>> scandals make the president run toward it. welcome back i am charles payne in for neil cavuto, president's approval rating falling for a second straight quarter. mcposting disappointing profit today, former mcdonald's usa ceo said there is a lot to worry about. you see a correlation with disappointing mcdonald's numbers and the president's
approval rating. >> it is clear our economy is bifurcated. i'll tell you here in illinois, middle class and lower are suffering, excessive regulation, we have problem with jobs and lack of jobs, we get the deflected issued and going after immigration, and health care, all these scandals. the masses have no confidence in the future, they don't know what the health care is going to cost, they have no idea when their insurance rates are going to be, they are confused and lost, in my restaurants, i see 50-year-old women, i talk to them about the, they say sale thing, i just got laid off, my husband got laid off, we're unsure about the future. we cannot afford to go out and east any more. come on government, get out of the way, we can do it ourselves
if we would stop getting so much damn help from washington. charles: is there anything that president could say, that could turn this a round? >> it -- people vote with their wallet, you see a big portion of our society, our citizens, getting as unhappy and an desperate as they are, they reflected in poll numbers they are dissatisfied with the president, in his lack of focus on things that are really truly going to drive job growth, look at this mess in detroit, this had been going on for 45 years, now we'll solve it by by bankrupt, destroying bondholders and going with green energy which has failed. that is not going to work. we have to focus on jobs, jobs and more jobs. charles: i hear what you are saying it sounds when this one guy named mitt romney was saying not long ago. yet masses sort of said, you know we'll go with the green energy. with the guy that will heal the
nation, with the immigration policy, did this shift all of a sudden? did people have a general epiphany that maybe the economy is not doing so well i don'' confuse electiin and belection behavior with real world act, i voted for mitt, i would vote for him tomorrow, president went out there did things to win an election not improve our economy. all of a sudden people say, hey, hope and change, where is it? i hope it changes we cannot live the way we're living today this is a disaster. charles: here is the thing, you hit on something. how important is confidence? how much of our economy at the end of the day is a self fulfilling prove -- prophecy. >> when you have momentum in sports you keep moving forward, when you are defeated, you know you can't win you go down, down,
confidence is everything. if i think that world will get better i want to play, if it is not getting better, i sit in a corner and hide, we need people out there trying to make things happen. charles: i agree a house percent. save me a seat at your restaurant i'll be there soon. >> good to see you. charles: as president gets ready to roll out his term economic plan, grover is worried it is not just a tax plan. >> every time the president horizon put forward an economic plan it has included significant tax increases, obamacare was trillion in higher taxes, many on middle income americans, which he campaigned promising he would not do, he endorsed something like simpson bowle bowles they want to take proposal on economy, on taxes
from 19% of gdp up to 21 that is an increase of 3 to 5 trillion over a decade. that was their owning bid for higher taxes. and when the president talked about endorsing the gang of 16, the special committees effort he insisted on $1.4 trillions in higher taxes then. he has yet to put forward a proposal on anything that did not include significant higher taxes, we need to look at what the new proposal is, if it does not have tax increases that would signal maybe he is changing his direction, but i would not bet that way. charles: kind of hard to believe that would happen, he will spike at knox college, 2005 he gave a speech there so many things he hit on, he tacked about a massive middle lass, decent wage, benefits and public schools and echoed something we heard when he spoke friday bench
having a stake, everyone that everyone has a stake. is this euphemism for income codistribution. >> probably not a good idea for him to give speeches in next 3 years in a place he was physically in the last 5 years it does open up thht question, why don't you do something about what you talked about x years ago, unfortunately president does not have any ideas other than taking money from someone and give it to someone else for the last 5 years. charles: but here is the him thing, it not his fault, g.o.p. has got confident way. this is last push to make this a fair country, isn't this anything to be the speech, what does that do to our economy? >> it -- i suppose he could, but remembers regulations he companied on the banking industry. was passed by democratic house and senate, the massive
obamacare increase in spending in government control over health care, which now president has admitted does not work, he is outside of the law delaying pieces of that. when there was no republican object to his moving in one particular direction, all we got were higher taxes, and more spending. it is the republicans who begun to turn the over spending issue forcing the president to claw back $2.5 trillion. so, the republicans have reduced the damage the to the pa presids been able to do but they have not been able to turn it around because they can't get laws signed. charles: from a business level i lot of people hoping they can hold back the damage, grover thank you. appreciate it, caught you over the week on some of those shows you did a great job.
