>> i'm voting for block obama not because he's black. i'm voting for barack obama because he's brilliant. >> i feel change in the air. >> the democratic party has thrown us women aside. >> we're going to go to washington and we're going to shake things up. >> i can't trust obama. he's an arab. >> the first african-american president of the united states. >> failure to act now will turn crisis into a catastrophe. >> this is not health reform. this is control. >> how is that healthy changey

stuff working out for ya? ♪ >> american people have sent a

resounding and unmistakable message of change and new direction for america. [ cheers and applause ] >> it's been just five days since democrats took control of both houses of congress, but already the focus is shifting to the next big political prize, the white house. >> when the election season begins in 2007, the climate is not very good if you were a republican. the war in iraq is very unpopular, and many democrats think they can win the presidency. >> senator biden now joining a growing list of democratic candidates who are announcing their intentions for '08. >> you had a lot of candidates, chris dodd, joe biden, john edwards, bill richardson. you looked at all these people running and you thought this was going to be hillary clinton's time. >> it's been no secret hillary clinton would run for president.

but today on her website, she made it official. >> i'm not just starting a campaign though. i'm beginning a conversation. after six years as a senator, people believe in our poll by overwhelming margins that she has the credentials and leadership skills to be president. >> i'm in it to win it with your help. >> her husband was a popular, a very popular president. she had all the money, all the backers. it looked like a sure bet. >> senator barack obama threw his hat into the crowded ring today. >> one thing you could say about illinois senator barack obama is there's never been another presidential candidate like him. he has a foreign sounding name that rhymes with hussein. he's admitted to use marijuana and cocaine. >> barack obama stepped on to the national stage and wowed the

democratic national convention with his eloquence. >> there is not a liberal america and a conservative america. there is the united states of america. there is not a black america and a white america and latino america and asian america. there's the united states of america. [ applause ] >> i encouraged barack obama to give thought to the presidency early on. i felt that he could really bring people together. and increasingly the longer you're in washington the less viable you are. >> america is hungry for change. america wants something new. >> held by the media, hungry for a fresh face and a good story, he has graced the covers of "time" and "newsweek," the pages of "vogue" and endorsed by oprah, the far cry from washington where he is 88 on the senate's list of seniority. >> the clintons looked at obama

and said you're not qualified to be president. they liked him. they thought he had a great future, but their view was you don't run for president after being in the senate a week and a half. >> early polls show him third, trailing hillary clinton and john edwards. >> we've got two different americas. we've got one for all those who are doing very, very well and then one for everybody else. >> edwards is focused on eradication of poverty. the 2008 election was all about the war in iraq. >> you said that if you were president in 2002 you would not not gone into war. >> right. >> however, how can you then explain the seeming contradiction from your voting to support the invasion? >> i do not believe that most of us who voted to give the president authority thought he would so misuse the authority we gave him. >> hillary clinton tries to explain it away, and that was ultimately unsatisfactory, especially on an issue that was so divisive. >> i am proud that i opposed

this war from the start because i thought that it would lead to some disastrous conditions that we've seen on the ground in iraq. >> obama was really smart, extraordinarily articulate, but vague. >> i went on your website to find information about you, and i was wondering what really are your top issues? because it's not online. >> right. well, i'm not sure whether you're going to the campaign website or my senate website. >> at a health care forum, he didn't deliver and critics say a foreign policy speech this week was long on vision, short on specifics. >> 2007 was a tough year for obama. he seemed to be trying to wing it. he yet to demonstrate to people that he really understood poverty. >> that's sharpton's black bear. is that hillary calling? >> obama is having trouble convincing democrats to say i'm going to go with obama over clinton. they did not want to risk losing this election. >> i'm not asking that you take

me on a leap of faith. i'm asking you to look at the evidence and the record. >> we were feeling pretty good about her prospects, but our polling showed there was this obstacle for her to prove that she could indeed be commander in chief even though she was a woman. >> when you are attacked, you have to deck your opponents. and that is what i believe. >> so, we were running on the fact that she was incredibly experienced. she could start this job on day one and just go. >> senator hillary clinton has more than doubled her lead over barack obama. >> we were as far as 30 points behind in the national polls, and our view was if we didn't win the first primary in iowa there would be no chance to win the nomination. and so he spent more than 80 days there in 2007 meeting one on one and in small groups. >> are any of these people over 30?

