This is the ad that they ran.

(BEGIN VIDEO CLIP, THE AGENDA PROJECT)

GRAPHIC: More than half of Americans on Medicare live on less than $28,000 a year. Now, Republicans want to privatize Medicare.

(END VIDEO CLIP)

HANNITY: Poor grandma got thrown over the cliff.

I imagine that the next ad is going to be Governor Romney throwing grandma over the cliff.

This is a serious point, though. This is their campaign strategy. Governor, how are you going to deal with that?

ROMNEY: Well, I think it's time for the truth. I think the American people recognize that we have important challenges, and that we're going to have to have someone who will speak about those challenges in an honest and adult way.

This kind of incendiary effort on the part of the Obama team, I just don't think will connect with the American people. It will fire up their base.

But the people who will be deciding, those people who voted for President Obama last time, but are not certainly one to vote for him again because these last four years have been harder than they had expected, harder than they were told they would be. Those people I think are going to take a very long and careful look at each of us, hear what our plans are, and decide who has a credibility to actually get this economy going on again.

Look, we're now in the longest, slowest recovery in record history for this country. And it's because the president's policies are so tuned into the old liberal approaches of the past, they didn't work back then, they're not working now.

We need to get a new vision to get America working again and to restore the kind of economic vitality that will make sure that our kids have the kind of future they deserve as well.

HANNITY: You're up five, six points in the latest Rasmussen poll. There are a number of polls where you're up by one point, head to head. Obviously, swing states are going to be very, very important, Governor.

The one poll that got my attention the most, the Politico/GW Poll among independents, you're up by 10 points.

When you read these polls, we are six months out, what do you think of them at this point in time?

ROMNEY: Well, you know, it's very competitive at this stage. My guess is we're going to be looking at these polls and all the polls, and just suggesting that against an incumbent with a billion dollars he's raising, with an extraordinary machine that will be attacking me on a personal basis day by day, that we're the underdogs, that we're going to have to fight very, very hard to break through the clutter of the charges and the attacks and efforts to dissuade people from looking at his record, to instead actually look at that record and to lay out what our vision for getting this economy going, getting people back to work, and making sure that the future is bright.

I think we're going to have a lot of work ahead of us. I think it's going to be a competitive race. But I expect in the final analysis, the people who voted for him and are disappointed are going to vote for me in the fall.

HANNITY: And what about Obama and his words, it seems the ads that you have been running up to this point and the RNC have been running up to this point have focused heavily on his promises. Do you believe this president has failed in his time in office?

ROMNEY: Well, there is no question that the liberal policies of the past which he has put in place in this country failed the American people. I mean, how else can you explain three and a half years into his presidency, you have 24 million people out of work, stopped looking for work.

As a matter of fact, the reduction in the unemployment rate is due entirely to the fact that a large number of people have dropped out of the work force. Had those people not dropped out of the workforce, the unemployment rate would be above 10 percent.

This is -- this is a presidency that has failed to put in place the kinds of policies that would help the American people.

The president says he wants to help. Look, I'm very concerned about middle income families that are really struggling. I'm concerned about middle income families who dropped into poverty. I mean, you know, I meet from time to time with families that are really struggling.

Just today, I was with a family -- they are having a very, very hard time. They are concerned about being able to meet their obligations, and husband has been out of work for over a year. The wife is working a job that's doing pretty well, but she's got student loans to pay back, that she can't begin to make the payments on.

Folks are having a hard time out there and this president promised something very different than that and his policies failed us.

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