>> thank you. charles: here is how you know the healthcare law is losing, unions are now standing up with g.o.p. to stop it. >> food stamp payments are soaring but now we have proof, fraud, waste and abuse also soaring. who can show them how to build on your success, but not rely on it. who can focus on making your legacy last for generatis to come? that someone is a morgan stanley financial advisor.
charles: a lot of people are scared to invest in the market. this thursday 8:00 p.m., on fox, a special hour ded calle dedicao showing you how you can make money, if you believe -- if you don't believe me, watch this, making your market thursday 8:00 p.m., do not miss it. >> more bad news for president's health care law, now even union are fed up, they are fed up with democrats supporting it as well, top republicans are reaching out looking to form an alliance with union leaders, former hewlett-packard ceo carly freer fiorina said this is prove more proof this is a train wreck. you want to talk about cats and
dogs hanging out. >> more proof the law is fatally flawed there are so many unintended consequences truth is that people, januaries who felt they were providing good he'll coverage are now a-- health coverage are afraid their members will lose that coverage this makes sense. it makes sense for republicans and unions to try to find some acome take to try to get this thing repealed. i think time will tell whether that is the union's real goal here. or whether ther their goal is to carve out an exception for themselves and the heck to everybody else. charles: i thought there was so many stories on this but when they were debating the cadillac plan part, really good health plans that most union members have i heard someone say that unions would have some sort of
exemption, i suspect that unions thought they would not have to pay into this like everyone element do yoeveryoneelse. >> i remember the same thing there was conversation at one point about exempting certain cadillac plans, i think yes people are discovering this plan is going to cost so much more than they anticipated. first total bill that we'll have to pay but 6 cost in terms of the -- second cost in terms of disruption and loss of health insurance plans that we all like, none of us can forget the president saying, if you like your healthcare plan you can keep it, that is not the case. charles: i also find it interesting that a lot of people who have been hard-core president obama supporters union, and a lot of people who probably don't have health insurance, they will find that, this is not working the way they thought it would. there is a lot of people on the right say, just let it run its
course, let it be a disaster, and it will teach people a lesson, i think if there is a way to prevent that from happening let's fry to fix it. do you technolog it is smart toe if we can fix it? >> i think we have to fix it i think you fix it by repeeling then enacting sensible reform, to get votes to repeal you have to give the american people of how it would be reformed, this is a classic case of a bill getting oversold and very simple terms if you like what you have you can keep iting all people who don't have something are getting some for free, then, this complex bill of the written, to basely manage a fix of the economy, of course, it is a train wreck, we have to fix it we can't just let this play out,
one thing we know once a program is enacted it is difficult to ever ggt rid of it. we just can't get to that lace. place. charles: this has potential to be a costly entitlement if you will that gets worse and worse no one has political will to fix it? >> i fear, that let me say, i think it would be worse than an an time entitlement that gets too expense every, medicare and social security have gotten more expensive yet people believe, they have done some good. although, in a inefficient way. on other hand with the health care bill, i am afraid when we're looking at is something that actually is going to do more harm than gooo. because it is so complicated. people can't even figure out what the law says, they are hiring people to help folks navigate through the law, anything that is that complicated, is not going to
work, it certainly not going to work as advertised. i just don't think we can afford to wreck 1/6 of the economy. in what is arguably a very excellent health care system. charles: you see that dodge oversold this -- administration oversold this i would say that is an understatement. >> thank you charles. charles: backdoor detroit bailout that could have tax payers everywhere shelling out. om their capital one venture card to fly home for the big family reunion. you must be garth's father? hello. mother. mother! traveling is easy with the venture ca because you can fly any airline anytime. twoords. double miles! this guy can act. wan play dodge rock? oh, you guys! and with double miles you can actuay use,
you never miss the fun. beard growing contest and go! ♪ win! what's in your wallet? win! they're the days to take care of business.. when possibilities become reality. with centurylink as yo trusted partner, our visionary cloud infrastructure and global broband network free you to focus on what matters. with custom communications solutions and responsive, dedicated support, we cotantly evolve to meetour needs. every day of the week. centurylink® your link to what's next.