>> i'm on my way to mason city and to sue city and counsel bluffs and out on the roads. >> how many people are going canvassing today? it's a little brisk outside. it'll be good for you. walk quick. talk fast. >> it's time that we move from sound bites to sound solutions. >> we need to continue to press, keep the energy up. there is a huge momentum. >> iowa, you can make the difference. >> tomorrow night, the future of the free world is riding on your shoulders. don't feel any pressure. >> tonight, across this state in all 99 counties, neighbors are gathering huddled together under the banner of their chosen candidate. >> an unprecedented turn out due in large part to the unusually high number of first time caucus goers. >> the stereotypical iowa caucus

goer is, you know, older, female. what barack obama did was he went after the young people. and we all thought that's just silly. i mean, they're never going to vote. we were horribly, horribly wrong. >> cnn is now ready to project that senator barack obama will win the iowa democratic caucuses, a dramatic development indeed. >> iowa is the whitest place outside the north pole. he's not just winning. he's winning handily there. >> no black people supposed to win iowa because there ain't no black people in iowa. how did this happen and what does this mean going forward? >> we are one nation. we are one people. and our time for change has come.

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now, millions of americans can have access to 5g on t-mobile. and this is just the beginning. t-mobile, the first and only nationwide 5g network. >> there is something stirring around the country. it started last week in iowa, and now it's happening here in new hampshire. >> the obama steam roller pulled into new hampshire today catapulted by the big win in iowa and eager for more. >> the victory in iowa invested us with a kind of hub rouse that was visible. >> we are about to make history and you want to be a part of it. >> i've been a life-long

republican who is now a registered democrat all because of barack obama, correct. >> barack obama is surging here, nine points ahead of hillary clinton in one of the latest polls where just a few days ago they were tied. senator clinton is fighting back hard. >> i don't know since when experience became some kind of liability in running for the highest office in our land. >> she got really gritty and was like, i'm going to fight this thing out town by town. >> this day, this last high-pressure day before the nancy pelosi nancy pelosi primary turned into a day unlike any other on the campaign trail for hillary clinton. >> she's taken aback by what's happened. she's losing against this guy named barack obama who no one had ever heard of months before. and she's frustrated. you can tell. it's palpable. >> as a woman i know it's hard to get out of the house and to get ready. my personal is very personal. how do you do it? how do you keep upbeat and so wonderful. >> it's not easy. it's not easy. and i couldn't do it if i just

didn't, you know, passionately believe it was the right thing to do. you know, i have so many opportunities from this country. i just don't want to see us fall backwards. >> all anyone is talking about is hillary clinton and that rare display of emotion. >> some are wondering if the pressure is actually getting to her. >> if the emotional strain is too much to bear on the way to the oval office, how can we expect hillary to handle it once she's sitting behind that big desk. >> presidential campaigns are tough business but being president of the united states is tough business. >> they attacked her as a woman. if we cry, then we're weak. >> what would happen if barack obama cried on the campaign trail? >> they would probably say he was a very sensitive man. >> that was a moment working

women could say do you know what? she's relatable for once, and they came out the next day to support her. >> senator hillary clinton has shocked the political world. she has beaten barack obama. >> i listen to you, and in the process i found my own voice. >> this just had to be a blow to barack obama and his campaign. they really thought they had this. >> they came expecting a coronation. instead barack obama had to concede. however, they're not throwing in the towel by any means. >> the energy is all on barack obama and hillary clinton. so, we get through all of these first primaries and john edwards and his two americas are not getting any traction. >> it's time for me to step aside so that history can blaze its path. >> it is now certain that for the first time in america, a major political party will

nominate either a woman or an african-american to be its candidate for president. >> i feel change in the air! what about you? >> the united states political royalty was endorsing this first-term senator and turning his back on the clintons. for the clintons, it was personal because they had worked with ted kennedy. they were friends with ted kennedy, and it was a real blow for us. hillary said where do we go from here? and frankly we didn't have the answer. >> hillary clinton never anticipated/expected to have a well-financed opponent, well-organized opponent like barack obama. >> her entire strategy is based on winning early on and closing down shop, moving on to the general election. but that's not happening. they're out of money, and that is a huge problem. but she fights and keeps fighting. >> how are you? >> clinton has loaned her campaign $5 million of her own

