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call now or go to lifelock.com. ♪ greta: continuing with rush limbaugh, sarah palin and much more. who is your candidate? >> too early and unrealistic for people to think we should have won. in 2001, six months after bush was inaugurated, did the democrats have a new leader? they were in disarray thinking an election had been stolen from them. who was the leader, who was riling the democrats? howard dean was out there doing things.

it was assumed that hillary was the next. greta: from an ideology point of view, who do you think is the smartest or best candidate in your mind now? >> well, i don't want to answer that. i am looking right now at who can win and i can look at who excited crowds. the state-run media and the democratic party will go a long way of telling us who they are most afraid of. i don't think they are afraid of mike huckabee because they never talk about them, they are not afraid of mitt romney, low ilalthough if he runs again they will go after his religion. they are trying to destroy a sarah palin. if they are not worried about sarah palin, why do this?

-- they are not afraid of mitt romney, although if he runs again they will go after his religion. it is not hard to understand why, sarah palin had the largest crowds, the most enthusiasm, people were fired up. in some cases, even more than obama rallies. the obama rally is, they were just showing of to be part of the story. sarah palin was excited people on substance. greta: she quit. >> that is a matter. -- that does not matter. regardless of the plans, whether she wants money, whatever, her opponents are down here in the lower 48. they are making speeches every day. she is up in alaska and she cannot compete. also, i think she told the truth

that the ethics stuff was getting in the way of for governinher governing -- of for governiher governing. i don't know what her aspirations are. i have never matter. -- met her. i care about the united states of america. i care about our country. i want our exception was in to be celebrated. i don't care if they are democrats or republicans, if they are conservative and can do the job, i support them.

we are a great country at risk in a very dangerous world. we are now also under daily assault. the economy is under daily asndult by its own government. this is threatening. i never thought i would see this in my lifetime. i would never expect to see purposeful policies that would harm people. that is what we have. no sane person would ever continue a program like this stimulus plan. this will destroy jobs. this is so nonsensical, it is so in violation of the economic science. greta: your show is growing, it gains more listeners all the time. longevity is so amazing, what is

the secret? what do you think is the recipe? >> when i started in 1988, i was it. when i started my national radio show, there was only cnn and "the washington post," "the n.y. times." i got a head start on everyone. i made a deep connection with the audience. there was a whole bunch of americans who were conservatives and never saw their viewpoint reflected in mainstream media news coverage. here comes to me. i am not creating, i am simply validating what people already believe. i have a deep amount of loyalty with this audience. it has been 21 years on august 1st but when i sit down at the

microphone, my expectations of myself -- i do everything for the audience. everything i do is for the show. i will never fall again. what happened yesterday doesn't count for 10 years ago doesn't count. if he would ask me when i talked yesterday, i would give you a broad paintbrush, specifics, i do not know. it is a respect for the audience, respect for their intelligence, a deeper appropriatioappreciation. my parents came out of the great depression and they did not think that i would be successful. i did not go to college. the audience has stuck with me for all of these years. why do they do this?

it is a good show, it is positive. people don't want to hear every day that things are going to fall apart. they want to be motivated. they want their positive thoughts validated. they don't want to hear every day where everything is going to hell. that is what its ratings on television. i've shown to get ratings on radio being positive and respect in the audience and being inspiring and motivational. i just try to share as much of my life with everyone because i get turned on. greta: president obama said police acted stupidly when they arrested a harvard professor. could a meeting becoming between the professor, the president, and the police officer? dick morris goes on the record, dick morris goes on the record, could the news

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greta: the rest of henry louis gates has ignited a controversy. -- the arrest of henry louis gates has ignited controversy. what happened was that professor gates came home from china and he was unable to open his door. he broke into his own house and his neighbor called police. the police confronted him and the case accused them of racial profiling. the cambridge police in union announced -- to cambridge police union announced that it

is standing firmly behind the arresting officer. >> we expressed our support for sergeant crowley, clearing him of any wrongdoing. on behalf of the unions and the members, let me assure everyone that the officers of the cambridge police department are committed to the professional and non discriminatory enforcement of the law. they make hundreds of decisions each week and thousands of decisions each year in the preservation of the peace. race does not play a role of any kind in that decision making and played no role in the decision making in this case. >> president obama said that the actions of the cpd were stupid. the fact of this case suggest that the president used the right adjective but directed it to the wrong body. >> i think that the president should make an apology to all law enforcement personnel. >> our opinion is that we want

all of the facts to be presented. the present and not have all of them. -- the president did not have all of them. greta: president obama tried to put out the fire. >> i just had a conversation with sergeant jim crowley, the officer involved. i have to tell you that as i said yesterday, my impression of him was that he was an outstanding police officer and a good man and that was confirmed in a phone conversation. i told him that. the closbecause this has been rg up, i want to make clear that in my choice of wordsd, unfortunately i gave an

impression that i was maligning the cambridge police department or sgt crowley specifically. i could have caliber those words differently and i told this to the sergeant. -- i could have calibrated those words differently. there was a overreaction in pulling professor gates out of his home to the station. i continue to believe based on what i heard that professor gates probably overreacted. the fact that this has become such a big issue is indicative of the fact that race is still a troubling aspect of our society, whether i were a black or a white. i think that the comments on this and hopefully contributing

to constructive as opposed to - understandings about the issue -- negative understandings of the issue is part of my portfolio. at the end of the conversation, there was discussion about he and i and professor gates having a beer in the white house. i don't know if this is scheduled yet. [laughter] greta: joining us live is a man that you know very well, ted williams, he is a former homicide detective. he has actually made arrests. >> as i look at this, there were three wrongs. if you look at professor gates, he comes home. first of all, let me say this, i

know what racism is, i know it racial profiling and it is not in this case. sgt crowley comes to the scene because he has been called there because of someone acting suspicious. what does he do? he asks the individual to come out. the individual says, know i'm not coming out. so, they enter into a back and forth. professor gates goes and gets his identification. sergeant crawlcrowley enters into the home. what is wrong with that? in this instance, this officer did not know who professor gates was. he had every right to follow him in. there was reasonable suspicion that something had happened. then we get to the part where there is back and forth which leads to where sergeant crowley arrests professor dates.

