>>. >> shep: before we wrap it up, new marriage is off to a rocky start. they said their vows aboard a hot air balloon. it was downhill from there. >> wait, hold on. >> the marriage itself would have crashed eventually but not thought this fast. members shot the cellphone video and crash landing again. right in the backyard of a san diego home. one person was slightly hurt. still they continued right to their reception. cheers. i'm shepard smith. that is it for studio "b."

here is cavuto. >> neil: thanks, an ai-lashing out. forget a thank you. i think a big insurance company just said, screw you! >> i'm neil cavuto and in the middle of all of this. >> everything, pocket more than $22 billion for the american people. thank you america. >> recover and rebuild. that is what we did. now let's bring on tomorrow. >> neil: aig may be able to bring it on with a lawsuit to the very folks that saved it, the government, us. the taxpayer that has funded the bailout that saved that company doing those nor man rock well

commercials. now the subject to be punished by the company. so what do you think? >> what is going on aig has confirmed for fox business that the board will meet at some time to decide whether this to join former aig chief hang greenberg's lawsuit against the government basically hank greenberg is saying that the government bailout was run by government overseers who ran amok with auditors and lawyers and government officials. who did not do right by the governmental bailout. he is basically saying that aig had to sell off $56 billion in assets to repay the u.s. government that the government overcharged aig punitive interest rates of 14%. that essentially basically there wasn't a government bailout, it was government bailout that hurt the company. now, we have one saying this is

suing the paramedics who gave you cpr because he did not give you a pillow. we have other congressmen sending letters to aig. basically saying, aig, you are the poster company for green and the white house is defending the aig bailout. hank greenberg, you interviewed him on fox business. he is essentially saying, look, this turned into a backdoor bailout for other wall street companies. we have a right to sue based on fifth amendment rights. the government is not allowed to take private property for public interest. here is what he said on fox business. >> as far as i'm concerned that bailout should never have taken place. the way it did take place was wrong. aig was used as a backdoor bailout for many others. >> reporter: and those many

others include sachs and others. they are saying they did have a choice and that was bankruptcy. aig is saying it may decide by the end of the month to whether or not to join the lawsuit filed by hank greenberg. it's saying it has to hear out on his lawsuit, that is the if i deesh year duty and it might have other lawsuits. >> neil: what wall street is seeing a trend, you bail and you get better get ready for hell? >> let's take stock where aig is. record amounts plot of built in the last couple of quarters. revenues are up big time. they could have gone back in the gym. they became the strongest guy on the beach. the stock alone last year was the best performers of the financial complex. when you do that, look what you

do. you go out and save the women and children from drowning at the beach first and foremost. >> neil: you insure them first. >> but you you go after the weak and that is u.s. government. >> neil: but the upside-down world, bank of america paying a $10 billion fine, forced it to buy country wide and all tows those risky loans to begin with. we have a twisted sense of reality? >> they are all taking shots. >> neil: oh, man. >> it's horrible. listen, we still, neither you nor he got our shares of aig we frankly paid for with our tax dollars and everybody is making money off of them. one thing they brought up, hank greenberg talks about the assets and cost to aig because they had

to sell off assets. guess what? there won't have been any assets left if the government didn't lend the money in the first place. >> neil: there wouldn't be a place to sue. and does aig have a case. the judge is in the house. i'm talking about judicial analyst andrew napolitano. >> thank you, professor cavuto. i think maurice greeneberg is right on both counts. it's unconstitutional, the government can't pick and choose winners and losers furniture going bail people out you have to treat them in a similar way. three people came to the government and bailed us out the goldman saturates said they will give you $13 billion and they said don't worry about it. morgan stanley said we need some money. we'll lend it to you at market

