'This Week' Transcript: Jeb Bush and Sen. Bernie Sanders

— -- THIS IS A RUSH TRANSCRIPT FOR 'THIS WEEK' ON JANUARY 24, 2016 and it will be updated.

ANNOUNCER: Starting right now on THIS WEEK WITH GEORGE STEPHANOPOULOS, chaos at crunch time. Just one week to Iowa and a fractured GOP taking aim at its frontrunners.

SEN. TED CRUZ (R-TX), PRESIDENTIAL CANDIDATE: Donald is getting really radical.

DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: I could stand in the middle of Fifth Avenue and shoot somebody and I wouldn't lose any voters, OK?

ANNOUNCER: Can Trump hold off Cruz?

And can another Republican pull off a surprise?

We're on the ground in Iowa with eight days to go.

Plus, fight to the finish...

SEN. BERNIE SANDERS (I-VT), DEMOCRATIC PRESIDENTIAL CANDIDATE: Democracy is not a spectator sport.

HILLARY CLINTON (D), PRESIDENTIAL CANDIDATE: So stick with me.

ANNOUNCER: As Sanders surges ahead of Clinton, could he really pull off a stunning upset?

Bernie Sanders joins us live.

And former Mayor Michael Bloomberg considering a 2016 run -- could he change everything?

From ABC News, it's THIS WEEK.

Here now, co-anchor, Martha Raddatz.

(END VIDEOTAPE)

MARTHA RADDATZ, ABC HOST: Good morning.

And we're almost there. It's the final sprint in Iowa, just eight days to the very first votes of 2016 and both parties facing an identity crisis, with surprise outsiders on both sides looking like they could topple the insiders.

Just last night, "The Des Moines Register" went with the insiders, giving its coveted endorsements to Marco Rubio and Hillary Clinton.

And then there's that breaking news, Michael Bloomberg, billionaire and former New York mayor, putting together a plan to potentially mount a third party bid for president.

All that in just a moment, but we start with the massive winter storm, with millions of Americans waking up this morning buried under several feet of snow.

ABC News senior meteorologist Rob Marciano has all the latest from New York City, which came within just one tenth of an inch of topping its all-time snow record -- good morning, Rob.

Just how bad was this?

ROB MARCIANO, ABC NEWS CORRESPONDENT: Well, it, you know, over two feet of snow, as you mentioned. And for a 24 hour total, we did break that record.

But it's nothing like what we forecast. We didn't expect this much snow.

So that part of it may have caught the city by surprise, but they've done a fair job of digging things out. We thought ground zero would be in the Baltimore to DC corridor. That certainly got slammed with 20 plus inches of snow. And in areas just to the west -- you know, check out some of these numbers. I mean this is a huge swath of incredibly heavy snow.

Shepherdstown, West Virginia, 40.5 inches; Round Hill, Virginia, 36.3 inches; Somerset, PA, 35 inches; and almost three feet in Allentown, Pennsylvania.

And for the big cities, obviously, you literally just shut it down, because you've got no place to put this.

But look at what it looked like yesterday in Times Square. You never see it like this -- people just kind of walking the streets. There's a travel ban or there was a travel ban in effect. That has since been lifted, Martha.

But big cities like New York, Philly, Baltimore and DC brought to their knees with this crippling snowstorm.

RADDATZ: So concerns in the next couple of days, you mentioned a few of those challenges.

But what do you see in the next couple of days?

MARCIANO: Well, today, it's going to be right around the freezing mark. We're going to get some sunshine. Some of the taller buildings will see some melting and actually the ice and snow falling off those skyscrapers, that's a bit of an issue here.

But you've got these huge mounds of snow that pedestrians have to navigate. This will become a little bit slushy maybe Monday, Tuesday and Wednesday, as it warms up. But today, it's just treacherous to get around.

The roads aren't too horrible, but look, I mean cop cars, New York's finest having to deal with trying to get out here. So you're talking about emergency vehicles and first responders that are struggling to get where they need to be.

And so everyone is just digging -- as a matter of fact, New York City, the city itself, they're hiring people, anybody over the age of 18, they will hire you as a day laborer to shovel snow today -- Martha.

RADDATZ: OK. Get right on that, Rob.

Thanks very much for joining us this morning.

MARCIANO: You bet.

RADDATZ: And joining us now here in our nation's capital is DC Mayor Muriel Bowser, right out there in the thick of it.

Mayor, I saw trucks all night sanding the roads, but give us an assessment of what's going on in DC today.

MAYOR MURIEL BOWSER (D), WASHINGTON, D.C.: Well, Martha, you know, we just finished 36 hours of snow last night, probably between the hours of 10:00 and 12:00. And we have been working pushing and plowing snow throughout the entire storm.

But once the snow finished, that's when the real dig out has begun in Washington, DC.

RADDATZ: And give us an assessment about tomorrow, Monday morning.

What will it look like in DC?

Government open?

Roads clear?

Metro open?

Schools open?

What do you think?

BOWSER: Well, we're doing that assessment right now. I was out all night looking at our roads across the city, across all eight wards of the District of Columbia.

So our crews are doing an excellent job on our main thoroughfares, our primary roads and now, today, they'll move into secondary and residential roads.

So this is not a one day dig out, I have to emphasize to our residents. We know that we're going to be dealing with snow throughout this week. And we'll make an assessment of our operation schools and government in the coming hours.

RADDATZ: And what is the likelihood, with the Metro, how long do you think this will take?

I know it's always a problem with those huge snow banks and melting snow and ice.

BOWSER: Well, I know Metro brought in tremendous resources over the weekend to clear stations, but also to clear their tracks and keep their tracks de-iced.

