rhetoric certainly is getting sharper. and there are seven major candidates now but after seven more days, will some of those candidates start falling by the wayside on the campaign trail? that's coming up in our strategy session this hour. i'm wolf blitzer. you're in "the situation room." we're here in dubuque. a bit chilly but no snow. it's getting ready, a week from today, the iowa caucuses. you're looking at live pictures from dubuque. this will be the first state to have an impact on the 2012 presidential campaign, and it's all happening here in iowa. the republican caucuses candidate are out on the campaign trail today. they're scrambling to cover as much ground as they possibly can. newt gingrich slipping a bit, but still among the leaders. he's ready to roll across the state by bus. he'll join me live here in dubuque later this hour for an in-depth interview, but let's begin with cnn's jim acosta, he's in des moines, the state capital. iowa certainly very much up for grabs, jim, right now. >> reporter: that's right, wolf. forget about all of the complaints about the iowa caucuses. it is fitting that this race for the gop nomination is getting its start here in the hawkeye state. that's because it's not a bad reflection of the gop field overall. it is wide open. candidates, start your buses. with no snow on the ground in iowa, the state is now blanketed with gop contenders, selling their message. >> i want you to answer this question. why should you settle for anything less than an authentic conservative, who will fight for your views and values without an apology? >> reporter: and with a weekend counting to the caucuses, the latest polls show ron paul, mitt romney and newt gingrich all tied up, making it a wide open race. one potential spoiler in the field, rick santorum, boils it down about as good as any beltway pundit. >> this libertarian primary which ron paul is going to win, and then you got the moderate primary, which gingrich and romney are scrumming for and three folks who are running as strong conservatives. >> reporter: add up the support for santorum, perry and michele bachmann and you have another winning candidate. it's potentially down to the wire finish, something iowa republican party chairman matt straun hasn't seen in some time. >> it's a cycle this unpredictable and late in this process. >> you're not hyping this up to get everybody up and running. >> it's really that unsettled. >> reporter: and the escalating war of words between gingrich and romney. gingrich's campaign now refers to romney as moderate mitt, with the former massachusetts governor from 2002. >> that i'm not a partisan republican. i'm someone who is moderate and my views are progressive. >> reporter: romney is countering that with a new ad promising a conservative white house agenda. >> i'm going to do something to government. i'm going to make it simpler and smaller and smarter. >> reporter: that includes scrapping the president's health care law that's so similar to the one romney passed when he was governor of massachusetts. >> he said that he was going to put in place a new health care system that would tell us all what health care we could have. do you like that? >> no. >> reporter: there aren't any more debates before the iowa caucuses but four of the candidates, including gingrich, will be calling into a town hall on the radio tonight, the show will be hosted by a prominent social conservative in this state. one of the other participants, rick santorum is already setting expectations for the upcoming iowa caucuses, saying if he finishes dead last, he's packing his bags and heading home. wolf? >> let's not forget, jim, there are about 3 million people who live in this state but republicans are suggesting if 120,000 actually show up for the caucuses a week from today, that will be pretty good. it's a major commitment. they can't just go into a voting booth and spend four or five minutes there. they have to spend an hour or two or three, getting ready for this, so that undertakes a major commitment and requires organizational skills to get these folks out there. >> reporter: that's right. it requires a major ground operation, and some of these candidates simply don't have that at this point, and so it's going to be interesting to watch. when i was talking to matt straun, chairman of the iowan republican party, he was struck by the fact that really this is anybody's game in iowa, while the national polls show this as a race between newt gingrich and mitt romney. here in iowa you have a slate of six candidates starting at the top at ron paul, going down to rick santorum and michele bachmann who have the potential to take this thing at the last minute, wolf. >> all right, we're watching and waiting around. thanks very much for that, jim acosta in des moines. romney certainly has been taking heat for the health care law he signed as the massachusetts governor. no one's been more critical than newt gingrich, but gingrich once praised the romney plan. mary snow has been looking into this part of the story for us. mary, some new information coming out today. >> wolf, those words of praise are found in a newsletter written five years ago, put out by one of gingrich's organizations. his campaign, though, is pushing back on the notion it's an endorsement. the 2006 signing of massachusetts health care law is a moment republican presidential hopefuls won't let rival mitt romney forget. some equate it with what they call obama care but five years ago newt gingrich in a newsletter called it an "exciting development." "the wall street journal" dug up the 2006 newsletter from gingrich's organization, the center for health transformation. the newt note does raise concerns about the massachusetts plan, but goes on to say, "we agree entirely with governor romney and massachusetts legislators that our goal should be 100% insurance coverage for all americans." fast forward to 2011. here's gingrich taking aim at romney's health care plan at a cnn debate in october. >> your plan essentially is one more big government, bureaucratic, high cost system which candidly could not have been done by any other state because no other state had a medicaid program as lavish as yours and no other state got as much money from the federal government under the bush administration than this experiment. >> reporter: in contrast to the 2006 a campaign spokesman says "this is old news that has been covered already. newt previously supported a mandate for health insurance and changed his mind after seeing its effects. the real question is why mitt the massachusetts moderate won't admit that health insurance mandates don't work." just this may here is what gingrich had to say on "meet the press." >> we ought to have some requirement you have health insurance or post a bond. >> that is an individual mandate. >> that's a variation on it. >> reporter: political watchers say the comments underscore his long and complicated history with mandates but conservatives may not be so forgiving. >> he's the latest beneficiary of the attempts of cop servives dubious about romney to unify behind one candidate but his overall record provides plenty of reasons for conservatives to get off the bus and this coming out now just kind of reaffirms that basic dynamic. >> wolf, mitt romney also weighed in today to a campaign stop in new hampshire. he said he was aware, in his words, that gingrich supported mandates in the past and was generally supportive of the massachusetts plan and that he "changed his views" in the election year and comes as gingrich turns up the heat on romney, questioning his conservative credentials. wolf? >> the heat is getting turned up all around the state, on a lot of issues. thanks, mary, thanks very much. newt gingrich, by the way, will join me live in a few minutes here in dubuque, iowa. i'll ask him where he stands on health care, why he's apparently slipping a bit in the national polls and a whole lot more. newt gingrich coming up right here in "the situation room." meanwhile, while republican candidates are braving the cold here in iowa, and new hampshire, president obama's enjoying a family vacation in hawaii. his re-election campaign will also kick into high gear soon enough. let's go live to our white house correspondent brianna keilar, joining from us honolulu. bri briaa, the president and his campaign are confident it's working. what is the latest? >> reporter: they're confident it's gotten a toehold with voters, and the white house, the obama campaign to really continue pressing the message that he made earlier this month, and that is that he is the candidate fighting for the middle class and that he has cast republicans as wanting to do the same old thing, pushing for economic policies that led to the financial meltdown and the recession. that is how he framed his message. he will continue with that. of course he's really going to be campaigning in earnest once republicans have a single candidate, but of course, that could be some time, and so in that time, what you will expect from him in his political operation is some of what we've seen him do in the past, which is especially at fund-raisers, where he's in front of a bunch of supporters, where the political language comes out more to really target specific republican attacks, that his campaign fears could resonate with voters, and also some of the, for instance, assertions that they feel may leave some republican candidates vulnerable, for instance, what mitt romney had said in his criticism of how president obama dealt with the auto industry, but certainly sort of picking certain arguments that republicans are making and trying to counter those, wolf. >> brianna, all eyes certainly on the republican candidates in iowa. with the president on vacation, do we have a sort of game plan at least