rates. aig said, we're dying on the vine. we want to own 80% of you and when the money coming back we want 14.5% interest but we're going to charge you three times what we are paying them. that constitutes a loss of assets for aig which the fifth amendment prohibits and constitutes desperate treatment that violates equal protection. i think more greenberg has a very good strong argument to make. >> neil: one of arguments that i raised you wouldn't be in the position you are now to sue is to paraphrase what scott was saying if not for this clumsy bailout? >> scott's argument is a good one and made by lawyers that would be called waiver meaning by accepting the offer it's too

late for you to complain now. if you think this offer is burdensome and violates your rights you should have thought of it before. that is the argument that they will make against aig. more greenberg's argument is different. he was ousted. he is feeling as an ordinary shareholder. he was biggest non-government share holder and he is saying to aig, the deal you cost the government cost me hundreds of millions. >> neil: who cares. >> you took my profits. you treated me differently than you treated hank paulson and others, god man saturates. >> neil: doesn't it -- goldman saturates. goldman sachs. >> and it's too big to not help. >> and same to greenberg. the bailout should have never

happened in the first place and if his advice would have been followed, aig would have gone through bankruptcy and good parts would have survived and the bad parts would have sold off. now, we have a mess that is going to end up costing the taxpayers more than the bailout is going to cost you. i think george bush in order to save the free market i have to destroy the free market. >> neil: that is what we did, during george bush's tenure. i got a lot of grief on this show and you and i talked. jack kemp about the lunacy of starting these talks up and this big bank bailouts. this is back from 2008. >> the government needs to step in the treasury to make sure there is floor under falling real estate values particularly residential. >> why does the government need to do that. leter rip. >> neil: why didn't we let it

rip? >> because the government decided it could be a sugar daddy. he was a brilliant human being. he is talking about the housing market. tarp was originally to preserve housing but the government was going to buy up housing. >> neil: it went into cash for clunkers and education, exactly. >> now, we're paying for it. and greenberg has a good case on his hands and i wish him god's speed. >> neil: meanwhile, did you hear about this. the mother of 14 reportedly back on welfare after spending her savings on rehab but the octomom, but it's growing faster

than the entire pop laying of the united states. where does it end? in less than four hours from now on fox business network, get ready because after you hear what we've discovered. you will never watch bill o'reilly again. [ laughter ] >> all right. politicians can't take the heat. maybe it's time to get the heck out of kitchen. ♪ [ male announcer ] how could switchgrass in argentina, change engineering in dubai, aluminum production in south africa, and the aerospace industry in the u.s.? at t. rowe price, we understand the connections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. t. rowe price. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses

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>>. >> neil: and we begin with the letter "a", unofficial kickoff of the earning season, these are the numbers from the fourth quarter just coming in now. we usually begin with alcoa, it has that sort of right of passage. mixed bag, earnings coming in at 6 cents a share although the

revenues, overall sales stronger than expected about $5.9 billion. is this going to be dicey quarter because a lot of corporate america was digging in it has begun. and sort of a so so start. we'll keep an eye on it. >> you can see it go in. done. >> neil: make that man a congressman. magician can make coins disappear. now a democratic congressman to make a trillion dollar coin. jerry nadler, one platinum coin is all it takes and crazy idea is gaining traction. republican gregg aldin is trying to stop him in his tracks. argument for this there is a back-up plan in case we get to the brink of the debt ceiling

and i guess by definition, your party, and stammerin and yammerin? >> let's get 16 of them and say goodbye to the debt. think what they could print aluminum coins and say they are worth a trillion dollars. we need to do something to do with run away deficit spending. >> neil: we never do. many argue that your party had a chance in the latest cliff deal and was to settle it? >> we have resolved the tax hikes. now, the issue is spending. i wish we could have. i wish we had a president that would have agreed there was a spending problem. he told the speaker he doesn't think there is a spending problem. last thing we need for treasury

to mint a new coin made out of platinum that would weigh, 44 million pounds. i would sink the titanic. you know, this is the kind of things going on in d.c. that we have to draw attention to. >> neil: i hope cooler heads and calmer and less crazy heads will prevail. >> good to be with you. >> neil: invoking an amendment to seek racial equality will -- with debt piling up, pat gudell it's not a wonder that americans are not rising up. >> this is hello children, you are insane. i could not sell this story to my granddaughter pre-kindergarten class. the idea, it's spinning gold and

