GO
Loading...

CNBC Transcript: Senator Hillary Clinton Speaks with CNBC's Dylan Ratigan on CNBC's "The Call"

The following is the unofficial transcript of a CNBC interview with Senator Hillary Clinton on CNBC's "The Call" today at 11:20AM ET.

In the interview, Senator Clinton discusses the growing problems in the mortgage industry and its impact on homeowners, interest rates and healthcare.

DYLAN: SENATOR HILLARY CLINTON JUST FINISHED SPEAKING TO RESIDENTS OF DERRY, NEW HAMPSHIRE DELIVERED HER PLAN ADDRESSING GROWING PROBLEMS IN THE MORTGAGE INDUSTRY AND IMPACT ON HOMEOWNERS. SENATOR CLINTON JOINS US FOR EXCLUSIVE INTERVIEW. WE WELCOME YOU TO "THE CALL".

SENATOR CLINTON: THANK YOU VERY MUCH, DYLAN.

DYLAN: TALK TO US ABOUT THE CORE INTENTIONS OF THE PLAN THAT YOU LAID OUT, THE THREE OR FOUR BULLET POINTS YOU CONSIDER TO BE MOST VITAL.

SENATOR CLINTON: WELL, LAST MARCH I GAVE A SIMILAR SPEECH ABOUT THE SUBPRIME MORTGAGE MARKET AND THERE AMONG OTHER THINGS I FOR A FORECLOSURE TIME-OUT, IN SOME WAY TO TRY TO GET A GRIP ON WHAT WAS HAPPENING IN THE SUBPRIME MARKET. NOW, OF COURSE, WE'RE SEEING IT, SPREAD TO THE CONVENTIONAL MORTGAGE MARKET. SO I WANT TO ADVOCATE FOR MORE, STANDARDS FOR BROKERS. A LOT OF BUYERS THINK THE BROKERS ACTUALLY REPRESENTING THEM WHEN WE KNOW THAT BROKERS GET PAID DEPENDING UPON THE SIZE OF THE MORTGAGE THAT THEY'RE ABLE TO SELL. I ALSO WOULD LIKE TO SEE SOME NATIONAL REGISTRY OF BROKERS SO THAT HOMEOWNERS COULD ACTUALLY EXERCISE RESPONSIBLE VIGILANCE AND GO ON-LINE AND FIND OUT WHO THESE PEOPLE ARE AND WHAT THEIR RECORD HAS BEEN. SIMILARLY, WHEN IT COMES TO THE LENDERS, YOU KNOW, THINK A LOT OF LENDERS HAVE REALLY TAKEN ADVANTAGE OF WHAT IS A VERY TOUGH ECONOMIC SITUATION FOR MANY AMERICANS. YOU KNOW, ALTHOUGH, MANY OF US HAVE DONE WELL, IN THE LAST SIX 1/2 YEARS, THE MEDIAN INCOME IN AMERICA HAS DROPPED 1300 DOLLARS. HEALTHCARE COSTS TUITION AND OTHER COSTS REALLY PART OF A MIDDLE CLASS AND WORKING FAMILY'S BUDGET HAVE INCREASED.

DYLAN: HOW WOULD -- LENDERS HAVE TAKEN ADVANTAGE OF THAT? WHERE IS THE EXPLOITATION?