money to see her through the near term. >> i'm going to keep making our case until we have a nominee, whoever she may be. >> every chair should have had one of these cards. i want you to fill it out. i want you to become part of this process. >> people underestimated not just him as a candidate but the political operation that he was able to put into place. and i think his background in community organizing helps throughout the campaign. >> call these folks up and tell them you will go with them. >> the two campaigns have pursued marketedly different strategies. clinton has focused her attention on big prizes, new york, new jersey, california where large populations mean lots of convention delegates. obama is hoping to run the board. he's visited 15 states in the past week including red states like kansas and idaho.

>> they told me there weren't any democrats in idaho. but i didn't believe them. >> since the 1960s, the democrats had catered to this white moderate middle. but obama decides to appeal to a new generation of young folks and to usually alienated communities of color. he was able to change the democratic map and really open it up again. >> turnout is off the charts heavy, 10,000 voters in one county the first day, ten times the turnout in the last presidential election. obama's campaign also harnessed the internet as an organizing and fundraising tool. >> over $100 million online from 1.5 million people. >> it allowed him to compete well past super tuesday, outspending clinton every step of the way. >> obama not only has momentum, she's starting to pull away. in the delegate count, he has a sizable lead.

>> we're turning out to be a scrappy little team. >> barack obama was the first black candidate with a chance to win. he was cruising along. >> barack knows what it means to be a black man living in a country and a culture that is controlled by rich white people. hillary can never know that. hillary ain't never been called a [ bleep ]. ♪ (vo) in every trip, there's room for more than just the business you came for.

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new polls say barack obama has taken a big hit because of this pastor. >> wants us to sing "god bless america," no, no, no, not god bless america. >> here you have the scary black preacher saying things that are clearly anti-american. it had the potential to derail his candidacy. >> that reverend looks like a raving maniac. >> i'm fearful obama feels the same way. >> it's designed to attempt to scare. >> why have you been listening to this paster and close to him for nearly 20 years. >> reverend white is like an uncle or family member who you may strongly object to what they have to say. >> uncles are blood relatives

who you are kind of stuck with at family gathering even when they say outrageous things. you can't get away from them. you can walk out of a church. >> he went on cable tv and got pummelled. he called me and said he wants to make a speech on race. >> he's hoping to not only diffuse the controversy. >> we're in the green room and senator obama turned me to me and said i know everybody's going to nervous, but i'm going to go out there and give this speech. maybe people won't accept it and then i won't be president of the united states, but at least i'll have said what i want to say. >> i have already condemned in unequivocal terms the statements of reverend white that have caused such controversy. as if imperfect as he may be, he has been like family to me. i can no longer disown him than i can my white grandmother, a

woman who loves me as much as anyone in this world but a woman who once confessed her fear of black men who passed her by on the street. these people are part of me. and they are part of america, that country that i love. >> i thought it was taking a moment that is normally responded to by a poll situation with denials and avoidance. we're not going to comment any further. and instead he made something useful out of it. >> the profound mistake of reverend white's sermons is not that he spoke about racism, it's that he spoke as if society is static. what we know is that america can change. >> hillary clinton had a chance to catch obama from behind. but when obama gave this great speech on race, that was it. that was the end. she was never going to catch up. >> one year, four months, and 18 days after she started her campaign, hillary clinton waded through an emotional crowd of

supporters to end it. >> although we weren't able to shatter that highest, hardest glass ceiling this time, thanks to you, it's got about 18 million cracks in it. >> even when she did concede, her supporters were still so passionate and so inspired by her that they wouldn't accept barack obama. >> the democratic party has thrown us women aside. >> they were called the puma's party unit my ass is what it stood for. >> the senator had been selected as barack obama's running mate. going into the general election, joe biden provided a level of experience that obama didn't have. but more important, the assumption for many people was that this country was not ready to vote for an african-american president. so, biden could help appeal to

working class white voter who is might otherwise not vote for him. >> the american people didn't get to know me yesterday as they're just getting to know senator obama. >> and the republican side, you have john mccain who almost dropped out of the race, had no money. he decides that he's going to dig in and remarkably he's able to win the nomination. but this is not a great year to be the incumbent party. >> i'm not comparing myself to president bush on anything. i'm running my own campaign. >> what's remarkable is that both parties want a change. john mccain described hims as a maverick. so, he felt that he had a gentlem legitimate claim to being the antibush in the republican party. >> obama and mccain are aiming at working class women angry at how the primary turned out.