take platinum and clean it up. we have a serious -- there are people writing things we should consider this. imagine it goes away. >> neil: half the time coming up with solution with the debt than ways to avoid it. >> this reminds me of idi amin or banana republic. the congressman, his party failed miserably. by the way, we're not done with taxes. we gave away the store once again the white house did and the republicans went along. i'm starting to reach the conclusion and you have a man that believes this but senator johnson, how many people in that town actually, i don't care what they put after their name or their ideology really wanted to stop spending and give away to

special interests. >> neil: how would you advise republicans and senator son son is going to be on later in the show. do you get from the idea when we look at the environment today and our politicians don't seem to be serious about spending, they seem to think that the public is more concerned with screwing the rich than hitting up programs. are they right? >> people felt that way but myself is that obama, the carry interest rate that allows hedge fund people taxed at capital gains rate, obama defended that. that is one of the big things. that is warren buffett and rich friends. this is disingenuous but the country should be rising up. >> neil: they are not rising up. >> i think this is because it's

going to explode. somebody is going to say, my grandchildren and children, this is moral issue being kicked down the road. these people will not deal with it and the republican handling of this was let me just put it this way, just about as stupid as i have ever seen in my lifetime. only matched by what they did the year before. >> neil: well put. happy new year. >> did any of you the streamliner. another nightmare. all safe. but why are so many plain scared? ♪

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>>. >> shep: on aj increasingly prayer, boeing running into

turbulence with the new dream liner to from a fire to a fuel leak today. it's looking scary. dan? >> reporter: certainly a lot of bad news for boeing in the 787 from improperly installed wiring to a fire in boston yesterday and today's fuel leak in the same city boston. japan airlines flight was preparing to leave to tokyo when it leeblgd about 40 gallons of jet fuel. it was towed back to the gate. the plane is officially still delayed. most serious happened on a flight yesterday. all the passengers and crew were off the plane when a maintenance worker noticed smoke in the cabin. it was coming from the battery that powers the plane when the engines are off. it eventually exploded and put took 20 minutes to put out the

fire. there was a serious fire during a test flight, back in 2010. last month there were three less serious mal functions, one diverted landing in new orleans. they ground add plane and then united took a plane to replace a power panel and generator. >> these are all electrical issues, but it appears to me that these are different electrical issues. now having said that the ntsb will probably take a look at all these electrical issues and try to determine if there is some sort of pattern. >> reporter: that is exactly what is going on. n.t.s.b. has launched an investigation into the airworthyness of the 787, three of their investigators are joined by experts from boeing, japan airlines and faa. the big gamble for the dream liner has yet to pay off, after selling 800 planes, they have

cost overruns and quality issues. it could be years before the plane turns a profit. the stock is taking a hit. down more than 3% since the fire yesterday. >> neil: dan just hit on it. this plane is supposed to be the next big thing. more than 800 have been ordered. to industry expert, how serious this is, should we worry? >> we should worry and boeing should worry. but the ntsb is investigating but we have a split problem here. before they start delivery of the plane to customers, you expect some problems but once in the aircraft are in the hands of customers and there are 47 out there now, there have been a number of problems more than what you would usually expect. the fuel leak is certainly not electrical problem. boeing needs to get on top of this right away. >> neil: when a new plane is announced or boeing in the old

days announced one or started shipping them out, did we ever have problems to this disagree, or is the media more alert to them? >> no, not this many in this short of a space. i was inspector general when the triple 7 came out. we had the same kind of thing. we had a number of glitches and electrical problems, but within the space of two years, those were all sorted out and no serious problems, no loss of life. we do expect the problems to sort themselves out. what we did not have in the triple 7 this many. >> neil: what happens, they hear of a serious of problems or accident or crash in the case of prior disasters. this is nothing like that. it's been many years.

