below $2 a
gallon again. That will happen.

(END VIDEO CLIP)

SCHULTZ: Wow! Bachmann is getting marginally better.

The week President Obama was sworn in, gasoline averaged $1.89 a
gallon across country, not $1.79. But she`s getting better.

So what does she do? She doubles down on her promise. She doubles
down on her promise on a low rated "Washington Times" radio show.

(BEGIN AUDIO CLIP)

BACHMANN: Well, for heaven`s sakes, the price of gasoline the day
that Barack Obama took office was $1.79 a gallon.

UNIDENTIFIED MALE: Wow.

BACHMANN: So if the price of gasoline was $1.79 a gallon just two or
three years ago, certainly we can get it back down to that level again.
Why wouldn`t we be able to do that? We`re a can do America.

(END AUDIO CLIP)

SCHULTZ: You hear the host say wow.

A can-do attitude? Let me tell you something. That`s not enough to
just magically make gas dip under $2 anytime soon.

So, OK, so we go to the archives to find out some specifics on
Bachmann`s energy plan. And we found a video of her on the stump in Iowa
last month.

(BEGIN VIDEO CLIP)

BACHMANN: Brilliant story. Just three Western states have more
shale oil than all the oil in Saudi Arabia. We have 25 percent of the
world`s coal. We have trillions of cubic square feet of natural gas.

Here in Iowa, you`re part of the wind tunnel in the United States.
We`ve got wind. We`ve got solar. We`ve got all of the above.

Why not focus on American energy production? And you`re part of that
solution here in Iowa.

I`m for all of the above and I`m for American energy independence,
not dependence on OPEC.

(END VIDEO CLIP)

SCHULTZ: OK. Bachmann wants to "drill, baby, drill" in America.
Keep using coal, and frack for natural gas.

Folks, those are the same policies President George W. Bush used to
push gas prices to a record $4.16 a gallon back in July of 2008. Bachmann
said she wants an all of the above energy policy that includes wind and
solar?

But check it out. Bachmann voted against the Energy and Job Creation
Act of 2008. The big included a six-year extension of the investment tax
credit for solar energy. And a one year extension of the production tax
credit for wind energy.

What is she talking about?

The fact is Bachmann is completely grasping at straws right now. She
knows that Rick Perry has stolen her thunder and she needs a game changer.
A poll out of Iowa shows voters are showing that Bachmann is in third,
trailing Perry and the Minsters, Mitt Romney.

Congresswoman Bachman, let me give you a little bit of free Minnesota
nice advice tonight. There`s a way to drop gas prices right now. Just the
take the page from the only socialist in the Congress, my friend, Bernie
Sanders. Check it out. The independent senator from Vermont.

This gentleman has been banging the drum for the Commodity Futures
Trading Commission to do something about rampant oil speculation for
months. On Friday, the senator released data from the CFTC, the agency and
listed names of traders and the size of their positions and the crude oil
futures market back on June 30th, 2008.

Bernie Sanders declared, "This report clearly shows that in the
summer of 2008 when gas prices spiked to more $4 a gallon, Goldman Sachs,
Morgan Stanley and other speculators on Wall Street dominated the crude oil
futures market causing tremendous damage to the entire economy, the CFTC
has kept this information hidden from the American public for nearly three
years. This is an outrage," end quote.

Well, let`s go back to what happened the week after Goldman Sachs and
Morgan Stanley started messing with oil speculation. There it is again.
The first week of July in 2008, gas prices hit a record of $4.16 a gallon.

Now, I know this might be a little bit deep for Bachmann and her
followers. But the fastest way to lower the price of gas is to stop Wall
Street from playing games at the pump.

So, in other words, look at it this way. If President Obama came out
and said, you know, I can get gas down to below $2 a gallon. Does that
mean he`d finally have a Republican in Congress, in Washington that would
agree with him and it would be Michele Bachman? I mean this is how goofy
this is.

This whole thing about oil speculation is out of control. Because
there are no position limits. And there`s no way that a congresswoman, a
congressman or a senator is going to be able to step up and deliver a plan
to the American people and say, "Hey, I can do this."

You know, this isn`t psycho talk. This is the A block. To say that
I can do this?

No. You can`t do it without government involvement.

Get your cell phones out, I want to know what you think. Tonight`s
question: Do you believe Michele Bachmann has a plan to get gas below $2 a
gallon? Text A for yes, text B for no to 622639. Our blog is
Ed.MSNBC.com. You can drop a comment there as well. We`ll have the
results later on in the show and the poll.

Joining me now is Vermont independent senator, Bernie Sanders.