And so they -- they're not going to be open today and it's not likely that Metro Bus will get open tomorrow. We're hopeful that they will be able to have some limited service starting tomorrow.

But I know that the general manager will make an announcement about the entire Metro system by the end of today, late afternoon today.

RADDATZ: Thanks very much, Mayor Bowser.

BOWSER: Thanks, Martha.

And as Rob told us earlier, New York City got hit much harder then first expected.

Mayor Bill de Blasio joins us.

Welcome, Mr. Mayor.

Glad to see you out there in the thick of it, as well.

You know, you didn't expect this much snow, so what are the challenges this morning?

MAYOR BILL DE BLASIO (D), NEW YORK CITY: Well, Martha, we've ended up with the second largest amount of snow in the history of this city, going back a century and a half. And you're right, the original estimates were for half that much.

But I have to say, our city workers did an amazing job and the people of New York City -- they get credit, too.

They heeded the travel ban we put in place, which allowed our sanitation workers to get out clear the streets and our first responders to move around.

So things in most of the city are pretty good now.

We still have some areas that we have to do a lot more work on. But we've come through it pretty well.

RADDATZ: So how long do you think New York City will feel the effects?

That snow could be there for a long, long time, those giant piles?

DE BLASIO: Well, yes. I think today is going to be a very intense clean up day. And I have to emphasize people are going to have to stay off the streets. There's not a travel ban anymore, but the smart thing to do is stay off the streets as far as sanitation workers can do their job

I think tomorrow is going to be pretty good. We think we'll be broadly up and running again at the city tomorrow.

You're right, the snow pile is going to be with us for awhile, but I think we'll be in good shape in the next 24 hours.

RADDATZ: Well, that's good news for everybody up there, and everybody here.

I want to ask you a quick question about one of your city's famous residents, as long as I have you here. Listen to what Donald Trump said about...

DE BLASIO: Which one, Martha?

RADDATZ: I know you have a lot of them, but you'll recognize this one. Listen to what Donald Trump said about his candidacy yesterday.

(BEGIN VIDEO CLIP)

TRUMP: I could stand in the middle of 5th Avenue and shoot somebody and I wouldn't lose any voters, OK, like incredible.

(END VIDEO CLIP)

RADDATZ: Got any reaction to that, mayor?

DE BLASIO: It's incredibly insensitive. We had a moment in our nation's history we're talking about how to deal with the scourge of gun violence. And for someone who says he wants to be president to say that, it shows he's just not presidential.

And it's incredibly arrogate, too, for him to suggest that his voters will be with him no matter what he does.

You know, this is another indicator that Donald Trump is not ready for primetime.

RADDATZ: And the reaction to the possibility that former mayor Michael Bloomberg, another New York billionaire, might get into the race.

DE BLASIO: Well, I respect my predecessor for sure. But two things, I'd say. One, my candidate is Hillary Clinton, and I really believe she will be the next president of the United States.

And the second thing is, I don't think the people of this country want to give more power to billionaires at this point. I think that's what this election increasingly is about, how do we address income inequality? How do we restore the Middle Class? I don't think most Americans think that billionaires are the ones who are going to help give us a more fair economy.

RADDATZ: OK, thanks very much for joining us, Mayor de Blasio. We'll let you get back to work in your city. Thanks very much.

Now we turn from that deadly blizzard to the political chaos engulfing the 2016 race. With only a week to go before the first votes are passed, the candidates are scrambling all over Iowa this morning. And we are right there with them.

ABC News' Devin Dwyer is live in Des Moines, covering the GOP race. And we begin with ABC Cecilia Vega in Davenport, tracking Bernie Sanders' surge ahead of Hillary Clinton in the latest Iowa poll -- Cecilia.

CECILIA VEGA, ABC NEWS CORRESPONDENT: Martha, good morning to you. Here it is right here on the front page of the Des Moines Register. This is what the candidates are waking up to, that coveted endorsement. Hillary Clinton right there. This might just be the brightest spot in what has been a very tough week for her.

That new poll showing Bernie Sanders leading Clinton at 43 percent. That is her lowest support in Iowa so far.

So will this register nod help? Well, it wasn't necessarily a ringing endorsement. The paper said she's, quote, not a perfect candidate.

As coveted as this is, listen to this, no Democrat with this endorsement has ever gone on to win either Iowa or the party nomination. I've been following both camps as they cross this state. I can tell you the attacks have been swift. They have been fierce. They have been nonstop.

Just yesterday, both Clinton and Sanders had dueling events a few blocks away from each other in, of all places, Clinton, Iowa. The Sanders event was packed, as many as 800 people there. He was confident. He was on the offensive.

The Clinton campaign had a packed even, too, about 450 people. She did, though, repeat a line that she has been using a lot over the last few days talking about getting knocked down and getting back up again.

Both campaigns are telling me that it all boils down, these next eight days, to the ground games, using these teams they have spent months building up getting people out to caucus.

The GOP race just as tight on that side. For that, we turn to my colleague Devin Dwyer who is in Des Moines this morning. Devin, good morning to you.

DEVIN DWYER, ABC NEWS CORRESPONDENT: Thanks, Cecilia.

That's right, this incredible Republican campaign is down to the wire. So close, in fact, that for the first time last night both frontrunners spent the night in Iowa. Ted Cruz this morning is taking the day off before he races to finish visiting all 99 Iowa counties. Donald Trump is headed to church today over in Muscatine.

But the top talker here, how personal and negative this fight has become. Trump overnight said he would not vote for Cruz if he wins. Trump also began running this first negative TV ad this weekend, hitting Cruz on immigration.