after january 1st, january 2nd, how much time he's going to be in washington, how much time he's going to be out on the road campaigning. are they giving you a little guidance on that front? >> reporter: we don't know specifically how much time he'll be out but we understand he will be continuing the travel he's done and the sort of "we can't wait" campaign he staged with executive order saying you can't wait for congress trying to push some of these objectives, sort of back up that message of fighting for the middle class and not waiting on congress and really doing everything that he humanly can possibly do, but i think right now, as he's laying low in washington he's kind of letting the political victory of extending the payroll tax cut resonate as the focus goes to iowa and he'll have big opportunities in the next couple of months, certainly to press his message, the state of the union is january 24th and the payroll tax cut extension, the temporary extension ends in the end of february so he'll continue to push that message that he felt and his advisers feel was very successful with the last go-round, wolf. >> yes, that state of the union address before a joint session of congress, the end of january, before prime time national audience, that will be a good opportunity for him to restate his case about laying new initiatives in the coming year. brianna, in honolulu, thanks very much. she may be in honolulu but we're in dubuque, iowa, the first stop for a newt gingrich bus tour on this day. he begins it. he'll join me this hour for a live in-depth interview. what happens after iowa? who might drop out? who might become more of a favorite? our strategy session and a whole lot more coming up right here in "the situation room." ] scooter? your father loves your new progresso rich & hearty steak burger soup. 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[ male announcer ] progresso. you gotta taste this soup. not quite knowing what the next phase was going to be, you know, because you been, you know, this is what you had been doing. you know, working, working, working, working, working, working. and now you're talking about, well you know, i won't be, and i get the chance to spend more time with my wife and my kids. it's my world. that's my world. ♪ nyquil tylenol: we are?ylenol. you know we're kinda like twins. nyquil (stuffy): yeah, we both relieve coughs, sneezing, aches, fevers. tylenol: and i relieve nasal congestion. nyquil (stuffy): overachiever. anncr vo: tylenol cold multi-symptom nighttime relieves nasal congestion... nyquil cold & flu doesn't. i'm live here in dubuque, iowa. let's take a look at the political landscape in iowa, one week, exactly one week before the iowa caucuses. the state is one of the most evenly divided in the nation, democrats, republicans and independents each make up about a third of all registered voters. barack obama won the state by more than 9% in 2008. george w. bush loss by less than 1% in 2000, won in 2004 by less than 1%. iowa voted for barack obama in 2008, after voting republican in 2004. newt gingrich is going to join me later this hour. we're live here as i've been pointing out in dubuque, iowa. just a few minutes from now he'll be here. joining us is the democratic strategist, hillary rosen, and the cnn contributor will cain. guys, thanks very much for coming in. i want you to listen to newt gingrich right now, he's getting a little bit more critical of mitt romney, even though he'll try to take the high road. i'll play this little clip and listen to this. >> the strongest thing i'll say about governor romney is that he is a massachusetts moderate trying to come down and pretend to be a conservative but i'm not going to say anything stronger than that. i'm going to focus on positive things and frankly actually i think that kind of says it all. >> will cain, is that a smart strategy on the part of newt gingrich, to avoid the kind of tough talk that he's certainly getting? >> yeah, when we say tough talk, normally we're talking about attacking someone going negative. i don't know on what grounds newt gingrich could attack mitt romney. he couldn't do it on character. if he tried to do it on substance for what, being a massachusetts moderate campaigning the health care mandate that he championed? he praised mitt romney's exact plan? i don't know what grounds he would go negative. i would say this also, wolf, this seems like it's a little off but' not. we spent a lot of time talking about the role of money in politics as though it's a negative. for conservatives, newt gingrich's rise has been befuddling and his star diminished the same time ad spinning has gone up in iowa. ads and money played a big role informing the public about newt gingrich and as such bringing his poll numbers down. >> hillary, democrats have had no trouble going negative against mitt romney. they have ads running, the dnc, they've been going after him for months >> there's a lot to go after mitt romney for, and you know, whether gingrich is a credible messenger for that doesn't really matter. what newt gingrich needs to do, if he wants to win this nomination is make mitt romney be less attractive to all of the mainstream republicans that are flocking to him, essentially so that gingrich doesn't get the nomination. you know, that's i think the challenge that republicans have here, is that they can think they've got a moderate in mitt romney and therefore may be a better candidate against president obama, but he's not going to be somebody that they can trust and that's their quandary and newt gingrich has to exploit that, otherwise he ends up with nothing as well. >> i wrote on my "situation room" blog there's no doubt mitt romney, newt gingrich, ron paul, they're headed to new hampshire no matter what happens here in iowa. jon huntsman he's already in new hampshire, he ain't going anywhere, but these three other candidates, rick perry, rick santorum, michele bachmann, are all three of them likely to go to new hampshire, all three of them likely to drop out after next tuesday? who has got another ticket from here to new hampshire? >> that's a tough call. they're in a tough spot. perry, bachmann, santorum, they have candidates you think would be tailor made for iowa, unrespective of the larger republican body. it's disproportionatly small and evangelical. you would think they could do well in iowa and if they can't do well there, where will they do well? essential will i what they would be sticking around for is to hope that another campaign, one of those top three you just talked about explodes. that's not a bad bet. that's happened several times but not necessarily a good bet. you're sticking around hoping something bad happens to somebody else. >> yeah, if you look at -- >> michele bachmann as you know, hilary, michele bachmann was born in iowa, represents the neighboring state, minnesota, her congressional district is there. santorum visited all 99 counties, he's basically lived here for the past several months and rick perry is spending a ton of money here. if they don't do well then presumably they're going to have to drop out. >> i'm going to bet that, you know, i'll go out on a limb here the two most likely to drop out are going to end up being rick perry and rick santorum for this reason. perry's not sort of a quixotic movement politician. he's a legitimate politician who reads tea leaves and he's financed by a lot of big money backers, not a huge number of small donors and those guys want a winner and they're going to move to mitt romney or newt gingrich after iowa, if rick perry doesn't have a good showing. bachmann and ron paul, both of those campaigns are funded by huge amounts of small donors, really rabid true believers. they can hold on for a while. there's not much as stake there. rick santorum may be in the middle. he's more of a mainstream politician. yes, he's one of the most extreme conservatives, but this is a guy who was a center, who has another career, has other stuff to do. my guess is going to be that rick santorum and rick perry are the best candidates to drop out after iowa. >> we'll see, another week to go. they could surprise us as well. will cain, hilary rosen, guys, thanks very much. please be sure to join us in the cnn election center for the first votes of the republican presidential contest a week from today, january 3rd, anything could still happen. our coverage of the iowa caucuses will begin at 7:00 p.m. eastern january 3rd. the last time the debt limit needed an increase the fight drove our nation to the brink of default. this time it should be a whole lot easier, but the number is still likely to worry some deficit hawks. and another unmanned drone runs into problems in afghanistan and forced to resort to desperate measures. stay with us. you're in "the situation room." ó we're only minutes away from my live interview with the former speaker newt gingrich, republican presidential candidate, we're here in dubuque, iowa. first lisa sylvester is monitoring other top stories in "the situation room" right now, sounds like deja vu to a lot of us. >> that's right, wolf. president barack obama plans to ask congress later this week to raise the nation's debt ceiling, according to a treasury department official. the request will move the ceiling to $16.39 trillion, but don't expect a huge fight this time around. its he at third of three debt increases authorized by the agreement last august. the new debt ceiling would put off the possibility of default until the end of 2012. the economy may be improving but too little too late for many sears and kmart employees. sears holdings plans to close at least 100 of the two retail stores. it blames the decision on a sharp drop in holiday sales. shares of the company fell by 19% after the announcement. the share price has been cut