Transcript: David Axelrod and Sen. Charles Grassley

ABC'S "THIS WEEK WITH GEORGE STEPHANOPOULOS"

STEPHANOPOULOS: Good morning and welcome to "This Week."

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OBAMA: We're going to get it done. I won't engage in hypotheticals in which we don't.

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STEPHANOPOULOS: Obama sells his plans hard.

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OBAMA: I'm pushing my idea.

I can't stress enough the importance of this vote.

We have not drawn lines in the sand.

That's up to the Senate to take the next step.

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STEPHANOPOULOS: Republicans stand their ground.

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REP. JOHN A. BOEHNER, R-OHIO: I've seen some pretty crazy things, but I have never seen anything this ridiculous.

SEN. MITCH MCCONNELL, R-KY.: This isn't the only Democrat claim about health care that's increasingly suspect.

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STEPHANOPOULOS: Showdowns approach on energy and health care, but is bipartisan compromise still possible? We'll ask our headliners, the president's senior adviser, David Axelrod, and top Senate Republican, Chuck Grassley of Iowa.

Then.

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GOV. MARK SANFORD, R-S.C.: I've been unfaithful to my wife.

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STEPHANOPOULOS: A governor's strange confession. A superstar's sad end. That and all the week's politics on our roundtable, with Paul Krugman, Peggy Noonan, Kathleen Parker of the Washington Post and cultural historian Michael Eric Dyson.

And as always, the Sunday Funnies.

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DAVID LETTERMAN, TALK SHOW HOST: This Ahmadinejad guy during all those protests keeping a very low profile in Iran. His staff said he was hiking.

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STEPHANOPOULOS: Hello, again.

Congress has gone home for their July 4th break and they had better rest up, it's shaping up to be the busiest summer in a generation: health care, energy, the Supreme Court, and the economy. And for the debate on where things stand right now, we're going to begin this morning with the president's senior adviser, David Axelrod.

Welcome back.

AXELROD: Thanks, George. Good to be here.

STEPHANOPOULOS: Let's begin with that vote Friday night in the House, this vote on climate change legislation, very close, 219 to 212. Democrats say it's a major step forward for energy independence, to create green jobs, to control global warming.

But you know the Republicans are saying it's going to cost Americans jobs, going to send jobs overseas. And most important, they say it is a huge tax. And on that they have some backup from one of the president's supporters, Warren Buffett.

Take a look.

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WARREN BUFFETT, CEO, BERKSHIRE HATHAWAY: I think if you get into the way it was written, it's a huge tax and there's no sense calling it anything else. I mean, it is a tax. So it -- and it's a fairly regressive tax.

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STEPHANOPOULOS: How do you answer that? Republicans say this is the defining vote of 2008. They're going to use that in the 2010 elections.

AXELROD: Well, you know, it's interesting. We're trying to solve a problem that has languished for a decade, the problem of energy that has bedeviled us for a long time. And they're talking about how they can use it as an issue inaction as somehow a strategy. And that's not a strategy.

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