>> i've spent the last few months looking for a running mate who can best help me shake up washington and make it start working again for the people that are counting on us. >> john mccain faced the same problem that hillary clinton faced. all of a sudden, john mccain's kind of sage elder statesman persona doesn't look so fresh. >> governor sarah palin of the great state of election. >> hillary left 18 million cracks in the highest hardest ceiling in eric manamerica, but thes out the women of america aren't finished yet and we can shatter that glass ceiling once and for all.

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the top google searches going on today, palin, palin, vice president, governor of alaska. it's fair to say it's not every day the web is abuzz with the mccain presidential race. >> sarah palin was unknown to republican voters. she was a maverick in her own way, a young dynamic woman who had risen from mayor, pta president to the highest office in america. >> she's a life long nra member

and in a recent visit to kuwait, she showed she knows her way around a gun. >> she doesn't just vote with the nra, she goes out and kills a caribou and kills it and skins it for dinner. >> i'm not one of those movers and shakers within the republican party which i think conventionally you would think would be tackled. >> why not go for a women? why not make history? >> when you're in an america that has the itch for change, it looks like it could be a really smart pick and maybe she'll get some of the women who are mad over hillary clinton having lost. >> ladies and gentlemen, the next vice president of the united states. >> i was hired to work on the obama campaign after hillary conceded and we were watching sarah palin give her convention speech. >> before i became governor, i

was mayor of my hometown. and since our opponents in this presidential election seem to look down on that experience, let me explain to them what the job involves. a small-town mayor is sort of like a community organizer except that you have actual responsibilities. >> she did what hillary clinton could not do, and that was deliver a precise attack without looking like a bitch. and that was scary to us. >> they say the difference between a hockey mom and a pit bull? lipstick. >> that's one of the best convention speeches i've ever seen. mccain who had been eight points down to obama with no possibility of turning it around, by the time sarah palin finished speaking, he was five points up. >> the campaign announced today

it has raised $8 million online and that's just been since sarah palin gave that speech less than 24 hours ago. >> with your help we're going to go to washington and we're going to shake things up. >> this is the real shocker among white women, mccain leads obama 53-41 before the conventions that was 50-42, obama. that is sarah palin. >> if she can be a mother and a homemaker, she can be vice president. we have more skills than anybody. >> sarah palin really does steal the thunder and she garners the headlines. >> it was just a month ago they were all saying it's experience, experience, experience. then they chose palin and they started talking about change, change, change. what happened? >> palin has yet to hold a news conference and steers well-clear of the national reporters who travel with her everywhere. >> eventually she's going to have to answer questions and not

be sequestered. eventually she's going to have to answer questions on the record. >> when it comes to establishing your world view, i was curious what newspapers and magazines did you regularly read before you tapped for this to stay informed and to understand. >> i read most of them, again, with a great appreciation for the press, for the media. >> what specifically, i'm curious? >> all of them. any of them that have been -- >> there's no more teleprompter. there wasn't anything for her to memorize in preparation for interviews can katie curric. when she was asked about foreign policy, she had nothing to draw upon. >> you sited alaska proximity to russia as part of experience. what did you mean by that? >> alaska has a very narrow maritime border between russia and the land boundary with canada. as putin rears his head and comes into the airspace of the

united states of america, where do they go? it's alaska. it's just right over the border. >> you've got alaska here and this right here is water and then that's -- there's russia. so, we keep an eye on them. >> tina fey doesn't need new material. all she needs to do is to read a transcript of sarah palin's interview with katie curric to get huge laughs. it's embarrassing to mccain. >> i found out from mccain's campaign manage thaer they only met once before he started seriously considering her for a contender. >> joe leeberman was the candidate he wanted but he was convinced that would cause a revolt within the party. >> a quote from gail collins, she says the idea that women are going to race off to vote for the same candidate with the same