in half over the past year. and a new problem for the unmanned drone program of the military. a nato drone was forced to make an emergency landing in afghanistan. nato says it's because of a technical failure. the drone landed in paktia province. another surveillance crashed there earlier this month. iran considers this u.s. spying. coming up next, newt gingrich live with me, right here in iowa. my live one on one interview, that's next. an accident doesn't have to slow you down. with better car replacement, available only from liberty mutual insurance, if your car's totaled, we give you the money to buy a car that's one model-year newer... with 15,000 fewer miles on it. there's no other auto insurance product like it. better car replacement, available only from liberty mutual. it's a better policy that gets you a better car. call... or visit one of our local offices today, and we'll provide the coverage you need at the right price. liberty mutual auto insurance -- responsibility. what's your policy? coming from dubuque, iowa, my interview live with newt gingrich coming up this hour. here are some of the stories we're working on for our next hour here in "the situation room." it's mud-slinging season in iowa. many voters are tuned in to the republican race but turned off by the onslaught of ads. ron paul has many strengths as a politician, actually making legislation, though, in congress isn't necessarily one of them. and north koreans mourn their so-called dear leader but shedding tears for the cameras may not mean they'll miss kim jong-il for real. stand by. you're in "the situation room." newt gingrich is coming up in just a few moments but let's go to arwa damon in baghdad, first. she's getting new information on iran's apparently very growing influence in iraq, only days after all u.s. forces pulled out. arwa, what are you learning? >> reporter: that's right, wolf. there's a lot of concern about this, and many analysts had been warning that iran's influence here was only going to increase. naturally the two countries would have a relationship. the question is, what is the nature of that relationship and what's sort of a regional game is iran playing? in the holy shia city of car ba la, an hour's drive from baghdad you'll hear as much farsi as arabic, and the money changing hands is iranian reale as often as iraqi dinars. "it's like an iranian occupation" he jokes starkly. shia pilgrims from iran poured into iraq to visit shrines in car ba la, is amara and other cities. for local shopkeepers, business is booming but there's concern about iran's growing influence here. this jeweler, like other businessmen, has learned farsi in recent years. he says the u.s.-led invasion increased iran's power in iraq. "god willing in the future their political influence will decrease" he adds. iran's influence extends far beyond buying power. the shia dominated government could not have been formed without tehran's blessing and the two countries which once fought a bloody border war are now discussing more military cooperation, but u.s. officials say iranian-backed militia are now a powerful force inside iraq. several months ago this video was aired on an iranian backed tv network. it reports a militant group carrying out attacks on the u.s. military. it's one of three militia the u.s. says are backed by the iranian quds force, part of the revolutionary guard and playing a sinister role inside iraq. >> regardless of what they say, the majority of their victims have been iraqi, and asaba hawk maintained an active participation, they haven't gone out of their way to take credit for it and don't claim to be participating because at the same time they claim not to be attacking iraqis. >> reporter: iran is flexing its military muscle elsewhere as well, it's in the midst of naval war games close to the strategic strait of who are muse, about a fifth of the oil traded worldwide passes through these waters. the war games a clear warning to the west. iran's vice president says the country will close this vital ceiling if threatened. the islamic republic is displaying its power across the region. and wolf, none of these recent developments bode well when it comes to regional security. when it comes to the stability and of course is a great concern for the iraqi population and naturally for u.s. interests in the region as well. wolf? >> how serious is all the talk? i wrote about it on my blog yesterday, arwa, potentially down the road, if these trends, these very disturbing trends continue, not only civil war erupting in iraq, but sort of breaking up into a shiite, a sunni and a kurdish area. the entire public of iraq, in effect breaking up. >> reporter: very serious, wolf, and politicians are very blunt in acknowledging that especially sunni and kurdish politicians and some shia ones as well. there is this realization that the recent developments especially when it comes to politics with those accusations of terror against the sunni vice president being leveled by a shia prime minister, et cetera, that the government is becoming increasingly polarized along sectarian lines and people are greatly worried about this, as the deputy prime minister warns, if iraq continues on this trend it most certainly will end up being divided and that division is going to be an incredibly bloody battle, a price most iraqis do not want to have to pay. >> arwa damon on the scene for us, as she always is, in baghdad. arwa, we'll say very close touch with you. thank you from baghdad. let's go to the pentagon right now. pentagon correspondent barbara starr is getting new information on pakistan's response to the u.s. suggestions that there was a mistake in that nato air strike that killed 24 pakistani soldiers. so what is the latest on this front? because the stakes here in terms of u.s./pakistani relations, barbara, as you know, are enormous >> absolutely, wolf. relations between the two militaries as galatial as ever. pakistan issuing its own report, could not be at more odds with the pentagon. pakistan says that the u.s. and nato had to have known within 15 minutes of this fire fight erupting that they were firing on pakistani forces. pakistan says all channels of communication were open. pakistan is making an adamant case that the u.s. fired first on lightly armed pakistani forces on the border and that when pakistan tried to rescue its own men, that rescue team also was killed by this inadvertent u.s. air strike. pakistan saying they repeatedly told the u.s. and nato that pakistani forces were in the line of fire on the ground, and they feel very strongly in pakistan that the u.s. had to know. wolf? >> what is the u.s., the obama administration, the pentagon, the state department, the white house, what are they saying about pakistan's claims, which completely counter the official u.s. central command report? >> absolutely. you know, some u.s. officials are saying pakistan is taking no responsibility so far in their view for this confusion. we had a briefing about all of this a few days ago from a u.s. military investigator. he talked about confusion on both sides of the border, and now that we've seen the official u.s. report, a couple of key points from that, that we did not know prior to this. an ac-130 gunship, a u.s. military aircraft flew two miles into pakistan, so it could make an orbit, swing around, come back and fire against what it thought was insurgents. of course, turned out to be pakistani troops on the ground. the u.s. report also, now that we have seen it, talks adamantly about delays and confusion on the u.s. side. let's wrap this up by just reading to you one of the concluding remarks from the military investigation out of the u.s. military saying, "headquarters and individuals did not respond correctly, quickly enough, or with the sense of urgency or initiative required, given the gravity of the situation." really a very critical report all the way around, but now that we see both sides, very critical of the united states. pakistan could not disagree more adamantly. the next step, wolf, whether any u.s. owe nato officials will be held accountable. wolf? >> all right, we'll stay in close touch with you, barbara, thank you. coming up next my live interview with the republican presidential candidate, newt gingrich. we're here in dubuque, iowa. stay with us. you're in "the situation room." what is that? it's you! it's me? alright emma, i know it's not your favorite but it's time for your medicine, okay? you ready? one, two, three. 