Senator, good to have you with us tonight. I want to know about the
--

SEN. BERNIE SANDERS (I), VERMONT: Good to be with you, Ed.

SCHULTZ: You bet.

The CFTC, why the late disclosure on this information? Why did it
take you digging to have this to come to light?

SANDERS: Well, this is information that I think our friends on Wall
Street did not want to come out. It`s supposed to be top secret
information. And in fact, many of the folks on Wall Street were very
disturbed that we made it public.

And the reason that we made it public is we wanted to end this debate
about whether or not excessive oil speculation is driving up gas and oil
prices. And the answer is, when you have companies like Goldman Sachs and
Morgan Stanley owning hundreds -- owning and buying and selling hundreds of
millions of barrels of oil, dominating the oil futures market, there is no
more debate.

Excessive speculation is one of the reasons that the price of oil is
where it is today. We have got to do what Congress passed legislation to
do and that is mandate that the Commodities Futures Trading Commission end
excessive speculation and have limits on how much these companies can own.

SCHULTZ: So, what do you make of a Republican Michele Bachmann out
there saying that she can lower gas prices below $2 a gallon? Do you think
she or any Republican has a clue on how to get this done?

SANDERS: Quite the contrary, Ed. Virtually all of the Republicans
are doing their best to deregulate our efforts to control Wall Street.

Wall Street is the most powerful entity in this country. The sixth
largest financial institutions own over 60 percent of all the assets of
this country -- 60 percent of the GDP of this country. They are playing a
very bad role in terms of excessive oil speculation which is hurting
millions of people throughout this country who have to fill up their gas
tank and, in fact, negatively impacting our entire economy.

I`m afraid that Ms. Bachmann and our Republican friends will do
exactly the wrong thing. They`ll continue to effort to support Wall
Street, to deregulate Wall Street and let these guys continue to get away
with the murder that they`re currently committing.

SCHULTZ: Yet, they`re out on the campaign trail saying they want the
full package and they have a plan to turn this around. Have you gotten any
feedback from Morgan Stanley or Goldman Sachs on any of this?

SANDERS: No. They`re not happy. I mean, they want to maintain the
myth that high oil prices today are as a result of supply and demand and
that is absolutely not the case. These guys, we believe, control if you
can believe it, 80 percent -- 80 percent of the oil futures market.

They are not in the airline business. They`re not truckers. They`re
not fuel dealers. They do not use oil. All that they are trying to do is
drive prices up, sell, make money and we have got to deal with that issue.

SCHULTZ: Senator, great to have you with us tonight. Keep up the
fight. You`re for the people, there`s no question about that. Thank you.

Joining me now is Bill Press, nationally syndicated radio talk show
host.

Bill, good to have you with us.

Basically, we have seen Michele Bachmann double down in desperation.
She has been apparently unable to explain exactly how she would do what she
says she will do. What do you make of it?

BILL PRESS, RADIO TALK SHOW HOST: Well, you know, Ed, the full
story, of course, she also says she`s going to get the price of a loaf of
bread down to 15 cents, the price of a candy bar to a nickel, and the price
of going to a movie back to 25 cents.

You know, Ed, I might vote for her. I mean, it`s just -- look, it`s
crazy. I mean, she is delusional.

And as you point out, nobody has asked her how you are going to do
this? She doesn`t have a plan to do this. She also won`t admit, as you
and Bernie just pointed out -- here`s what gets me. I have to say. Here`s
what`s sad and stunning, that Bernie Sanders is not being taken seriously
as a presidential candidate today but some people are taking Michele
Bachmann seriously. That`s how low our politics.

SCHULTZ: All Bernie has got to do is announce he`s thinking about
it, he`ll have plenty of support, I guarantee you that.

PRESS: You bet.

SCHULTZ: Is this -- are we witnessing, Bill, possibly, and I think
we are, the beginning of the end for Michele Bachmann. Those polling
numbers, nationally, the polling numbers in Iowa aren`t good. You show me
somebody batting third and I`ll show you somebody batting third.

The fact of the matter is she lost steam. And she`s getting wackier
by saying stuff like this and then doubles down on it. Is this the
beginning of the end?

PRESS: No, no, you got it absolutely right, Ed. Let me tell you,
Michelle Bachmann is the new Donald Trump. OK? I mean, every time she
opens her mouth, she proves that she is unelectable and unqualified to be
president of the United States. And she`s so crazy, right, she makes Rick
Perry look almost sane.

SCHULTZ: I was going to ask you that. Who is more dangerous for
America, Perry or Bachmann?

