'This Week' Transcript: Gen. Jim Jones (Ret.)

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KATHY DIRR, TEA PARTY PATRIOT: I say to the Republican leadership, take off your lace panties. Stop being noodle-backs. KARL: The attitude runs deep among House Republicans, some of whom don't want to compromise on spending cuts, or issues like funding for Planned Parenthood. Democrats have already agreed to make more than $30 billion in cuts over the next six months, perhaps the largest cut Congress has ever made.

But Speaker of the House John Boehner's biggest challenge may be to convince his rank and file to accept victory.

BOEHNER: We control one half of one third of the government here in Washington. We can't impose our will on another body. We can't impose our will on the Senate. All we can do is fight for all of the spending cuts we can get an agreement to.

KARL: Democrats have their hot heads, too. One Obama administration official said the Republican bill, which cuts $5 billion from the agency for International Development would kill kids. That's right. Kill kids.

RAJIV SHAH, USAID ADMINISTRATOR: We estimate, and I believe these are conservative. That HR 1 would lead to 70,000 kids dying.

KARL: For weeks, Democrats have been accusing Republicans of putting the country at risk of a government shutdown. Enter Howard Dean.

HOWARD DEAN, FRM. DNC CHAIRMAN: Yeah!

KARL: Former Democratic Party chairman who told a forum this week that it is Democrats who should quietly rooting for a shutdown so they can blame it all on Republicans.

DEAN: From a partisan point of view, I think it would be the best thing in the world to have a shutdown.

KARL: And even the Democratic leaders trying to negotiate the deal seem to have one word describe their Republican colleagues.

UNIDENTIFIED MALE: Extreme level far to the right.

UNIDENTIFIED MALE; Extreme Tea Party.

UNIDENTIFIED MALE: Extreme territory beyond what was reasonable.

UNIDENTIFIED MALE: Small, extreme minority.

KARL: Compromise with extremists out to kill kids? They have less than a week to make it happen.

For This Week I'm Jonathan Karl.

(END VIDEOTAPE)

AMANPOUR: And joining me now, the Senate's third ranking Democrat, who you just saw there, Chuck Schumer, who joins us from his home state of New York, at our bureau there this morning. And with me here in the Newseum, Senator Jeff Sessions of Alabama, the ranking Republican on the budget committee.

Senators thank you very much for joining me.

Well, you saw Jon Karl's piece. And there's, you know, a lot of hijinks in that piece.

Let's get to the bottom of what's going on, Senator Sessions, has any progress been made this weekend amongst negotiators?

SESSIONS: I don't know that it has.

AMANPOUR: Is that a no?

SESSIONS: Well, I don't know that it has.

Mr. Boehner, the speaker, has indicated that he has not reached an agreement. So has Mitch McConnell, the Republican leader. So I think that negotiations continue and they need to continue.

But what this is -- Christiane, we really need to understand this is more than a Republican-Democratic squabble. This is -- the fundamental question is, are we headed to a financial crisis if we don't get off the fiscal course we're on? We have had witness after witness say that is so, Erskine Bowles said that President Obama's choice to head the debt commission, we're facing the most predictable debt crisis in American history. It could happen within two years.

We have got to take action now.

AMANPOUR: And we'll get to that.

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