coming up next. ♪ welcome to the special edition of "the journal editorial report" as a look back at the highest and most of 2022. and we began with us economy and the earth inflation. consumer prices continue to climb in 2022 as americans pay more for everything from gasoline to groceries hitting a high of nine.1 percent before moderating somewhat and

the fed scrambling to tame prices for seven consecutive rate increases bringing interest rates to the highest level in 15 years. chairman power makes it clear that at the final meeting of the year there is more work to do and more payment had. >> you wish there was a completely painless way to restore price stability. there isn't. this is the best we can do. but i do think that the markets are confident that we will get inflation under control we are certainly highly committed to do that. >> bringing in our panel. and editorial board member kyle peterson. mary, i appreciated the candor of the fed chair what this will take that what are your lessons of policy?

>> what you have to take away from that clip is that jerome powell understands the importance of credibility if that is not a credible manager of inflation, then it gets out of control. it was just over one year ago that jerome powell said that transitory may not be the best way to describe the inflation problem and since then they've raised seven times a series of 75 and most recently 50. so that is a huge increase in the fed funds rate over a relatively short period of time. and i think the signal jerome powell is trying to send it is i am dead serious. no matter what elizabeth warren complains about i will do this. paul: look at the inflation on average people and the average weekly earnings falling

3 percent at one.9 percent does that mean the average american has a decline in his or her standard of living? and that shows that inflation hits the middle class. >> it does very hard and that is precisely jerome powell's point they have to get the inflation rate down below the growth in real wages or people will always be behind and that is simply toxic all through history to see those examples as it is eroding and let's be honest with what's going on. all of these dislocations caused by the pandemic and all the economic closures forcing unemployment layoffs and supply chains were disrupted and then the massive amount to compensate for all of that.

the economy fundamentally strong but it will take a long time to work through those dislocations. >> look at the 401(k) and looking at equity prices those equity bonds have taken a hit but there hasn't been great crisis in the financial markets the big one being cryptowhich has blown up but are you surprised we have not seen a larger problem in financial markets and you expect cryptoto spread in the coming months? >> i think the cryptophenomenon is related to inflation but when there is a lot of money sloshing around the economy and encourages people to speculate is new areas and build bubbles and that is what happened in

cryptobut the fallout we have had from ftx is a question of internal mismanagement. it doesn't seem to be related to any bigger systemic issues are likely to spread. i'm not surprised that regard the markets have taken it on the chin think that's because they're not happy with jerome powell's comment. every time we have seen that dip back up because they are still thinking one day the fed will come back in and just start using which is been the policy of the recent past it's good to see powell doing that because there will be some ups and downs in the market and energy prices and energy markets especially learning the hard way when you put all of your chips into solar and wind. have we learned the lesson

there of what to avoid to make sure we have energy security? >> it seems like president biden has not learned the lesson he has been to saudi arabia asking for more oil into opec talking about easing sanctions on venezuela and somebody who is a joker might say if texas were the authoritarian country we can get we'll out of texas. i think that lesson is being learned by a people everyday at the gas pump when i get that heating bills unfortunately there may be more learning but it hasn't filtered through. >> with 40 seconds left. will powell stick with it to get with inflation to control inflation? or will that political pressure get to him?

>> he will stick with it for now. because that last mile will be harder and we will start to see more strain on the economy. >> and those unemployment rises in particular but when we come back to president bidens posted political come back look at the biggest storieget s of 2022. i can't! i'm just telling everyone! hey! use your vision benefits before they expire. visionworks. see the difference. there's always a fresh deal on the subway app. like this one! 50% off?! that deal's so good we don't even need an eight-time all-star to tell you about it. wait what? get it before it's gone on the subway app!