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[ female announcer ] to nurses everywhere, thank you, from johnson & johnson. he came charging back in the pack to become one of the leaders in the republican race for the white house. newt gingrich certainly slipped a little bit in the polls recently, but he's still among the front-runners. he's kicking off a bus tour in iowa on this day, we're here in dubuque. the former house speaker, the republican presidential hopeful, he's joining us live here in "the situation room." wherever we are, it's "the situation room." >> that's right. >> thank you for coming in here, mr. speaker. >> great to be here. >> talking politics a week before the iowa caucuses, nationally, i know you're not running nationally right now but in the gallup polls, the tracking polls, back in early december, gingrich 37, romney 22, ron paul 8%. now there are new numbers that came out today nationally, gingrich 25, romney 24, ron paul 11. you've gone down from 37 to 25. how do you explain that? >> i think there was an initial artificial burst when herman cain got out and people are resorting themselves but we're still -- none of us expected me to be in the top two at this point, let alone be the frb front-runner. >> you did. >> no, sir necessarily. not for another two months. >> the attack ads are having an impact. >> of course they are. >> i was watching tv, i don't know how much tv you watch in iowa but if you watch commercials they are hitting you hard. >> look, i think they will have spend $5 million, $6 million, $7 million, most of it false, and the amazing thing to me is we've held up as well as we have and i think now we're going to come back, this entire jobs and economic growth tour is designed to counter the negativity, and we always start out to be the top three or four. i think we're going to be in the top three or four. we could end up as number one. it's a very confusing field right now. >> it looks like you're lowering expectations a little bit. >> a little bit. >> which is understandable. >> let's talk about this not romney directly but a super pack, backed by his supporters. he points out he can't have any involvement. i'll play a clip for viewers who may not have seen it and we'll discuss it. >> barack obama's plan is working, destroy mitt romney, run against newt gingrich. newt has a ton of baggage. he was fined $300,000 for ethics violations and took $1.6 million from freddie mac before it caused the economic meltdown. he teamed with nancy pelosi and al gore on global warming. >> rrt, yall right you get the . tough ad, not from mitt romney but a super pack. >> this is what is false about american politics. that pack is run by his staff, paid for by his friends. >> but there can't be any coordination. that would be illegal. >> all he has to say publicly only run positive ads. >> that's not necessarily smart politics. >> it depends whether or not you think being negative and dishonest is good for the president of the united states. >> what is dishonest about the ad and we'll give you a chance to respond. he was fined $300,000 for ethics violations. >> i wasn't fined. i paid the cost of the investigation. the fact is, the u.s. court later said i was totally right. the sec said i was totally right and the irs said i was totally right. the $300,000 i paid was having had a lawyer draft a letter that was technically wrong. out of 84 charges, 83 were totally thrown out, one ended up being a letter written by a lawyer, so it's not a fine. i paid for the cost of the investigation. >> all right. >> let's go to the next one. >> he took $1.6 million from freddie mac before it helped cause the economic meltdown. >> first of all this would be like ascribing to romney all of the income of bain capital. he knows better. his staff knows better. the company was paid over a six-year period. the company had three offices in three different cities. my share of that was probably $35,000 a year. >> that's all? >> yes. >> out of 1.6 inlmillion? >> yes, really and he knows better because he's a businessman. if we were to ascribe the gross revenue of bain as his income, he would scream foul. secondly i only talked about fannie mae and freddie mac to the house in july of 2008 and told them to vote no on bailing them out. the only time i'm publicly talking about t i'm against giving them taxpayer money so that piece is fundamentally misleading. >> the next one, newt gingrich supports amnesty for illegal immigrants. >> i support residency as an option, without citizenship, for people who have been here 25 years, who have a family, and have an american family willing to sponsor them. now to jump from there to amnesty is a gross distortion, and it would be like my running an ad saying mitt romney wants to go out and track down every single illegal alien and forcibly kick them out of the country, even if he breaks up families. he would immediately scream foul. >> the other point, we know about this, he helped nancy pelosi and al gore on global warming. we remember the -- >> two things. dumbest single thing i've done in the last four years was doing an ad with nancy pelosi, but they then, none of the ads jump on to say i was for cap and trade. that's not true. you go to newt.org we have the video of me testifying in the house against cap and trade. i was the first witness after al gore. he was for it. i was against it. it would be nice if they got the facts straight. >> we're only getting started. wait until you hear some of the ads that ron paul are putting out here in iowa. we're going to continue our conversation with the republican presidential candidate, newt gingrich, here in dubuque, iowa, right after this. this new at&t 4g lte is fast. did you hear sam... ...got promoted to director? 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[ female announcer ] to nurses everywhere, thank you, from johnson & johnson. welcome back. we're here with republican presidential candidate newt gingrich. we're here in iowa. just wrapping up this one, are you going to attack them? are you going to fight back? because under the theory if you're slapped, you should slap back. you don't want to do that? i'm going to stay totally positive. the ads we put up are on jobs and economic growth, we'll create leadership, jobs and economic growth and i think the people of iowa have a great opportunity in the caucus to send a signal in the country that negative ads do not deserve getting votes. >> will you hold on to that if you will you hold to that if yo get the nomination? >> sure, all you have to do is tell the truth about president obama and it feels like a negative ad. we'll tell the truth. i'm happy to say he's the best food stamp president in american history. that's not an attack. that's a statement of fact. it's a little -- i mean, you have to distinguish between being allowed to have a factual debate and the kind of negative ads you were describing that are drowning the people of iowa. >> the story in the "wall street journal" this morning, gingrich applauded romney's health plan. the 2006 newsletter, from your consulting firm, company, under a section called newt notes wrote this. we agree entirely with governor romney and massachusetts legislatures that our goal should be 100% coverage for americans. massachusetts leaders are to be commended for this proposal to finding real solutions for creating a sustainable health system. >> very same time, heritage foundation said this is a very important experiment. >> in the early '90s. >> also at the time of the bill. they said there's a lot of useful things. >> so you liked the mandates -- >> then you watch ed it go to work. where romney and i are different is, i concluded it doesn't work. he still defends it. i think when you look at the cost, the degree to which they politicized health care, when you look at things like putting planned parenthood in a situation of decision, having the state pay for abortion, there are a lot of details of romneycare that are unacceptable. i've concluded that idea didn't work and i have shifted towards john goodman's patient power. romney's still defending the mandate he passed. >> in may, you seemed to still at that time, be supporting some form of mandates. >> notice the phrase here. i think it would be great to find a way to get every american covered. can you do that without a mandate? part of what john goodman does is create a pulse of you don't want to buy insurance, you're not compelled to. your share of the tax break would go into a charity pool. if something happens to you, the charity pool happens to you. there are ways to do it that you don't enfringe on constitutional freed freedom. >> this is ron paul's campaign and it's very tough on you. i'll play it. >> support for an individual mandate -- >> support for an individual mandate? folks, don't ask me to explain this. >> everything that gingrich railed against when he was in the house, he went the other way when he got paid to go the other way. he's demonstrating himself to be the essence of the washington insiders. >> it's about serial hypocrisy. >> that's what ron paul is accusing you of. and you're telling me and i've covered now and have known you for a long time. somebody says you're involved in serial hypocrisy and you're not going to fight back? >> first of all, as people get to know more about rob paul, who disowns ten years of his own letter, says he doesn't really realize what was in it, had no idea what he was making money on, that it was racist, antisemitic, called for the direction of israel, all this is a sudden shock to ron paul? there will come a morning people won't take him as a serious person. auditing the federal reserve, cleaning up the federal reserve and i think as a protest, he's a very reasonable candidate. as a potential president, a person who thinks the united states was reasonable for 9/11, a person who believes who wrote in his newsletter that the world trade center bombing in 1993 might have been a cia plot, the person who says it doesn't matter from the iranian have a nuclear weapon. you look at ron paul's record of systemic avoidance of reality, his ads are about as accurate as his newsletter. >> if he were to get the republican nomination, could you vote for him? >> no. >> could you vote for president obama? >> somebody just saying i don't care if israel's destroyed? i don't care if the iranian get a nuclear weapon? >> i'm not so sure he says israel destroyed. he doesn't think iran represents a threat to israel even if it had a nuclear bomb. >> what he says is that's a risk he's willing to take and he just had one of his former staff say flatly that he said over and over again that israel was a mistake. i think it's very difficult to see how you would engage in dealing with ron paul as a nominee. given the newsletters, which he has not yet disowned. he would have to go a long way to explain himself and i think it would be very difficult to see today. ron paul as the republican nominee. >> what would you do if the choice were ron paul or barack obama? >> i think barack obama is very destructionive to the future of the united states. i think ron paul's views