PRESS: Boy, that`s a tough choice. You know what? I have to say
Perry. Perry`s got that faux gravitas, right? Oh, well, he`s been
governor of this large state, Texas. So, therefore, he`s got to know
something where he`s just about -- I think he`s as crazy and as dangerous
as she is.

SCHULTZ: That`s probably why he`s going to get the nomination.

(CROSSTALK)

PRESS: That`s the problem.

SCHULTZ: That`s probably why he`s going to get the nomination.

I find it really amazing. I think this is a big story. You have a
member of Congress who either doesn`t understand the process or has a plan
nobody else in the country has ever heard of. That she thinks because if
she were president that she would be able to get gas down. She would be
that powerful.

How can she do it without government intervention or a government
takeover or some kind of massive regulation on Wall Street? She`s taking a
page out of FDR is it what she`s doing. She doesn`t even know she`s doing
it.

This should really be material for the next debate coming up, I would
think.

PRESS: Exactly. And you know what? Also, you know, Jon Huntsman
said she is not on this planet. But, Ed, she`s also not pointing out the
reason gas was $1.79 in December as you pointed out, not $1.89 when Obama
when took office, is because we were in the middle of the Bush recession.
Earlier in the year, gas had been $4.05 a gallon. Bush sinks the economy,
right? People don`t have a job. They can`t afford to buy gas.

SCHULTZ: We were peeling off almost 800,000 jobs a month at that
particular time.

PRESS: Exactly.

SCHULTZ: Bill, great to have you with us. Thank you for joining us.

Remember to answer the question, tonight`s question at the bottom of
the screen there. We obviously want you to respond to that. We want to
know what you think.

Governor Rick Perry, well, he`s at it again. This time, he`s trying
connect the civil rights movement to today`s Republican battle for lower
taxes. We`ve got a retired Texas public educator with us tonight to talk
about the real Rick Perry and what he`s done in Texas. What is the
miracle.

And later, Libyan rebels took control of Moammar Gadhafi`s compound
today. But with the Libyan leader missing, can Republicans find a coherent
message on this conflict?

Stay tuned. You`re watching THE ED SHOW. We`ll be right back.

(COMMERCIAL BREAK)

SCHULTZ: Well, it dominated the news today. A 5.8 magnitude
earthquake shook the East Coast. But the real after shocks came from the
right-wing blogosphere.

Aside from some minor damage to the National Cathedral in Washington,
no major damage was reported. Although there are reports tonight that
Washington monument may be closed indefinitely. There are no major
injuries in the entire quake zone. Not even in the Virginia epicenter
where the few cars got the worst of it.

In fact, there was more damage reported from a smaller quake in
Colorado earlier in the day. But, still, the righties took the opportunity
to attack President Obama. The conservative web sites like the Drudge
Report the Gateway Pundit mocked the president for being on vacation.
Apparently they thought he need to spring into action for this nonevent.
Maybe they need a science lesson.

You see, according to the United States Geological Survey, every year
in this country, there are 1,300 earthquakes similar to the one that
happened today. Go figure. I guess the president`s critics want him to
conduct news conferences for all of them.

You know, there`s a major city still dealing with a real impact of a
national natural disaster. A disaster made worse by an actual failure of
leadership. More on what`s being done to help that city coming up later in
the broadcast.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to THE ED SHOW and thanks for watching
tonight.

OK. A couple of stories relating to Rick Perry now, the governor of
Texas. He just keeps hitting them out of the park, doesn`t he? In his
latest far-pitched remark, he actually tries to connect the civil rights
movement to the fight for low taxes.

He was campaigning in Rock Hill, in South Carolina, when a reporter
said the town was celebrating the 50th anniversary of the Friendship Nine
sit-in, an important part of the nation`s civil rights movement. Perry was
asked to comment on it.

(BEGIN VIDEO CLIP)

PERRY: Listen, America`s gone a long way from the standpoint of civil
rights and thank God we have. I mean, we`ve gone from a country that`s
made great strides and issues of civil rights, I think we all can be proud
of that. And as we go forward, America needs to be about freedom. It
needs to be about freedom overtaxation, freedom from overlitigation and
freedom from overregulation. And Americans, regardless of what their
cultural or ethnic background, they need to know they can come to America
and you got a chance to have any dream come true because the economic
climate is going to be improved.

(END VIDEO CLIP)

SCHULTZ: The guy is no doubt smooth. You can`t deny it.

Maybe Perry didn`t know about the Friendship Nine sit in.

But 50 years ago, a group of African-Americans went to jail after
refusing to leave a segregated lunch counter in Rock Hill, South Carolina.
But Perry did know it was a question about the nation`s civil rights
movement and he chose to connect it to the Republican obsession with taxes,
regulations and trial lawyers. Nice one, Perry.