SENATOR CLINTON: I WILL GIVE YOU ONE EXAMPLE. THIS WHOLE IDEA OF PREPAYMENT PENALTIES WHICH ARE OFTEN BURIED ON PAGE 700 OF FINE PRINT. PUT HOMEOWNERS IN IMPOSSIBLE POSITION. LOT OF THEM WHO HAVE TRIED TO PAY OFF THEIR MORTGAGE, MORE MANY FIRST-TIME HOME OWNERS SEEMS LIKE THING TO DO HAVE BEEN HIT WITH THE PREPAYMENT PENALTIES YOU KNOW THE PAPER HAS BEEN SOLD AND PEOPLE ARE, BASICALLY, BANKING LITERALLY ON WHAT THE PROJECTED INCOME WOULD BE. I THINK WE'VE GOT TO, REALLY, REQUIRE THAT LENDERS TAKE, A DIFFERENT APPROACH IN DEALING WITH PEOPLE WHO MAY NOT HAVE THE CREDITWORTHINESS IN ORDER TO, HANDLE THE KINDS OF MORTGAGES THAT ARE BEING SOLD TO THEM. NOW WE ALSO HAVE GOT TO GET GOVERNMANT INVOLVED IN THAT WAY. BOTH FANNIE AND FREDDIE HAVE DONE GOOD WORK TRYING TO HELP PEOPLE AVOID FORECLOSURE PROVIDING COUNSELING TO HELP THEM WORK OUT. THAT HAS TO BE EXPEDITED. WE'RE LOOKING AT CASCADE FORECLOSURES IF WE'RE NOT CAREFUL HERE. FINALLY WE'VE GOT TO DO MORE ON AFFORDABLE HOUSING. I THINK GOVERNMENT SHOULD BACK A LOT OF STATEHOUSE ING TRUST FUNDS TRYING TO DO THAT.

DYLAN: HOW WOULD THAT WORK? I KNOW THERE WAS ELEMENT ALSO OF YOUR PROPOSAL THIS MORNING, THAT DISCUSSED THE CREATION OF A BILLION DOLLAR FUND TO HELP ALLEVIATE SOME OF THE FORECLOSURE DISTRESS OR HELP, ADVISE PEOPLETHROUGH REFINANCING IF IT'S POSSIBLE TO ACHIEVE THAT. HOW WOULD YOU ENVISION THAT FUNCTIONING?

SENATOR CLINTON: WELL, THERE ARE A COUPLE OF DIFFERENT WAYS. OBVIOUSLY THERE'S, THE PRELIMINARY, PERIOD WHEN SOMEONE IS THINKING ABOUT GOING INTO HOMEOWNERSHIP. I'M A HUGE BELIEVER IN COUNSELING. I THINK THERE IS A ROLE FOR NONPROFITS, LOCAL GOVERNMENTS. IN FACT YOU MAY KNOW THAT CHICAGO SOMETHING LIKE THIS. AND WHAT WAS FOUND THAT A LOT OF PEOPLE WHO WERE THE TARGETS FOR PARTICULARLY THE SUBPRIME MARKET JUST HAD NO BUSINESS GETTING INTO HOMEOWNERSHIP UNTIL THEY GOT CREDIT STRAIGHTENED OUT AND NEEDED A LITTLE ADVICE TO GO FORWARD. UNFORTUNATE LENDING INDUSTRY WENT A LITTLE BIT WILD AND SAID, WAIT A MINUTE THESE ARE POE TENDING AL CUSTOMERS. ARE IMPLICATIONS FOR ENTIRE ECONOMY. NOT ONLY I'M CONCERNED ABOUT THE STORY IES I'VE HEARD ALL OVER THE COUNTRY FAMILIES LOSING THEIR HOMES FRANKLY THEY GOT BEHIND BECAUSE THEY LOST A JOB. THEY HAD A MEDICAL CRISIS THEY GOT HIT WITH THE, ADJUSTABLE RATE MORTGAGE WITH THE PREPAYMENT PENALTY. BUT IT'S ALSO ABOUT THE IMPACT THIS IS HAVING AND COULD VERY DRAMATICALLY HAVE ON OUR ECONOMY GOING FORWARD.

DYLAN: SO TO THAT END, I KNOW THIS IS LITTLE BIT OUTSIDE OF YOUR DOMAIN, BUT WOULD YOU ADVOCATE, THE FEDERAL RESERVE, WHICH IS MEETING TODAY, CUT INTEREST RATES IN ORDER TO ALLEVIATE THE CREDIT CRUNCH?

