that maybe the compromise axelrod is signaling. the spokesman for the incoming house speaker, john boehner, issued a statement saying republican bes made a pledge to america to permanently stop all the tax hikes scheduled for january 1st. we are glad to see the president's most trusted adviser now agrees with this course of action. i hope he and the president will show leadership by convincing speaker pelosi to stop these tax hikes permanently in the upcoming lame duck session. pelosi against allowing the tax rates to stay the same for richer american americans. a new poll out now shows they want the democrats, republicans, the president, leadership incoming in the house and new expanded republican minority in the senate to cooperate, new cbs survey says 72% of americans say congressional republicans should make tradeoffs in order to get things don't. don't want to just see the republicans stand by and refuse to negotiate, refuse to compromise, including on some of their key principles. finally, the first lady, michelle obama, on t

national correspondent jim axelrod reports, this follows a lot of trips to the hospital. >> reporter: these videos of college students sucking down theicainated alcoholic beverage four loko may soon become collector's items. >> you need to go to the hospital? >> no. >> reporter: now that the f.d.a. has enacted a virtual ban by warning four manufacturers of alcoholic energy drinks-- they're unsafe. >> we have determined that these products are not in compliance with the law, that the addition of the caffeine does not meet our legal standards for safety. >> reporter: the federal government is following the lead of five states that have already banned the drinks-- washington, michigan, oklahoma, utah, and new york. a 23.5-ounce can of four loko is the equivalent of four beers, a red bull, and a shot of espresso, all for less than $3. the caffeine masks the alcohol, creating what the f.d.a. calls "wide-weak drunks." >> what happens is the caffeine makes you more weak, the caffeine gives you more pep. the caffeine reverses some of the sedative effects of alcohol, and, therefore, it makes i

axelrod said in that article. in seoul, south korea today, the conclusion of the g-20 economic summit, the president said emphatically he's not caved in. across the board tax cuts were put in place in 2001 and 2003. they're set to expire in december. the obama administration only wants to make them permanent for the middle class, not the richest americans, and that pretty much jibes with what he said on the campaign trail in 2008 and just after he was elected. >> i end the bush tax cuts for the wealthiest americans. >> and it means letting the bush tax cuts for the wealthiest americans expire. and rolling back the bush tax cuts to the top 1%. >> roll back. >> we're going to roll back. >> i'm going to roll back the bush tax cuts for the wealthiest americans. >> for the wealthiest americans. >> for the wealthiest americans. >> it is true that i want to roll back the bush tax cuts on the very wealthiest americans. >> what is the president's position now? he clearly seems to be signaling he's willing to compromise to

axelrod. the white house response to axelrod's story in "the huffington post." "this story is overwritten, nothing's changed from at what president said last week. we believe that we need to extend the middle-class tax cuts. we cannot afford toboro $700 billion to pay for extending the tax cuts for the wealthiest americans. full stop, period, end of sentence. does this -- >> now, ed -- >> does this clear up the issue, bill? >> no, no. i don't think that it does. i think what it means is that david axelrod mistakenly, he got out a little ahead of the story. he realized that he shouldn't have said everything that he said to "the huffington post." but ed, this is the big difference, the president was saying a week ago, no way, no how. we're going to extend the tax cuts for the middle class and not extend the tax cuts for the wealthy people. >> okay. >> because right now it's changed. we're open to extending. ed, they've given up on this thing. >> all right so, the headline on "huffington post" this morning was "white house gives in on bush tax cuts." >> sam stein g

jim axelrod, cbs news, new york. >>> a new government survey out this morning says one in five american adults suffered mental illness last year. the substance abuse and mental health services administration found 45 million experienced some form of mental illness in 2009 but fewer than four in ten were treated for their mental health condition. >>> another study compares health care in the u.s. to ten other countries and the news is not good. the survey by the nonprofit commonwealth fund shows that americans pay far more per capita on health care than in other rich countries but americans are less satisfied with their health care. and 20% of americans had trouble paying medical bills compared to only 2% in britain. >>> straight ahead, your thursday morning weather. and in sports, first-time winners of baseball's manager of the year award. what am i thankful for? being the star of this feast. who else is so, fruity, sweet and colorful. who's this turkey? edible arrangements bouquets beautiful like flowers, but unforgettably delicious. visit, call, or go to ediblearrangements.com. but th