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giving him low marks the handling of economy immigration and energy policy so there is talk about political come back. wall street journal columnist and contributor karl rove senior advisor to george w. bush. good to see you saw this last year what is the lesson they should learn from this? >> don't nominate knuckleheads. to have a background direct to the people's vision and values that people can agree with you and if you don't do that then you will lose spent how big of a factor in respect they have to get ahead of that quick. >> . >> to have a referendum on the ballot but think about this we had pro-life governors georgia

and texas by those election margins and if abortion would have uniformly negative impact across the country would have seen it there. republicans have to have the ability to talk about what they have done in a way that appeals to suburban voters who may swing against them in there is a consensus in the country if we want to acknowledge it or not. people don't want to be abolished two thirds of the american people wanted to overturn roe v wade but yet on the other hand more than two thirds of the american people and 75 percent in the third trimester so limitations on abortion with a certain number of exceptions for rape and incest and that's what word

largely support that in many parts of the nation. paul: a great biting come back. >> i feel it. and giving a jolt of momentum real clear politics have reaching the job approval bring it 43.4 percent this morning a one.3 percent increase i feel it every moment of the day. >> so look at what has happened before the election the democrats were mumbling this is why he can't run we will lose and then governor newsom bows out he won't run against biden and biden in the white house talking about they will announce it in the new year so does not salvage his

presidency? >> it scared off some early contenders but i have to give compliments this is beautifully done. strong support for the agenda has brought him support. remember ohio strong support for the agenda amend mike the wine got reelected as republican governor by 26 points and swept the entire take it with him. that one swing state of florida the republicans crush the democrats in the last four years 600,000 people have registered in florida as republican and 27000 morris democrats. georgia one by one tens of 3 percent but then the governor takes the entire take it the only statewide candidate to lose was herschel walker he was part of that knucklehead group wisconsin. your state there was a us

senator running against every single thing joe biden ever proposed including what day of the week it is and ron johnson ran for reelection new york full republican new congressman in a blue state where was that support for the agenda? arizona one by three tenths of 1 percent and the devon senate candidate left the closing massive message of his campaign his opposition to the biden administration policy on the border it was beautifully written if only barely tethered in the facts and the reality. >> you were predicting 20 some seats in the house with a narrow majority will be to 22 and will make it hard to

govern with a very left-wing candidate in pennsylvania. if i were the white house i would be talking up that book also. >> that i wouldn't put the credit behind joe biden agenda. think about it there are at least 11 candidates deeply five john gibbs in michigan who were trump endorsed and had fundamental flaws and lost very narrowly the republicans of they nominated slightly better candidates would have more pickups and the same in the senate even five candidates we came close but what surprised me about this election was how much the return of the tickets have been we have a group of people out there who said i'm going

for brian can for governor but not herschel walker for the senate and that is almost one out of every nine voters in the state of georgia and also happened in arizona and around the country. >> thank you and merry chri christmas. >> i thought you would wear a red tie so i wore the green one. merry christmas. >> when we come back house democrats make a final push against donald trump is a prepare for life in the minority looking at the raising political peril for the former president as he makes another white house run on the alternatives that are emerging inside the republican party.

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paul: house democrats in india with the final push against donald trump as a prepare to return to the minority the january 6 voted to refer the president to the justice department for criminal prosecution for efforts to overturn the results of the 2020 election and the house ways and means committee voted tuesday to make public six years of tax returns as republican voters begin to express doubts about another trump white house run and is other republican alternatives emerge. we are back with our panel. dan, sort through this assault on donald trump for prosecution so what does this add up to quick. >> that's a good question.

so what does it come down to? on the one hand it comes down to ultimately the democrats roll their anti- trumpet session are doing the republicans a big favor. why? because one way or another they are probably making it less likely that trump can mount a successful run for the republican nomination 2024. this is a former president who was filled with legal and political problems this is a heavy load for anybody to take on. and it will wear down donald trump support inside the republican party. that said what are they doing such as releasing the former president's tax returns sits morally with those republicans. i think a lot of conservative republicans even independence find it just fits in the craw

