chase for the american league wildcard is a 2, 4 race. with older sister venus knocked out of the u.s. open, younger sister serena showed why the williams' name still needs to be feared. and the sooners are dealing with a worst case scenario, thanks to the sam bradford injury. why our expert thinks there's no reason to panic. [closed captioning provided by espn, inc.]

>> available in high definition. will selva, mike yam with you. and when it comes to the american league wildcard race, it's becoming clear every game down the stretch is crucial. no question about it. the rangers did need to watch the scoreboard to see if they gained ground on boston. all they had to do was sweep a doubleheader from cleveland. rangers reliever had a consecutive scoreless streak of 20 and a third innings. in the bottom of the sixth. indians down 5-3. bases juiced. michael brantley threw a bleeder off the lead. two runs come in. same score, marlon bird, up, up and away. three-run shot. four hit games this season, rangers win it 11-9. rangers in double figures, julio who entered the game with one career home run went deep twice.

game number two, the rangers were in cruise control in this game. but the indians coming back right now. it's a 7-5 run in the six, and two more in the seventh for cleveland. and a michael brantley r.b.i. single. that's shrunken that lead. we'll keep you updated as the game goes on. >> the a.l. wildcard leading red sox open oning a brief two-game set against hernandez and the o's. boston has lost four of the last six games. first inning, the sun devils, dustin pedroia, one of his two home runs. first multi home run game. sox lead 2-0. bottom seven, red sox still swinging it. big papi with the big slide. ortiz tied frank thomas for the most homers by a dh. 2669. the red sox had a season high six home runs, and achieve a

franchise first by achieving five home runs in the first three innings, the last team to do that in baseball was the 05 rangers. >> taking a look at the a.l. wildcard as it stands at the motorhome. the red sox have a two game advantage over the rangers. >> the story of the u.s. open has been melanie oudin, the 17-year-old is the youngest american to reach the quarters is since serena williams in 1999. let's not forget our elders. 27-year-old serena entered the defending champ looking for her fourth open, and 12th grand slam title. to establish that she'll have to start by beating flawfia pen net a. who has the toughness to send her home. the italian fought her off to get here. seris rena serving. 7 aces in the match. but this time she's got penneta on the run. serena hasn't lost a set in the open this year.

second set, serena leading 3-2. penneta didn't convert won break opportunity. both players here chasing the ball down. strong rally. eventually though penneta will find the back of the net in what was arguably the best point of the entire match. serena is going to move on to the semis. she's going to take on kim clistjers. she spoke when it was done. >> serena, great effort. what about that last point? >> she had seven match points in her last match. and i knew i had to win. she never gives up, she's such a great player, and gave such a great match tonight. >> you guys were going toe to toe in the first set. on serve, no breakpoints. what was the turning point for you to break open this match? >> i think just my experience, you know. she was serving, and i just felt like i had nothing to lose. and just go for it kim clistjers

trying to keep her upset going. first set, na not playing well. na hit that return well wide. with 41 unforced errors in two sets. clistjers takes the first set 6-2. remember, clistjers took two years off to have a baby girl. second set match point for her. and nflt a returns that serve wide. clistjers moves on. 6-2, 6-4. >> clistjers will meet serena williams thursday in the women's semifinals. williams is 7-1 all time versus clistjers, including 7-0 on hard courts. the other semifinal will be decided wednesday. the marquis quarterfinal match remains 17-year-old american melanie oudin against caroline wozniaky at 7 eastern on espn2. >> round of 16 continues. men's number 3 seed, nadal taking on the 13th seed french

man ul gaël monfils. i love when he gets pumped up. that's just entertaining. and gael the forehand wide from nadal, and monfils gets pumpped up. now nadal up 3-2. break opportunity for him. monfils up to the net. and nadal right past him. nadal wins, goes on to win the second set 6-3. and that's kind of like a tiger want to be fist pump there. nadal serving up 1-nil, monfils returns wide. and as it stands now, rafa up 3-1 in the third. >> now if this tennis thing doesn't work out, andy murray took on cilic. the first set, murray in trouble after a long rally. chill itch with the winner after murray at the net. ci lsm ic serving for the set.

