Transcript: Sen. John McCain

MCCAIN: It's not a matter of being allowed. I would hope that the point -- that the Pakistani government -- and I met with the leaders of the Pakistani government, except for Zardari -- that they should understand that they need to take action to show the government and people of India that they are taking significant action in order to bring those people to justice, and actions that will prevent it from happening again.

STEPHANOPOULOS: This team that President-elect Obama has picked -- you had kind words...


STEPHANOPOULOS: ... for Senator Clinton as secretary of state.


STEPHANOPOULOS: Jim Jones, General Jim Jones...


STEPHANOPOULOS: ... as national security adviser. Bob Gates as secretary of defense.

MCCAIN: And Geithner, Treasury secretary, is also a very good choices, yes.

STEPHANOPOULOS: You look at the national security team; this is a team you could have picked.

MCCAIN: Sure, sure. Absolutely.

STEPHANOPOULOS: And what does that tell you about the president- elect?

MCCAIN: Tells me that the president-elect is going to address national security issues with people who he thinks the American people can trust, and that he can place trust and confidence in.

MCCAIN: Again, I'm not playing Paul Revere, OK? But I am saying that there are enormous challenges throughout the world. We have the situation in Afghanistan. The situation in Iraq is still dangerous. There are efforts by Al Qaida to continue to cause difficulties and launch attacks in different areas of the world. So -- the Israeli situation is certainly unsettled, as they go through a new election period of uncertainty. So there is -- there's incredible national security challenges, which mandates -- doesn't argue for but mandates that we all work together as much as possible.

STEPHANOPOULOS: A bipartisan...


MCCAIN: Where we have been -- the North Korean talks apparently just broke down. So we should work together. Now, that does not mean, in any way, that we will agree on every issue.

STEPHANOPOULOS: But it sounds like you agree on Afghanistan now...


STEPHANOPOULOS: ... and have the same general approach to India and Pakistan. President-elect Obama himself has said there's a convergence on Iraq. I wonder about Iran. He still says we need tough but direct diplomacy. Are you willing to give that policy a chance?

MCCAIN: I obviously couldn't do anything to stop it. I would argue, still, that there has to be some action taken on the part of the Iranians which would not then give them an international forum to tout their ambitions and their dedication to the destruction of the state of Israel. Also, there is continued activities in Iraq conducted by individuals and groups and training conducted in Iraq coming into -- excuse me -- coming out of Iran into Iraq. It's still going on.

STEPHANOPOULOS: You and the president-elect also Guantanamo, closing down Guantanamo.


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