but people think, whatever model plane, i don't want to be on. where people do you think call and check ahead, wait a minute,e dream liners, do you? >> they might do that. you can wait for a few months, but people felt that way to some extent about the triple 7 and wanted to give it time to work out. my daughter is on triple 7 coming home from europe. >> neil: that was a big view. downstairs and a lounge. >> people thought it was a problem plane. people should avoid it. after literally about a year and a half the problems were all worked out. it has a good safety record. that is plane that people look up to for safety record. >> neil: let's hope this ends up

being the same. i want you to consider this. it took 405 days to build the empire state building. harry reid can't pass a budget in 1350 days. byron york with a g.o.p. move that just might make him. every six months without an accident, allstate sends a check. ok. [ voice of dennis ] silence. are you in good hands?

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1350 days since they passed a budget. harry reid not in a hurry to follow the law but are republicans about to use a tack if i can that could force him to do that. >> we have heard a lot what may be on the table on the debt negotiations. will republicans demand cuts and entitlement spending or other budget cuts in exchange for raising the debt ceiling. now some republicans are saying, how about we just ask for a budget? the congressional budget act of 1974 requires that congress pass a budget every year by april 15th. harry reid last allowed a budget to be passed in the senate in april of 2009. as you ed said earlier that is 1350 days ago. the reason is clear. the budget that was passed passed by a big democratic majority had highly elevated

levels have spending. by not passing a new budget they of made the spending the new baseline. they really don't want to change that. they haven't passed one. they funded the government by passing a series of continuing resolutions since then. >> neil: are they breaking the law? >> they are. the law does require congress to do this. i have to say, after i published this article in the washington examiner. i got tons of e-mails, gee, if it's the law and harry reid is breaking it can't they do something about it? the law was written and it's a requirement and it has no enforcement provision. it has no teeth in it. harry reid is violating the law, but there is no way to punish him for it. >> neil: the president always submit a budget each year and every year, then it's at the senate's disposal. the president's budget, they rejected it. where are we with this? >> the house has passed a budget

the last several years. house has been doing its work. these are the so-called paul ryan budgets. ryan plan, democrats have been critical of, in the senate nobody has done anything. they have not put together a serious budget. there were a couple of show votes, republicans forced a vote on president's budget and was rejected and nothing has happened since then. it's interesting the jay carney was asked today about this. what about these republicans who want just you to pass a the judge or the senate to pass a budget in exchange for the debt ceiling. he said forget about it. we are not dealing in anything in raising the debt ceiling. >> neil: that is not negotiating. let's do each our jobs and move on from there. >> right there. no more basic function of the congressmen to do this. jeff sessions who has been conducting a lonely crusade in

favor of this, he is the ranking republican on the senate budget committee, he said i think it should be a policy that you cannot raise the debt ceiling unless you tell the american people what you are going to spend this newly borrowed money on and do so in the form of a budget. it's really not a crazy idea. >> neil: byron york, thank you my friend. to a senator that has had enough. my next guest, 20% across the board cuts, he wants, ron johnson. what is the reaction? >> calling for what i was talking about is putting myself back in business mode. if you have departments that are not functioning, you say your budget is cut 20%. that is how you make things more efficient. our agencies, that would be the way to do it. i have sat through hearings how

to improve performance and in the end is to get these agencies is cut their budget. >> neil: what about making republicans more efficient. what happened to you, you lost the election you lost your backbone? >> i don't believe so. i certainly have you. if you are talking about the fiscal cliff, back in 2003 they made tax cuts temporary. they extended the temporary nature come two years but come january 1st income tax was going up. so this was protecting 99% of americans. republicans wanted to protect every american. we didn't want to see taxes increased on anybody. we didn't have that option. all we could do because president obama demanded the taxes were going up for some americans. >> neil: for this whole kubuki theater was silly? >> the house passed extension