and murray can't handle it. cilic wins the set 6-2. more of the same for cilic, and he'll win the point with the overhead slam. murray not making any excuses for the loss. regardless of my wrist, i lost the match. i returned poorly, and he served it well. and that was really the difference, i guess. i felt like in the first set. when i was getting into the rallies, i was able to move him around and i had my chances. then once he got the first set, he started serving well, and started playing really agressi agressive. i'm disappointed. i don't know how long or how quick it will take me to get over it. but i played well this summer. i had a good grass court season this hasn't been a bad hard court season, just today wasn't

good. >> murray who leads all players with 37 hard court wins this season, becomes the second hard court wins leader in the last nine opens to fail to reach the quarters. juan martin del portro faces the quarterfinals of a grand slam for the fourth time in his career. >> still more baseball to get to, including derek jeter trying to pass a yankees legend. also ahead, the giants without their reigning cy young award winner. how it gave them a chance to see a promising future in san francisco. plus on saturday, the troja tros taking on number two the buckeyes. how he plans to stop terrell pry or. when sam bradford went down, on oklahoma's ranking went down with him. why there is still hope f you could win $100,000 with scrabble at subway.

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career home run. >> souvenir city. there it is, it came in the sixth inning, and rockies on top. >> in a commercial for ml b-2 k9, giants pitcher tim lincecum is seen hanging out with the video game version of himself. giants send out the virtual lincecum every fifth day, they would. they needed his arm on tuesday night. that's because the real lincecum was scratched for his scheduled start with inflammation in his lower back. the giants called up ton pitching prospect baumgartner. they're hoping that lincecum will take his next turn in the rotation.

>> giants hosting the pods. leading 2-1 top of the fourth. r.b.i. single gets the scoring started for giants and rowland added a soloiac in the second. chase headily doing that voo-doo that he does so well. he had a solo home run in the second. 6:a look at the n.l. wildcard as it stands. two games separating colorado and san francisco. >> the yankees captain derek jeter with four hits will pass lou garrick as the franchise's all time hits leader. iron horse, 2721 hits. much tuesday though, derek jeter not as nice. came into the game 0 for 8 in his last two. before the game, he said you think about it, because that's all you're hearing about. jeter in the bottom of the ninth. tied at 2. nick swesher, crushing that to right field. his second home run of the game, second career walkoff home run. and it's the third seed walkoff win of the season for new york.

that is the most in baseball. the yankees now 16-0 on this season when tied after 7 innings, new york becomes the first team to get to 90 wins this year. but surprisingly, the first time the yankees have been first to wins in five years. afterwards, joe girardi asked questions about his captain. >> derek obviously 0 for 4 tonight. is that a case of him pressing? or price had a terrific game as well. >> he was really good. i don't know. i've never seen him press before. so i don't know what it looks like if he is. he's getting some ribbing from his teammates. but this is going to happen. >> when i hit it, i hoped it would sink over. i don't know if it went over by one foot or 50 feet. doesn't matter, i'll take it. >> the seventh walkoff home run of the season. no other team has more than four this year. >> the previous times the

bombers have hit at least six walkoffs. they went on to win the world series. >> college football news just gets worse for the sooners. tight end jermaine gresh ham is out for the rest of the season. gresh ham had arthroscopic surgery on his right knee. he'll need five months to recover. wait. there's more on the oklahoma front. oklahoma plummeted ten spots to number 13 in the associated press's college football pole. after losing 14-13 to byu. kirk herbstreit says it's far from over for the sooners. >> oklahoma these next two games, they don't even need a quarterback to be able to get by to win those next two games. then you have a bye week. that's three weeks where sam bradford is going to be doing nothing but rehabbing his shoulder. you talk to any quarterback or any player that's ever had this injury, and they'll tell you that depending on how quickly it