that. mayor chuck reid, is joining us on phone, mayor, thank you for your time, your city voted overwhelmining 70% said bring in pension costs. unions are still holding it up. >> this is a california city led by democrats, because we're trying to avoid the fate of detroit, we're trying ting to fn alternative to bankruptcy. mayors all over of hoping to find a alternative. charles: what is the disconnect between unions, who are typically an allie of your, in court party we talked about shared sacrifice, everyone knows what is at stake why not some give and take on that issue? >> this is divided party between democrat loss will do it the way that unions want it done, and
democrats who want to provide services to residences of their city, i come down to providing service to my people balance need to support union's demands and demands of my public that electioned me, i come down on side of people and taxpayer. charles: mayor, you were quoted as saying if unions win legal battle then local leaders have to get more ambitious in finding new ways for pension outlaws, what does it mean? >> we have to litigate, this is california, nothing important happens in california without litigation, we're litigating with 6 of our unions over pension reforms, if that fails we have to go back to cutting services to balance the think about, we ought to have alternatives to, that. charles: a moment ago we had on screen, typical 26 year union pension pay out, $100 thousand
similar san jose civilian residence less than half of that, 45,000. you see that and present it to your unions what do they say? >> they believe it is not their fault we should raise taxes. charles: okay. so, it was an obligation made, we understand when things are good, times are flush we make promises, not made to be broken but in a time like this, what -- what other alternative do you have? >> we're trying to make sure people get paid what they have earned and accrued but we want to change future benefits, that the way to bring down the costs, we can afford to pay people what they have earned and accrued about we have to bring down cost for future benefits to provide services. charles: before i let you go, if unions win this, is there a possible they san jose would be facing a bankruptcy very similar to detroit.
charles: we'll go into service deliver insolvency, we without put service to plan the budget which is a terrible place to be. we're doing all we can to avoid bankruptcy 9. charles: mayor chuck we'd, third largest city in california good luck. >> thank you. charles: administration says it will not bailout detroit, we're discovery's possible backdoor bailout, detroit looks with 20,000 retirees in healthcare law new marketplace, that could save city about $40 million a year, but forced taxpayers to pick up the tab, to katie, and cilia and david, this sounds like a backdoor bailout to me. >> absolutely, obama care was not set up to be a slush fund for failing cities that made bad fiscal decisions for decades, we
need to take a step back understand that more government spending and bailout not the way to go. deet hago. charles: some famous politician said, sooner or later it adds up to real money. from the city's perspective you probably do what you can, but taxpayer point of view? >> pensions are not thing that is driving detroit bankruptcy, the bankruptcy is 40 years in the make they lost half of its population or more, a city whose 78,000 vacant buildings. >> they have borrowed money to meet pension obligation which made debt grow faster. >> right, looking at what that debt, is that 18 billion, a very
small fraction is pension more of general obligations no wonder detroit would have to borrow money, it has lost its industrial base, it is like looks like a guy with a lot of credit card debt, saying he has been irresponsible when in fact he had cancer for years, and has been unemployed. charles: maybe he has been smoking 5 packs a sig grea get . >> i actually grew up in detroit suburbs, i've seen this immorality that has been brought up in detroit. and it is result of a bloated government, and irresponsible government, bureaucrats that have been there for decades, they have been in bed with the unions this entire time, which is why detroit is going into bankruptcy because they have taken out just billions of dollars of liabilities in
pensions and health care, coupled with irresponsible will government policies that have driven people out of the city, i don't think that detroit will be the last city to see this happen, but detroit should be a red flag for cities who face a similar situation, and they have to take necessary steps toward pension reform, and en acting government policies that will bring business into the area or detroit will be the end for them as well. charles: david, you bristled a little bit, she used words like, immoral, and irresponsible. you think -- you know there was a what cost these, was it part and parcel of same mind set with big government. >> deindustrialation caused this. >> who cause it? >> rise of china, rise of other
