Google knows it, has acknowledged it, and has stated that they have no intention of doing anything about it.
http://www.snopes.com/politics/bush/google.asp
There's a big difference.
And frankly I agree with Google on this one. (Just this one.) I would much rather their search engine rank pages in a completely automated manner. It is minute they start applying human input to the process is exactly when the search engine gains bias.
Besides, if you feel any better, Michael Moore follows George Bush in the Google search for "miserable failure."
Google was never 'hacked'.
The people who did what you describe manipulated the way Google finds/displays results to do what they wanted, but Google was not hacked.
What Google did (or more specifically, did NOT do) was change their methods just to combat the hits from ONE specific search, and they were right.
Anybody that gets bent out of shape because of Google hits needs to get a freaking life.
Google would do something about Google bombing if there were pro-conservative Google bombing going on. Currently no conservative is that low or despicable, not even Shocking Michael Savage.