responds, that if they're ready to go at 10 on 0% in three or four weeks. i don't think it's the end of the world. if oklahoma wins their next two. if they go to miami and beat the hurricanes and they get ready. and some way they get everybody healthy and beat texas, they're right back in the bcs discussion, and he still has his goals of having a great year individually. and the sooners are getting back to where they belong. oklahoma dropped ten spots in the associates press poll. how byu jumped the sooners going from 20th to ninth. they still have a strangle hold on the top spot. but two teams that would love to be there are going head-to-head this week. usc has ohio state. terrell pry or, this is a very, very unusual athlete to be this tall and this fast and have a great arm. and i think you can see, you'll see that he is not just a runner. he's working hard to be an all around quarterback. and he's already shown that, you look at him in the spring game

last year, he was a fantastic looking pocket quarterback. >> i am sure the guys that played in the game last year have a little bit different vantage point than the guys that didn't. i think motivation at the end of the day is how does it motivate you personally. so there will be some guys that, you know, say, hey, you know, i could have done this or that better the last time we played. but i hope they said that the week following that game. and started working on that. but as a whole, you know, will we sit and pound on the fact we weren't successful? no. >> two heavy hitters this weekend, game time 6:00 eastern. doesn't get any easier. one of the best teams in the nation, usc in town. don't miss the action on espn.

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has on it. >> drew:ç he has >> rockies came into play with a two-game lead over the giants. in the wildcard lead. rockies up 1-0. and then it's eric young jr. to left field. his first career home run in his 11th game. his dad should have a smile on his face. his father hit 79 home runs in

his career. but didn't hit his first until his 39th big league game. so the son has something on papa. the rockies have won five straight in 7 of 8 overall. jason marquis ties his career high with his 15th win of the season. >> the phillies have lost five straight on the road. but top 7, game tied at 2. raoul ibanez, bombs away. hits two home runs, fourth multi home run game of the season. phillies lead 3-2. top 8. phillies lead 4-3. chase utley will clear the fence himself. the phils have five solo home runs. phillies lead 5-3, and lead by that score. by the way, brad lidge pulled after retiring only one of four batters in the ninth inning. it only happens every # 0 years, and it only happens to the phils. the second team in major league history to have three left-handed batters hit 30 or more homeers in the same season.

>> arnold palmer palmer bobble head give away before the cubs game. cubs tied a major league record with eighth straight hits before the first out was recorded in the first inning. strangely enough, they've done it again. they did it back on april 21st, 1973. zach duke couldn't have been happy. eight earned runs in four innings. every cubs starter had one hit. as the cubs improved against the pirates. pittsburgh has lost 11 of the last 12. >> michael vick, offering himself up as a cautionary tale of the dangers of peer pressure. nick addressing freshmen at north philadelphia charter school. the man was sent to prison for his role in operating a dog fighting ring. urged students to make the right choices. >> i didn't choose to go the

right way. after 18 months of being in prison, which was the toughest time of my life. being away from my family. being away from my kids. and being away from the game of football, doing something so foolish. and i wish i could take it all back, because i did so many things that were wrong. and the influence on so many people when i should have been a leader, and not a follower. that's what you have to to do, you have to be leaders. >> meanwhile, the captain of the patriots defense, a pro bowler, and three time super bowl champ. tedy bruschi joins a new team, espn. he will be an nfl analyst for espn, and the new espn boston.com. >> no one likes playing with a ball hog. that's why everybody loved

playing with him. john stockton could not only count on putting the ball in the right spot, but he could be counted on to play in the game. he missed just 22 games in his entire career. trey wingo with more on the soon to be hall of famer. >> john stockton! takes the jazz to the nba finals. >> it's good. the three pointer, he's got it! >> they go to stockton, down the left side, shoots, turns at the buzzer, he made it! >> john stockton never won an nba title. and that's about the only bad thing you can say about his career. coming out of then unknown gonzaga university, stockton's ability to put the ball where players could score with it, unparalleled in league history. in fact, stockton is the nba's