But Cruz is striking back, yesterday unleashing conservative media icon Glenn Beck to tear into Trump. Take a listen.

(BEGIN VIDEO CLIP)

GLENN BECK, CONSERVATIVE RADIO SHOW HOST: If Donald Trump it's going to be a snowball to hell.

(END VIDEO CLIP)

DWYER: I was at that rally, Martha. And I can tell you the Cruz case against Trump is getting sharper. It's electrifying his supporters.

I stopped by the Cruz campaign headquarters this weekend. They're placing 15,000 calls a day, but the big question here is will those huge crowds for Trump actually turn out to caucus? His Iowa operation, of course, has been untraditional.

And then there's the underdog, Marco Rubio, getting endorsed this morning by the Des Moines Register. Now Rubio trails in the polls here, but worth noting that in every election in the last 20 years, the Register has endorsed the Republican candidate who went on to win the nomination -- Martha.

RADDATZ: Thanks, Devin.

This supercharged battle playing out this morning over whether Donald Trump should be the new face of the Republican Party just got even more intense. The billionaire now taking his feud with Jeb Bush, the one time favorite of the GOP establishment to a whole new level this weekend.

And Governor Bush joins me now.

Good morning, governor.

I want to start with that endorsement, calling Marco Rubio the party's best hope. And as Devin said, the paper has a pretty strong record for giving the nod to the eventual nominee.

JEB BUSH (R), PRESIDENTIAL CANDIDATE: Well, I would have loved to have had the Des Moines Register endorsement. I didn't get it. Congratulations to Marco.

But ultimately it's the caucus-goers that decide this. And the voters in New Hampshire and in South Carolina and Nevada to start all this off. And I'm confident that when we get to that, the pundits might be surprised.

RADDATZ: Well, let's talk about the frontrunners right now. You have a party that can't seem to even decide who not to support among the frontrunners. The National Review with that anti-Trump issue. Some of the people who have endorsed you, including Bob Dole the 1996 Republican nominee, is saying Trump could probably work with congress because he's your -- you know, he's got the right personality. And he's kind of a dealmaker. It sounds like he's tacitly supporting Donald Trump.

What's this doing to your party and your candidacy?

BUSH: Look, Bob Dole is -- I'm proud to have his support. But here's the deal, Donald Trump is not a conservative, and you need a conservative to lead the conservative party into the general election.

He's not a conservative based on whether it's gun rights or abortion or taxes or spending or single-payer system for health care. And you can't insult your way to the presidency either. He views this as a sign of strength that you disparage women, Hispanics, POWs like John McCain or the disabled. And we're not going to win an election by preying on people's angst and their fears and insulting people.

You've got to get to 50. And you do that with a solid conservative record with conservative ideas to change the course of the direction in Washington, D.C. And I think that's what people -- I'm sensing when I campaign...

RADDATZ: Do you think Trump would work better with congress than Cruz?

BUSH: All I know is we need a president to work with congress. And right now we don't have that. And that's what I pledged to do, to build consensus, to fix the taxes, the regulation that is a complete mess for our country, to begin to build a bipartisan consensus on foreign policy again where America's leadership in the world creates peace and security. Those are the things that I talk about. And it seems to be resonating, not amongst the punditry class, but amongst voters. And ultimately in eight days we start that process.

RADDATZ: You know, in an article this weekend, and you talk about Trump, "The Weekly Standard" says that you and the super PAC that supports you, Right to Rise, there's some of the blame for the success of Donald Trump, saying Right to Rise, like in all pro-Right guard, helped clear a path for Trump by blocking several of his would-be tacklers, in particular Marco Rubio, with each passing day it becomes more and more likely that the lasting legacy of Jeb Bush's 2016 presidential bid will be his prominent role in making Donald Trump the nominee and contributing to the crisis of conservatism that will follow.

BUSH: Hey, Martha, I'm the only guy taking Trump on. I'm the only guy that takes Trump on directly because I don't believe that he's a conservative and I don't believe that my life commitment to the conservative cause is going to be validated by having a guy be our nominee who's not a conservative and who does not believe in a hopeful, optimistic message.

So "The Weekly Standard" can say what they want. But I'm the only guy that consistently goes after him. And I'll continue to do it as I advocate an -- my ideas, my detailed plans to fix the mess in Washington, D.C.

RADDATZ: And word yesterday that former mayor of New York, Mayor Bloomberg, might be getting into the race as an independent.

BUSH: Look, he's a -- he's a good man. He's -- he was a great mayor. He is much more liberal than I am. But he's a good person and I don’t think he'll get in the race if -- unless it's Donald Trump and Bernie Sanders probably.

But that's way off into the future. Right now we're focused on eight days of getting our caucus goers -- voters out and then move into New Hampshire, where we have a strong following and we're making really good progress.

RADDATZ: I want to move to some of the domestic issues. Let's talk about what's going on in Flint, Michigan, a city of 100,000 Americans who've been drinking, bathing, brushing their teeth in lead contaminated water while the government was telling them repeatedly it's safe to use.

One estimate says thousands of children were exposed to lead and that will cause developmental and behavioral issues. They will need millions of dollars of care for the rest of their lives.

How is this possible in the United States of America and who's responsible?

BUSH: It is horrific and it is related to the fact that we've created this complex, no-responsibility regulatory system, where the federal government, the state government, a regional government, local and county governments are all pointing fingers at one another.

It is a tragedy and what we need to do is to have a 21st century system of rules. Whenever you see a problem, it should become public. There should be transparency instead of --

(CROSSTALK)

RADDATZ: How much blame does Governor --

BUSH: And when -- we need governor leaders to take steps.