in a bad way with this relentless constant attack on a former president of the united states. a lot of these problems should be left to the political process rather than what the democrats have been doing. i think they are doing the republican party a big favor with the anti- trumpet session - - trump obsession. >> could that have a boomerang effect and the mar-a-lago raid did have that effect to say why are you reading his home over documents? could the indictment rally republican support for trump? >> absent anything else the phenomenon you just described is what normally happens but this midterm election something really important happened on that day for a lot

of republican folders and trump supporters that donald trump could be a loser even absent claims of election fraud in a really bond especially in the senate so you can have someone who isn't donald trump being a big winner like ron to santos in florida without the baggage and you are saying this reflected in the polls that republican voters are shying away looking at their options and that dynamic that you describe normally does apply that also making people take a second look. >> talk about the florida model republicans have held the statehouse for a long time and they control the legislature so you get a real

good laboratory test how republicans can govern in a big state on take that to washington so how appealing is that model? >> i think it's very appealing to a lot of republicans. school choice florida has long been a leader i think governor desantis has cheaper charge that there is some analysis of the initial election that says a larger share of black women voters given the baseline and at school choice voters gave him the reopening of florida as a governor desantis runs against donald trump he has a lot of time making that argument with the closing two weeks to stop the spread and it turned into two years in florida did not go down that

road. >> i just want to ask about the democrats and joe biden. we have the zelensky trip to the president of ukraine here how much credit do you give biden for his ukraine policy overall? >> it is the one thing that joe biden seems to be consistent with over his career. he has always been a foreign-policy hawk and he sticking with that and i suppose if i had to pick one thing that he has done right think he has held the country together in support for ukraine. >> do you agree with that? >> i do. by and large they have done a good job and have tremendous support for ukraine and the issue is always why do they

slow walk? vladimir putin and the russians have basically demolished ukraine the scenes of rubble are unbelievable. ukrainians need more than antiaircraft weapons and on balance it has been a good show but a slow show. >> ukraine would be in a better position if they gave advanced weapons earlier sonata the brutal invasion president zelensky's defiant response looking back at 2022 continuing with the biggest foreign-policy stories of the year research shows people remember commercials with nostalgia. so to help you remember that liberty mutual customizes your home insurance, here's one that'll really take you back. it's customized home insurance

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♪ acoustic soul music throughout ♪ >> against the doom and gloom scenarios, ukraine did not fall. ukraine is alive and kicking. [applause] paul: a defiant president vladimir zelensky addressing congress with his first trip abroad since invasion of ukraine. today marks ten months since the siege began many believe in moscow hoped would lead to a quick and decisive russian victory but now moving into the harsh winter months the ukrainian leader is seeking more aid for the biden

administration announcing another one.85 billion-dollar package including a patriot missile defense system. bringing in the senior vice president at the center for strategic and international studies and author of the book so we saw the trip to washington is a political success where do we stand ten months and quick. >> what we see is repeated russian failures and then failures to stop ukrainian offenses and then the blast around the cities where we have seen a little bit of a rush in advance of those competent army soldiers and

that is a stal stalemate. paul: is that where we are? because there is some talk that russia made planning the offensive planning through belarus that would be aimed that they are in a position for those new offenses. and i don't think that they had that combined arms capability to do that we have seen multiple failures in russian logistics and the russian president this week and with those russian failures and things like getting encrypted information

and this is more of a public relations stunt than a serious indication of the offensive from belarus. paul: we really don't see any sign that putin is willing to negotiate any terms that ukraine could accept. and the strategies seems that the ukrainian cities and electricity plants out of commission to terrorize the population. is that how you see the strategy and support for ukraine? >> that's exactly how i see the strategy. in military terms is called the punishment strategy. and then to target the industrial base of the adversary and in this case can't do that because the industrial bases in the west.