all-time assist leader with 15806. more than 5,000 over mark jackson who ranks second. and stockton's one of only three players to ever compile a thousand assists in a season. and he did it seven times. stockton, and the legendary can a karl malone formed arguably the greatest one-two punch the league has ever seen. the two played a record 1412 regular season games together. virtually perfecting the pick and roll. in fact, stockton solely put, the utah jazz made the postseason each and every one of their nearly two decades together. but pointing out his offense would be only telling half the story. stockton's the nba record holder for steals at 3265. over 750 more than second place finisher michael jordan. you may have heard of him. he missed only 22 games in 19 seasons. 18 coming at one time. he played all 82 games his final season at the age of 41. he holds the nba record for most

seasons and consecutive games played with one team. his third and total games played as well. stockton averaged a double-double for his career. appearing in ten all-star games, memorablebly being co-mvp with malone in 1993. he won olympic gold medals in 92 and 96 as well. he was a two-time all nba first team selection, and in 1996 named one of the 50 greatest players of all time. of stock tob's two appearances -- stockton's two appearances both ended to jordan's chicago bulls, certainly nothing to feel bad about. in fact, those are arguably two of the best jazz teams in league history to never win a title. going up against a 69-62 win bowl teams while competitively taking both series to six six games. even without a title. you could not pass over the idea of john stockton as a hall of famer. >> simply a fantastic career. >> don't forget on friday, 10:00

eastern time, the news conferences, where else, right here on espnews. not only john stockton but his coach jerry sloan. and michael jordan. >> i've heard of him. >> still to come, the red sox and rangers still battling for the wildcard the explosion from both teams changed the rays. and serena williams moved on to the semis at the u.s. open. find out what weapon she used to knock off you could win $100,000 with scrabble at subway. play the game millions have won. everything from prius cars to beaches vacations, cash and live nation vip access. play scrabble at subway... where winners eat. ♪

news, and the latest on a couple of south back field situations in week one. in tampa, cadillac williams has been named the starter. of it's a great story, and cadillac's numbers are on the rise based on this news. but remember, that raheem morris has stated he plans on using a three-back attack with ward and graham getting touches though that time share can't be good in fantasy, i don't recommend starting any bucs back until things clear up a bit. >> and in new orleans, don't assumeor reggie bush is the biggest beneficiary. i would expect mike to get his share of touches in the goal line. he's owned in less than 4% of espn leagues, but if given the opportunity, he could be a flex player in deep leagues against loatly lions.

it's not too late to get in on the action, enjoy live scoring and great analysis every day. >> coming up on espnews, the chase for the american league wild card. see if texas was able to take advantage of a doubleheader and gain some ground on boston. >> with older sister venus knocked out of the u.s. open, younger sister serena showed why the williams name still needs to be feared. and the sooners are dealing with a worst case scenario, thanks to a sam bradford injury. why our expert thinks there's no reason to panic. >> it's just gone final.

albert pujols and the cards taking on the brew crew. top 7, third home run in the last five games for pujols. 45th of the season. that leads the bigs, hoffman walked through holes to get this. matt halladay, bad move, halladay. scored 13 versus hoffman in his career. in essence, it was a good move, but he gives up the mistake, and halladay goes deep and the cards end up winning 4-3. their 13th win in the last 16 games. milwaukee has now given up an mlb high 185 home runs. wow, there is a lot of round trippers there. mike yam. >> well, pujols and halladay. >> talk about a combo right there. >> there is some big bass in that water. we, of course, are keeping you current with the latest news, scores and highlights here on espnews. available in high definition. along with will selva, mike yam with you. as far as the american league wildcard race is concerned. every game down the stretch is