SENATOR CLINTON: WELL, I LEARNED A LONG TIME AGO, THAT I'M NOT GOING TO INTO THAT WATER. I THINK THE FED IS CERTAINLY, AWARE OF WHAT'S HAPPENING. I THINK, CHAIRMAN BERNANKE HAS MADE SOME RECENT STATEMENTS ABOUT HIS CONCERNS REGARDING THE HOUSING MARKET, NOT JUST SUBPRIME BUT CONVENTIONAL MORTGAGES AS WELL. I WILL LET THE FEDERAL RESERVE AS YOU KNOW IS INDEPENDENT BODY MAKE WHATEVER DECISION THEY THINK WILL KEEP OUR ECONOMY STRONG AND GROWING. WE WANT TO HAVE ANY SETBACKS ESPECIALLY SO MANY PEOPLE ARE NOT REALIZING THE BENEFITS OF THIS ECONOMY RIGHT NOW.

DYLAN: THE ONE THING THAT WE ALL KNOW THE CRITICAL AND VITAL NATURE OF THE RELATIONSHIP BETWEEN POLICY AND POLICYMAKERS AND THE FINANCIAL MARKETS IN GENERAL. THIS IS A CLASSIC EXAMPLE OF WHERE THOSE TWO THINGS COME TOGETHER. IF YOU WERE TO IDENTIFY A MODEL FOR WHAT YOU VIEW AS THE GREATEST EXAMPLE OF POLICYMAKERS AND FINANCIAL MARKETS WORKING TOGETHER IN THEIR MUTUAL INTEREST, WHAT WOULD IT BE AND WHAT WOULD YOU SAY IS ONE OF THE MORE DISASTEROUS EXAMPLES THAT OCCURS TO YOU?

SENATOR CLINTON: WELL, YOU KNOW, I THINK THAT, WHAT I'M ADVOCATING IS, MODELED ON, YOU KNOW, SMART INTERVENTION BEFORE PROBLEMS GET OUT OF HAND. WE'VE SEEN, WE'VE SEEN OUR ECONOMY HAVE TO CLEAN UP AFTER ALL KINDS OF MESSES. YOU KNOW PART OF THE REASON WE HAVE THE REGULATORY STRUCTURE WE DO TODAY BECAUSE OF THE PROBLEMS THAT CAME TO LIGHT DISASTEROUSLY IN THE DEPRESSION. WE SAW THE COLLAPSE OF THE SAVINGS AND LOAN INDUSTRY. REGULATORS WERE NOT KEEPING UP WITH A LOT OF NEW TECHNIQUES AFRD OFFERINGS THAT WERE PROVIDED.

DYLAN: ARE YOU SUGGESTING THAT THE BASICALLY THAT WE HAVE MISMANAGED THE REGULATION OF THE MORTGAGE INDUSTRY AT THIS POINT AND THAT WE NEED NOW ARE SUFFERING ILLS OF THAT AND GOVERNMENT NEEDS TO EFFECTIVELY SOLVE THAT PROBLEM?

SENATOR CLINTON: I DON'T WANT YOU TO PUT WORDS IN MY MOUTH.

DYLAN: I DON'T WANT TO.

SENATOR CLINTON: I'VE SAID WHAT I HAVE TO SAY IN MY SPEECH.

DYLAN: OKAY.

SENATOR CLINTON: I THINK WE HAVE NOT TAKEN THE KIND OF, PERHAPS, VIGILANT ACTION IN ORDER TO AVOID PROBLEMS THAT WE'RE NOW SEEING COME HOME TO ROOST. AND LOOK WE'RE IN GLOBAL ECONOMY. YOU KNOW THAT, THE SECURITIZING OF THESE MORTGAGES HAS JUST PROCEEDED, AT AN ACCELERATED RATE AND THEY'RE BEING HELD ALL OVER THE WORLD. PEOPLE ARE COUNTING ON A LOT OF THE TERMS BEING ACTIVATED BECAUSE, THAT'S WHAT THEY HAVE BANKED. WELL, I'M SAYING, WAIT A MINUTE, LET'S TAKE A DEEP BREATH HERE. LET'S SEE IF THERE AREN'T WAYS WE COULD HAVE A WIN-WIN, MAYBE LESS OF A WIN FOR LENDERS AND MORE OF A WIN FOR CONSUMERS AND ECONOMY WITHOUT DOING SEAR DAMAGE TO EITHER.