are totally outside the mainstream of virtually every decent american. now, that's going to be very continue verversal, but i just suggest to people, read the newsletters. and ask yourself, this is a very serious question for the united states. a very serious question -- >> so, you don't accept this. only years later did he look at it. >> he's attacking me for serial hypocrisy and he spent ten years out of earning money off a newsletter that had his name that he didn't notice. he's got to come up with some very straight answers to get somebody to take him seriously. would i be willing to listen to him? sure. i think the choice of ron paul or barack obama would be a very bad choice for america. >> would you run as the third party candidate? >> it's not going to happen. he's not going to get the republican nomination. >> what if he did? he might win here in iowa. >> he's not going to get the nomination. it won't happen. the people in the united states are not going to accept somebody who thinks it's irrelevant if iran gets a nuclear weapon. i think that is a national security threat to the united states of the first order and i'm very willing to draw the line and say if you think it doesn't matter for the iranian to have a nuclear weapon, then ron paul's reasonable. if if you think they might use it on an american city, you better find a different candidate. >> on to virginia. let me take a quick break. we'll talk abt after this commercial break. we have questions from facebook, from twitter. a lot more for republican presidential candidate, newt gingrich, right here in "the situation room" right after this. a new belt. some nylons. and what girl wouldn't need new shoes? 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[ male announcer ] icy hot spray. relief that's icy to dull pain, hot to relax it away. and no mess. icy hot spray. don't mess around with pain. icy hot spray. -- captions by vitac -- www.vitac.com i'm wolf blitzer. we're here in "the situation room" reporting live from debuke, iowa. it's ground zero in the presidential campaign and only seven days, the iowa caucuses will take place, the first voting for the republican presidential nomination. we're join ed by the republican presidential candidate, newt gingrich. mr. speaker, thanks very much for coming in. let's talk about virginia. fz because a lot of folks are saying you couldn't even get on the ballot in virginia. here's a question from facebook from matthew. does missing the virginia deadline to get on the ballot and having similar issues related to lack of organization and fund raising ability mean that newt is unelectable? >> well, first of all, in virginia, the rules are very complicated and rick perry didn't make it. rick santorum didn't make it. michele bachmann didn't make it. the fact is, you end up and jon huntsman didn't make it. you ended up with two people. ron paul and mitt romney, both of whom had run before. both have been spent years on this project. they're the only two people that made it. i wish we had made it. we came very, very close to getting on the ballot. i wish they would allow write-in votes. every poll in virginia says i would win. >> you lived there for a long time. but what does it say? you've been a running since may -- >> this was a mistake. and we feel badly about it. i think it will be the only state that we're not on the ballot. we're going to be on ohio tomorrow, illinois early next week. >> do you have the national organization? >> we're getting it. if you remember, wolf, when i first started, everybody in the news media said i was dead, so we spent two months proving i wasn't dead, so we're about ten weeks behind where i'd like to be right now. but we have organization in every state and are rapidly catching up. we're raising money. we will raise almost as much money in the fourth quarter as john mccain did in 2007, which is an enormous increase from where we were in the summer. >> mitt romney made fun of you today. about the virginia snafu. i'll play the clip. >> you know, i think you compare that to -- pearl harbor. i think it's more like lucille ball at the chocolate factory. so you got to get it organized. >> he was referring to a statement that your campaign manager said that was like pearl harbor. you've learned from it and it's not going to happen again. but he's comparing you to lucille ball, you remember that scene. >> i have a very simple message for mitt romney. i'll meet him anywhere in iowa for 90 minutes, just the two of us, for a debate. i'd love to have him say that to my face. i'd like for him to have the courage to back up his negative ads. if he wants to prove he can debate barack obama, he ought to have the courage to stand on the same stage with me. he's buying millions of dollars in attack ads through a phony paid for by his millionaire friends. now, i'd like to have him have the courage to be on the same stage and defend his ads and explain his record of raising taxes. explain his record of paying for abortions through state money. explain his record of putting planned parenthood and frankly, explain why he wasn't a job creating governor. and his current plan is much weaker than mine. i'd like to debate the gingrich supply side versus the romney moderate plan, which is much weaker in job creation and i'm happy for him to have fun at a distance, but i'd like to invite him to spend 90 minutes debating face to face. >> there have been about a dozen detate baits. >> herman cain was willing to debate one-on-one. jon huntsman has debated one-on-one. mitt romney's the guy running the most ads attacking me and he's doing it through this oh, i don't control my former staff. it's balogna. show up in iowa, 90 minutes face to face. let the people decide whether or not he'll back up what he's saying and his moderate record as governor and i don't think he'll do it. >> you know, 24 hours from you, i'm going to be interviewing mitt romney. >> ask him why he won't debate me. >> i will. but is there anything you want to say to him? look into the camera and talk to -- he might be watching. >> he'll certainly see the video. all i'd say, mitt, is you want to run a negative campaign and attack people, at least be man enough to own it. there's your staff and that's your organization. those are your millionaire friends paying for it and let's be clear. i'm willing to fight for real job creation with a real reagan camp style job creation program. you are a moderate massachusetts republican who is very timid about job creation. let's get it on together and compare our two plans. >> i'll play that clip for him tomorrow. that's only fair. let's go through some substantive issues because you're causing a stir on a bunch of issues. on justices of the supreme court, you've made some controversial comments that if you disagree adamantly with some of their decisions, you wouldn't hesitate to subpoena these judges, bring them forward and basically ignore their decision. i asked our senior legal analyst, an authority on the u.s. supreme court as you probably know. i asked him whether or not you have a basis on which to speak and i'll play you the clip of what he said. >> the courts have the last word. you don't like it, you can change the constitution, you can have new justices on the supreme court, you can even impeach a federal judge, but you cannot haul them in and beat them up in front of a congressional committee. you cannot use the police to intimidate judges. that is something that is fundamentally against constitutional history. >> look, jeffrey's wrong on two counts. first of all, the courts are not the last word. the courts are one of three last words. the constitution's designed around a balance of power between the legislative, judicial and executive branch. there is no superior branch. >> but the decision of the supreme court stands. >> only in the case of the law. only in the case. lincoln says in his 1861 inaugural address, the dred scott case is not the law of the land and he says further more, you would e lem nate all if nine could decide. jefferson when asked if the supreme court was see preem over the president and the congress said, that is absurd. jeffrey had a look at the 54-page paper. alexander hamilton says the courts would never pick a fight with the legislature and executive because in fact, they would lose the fact. that implies something about relative strength. lastly, he said judges can be impeached. the first step towards impeachment is hearing testimony. the question i was asked was could congress compel testimony. by definition in an impeachment case, they can. >> i'm going to move on. i'll just read to you what mitt romney told "the wall street journal" on this. he said i think speaker gingrich said if he disagreed on an issue like gay marriage, he might decide not to carry it out. well, if that's the case for president gingrich, might that not be the case for president obama? >> and the test is a three-part test. there are dree branches. if the president and congress take on the court, the court loses. if the congress and court take on the president, the president loses. so, you have this constant balance of power written dl into our constitution. the specific case is -- this is george washington's commander in chief. the commander in chief was written into the constitution at a convention washington prosided over. the idea that a court would put american civil liberty into a battlefield to start setting the standard for dealing with enemy combatants would be -- to all the founding fathers and there is a classic kaz case where the president as commander in chief could say we're not going to enforce this decision. >> so, you're not backing away from anything you've said on judicial decisions. >> no, but i urge people to read the paper on newt.org. >> when i covered you when you were