becoming pretty clear they're crucial. >> no question about it. the rangers didn't need to watch the scoreboard to see if they gained ground on boston. all they had to do was sweep the doubleheader against cleveland. rangers leader had a consecutive score of 20 and a third innings bottom six, 5-3, bases loaded. michael brantley with a bleeder off the lead. two runs come in. and game tied at 5. top 7, same score, marlin bird, up, up and away. three-run home run. one of bird's four hits. second time he's had a four-hit game this season, as the rangers outflood the tribe 11-9. it was the 11th time this season, the rangers had scored in double figures. one career home run, went deep twice. as for game number two still going on right now. they give them breathing room late in the ninth inning it was

a chris davis home run in the ninth inning, really separating texas in this one, the former met trying to clue things out for texas. the wildcard leading red sox opening a two-game set against the o's. boston has lost four of the last six games. dustin pedroia, deep into the night. one of his two home runs for a first multi home run game of his career. bottom 7, the red sox still swinging a hot piece of lumber. big papi, on are teez, and frank thomas for the most home runs by a dh. 269. the red sox set a season high six home runs and achieve a franchise first by hitting five home runs in the first three innings, the last team to do that in baseball was the 2005 rangers. >> taking a look at the al wildcard race.

the rangers are two and a half games back of the leaders. >> the story of the u.s. open has been melanie oudin. the 17-year-old is the youngest american to reach the quarters since serena williams in 1999. let's not forget our elders. serena entered this year's tournament the defending champ, looking for her fourth open and 12th grand slam title. to accomplish that she'll have to beat panneta with the mental toughness to send her home. >> the italian fought off six match points to get here. first set, serena serving. she did that pretty well. 7 aces in the match. penneta had none. this time serena doesn't need the ace, just gets it done with the forehand. hasn't lost a set at the open yet. second set now, serena with the overhead. penneta had had two break opportunities in the match, and did not convert one. >> later in the second set, both players a fantastic rally, going corner to corner, baseline to

baseline, serena won 87% of the points on her first serve. looking strong. penneta met with match point. and serena advances to the semis. >> serena, great effort. what about that last point? >> you know, she's down i think seven match points in her last match. and i knew that i had to win because she never gives up, she's such a great player and gave a great match tonight. >> you guys were toe to toe on serve, no breakpoints. what was the turning point to break open this match? >> i think just my experience, you know. she was serving, and i just felt like i had nothing to lose. just go for it. >> meanwhile, kim clistjers trying to keep her comeback run going at the u.s. open. after the upset of venus williams. clistjers facing li na. first set, na not playing well. hits the return well wide there.

na with the unforced error. clistjers serves long. takes the first set 6-2. keep in mind, clistjers took two years off to have a baby girl. and here she> is in position to move to theth semifinals, 6-2, 6-4. >> williams is 7-1 all time versus the belgian. including 7-0 on hard courts. the other semifinal will be decided on wednesday. >> round of 16 continues on the men's side. rafael nadal taking on the french man, ul gaël monfils. >> early goings here. nadal eventually up. we're tide here in the set. and monfils coming up big. actually breaks him. finishes the first set. went to tiebreak, 7-6. nadal up 3-2.

returning with breakpoint. monfils coming up to the net. but nadal using the forehand winner. he's getting pumped up and excited for good reason. went on to win the second set 6-3. nadal won the third set 6 had-1. monfils misses the forehand. goes up a greak r break, and monfils has broken back #-2 in the fourth. >> soccer would be a nice fall back for andy murray who took on cilic. with the winner, past murray. cilic takesth the first set 7-5. murray 3-12 when losing the first set in a grand slam tournament. second set, cilic serving for the set. and murray can't handle it. wins the second 6-2. third set, more of the same. the overhead slam, and that's it. cilic shocks the number two seed. murray not making any excuses after the match. >> regardless of my wrist, i

lost the match. i returned poorly, and you know, he served well, and that was really the difference, i guess. i felt like in the first set when i was getting into the rallies, i was able to move him around and have my chances, and you know, once he got the first set, he started serving well, and started playing really agressive. i'm disappointed. i don't know how long or how, you know, how quickly it will take me to get over it. but, yeah, i played well this summer. i had a good grass court season, you know. this hasn't been a bad sort of hard court season, it's just you know, today was not good. >> murray becomes just the second hard court wins leader in the last ninen opens to reach the quarters. juan martin del portro advances to the quarterfinals of a grand slam for the fourth time in his

career. >> some more baseball to get to. including derek jeter attempting to pass a yankee ledge end. >> also ahead, the giants without their reigning cy young award winner. how it gave them a chance to see a very promising future. also ahead o. on saturday, number two of the buckeyes. pete carroll tells us how he plans to stop terrell pryor. >> when sam bradford's went down, oklahoma's ranking went down with them. kirk herbstreit says there is