It`s hard to keep up with his nonsense, especially the mess he`s made
in Texas which he o would like to really export to the rest of the nation.

How about his education plan since we`re talking about a little bit
of history here? Texas is the worst state in the nation in percentage of
adults with a high school diploma. Texas ranks 47th nationally in what it
pays for each student`s education. And Perry cut billions from education
rather than raise taxes.

My pleasure now to turn to a retired public educator from Trenton,
Texas. She is also a school board member, Jo Anne Duncan. She called my
radio talk show the other day and was very passionate when talking about
the miracle in Texas. I think Jo Ae has a different definition of what
that miracle is.

Jo Anne Duncan, great to have you with us tonight.

You`re thoughts on how Rick Perry has handled the miracle in Texas
when it comes to education.

JO ANNE DUNCAN, RETIRED TX PUBLIC EDUCATOR: Hi, Ed. Glad to get a
chance to tell you about the real Texas miracle. You know, my thought when
I hear him talk about the Texas miracle, I thought it was a miracle we were
able to open the schools. We had a chance to really -- you know, if he had
used his so-called rainy day fund, otherwise known as the slush fund, to
help schools we would be a lot better off.

I live in a small rural area. We`ve cut $600,000 from our school
budget in the last two years. And we`re going to cut even - have to cut
even more next year. This is a real impact on our children.

SCHULTZ: Well, you`re in Trenton, Texas. A town of how many people?

DUNCAN: Five hundred people, we have 500 children in our school.
And it`s only to the credit of our wonderful teachers and our community
that we`re going to have a great school year in spite of what Rick Perry
and his cronies in Austin did to the public schools of Texas.

SCHULTZ: As a former administrator and teacher, do you think Perry
respects what it takes to put together a sound education? Do you think he
believes in public education?

DUNCAN: No. I do not believe that public education is one of his
priorities. Since 2005, Texas public schools have struggled to kind of
find some way to finance our public schools. We continue to add children.
Each year, I think, we`re adding 40,000 children this year with no extra
money.

SCHULTZ: So, he will not raise taxes on the wealthy, is that
correct?

DUNCAN: No.

SCHULTZ: He won`t raise corporate taxes?

DUNCAN: No, he will not raise taxes and he did not use taxpayer
money we had. In our little community, we lost seven teaching positions.
Only because we got a little bit of federal money we were able to add three
more back. But we`ll those next year.

It takes good teachers to educate children.

SCHULTZ: No question about it. It`s a very fundamental things that
been around America for a long, long time.

So, it would seem to me that you as a school board member are at a
crossroads with other members of the school board. Do you raise local
taxes to meet standards? What do you think?

DUNCAN: That`s what we`re going to have to do this year, that we
have a proposal to raise the tax rate. We have no other options.

SCHULTZ: Yes. I have to ask you, what is the attitude of the people
in your area when they see these kinds of cuts hang at the local schools?

DUNCAN: Well, of course the people are very disturbed. You know,
it`s finally come home that we have a problem.

It takes money to run a public school. And without our public
school, our democracy is in trouble -- as you well know and continue to
say, Ed. Public schools are what made our nation great. We must continue
to fund our public schools.

SCHULTZ: So, you would say that Rick Perry comes from the school of
thought, it`s more important to make sure that the wealthy do better
instead of the kids having an opportunity in the public school system?

Retired educator Jo Anne -- yes, go ahead. Go ahead.

DUNCAN: What I was going to say is it was more important for Rick
Perry to get his presidential campaign in order than it was to fund the
schools of Texas.

SCHULTZ: Well-put. Retired educator Jo Anne Duncan with us tonight
here from Trenton, Texas. Small town America speaks on THE ED SHOW.

The Drugster just lost one of his favorite lies about the Democrats.
Rush wants the president to fail, but not on this one. That`s next.

And Jon Huntsman thinks Michele Bachmann`s policies are nuts but he`s
willing to be her vice president anyway. Buddy, you`re headed for the
zone.

(COMMERCIAL BREAK)

SCHULTZ: Let`s talk radio; 98 percent of Americans listen to some
audio every day in this country. The right-wing zealot conservative
talkers of America have always loved to create the bogeyman and play the
fear card on listeners. The Fairness Doctrine was one of their favorites,
claiming that the Democrats were trying to silent voices on the
conservative right.

Here is basically how they played the game on cable.

(BEGIN VIDEO CLIP)

SEAN HANNITY, FOX NEWS ANCHOR: Then bring the Fairness Doctrine, that
will have some obscure government bureaucrat monitoring the seconds of Sean
Hannity, Rush Limbaugh, Mark Levin.

