Funny enough, I was going to mention this in that Krugman thread you started a while back.
I saw about 45 minutes of this exchance and, imo, O'Reilly mopped up the floor with this little pussy. And Slam, you are right on, Paul looked TERRIFIED during most, if not all, of the show (loved how he was clutching his arm for most of the show and shaking). Guess he's not used to having to hear other people ragging on him and his employer up in his ivory tower at the New York Slimes.
The highlight of the show for me was at the end when, after Krugman was making fun of a certain cable news channel that has been around since 1996, he cited Media Matters as a source -- oh yeah, LOL2004.
Can't wait to see if Bill breaks his arm patting himself on the back tonight...