past august. harry reid refused to bring it up. president owes congress a report because medicare is spending out of the general fund 45% what it is paid for benefits. that required by law and 15 days after he submits a budget he has to submit a report to fix it. four years he hasn't done that. we should be demanding of this president to follow lawsuit on. >> neil: you voted for this cliff deal in the senate. do you think you will be held to pay for that? >> in the end my evaluation. >> neil: are people saying there might be a party challenge to you? >> obviously, there are conservatives not happy with me. >> neil: are they saying you disappointed them? >> i say i was voting to protect 99% of americans to get their income taxes increased and i

denied $4 trillion that was going to be misspent to increase spending, increase the size of government to increase government's control over our lives. i think the cause of the problem is the size of government. it's not the perfect way of limiting the size of government. i didn't want to see $4 trillion flow into this federal government. >> neil: do you think the beast will because you didn't draw it, but because republicans ended up with 40 to 1 ratio that they may say we got their number. we're not going to see the point. >> it takes two to tango. this president refused.... >> neil: what if he keeps refusing? >> we're going to have to educate the american public. >> neil: would you go through, to make that point? >> we don't have to do that. we shouldn't be playing this

game. >> neil: i know you don't have to but what would you do? >> that is hypothetical. >> neil: yesterday, they say, we'll shut the government down? >> we need to create the conditions that you are not threatening a full government shutdown. >> neil: what are you threatening? >> what we need to be doing is using these moments to educate the american public to so they understand how severe the financial is. and president obama does not have the other side of his balanced approach. we obviously didn't win the election. it's about informing america. it's making people understand what pat was talking about. what we are doing to our children and grandchildren is utterly immoral. >> neil: do you see banging and no one is listening. let's say you push this to the brink, they are going to say.

>> there are thing things we can do. we can pass legislation in the house that prioritizes spending so if we bump up against the ceiling we don't raise it. we sure the military gets paid and social security is sent out. if you take a look at $2.5 trillion in revenue, you top on the social security payments that can be made out in the trust fund you are basically operating the government on 95% level. it didn't have to be painful. now you've cut the rest of the agencies, it's one strategy. another one, there are all kinds of plans out there to reduce spending. cbo, $4.9 trillion of reductions over ten years. we should be demanding of the president is listen, if you want dollar for increase in debt ceiling, give us a dollar worth of cuts. >> neil: last time he ignored

you? >> i understand that. that is the difficulty we have. we only control the house. harry reid is not passing budgets and they are not preparing the reports on medicare. you got a president who denies that we have a spending problem. >> neil: senator, good seeing you. government says this is under control and no reason to panic, what is the deal with this triage thing in pennsylvania? [ male annocer ] edmunds.com says the all-new nissan altima

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any way you want. fully customize it for your trading process -- from thought to trade, on every screen. and all in real time. which makes it just like having your own trading floor, right at your fingertips. [ rodger ] at scottrade, seven dollar trades are just the start. try our easy-to-use scottrader streaming quotes. .. [ all ] i'm with scottrade. >>. >> neil: don't like waiting in line. you better not get the flu. pushing emergency rooms to the brink. in chicago where they are getting so many cases, three city hospitals are turning away patients. in pennsylvania where the hospital set up a emergency triage so it can take every patient in. terry burger is the hospital director joins us on the phone. doctor, thank you for taking the

time. why did you have to set this triage set up. >> just a correction, i'm a nurse. the reason why we decided to do this, is to decrease the compression we are seeing in our emergency department. therefore, we set up a search tent like we did during the flu epidemicnd what we are able to do is triage patients that have milder flu like illness out to our search tend to get seen effectively, efficiently and we see them, evaluate them and discharge them. >> neil: how many are going to that tent? >> we didn't open -- we set it up last night and we opened up today about noon. we have seen about 20 plus patients. we have the capacity to see six patients in that search tent. right now it's full. it's going to be open until 11:00 tonight.