Well, he's taken -- he's taken responsibility. And I admire that. He's not saying that it's someone else's fault. He's rolling up his sleeves and trying to -- trying to deal with this.

But he has a responsibility. He's admitted. And --

(CROSSTALK)

RADDATZ: Should he resign?

BUSH: -- EPA and so does local government.

No, he needs to do what he's doing, which is to accept responsibility and begin to solve the problem.

RADDATZ: You once called him "a spectacular governor."

Do you still think so?

BUSH: I think he's been a great governor for Michigan. Michigan was on its knees when he became governor and he's led to a rebound and forged consensus and I think he's doing a good job in that regard.

This is a tragedy that we ought to focus; instead of blaming people, what he's doing is creating a strategy to fix it because it is a complete disaster.

RADDATZ: It's hard to fix. The health care of those children at this point. But we thank you very much, Governor Bush, and best of luck to you.

Next, our closer look at the GOP in crisis inside the fight for the future of the Republican Party, how the brawl for the party's soul will impact who comes out ahead in Iowa.

Plus Senator Bernie Sanders is here.

Could he deliver early states' upsets to Secretary Clinton, once considered the inevitable nominee?

And the powerhouse roundtable on a possible newcomer to the campaign trail who could seriously shake up both sides of the race.

(COMMERCIAL BREAK)

RADDATZ: As the reality sets in that the Republican nominee could really be an outsider, it's an all-out civil war inside the Republican Party. Nearly two dozen leading conservative thinkers banding together against Trump in the latest edition of "National Review," while others, like Bob Dole, warming up to the billionaire, saying he could at least work with Congress.

Trump embraced the newfound support.

(BEGIN VIDEO CLIP)

TRUMP: And do you know what, there's a point at which let's get to be a little establishment. We've got to get things done, folks, OK?

Believe me, don't worry, we're going to make such great deals.

(END VIDEO CLIP)

RADDATZ: George caught up with Senator Ted Cruz on his campaign bus in New Hampshire this week and asked the Texas senator about why he prefers not to have the support of Dole or anyone else in Washington.

(BEGIN VIDEOTAPE)

GEORGE STEPHANOPOULOS, ABC HOST: You did seem to actually welcome the attack from Bob Dole.

But how about the -- but how about the argument he is making, I mean he repeated that no one likes Ted Cruz. But he also said he believes your candidacy, if you're the nominee, is going to cause cataclysmic losses...

CRUZ: But, you know...

STEPHANOPOULOS: -- for the party.

CRUZ: -- you know what, he omitted two words from what he meant to say, which is no one in Washington likes Cruz.

STEPHANOPOULOS: And that doesn't bother you?

CRUZ: Listen, I've said many, many times the biggest divide we've got in this country politically, it's not between Democrats and Republicans, it's between career politicians in Washington in both parties and the American people.

STEPHANOPOULOS: What do you make of the fact that it seems like at some level somewhere, a lot of top Republicans are coming around to the idea that Donald Trump would be a more electable nominee and he would be a better nominee?

CRUZ: It's not a question of electability. Listen to what they're saying. You're right that what we're saying is the Washington establishment is abandoning Marco Rubio. I think they've determined that they don't think he can win. And they're rushing to Donald Trump. And they've explained why.

Bob Dole, yesterday, explained why. He said Donald Trump is someone we can make a deal with. We can cut a deal. We can work with him.

And listen, if you're someone in this country who thinks we need more Republicans in Washington to cut a deal with the Democrats, to agree with Harry Reid and Nancy Pelosi and Chuck Schumer, then you ought to vote for Donald Trump.

(END VIDEOTAPE)

RADDATZ: And joining us now, Rich Lowry, editor of "The National Review" and the man behind that controversial cover and the orchestrated effort to take down the billionaire; and Republican Alex Castellanos, chair of Purple Strategies and a campaign strategist to Bob Dole, George Bush and Mitt Romney, who's thought about trying to block Trump, but then had a change of heart.

Good morning to you both.

RICH LOWRY, EDITOR, "THE NATIONAL REVIEW": Hi, Martha.

RADDATZ: Rich, let me start with you.

Is Ted Cruz correct there?

You saw that interview with George.

Has Donald Trump become the establishment candidate?

LOWRY: Yes, the reason, Martha, we did this issue, we wanted to make two points.

One, Donald Trump is not a conservative. He's shown no interest, really, in a limited government, liberty, "The Constitution," these animating causes of conservatism.

And two, we wanted to make the point that it's not the so-called establishment, necessarily, that's opposing Trump. In fact, as we speak, you have elements of the political establishment among Republicans hiding under their desk, figuring out how they can possibly co-opt or deal with Donald Trump.

We wanted to make the point that it's principled conservatives who oppose Trump. We want to win this election. We want to do it with a conservative. And we think we can.

RADDATZ: And Rich, you wrote in Politico this morning that this is what "National Review" exists to do, to plant the flag for conservatism without fear of favor (ph).

But have you missed your chance?

Has Trump led for too long?

Is he going to be the nominee?

LOWRY: No, I reject the notion just because he's at 30 percent in the polls before anyone has actually voted in a caucus or a primary, this thing is effectively over.

And look, we knew we'd get a lot of blowback from this issue. We knew Donald Trump would call us a loser. But I think it's particularly rich that Donald Trump invoked William F. Buckley and said Buckley and said Buckley...

(COUGHING)

LOWRY: -- excuse me -- would be ashamed of what we have done when actually, Bill Buckley wrote about Donald Trump in 2000. He called him a narcissist and a demagogue and nothing has changed in the last 15 years.

