tonight on "nightline," a very white house christmas. santa's not the only one kids are talking to this season. in her exclusive holiday interview, abc's barbara walters asks president obama questions sent in by the youngest americans. plus, the first lady shows us how she decks those white house halls. and "the nutcracker" unplugged. this year, it's not just about sugar plum fairies. we show you how some people are rethinking the classic "nutcracker" ballet. from celebrity impersonators, to a burlesque slutcracker to a version that's gone to the dogs. plus, ho ho -- huh? all they went for christmas is matching machine guns. see how some families pack serious heat in the their holiday photo, complete with

santa. >> announcer: from the global resources of abc news, with terry moran, cynthia mcfadden, bill weir and tonight, juju chang in new york city, this is "nightline," december 23rd, 2011. >> good evening, i'm juju chang. for all of us, the holidays are a time to reflect. even more so, if you're the commander in chief. this year, president obama scored some victories, including the elimination of osama bin laden. but many feel he's failed to fix the economy. nearly three out of every four americans say the country is on the wrong track. in this exclusive joint interview, the president and the first lady talk with our barbara walters and answer some surprising questions from inquisitive children. >> reporter: this season, some 85,000 people will visit the white house. with american troops finally coming home from iraq, this year's theme honors military families. >> and this is where many of our

holiday guests come when we have receptions. >> reporter: first lady michelle obama took me on a tour. >> this would be me, mrs. obama. this one is a cute one, this is the president. you see, by the ears. well done. >> reporter: she's joking, of course, and she can. in a marriage that's spanned 20 years, the obamas surely know how to laugh with and at each other. >> she's allowed to me tease but i can't tease her back. >> he can't tease me back. you know. it all makes sense. it makes our marriage work. >> reporter: for president obama, this holiday season is politically bittersweet. no american since franklin roosevelt has won a second term with unemployment above 7.2%. the current rate is 8.6%. and few economists expect it to fall significantly before next year's election. can you admit to any mistakes that you've made? >> oh, i think i've, you know,

probably once a day i look back and i say -- >> reporter: name a couple. >> i think that when i first came into office, you know, we made a decision not to scare the american people with how bad the economy might get. but i think i could have done a better job preparing the american people to let them know, this is going to be a long haul. this is not your typical recession. >> reporter: he cites his tense dealings with congress as another. >> i think when it comes to dealing with congress, you know, of late i've said, i'm not going to wait for congress, i'm going to go ahead and do whatever i have in my executive power. i think there were types in my first couple of years i kept on sitting there trying to see if we can get -- we could negotiate some sort of compromise. and there just was a lot of refusal on the other side's part to compromise. but as a consequence, i think a

lot of time was lost. that frustrated a lot of people around the country. they want to see action on behalf some of these issues. >> reporter: they may not be able to vote, but we wanted the president to hear from some of the youngest americans. so, we went to a couple of schools to gather a few different questions from kids for the president. >> do you plan to lower or raise taxes? >> what are some good things and bad things about being president? >> can you cook? >> what is it like having all those body guards? >> reporter: i know you answer people's letters all the time. and what we thought that we might do, we asked middle school and high school students to throw a few questions. i'd like to read their questions. if you were a super hero and -- >> you could have one super power what would it be? >> i talked to malia about this. we both agree that flying seems like it would be a pretty good thing to be able to do. then, typically as an adult, i come up with something a little bit more obscure like, i'd love to speak every foreign language there is and she kind of looks at me and says what kind of

super power is that? i have more modest goals when it comes to super powers. >> reporter: your campaign slogan in 2008 was yes, we can. what -- >> is it going to be for 2012? >> that's a great question. if those middle schoolers have any suggestions let me know. we're still working on it. >> reporter: one of them asked -- >> do reporters ever ask too many questions? >> no, i love reporters and i love all their questions. >> reporter: sure. uh-huh. in the holiday spirit. finally, if you are elected president again, what would you do better? >> what i want to be able to do is to communicate to the american people my absolute confidence in our future. we still have the best situation of any country around the world. i was in asia and, you know, here in the united states, everybody's always talking about china and how they're rising and -- when you're in asia,