as the civilian population i spoke to the health minister a couple of days ago and he outlined the targeting of hospitals and those that are targeted by the russians but what i don't see is the answer to your question but a lot of cracks in particular in the us. what we've seen with the zelensky visit in the us in a number of senators and representatives in the white house to have some resilience. paul: with the russians getting drones from iran for the aerial assault do you think a rainy and nuclear deal revival that biden wanted happens? >> i think it is dead the iranians are showing an unwillingness to cooperate on the nuclear deal. and stretching uranium at more significant rates and with the

drone they are providing to the russians and a willingness to compete in the russia ukraine theater this isn't something you can negotiate this is an adversary so let's turn to china and the sunset one year ago that china and russia were joined at the hip and on the march. look at china one year later with the troubles with covid is china stronger or weaker? >> no question right now china is struggling and those within the population of covid response has largely been a failure and those that working with interest in the war in ukraine with the united

western front. here in a weaker position than one year ago. >> so have they put up a strong support that enhances against china say against taiwan or the assault on taiwan quick. >> i think so. at the end of the day as the us learned what it is preparing for the possibility of an invasion of taiwan. it is a formidable island and then to get logistics into the environment but the western response and the willingness to provide assistance to ukraine is an indication after the failed withdrawal from the biden administration that the us has recovered somewhat from that deterrence has been

strengthened but there are some wildcards like the declaration of independence and those would change those calculations. >> thank you for coming in happy new year. a blockbuster year for the supreme court as the justices vote to overturn roe v wade and the left steps up the tack on —- the attacks in the courts legitimacy looking back on 2022 will continue after the break. i'm frank siller from the tunnel to towers foundation. i'm here at the patriot awards to honor some very special

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paul: no mentis year for the supreme court the justices voting to overturn roe v wade sending the issue of abortion back to the states. that decision and others on gun rights and religious liberty helped to fuel an unprecedented attack on the court when the legitimacy with progresses taking aim at the republican appointed justices. bringing back our panel,

looking at the dobbs decision overturning roe v wade of course that was predicted of supporters of abortion rights that would be a catastrophe but really it has not turned out that way. >> even before the court decided they were moving to legalize abortion and that evolution would have not have the court stepped in. and then to stop all of this and then going back to the states and since that time the public view of abortion has changed and it was in a much healthier and more democratic way and that is much more than republicans so when it comes

to the other decisions by the court a couple of big ones on regulatory policy taking on the administrative state the major questions doctrine that doesn't get as much attention as it deserves as it echoes throughout the coming years. >> so that if congress is giving authority to a regulatory agency congress doesn't hide all things and now schools as justice scalia put in an opinion. so the court has been and then one way to think about is the cdc eviction moratorium and then if congress gives public health authority. and does that extend to

banning evictions nationwide and the supreme court said no. and there are lots of cases in the coming years as the supreme court figures out how far the regulatory agencies can go. >> and this will be decided next year on racial preferences in education. >> and then to tackle some of issues in the court has gone astray. >> what i find so fine line —- is interesting is the main emphasis it seems to be check the power of the federal government to be involved in your life put aside abortion because you can defended on those grounds but almost everything they do says wait a

minute minorities and people who are in the minority have equal rights and we defend those rights and the federal government cannot just wave it's time and dictate the life of people throughout the country. and that should be communicated as a liberal in the classical sense and instead it is viewed as anti- liberal by the media. >> the court doesn't always decide things as i can tell on a bipartisan basis it supported biden and that remain in mexico policy and and congress has the right to see donald trump's tax returns but the attacks on the left of the legitimacy have really picked up going after

individual justices so how do you think effective that campaign has been quick. >> not at all is a standard left-wing technique marching in front of the justices and then to bring the argument they cannot police their own ethics and on justice alito. the left tries to declare certain ideas as outside acceptable discussion in the united states. 303 creative of the colorado website owner who did not for religious region on —- reasons want to conduct websites for things like marriages. and free speech and what can people say and not say?

in that case we get at least five justices on the supreme court an opportunity to express themselves. on the left trying to silence people that don't agree with them. >> the hits and misses of the.. year..

paul: it's time for the hits and misses of the year starting with doneness. >> my miss is to the biden border even before biden took office he was broadcasting he would take any asylum-seekers who came to the country and

then to dismantle all the programs that allow border of enforcement. with title 42. and then those coming to the border and it is deeply undermining the potential for the immigration deal and creating a humanitarian crisis. >> i will give the this to me her image conspiracy theories of voting on the right it is mass fraud failing to appear despite the backing they were rejected at the ballot box it is massive voter suppression which failed to appear in despite president biden's warning going into jim crow two.zero turnout was high beating herschel walker not once but twice so no election is ever perfect in their ways to improve the generally run by local officials and it seemed to work in 2022.