RADDATZ: And Alex, you have a different take. At the beginning of the month, you tried to get an anti-Trump campaign thing going together and you had no takers. You've said it's too late.

Is the GOP going to have to live with a Trump nominee?

Is Rich wrong?

ALEX CASTELLANOS, CHAIR, PURPLE STRATEGIES: Well, I think as much as I love "National Review" and thank you for making me the conservative I am today, I think they've shown up at the war long after the last shot's been fired here. They -- they're telling the Republican Party to pull its rip cord long after we've hit the ground and gone splat.

Just seven days to go before the Iowa caucus and "National Review" is saying we should be the party of Ronald Reagan, not Donald Trump.

Well, that's great, but I checked and Reagan is not on the ballot.

The choices we've been left with, it appears, are Ted Cruz, who's thrown the conservative cause under the bus for his own political gain many times, and Donald Trump, who some voters, I think, are beginning to see as, well, he's not Ronald Reagan, he's not the long-term future of the Republican Party, but maybe he's the turnaround CEO, the interim leader who can clean up our books, keep the country from going bankrupt and stop the Russians from kicking sand in our face.

RADDATZ: Well, Alex...

CASTELLANOS: And...

RADDATZ: -- you wrote just months ago that Trump was a power hungry strong man, that the party should not give the reins to.

Why is he suddenly the man the GOP should trust?

CASTELLANOS: Well, I wrote, actually, last August -- I mean what Rich is saying in "National Review" is not news. I wrote Trump is a strongman we don't need August of last year.

And since then, have worked to try to find alternatives.

Guess what?

We don't have any.

And whose fault is that?

I think a lot of the fault, actually, belongs to the conservative intellectual leadership of America that you see in this issue of "National Review."

The conservative cause that animates the Republican Party, we don't appeal to young people, we don't appeal to millennials, we don't appeal to young women, we don't appeal to minorities. We appeal to only cranky old white guys like me.

RADDATZ: Alex...

CASTELLANOS: (INAUDIBLE) voting for Donald Trump...

RADDATZ: -- Alex, you cranky old white guy, we're running out of time...

CASTELLANOS: Yes.

RADDATZ: -- here, but I want to ask both of you quickly, Alex, who's the nominee going to be on the Republican side?

CASTELLANOS: Who's the nominee going to be right now?

It looks like it's going to be Donald Trump.

And, by the way, if he is against Hillary Clinton, I'd probably support him.

RADDATZ: And Rich?

LOWRY: I have no idea. I hope it won't be Donald Trump. And I would just urge Alex to reject his fatalism. No one has voted yet. There are good conservatives in this contest. Don't surrender to Alex -- Alex, to Trump just because...

CASTELLANOS: They're at 3 percent...

LOWRY: -- you couldn't -- just because you couldn't muster these Republican donors to go with you, because they were too gutless...

CASTELLANOS: I wish they'd shown up earlier, Rich.

LOWRY: -- and feckless to stand up. Conservatives are going to stand up, Alex. We are going to stand up. Just because your donors wouldn't go with you doesn't mean you have to surrender to...

CASTELLANOS: No.

LOWRY: -- Donald Trump before a shot has been fired.

CASTELLANOS: Rich...

RADDATZ: That's a perfect way to end.

Gentlemen, thanks very much for those shots fired.

And next, the chaos on the Democratic side.

Bernie Sanders joins us live as he takes the edge in Iowa and New Hampshire.

Can he pull off an amazing upset?

Plus, the powerhouse roundtable breaks down the GOP crisis and what Sarah Palin, Glenn Beck and this week's big endorsements will mean for the race.

(COMMERCIAL BREAK)

RADDATZ: He started in single digits in the polls and now Bernie Sanders could take down the once-inevitable Hillary Clinton.

Senator Sanders joins us live -- next.

(COMMERCIAL BREAK)

RADDATZ: Bernie Sanders with an upbeat ad, featuring Simon & Garfunkel. The Vermont senator has widened his lead over Hillary Clinton in both Iowa and New Hampshire, taking a new tone this weekend and shifting his focus of attack to the Republicans.

Is he already looking ahead to the general election?

Senator Sanders joins me now from Iowa.

Good morning, Senator Sanders.

"The Des Moines Register" has endorsed your opponent, Hillary Clinton, saying, "The presidency is not an entry level position.

"Whoever is sworn into office next January must demonstrate not only a deep understanding of the issues facing America but also possess the diplomatic skills that enable presidents to forge alliances to get things done."

Even though "The Des Moines Register" has never endorsed a Democrat who has won, that seems directed at you.

SANDERS: Well, you know, I have a lot of respect for "The Des Moines Register" but I think, in every instance, we are more than capable of doing the job of President of the United States.

When we talk about foreign policy, let us be very clear, one of the candidates running voted against this disastrous war in Iraq. Go to my website, go to YouTube, find out what I said in 2002, what I feared would happen.

And it gives me no pleasure to tell you that much of what feared would happen in terms of the destabilization of the region, in fact, did happen. Hillary Clinton voted the other way.

In terms of domestic issues, the reason that our campaign is generating so much excitement is that, in fact, we are focusing on the issues the American people care about and that is the decline of the American middle class, the fact that people are working longer hours for lower wages and almost all new income and wealth is going to the top 1 percent. And that income inequality is sustained by a corrupt campaign finance system.

Martha, I am very proud of the fact that I am --

RADDATZ: Senator Sanders, I want to go back to what you said about foreign policy.

"The Concord Monitor" in New Hampshire is now endorsing Hillary Clinton as well, and they say, despite the fact that you made the right call in the Iraq war, you are a foreign policy naif.

