'This Week' Transcript: Gov. Schwarzenegger

STEPHANOPOULOS: How about your party? At the Republican Governors' Association meeting this week, a bunch of governors got up, and it was like a litany of postmortems on the election.

UNKNOWN: Obama was going to get elected president unless the American people came to the conclusion he was unacceptable.

UNKNOWN: We're going to have to be bold. We're going to have to be aggressive.

UNKNOWN: They fired us with cause. We gave them reason to fire us.



SCHWARZENEGGER: Well, yes. I mean, if you look at it in a political way. I think that, you know, that everyone will have a different take on what happened this last election. I think you can also make it very simple, and that is, you know, that Republicans have not provided for what the people need. And I think that's why Jindal is partially right on that, or he's right on that, because, you know, it is all about what the people of America need right now, and have we provided that as a party?

And to me, I of course go way beyond all of that. Because to me, I think it's a bunch of nonsense, talking about parties and all of those things -- because in the end, the American people are not that interested in Democrats versus Republicans and them arguing in Washington about is this a Democratic principle or is this a Republican principle.

Let me tell you something. When it comes to building roads and people driving on the roads -- it's Democrats, Republicans, independents, decline to state -- everyone wants to use those roads. Everyone's kids -- Republicans' kids, Democrats' kids -- everyone is in the school. They want to have great education. When it comes to clean air and protecting our environment and fighting global warming, everyone in America wants to be part of that.

So I think that it's only the politicians that always divide things up and they draw and line and say this is a Republican idea and this is a Democratic idea. And in the meantime, it doesn't help the people to stay in their homes.

STEPHANOPOULOS: That sounds like Barack Obama.

SCHWARZENEGGER: Well, it may sound whoever it sounds like, but I just think that we are too, kind of, preoccupied with this Democrat versus Republican.

I, when I make decisions as governor here in California, I have my Republican principles, but I don't make decisions based on just Republican principles. I make decisions on what do the people need?

Right now, the people need to stay in their homes. So I want to go and renegotiate and have them work on the loan agreements and see how do we bring the payments, the monthly payments, the mortgage payments down, so they're affordable for the people. They can go and lower the interest rate. They can go and throw off the payments. Instead of 30 years, 40 years or whatever maybe the method is, but let's help the people.

And I don't analyze, wait a minute, is this a Republican idea or a Democratic idea?

STEPHANOPOULOS: But you are a Republican. So how does your party do that? You know, Governor Tim Pawlenty says Republicans need a Dr. Phil moment. We have to recognize we are not speaking to the fastest-growing voter groups -- Hispanics, young people, professionals.

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