if you take the radio address, and axelrod comments they're pointed to the same direction. we want the make permanent tax cut for people at the bottom. we realize we'll cut a deal on the top two brackets. we'll see how it works out. but they've been trying to put themselveses in a place where they say $250,000 permanent. above it is temporary. can we make a deal? 31 members of the congress signed a letter. they say continue the tax cuts. it will be hard for them to do, i think do permanent or all temporary. they can't split it in half. >> the last mid-term expose weaknesses and a lot of weren't aware president had. states he did well in the presidential election. his party had a tough time. is that, are we seeing weakness in the president approval? >> we are. an interesting article today. the president got 365 electoral vote. if they only carry state that mccain did, he picks up six electoral votes and obama loses the votes because they reapportion from blue to red states. but three states went back strongly and the democrats don't think they have a chance in 2012. ohio, mi

david axelrod, the senior adviser, basically hinted some sort of compromise is coming. they know it's coming and they may have to accept an extension of all of these bush tax rates for one to three years. now, he had to walk it back in two different publications because it made it sound like they had already capitulated and that upset some democrats. but this is a numbers game. number one, they expire at the end of the year. number two, the democrats don't have 60 senators, they don't have 60 votes in the u.s. senate and the reality is, there's a bunch of democratic senators that don't want to only vote on the middle class tax cut and let the wealthy tax cuts expire and be called tax hikers come the 2012 campaign. so they don't have the votes. and an extension is going to happen. the question is, is it permanent for the middle class, an extension on the wealthy or an just an extension for all of it where they will do this debate all over again in one to three years. >> now to something everybody has a stake in. every couple of years, some important people come forward a

david axelrod he said will leave earlier than initially planned. he had been telling friends march but look like it will be earlier. david plouffe will now come in to a white house role. this is just normal see ya later after the election changes or a lesson learned maybe? >> i don't think it signifies anything. they had already talked about axe going out getting ready to gear up for the campaign and plouffe coming back in. two great guys. two friends of mine. as ax says he needs time to organize and get rieady. i talked to a lot of democrats out there. there is a perception that more people need to be brought into this, newer voices, broader sort of table brought here. i think the white house over time will do that. >> when you were in the reagan white house and got thumped not as bad as these guys, did you bring in same idea friends of the president or did something new? >> we did something new. the key thing we started preparing for moving people out of the white house to run the re-election, not in the white house. what you're getting is anothe

the president's 2008 campaign manager will take axelrod's place. charlie sheen is suing the escort who was with him the night of his reported rampage in a ritzy new york city hotel room. she now claiming that capri anderson tried to extort a million bucks from him and stole his $165,000 watch. anderson, on the other hand, claiming sheen was violent and verbally abusive with her and she just filed a complaint with the new york police department. and those are your headlines. that could be a nasty he said, she said. >> as we switch out to the other major story that's affecting you most especially with so many people about to travel, expect relatives to come visit them or friends, people are talking about, well, are they really going over the top and investigate people who maybe have knee replacement or some type of prosthesis? well, it turns out there is some intelligence according to abc, the viewers have picked up the terrorists have been discussing use of prosthetics or medical devices to look at that. >> we talked to john pistole, the tsa adminis

it it was senior white house advisor david axelrod to hold out in retreat. >> my own take is that axelrod let go of the negotiating position that the administration wanted to hold over the gop. it was possible he was just signaling this would happen. >> reporter: it will be a tough pill to swallow for the president's supporters. about the only thing the president will get is the temporary ones with tax season right around the corner. that is why there is an urgency to get those done before the old tax rates go into effect at the end of the year. steve. >> doug, thank you. >>> there is some controversy over proposals to cut the national deficit. the chairman of president barack obama's debt commission unveiled the issues this week. we told you about social security benefits, but how about charging admission to the smithsonian and the national zoo? wee have sherri ly. >> reporter: if you go to new york, the admission fee is $20 for the museum. the national zoo and the smith zone -- smith zone i don't know can -- smithsonian cannot afford to cut. here is what the smithsonian is facing. it ca

we'll comb through the commence, axelrod's comments, stephen moore, senior economic writer for the "wall street journal," he's on deck here in america's news room to talk about that. martha: a "fox news alert." the cruise ship nightmare is almost over, folks! thousands of passengers, there they are and the crew aboard the carnival sile carnival splendor, off the coast of san diego and they'll bring it into port and an engine fire left the ship dead in the water, no electricity or air-conditioning and the navy brought in supplies and folks have been roughing it on the decks of the bowat for days, surviving on spam and pop tarts. bill: come on home, folks. martha: and we'll see them soon. bill: someone tweeted yesterday, the bathrooms were out and they are feeding them spam. martha: bad combination. bad combination! bill: a beautiful picture, but, i mean, come on! let's end it for crying out loud! get the chopper out there and bring 'em back. martha: bring 'em home. bill: wait until you see them disembark. we have a reporter there in san diego. okay, in the meantime, they are counting the

jim axelrod, cbs news, new york. >> creepy. coming up a bit later on "the early show," more on the break-through lung cancer screening researchers say can save lives and a live interview with actor randy quaid and his wife about their troubles with the law. >>> and dave price helps a viewer live out her dream job at a radio station. that's the "cbs morning news" for this friday. thanks for watching. i'm betty nguyen. thanks for watching. i'm betty nguyen. have a great weekend! -- captions by vitac -- www.vitac.com >>> your realtime captioner is linda marie macdonald. caption colorado, l.l.c. >>> we're prepared for a worst- case scenario. >> oakland taking no chances as

today on "fox news sunday," david axelrod said extenting the cuts is a possibility. does it conflict with what the president has been saying? julie kirtz is following it all and has the latest. >> reporter: with time running out on the bush era tax cuts this is number one issue the lame duck congress will tackle. obama meets with the leaders this coming week to start the process. top white house advisor david axelrod today refusing to completely reveal the president's hand, walking back from reports that the president was ready to cave. axelrod insisting the white house hasn't changed its position against a permanent extension of cuts for upper income taxpayers. but he refused to rule out a temporary one. >> i am not going to negotiate with you on the program and i've heard different ideas surface publicly be various members of congress and others. we're looking forward to getting together with the leaders of both parties if congress. >> if they don't hammer out a deal, the bottom rate will jump to 15%. and top rate will jump to 39.6%. today, jim demint sounding read

the interview, axelrod cited the reality of having to negotiate with republicans saying "we have to deal with the world as we find it." later he sent an e-mail to politico saying this, "there's not one bit of news here. i did not go beyond what i have said before." some democrats are fuming about the report since the deal would run counter to one of obama's promis from the 2008 campaign. >>> appearing on fox news last night as his tour continues, former president george w. bush was asked to comments on the current administration's economic policies. when pressed on why president obama has continued to bail out failing companies, bush refused comment saying, "you need to ask him, not me. i'm the retired guy." >> most of the t.a.r.p. money that we spent under my watch has been repaid. >> then why is the government, the federal government now continuing to bail people out? >> you need to ask him, not me. i'm the retired guy. i'm the guy who had done my job, and i'm now home in texas. >> but you must have a theory on that -- >> look, you're trying to drag me into the current affairs, and --

jim axelrod, cbs news, new york. >>> a new government sur ray out this morning says one in five american adults suffered mental illness last year. the substance abuse and mental health services ever services administration found 45 million experienced some form of it in 2009 but fewer than four in ten were treated for their mental health condition. >>> another study compares health care in the u.s. to ten other countries and the news is not good. the survey by the nonprofit commonwealth fund shows that americans pay far more per capita on health care than in other rich countries but americans are less satisfied with their health care. and 20% of americans had trouble paying medical bills compared to only 2% in britain. >>> straight ahead, your thursday morning weather. and in sports, first-time winners of baseball's manager of the year award. what am i thankful for? being the star of this feast. who else is so, fruity, sweet and colorful. who's this turkey? edible arrangements bouquets beautiful like flowers, but unforgettably delicious. visit, call, or go to ediblearrangements.com. but

. >> on afghanistan, and interviewing axelrod he pushed very hard against the stories that were saying the administration was about to lengthen the timetable of afghistan. chris: that's a big issue with us. in the old days the big republican names of course were taft and lodge and more recently bush. but your grandfather's brand of the grand old party, once known as much for its blue bloods as red states, is as old hat a smoked filled rooms. but it was just a decade ago that george w. bush drew knowing latches at new york's al smith dinner with this. >> this is an impressive crowd. the haves and t have mores. [laughter] some people call you the elite. i call you my base. [laughter] chris: and before that it was bush's father, a skull and bones guy at yale who addresed his fellow elis with this defense against a shot from 1980 primary opponent john anderson. >> i'll tell you it's tough being tagged a liberal. and strom thurmond's state and going to illinois and having another opponent call you and i quote, ronald reagan in a brooks brothers suit. [applause] john anderson knows j. press

. >> reporter: david axelrod, the senior adviser, basically hinted some sort of compromise is coming. they know it's coming and they may have to accept an extension of all of these bush tax rates for one to three years. now, he had to walk it back in two different publications because it made it sound like they had already capitulated and that upset some democrats. but this is a numbers game. number one, they expire at the end of the year. number two, the democrats don't have 60 senators, they don't have 60 votes in the u.s. senate and the reality is, there's a bunch of democratic senators that don't want to only vote on the middle class tax cut and let the wealthy tax cuts expire and be called tax hikers come the 2012 campaign. so they don't have the votes. and an extension is going to happen. the question is, is it permanent for the middle class, an extension on the wealthy or an extension on all of it? >> now to something everybody has a stake in. every couple of years, some important people come forward and say this is the time, we've really got to get our financial house in order

david axelrod is pressed on whether the president is willing to compromise on the tax breaks for the richest 2%. >> the bottom line is he wants to sit down and talk about this, but -- there's no bend on the -- on the permanent extension of tax cuts for the wealthiest americans. >> he's open to compromise. >> he wants to sit down -- we want to get this done. the american people expect to get this done, and we are -- we are eager to sit down and talk about ho u to move forward. >> nbc's mike viqueira is live at the white house for us. good morning to you. >> reporter: good morning, alex. >> is this the first big battle of the lame duck congress, mike. >> reporter: it's shaping up to be. david axelrod couldn't bring himself to say what's left almost since the day the polls closed on november 2in', the moment the polls closed that they would accept a temporary extension of those tack -- tax cuts for the wealthy. something the president campaigned against very hard. now the interpretation is the voters want republicans and democrat at the white house and those running the white house afte

the reaction to the left caused david axelrod to have to rejigger a little bit. in the end, the white house is going to have to do some things that the left isn't going to like. it's the mathematics of the new congress. >> david, this happened all the time -- i kept going back to '94 for a year -- >> mark. >> mark, i'm each sorry. for a year and people got upset. the past is "prologue." this is '95, '96 all over again. bill clinton would fooit republicans and give republicans half of what they wanted and go to the base. in this case barack obama will say, you know what? i hate the tax cuts for the rich even for a year or two, but i had to do it to get middle class americans tax cuts. those bad republicans. >> but we live in a different type. if bill clinton had a left wing blogosphere, he would have faced a lot of heat. maybe he would have been able to handle it. if the white house begins this new republican-dominated era in the house with a compromise, they'll have to be xlit cli skillful enough to let the left understand what they're doing. >> john, i did get y

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. >> indeed, pelosi's comments came one day after the senior white house advisor david axelrod told the huffing top post he isn't willing to gamble on the tax relief. he added we have to deal with the world as we find it. news conference friday morning, president obama sang hymns to the middle class and did not rule out tax relief for those earning above $250,000 a year. >> my number one priority is making sure that we make the middle class tax cuts permanent, that we give certainty to the 98%s of americans affected by those tax breaks. i don't want to see their income taxes spike up. >> you now as he finishes up the lengthy overseas trip, the president finds the woman who was once the strongest ally on capitol hill throwing down the gauntlet to the republicans and to him. >> nancy pelosi is finding that her days of speaker is over. and president will face a tough re-election bid. he has to keep the financial base in order and govern and move to the center. he faces different pressures than pelosi. >> equally pressing for the lame duck congress to address in two weeks of sessions it wil

you've got john mccain and david axelrod, last mentioned because he was in the news on taxes. i heard somebody say today it's harsh, the white house is pretending to have leverage on this topic. >> well, on the issue of tax cuts, it's interesting, you heard the president. he doesn't want to negotiate from overseas or give away the end game here, which is probably some compromise here on those tax cuts being extended on those upper earners. what they want to do first, however, is try to get a deal on the middle class tax cuts being extended. i think they would like to separate that from the upper earners. then if he's going to deal, you're going to see the president position himself as a fiscal conservative and say to republicans, look, if you want to extend this policy, where there the corresponding spending cuts to make it worthwhile? as you know, brian, the president is on record saying there's no way that we can afford to extend these tax cuts on the wealthiest americans. >> david gregory, we will next see you in that very studio sunday for "meet the press." david, thanks.

. >> reporter: david axelrod, the senior adviser, basicay hinted some sort of compromise is coming. they know it's coming and they may have to accept an extension of all of these bush tax rates for one to three years. now, he had to walk it back in two different publications because it made it sound like theyad already capitulated and that upset some democrats. but this is a numbers game. number one, they expire at the end of the yea number two, the democratdon't have 60 senators, they don't have 60 votes in the u.s. senate and the reality is, there's a bunch of democratic senators that don't want to only vote on the middle class tax cut and let the wealthy tax cuts expire and be called tax hikers come the 2012 campaign. so they don't have the votes. and an extension is going to happen. the question is, is it permanent for the middle class, an extension on the wealthy or an just an extension for all of it where they will dohis debate all over again in one to three years. >> now to something everybody has a stake in. every couple of years, some important people come forward and say t

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david axelrod gave a quote to national journal. we shall see. looks like a little bit of more parsing of language rather than a definitive statement on where the president stands on this. anyway, coming up next on msnbc, chris jansing and company. we'll have have more on this and other news. at 1:00 p.m., don't miss "andrea mitchell reports." please, remember a veteran today. someone in your family. call them up and say thank you. we'll see you back here tomorrow. it was so complicated. there was a lot of information out there. but it was frustrating trying to get the answers i needed. then my company partnered with unitedhealthcare. they provided onsite screenings, healthy cooking tips. that's a recipe i'm keeping. ( announcer ) turning complex data into easy tools. we're 78,000 people looking out for 70 million americans. that's health in numbers. unitedhealthcare. on your next business trip, pack your marriott rewards visa card. get triple points every time you use your card at marriott. apply now and earn 22,500 bonus points when you use you

david axelrod pointed to newly secured deals that will put americans back to work. >> if you had more time, i'm sure you'd show the positive headlines from the trip as well. the president went on this mission because asia is the most vibrant market, growing market in the world, and we want to compete for those jobs. and that's why he went. >>> nbc's mike viqueira live at the white house. good morning to you. >> reporter: good morning. >> it's going to be a big turnaround. let's hope he get as good night's sleep. >> as david axelrod will have us know, there were successes on the ten-day trip but also letdowns. the president winging his way back at this very moment. they had a refueling stop at anchorage, alaska, at the air force base. they'll land at andrews air force base and land on the south lawn. it does not get any easier for him. the last hurrah for nancy pelosi. she has the gavel in her hand. at the top of the agenda, the tax cuts, the bush-era tax cuts. we've talked about them over and over again. the issue gets tornier and thornier. some he had campaigned against that's drawn

wait until you hear about the struggles david axelrod faces at home in an intimate interview. and queen elizabeth feeling a bit left out of her own grandson's wedding? why william doesn't want her help. what? then the cheerleaders for the washington redskins live in the studio and they're here to talk about their recent mission to entertain our troops. plus here's another performance from last night's american music awards. it's rhianna this time. ♪ [ male announcer ] you're at the age where you don't get thrown by curve balls. ♪ this is the age of knowing how to get things done. ♪ so why would you let something le erectile dysfunction get in your way? isn't it time you talked to your doctor about viagra? 20 million men already have. ♪ with every age comes responsibility. ask your doctor if your heart is healthy ough for sex. do not take viagra if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. side effects may include headache, flushing, upset stomach, and abnormal vision. to avoid long-term injury, seek immediate medical help for a

national correspondent jim axelrod reports tonight that some medical students are learning to meet those challenges in a ground-breaking program of role reversal. >> reporter: sue chung kim is just starting the ride of her life. >> i've never been on a stretcher before. >> you've never been on a stretcher? >> no. >> reporter: this fourth-year medical student is spending the next week and a half living among 514 residents at a nursing home in upper manhattan. not as a doctor, but as a patient. >> today just being even in this bed i'm not even comfortable, although i'm just laying down. >> reporter: comfort isn't the goal of this program, called "learning by living." med students considering a specialty in geriatrics live life at the other end of the stethoscope. marilyn gallucci started the program five years ago. >> it's about being in the shoes, in the wheelchair, living the life over an extended period of time. that's the key. >> reporter: the students are assigned a diagnosis. sue chung is supposed to be a recent stroke victim. >> it seems to have affected your right side, primarily?

we asked national correspondent jim axelrod to find out. he'll be giving his own shoes quite a test in sunday's new york city marathon. >> reporter: during marathon week, central park is overrun. but one group stands out by what they stand on-- nothing. >> going barefoot has just made my feet come alive. it's unbelievable. >> reporter: it's a small but growing group that swears going barefoot-- or in the flimsiest of footwear-- is the key to injury-free distance running. >> they land with their heel. >> reporter: john durant heads the new york chapter of the 1,400-member barefoot runners society. >> the foot has been around for millions of years, it works. >> reporter: chris mcdougall will be among a handful of barefooters in sunday's marathon. mcdougall discovered the ancient tarahumara tribe in mexico. they run 60 miles at a time over rough terrain in tiny sandals or with nothing on their feet. >> the way the tarahumara run is very light, quick, gentle and relaxed, just like any five- year-old who skips off across the playground. i mimic

and jim axelrod reports on what's being done to keep them open. >> reporter: it's a scary site and more common than we might like to think. drivers falling asleep at the wheel. 41% of drivers admit to having fallen asleep or nodded off at some point in their lives according to a new survey done by a.a.a. one in ten within the last year. more than half of them fell asleep on a highway. >> most people think they can control it. they can take care of it. but the research shows that nearly 60% of the people fall asleep just an hour within their trip. >> reporter: nine years ago, tommy callaghy was driving with his wife at 1:30 in the afternoon when he fell asleep and hit a tree. his wife was killed instantly. >> everybody has periods of drowsiness while driving. and what really kills is the belief by the driver that he or she's going to get through it. >> reporter: this is the old- fashioned way of waking drowsy drivers: rumble strips that create vibrations when the car veers off the road to shake the driver awake. this is the new-fashioned way, the technology that mercedes benz now puts in

obama did not quite deny that that's where he stands. >> some are interpreting david axelrod's comments to a newspaper back home that your compromised position is temporarily extend them s that the wrong interpretation? >> that is the wrong interpretation because i haven't had a conversation with republican and democratic leaders. here's the right interpretation. i want to make sure that taxes don't go up for middle class families starting on january 1st. that's my number one priority. for those families and for our economy. i also believe that it would be fiscally irresponsible for us to permanently extend the high income tax cuts. i think that would be a mistake. particularly when we've got our republican friends saying that their number one priority is making sure that we deal with our debt and our deficit, so there may be a whole host of ways to compromise around those issues. >> democratic senator mark warner, one of those putting forward a way to compromise specifically suggesting that the bush tax cuts be extended on household income on less than $250,000 and instead of using 70

it comes a day after the huffington post cited the president's senior advisor david axelrod as saying, quote: we have to deal with the world as we find it and the huffington post writing this. the administration is ready to accept an across-the-board continuation of steep bush-era tax cuts, including those for the wealthiest taxpayers. today while addressing supporters in south korea suggested that's the wrong interpretation of axelrod's remarks. >> here is the right interpretation. i want to make sure that taxes don't go up for middle class families starting on january 1st. that's my number one priority. for those families and for our economy. i also believe that it would be fiscally irresponsible for us to permanently extend the high income tax cuts. >> jon: here is where things stand the president says he does not want to permanently extend tax cuts for those making more than $250,000 a year. but he did not say he oppose as temporary continuation of those cuts. wendell goler is traveling with the president who is now in japan. wendell, this has turned into an exercise in semantics,

take a listen to david axelrod, senior advisor to the president this weekend. >> we just can't afford to borrow another $700 billion for tax cuts that almost entirely are going to go to millionaires and billionaires. we just don't have that money. >> we can't afford to go to the additional step and permanently cut taxes pre marely for millions and -- primarily for millionaires and billionaires at a cost of $700 million. >> "permanent" was the big word there. that's the talking point. >> talking point alert for the week is permanent. they were never that opposed. the white house never that opposed to the concept of a little extension with the tax cut for wealthy. this is a nod and face-saving evident. >> where does it go? the compromise. democrats and republicans sit down at the white house with the president thursday. there are all kind of deals floating out there. schumer has one out there for $1 million or less. other things that would be tied to temporary extension. where do you think we are on the possibility? >> two lines of argument that are current. one is you know what? you've

but now, his senior advisor david axelrod not taking that step again. listen to this. >> let me repeat what the president's position is. we have to extend these middle class tax cuts. absolutely have to do that. we should do that permanently. give people the security of knowing their taxes aren't going to go up. that would be important for the middle class and important for the country. we can't afford to go the additional step and permanently raise -- and permanently cut taxes, primarily for millionaires and billionaires at a cost of $700 billion for the next 10 years alone. the guy is the key of communications for the white house. really slipped up on wednesday while he played the president's hand while still in southeast asia. here's what he said on wednesday. we have to deal with the world as we find it, the world of what it takes to get things done. and people hint that the president was looking to give right away which he's going to give, perhaps, is on the upper end of the tax rates for the upper end of people who make $250,000, leave in place fo

it was david axelrod that tipped his hat to what amounts to a tax retreat. leaving some to wonder why they did not hold out for something in return for the republicans and john boehner. >> my own take is axelrod let go of a negotiating position that they wanted to hold over john boehner and the gop. it is possible he was just signaling to the community this would happen. >> reporter: it will be a tough pill to swallow for the most ardent supporters. they may get a temporary extension of the rates. not the permanent ones the republicans want. there is an urgency to get this done soon before the higher tax rates go into effect next year. in washington d.c., doug luzader, fox 5. >>> president barack obama has wrapped up the g-20 summit saying he and world leaders have put the global economy back on track. he disputed reports that the final statement showed that the summit had failed. >> it is puzzling to me that the reporting is all talking about conflict when the communication reflects a hard- won consensus. >> the president is now in japan. it is the 4th and

david axelrod refusing to reveal the president's hand. >> i'm not going to negotiate with you on this program. >> walking back from earlier comments that the president was ready to give in, he insists that the white house hasn't changed their position but he refused to rule out a temporary one? >> i've heard many different variations discussed over the last week publicly. i've heard a variety of ideas surface publicly by various members of congress and others. we're looking forward to getting together with the leaders of both parties in congress. >> reporter: if they don't hammer out a deal and do let the tax cuts expire the bottom tax rate will jump 10-15% and top jumps from 35%. and tea party backer says they are ready to deal on a two or three-year extension of cuts for wealthy americans? >> the best we could get out of the president, he president, but i hope he doesn't come back with the idea that we're going to raise taxes on 750,000 small businesses as he's been talking about. i think if we can work on our side of the ledger, we might work together. >> reporter: so sounds like a

it means david axelrod will be around but in chicago. he may want to leave a little sooner to get some time off before jumping in to 2012. secondly, look, david axelrod will tell you he's not the most organized fellow. senior advisor, the strategist, but organization is not his thing. david plouffe is an organized guy. he had a plan. the white house is looking for someone to build a plan with dealing with this new congress and getting ready for 2012. that's something david plouffe might be suited for. >> what do we know about other moves happening down the line? >> a lot of pressure on the president to bring in new blood. i hear there's going to be a lot more moods but a lot of faces we know moving in to new positions. see how that shakes out. carol browner, the current energy czar. the president's current lobbyist for congress pushing through the agenda out there on the hill. he's likely to become a deputy chief of staff or senior advisor, i'm told, by the officials. likely to be replaced by rob neighbna nene boris. now likely to become

. >> reporter: david axelrod is a political pro, he knows exactly what needs to happen here. there has to be a deal struck with the lame duck congress, if not everybody gets a tax hike in the new year. david axelrod told the liberal roughing ton post, quote, we don't want that tax increase to go forward for the middle class but plainly what we can't do is term lee -- permanently extend these high income taxes. that suggested perhaps a temporary extension of a year or two for people at higher income levels. even though president obama was in south korea it did not take long for questions to be fired at him and his aids. some asked if the white house had caved on the bush tax cuts, others suggested the president's team was signaling a deal. earlier today in seoul president obama weighed in. he says he hasn't had a conversation with democratic and republican leaders and his number one priority is making sure taxes don't go up to the middle class. >> i believe it would be fiscally irresponsible for us to permanently extend the high income tax cuts. i think that would be a mistake

. >> so note that david axelrod said we can't afford a permanent extension. president obama recently said he's open to compromise on the issue you, suggesting that maybe a temporary extension of tax cuts for wealthier individuals would be okay. this will be a big fight. why? many republicans want all of the tax cuts made permanent and emboldened by big wins in the mid-term elections they seem ready for a fight. . >> i think they should be extended until we're out of this recession, and at such time we can look at other tax hikes. we're in a serious recession i can't believe raising taxes is a good thing on anybody. >> will there be compromise? will they stick to their positions? we'll find out and we're likely to get a better read of the priorities and really the tone for the lame duck session come this thursday when congressional leaders on both sides plan to meet with president obama at the white house. >> we'll see you again in the 4:00 eastern hour. we'll talk about don't-ask, don't-tell and if that's something congress will tackle in the near future. see

this is based on a new interview with david axelrod. >> reporter: right, in the huffington post. virtually since the time the polls closed on november 2nd, the white house has let it be know from the podium and robert gibbs, and now this interview with top counselor david axelrod and the huffington post that they would be open to perhaps a temporary extension of the tax cuts for the wealthy. you remember in the time leading up to the election the president campaigning time and time again, hitting republicans on wanting to extend the bush era tax cuts. they expire on december 31st. wanting to extend them for everyone including couples making more than $250,000 a year and individuals making more than $200,000 a year. well, the republicans all along. and since the election administration officials have hinted they would be open to a temporary increase. the question becomes will the republicans in the house be willing to deal on the issue and both sides from the republican side of the aisle is they are going to draw a hard line, they feel they have the advantage politically and tacti

there is not one bit of news here says david axelrod. we need to extend the tax cuts for the middle class but can't afford a permanent extension for the wealthy. is that from november 2010 what this from september 2007 sounded like? >> we will also turn the page on an approach that gives repeated tax cuts to the wealthiest 1% of americans, even though they don't need them and did not ask for them. >> we've always been at war with east asia. tax troubles at 1600 pennsylvania avenue if the pollster who briefs congressional democrats, same goldburg and steve hayes. >>> tea for two faces. senator demint, i have 13 cosponsors. happy veterans day, john sults, the head of vets is redeployed to iraq. he joins us. >>> time to impeach, supreme court court justice alito's jaw dropper. >> justice alito! >> you keep following me, you're going to get arrested. >> the justice complaining about too much politics in the state of the union headlines a funds raiser for a conservative magazine flanked by michael steele. >>> is this man starting his own prog

. >>> now the headaches continue to mount for the obama white house senior adviser david axelrod is denying a report that president obama is going to cave on extending the tax cuts for the wealthy. after saying he didn't want to trade away security for the middle class, meaning he may compromise on tax cuts for the rich, he now says, kwoetd, we're willing to discuss how we move forward. but we believe it's imperative to extend the tax cuts for the middle class and don't believe we can afford a permanent expansion of the tax cuts for the wealthy. that sounds good. but notice he says a permanent extension. which means they're definitely open to extending the tax cuts for the rich at least temporarily. we appear to be where we were before with the white house ready to compromise, or buckle, depending on your perspective. for more perspective, let's bring in michael scherer. he writes habit the white house grappling with a new reality. also joan walsh, the editor in chief at salon. michael, let me start with you. is it a compromise or a buckle? >> you can call it a buckle if you want, but it's

the huffington post said that david axelrod suggested that the president was caving on this now. if you read the actual story, he never says anything close to that in the story. the most important quote, i think, that white house aides are pointing to, they're trying to say, look, he's not caving. look at the last quote. but finally, we can't permane permanently extend the high income tax cuts. he says he's not giving in on the tax cuts for the rich, but the way i read it is different, which is -- the key word is that axelrod is saying we can't permanently extend these high income tax cuts basically. what does that mean? it means we can temporarily extend tax cuts for the rich. maybe a year, maybe two years, whatever it may be. so i think it didn't really move the ball that far. the president did that the day after the election. they're not reedy to cave, but they're getting closer. >> hey, ed, because you're on the phone we have a picture of you on the screen. let's put that up for a second again. a map with seoul and then your name and a picture. the picture looks like it was t