speaker, you worked closely with president clinton at the time and the two of you got a lot done together. what happened then that isn't happening right now? who's to blame for this? >> i think there's enough blame to go around for everybody. i've never seen a bigger mess than the congress and president passing a pathetic two-month tax extension at a time we need a job -- we need and economic growth and jobs plan because if europe gets in trouble this spring and we're not growing, you're going to see the whole world economy drug deeper into this deep recession. it's totally irresponsible for the president and congress to leave town and not do more than a two-month extension. part of the difference was that both clinton and i understood that we had a higher loyalty than partisanship. i was speaker of the house. >> you liked bill clinton. you used to come out of the west wing and you would be glowing. some of your republican colleagues aren't very happy. >> we were like two graduate students. we liked ideas, we liked talking, we liked books. but i also understood as president and speaker of the house, we were constitutional officers of the united states. we weren't just democrat and republican. my dad was a career soldier. we had a belief, we had a job to do and that job involved helping america and the result was together, we balanced the budget four times, we cut taxes, we brought unemployment down to 4.2%. we reformed welfare. people went back to work or school. child poverty was the lowest it ever achieved after welfare reform because we were doing things that made sense for america. the current spectacle of obama's total inability to lead and frankly, harry reid's partisanship as senate leader and the lack of coordination between speaker boehner, who has a very hard job. much harder than mine. and mitch mcconnell. that lack of coordination is a big deal. >> we're going to take one more break and wrap this up. we have some more questions to ask newt gingrich. right after this. [ female announcer ] the healing power of touch can be even more powerful, with precise pain relieving heat patch. it blocks pain signals for deep relief precisely where you need it most. precise. only from the makers of tylenol. we're back with republican presidential candidate newt gingrich. you saw the story that cnn reported yesterday on your first divorce, the discrepancy, what's in the documents that were released or given out yesterday as opposed to what was originally said that you initiated -- you actually filed for the divorce, but you said that your first wife asked for the divorce. i want you to clarify if you can. >> all i can tell you, jackie kushman is my daughter from my first marriage. she did all the work. she talked to her mother, to me. her article captures it and that's the most i'll say. >> and her basic point is -- >> when she sorted it out, she was comfortable it had been misreported and that we had worked things out in a way she felt comfortable with, that her mother felt comfortable with. again, i have great respect for her mother. did a great job of raising the two girls. i'm very close to both of them. callista have a very close relationship with them and our grandchildren. people need to look at that and make their own decision. >> they weren't providing money for the family -- >> they need to look at what ja jackie's written. there are a lot of things said in divorces that turn out not to be true and lawyers write lots of things in the middle of fights. >> one final question because it's so important to the country and me because i've been covering this war in iraq. knowing what you know right now, knowing what all of us know, including this tension that's developing in the aftermath of the u.s. withdrawal, was it smart for the u.s. to go in there and march at 2003 and launch in invasion and get rid of saddam hussein based on faulty intelligence? was it a blunder? if you knew then what you know now, would you have done it? >> first of all, you can look back and say based on all the intelligence. based on the intelligence agreed to by the russians, british, italians -- >> but it was fault. we're all smarter now than we were then. >> but you have the great advantage of looking back and saying gee -- >> with 20/20 hindsight, was this war smart or stupid? >> i think replacing saddam hussein was good for the world. this was a murderous, evil person who had done a lot of terrible things and had been involved in killing well over a million people. look at the cost of the iran-iraq war. and so i would say to you if you look at his use of chemical weapons against his own people, the degree to which he was trying to get nuclear weapons. remember, when you talk to people from the debriefing teams, most thought he had a nuclear weapons program. so, i mean, i think it's very hard to go back. >> he didn't have one. >> the big mistake i think was not hiring the iraqi -- i had written a paper in the summer of '02 that said get the rir ki regular army. get rid of the republican guard. have them police the cities. pull back as fast as you can and recognize the limits of power. brimmer made a different decision. this is not hindsight. in december 2003, i said in "meet the press" and newsweek, we have gone off a cliff. brimmer thought to fundamentally change iraqi society without the forces, toughness or understanding that would require and i think now, we are in a very dangerous environment where the iranian are gaining control in a way that could become very dangerous for all of us. >> i'm very worried about the situation. thanks very much. good luck out there on the campaign trail. appreciate it very much. we have a lot more news coming up. we'll dissect and digest what we just heard from the republican presidential candidate, newt gingrich. by the way, tomorrow, exactly at this tirnlgs i'll be speaking with mitt romney here in iowa as well. our coverage of all of this stuff continues in a moment. my name is jill strange, i'm forty-nine years-old, i love gardening, and i love volleyball. i've been taking osteo bi-flex for several years now. i really can't see myself not taking it. osteo bi-flex is a great product. i can go back and do gardening with comfort. 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[ male announcer ] osteo bi-flex. the #1 doctor and pharmacist recommended brand. welcome back. i'm here in iowa. one week before the leadoff presidential contest. newt gingrich, ron paul and mitt romney. they are clearly the front-runners right now, but the results next tuesday, one week from today, could change a lot of that. possibly persuade some second tier candidates to call it quits. i just finished speaking with newt gingrich. he let loose with some very, very tough criticism of ron paul despite his earlier vow he was going to stay positive. listen. >> first of all, people get to know more about ron paul, he disowns ten years of his own newsletter, said he didn't really realize what was in it, had no idea that it was racist, antesemitic, called for the destruction of israel, all is a sudden shock? there will come a morning people won't take him as a serious person. as a potential president, the person who thinks the united states was responsible for 9/11. a person who wrote in his newsletter than the world trade center bombing in 9193 might have been a cia plot. i'd rather just say you look at ron paul's total record of systemic avoidance of reality and his newsletters and then look at his ads. they are about as accurate as his newsletters. >> if he were to get the nomination -- >> he won't. >> could you vote for him? >> no. >> there you heard it. newt gingrich saying he could not vote for ron paul if he got the republican presidential nomination. let's assess what we just heard. joining us now, the democratic strategist, jonathan prince, he worked in the clinton white house. also worked for president obama. also, david frum, a special assistant to president george w. bush. david, first to you. i think he's the first republican candidate to flatly say if ron paul were to get the republican nomination, we would not be able to vote for him. >> the key part was no, ron paul is not going to get the republican nomination. the republican party is a party of strong national defense. it is an antiracist party. a party of inclusion. it's a party that does stand for decent social safety net and it's a party that has made contact with the changes in economic thinking over the past 150 years, so somebody who wants to take us back to the banking system obtained by the civil war, no, that person is not going to get the nomination for president. although it may make for a fun night in iowa. >> but it certainly, jonathan, i don't know if you're familiar with the ron paul supporters out there, they are very, very devoted. they're very articulate. they work really, really hard. this is going to antagonize a lot of them. it took guts, i think you'll agree, for newt gingrich to come out as strongly and as adamantly against ron paul as he just did. >> sure, look, anytime you're in a competitive contest on one side of the al or the other and you're willing to say i'm not going to support somebody, it takes guts. but i'm in violent agreement here with speaker gingrich and david. ron paul's not going to win the nomination, ought not to win and is not going to be president of the united states. this is a guy who is not only -- that comes from the kind of well of ignorance and fear, which is bad enough. this is a guy who was racist by design. malice and knowledge aforethought. this is not good thought. a lot of his supporters -- are not really aware of that stuff. they're for legalizing drugs and he picked up some young support. they don't know the kind of things he's dealt with in the past. >> all right, jonathan, david, guys, stand by for