people are still looking to the united states. they don't look to china. they look to the united states for leadership, in security, on economics, on culture, on politics. not because they think we're perfect but because they realize that we are a unique superpower in the sense that we don't just think about our self-interest, we think about what's good for the world. i wouldn't want us to trade places with anybody. and i want to communicate that more effectively to the american people. >> reporter: i thank you, mr. president. >> i still want to know if he can cook. our thanks to barbara walters. and up next, we traveled far and wide to find you the nuttiest "nutcrackers" of all. ♪ [ male announcer ] you'd be shocked how much data you use in a month.

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>> and now, settle in for a story about a perennial holiday favorite, "the nutcracker." believe it or not, for some, this classic can be a commercial bonanza. stand by to cue the toy soldiers and the dollar signs. here's abc's john donvan. >> reporter: in short order, the story of "the nutcracker." which, we're telling with paper domes because, well, we didn't want to have to pay a dancer. it's a ballet about a little girl who gets a nutcracker toy for christmas that comes to life and turns into a prince who takes her on a journey through the enchanted land of snow and the kingdom of sweets, in what may or may not have turned out

to be a dream. everybody always says that kids love this ballet. so, let's ask that ballerina up on stage about it. she's a seventh grader, who plays the lead in the boston ballet's production. >> i think it's really, like, kid friendly. >> reporter: in what way? >> there's a lot of other children in it and the costumes and the sets are really nice and it's not too complicated, the story. >> reporter: right, it's an easy story. >> and it's a fun ballet to watch. >> reporter: yes, this is "the nutcracker" you grew up with, with the sugar plum fairy. and russian dancers doing splits. and this is the san francisco ballet here, toy soldiers doing battle with mice. but then there is this "nutcracker." seattle's land of the sweets, featuring performers in drag. and the stripping countess of coffee. if that seems provocative, take a look at the "slutcracker,"

boston's burlesque version. yes, that is a pole dance being performed by vanessa white, a classically trained dancer who took up burlesque after an injury forced her to quit ballet. she said she started this production on a whim. >> the name just kind of popped into my head on a with him and my husband was like, you have to do that. and i was just kind of like, i don't know what it is, though. >> reporter: it turns out it's a big business. >> since we opened in 2008, we have grossed over $500,000. last year, we sold 12,000 tickets. >> reporter: "the nutcracker" is so popular, even though it was not originally written for christmas time people still think of its music today as christmas music. which is one reason ballet companies all across the nation are putting it on right now. the other reason? they really need the money. and "the nutcracker" is a guaranteed money maker. >> we don't lose money on "nutcracker." we lose money on everything else. >> reporter: all the ballets you put on? >> yes. >> reporter: why is why there

are performances in at least 121 american cities this season alone. of course, that means they're competing with each other. and that means "the nutcracker" gets tweaked. salt lake city's ballet west does two different productions. the classic one and its nutty "nutcracker," with a battle scene featuring light sabres and the marx brothers as the russian dancers. also a nutty "nutcracker" in orlando. check the hair on the sugar plum fairy. and positive therapy put up a canine version last year. pacific northwest ballet premiered this production in 1983 with sets, costumes, new characters like the peacock. ♪ and the chinese tiger, by maurice sendak, "wild things," indeed. >> one, two, three and a four.

>> reporter: and back in boston, there is the urban "nutcracker." whose choreographer tony williams danced in the boston ballet's first production of "the nutcracker" in 1965. his version here incorporates hip hop -- ♪ tap. ♪ and jazz. >> i wanted to do something that included different dance styles and also reflected the children that were coming to my school and the community. >> reporter: williams stumbled into ballet as a teen growing up in boston and says the dance changed him. >> well, i was just a punk kid, a juvenile delinquent. i found myself, i sort of found my soul in dance. >> reporter: was it a lifesaver for you? >> it was a lifesaver. >> reporter: which is why he works so hard to make this production relevant, to make students and audiences in boston feel like this ballet is their own. >> going to spin.