SANDERS: Well, look, first thought, we are taking on the entire establishment. We are taking on the economic establishment; we’re taking on the political establishment and, all due respect, we are taking on the media establishment.

I expect that Secretary Clinton will get a lot of the endorsements from mainstream media. But I have the endorsement and I’m very proud to say of 2.5 million individual contributions to my campaign.

When people are allowed to vote, as they are in MoveOn.org, we win those votes overwhelmingly from the grassroots of America.

So, Martha, I can't argue that the establishment is supporting Secretary Clinton. That's the way it is. But I think the American people are saying it's too late for the establishment.

RADDATZ: You have sounded more and more confident and aiming your remarks at Republicans, as we said. But Clinton supporters have been focusing as you as a non-viable general election candidate largely because you're a democratic socialist. Senator Claire McCaskill saying the Republicans won't touch him, because they can't wait to run an ad with a hammer and sickle. Your reaction.

SANDERS: My reaction is two things. Look at every -- or virtually all of the national polls that have been done, which have Bernie Sanders running against Trump, Hillary Clinton running against Trump, we run significantly better than does Hillary Clinton. We're beating him by a wider margin.

Last NBC poll I think had us beating them by 15 points.

In New Hampshire, we're doing even better than that. We're doing better than Hillary Clinton against Trump here in Iowa.

Second of all, Democrats win when voter turnout is large. Republicans win when the American people are demoralized. Our campaign is exciting millions of people. We will have a large voter turnout. I think we can not only win the White House, but we can regain the Senate and win governors chairs up and down throughout this country.

So I think what this campaign is about is who is exciting the American people. I think our campaign is, Martha.

RADDATZ: Senator Sanders, you said something to your supporters yesterday that caught my ear, you quoted with pride a Wall Street Journal article calling you a viable candidate, saying it appears that we are making Wall Street a little bit nervous and that's a good thing.

The article was quoting Blackstone CEO Steve Schwarzman who said the markets are unsettled because of you, a slowdown in China and geopolitical risks.

You're laughing, but I want to know why is it a good thing that the markets are in turmoil? People have their pension funds in the market? Lots of middle class people have their 401(k)s invested in stocks. It's not just Wall Street. Everybody is affected by this.

SANDERS: The reason that I am laughing is I fully admit to having a big ego, like many other politicians. But the idea that Bernie Sanders' candidacy, because it has growing support all over this country, is unsettling world markets is absolutely absurd.

The point I was making is we are getting the attention of Wall Street. Wall Street's greed and recklessness and illegal behavior drove this economy into the worst recession since the Great Depression. Millions of people lost their homes, their life savings and their jobs. And yes I believe that we have to break up the major financial institutions. We have to reestablish Glass-Steagall. And that we are now gaining the attention of Wall Street tells me that our campaign is doing very well.

RADDATZ: And what do you think about the possibility of former Mayor Michael Bloomberg, another billionaire, getting in the race?

SANDERS: Well, you know, I think it would be very interesting if Donald Trump became the Republican candidate who is a multi-billionaire, and Michael Bloomberg became an independent candidate who is a multi-billionaire. And it will tell people what I have been saying for a long time is that this country is moving away from democracy to oligarchy that billionaires are the people who are controlling our political life. That is what -- that is not what, to my view, American democracy is supposed to be about, a contest between billionaires. If that takes place, I am confident that we will win it.

RADDATZ: OK. Thank you for joining us this morning, Senator Sanders, good to see you again.

SANDERS: Thank you.

RADDATZ: And now let's bring in the powerhouse roundtable. With me, Republican pollster Kristen Soltis Anderson; Michael Eric Dyson, professor of sociology at Georgetown University and author of the new book "The Black Presidency;" former Michigan governor Jennifer Granholm; and Steve Inskeep, co-host of NPR's Morning Edition. Welcome to all of you. So much to talk about.

But let's talk about Bernie Sanders. Let's talk about the Democrats. Steve, let me start with you.

Polls this week shows Sanders beating Clinton in Iowa and widening his lead in New Hampshire. Clinton has come out fighting. Her supporters are questioning his viability. You saw that little comment about viability.

Is he a viable candidate? Will that work what they're doing?

STEVE INSKEEP, NPR CO-HOST, "MORNING EDITION": Well, here's the situation. Bill Clinton, when campaigning for his wife the other day, made a rather perceptive point, in which he said -- and he was dissing Bernie Sanders by saying it a little bit -- but Sanders has simpler slogans that are easier to say, easier to remember. He's also, though, admitting to Hillary Clinton's problem.

If you look at an issue like, say, public education, just to take an example. Sanders has a very simple talking point, he wants to make public colleges and universities free for everybody. Hillary Clinton has a more nuanced position. She wants to make college more affordable, but still wants people to pay. It's a different philosophy, really. And it's a little bit harder to talk about.

And you can see a situation where Sanders, with that simpler slogan, with that more direct approach, is more in this moment he is more about this moment as Donald Trump is. Now, does that translate to support ultimately? I don't know.

Like Trump, Sanders is going for a white vote.

RADDATZ: How about the charges he's a socialist? The hammer and sickle, not quite the socialist...

JENNIFER GRANHOLM, FMR. GOVERNOR OF MICHIGAN: Well, I would say, first of all, just one I don't buy the premise that she is losing to Bernie Sanders in Iowa. If you look at the Godfather of all predictions, who is Nate Silver, the 538 blog, he gives her an 84 percent chance of winning Iowa.

Sure, there are headwinds in New Hampshire.

I would also say that the socialist label is something that he applies to himself, right. So, the question is how does that play across America? And what Jay Nixon who is the governor of Missouri, and Claire McCaskill, obviously a tough state, a middle of the road state, what they know is the same thing that the Republicans know when the last debate the Republicans kept cheering Bernie Sanders on on social media, is that the word socialist is a really hard word.