DYLAN: YOU HAVE BEEN VOCAL ON NUMBER OF OCCASION THIS IS YEAR BROAD THE SUBJECT OF RELATIONSHIP BETWEEN POLICY AND FINANCIAL MARKETS INCLUDING SOME COMMENTS THAT YOU MADE THE DAY AFTER THE FIRST BIG SELL-OFF THIS YEAR ON FEBRUARY 27th WHICH CAME IN THE WAKE OF SOME NEW REGULATION BEING PUT IN PLACE IN CHINA. YOU SAID, THIS IS THE DAY AFTER THAT, SELL-OFF, SO-CALLED SHANGHAI SWOON, YESTERDAY THE WRITING WAS ON THE BIG BOARD. THE ECONOMIC POLICIES OF THE LAST SIX YEARS HAVE CONTRIBUTED TO AN EROSION OF U.S. ECONOMIC SOVEREIGNTY AND HAVE MADE US MORE DEPENDENT ON THE ECONOMIC DECISIONS OF OTHER NATIONS. DO YOU, AM IS MISINTERPRETING THAT TO SAY YOUR INTERPRETATION IS THAT THE SELL-OFF ON THE 27th WAS TIED, CHINESE HOLDING OF FOREIGN DEBT OR GENERAL HOLDING OF U.S., FOREIGN HOLDING OF U.S. DEBT EXCUSE ME?

SENATOR CLINTON: I DON'T THINK THERE IS ANY ARGUMENT THAT WE'RE IN AN INTERDEPENDENT GLOBAL ECONOMY. I'M TRYING TO FIGURE OUT HOW WE'RE GOING TO MAKE THAT WORK TO AMERICA'S ADVANTAGE NOT JUST ADVANTAGE OF A FEW OF US WHO ARE ABLE TO SUCCESSFULLY NAVIGATE THIS NEW ECONOMIC REALITY BUT TO ECONOMY AS WHOLE AND MIDDLE CLASS AMERICA WHICH HAS BEEN THE REAL DRIVER OF ECONOMIC PROSPERITY FOR MUCH OF THE LAST 100 YEARS. SO FROM MY PERSPECTIVE, IF THE, REALITY AROUND YOU HAS CHANGED, THEN, YOU HAVE TO, KEEP UP WITH IT OR YOU ARE SWAMP BY IT. I THINK IT IS A POINT THAT, WE NOW SEE SO MUCH OF OUR PAPER OWNED BY FOREIGN GOVERNMENTS. THEY'RE NOT, THEY'RE NOT OPERATING IN AL MARKET AS ALONE. THEY'RE ALSO, OPERATING WITH POLITICAL CONSIDERATIONS. I THINK WE HAVE TO TAKE A MUCH BROADER LOOK HOW WE NAVIGATE THIS NEW GLOBAL ECONOMIC REALITY.

DYLAN: WOULD YOU ARGUE THAT WE, THE ALL OF US IN AMERICA, BENEFIT SUBSTANTIALLY BY THAT FOREIGN CAPITAL THAT IS BASICALLY INVESTED IN OUR COUNTRY AT A VERY LOW INTEREST RATE.