>> those that experience another year of runaway violent crimes in 2022 between defined the police and hatred for the pol police, it is another 12 months of hell for urban america and most of the victims of this crime are in minority communities, they live and work there and they have been the hardest hit so a chair for new york governor. >> it goes to the nation public school teacher unions who assisted me in the pandemic keeping schools closed or on a modified schedule. so the nation's report card have revealed the cost for student achievement is

extraordinary among those eighth-graders the math scores declined significantly they will pay priceline into their adult life so never close the schools ag again. >> going to president biden for the student loan forgiveness decision that could cost $400 billion grossly unfair to those who did not go to college or did repay their loans he had no authority from congress to do and based on nothing but his personal when and the supreme court next year when he hears this case will declare it illegal as the justices should when were break when we come back to hit for the year.

paul: time now for our hits of the year and, kim, first to you. >> so, paul, my hit goes to the exemplary life and reign of queen elizabeth ii. world lost her this year at age 96 after 70 amazing years on the throne. she was the embodiment of duty, she was a symbol of martial unity even -- national unity even when her country was going through trying times. she was beloved around the globe. and as politicians look forward to come up with some new year's resolutions, they could do worse than to simply try to mirror some of queen elizabeth's sheer class. we could all use a little bit more of that, may she rest in peace. paul: kyle. >> i'll give a hit to nasa's dark mission, the double it's ride redirection test, and -- it's -- asteroid pro, a spacecraft the size of a refrigerator but moving at 14,000 miles an hour. and the point was to see how much the asteroid's orbit would

be affected. scientists say the answer is much more than they thought, but now is the time to test this technology. as far as we know, there is no huge asteroid hurtling toward earth at moment, but that is probably just what the dinosaurs thought, and we know how that ended up. [laughter] paul: mary. >> a hit for the argentine football club which brought home the world cup for the first time in 36 years. the rest of spanish-speaking america doesn't always love argentina, but they united behind the team i think largely because of lionel messi, the team captain, who showed a lot of skill playing on the field in character and leadership in life. paul: dan. >> the hit of the year goes to ukraine, specifically the men, women and children of ukraine. nobody but them expected them to be able to withstand an onslaught from vladimir putin's military might. well, they have done so with extraordinary courage, are resilience and not least smart military tactics have been a

marvel to behold. ukrainians are fighting the author talk about threat for all of -- threat for all of -- authoritarian threat for all of us. paul: an advance -- and advanced military weapons as soon as we can get them there. all right, my hit of the year is to the developments of biomedicine, fantastic discoveries that we don't read enough about are happening all the time. a new potential vaccine for melanoma with mrna technology the, new treatment, potential treatment for alzheimer's, precision oncology. developments in artificial intelligence and genetics are making all kinds of things possible that someday could save your life. we live in a great age of biomedical innovation. and remember, if you have your own hit or miss, be sure to between it to us @jer on fnc. that's it for this week's show.

thanks to my panel and to all of you for watching. i'm paul gigot. merry christmas. we hope to see you all right here next week. ♪ ♪ ♪ >> the national weather service warned it would be a once in a generation storm, and that it is. heavy snow and dangerous winds gripping more than 60% of the u.s. population coast to coast this christmas eve, and reportedly blamed for at least 16 deaths. now an arctic blast is putting most of the country in a deep freeze. hello, everyone, i'm anita vogel in for arthel neville and, rich, great to be working with you on this christmas eve. rich: anita, wonderful to be working with you. i'm rich ed rich edson in fo