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has on it. >> drew:ç he has training. >> reds and rockies squaring off in this one. rockies came into play with a two-game lead over the giants in the wildcard. bottom six.

eric young jr. to left field. his first career home run in just his 11th game. he had 79 home runs. that's impressive. but he didn't hit his first until his 39th big league game. and the rockies have won 7 of 80. he ties his career high with his 15th win of the season. >> in a commercial for ml b-2 k9, giants pitcher tim lincecum is seen hanging out with the video game version of himself. if the giants could send out the virtual lincecum every fifth day, they would. they needed his arm on tuesday night. that's because the real lincecum was scratched for his scheduled start with inflammation in his lower back. instead of giving 2k sports a call, the giants called up top pitching prospect madison baumgartner. man danger bruce bochy is hopeful that lincecum will take his next turn in the rotation. the giants meanwhile have just taken a 3-2 lead in the bottom of the fifth. very wells he, an

r.b.i. single. kevin cuse man off a solo jack in the fourth. ties a career high with 84 r.b.i. this season. as soon as they're done in san francisco. highlights here on espnews. taking a look at the n.l. wildcard picture as it stands at the moment. the rockies have a cushion on the giants right now. >> yankees captain derek jeter needs four hits and he'll pass lou gehrig as the franchise's all times hits leader. the iron horse had 2721. tuesday night though, not jeter's night. came in 0 for 8 in his last two games. he was 0 for 4 with 3k's. you say you think about it because that's all you're hearing about. bottom nine, nick swisher to right field. his second home run of the game. his second career walkoff home run. and it's the 13th walkoff win this season for new york. that is the most in the bigs. the yankees are now 16-0 this season when tied after 7.

also becomes the first team to 90 wins this year. but surprisingly it's the the first time the yankees have been first to 90 on in the last 45 years. after the game, joe girardi was fielding questions about hisp can a tan. >> derek 0 for 4 tonight. is that a case of him pressing or price had a terrific game as well. >> price was really good. i don't know. i've never seen him press before. so i don't know what it looks like if he is. you know. he's getting some ribbing from his teammates, but as i said, this is going to happen. >> when i hit it, i didn't know where it was going to go. i was just hoping that it would eek over. i don't care if it went over by one foot or 50 feet, doesn't matter, i'll take it. >> swisher's blast was the yankees 7th walk off home run of the season. that fits a franchise record. no other major league team has more than four this year. the random stat of the show, the previous times the bombers hit six walkoffs, they went on to

win the world series. >> college football and the news just gets worse for the sooners. jermaine gresh ham is out for the rest of the season. greshham had surgery on his right knee. needs about five months to recover. oh, wait, there is much more. oklahoma plummeted ten spots to number 13 in the associates press's college football pole after losing 14-13 to byu. kirk herbstreit says is it's far from over for the sooners. >> oklahoma these next two games against idaho state and against tulsa, with all due respect to those opponents, they don't even need a quarterback to be able to get by to win those next two games. then you have a bye week. that's three weeks where sam bradford is going to be doing nothing but rehabbing his shoulder. you talk to any quarterback or any player that's ever had this injury, and they'll tell you that depending on how quickly it responds, that they're ready to go at 100% within three or four weeks.