industrial competitors like japan. charles: is that it, david? >> yes, in last 15 years michigan lost 48% of its manufacturing jobs, the good paying jobs have have been lost in detroit, detroit has the highest unemployment rate in about city. >> but why. charles: i'm going on case i, answer that -- katy, answer, that while they were losing manufacturing jobs people in alabama were getting them people in tennessee were getting them. >> texas has a low un. ment rate, they have a lot of manufacturing jobs in texas, why because they cut government bureaucracy, they detached themselves from the union that caused this mess for 40 years so typical of big government liberal to contiiue to alike detroit was not a product of big government and over spending it was. if we can't learn from this situation we're never going to, i along with a lots of other taxpayers are sick of bailing
out bad stations and not having people take responsibility for those bad decisions it costs money, it costs jobs, there are more workers in this country that deserve credit, takes payers deserve credit it time for detroit to start over take responsible for horizon its component problem. charles: you know the town. do have a that the wherewithal to start over? take this punishment. because it will be bruising no platter how you feel about how they go the here, it will a real tough nut to swallow. >> absolutely they can do it anyone can do it. charles, they can take necessary steps go get government out of way and get money back and to taxpayer make it a befriendly be business friendly environment, for example, longer we wait for
pension reforms the higher the price we'll pay, he realized it was because of irresponsible government bureaucrats getting in the way, getting in bed with the unions, and it will in the end retirees, schools and cities and businesses will pay that higher price. price. >> maybe. you are fantastic. come back a little bit later. >> you know, now, apple under attack next, one company that should be safe gust got whacked, and why he says we're all pretty muchmuch doomed. i want to make things more secure.
[ whirring ] [ dog barks ] i want to treat mo dogs. ♪ our business eeds more cases. [ male announcer ] where do you want to ta your business? i need help selling art. [ male announcer ] from broadbd to web hosting to mobile apps, small busess solutions from at&t have the security you need to get you there. call us. wean show you how at&t solutions can help you do what you do... en better. ♪
charles: hackers taking a bite out of apple's intel. sensitive information may have been stolen, is anyone safe. to security expert, robert, we hear apple was attacked we say what the heck. if apple conditio condition pro- can't protect itself none of us can. >> apple considered to be full proof, right now thousands of viruses targeting america a c and apple and -- targets mac and apple and millions targeting
microsoft os, in this case it was more than likely social engineering someone somewhere opened up an e-mail and provided user names and password to the bad guy? in other words an know side job? >> it might have been, i amy employee error, they might have gotten tricked thinking they were communicating with someone intentionally providing a logging credentials and or there were flaws in their system, you know critical flaws, that allow a hacker to remotely access their system. charles: robert, we hear these stories, and read about them all of the time bank robbers, and then -- records taken and often not criminal but people doing it for kicks, how difficult is it or seeps impossible that not a major hacking will not worry with all of these -- will not
occur with all of these companies. >> there no such thing as 100% security. there is always a flaw in the sim. the job of a second professional to keep up with that there was a report today that there might be a turkish hacker claiming responsibility for this hack, claims he discovered flaws in apple's os or in the develop or's web site, he reported to to apple. and they shut it down, now he would be what is called a white has hacker but fact he was tinkering where he show not have been that is illegal, in whether or not apple responds to, that is a different story. charles: don't -- but, wouldewa? i know some companies invite hackers to attempt to hurt them if they break a code then they reward them, would apple reward
this guy? >> well, they call that penetration testing. and when you are hires or a contest t to 10 trait and test a -- penetrate and test a network that is permission-based. whereas if it is not permission-based that is illegal, thhy could be prosecuted, you would think they would welcome that type of information but in some cases, you know think of it like we know that you know it would not take much to break into somebody's home but you would not someone to try to break in without your permission. charles: or unless someone sold me a fancy security system, then my next door neighbor's young son broke into it. we know the thread is real, to your point never ends robert thank you, unfortunately, we'll need you a lot more in the future. >> yep.