that was wrong. i don't believe there was enough justification for an arrest. the second wrong was that the president got involved. i don't believe this was a case and a scenario where the president should have gotten involved. greta: i think what is troubling is that to be president got involved. >> president obama can walk this back. he would not say anything. greta: i would like to hear the 911 call and i would like to hear the transmission calls among the police and i would like to know what the police officers on the scene said and what the person who made a phone

call has to say. i would like to know who said what, especially in such an important issue. racism is a terrible thing and being falsely accused of racism is equally terrible. >> i can tell you what was said, prof. gates said that at one stage or another, the officer said, trying to identify who he was. he was not responding to professor gates. this is what professor gates said, "why are you not responding to me? is this because you are a white officer and i am a black man?" professor davis brought racism into this matter. -- professor in ca gates brought

racism into this matter. this was not a case of racism. greta: it will be interesting to see as we get more facts. hopefully that will give us more information. this has caused quite a firestorm. ted, nice to see. greta: up next, dick morris goes on the record. it looks like john stewart is

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president >> obama is open to improve the quality of american schools with the $5 billion pot. he calls it the race to the top program. it provides grants for schools that about strong economic standards. not every state in school district will be eligible for the money. the president says that america itself will be better off for it. >>lawmakers have passed a package. the plan green lights a series of spending cuts, but rejects a slash in transportation funds. that means our level

schwarzenegger must now figure out other ways to close the remaining butter -- remaining budget gap. now back to on the record. >> dick morris joins us. >> i am looking at these numbers. first of all, what strikes me is, how is this like other presidents? >> it is very low. statistically, it is 10 of the postwar presidents. clinton was a little lower. but that is okay, he got elected

with only 42% of the vote. barack obama got 52 percent of the vote, so with has come down. bush was lower but move back up after 9/11. the key thing is that it did not matter that he was losing approval before this because most of the people were mccain supporters. he is now bleating goats. those of barack obama supporters who are deciding they do not approve of the job he is doing. that is very serious. >> 83% of the democrats approve of him. that is a lot. is that a number that he is happy with? >> no, that is a low one. to have almost one in four voters in your own party in say

that they disagree with the job you're doing as president? >> the problem is, barack obama has always been more popular than the programs that he proposes. but now, he is basically taking his whole reputation and putting it behind this health care proposal. he essentially, what he is doing, what he is campaigning for health care, he is lowering his approval rating because he is saying that this is what i am about. the irony of it is, is that more he pushes for health care, the more harm he does health care. the only thing that the senators really care about is what is the job approval of the president? if they have a president in the low 's or the high 30's, they

are out by themselves running for reelection. if the president has a 60% job approval, but can wrap themselves up in that. >> it is interesting that job approval ratings are almost more important to members of congress and the senate dandy president. president bush had 9/11. it is almost like congress needs this more. >> it is. fundamentally, you need a clear majority to stay in power. it is almost as if we have that system and it is like getting a vote of no-confidence. they still play hell to the chief when you walk out there. but how do you think that these

numbers reverberated around the white house? >> when bill clinton would lose one point, i would have a fit. we would go crazy trying to build it back up. the white house lives and dies by those numbers. this is not just that the senators are saying that in 2010 that they have to run and they are not going to vote for the programs that he is going to support these programs are costing him support. in other words, if his health care postal is bleeding his popularity, and what might want to do but by endorsing a program? >> i will tell you something. if his job approval were over 60, he would have made the august deadline and pass health care by now. >> so, these numbers or watched extremely carefully.

>> it is always nice to see you. thank you. >> up next, the best of the rest. is john stuart taking over on the reilly factor? we will explain what we mean. this is a 3-year-old girl trapped in a burning suv. an unbelievable story of courage. you have to see this video. that is coming up next. ir

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greta: walter cronkite was known as the most trusted man in america. he died last week, "time" magazine ran a poll to see who the most trusted person in news was and guess who won. none other than jon stewart of "the daily show." a good samaritan in california is a hero after pulling a 3- year-old from an suv. he was driving to work when he saw a car that was a flip over

and on fire. he stopped and he pulled a young girl to safety. he said that anyone would have done the same thing. we say he is a hero. still ahead, "last call." on the phone today, the arresting officer asks a very special favor of president obama. to your dodge, chrysler, and jeep dealer, and get up to double the government's cash for your old car. now get up to $4,500 for your old car... plus, up to an additional $4,500 cash allowance. no turn-in? no problem. your dodge, chrysler, and jeep dealer guarantees everyone up to $4,500 cash allowance... on virtually every model. get to your dodge, chrysler and jeep dealer on the double,

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greta: it is time "last call." president obama went calling both sides in the gates-gate controversy. >> he wanted to find out if there is a way to get the press off of his lawn. i informed him that i cannot get the press off of my lawn.

[laughter] he pointed out that my lawn is bigger than his lawn but if anyone has any connections to the boston press as well as national press, sgt crowley would be happy for you to stop trampling his grass. greta: thank you for being with us. we will see you all again monday. don't forget to go to my blog. we will see monday night. bill o'reilly is next.