SENATOR CLINTON: WELL, WE CERTAINLY DO HAVE INVESTMENTS BUT, IT IS ALSO TRUE THAT 6 1/2 YEARS AGO WE HAD A BALLED BUDGET AND A SURPLUS. WE HAD CREATED 22 MILLION NEW JOBS. WE HAVE NOW SEEN A DECLINE IN THE AMERICAN MIDDLE CLASS'S STANDARD OF LIVING. WE HAVE SEEN US MORTGAGE OUR FUTURE LITERALLY, TO FOREIGN GOVERNMENTS GET TO MAKE DECISIONS WHETHER OR NOT THEY WILL BUY AND HOW MUCH OF THAT PURCHASE THEY'RE WILLING TO CONTINUE TO BEAR. I DON'T LIKE TO SEE EITHER THE UNITED STATES GOVERNMENT, THE UNITED STATES ECONOMY OR AMERICA IN GENERAL, BE AT ANY DISADVANTAGE IN DEALING WITH THESE NEW GLOBAL REALITY IS. SO I'M ARGUING VERY STRENUOUSLY. AND AS PRESIDENT I THINK IT'S IMPORTANT TO TRY TO GET BACK TO FISCAL RESPONSIBILITY. YOU KNOW THE PRESIDENT TOOK US TO WAR. SPENT MORE THAN $450 BILLION ON THE WAR IN IRAQ WITHOUT, PAYING FOR IT. IT'S FIRST TIME WE'VE HAD A PRESIDENT WHO TOOK AMERICA TO WAR AND DIDN'T PAY FOR IT. SO IN EFFECT THE PRESIDENT HAS MORTGAGED OUR FUTURE IN VERY DIRECT WAY AND, I THINK WE NEED TO TAKE A LOOK ALL THOSE MORTGAGES NOT ONLY MORTGAGE THAT IS COMING DUE AND PUSHING PEOPLE OUT OF THEIR HOMES WHEN THEY THOUGHT THAT THEY WOULD LIVE IN THEM FOR REST OF THEIR LIVES BUT ALSO THE WAY WE MORTGAGED FUTURE OF OUR COUNTRY. I DON'T THINK IT'S BEEN SMART. I'M ALL FOR A DYNAMIC, COMPETITIVE, ECONOMY. BUT THERE'S LOT OF WORK WE HAVE TO DO AT HOME ON HEALTHCARE AND ENERGY AND SO MUCH ELSE. IF WE'RE GOING TO REMAIN THEST ECONOMY FOR 21st CENTURY.

DYLAN: I WISH I HAD YOU NEXT ALL DAY I BE HONEST. GOT ME HEALTHCARE. IN MY EAR TO STOP TALKING. WE GOT COUPLE MORE MINUTES HERE. IN BRIEF, SENATOR, WILL YOU, IF YOU WERE PRESIDENT WOULD YOU, WILL YOU ADDRESS UNIVERSAL HEALTHCARE?

SENATOR CLINTON:ABSOLUTELY.

DYLAN: HOW?

SENATOR CLINTON: IT'S AN ECONOMIC PAIR TIFF NOW, DYLAN. WELL THERE IS LOT OF THINGS WE NEED TO DO. I'VE BEEN VERY AGGRESSIVE IN TALKING ABOUT HOW GET COSTS DOWN AND HAVE BEEN, CONSULTING WIDELY WITH, MANY PEOPLE IN THE SYSTEM. THOSE DELIVER CARE AND THOSE WHO PAY FOR CARE. AND, THE GENERAL CONSENSUS IS, THAT WHEN YOU SPEND 2 TRILLION PLUS AND YOU DON'T GET COVERED AND, YOU DON'T GET THE BEST OUTCOMES FOR MONEY YOU'RE PUTTING INTO IT WE COULD DO A WHOLE LOT BETTER THAN WE ARE. I OUTLINED A SEVEN POINT PLAN VERY REALISTICLY INCLUDING EVERYTHING FROM ELECTRONIC RECORDS WHICH NG FOR PREVENTION INSTEAD OF EMERGENCY CARE. THAT I THINK WOULD SAVE US ABOUT 120 BILLION DOLLARS IF WE WERE TO IMPLEMENT IT. THAT WOULD BE MORE THAN ENOUGH MONEY OVER TIME TO COVER THE 45 MILLION PLUS, WHO AREN'T COVERED CURRENTLY, AND TO BEGIN TO PAY FOR QUALITY, WHICH IS ANOTHER PART OF MY PROGRAM. SO, THERE'S A LOT WE CAN DO AND SOME COMPANIES ARE REALLY ON THE CUTTING EDGE HERE AND YOU KNOW--