a moment. there's a lot more to assess. a lot more news if you want to run a negative campaign and attack people, at least be man enough to own it. that's your staff and that's your organization. those are your millionaire friends paying for it and let's be clear. i'm willing to fight for real job creation with a real reagan kemp style job creation program. you are a moderate massachusetts republican who in fact is very timid about job creation. let's get it on together and compare our two plans. >> newt gingrich challenging mitt romney to a debate. he looked into the camera and uttered those words. he also got irritated with mitt romney when i pointed out that romney was making fun of him today for failing to get his name on the virginia republican ballot. let's bring back david frum and jonathan prince. he real is trying to stay above it with mitt romney. really blasted ron paul, but you saw that irritation and he began to let loose to a certain degree, although he didn't go as far as he did with ron paul. when it came to mitt romney. >> well, this virginia matter does coales and you can see why it makes him uncomfortable. the question about newt gingrich is is he good with running things. we know mitt romney is very good at running things. speaker of the house newt gingrich was not a very effective executive. in fact, he was eased out of the powers of the speakership well before he lost the formal job. there are a lot of concerns among republicans in washington that newt gingrich's managerial ability. when gingrich says i'll respond to that lucy joke by offering to debate, he doesn't solve his problem. we all know newt gingrich is very good at words. it doesn't answer the question that romney inserted, can newt gingrich run things. the presidency is an executive job. >> and you know, he also says repeatedly that if he does get the republican nomination, he's going to follow president obama out there on the campaign trail and four hours after the president appears some place, he'll be there challenging him to a one-on-one debate with no moderator and all this even though there are regularly scheduled debates. is that going to work if he were to get the republican nomination? >> it's a funny little thing for him to suggest. i think david raised a question point. that one of speaker gingrich's problems is his lack of management skills. but the other thing is while it's true and he gets some credit for this wide ranging intellectual appetite, it's also led him to so many different positions from a policy peck perspective. when he's debating president obama, having the consistency of president obama's positions is going to come there. governor romney was for romneycare before he became obamacare and speaker gingrich was for romneycare before he was against it, too. these guys like you know, to bring to life some john kerry's famous lines in a particularly -- entertaining way for us democrats. >> well, what did you make, david, of his explanation why at one point like the e heritage foundation, he supported health care mandates, but eventually came around to see they're not useful. what do you make of his explanation? >> newt gingrich does not just stand for health care mandates. he had in the middle 2000s, sophisticated set of ideas that were similar to mitt romney's. the heritage foundation explanation of how they changed their mind is almost laughably unconvin unconvincing. if you go back to the op-eds, they never stipulated, they had it right the first time. this was a good, sound, republican alternative to single pay, government controlled. this is how we were going to build a private system of universal coverage and romney and gingrich got it right the first time. one of the things that is interesting about gingrich and you see that in the way he answers you. in a way, he frightens people unduly. in his content, gingrich has been very much in the mainstream kind of conservative. he has been somebody who has advocated a lot of the inclusive ideas that romney's advocated. he speaks in a more veement way. >> but jonathan, you remember because i covered you during the clinton white house and you heard what gingrich said about his relationship with bill clinton. even though they had differences, they worked together and got some stuff done for the country, so he's fully capable of work wg the other party. >> but that's the thing about newt gingrich, wolf. and you know this as well. he works together well with you until he feels he can't for some other piece of political gain or because his egogets wounded. before he goes off the wrong end of air force one, and he's also the guy who has the remarkable -- to be carrying on an affair -- he's a guy as others have said, has these wide ranging appetites of politics and policy, but that lead him off into lots of different directions that aren't consistent and can be very dangerous in their predictability and randomness. >> thanks very much for helping us assess what's going on here in iowa. the republican battle here in iowa certainly playing out on tv screens across the state right now. we're taking a closer look at the ad wars. whether all the money being spent is paying off. and ron paul's actual record in congress as a maverick and loner. stay with us here in "the situation room." what's going on? 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here in iowa, the air waive v waves are flooded with presidential campaign commercials. i've had a chance to watch some earlier in the day. local television, a tsunami for a political spots. we want to zero in on some of those ads. the costs, their messages. let's bring in joe johns. he's in the iowa state capital of des moines. you can't turn on the tv here without seeing a lot of campaign commercials. a lot of them very negative. >> that's true, wolf. this has been an unusual year for campaign ads here in iowa. it got off to a slow start. now, the voters have been subjected to the usual barrage that is being helped along by an infusion of cash from the so-called super political action committees. campaign ads have flooded the air ves in iowa this month. almost $8 million worth so far by cnn's estimate. >> it was late starting, but all the campaigns are heavily engaged at the highest levels now. >> the rick perry campaign has spent a fortune on ads. almost $2 million. perry has tried to tell his own story while reaching out to social conservatives and evangelical voters. he's attacked ron paul, newt gingrich, michele bachmann and rick santorum in the same ad. >> spent 63 years in congress leaving us with debt, earmarks and bailouts. >> meanwhile, a committee called make ut great again, not connected to perry, has kicked in another $1.4 million in ad buys. mitt romney has a similar story. his campaign has spent three quarters of a million dollars on ads. >> i've been married to the same woman -- >> but the pro romney super pack has kicked in over a million bucks to land spots hammering gingrich. their latest suggesting that president obama would like to run against the former speaker because gingrich has baggage. >> why is this man smiling? because his plan the working. brutally attack mitt romney and hope newt gingrich is his opponent. >> and third, ron paul, who is tied for the lead. he's run five ads in iowa since the end of november. >> ron paul. do it. >> the paul campaign was the first to run an attack ad this cycle, sinking gingrich for his position switches. >> serious question, seriousness. >> one of the candidates who has not been able to compete is gingrich, who says his fate in the polls is because he's getting hammered on tv. he has tried to claim the high ground, but the fact is he hasn't had the money to play dirty in the tv ad wars. >> newt gingrich wasn't able to raise money and combine his rise in the polls with a rise in fund raising to be able to pay for political advertising and a ground game in iowa. it's not very complicated. usually the main reason why someone's not airing political advertising, they don't have enough money. >> and today, we heard tra the newt gingrich super pack is going up with an ad of its is own starting tomorrow, running through january 2nd. it's a clever push back on romney, warning conservatives not to let the liberal establishment pick the candidate. wolf? >> and joe, i just want to get your reaction to what we just heard from newt gingrich. he said flatly that if ron paul were to get the republican presidential nomination, he would not be able to vote for ron paul. how's that going to play here in this state? >> it's going to be very interesting to see how it plays because you know, there is a certain element here that buys into the libertarian views of ron paul, but there are also a lot of republicans as you know, who are very concerned about picking an electable candidate to stand up against barack obama in november. so, that's something that the voters in the caucuses are going to have to weigh and there are a lot of people who don't like the idea of republicans getting into vicious battles with very rough words, wolf. >> joe johns is in des moines. he's going to be here in iowa for the remainder, this week, one week from today, the iowa caucuses. joe, thanks very much cht. let's continue our coverage of ron paul. he's one of the front-runners in iowa. he is breaking from the pack, taking a day off from the campaign trial to a certain degree. the texas congressman is known for being unconventional both politically and personally. dana bash has been talking to some of ron paul's colleagues on capitol hill. tell ourl viewers what you're learning. >> we know what ron paul's house colleagues tell me, wolf, fits in with my own observation is that he's pretty much a loner. when house republicans get together for their regular meetings, paul doesn't show up. i was asking one