charles: all right, big budget box office movies could be about to rest in peace, why congress is running out of time to fix something big, someone here said it lost all hope. [ male announcer ] eligible for medicare? that's a good thing, but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to yo so consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement plans, they pick up some of what medicare doesn't pay. and save you up to thousands of dollars in out-of-pocket costs. call today to request a free decision guide to help you better understand what medicare is all about. and whicaarp medicare supplement plan works best for you.
with these types of plans, you'll be able to visit any doctor or hospital that accepts medicare patients... plus, there are noetworks, and you'llever need a referral to see a specialist. there's a range of plans to choose from, too. and they all travel with you. anywhere in the country. join the millions who have already enrolled in the only medicare supplement iurance plans endorsed by aarp, an organization serving the needs of people 50 and over for generations... and provided by unitedhealthcare insurance company, which has over 30 years of experience behind it. call today. remember, medicare supplement insurance helps cover some of what medicare doesn't pay -- expens that could really add up. these kinds of plans could save you up to thousands in out-of-pocket costs... you'll be able choose any doctor who acceptmecare patients. and you never need referrals. so don't wait.
with all the good yearahead, look for the experience and commitment to go the distance with you. call now to request your free decision guide. thisasy-to-understand guide will answer some of your questions, and help you find the aarp medicare supplement plan that's right for you. charles: another big think about movie horror, netflix scaring competitors, let's blitz, after a number of dream line are dreamliner nightmares, boeing unveiling a new spaceship for nasa. do you think that boeing should focus on problem on earth. >> they are producing and delivering them.
interesting they are making this spaceship for retail travel, i bet release form will be longer than war and peace. charles: gary, let's say, we are around which they laure launch e you going to be on an inag rally august -- inaugural flight? >> no. i am afraid of go-karts, they have issued they have wrong ever ready batteries or something like that with their jets they need to fix that, in all in all it will end up okay it is a great company, a well run company. charles: shifting gears, two big budget flicks falling behind a hear or movie, the conjuring taking number one spot at fox
office bringing in $41 million, budget of the 21 million. todd, what is deal with the moviegoers, we' cheap thrills? >> cheap thrills maybe too many big blockbusters, there are 20 big $100 million dollar movies $300 million, it might be too many, but i think hollywood has forgotten movies tell a story, if you don't tell a story now, people are not going to watch the movie. it is the product, not so. the graphics, and action sequences if they are not selling a good movie with a great story nobody will go to watch it. >> over last 20 years it feels like special effects and big budgets have taken from, just plain old good story telling. >> i don't mind blockbusters, average consumer doesn't blind, but as todd said, how about good
blockbuster. we had transformers and things like that that cost a ton of money but hold well because it was -- but sold well because it was a good movie, the problem is they come out with blockbusters but no story. they just are terrible noise. charles: i love to make a move for $20 million and does $41 million first week. netflix, building profits off the house of cards brings in over a billion bucks reporting numbers, subscribers jumping in u.s., gary k, you are nervous if you are hbo or hulu . >> i say everyone should be, there is competition for people's ears and eyes there are too many people out there, i think if there is a bubble right now it is tame bubble.
-- entertainment bubble. how many channels of directv on your cable, i think margins the thin out go forward, netflix is a very expensive stocc, pulling back in after market because of that. numbers not that bad. charles: but, you know todd, they -- the company went up, crashed went back up, this is a company that soo cutting edge it has to prove itself to wall street over and over, but it feels like that the -- it is pure disruptive technology that could be a game changer. >> it is a big disrupter in entertainment fields, netflix is actual producing contend which has helped to grow their revenue in this economy it is hard for companies to grow toppline revenues, this is number one disrupter but as they are disrupting they are disrupting their own business model, going forward i think go gary has a point it quite extendive stock.