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this morning we woke up to serious and troubling news from wall street. the most serious financial crisis since the great depression. >> heading into the fall of 2008, you had the collapse of the economy, all tied to the mortgage meltdown. now, at the time, everybody is still trying to figure this out. >> john mccain said he would suspend campaigning, no speeches, no campaigning, no commercials and go back to washington to help solve the crisis. and he called for a delay to the debate. >> we must temporarily set politics aside and i am committed to doing so. >> obama agreed with the need for bipartisan action, but he insisted he still plans to debate mccain friday in mississippi. >> i think that it is going to be part of the president's job to deal with more than one thing at once. >> the financial crisis was this real time test of leadership. we now get to see what it will

be like for either of these people to be president in the middle of a crisis. >> we know we've got to get something done as quickly as possible. >> from the moment we set foot in washington, mccain was engulfed in politics. even among republicans. left mccain little to show for his efforts. >> it's one thing to be a maverick. but you want to be a maverick who gets things done. mccain didn't. and he's making obama look for presidential. >> i put forward a series of proposals that make sure we protect taxpayers as we engage in important rescue effort. number one, we've got to make sure we've got oversight. >> before it was about hope and change. but now he's able to offer a vision for how he would lead the country forward in concrete ways. >> bloarack obama has nearly doubled his lead over john

mccain in the weeks since the first debate. >> campaigning in california, sarah palin launched a new line of attack on barack obama. >> one of his earliest supporters is a man who according to "the new york times" was a domestic terrorist and art approximate of the group -- >> palin attacked obama for his ties to william airs who participated in a domestic bombing campaign during the vietnam war. >> barack obama faced a challenge that in a way no candidate before him had faced. there were whispering campaign that is barack obama had not been born in the united states, that he was a secret muslim. the idea was that he was a manchurian candidate, that nothing was real or true. >> who is the real barack obama. >> obama scares me. i just -- i'm worried about what will happen to this country if obama takes office.

>> tell me he's american, no he's not. >> i can't trust obama. he's an arab. he is not? >> no. no, ma'am, no, ma'am. he's a decent family man, citizen that i just happen to have disagreements with. >> mccain did the country a real service by refusing to embrace conspiracy theories and attacks on barack obama. it was very unfortunate there were pockets of the country that were pushing that way. >> i will respect him and i want none of -- i want everyone to be respectful. >> john mccain is now so mavericking, he's mavericking away from his own supporters and getting booed for it. >> he's created this monster he can no longer control. there's a way to play this game that you end with no good choices. we are watching a campaign that has maneuvered itself into exactly that position. >> as the polls open from the east to the west across this

country, the same picture continued to emerge, eager voters showing up before the polls even opened. and in many cases lines as far as the eye could see. >> it felt like is this a real thing. is it possible that america could do this? and so it was all like a collective holding of our breath. >> we're only a few second asway from the top of the hour when these states will be closing. >> the rules are that we had to wait until all the voting had ended. i remember at 10:5950 my executive producer was in my ear saying 10 seconds. it was an electric moment i will never forget. >> cnn can now predict that barack obama will be the first african-american president of the united states. [ cheers and applause ]

>> for those who lived through segregation, lived through the civil rights era, it felt like the fulfillment of everything they thought the country could be. when something seems impossible and suddenly it's achieved, it's beyond words. it's still a shock to me. >> it's been a long time coming, but tonight, change has come to america. >> it was just overwhelming. there was my friend of some years now president-elect. and you could see almost instantly a change. you could see the weight of the world on his shoulders. he was already thinking about the responsibilities that had just flowed to him.

the gravity of the moment was very, very palpable. >> even as we celebrate tonight, we know the channellenges tomor will bring are the greatest of our lifetime. the road ahead will be long. our climb will be steep. we may not get there in one year or even in one term, but america, i have never been more hopef hopeful than i am tonight that we will get there. i promise you, we as a people will get there.