DYLAN: WOULD YOU PARTNER WITH THE HEALTH INSURANCE COMPANIES? IN HEDGE FUNDS AND PRIVATE EQUITY AND THE LIKE AND YOU, ALONG WITH MITT ROMNEY AND CHRIS DODD ARE IN THE TOP THREE IN TERMS OF THE RECIPIENTS OF DONATIONS FROM THOSE TYPES OF INDIVIDUALS, THIS ACCORDING TO OPEN SECRETS. AT THE SAME TIME, YOU OFFERED THE FOLLOWING COMMENT ON TAXATION FOR PRIVATE EQUITY. I'D LIKE TO GET YOUR COMMENT ON IT. YOUR STATEMENT WAS THIS, IT OFFENDS OUR VALUES AS A NATION WHEN AN INVESTMENT MANAGER MAKING 50 MILLION DOLLARS CAN PAY LOWER TAX RATE ON HER EARNED INCOME THAN A TEACHER MAKING $50,000 PAYS ON HER INCOME. AS PRESIDENT, I WILL REFORM OUR TAX CODE TO ENSURE THAT THE CARRIED INTEREST, WHICH IS A COMPONENT OF THE INCOME FOR PRIVATE EQUITY AND HEDGE FUNDS, EARNED BY SOME MULTI-MILLIONAIRE WALL STREET MANAGER WAS RECOGNIZED FOR WHAT IT IS. ORDINARY INCOME THAT SHOULD BE TAXED AT ORDINARY INCOME TAX RATES, I'M CURIOUS HOW THOSE WHO HOSTED YOU THIS WEEKEND FEEL ABOUT THAT STATEMENT.

CLINTON: WELL, MANY OF THEM UNDERSTAND THAT WE HAVE TO GET BACK TO SOME FAIRNESS IN OUR ECONOMY IN ORDER TO, YOU KNOW, REALLY KEEP FAITH WITH OUR VALUES. I'M A VERY STRONG SUPPORTER OF THE MARKETS AND OF COMPETITIVENESS AND OF RISK TAKING, BUT MANAGING SOMEONE ELSE'S MONEY AS OPPOSED TO MAKING YOUR OWN INVESTMENTS, I THINK IS DIFFERENT. SO, EVEN THOUGH YOU MAY BE MANAGING BILLIONS OF DOLLARS, THE MANAGEMENT FEES SHOULD BE TAXED AS ORDINARY INCOME. IF YOU PUT YOUR OWN MONEY INTO THE POT, YOU SHOULD CERTAIN GET CAPITAL GAINS AND YOU KNOW, I THINK THAT THAT IS THE KIND OF FAIR ASSESMENT THAT WE ARE GOING TO HAVE TO GET BACK TO MAKING AND YOU KNOW, MOST OF THE PEOPLE WHO SUPPORT ME ON WALL STREET, AND I AM OBVIOUSLY VERY PROUD TO HAVE A LOT OF SUPPORT, BELIEVE THAT I WOULD BE A STEADY, SENSIBLE HAND ON THE ECONOMY, IN THE WHITE HOUSE. I DON'T WANT TO DO ANYTHING THAT IN ANY WAY UNDERMINES OUR

COMPETITIVENESS OR THE OPPORTUNITIES FOR DYNAMISM AND GROWTH, BUT I ALSO WANT TO GET BACK TO A BETTER BALANCE OF SHARED PROSPERITY. YOU KNOW, ECONOMICALLY AND POLITICALLY, IT'S NOT IN AMERICA'S LONG-TERM INTEREST FOR THE VAST MAJORITY OF AMERICANS TO FEEL LIKE THE DECK IS STACKED AGAINST THEM THAT THEY'RE NOT TREATED FAIRLY, THAT THEIR HARD WORK WILL NOT BE REWARDED AND MOST OF US CAME FROM WORKING FAMILIES OR MIDDLE CLASS FAMILIES AND YOU KNOW, LET'S GETS BACK TO, YOU KNOW, HAVING A SYSTEM WHERE, YES, WE'RE WILLING TO WORK HARD, BOY, GET OUT THERE AND MAKE IT HAPPEN. AND YOU'RE GOING TO BE RICHLY REWARDED.

DYLAN: AND I DON'T THINK ANYBODY DISAGREES WITH THAT, THE QUESTION IS WHETHER IT'S THE ROLE OF THE GOVERNMENT AND TAX POLICY TO TRY TO RECONCILE THAT.