BILL O`REILLY, FOX NEWS ANCHOR: We got this have crazy Fairness
Doctrine that this is insane.

HANNITY: They basically want to pave the way and silence the one
avenue where people get alternative information.

O`REILLY: Now with the Democrats controlling Congress, the issue is
back. Stripping away all the bull ,some liberal politicians hate
conservative talk radio and want to lessen its impact.

HANNITY: The liberals can`t compete, so then they want to strong arm
stations, station owners and go after content.

ANN COULTER, CONSERVATIVE COMMENTATOR: Fairness means left and far
left.

(END VIDEO CLIP)

SCHULTZ: Well, game over. The FCC has removed 83 outdated rules and
even stripped the language and reference to the Fairness Doctrine. There
will be no government mandate or take over of political content in this
country over the broadcast airwaves.

Now this didn`t happen during the Bush administration. It`s the Obama
administration that is getting government out of the way in the broadcast
industry.

The free market is thriving in broadcast in America under President
Obama. So much for the easy show prep. And liberals, if you don`t like
what`s on talk radio in America, just go buy some radio stations.
Ownership has its privileges.

Coming up, Moammar Gadhafi is on the run as rebels storm his compound
in Tripoli. We`ll tell you how the situation is playing out politically
here in the United States.

Six years after Katrina, the residents of New Orleans are struggling
to bounce back. How can you help them out? That`s coming up. You`re
watching THE ED SHOW on MSNBC.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to THE ED SHOW. Colonel Moammar Gadhafi`s 42-
year reign of power in Libya could be coming to an end. After a day of
heavy fighting, hundreds of Libyans celebrated in Tripoli`s Green Square,
renamed Martyr Square by the rebels.

Rebel forces took over Gadhafi`s compound. But the Libyan leader was
nowhere to be found. More than 400 people were killed. And at least 2,000
were injured in the fight to take control of the capital city.

Gadhafi went on Libyan radio tonight, claiming he withdrew from his
headquarters as a, quote, "tactical move," and said that he plans to fight
the rebels to the death. His current location is unknown. President Obama
has shown restraint in proclaiming an end to the conflict, since it`s still
unclear whether the rebels have achieved a decisive victory.

But while the president continues to maintain a steady hand, the
Republicans who want to take his job are all over the map. Mitt Romney was
one of the biggest critics of the president for what he called leading from
behind in the Libya mission.

But now he calls Gadhafi`s defeat a step toward openness and
democracy. Meanwhile, Michelle Bachmann tried to have it both ways. She
has slammed U.S. involvement in Libya altogether, but also said the
president was too weak by following the lead of the French.

Let`s bring in Lawrence Korb, former secretary of defense under
President Ronald Reagan. He is a senior fellow at the Center for American
Progress.

Mr. Korb, good to you have with us tonight.

LAWRENCE KORB, CENTER FOR AMERICAN PROGRESS: Nice to be with you.

SCHULTZ: If you were the defense secretary for President Obama, what
would be your best advice at this point?

KORB: I think what you should point out is we were able to get a
victory for freedom and for U.S. national interest at a cost of about one
billion dollars, compared to the 1.5 trillion we spent so far in Iraq. Not
a single American life was lost.

We got the Arab world to work with us in this operation, unlike in
Iraq, where we went in and then al Qaeda, you know, came in after. We did
-- it got more recruits for al Qaeda. And that, in fact, we need to work
with other nations because they have interests, too. They can`t be free
riders.

I mean, the British and the French and the Italians have much more
interest in Libya than we do. So therefore, it was appropriate for them to
step up.

Point out the fact, people don`t realize, they think we did nothing.
We have flown over about 5,000 air sorties in there, so almost 1,00 a
month. It`s not like we haven`t been doing anything.

SCHULTZ: Well, is this, in your opinion, a foreign policy success
story for the Obama administration, the way they have played this? Because
the critics, six months ago, were out and about, from Dick Cheney through
the entire Republican party. What do you make of it?

KORB: No, I think it`s a great victory. This is his first, you know,
battle that he undertook himself. I mean, he inherited Iraq and
Afghanistan. He took charge of this.

We got the U.N., like we didn`t get in Iraq. We got the Arab League
to support us. We got the allies to, you know, step up to the plate. And
so we achieved our objective at minimal cost to the U.S. taxpayer. Since
we have this large deficit, this is the last thing we need to do, is spend
another, you know, trillion dollars in dealing with the situation.

SCHULTZ: Why are the Republicans politicizing this so much? To a T,
they have all come out and criticized President Obama. Is it all politics
or is there really a difference in foreign policy, how they would have
handled it?