it is an interesting what they have done they are in contend and pushing it out. charles: we had on screen up 183% year-to-date, i just bought the box set for house of cards it looks fretty good, but they have to make money. one thing to produce a blockbuster, but no one knows how much they spent on this, it is good on one hand but other hand is it worth it at the end of the day? >> well, that is the big we, i think a lot of these companies bring in content spent money get people there, hopefully sell it whether it is advertising or other programming. there is a method to their madness, my big of problem is that, there is just so many out there, as netflix has disrunned others who is next to disrupt netflix? you talk about stock making a big move, pulling back a little bit in after market, any point on down side luke at this this
in well -- you look at this. >> well, buying dips is always good thing if stock recovers and moves higher that could work. but you it is a dangerous way to make money. charles: so far, buying netflix dip has worked. but not for paint o faint of heart. >> see soon. >> thank you. charles: what was this huge 55-gallon barrel have to do with the sunny centsian caribbean? had had soe could be a better, safer energy company. i can tell y - safety is at the heart of everything we do. we've added cutting-edge technology, like a new deepwater well cap and a state-of-the-art monitoring center, whe experts watch over all drilling activity twenty-four-seven. and we're sharing wh 've learned, so we can all produce energy more safely. our commitment has never been stronger.
discovered receiving huge barrels like this one to caribbean. how to rein in food stamp foreign aid, we talked with the judge on varney he said it was not illegal, so what is the problem? >> it is just fraud, right in this is a instance where you find people who are abusing the system, that is common practice we see with government, and government waste fraud and abuse, people take advantage of the sim, apuce it it costs taxpayers millions. charles: you know, it is interesting you hear people defend fact we've become a food stamp nation, they say people are so poor they are on verge of starving, yet, you know you get households where a few people get wic food stamps and this other program, they can afford to shop, and send it back home. >> this is where programs are
meant to be there for those who need them, they are there as a safety net for the individuals who need that supplement will income to help need their families, this is just how bad we have gotten as a nation with 15 food programs costing there $114 million, food stamps cost $ 88 million a year, more people on food stamps, 101 million people receives some type of food assistance, and we have everyone in million people have -- 97 million people working, there is something wrong can that. by are a world leader with one of the best robust economies, this is a problem you see that leads to a need with more government accountability and oversight to better be using taxpayer dollars and provide aid to those who really need it.
charles: fact is that we know, a00 million people, some is abuse some, is fraud, every time someone is affected one of the campaign stumps i wring out fraud, and corruption, get to the bottom of this, it has gotten worss. i don't know what the actual number is but it has to be in billions now. that are being abused, the tax carries carrying load for everyone. but, no one likes to be stolen from or to have, you know their hard work taken from them. >> absolutely, just think about all that other places we could use that money this could go to having better education systems, building roads, you know sequester there was 85 billion in cuts $50 billion is wasted in fraud every year in medicare, if you just look at these areas with the issues where increased transparency and oversight where
federal government needs to step up we could start to rein in our problem's are $17 trillion in debt, we got a debt coming up around 700 billion deficit for this fiscal year, we have a problem here in the u.s. when it comes to spend and spend, 1k3e7bd with no acoin bill see ispendwith no accountability. charles: do they have the will to find out and act on it? >> well, like you said, this is a great talking point. great on campaign trail. it is a top concern, but when it comes to the will we don't have a choice, we have to find a way to get it under control. charles: we -- i know see sent a lot of money outside of nation, in form of raw dollars, but i had no idea until this story how
large the food thing was with the food stamps, it is a major story. amazing. >> very significant. >> gretchen thank you. charles: all right, dadd debt is grow, time is ticking, congress has 17 days to figure out how the 17 trillion-dollar debt crisis to fix it or capitol hill could be shut down city. my doctor and i went with axiron, the only underarm w t treatment. axir can restore t levels to normal in about weeks in most m. axiron is t for use in women or anyone younger than 18 or m with prostate or breast cancer. and childrenhould avoid who contact where axiron is applied as uneected signs of puberty in children or changes in bodyair or increased acne in women may occur. report these symptoms to your doctor. tell your doctor about all or increased acne in women may occur. medical conditions and meditis.
serious side effects could include increased risk of prostate cancer; worsening prostate symptom unt; ankle, feet or body swelling; enlarg or painful breasts; problems breathing while sleeping; and blood clots in the legs. common side effects include skin redness or irritation where applied, increased red blood cell count, headache, diarrhea, vomiting, ask your doctor about e only underarm low t treatment, axiron. are you flo?