lawmaker today if they had even heard paul speak, they said, speak, he's never there. i'm told he tends to show up, ask questions of the witnesses, then leave. no chitchat, back slapping or hanging out in the republican cloak room. now, i can tell you as reporter, when i'm trying to get the mood of the caucus or figure out which way a piece of legislature may go, the last person i or my team would ask the ron paul. he's not involved, connected this way, to house republicans. for sources, they say this is important. don't mistake the fact that paul doesn't have many friends that he isn't liked. he keeps to himself. he only has a few other sort of close friends, like minded, antiwar republicans, wolf. >> what about his legislative record? three stints in congress, on and off since the '70s. i should point ou. you've look ed at that. >> right. gennari, no surprise, as you've been talking about with newt gingrich, his views are out of the main treem when it comes to the republican party and congress. so most of the legislation he proposes doesn't get much traction. now, "the washington post" delved into his record. that he sponsored 620 measures throughout his history. only four got votes on the house floor and only one became law. now, this year alone, paul sponsored 47 bills. most had no cosponsors and the bill that got the most, nearly 200, was one about the federal reserve, asking for an audit. it seems there are a couple of reasons for this. one, because his views are out of line with many republicans, but also because of his personality. the art of legislating is reaching out and finding enough allies. it's also about compromising. ron paul doesn't tend to do either. >> that's certainly true, but he's doing really, really well here in aiea and some of the other states as well. so we'll continue to watch him. newt gingrich saying he could not vote for ron paul if he were to get the nomination. we'll see what the other candidates have to say about this. i'll be interviewing mitt romney tomorrow. i'll ask him the same question. also, a new move by president obama isn't likely to sit well with ron paul. tomorrow, the president will name his choices to fill two vacancies on the seven-member federal reserve board. we're told he will nominate g m jeremy stein and also jerome powell, a treasury department official in the 1990s. we're here in iowa, the republican presidential candidates' ties to non-profit groups also coming under fire. just ahead, why some say it could be a dangerous slope in the battle for the white house. for those of us with lactose intolerance... lactaid® milk. the original 100% lactose-free milk. can be even more powerful, with precise pain relieving heat patch. it blocks pain signals for deep relief precisely where you need it most. precise. only from the makers of tylenol. it's crunch time here in iowa. some of the candidates have found a way to spread their messages to voters without the scrutiny of the federal election commission. let's bring back lisa sylvester taking a look at the role of non-profit organizations in this presidential campaign. what's going on here, lisa? >> the u.s. supreme court case citizens united allowed for political spending, that also applied to non-profits. now, we're seeing a number of 501 c4s and can't back a specific candidate, but the non-profit can promote the candidate's but but with one major advantage. the campaign for liberty advocates a cut in government spending, shutting down the irs. sound familiar ? it mirror it is platform of ron paul, who is now the gop front-runner in iowa. the non-profit has paign in been hard at work strumming up ground support for his ideas in the hawk eye state. it's also what the irs called a 501 support group, which is tax exception and able to raise an unlimited amount of donations. >> that term has been stretched in the political world. basically, we're talking about political around for a while, advocating issues, examples, the nra and sierra club. a new crop of 501c-4s promotes ideas of candidates, priorities usa taughts policies of president obama, crossroads gps started by former president bush advisor karl rove. its goal, whipping democrats with ads like this one, targeting senator ben nelson. that critical 60th vote, ben nelson. the key, nonprofits unlike political action committees don't have to disclose their donor lists. democracy 21, a nonpartisan open government watchdog group, has written letters to the irs, arguing for nonprofits, crossroads gps, american action network, americans elect and priorities usa, should have their status revokes. >> a number of these organizations are claiming tax exefrm status and they are ripping off the tax code for the purpose of raising secret money and spending it in our elections. >> reporter: we contacted the groups. they all say they follow the law. priorities usa saying, quote, our organization operates in compliance with all federal rules and regulations enforced by the irs. a spokesman for crossroads gps dismissing democracy 21's complaint saying, it wants the irs to overturn 200 years of worth of campaign finance laws and precedence, and no one is listening. for fred with democracy 21 says political nonprofits are a slippery slope. >> we're having secret money, unlimited money, being raised and spent in federal elections. secret money, unlimited money is the most dangerous kind of money in our politics. it has led to corruption and scandals before and it will do so again. >> reporter: these nonprofit groups can be very influential. crossroads gps announced it was spending $500,000 in ads in senator ben nelson's home state convinces him not to run for re-election. we don't if there's a cause and effect here, but today nelson announced his retirement. wolf? >> may be. good report. mass chaos erupting at the mall of america sending scores of afterchristmas shoppers running for cover. just ahead, what police say triggered a series of spontaneous brawls all over the building. [ nadine ] buzzzz, bzzzz, bzzzz, bzzzz, you know, typical alarm clock. i am so glad to get rid of it. just to be able to wake up in the morning on your own. that's a big accomplishment to me. i don know how much money i need. but i know that whatever i have that's what i'm going to live within. ♪ ♪ xnió will be giving away passafree copies of the alcoholism & addiction cure. to get yours, go to ssagesmalibubook.com. lisa's back. she's got new information on the devastating christmas house fire that killed three children, two grandparents. what are we learning? >> tragic story, wolf. just a short while ago we learned officials now say smo smoelsmoe smoelerring embers in the million dollar home may have caused that blaze. cnn has obtained desperate 911 calls from neighbors reporting the fire. listen to this -- >> what's at dress of the emergency? >> i got cut off. i was calling about a major, major fire with people in the house. >> we have the fire department on the way, ma'am. >> please, come quickly. >> all that's left of the charred structure is the mailbox. the rest of it was torn down yesterday, after the city declared it unsaved. police are made at least nine arrests following the mass chaos that erupted at minnesota's mall of america. yesterday's brawls reportedly broke out in different parts of the building all around the same time. some witnesses speculated the incidents may have been triggered by rumors two famous rap stars were visiting the mall. no serious injuries reported. a history making moment for new orleans saint quarterback drew brees who became the nfl's newest single-season passing leader at last night's game against the atlanta falcons. it's a title held by football legend dan marino since 1984. the new orleans superdome exploded in spontaneous celebration. look at them celebrating there the saints went on to beat the falcons 45-16. congratulations to drew brees. wolf? >> drew brees, a great quarterback indeed. congratulations to him and the saints. the videos that apparently you watched the most this year. here's cnn's jeanne moos. >> reporter: the thing about youtube videos is that some you get -- >> da, da, da, da, da. >> reporter: and some seem like giv jibberish. in the top ten most viewed videos the number five spot went to an annoying cat. the number ten spot went to a very adorable cat. a mother cat hugging its kitten while the two of them take a cat nap. number nine video was volkswagen's super bowl commercial called "the force." number eight was cute 11-year-old canadian singing lady gaga's hit ♪ baby you were born this way ♪ ♪ >> reporter: she was impressed and invited maria to sing a due net concert. ♪ >> reporter: number seven a dance comedy video. youtube is the place if you want people to -- ♪ forget me now >> reporter: at least 56 million people looked at the twin talking babies who seem to understand each other perfectly. adults enjoyed adding subtitles and nominating them for best foreign language film. comedy music videos were popular. and we might as well acknowledge that the number one video that got over 180 million views ♪ it's friday, friday >> reporter: okay, that's enough acknowledgemt. but it's the video that came in at number two that's number one in my heart. since it's my story, that's the one we're going to concentrate on. >> you know what the meat drawer is, right? >> yes. what was in there? >> reporter: there's something riveting about the talking dog being teased. >> you know that bacon that's like maple? it's got maple flavor. >> the maple kind, yeah. >> yeah. >> i took that out and i thought, i know who would like that. me. so i ate it. >> ah! >> looks like he's getting his hopes up and they're dashed and he gets his hopes up and they're dashed again. >> reporter: former ad agency guy andrew makes a living creating and voicing talking animals. people submit