KORB: No, I think it`s politics because with this success, this keeps
them from being able to say well, the Democrats are weak on defense. They
can`t achieve our objectives. Look how he handled, you know, Libya, you
know, leading from behind.

They won`t be able -- that narrative is completely undermined when you
put that along with the killing of bin Laden. How do they say this person
doesn`t, you know, know how to protect American security?

SCHULTZ: Yeah. I have to ask you, 25 years ago, when Ronald Reagan
ordered the bombing and the attempt to kill Moammar Gadhafi in Libya, which
was not successful, was there the political wrangling that is going on now,
the Monday morning quarterbacking, the armchair guessing and the critique
that is taking place? Is this just familiar to you in any way?

KORB: No. I mean, you know, we used to say that politics stopped at
the water`s edge. Somehow or another, we got politics into everything. I
mean, when Reagan did it, people said, well, it`s about time, because this
guy had killed, you know, several American servicemen in a nightclub in
Germany. His planes had come out against our Navy aircraft carriers. And
people were all for it.

We were frustrated because we didn`t get him. We couldn`t get
cooperation from the French at the time. We had to fly around France and
through the Mediterranean. And somebody tipped them off while we were on
the way.

SCHULTZ: So Mr. Korb, tonight, Moammar Gadhafi broadcast over the
radio in Tripoli, saying victory or death. Do you think, in any way shape
or form, he has any kind of strength to do any further damage to the
citizens of Libya?

KORB: No. I don`t think so. I mean, the fact that we got into --
they got into his compound today -- and even if he were to get some sort of
small force, given our overwhelming, you know, air power, I think he
couldn`t do anything militarily.

The real question is, you know, what is his future? I hope, you know,
if they catch him and he`s alive, you know, they don`t overreact and that
we send him to the International Criminal Court, along with the sons or
some of his other colleagues, so that they can pay for the crimes they
committed these past 40 years.

SCHULTZ: Quickly, do you think we`ll have involvement in Libya for
years to come?

KORB: No, I don`t think so. I mean, it`s ironic. Some people are
now saying we ought to send ground troops. If they ask us for help, we
ought to send trainers, you know, send humanitarian aid.

SCHULTZ: Lawrence Korb, great to have you with us tonight. Thank you
for your insight.

Coming up, a couple of Republican congressmen go to extremes to avoid
being held accountable by their constituents.

And Jon Huntsman says he`s willing to be Michele Bachmann`s vice
president? Stay with us.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

CROWD: Where are our jobs? Where are the jobs?

UNIDENTIFIED FEMALE: What do we want?

CROWD: Jobs.

UNIDENTIFIED FEMALE: When do we want them?

CROWD: Now.

(END VIDEO CLIP)

SCHULTZ: Well, that was the scene outside Republican Congressman
Steve Chafitz`s town hall meeting in Cincinnati last night. Chafitz
responded by banning his constituents from videotaping the meeting.
Security guards confiscated their cameras and even asked people to leave.

Over In Illinois, Congressman Randy Hultgren used a different strategy
to avoid being held accountable to his constituents. He ignored questions
he didn`t like.

Here`s what happened when someone asked about the Bush tax cuts for
the rich.

(BEGIN VIDEO CLIP)

UNIDENTIFIED FEMALE: Where`s the evidence that these cuts for the
most affluent actually create jobs?

REP. RANDY HULTGREN (R), ILLINOIS: I think clearly the evidence --
let me say this, you know, I get back to the stimulus, which was another
thing.

(CROSS TALK)

UNIDENTIFIED MALE: We want the tax cuts.

UNIDENTIFIED FEMALE: Where is the evidence?

UNIDENTIFIED MALE: Yeah, nine years.

UNIDENTIFIED FEMALE: Answer the question.

CROWD: Where are the jobs?

(CROSS TALK)

HULTGREN: Let`s keep going.

UNIDENTIFIED FEMALE: No answer. There is no answer this.

(END VIDEO CLIP)

SCHULTZ: You know, I have to point out, I really think this is
exactly why President Obama did not call Congress back into session in
August, because he knows that Republicans are going to go out and get an
earful and get put on the spot for all to see.

Hultgren can`t explain how the Bush tax cuts created jobs because they
barely created any. Under the leadership of George W. Bush, job growth was
the slowest it had been since World War II. Only three million jobs were
created over eight years.

In comparison, the Clinton administration, with the dot-com bubble,
obviously, created 23 million. Do not believe Republicans when they say
tax cuts for the rich create jobs. They are lying.