>> neil: did you see something down the road you are going to need that extra room or separate unit? >> well, we have three campuses that encompass the network. this campus alone which is level one trauma center, we typically see about 285 patients a day. we were seeing an additional hundred patients on top of that that had flu-like symptoms. it has progressively increased since the first week of december. >> neil: do you think it's going to calm down or bigger than what we thought? >> i think we were very fortunate that we had two mild seasons, 2010 was mild and 2011 is mild. this is typical flu season. i don't anticipate we're going to see decrease much before march, even april possibly. every year we know that we see severe illness and we see deaths. that is pretty much what is happening this year. >> neil: hopefully we'll get

through this without any crisis. thank you. good having you. >> it's not too late late to get a flu shot. important for people to know that. >> neil: you eager beaver students, i know you are young but you better be restless, if you didn't know washington was clueless. take a look at this number. it's your number and it's going to leave you breathless. ..

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>>. >> neil: now you've seen the debt clock a billion times. how about this? debt clock is easier to read. that is the number each student's share of the massive national debt. young america, are you shocked at that. that is the point. he wants to shock you.

his group is trying to bring this to your attention. charlie cook, turning point, founder. >> we boiled it down to the student's share to make it more relevant because we had the $16 trillion number. i don't understand it. let's make a clock that young people can understand. their share and it's $800,000 or above that. it's funny it goes up at a rate of 850 an hour. if you work 24 hours you could only keep up with the rate of growth of the national growth for each student. what is more concerning about it as the debt goes up our freedom decreases. my generation is getting handed a big bill without the right to vote. >> neil: but you are free market and lot tend to be more liberal and many others tend not to care? >> i think that young people, because of the education system, they want to see a bigger government they think is humane.

we're trying to promote morality through free markets, that is better than a handout society. let's talk in terms of free pa market and more government control. >> neil: how is that going? >> we're having a lot of success. as twitter and facebook, we are growing quickly. this is only the first of many debt clocks. we're going to come out with a series, how long do i have to work at minimum wage. if i was above minimum wage, it's innovative and we do get resistance and. >> you are young gay yourself. you lot of young people preferred obama over romney. >> there is a couple reasons you saw that number. first of all i think the election was framed in social issues. think there is some disservice done on the national conversation. it was about free contraceptive

and gay marriage. >> neil: for young people. >> if you talk to young people, do you want have to have more opportunity society and government reined in. they are starting to think. that is not the way it was framed. if you ask a young person, do you want to start a small business or do you want to be as successful as you can be, they will agree with you nine times out of ten. >> neil: you are sort of "a" political party but what do you mean by that -- what are you? >> i consider myself none partisan. we want to see free market. >> neil: republicans are not cutting for you? >> i don't think the republicans or republicans are not the ones for us. i don't like parties, i like principles. >> what do you do? >> think we need to educated. we need to make the parties. it's not democrat or republican. what is the electorate is going

to look like. if we can educated people like that the parties will look different. >> do you think you are going to see social security? >> not one kid raised their hand. kids don't think they are going to get it. >> neil: yet they prefer the party that says they will? >> it's interesting. >> neil: charlie, thanks for being here. did you hear about the big game and big score. >> i want you to think uglier. much, much uglier and no cheekbone.

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submitted the budget. more than three years without a budget. no spread. no sheets. never mind the law required congress to pass a budget every year. only the house felt compelled to honor that silly notion each year. yet, the house plays games, not the senate that plays with the constitution, whose democratic majority is calculated doing nothing and raising spending you in effect raise the budgetary baseline for which there is no retur returning. leaving aside the hypocrisy of overseeing the dereliction of duty. if you can't submit a plan for what we're spending how can you possibly submit a plan for what he should be cutting? the problem with washington today isn't that it won't face the problems, it's that it doesn't especially see a problem. the president purportedly telling john boehner this country doesn't have a spending problem. nancy pelosi using no less than the 14th amendment to dodge the debt ceiling mess letting the president raise that debt ceiling on his own. and in an act that would do no