In my opinion, labeling is a softer word for stereotyping. It does the same thing - try and stuff people into a cateogry they don't completely fit, but people get less offended when you accuse them of labelling instead of stereotyping.
And if you guys think the reporter was an idiot for hammering away at Kerry as to whether he was a liberal or not, what did you think of her question, "Is G-d on our (America's) side?"