Now, I love Bernie Sanders, really, I appreciate the fact that he's bringing out young people, but when you look at that word socialist, the Gallup poll did an analysis of what are the characteristics that people would vote for in a president. Would you vote for a Mormon? Would you vote for a Jew? Would you vote for a Catholic? When they get to the question on would you vote for an atheist, it is -- or, excuse me, a socialist, it is even less popular than voting for atheists.

That is why it's an issue.

RADDATZ: OK, so Hillary Clinton saying socialist, socialist, socialist.

(CROSSTALK)

RADDATZ: ...as they're saying that, but if she loses to a socialist, what does that do to her? That doesn't...

MICHAEL ERIC DYSON, GEORGETOWN UNIVERSITY: Yeah, it's tough sledding to be sure.

I don't think that the major prohibition -- the major obstacle for Bernie Sanders is going to be necessarily the socialist label, because he's tracking so well among people who feel that we've tried the Republicans, we've tried the Democrats, we've tried the regular people and they're not doing very well for us.

So, I think that the question is, how does Hillary Clinton tap into the kind of class consciousness and some of the racial rebellion that's out there and figure out a way to engage it and exploit it in the best sense of that word usefully as Bernie Sanders is making an attempt.

But on the other hand, I think that polling probably is misrepresentative of the larger outside...

RADDATZ: I want to ask Kristin about one thing, young people -- you're the young person here, sorry. Young people have been a driving force behind the Sanders surge. Look at these numbers. Why don't they consider his support socialism, a liability? Monmouth University national poll, registered voters who identify themselves as Democrats, or lean toward the Democratic Party, 52, Sanders 37, O'Malley 2.

But support for nomination by age 18-34 year olds, Sanders 81, Clinton 18.

KRISTEN SOLTIS ANDERSON, REPUBLICAN POLLSTER: Bernie Sanders doesn't sound like --

RADDATZ: Pretty (INAUDIBLE).

ANDERSON: -- a typical politician and whether it was Bernie Sanders in this election or Ron Paul last election, you know, you have these candidates that don’t sound young and cool but they sound very different. And they sound very authentic and they think voters, particularly younger voters, find that to be appealing.

I don’t think that the Socialist label is necessarily what is going to do Bernie Sanders in with younger voters, in part and as a young conservative this troubles me. Young Republicans, young -- or young voters, rather, don’t really remember the Cold War. They don’t really remember the Soviet Union.

So when we talk about the hammer and sickle in an ad, you know, many --

RADDATZ: But they remember that Simon & Garfunkel song apparently.

GRANHOLM: I mean, for young voters, I think you're right. But there is a mom in Flint who is not going to wait for the revolution to be able to give her child clean water. There is a guy in Cleveland who lost his job who's not going to be able to wait for the revolution. And you'd have to wait because even if you brought in a Senate, he didn't even mention in the interview with you that he wouldn’t bring in a House.

Getting stuff done is the thing that moves me, that makes my -- gives me goose bumps. And if you want to talk about college, free college for all, the response is why would we give Donald Trump's kids free college?

I have a plan that is workable for real people and I'm going to work to get it done.

RADDATZ: OK, we're going to pick up on that in just a moment because we have more important things to do.

DYSON: Absolutely.

(LAUGHTER)

RADDATZ: Our "Powerhouse Puzzler," very appropriate for this snowy weekend and one year out from inauguration. So which one president holds the record for both the coldest and warmest Inauguration Days?

Bonus points if you can guess the temperatures. The answer when we return.

(COMMERCIAL BREAK)

RADDATZ: And we're back to the answer to our "Powerhouse Puzzler," which president holds the record for both the coldest and warmest Inauguration Day?

Kristen, you're up.

ANDERSON: I guessed Reagan and I said coldest 15 degrees, warmest 40.

(CROSSTALK)

(LAUGHTER)

(CROSSTALK)

GRANHOLM: I was up one of these and it was really cold so I said Obama.

INSKEEP: They were both cold. They're -- I guessed FDR just --

RADDATZ: So you -- all of you three can leave.

Kristen --

(CROSSTALK)

(APPLAUSE)

RADDATZ: The answer is Ronald Reagan. Anyone want to guess the temperatures?

You did, the coldest was 1985 when the morning low was 4 degrees below zero. The warmest was in 1981 when it was a balmy 55 degrees.

You were very good --

(CROSSTALK)

DYSON: I was close. I said Republicans (INAUDIBLE).

RADDATZ: Right. OK. Now we're going to switch to the GOP, the struggle we saw this week for the heart of the GOP. Let's just go right to it.

And, Steve Inskeep, eight days from now, we have the first real test of the candidates, the CNN/ORC poll out of Iowa Friday gives Trump the commanding lead in Iowa.

If Trump wins Iowa, does he become the party nominee?

INSKEEP: I don't think that's assured. I think someone like Jeb Bush is hoping that the opening contests are divided among multiple people, that nobody runs the table; maybe Ted Cruz wins somewhere.

But somebody like Jeb Bush, whom you talked with earlier, has a problem. Kristen's been very insightful about this. He's arguing Donald Trump's not a conservative; his supporters may not care.

RADDATZ: And how about that support? They got Glenn Beck Saturday, Donald Trump endorsed by Sarah Palin, which makes for some very interesting front pages. But if either is the nominee, what will these endorsements do for the general election?

ANDERSON: I think either of these candidates, whether it's Donald Trump or Ted Cruz, I don’t think the endorsements mean much but I think they tell us a lot about whose is driving this support for these candidates.