Coming up, Jon Huntsman impressed me this weekend by going after some
of the wing nuts he`s actually running against. But last night, dog gone
it, he proved he`s just another desperate righty looking for power and
recognition and visibility. Huntsman in the Zone next.

(COMMERCIAL BREAK)

SCHULTZ: And in Psycho Talk tonight, we have the struggling
presidential candidate Jon Huntsman. Last night, I praised Huntsman for
going after his fellow righties, like when he called out Michele Bachmann
for saying she`d get gas below two dollars a gallon.

(BEGIN VIDEO CLIP)

JON HUNTSMAN (R), PRESIDENTIAL CANDIDATE: I just don`t know what
world that comment would come from. We live in the real world. It`s
grounded in reality. And gas prices just aren`t going to rebound like
that.

(END VIDEO CLIP)

SCHULTZ: Yeah. But now Huntsman is putting me in a hell of a spot.
One day after he hammered Bachmann for not being grounded in reality, he
said he`d be her vice president?

(BEGIN VIDEO CLIP)

PIERS MORGAN, CNN ANCHOR: If Michele Bachmann continue to get real
traction, and she came to you and said, look, you`re the other part of the
party here. Together we can create sweet music. Could you countenance
such an idea?

HUNTSMAN: If you love this country, you serve her. And so even if
you`re in a position to better the country, to bring whatever background
you have to bear, whatever experiences to use in fine timing our future,
I`ll be the first person to sign up, absolutely.

(END VIDEO CLIP)

SCHULTZ: All right, first person to sign up. Dude, you want the
nomination or not? What is it? But Huntsman`s love of country apparently
does not extend to the Mittster, Mitt Romney.

(BEGIN VIDEO CLIP)

MORGAN: You could ever imagine running as a running mate to someone
like Mitt Romney?

HUNTSMAN: There would be too many jokes about that. No, I can`t
imagine at all.

(END VIDEO CLIP)

SCHULTZ: So Huntsman can`t imagine running on the same ticket as Mitt
Romney, but he would be the first person to sign up for the candidate who
doesn`t live in the real world. I have some respect for the guy when he
admitted Michele Bachmann was a wingnut. But now he`s proving you can`t
trust any of these right-wingers.

For Huntsman to say that he would absolutely be Michele Bachmann`s
second in command after admitting that he doesn`t think her ideas are
grounded in reality, my friends, is desperate Psycho Talk.

Hurricane Katrina was a man made disaster. The fallout continues to
this day. How can you help? That`s coming up.

(COMMERCIAL BREAK)

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: At the Capitol, Democrats chanted recall Walker,
taking aim at the governor.

Is there that a threat you`re taking seriously and how do you react to
that sort of thing?

GOV. SCOTT WALKER (R), WISCONSIN: I take it absolutely seriously, no
doubt about it.

(END VIDEO CLIP)

SCHULTZ: Well, Wisconsin`s recall summer may be over after Democrats
won five out of nine elections. But Governor Walker is already focused on
the next possible recall election, his own.

The man who took a baseball bat to collective bargaining told the
"Wall Street Journal" that he anticipate "some people, more intense folks
will push for recall." Adding "we increasingly hear that the White House
doesn`t want it?" That`s news to me.

Now Walker is not eligible for a recall until January, but he clearly
is very worried. And now he`s Tweeting for cash. Quote, "I`m next target
of special interest groups in D.C. Help us grow our grassroots movement to
counter their attacks."

Special interest groups? Who the heck is he talking about? He must
be talking about all the outside money that Karl Rove brought in, or the
Koch Brothers. The last time I checked, they weren`t supporting the
Democrats.

Next, as the east coast prepares for Hurricane Irene, the Gulf Coast
remembers Hurricane Katrina six years later. Its devastating legacy on
health care with Nicole Lamoureux next.

(COMMERCIAL BREAK)

SCHULTZ: Well, it`s been six years since we`ve seen a hurricane make
land fall in the United States. But Hurricane Irene is expected to change
all of that. The storm currently wreaking havoc in the Caribbean is
projected to makes its way up the east coast this weekend.

Get ready, folks. They are in Florida and in the Carolinas. They`re
making preparations, boarding up windows, stocking up on food. Meanwhile,
residents along the Gulf Coast, they prepare for yet another anniversary
since Hurricane Katrina devastated the region.

Katrina made land as a category four storm. But the chaos and human
misery that followed was the result of a man made disaster. The region is
still feeling the storm`s impact.

Over half a decade later, the city of New Orleans still struggling.
Bill Quigley, a professor from Loyola University, measured that what he
calls the Katrina Pain Index. Among the startling statistics, 70 percent
more people are homeless in New Orleans since Katrina hit; 34 percent of
the city`s children live in poverty.