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all of us who are watching in the united states and around the world are privileged to have this front row seat to history. >> i barack obama do solemnly swear -- >> tomorrow, he gets down to the challenges facing the country in the national security threat and economics. >> by all indications he relishes the chance to go into

the oval office and get started. he wants to get moving. >> it's a rare day the president goes to the capitol to meet only with the other party. president obama did just that to actively seek bipartisan support for his $828 billion stimulus package. >> obama believed heal somehow be able to reach across the aisle. this kind of hope and change and optimism that made this such an inspiring campaign runs up against the reality of politics when he take up office. >> hr 1 amendment passes. >> it passed with almost no republican support, a long way from the hopes of bipartisanship. >> old habits break hard. we will keep on reaching out and eventually i have confidence it will pay off. >> president obama is incredibly ambitious. he still sees the 2009 as a

unique moment. the democrats controlling the house and senate. he realizes these windows are limited. >> the president vowed to solve a problem that has bedevilled presidents since the dor roosevelt, how to expand health costs. >> it's not just the prosperity of our businesses but to the very foundation of our economy. >> president obama absolutely understood that addressing the issue of healthcare is going to be a really difficult challenge. but we had to try. >> we are doing it in a bipartisan basis and the president is very open and pragmatic. that's how we will accomplish this goal. >> the president believes republicans will vote with him. if he compromises they will as well. over the next few months it turns into a terrible political challenge. >> as members of congress return

from their month-long summer break to hear from their constituents, the shouting at so-called town meetings has sometimes reached a fever pitch. >> i don't want this country turning into russia, turning into a socialized country. >> this is not health reform, this is control! >> it's really worse seeing people not involved in politics before, grandmothers, grandfathers across the country saying, hey, give me my country back. 2009 was the awakening of the tea party. >> sarah palin has now waded into the heated healthcare debate in a heated facebook posting. the former governor raises the possibility of what she calls and obama death panel. >> millions of elderly people will be given a pill to make them comfortable while they die. >> there was an element in the republican coalition already beginning to listen to conspiracy theory is and false hoods, the kind of thing we

would see balloon later on. >> while we do disagree, let's disagree over things that are real, not these wild misrepresentations that bear no resemblance to anything that's actually been proposed. >> the president said the debate is over. it's time to pass healthcare reform. >> with republicans still unanimously opposed, the president left no doubt he wants democrats in congress to pass his bill with democrats only. >> when's the right time? if not now when? if not us who? >> as the final votes came in, i went and found the president. i said, i'm so thankful for what you did here on behalf of all those families that won't have to go through what my family went through when my child was young and had a chronic illness and we almost went bankrupt. he said, that's why we do the work.

>> the challenge is for the president to sell this to a very skeptical public in a tough election year. >> the funny thing about political success. people tend to rest at the top of the mountain. the people out of power grather the imaging because they have a focal point. we want to get rid of this person, this congress. we want to change things. that change is energetic and frenetic. >> tonight, there is a tea party tidal wave and we're sending a message. >> rand paul headlining a group of conservative-backed candidates in victory. >> a remarkable 45% of voters identify themselves as tea party voters and 8 of 10 of them are republicans. >> it feels bad. >> "time" magazine declared the republican party all but extinct. look where we are now.

the voters have not gotten what they asked for. >> the mistake is to think the country speaks as one. that we're all one thing. what we really are is a mass of reactions. we're always reacting to the last thing that happened. if the country goes left, you can be damn sure it will go right. if it's looking good for rich people one day, the poor people will hate that. if you think we're past race it will come right back. the pendulum swings. in the long run we make progress but it can be pretty ugly to watch. >> what a week. the state of hawaii released my official long form birth certificate. no one is happy to put this birth certificate matter to rest than "the donald." obviously, we all know about your credentials and breath of experience. seriously, just recently, in an episode of "celebrity

apprentice," you, mr. trump, recognized the real problem was lack of leadership so ultimately, you didn't blame little john or meatloaf, you fired gary busey. these are the kind of decisions that would keep me up at night. >> hbo did a lot of its work when it was spinning the genre, take something that's familiar and give it some chilly pepper. >> advertising is based on one thing. happiness. >> is there any taboo that you wouldn't break? >> that's a funny idea. >> what is wrong with you? >> there's so much different storytelling and so many different stories told about so many