Time Magazine's Jay Carney: News of the week

Jay Carney is a panelist on CNN's Take 5. He has been covering politics for Time Magazine since 1993

CNN: Good afternoon Jay Carney. Welcome all to Take 5 Chat.

CARNEY: Hello chat audience!

CNN: President Bush is considering the issue of federal funding for stem cell research. Who are his advisors on this issue? Who is he listening to?

CARNEY: He has several principal advisors on this issue, and they disagree, which is a problem for the president. First, there is Tommy Thompson, the Secretary of Health and Human Services. Thompson is the former governor of Wisconsin, where stem cells were discovered. Thompson is a relatively conservative Republican, but he strongly supports stem cell research. Karl Rove, the president's chief political advisor, is telling the president that he could suffer severe political damage among Catholics and evangelicals if he says yes to federal funding for stem cell research.

RESOURCES Message Board: The political spectrum

CNN: What's going to happen to campaign finance reform now that it's stalled in the House?

CARNEY: It's not dead yet. There is some hope among reform supporters that they can bring what's called a "discharge petition" to force a vote next week in the House. But if reform is dead, you can bet John McCain won't let anyone forget about it. It could cause him to consider breaking from the Republican party.

CHAT PARTICIPANT: Will campaign finance reform prevent financially-restricted candidates from running?

CARNEY: Not necessarily. It would mean they would have to work harder getting smaller donors, and would rely less on soft money from the parties.

CHAT PARTICIPANT: Are not financially deprived individuals already restricted from running for office since they can't compete with the hundreds of thousands and even multi-millions spent on elections these days?

CARNEY: House races do not necessarily cost multi-millions, but there is no doubt that raising money has become obscenely onerous, and certainly in the Senate, the cost automatically gives a financial advantage to wealthy candidates willing to pay their way.

CHAT PARTICIPANT: Are the right wingers going to seek some type of revenge against Senator McCain?

CARNEY: In Arizona, they've launched a recall petition that will almost certainly fail. And if he were to decide to run for president as an Independent, his opponents would attack him from all sides.

CHAT PARTICIPANT: How many moderate Republicans will face primary battles in the next election from conservatives?

CARNEY: I don't know how many, but there will be some. There always are. But the GOP leadership cannot afford any losses in the House or the Senate, so they will likely discourage intra-party challenges.

CHAT PARTICIPANT: How might the expected retirement of Jesse Helms impact the seats?

CARNEY: North Carolina is a pretty evenly-divided state. That seat will be hotly contested, and could easily decide who controls the Senate.

CHAT PARTICIPANT: What do you think is going to happen at the Bonn meeting next week on the Kyoto treaty?

CARNEY: I'm not sure. Kyoto is dead unless Bush changes his mind. And I doubt he will.

CHAT PARTICIPANT: Clinton and Gore have both won awards in the last week or so. Why hasn't this been given more play?

CARNEY: Former presidents and vice presidents are given awards like candy. Unless it were a major award, like the Nobel Peace Prize, I don't think it's news.

CHAT PARTICIPANT: Do you think the Olympic Games will be a step towards a "Chinese democracy" or a step towards Chinese crackdown?

CARNEY: Tough question. Tough issue. I think the more China is exposed to democratic institutions like a free press, the better. So, the Olympics will be good. But I can also understand why people hate the idea of rewarding such an anachronistic and oppressive regime.

CHAT PARTICIPANT: Are the Olympics really such a reward? It costs the hosting country a pretty penny.

CARNEY: In terms of prestige and validation for a country like China, the Olympics are worth virtually any price.

CHAT PARTICIPANT: The European Union recently stopped a big company fusion between GE and Honeywell, after it was granted in the U.S. Do you think U.S. will respond and not allow a European company to "fuse" with an American company?

CARNEY: I do not think the Bush administration wants a trade war. So, my guess is there will not be tit for tat retribution.

CNN: Is Congress ready to expand Medicare benefits?

CARNEY: Absolutely. The problem is where the money comes from. This will be a big fight in the fall.

CNN: Do you have any final thoughts for us today?

CARNEY: This is actually a surprisingly busy summer in Washington, legislatively. But unfortunately, most of America doesn't know about it, thanks to Chandra Levy and Gary Condit. Thanks for your serious questions.

CNN: Thank you for joining us today, Jay Carney.

CARNEY: Goodbye, everybody. Thanks very much.

Jay Carney joined CNN.com Newsroom via telephone from Washington, D.C. The above is an edited transcript of the interview on Friday, July 13, 2001.