Lou Dobbs on Union Protests, Rising Gas Prices

This is a RUSH transcript from "The O'Reilly Factor," February 25, 2011. This copy may not be in its final form and may be updated.

Watch "The O'Reilly Factor" weeknights at 8 p.m. and 11 p.m. ET!

BILL O'REILLY, HOST: Continuing now with our lead story: Why President Obama has not inserted himself into the Wisconsin labor controversy. Joining us from our New York studio, Fox News Business anchor Lou Dobbs. Did you know about this Jimmy Carter law? I didn't know about it.

LOU DOBBS, FOX NEWS ANCHOR: No, I did not know about that.

O'REILLY: Isn't that -- isn't that stunning?

DOBBS: It is. But it also in some ways comports with the rest of the Carter administration, if you will.

O'REILLY: But it makes it impossible for Barack Obama to go to Wisconsin and demand that Walker give the state union, public union all of these negotiating rights when he himself -- the president himself says, we don't have it, they don't have it.

DOBBS: Has no ability to provide that to the state employee, to the federal employees, of course. And -- and for years, as you know, Bill, I mean, it -- it was unlawful in this country to be -- if a public employee -- to be unionized. And it was Mayor Wagner in New York who changed all of that. It was AFSCME, the union changing all of that, actually in Madison, Wisconsin. First major, major effort to organize public employees, which is where one hopes we will see that all change with Governor Walker prevailing in this contest, as I think he will.

O'REILLY: So you're on his side a hundred percent. You want the…

DOBBS: 100.

O'REILLY: …the union taken down?

DOBBS: I -- I would not only want the union taken down -- I -- I want the unions that also are supporting Republicans to be eliminated. I -- Franklin Delano Roosevelt made it clear, and -- and stated more than 70 years ago, it's an absolute conflict of interest to have public employees unionized and working through collective bargaining or otherwise against the -- the interest of the American people as reflected in the government. Why that is so elusive to the folks in Wisconsin, Ohio, New York and various other states is beyond me because it is a true conflict of interest.

O'REILLY: Well, explain the conflict of interest just really quickly.

DOBBS: Sure.

O'REILLY: That their -- their dues are -- are given to whatever political candidate they -- they want.

DOBBS: Right.

O'REILLY: That is -- is that what you're talking about?

DOBBS: That is part of it. The other part of it is if whether they are negotiating -- Jon Corzine, the governor, the former governor of New Jersey, if he's running for office telling the -- the unions of New Jersey that he's going to be an advocate for them. How can a governor be an advocate for the public employee unions and the people? How can the…

O'REILLY: Yes, so if you try to constrain the budget and keep everybody fair.

DOBBS: Exactly.

O'REILLY: And this and that, but what you're going to give the union if they give this, OK.

DOBBS: Right.

O'REILLY: Now, oil prices, I hear…


O'REILLY: …the oil companies want $5 dollars a gallon by Labor Day.

DOBBS: Well…

O'REILLY: You know, there's turbulence, obviously, but I think that the oil companies may seize upon it to raise the prices as high as they can at the pump?

DOBBS: No question about it. And what we are watching here is an utterly contrived explosion in prices higher, Bill. Whether we're talking about the -- the trading pits of Rotterdam or whether it's New York, we are talking about a rigged game. And -- and we still have -- we have an administration that has not addressed the fact that this dramatic run-up in prices, 13 percent in crude oil prices, higher this week alone what they are going to do about it.

You know, when -- you know, when President Bush was confronted with $100 and almost $150 a barrel oil, within 11 days he signed an executive order lifting the moratorium on offshore drilling. That broke the back of $150 oil immediately. And -- and -- and why this administration is accepting this kind of nonsense from OPEC, which is a cartel for crying out loud. It's not a free market enterprise. I -- I have no idea why he would not do this…

O'REILLY: Yeah the Saudis today said that they we're going to make up any production loss from Libya.

DOBBS: Right. Exactly.

O'REILLY: So obviously, the Saudis need the United States to keep supporting them or their going to get their heads cut off over there.

DOBBS: Absolutely.

O'REILLY: But do you believe that the oil price rise in America is contrived? That they…

DOBBS: Absolutely.

O'REILLY: …that there is plenty of oil supply and they are just seizing upon this to get more money out of the consumer, the beleaguered consumer?

DOBBS: Absolutely. And -- and the idea that oil companies would want $5 for a gallon of gasoline, absolutely true. Worse, we're entering the period March through June in which we typically see gasoline prices rise anyway.

O'REILLY: Yes, more people are driving.

DOBBS: And we've got this -- there is nonsense going on in the markets…


DOBBS: …which is -- is absolutely rigged.

O'REILLY: I just wish the oil companies -- I wish the oil companies for once wouldn't look out for the stockholders so much. Look out for the country. We're trying to get out of this recession and this is not the way to do it.

DOBBS: Absolutely. And balancing…

O'REILLY: Lou, thanks very much. We appreciate it.

DOBBS: Good to be with you.

Content and Programming Copyright 2011 Fox News Network, Inc. Copyright 2011 Roll Call, Inc. All materials herein are protected by United States copyright law and may not be reproduced, distributed, transmitted, displayed, published or broadcast without the prior written permission of Roll Call. You may not alter or remove any trademark, copyright or other notice from copies of the content.