yes. is this the thing you gave my husband? we, yeah, yes. the "name your price" tool. you tell us the price you want to pay, and we give you a range of options to choose from. careful, though -- tt kind of power c go to your head. that explains a lot. yo, buddy! i got this. gimme one, gim one, gimme one! the power of the "name your price" tool. onlym progressive. charles: debt crisis is getting worse, $17 trillion in red, and congress has 17 days to pass a budget for ext year, that is right. so, is there any chance of getting this done in time? katie doesn't think it looks too good, you are not optimistic? >> i didn't hear anything you said. so.
you can repeat. >> how optimistic are you that house and senate in 17 days will figure out way to come through with a budget. >> not optimistic they like to have it go straight to the wire because this is lazy governance. i doubt we'll see anything until they get back. charles: you know this is one of those issues that now is resonates not a washington specific things, as we go to the timeline, wall street will be nervous, we worry about our debt ratings, main street pays attention to. >> this is not anything new, we've been in this position in january, we knew we were coming
down to the same debate. we're always going to keep coming back to this problem, punnin opportunitying it down the line, and popping up quicker government cannot rein in spending. washington politics is like watching a dirty rat hop on its wheel every once in a while, and run and run, and run they don't get anywhere. charles: david, last week, i think it was nuclear oppion of threatened all of a sudden some compromises were made, some appointments went through. i thought it was perhaps a little bit of sign of hope that the nonsense in washington may not have this time again, maybe, it will not be high drama this time. >> bizarre thing is we're head
into a debt ceiling showdown even as deficit shrinks, cbo has twiced revised its estimate of deficit in last 8 months we have lowest deficit projected this year any time in last 4 years. >> can you provide some numbers for, that dave? >> since world war ii. >> please, you know -- >> big deficit were truth of ththeeconomy being -- >> as we come out of this bad economy times deficit will string of, that happens were clinton and now. >> i am wondering -- >> washington. charles: one at a time. >> washington, back in january, was facing this same problem, in problem is spending, problem is spending, dave. and back in january, when they struck a deal, the cbo estimated
that this particular debt ceiling deal was going to add 4 trillion to the debt over 10 years, you cannot tell me that is deficit reduction. charles: katy, you know -- really, at this point, a trillion, silt numbers we neverw before. in am bottom line the clock is ticking do we have confidence to think it will not know a huge fiasco in. >> the big joke is don't tell obama what comes after a trillion, right? we're seeing that play out, in white house and on capitol hill. but problem here is that, look we can say a thilio trillion, ds are shrinking but one thing that is not drinking is our debt -- shrinking is our debt, i am wondering when the white house will take responsibility for its
own economy if has been 5 years when is the unemployment rate going under 7%, we're in summer of recovery 5.0 now, remember back in the day, obama said he will fix it in his recovery summer, we've been through 5 now, we're going nowhere. charles: katie. david, debt -- >> i think we've done a good job over last 4 years considering. charles: are you really happy now. >> consider being had worst financial crisis. charles: but you understand. -- bush, bush, blame bush. charles: you know that basic economics further barring reaction goes, better recovery should be this one stretched and when we comeback, this is broken all the rules of logic, and all of the rules of economicking largely because of politics even ben bernankin tells us that fisl policies are hurting our
economy. lou: one of fiscal economy is too were focus on deficit reduction, a lot of economists believe, when you cut deficit you often put people out of work are we see it with sequestration, right now, unemployment coul could be if wd not fire the government workers here is thing, most americans have said, in poll after poll that reducing unemployment is more important than cutting deficit yet washington is doing the opposite, republicans are bringing to us brink of crisis again. these people are tone deaf. >> i will say this, much. >> you know what? charles: republicans only control the house, you do a great job of thrusting the blame on them, but maybe the president will accept this is his economy, you are a great panel, smart, lively, we appreciate it we'll
see you soon, to audience, watch my special making it your market, thursday, 8:00 p.m., we're talking about you the stock market and money. thank you for watching. >> hello. two nights on "the willis report", our special investigation on and medical cost we will take you inside the secretommittee showing what you have to paylso getting the best deals on travel becameasier. take the drama out of home renovation. how? start early and get the decisions made. >> we are watching out for you. tonight. "the willis report". gerri: