With the economy on the downturn, and retired and older

citizens and workers losing their incomes, what's the fastest, most

positive solution...

Senator McCain?

Senator, we have one minute for a discussion here.

Obviously, the powers of the Treasury secretary have been greatly

expanded, the most...

(Chuckles.) (Inaudible.) With good reason.

(Laughter.)

Yup. All right.

Senator McCain -- Senator Obama, who do you have in mind for a

Treasury secretary?

Senator Obama, thank you very much.

May I remind both of you, if I can, that we're operating under

rules that you signed off on, and when...

Well, thank you, Oliver.

And that's an excellent question because, as you just described

it, "bailout" when I believe that it's "rescue."...

Well, Oliver, first let me tell you what's in the

rescue package for you.

Right now, the credit markets are frozen up. And what that means

as...

No. I am confident about the American economy, but

we are going to have to have some leadership from Washington that not

only sets out much...

I think it depends on what we do.

I think if we act effectively -- if we stabilize the housing

market, which I believe we can if we go out...

And they are the innocent bystanders here in what

is the biggest financial crisis and challenge of our time. We can do

it.

How can we trust either of you with our money when both

parties got us into this global economic crisis?

Senator McCain.

Senator --

We've run out of time. We have this one-minute

discussion period going on here.

There are new economic realities out there, that everyone...

Senator McCain.

The three, health -- health care, energy, and

entitlement reform -- Social Security and Medicare. In what order

will you put them in terms...

I'm trying to play by the rules that you all

established: one minute for discussion.

Senator Obama, if you would, give us your list of priorities.

There...

All right. Gentlemen, I want to just remind you one

more time about time.

We're going to have a larger deficit than the

federal government does if we don't get this under control here before

too long. (Laughter.)

We...

Senator McCain, thank you very much.

Senator Obama?

Senator Obama, as we begin very quickly our

discussion period, President Bush, you'll remember last summer said

that Wall Street got drunk....

Senator McCain.

Senator Obama, we have another question from the

Internet.

Well, look, guys, the rules --

-- were established by the two campaigns. We worked

very hard on this.

This will address, I think, the next question --

(Laughs.) There are lots of issues that we're going

to be dealing with here tonight.

And we have a question from Langdon (sp) in Ballston

Spa, New York, and that's about huge unfunded obligations for Social

Security, Medicare...

Senator McCain, two years for reform of entitlement

programs?

And Medicare.

Senator McCain, thank you very much.

I'm going to stick by my part of the pact and not ask a follow-up

here.

The next question does come from the hall for

Senator McCain.

It comes from Section C over here and it's from

Ingrid Jackson. Ingrid?

Well, thank you.

Look, we are in tough economic times. We all know that. And

let's keep -- never forget the struggle that Americans are...

This is one of the biggest challenges of our times,

and it is absolutely critical that we understand this is not just a

challenge, it's...

(Laughs.)

All right.

Tell you what --

Tell you what --

Tell you what, Tom: wave -- wave like that way and

I'll look at you.

Okay.

Sure.

Sure.

I think pure research and development investment on

the part of the -- of the United States government is certainly

appropriate. I think...

Senator, selling health care coverage in America as a

marketable commodity has become a very profitable industry. Do you

believe health...

Senator McCain?

Quick discussion: Is health care in America a

privilege, a right, or a responsibility? Senator McCain.

Well, why don't -- why don't -- let's talk about

this, Tom, because there -- there was just a lot of stuff out there

that --

Well, I think it should be a right for every

American. In a country as wealthy as ours, for us to have people who

are going bankrupt because...

-- what happens is, is that the protections you

have, the consumer protections that you need, you're not going to have

available to you....

Before we leave that, did we hear the size of the

fine? (Chuckles.)

Yes, Senator McCain. How will all the recent economic

stress affect our nation's ability to act as a peacemaker in the

world?

Senator Obama, the economic constraints on U.S.

military action around the world.

Senator Obama, let me ask you -- see if we can

establish tonight the Obama doctrine and the McCain doctrine for the

use of United States...

Senator McCain, the McCain doctrine, if you will.

Senator McCain, thank you very much.

Next question for Senator Obama. It comes from the F Section,

and it's from Katie Hamm. Katie?

Well, Katie, it's a terrific question.

And we have a difficult situation in Pakistan. I believe that

part of the reason we have a difficult...

Well, Katie, thank you.

You know, my hero is a guy named Teddy Roosevelt. Teddy

Roosevelt used to say, walk softly -- talk softly but carry...

Senator McCain --

If we're going to have follow-ups, then I will want

follow-ups as well.

Be fine with me.

Be fine with me.

All right, let's have a follow-up.

Just a quick follow-up, because I think this is

important.

I'm just the hired help here, so, I mean --

(laughter).

Thank you very much. (Laughs.)

Tom, if -- if we're going to go back and forth, I

then -- I'd like to have equal time to go -- to respond to --

-- to -- to this.

I mean, not true. Not true. I have obviously

supported those efforts that the United States had to go in

militarily, and I have opposed...

I'll be very brief.

We are going to have to make the Iraqi government start taking

more responsibility, withdraw our troops in a responsible...

General Petraeus has just taken over a position of

responsibility, where he has the command and will really set the tone

for the strategy...

First of all, may I say I don't think -- we're not

going to have another Cold War with -- with Russia. But have no doubt

that Russia's behavior...

It will not be a reignition of the Cold War, but

Russia is a challenge.

Well, the resurgence of Russia is one of the central

issues that we're going to have to deal with in the next presidency.

And for the most...

I think they've engaged in evil behavior, and I

think that it is important that we understand they're not the old

Soviet Union, but they...

Maybe. (Laughter.)

Depends on how we respond to Russia and depends on

a lot of things. If I say yes, then that means that we're reigniting

the old Cold War....

Senator, as a retired Navy chief, my thoughts are often

with those who serve our country. I know both candidates -- both of

you expressed...

Senator Obama.

All right. Gentlemen, we've come to the last

question, and you'll both be interested to know -- this comes from the

Internet and it's from...

Senator McCain, you get the last word. Senator

Obama had the opening. You're last up.

Thank you very much, Senator McCain.

That concludes tonight's debate from here in Nashville. We want

to thank our hosts here at Belmont...