• With: George Allen, U.S. Senate candidate

    This is a rush transcript from "Your World," December 12, 2011. This copy may not be in its final form and may be updated.

    NEIL CAVUTO, HOST OF “YOUR WORLD”: We are just days away from the Fox News presidential debate.

    And while all eyes are on the race for the White House, my next guest says keep an eye on the race for the Senate.

    Right now, Republicans need to pick up four seats to take the majority from the Democrats. My next guest hopes to be one of them.

    Virginia Republican George Allen, former Governor Allen, is in for a hard fight, though. The most recent poll has him in a dead heat with Democrat Tim Kaine, Kaine leading by just a percentage point.

    We did reach out to Kaine’s office. We have as yet to hear back.

    All right, so, Governor, Senator, what about that prospect, taking the Senate?

    GEORGE ALLEN (R), FORMER U.S. SENATOR: Well, I think there’s a good opportunity.

    We need good candidates. And we need support from all over the country. Our race in Virginia is between two different points of view. Tim Kaine was the handpicked chairman of the Democratic National Committee, and has been with President Obama on every significant issue, from Obamacare to these counterproductive, punishing energy policies.

    He is in favor of raising taxes on small business owners in the midst of this recession, which is what he tried to repeatedly do as governor.

    CAVUTO: But you are giving it a big fight now. And it is a close race. It’s one of the more closely watched races and close races, period, in the country.

    But if the -- if the Republicans were fortunate enough for you to seize this seat and take the majority, but the president wins reelection, what then? What are we looking at for four years?

    ALLEN: Well, hopefully, whomever runs -- whoever our nominee ultimately is will embrace what we’re putting forward, which is a very positive, constructive, proven solutions, and achievable reforms.

    We’ve it called -- we have called it the blueprint for America’s comeback. And it means we need more competitive tax policies, so there’s more jobs and investment.

    CAVUTO: Would you get more sympathy from Mitt Romney or Newt Gingrich on that count?

    ALLEN: I am for whoever runs strongest in Virginia, Neil.

    CAVUTO: So you are not in the crowd that says anyone but Newt? Because some of his old colleagues are saying, you know, he isn’t all that.

    ALLEN: We’re running own our campaign and putting forward positive ideas on energy and reasonable regulations to make sure that more young people, especially those graduating from college these days, have the opportunity to pursue their dreams.

    And, so, you have got to place tenacious defense against bad ideas and what is harming our country right now in a variety of ways, especially small businesses, and say, all right, here is how we can see America, envision a more positive future for America. And we don’t have to be accepting these diminished expectations.

    CAVUTO: But what do you make of the Occupy Wall Streeters’ view that there are diminished expectations for America?

    I had a young lady on here a little while ago who said, we will target ports, we will go after shipping, we will go after the 1 percenters, because I guess they live at sea -- but you know what I mean, that this is the new mantra?

    ALLEN: Well, the new mantra ought to be America’s not a country of diminished expectations.

    The good news is, Neil, and all your viewers, is that there are positive, constructive ideas. We ought to be reducing the jobs on job- creating businesses to make our country more competitive for investment and jobs. We are number one in the world when it comes to energy resources.

    If we unleashed them, the people who would benefit the most wouldn’t just be the hundreds of thousands of people getting good-paying jobs, but it’s lower and middle-income working families who are the ones punished by the most by these unnecessarily high gasoline and fuel prices.

    CAVUTO: So what do you think when -- we had Wall Street guys here who were offering jobs and interviews to those protesting on the street to get a job, and a lot of them, they don’t want the job. They don’t even want the interview.

    ALLEN: Well, that may be their choice.

    Susan and I look at the future through the eyes of our children. Our oldest daughter graduated from college last year. We have a son who’s a junior in college right now and an eighth grader. And young people are having a heck of a tough time. It’s the worst job market for young people.

    And there’s underemployment, where people are not fully utilizing their talents. I think America needs to be that land of opportunity for all. And for those who want to diminish it, they can, but I think most Americans want a positive future.

    CAVUTO: George Allen, good seeing you again. Thank you very, very much.

    ALLEN: The pleasure’s all mine, Neil.

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