so i don't think it's the end of the world f oklahoma wins two, if they go to miami and beat the hurricanes and they get ready and some way they get everybody healthy and beat texas, they're back in the bcs discussion, and he still has his goals of having a great year individually, and the sooners getting back to where they belong. >> oklahoma dropped ten spots from number three to 13 in the latest associated press pole. byu jumped the sooners going from 20th to 99th. florida still has a strangle hold on the top spot. but two teams that would love to be there are going head-to-head this week. >> no stopping terrell pry or. it's no easy task. this is a very, very unusual athlete to be this tall and this fast, and have a great arm. i think you can see that he's not just a runner. and he's working hard to be an all around quarterback. and he's already shown that. you look at him in the spring game last year, he was a fantastic looking pocket quarterback. >> i am sure the guys that

played in it the game last year have a little bit different vantage point than the guys that didn't. and i think moatvation at the end of the day ends up how does it motivate you personally? so there will be some guyes, you know, that say, hey, i could have done this or that better the last time we played. but i hope they said that the week following that game and started working on that. but as a whole, you know, will we sit and pound on the fact that we weren't successful? no. >> those two heavy hitters, usc and ohio state going head-to-head this saturday on espn. game time is 8:00 eastern. after the buckeyes just got by navy, doesn't get any easier. one of the best teams in the nation in town. don't miss it on espn. >> still to come, two young guns going head-to-head. scott kazmir's able to take the crown off felix hernandez's head.

>> and a very important day for new eagle, michael vick. where he was on tuesday, and who where he was on tuesday, and who ic [screeching] [dejectedly] oh. [screeching] [barks] (man) if you think about it, this is what makes the ladders different from other job-search sites. [screeching] we only work with the big talent. [all coughing] welcome to the ladders-- a premium job site for only $100k-plus jobs and only $100k-plus talent. i've still got room for the internet. with my new netbook from at&t. with its built-in 3g network, it's fast and small, so it goes places other laptops can't. anything before takeoff mr. kurtis? prime rib, medium rare. i'm bill kurtis, and i've got plenty of room for the internet. and the nation's fastest 3g network. (announcer) sign up today

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three-game series. scott kazmir making his first home start with the laa's. right now the angels leading 2-1 in the bottom of the sixth. gutierrez had a solo home run for seattle in the first. and that's five r.b.i. in the last five games.

>> dodgers and diamondbacks. and arizona up 4-1. they can thank their pitcher. billy buckner. not only did he get it done, but he got it done with the bat. an r.b.i. single in the second. an r.b.i. double in the sixth inning, and that is the difference right now in the eighth inning. >> the phil he others have lost five straight on the road. but a trip to d.c. will certainly cure that. top conversation is underway. if we can do that most of the issues go away for most of the small farmers in the countryside. >> there is broad consensus that that needs to happen. >> nobody has yet been able to parse the lguage all the way a conclusion and if we can do that then i think more farmers on the ground, the real issud becomes the education p's and hoan-- who was going to do this. i jumped into this conversation. it is not my skill area. i saw that this was actually

going to be a major area to farmers who want to be involved in that kind of work a i've beenested the last year really trying to find my way in. i am not an expert on these issues. i just understand where the pressure points are in so the next pressure point is gog to be the educational peace that getshis 2 million farmers who were not really engaged in the national international distribuon system aware of their food safetyole because they are doing what everybody wants to have happen on the ground and that is a broad based educational peace but there's no capacity right now anywhere in the system. i have .4 of a person dedicated to it and we are one of the most focused groups in the country in terms of the small farmroups. yet there is extension across the country has no resoues. there is no focus energy that is ben going, here is what you need to do because when i had a

former fda, i hired a former fda worker as by consultants so i knew what this language all the-- is all about. he said if you do a basic plan on almost any farm what i'm going to come back with this beyond basic sanitation, washing your hands in clean water. ere almost no risk factors on small farms that are direct marketing. it is not a zero but it is close to a zero. >> we have one more question and then i'm going to wind down. an other thoughts on this guy's? >> we absolutely shear the objective of figuring out how this works in the community and what is the right scale appropriate goals so that is. >> wt to get to more questioners and then we are going to have to stop. u had a question. >> allyssa hamilton. i policy fellow for the instite for trade policy and i