>> reporter: one reason kids like "the nutcracker," it needs a lot of kids, kids that train here at the urban and also on the big stage at the boston ballet, where the director says the show is a training ground, the way kinds can learn to dance and audiences can learn to love it. >> great opportunity to develop the company. >> reporter: and the audience. >> absolutely. >> reporter: this is the opportunity, for you, to get people brand new to ballet to like it. >> it's a great opportunity for the industry and the art form. >> reporter: and now that it's christmas time, on stages everywhere, performers are giving "the nutcracker" yet one more run, or one more dance, for the money. for "nightline," i'm john donvan in boston. >> bravo. now, the nutty awards, for the best "nutcracker" were announced this week by the discount ticket gold star. the winner? chicago's joffrey ballet. congratulations. up next, forget the

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tis the season when we think about peace on earth. but for some, keeping the peace means packing a piece. even for a visit to santa. here's david wright with a seasonal "sign of the times."

>> reporter: it's the highest caliber christmas card picture you're likely to find this side of the o.k. corral. riding shotgun with santa. fun for all ages. unless you think high powered firearms are not exactly in the christmas spirit -- you have never seen "a christmas story?" >> ah, there it is! the holy grail of christmas gifts. the red rider 200-shot range model air rifle. >> reporter: or the christmas miracle of "the die hard" movies. >> now i have a machine gun. ho ho ho. >> reporter: nothing says christmas like an ak-47. >> so i've heard. >> reporter: ron kennedy is a spokesman for the scottsdale gun club where the line stretched well into the parking lot. families taking part in what may be santa's oddest photo op of

the holiday season. >> one, two, three -- good. >> reporter: a jarring image to outsiders. sort of a violent christmas fantasy. santa and machine guns. that's the name of the -- >> that's correct. >> reporter: usually, you think of christmas santa at macy's or blooming dales. a gun club? >> absolutely. people decide to celebrate the holidays in unique ways. some choose to do it with santa at the mall. others in front of their tree. our members and customers like to do wit santa and machine guns. >> reporter: this is arizona, afterall, where many believe the second amendment is the only run the first amendment means anything. >> this is daddy's favorite glock. >> reporter: daddy's not the only one packing heat in the ray family. mommy has a bright pink revolver of her own. tough to say who is more excited to see santa, the kids or mom and dad. >> there are guns everywhere, especially in arizona. we thought it was a really neat thing to do. and fun. >> reporter: a lot of parents

are cocking eye brows. i have a daughter this age. i don't know if i would want her -- >> our kids have never touched guns. the little ones have never touched guns until they are 5 years old. >> reporter: some parents would think 5 is a little young, too. not this crowd. >> i got three of those. >> we were thinking something in the ar-15 category. >> we'll go with m-4s. let's talk about -- >> reporter: santa's elves, wearing side arms, take the opportunity to give everyone a quick gun safety check. don't point it at anybody and keep your finger off the trigger unless you mean business. important to note, these weapons are not loaded and the firing pins have been removed. >> these are decommissioned firearms that have been cleared and safety checked between each picture. >> reporter: are you worried about the message that it sends? >> we actually are just trying to make a fun holiday themed event for those who want to express their holiday spirit and their love for the shooting sports or their hobby of

firearms. >> nice smiles on three. >> reporter: and to you, peace on earth doesn't clash with firearms? >> i think that, you know, there are folks who see it in different ways. >> reporter: even in arizona, an event like this isn't for everyone. >> heck of a way to celebrate the birth of the savior. i would have to suggest they might want to take another look at the new testament to see if there's scripture for this. >> reporter: you see it in poor taste? >> to me, you don't joke around with guns. >> reporter: but at the gun club, that opinion appears to be in the minority. >> keeping santa safe? >> somebody's got to. he's got all the toys. somebody has to protect him. >> reporter: peace on earth and don't mess with santa. i'm david wright for "nightline" in scottsdale, arizona. >> ah, the holiday traditions. well, all of us at "nightline" wish you the happiest of holidays. thank you for watching abc news. but hope you check in for "good morning america." they're working while you're sleeping. and we are always online at abcnews.com. jimmy kimmel is