Access to good quality health care is so essential for those folks and
for those who are lucky enough to have jobs, but still can`t afford care.
A reminder again that THE ED SHOW and MSNBC is teaming up with the National
Association of Free Clinics and hosting a clinic in New Orleans this coming
Monday, august 29th.

I`ll be broadcasting from New Orleans on Monday night. To make a
donation or to learn more about volunteering -- and it`s so cool to see
volunteers come from all over the country. I ask you to go to their
website, FreeClinics.us.

Joining me now is the person who makes it all happen, Nicole
Lamoureux. She is the executive director of the National Association of
Free Clinics. Nicole, great to you have with us tonight.

Six years after Katrina, what are the main health concerns for the
residence in that region and in that city?

NICOLE LAMOUREUX, NATIONAL ASSOCIATION OF FREE CLINICS: Ed, I`m
talking to everyone. It`s about access to health care. We have people who
are telling us I don`t have a doctor anymore. My doctor is gone. Let
alone, I don`t have a place to go, to take care of my diabetes and my
cholesterol, which are the top two disease states we`re going to see next
Monday at the convention center.

SCHULTZ: Now there was one hospital that never recovered and is not
in operation. Is that correct? I understand that you`ve seen that
hospital

LAMOUREUX: In the last couple of days, I`ve been down to the Lower
Ninth Ward. I`ve been to that hospital. It`s amazing to me. There are
beds in it. But there aren`t people in those beds. There`s not people at
that hospital giving that health care.

Think about that. There`s no place for these residence to go. That`s
pretty scary when you`re a mother and you don`t know where you`re going to
bring your child.

SCHULTZ: Why does the National Association of Free Clinics go on the
road and do this?

LAMOUREUX: The reason we travel all across the country is because
there are 1,200 free clinics that are offering health care to those who are
uninsured with no federal or state money every single day. But we really
wanted to highlight the face of the uninsured, those people who are our
brothers, our sisters, that, are working but still do not have access to
health insurance.

SCHULTZ: And what do you expect to see at this free health care
clinic on Monday in New Orleans? Because, you know, we had the BP oil
spill and the health ramifications of some people in dealing with that.
What are your expectations?

LAMOUREUX: Well, we know that we`re going to see about 1,000 patient,
if not more. And we have about 800 volunteers already signed up. We know
we`re going to see people who are on the brink of suicide. We`ve seen that
in the past two years here in New Orleans.

Diabetes, cholesterol. And we also know we`re going to have people
who are going to want to talk to some counselors. They really are still
going to need to talk about what Katrina and BP oil spill did to them.

SCHULTZ: And the clinics, they`re not inexpensive. They`re very
expensive to run. And you folks do a fabulous job. I`ve been really
honored to be a part of it, to see it happen and be allowed to report
what`s going on there. How far away are you from your goal?

LAMOUREUX: We`re about 145,000 dollars away from our goal. And
MSNBC`s viewers have been amazing. But at this point in time, Ed, we
really need that money to get these people that health care that they
desperately need. So we`re inviting everyone to go to FreeClinics.us and
make the donation that makes the most sense to you, so we can help these
people who still don`t have access health care.

SCHULTZ: I want to point out that the folks that come to these free
health care clinics, 83 percent of them have jobs. This isn`t about
homelessness. This is about people who have got one, maybe two jobs, part
time jobs, that simply can`t afford and have no access to health care
whatsoever.

Many of the people that come in the door haven`t seen a doctor in
years. A number of people have found out they have cancer through the
screenings. I mean, this is as American as it gets.

And I`m asking our audience tonight to help out. Nicole, great job.
Look forward to seeing you down there on Monday. Thank you so much.

LAMOUREUX: Thank you.

SCHULTZ: And again, if you`d like to make a donation or learn more
about volunteering at the New Orleans clinic this Monday, visit their
website at FreeClinics.us.

Tonight in our survey, I asked, do you believe Michele Bachmann has a
plan to get gas below two dollars a gallon? Seven percent of you said yes;
93 percent of you said no.

And a shout out from me, Ed Schultz, to my friend, Reverend Al
Sharpton, for being named the permanent host of the 6:00 show here on
MSNBC. He`s a great friend. He`s a great talent. And he will bring a lot
of personality and insight to this network. I think it`s fantastic.

Al, congratulations. By the way, if you need me to do the 6:00, I`ll
fill in every now and then. That`s THE ED SHOW. I`m Ed Schultz. You can
listen to my radio show on XM Channel 127 -- and Sirius XM 127, Noon to
3:00, Monday through Friday.

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

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