All of the Bible is divinely inspired and all of it is true. Not all of it is literal, but all of it is true.
Since the 19th century, higher criticism has crept into seminaries and then crept into churches. Higher critics taught that the Bible is not 100% divinely inspired, and that some parts reflect human biases. This idea would be utterly foreign to the early church and is still utterly foreign to the vast majority of Christians today. Some of the people behind this undoubtedly thought that they were saving Christianity from going the way of the Greco-Roman religion. Ironically, its the churches that still believe the Bible is true that are making converts.
There's a great book called Seeking Allah, Finding Jesus. It tells the story of Nabeel Qureshi, a Muslim who converted to Christianity. He grew up thinking that Christians didn't even believe their own scriptures. Later, he made a friend who actually took the Bible seriously and was able to defend his beliefs. If he had only been exposed to progressive Christianity he wouldn't have become a Christian.
I agree with this. I believe the Bible is without any errors or formal contradictions when properly interpreted considering the genre/context. Furthermore, there is absolutely no moral error in the Bible in terms of those things that are presented as God's commands, though the characters in the Bible obviously often have moral flaws, including the heroes of the stories. To impute moral error to commands in the Old Testament is very theologically problematic to say the least. In fact, to do so undermines our confidence in the very scriptures that Jesus clearly taught as being authoritative (even over religious traditions) and the word of God. In essence, I agree with the Chicago Statement on Inerrancy, with the minor caveat that I may disagree with its section on evolution depending on how it is interpreted.
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