So for Ted Cruz, his support comes much more from sort of Tea Party principled conservative type folks, the folks who do get concerned about the things that Jeb Bush brought up earlier tonight or earlier today about Trump not being a true conservative.

But Trump's support comes more from the populist or entertainment wing of the party, the Sarah Palins, the talk radio hosts. There is this big divide on the Right that'll be interesting --

(CROSSTALK)

RADDATZ: -- very quickly, we have about 20 seconds.

DYSON: Well, look, if Jeb Bush keeps saying he's not a true conservative but the conservatives don't seem to care. So the conservatives don’t care and you're a true conservative, then you got to at least acknowledge what they're doing.

Donald Trump has managed to galvanize an entire range of people who are outside of the Republican Party that may be interesting and telling when it comes to election time.

RADDATZ: Way to stay to time.

Thanks to all of you. And back in a moment with Bob Woodruff's alive day after this from our ABC stations.

(COMMERCIAL BREAK)

RADDATZ: It is called an alive day and this week our ABC calling some friends correspondent Bob Woodruff and camera man Doug Vogt will celebrate their 10th alive day. It is hard to believe that it was 10 years ago that Bob and Doug were badly injured by a roadside bomb in Iraq. There's rarely a day that I do not think about that when I walk in to ABC News because that morning, after somewhat encouraging calls, I got a call saying that Bob might not make it.

Just as I was heading into the building to join George on this program to deliver the news of the bombing.

(BEGIN VIDEO CLIP)

STEPHANOPOULOS: Good morning, everyone. We have to begin today with some news that has hit close to home for all of us here at ABC. Our "WORLD NEWS TONIGHT" co-anchor, Bob Woodruff, and his camera man, Doug Vogt, were reporting today from Taji, Iraq, when their convoy was hit by an IED.

What more do we know?

RADDATZ: Bob and Doug were in a convoy and they were with U.S. military as well from the 4th Infantry Division, the IED went off. They were both immediately injured, both apparently have shrapnel wounds to the head.

Bob is in surgery --

RADDATZ (voice-over): We delivered just the facts.

But at that moment in a small combat hospital so far away, military surgeons were removing part of Bob's skull to relieve the pressure on his brain.

Once stabilized, both Bob and Doug would begin the journey thousands and thousands of our wounded service members have taken to Landstuhl, Germany, and then finally to Bethesda Medical Center here at home.

For nearly 40 days, Bob lay in a coma. His wife, Lee, their four children and extended family at his side. Then slowly and miraculously, after multiple surgeries to rebuild his skull and intensive cognitive therapy --

UNIDENTIFIED MALE: You're going to get out of here, hopefully, on Wednesday.

RADDATZ: -- Bob was well on his way to recovery.

BOB WOODRUFF, ABC CO-HOST, "WORLD NEWS TONIGHT": Good evening.

I'm Bob Woodruff.

RADDATZ: Remarkably, just over a year later, Bob was back on the air and has since spent the last decade reporting from around the globe, from inside North Korea...

WOODRUFF: We are told that 10,000 to 15,000 have actually come here.

RADDATZ: -- to deep down a Columbian mine.

WOODRUFF: That is a -- that's about the most frightened I've been.

RADDATZ: But through it all, Bob never forgot what the military had done for him. Instead of just thanking those who saved his life, who treated him like one of their own, Bob and Lee have devoted their lives to helping our wounded veterans and the families who support them.

The Bob Woodruff Foundation, with its annual Stand Up for Heroes gala in New York, has raised more than $30 million, reaching more than two million of our veterans and families.

(END VIDEO TAPE)

RADDATZ: And I am proud to be part of that organization and proud that Bob Woodruff joins me now from his latest assignment, Beijing, where he began his career.

Happy alive day, my friend. And, of course, to Doug, who continues to shoot beautiful video for ABC -- Bob, I just want your thoughts on this anniversary.

WOODRUFF: Well, you know, it's been a -- it's hard to believe it's been 10 years. This time has just flown, you know, past so quickly, so quickly. I mean we -- I -- I've got so many friends. I talked to my other teammates to celebrate this, as well. And I think we just feel just so lucky, really, to be here at all and to be on this with you, Martha.

And you've been such a huge supporter from the very beginning. I think all of us love you.

RADDATZ: Well, let's talk about those wounded veterans you've helped. It really is remarkable, Bob, how much you and Lee have done and what that meant for you and your own recovery.

WOODRUFF: You know, I think I'll never forget that story. I mean I was, of course, in a coma for, you know, five weeks, as you know. And I -- my wife told me later on that on that same floor, there was another marine that, while we were surrounded by our friends, our family and, of course, ABC was really very helpful in all of this, but there was no family members or friends who were surrounding him.

And then she said to herself and my brothers, as well, they said, when we're done with this and we get out of here, let's do something so that just doesn't happen.

All of our medical care was the same. These surgeons, these nurses have been amazing, the medics, the corpsmen.

But in terms of how to deal with them when they go back to their communities and make sure that they fit in again and they do that transition well, they said we've got to do some kind of organization to do it.

And I have to say, Martha, as -- as you also know, that I think this is probably the most fulfilling moving thing I've ever done in my life.

RADDATZ: It...

WOODRUFF: There's good things and there's bad things that come out of tragedy and this is one of the good things.

RADDATZ: It's certainly the most fulfilling for me.

Bob Woodruff, thank you very much for joining us, my friend, this morning.

That's all for us today.

Thanks for sharing part of your Sunday with us. Check out WORLD NEWS TONIGHT. And we'll see you back here next week.

Have a great day.