CLINTON: WELL, YOU KNOW, I THINK IT CERTAINLY IS. I MEAN, TAX POLICY IS ONE OF THE INSTRUMENTS THE GOVERNMENT USES, I MEAN, GEORGE BUSH HAS TWO MAJOR COMMITMENTS IN HIS TERM AS PRESIDENT. TAX CUTS FOR PEOPLE LIKE BILL AND ME AND THE IRAQ WAR, NEITHER OF WHICH HE'S PAID FOR. AND AT SOME POINT, YOU'VE GOT TO SAY LOOK, OUR SYSTEM IS OUT OF WHACK. WE WANT PEOPLE TO DO WELL. A LOT OF PEOPLE DID EXTREMELY WELL DURING THE '90S, SO DID EVERYBODY ELSE, WHEN YOU LIFT 22 MILLION OUT OF POVERTY AND ECONOMIC POLICIES LIFT 100 TIMES

MORE PEOPLE OUT OF POVERTY THAN IN THE REAGAN'S YEARS. YOU KNOW, THAT'S THE WAY THE ECONOMY WORKS FOR EVERYBODY, LET'S LIFT ALL OF THOSE BOATS NOT JUST ONES--

DYLAN: ULTIMATELY WHERE THE RUBBER HITS THE ROADS, YOU'D RAISE TAXES ON WEALTHIEST AMERICANS TO CREATE TAX RELIEF FOR THE LESS WEALTHY, IS THAT HAD A FAIR CHARACTERIZATION ONE WAY OR THE OTHER.

CLINTON: I'M GOING TO LET THE BUSH TAX CUTS EXPIRE AND SO, I THINK, YOU CAN INTERPRET THAT ANYWAY YOU WANT. I THINK WE SHOULDN'T BE TAXING

ANYBODY ANY MORE THAN IS NEEDED TO DO WHAT AMERICA MUST DO TO GET BACK INTO A COMPETITIVE POSITION AND THAT REQUIRES INVESTMENTS AND MAKING SURE OUR HEALTHCARE SYSTEM WORKS BETTER, THEN WE START INVESTING ALTERNATIVE ENERGY AND CREATING MILLIONS OF JOBS AND DEAL WITH GLOBAL WARMING AND A BETTER JOB ON EDUCATION AND GET BACK TO WHAT SCIENTISTS HAVE TO SAY ABOUT--

DYLAN: AND EVERYBODY AGREES WITH THAT, BUT YOU HAVE TO PAY FOR IT SOMEHOW, YOU NEED THE MONEY.

CLINTONl: YOU NOW WHAT? THAT'S THE KEY, PAY FOR IT. DON'T PUT IT ON THE BIG CREDIT CARD IN THE SKY THE WAY THAT GEORGE BUSH HAS, THAT BECOMES DUE.

DYLAN: BECOMES TAXES, AT THE END DAY--

CLINTON: WELL, FOR GOODNESS SAKES IT MEANS A LOT OF THINGS, SMARTER ABOUT GOVERNMENT. HOW ABOUT THE OLD-FASHIONED IDEA PEOPLE WHO ARE QUALIFIED FOR THE POSITIONS YOU ASKED THEM TO FILL IN THE GOVERNMENT AGAIN.

DYLAN: AGREE.

CLINTON: THERE'S GOING TO HAVE TO BE MASSIVE REFORM AND WE'VE WASTED BILLIONS OF DOLLARS AND LOOK AT THE WEAPONS MISSING IN IRAQ.

DYLAN: AND LISTEN, A LOT OF THE THINGS, 80% OF THE COUNTRY IF NOT MORE WOULD AGREE WITH THIS.

CLINTON: PROBABLY, RIGHT.

DYLAN: AND A LOT OF DISAGREEMENT WHERE THE MONEY COMES FROM, AS YOU KNOW, SO.

CLINTON: WELL, I WANT THE MONEY TO BE COMING FROM SOURCES THAT BOTH CAN AFFORD IT AND HAVE IT BE FAIRLY REPRESENTATIVE OF WHAT WE

NEED TO DO TO GET AMERICA BACK IN THE WINNING BUSINESS AGAIN.

DYLAN: SENATOR, A DELIGHT TO HAVE YOUR COMPANY TODAY, THANK YOU FOR MAKING THE TIME FOR US.

CLINTON: THANK YOU, MY PLEASURE.

DYLAN: ALL RIGHT. SENATOR HILLARY CLINTON, TRISH.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More

Don't Miss

U.S. Video