Transcript: Sens. Kent and DeMint

(UNKNOWN): Especially labor unions.

BRAZILE: I mean it's progressive -- absolutely. I agree with Arianna, the public option is what many of the constituents, who voted for change, and rallied around the president. That's what they want, they want their public option. When you come to taxing the benefits of employees, I think that's going to be a very tough call.

STEPHANOPOULOS: Do you agree with the power of that proposal, on the taxing benefits?

KRUGMAN: No, I don't think it has very much effect on the costs, actually. I don't think it's -- the idea is that -health care is not like buying bread. It's not something where marginal rates (ph) will make a lot difference. Marginal rates (ph) is at the individual level, to make a lot of difference. It's not a big deal on controlling costs. It is, however, a possible source of finance. That is, it is reasonably fair and it's internal.

Let me say something about cost control. There is a theory, which I subscribe to, that if you get universality, costs control will follow through the political mechanism. Massachusetts has universal health care system that has zero cost control. It was a disaster from a cost control point of view. Now Massachusetts is getting serious about cost control because once you've established that you no longer have the safety valve of dealing with rising costs by making more people uninsured, then you have to deal with the problem. So, this has to happen.

BROOKS: Wouldn't you say that's because they are actually changing the delivery of health care, what they are trying to now?


BROOKS: And whatever you think of how they're doing it, the current bills on Capitol Hill do not fundamentally change that.

KRUGMAN: But the original Massachusetts health care reform didn't do anything about that either, and


BROOKS: And we're modeling reform after that.

HUFFINGTON: Well, I believe (ph), it's going to be impossible to have costs control without some emphasis on prevention. And that's really one of the problem here. Even the tax on soda, which is so basic, so elementary, given the trends toward obesity and diabetes, it is basically not going to happen.

STEPHANOPOULOS: And I was going to say, because it is so basic, because it is so easy to understand, it is not going to happen.

We actually want to take a quick break here, but I heard, George, you say no bill this year.

You say the president, very quickly, the president signs something by December?

HUFFINGTON: Very watered down, not good enough.

KRUGMAN: Yes, he signs something.

BROOKS: Yes, he will sign something.

STEPHANOPOULOS: I think so, as well, but it's hard to know what's going to be in it.

We're going to come back to the debate the president didn't want this week, race, police and profiling.

And later, "The Sunday Funnies".


DAVID LETTERMAN, THE LATE SHOW: If we had wanted a president who looked good in pants we would have elected Hillary, you know what I mean?





UNIDENTIFIED MALE: What it made me realize was how vulnerable all black men are. How vulnerable all people of color are.

OBAMA: Any of us would be pretty angry. The Cambridge police acted stupidly.

UNIDENTIFIED MALE: The apology won't come from me. I've done nothing wrong.

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