am just wondering how a country of origin labeling and relates to the food safety bill and with whether, i know and legislation was passed as part of the farm ll in 2002 and sat on the books for quite awhile and i am wondering if that was a coincidence that it didn't really become enforced until september, when we had a few food safety sces in china. i am wondering if the implementation, the legislation invoes the implementation h and a lessons for this food safety bill? >> who wants to answer tt? >> what there is country of origin labeling for a product produc outside of the united states. it is one thing when you start talking about country of origin labeling for ingredients. that bart and infinite products

come you are talking about a completely different animal. i have no view on the timing. it has been conteious and controversial. >> the one obsvation the i would make about country of origin labeling is it obviously is a tool that can help consumers make choices that they want to make choices based on where a food came from and i believe the consumer should be empowered to make choices. from a safety standpoint we don't see country of origin labeling particularly as it food safety tool. you can rely on that to no one way or another whether the food is safe so that is why a set of measures such as in the house billo improve practices is that we look at it from its food safety standpoint. >> one more questi and then we will stop. >>'m not se itto risky actlly at mitt this form but-- [iudible] i am from a foreign country and

we are using food and lead to expose it to the u.s. and i think nobody in the u.s. ever got sick for many food produced in denmark. [laughter] and i just wanted to remind you because this is we are willing to help you. just like they think there is good sense and not mandating fda to do inspection what ty said frequency of a round the u.s.. please tell make a one-size-fitalsolution for all foreign countries because we can help you. you don't have to come and inspect them more. we are going to lucky visit denmark and there is an invitation for everybody here to come nco excellent we do this. we have all the excellent provisions. we have 20 or ten years on varis number of years and we can expect, inspect our fd and we will guarantee you that we will send you only save foot. thank you so much.

oddly enough-- [applause] and on the drug's sidof course fda has got some arrangements with the european union to do these call on special arrangements which i am sure fda would sort of happily due on the food side. thank you so much for being here and for participating. thank you to the panel and agahn my name is gardiner harris. if y want to send men e-mail or reject, please do. my e-mail address is my first name smelt-max bell bike gardiner ed ny times.com. take care. [applause] >> thank you very much. just to give the gu sort of a heads up t next that we are going to move to the jason ballroom said you have to go out the backroom and ran. carte blanche was answered by the pew charitable trust.

we are very pleased that what the conference. please move to the lunchroom and we will start at 1:15. naible conversations] later and tuesday's food safety conference fda commissner margaret hamburg gave the keynote address by gover remarks at 35 minutes. [applause]

>> thank you very much. i have to confess that i am a consumer of television more tn i should be. i have never watched a closer. i amore of a law and order type but maybe i will give it a whirl. and thank you for that kind introduction. we have had the opportunity to work together over the years and whe i was never in a classroom th shelley and have never gotten a formal gracia does let me know how i am doing. that is for sure and i mt say i have learned a few things particularly when i was on the board watching shelley put that organization in place and really implement her vision and i think your legacy lives on and there and in so many other places but anyway it really is a great pleasure to be here. in my short time as commissioner of the food and drug adminstration i have become are of the tremendous opportunity that we n have to

reshape our national approach to food safety and to nutrition and i know that there are many of you in this room who have spent many years, in some cases lifetimes, to make this moment possible and i can pledge to you that i will do my best to realize the opportunity of the momentand i recognize that success will depend on all of their working together. ..

>> i understand she will be

here tomorrow d i expect you'll be interested in hearing her thoughts. congress is engaged to have passed legistion to end -- with the undermined the authority an we hope it is taken out provide fda we're committed to strgthening our food program policy both food safety and nutrition but import me we're movi forward to appoint a deputy commissioner for fruits but this newosition reflects the fundamental imptance of safe food iroper importance for protection and advancement of the public out venture food issues receiver burma if visibility and priority within the agency with authority and reonsibility and accountability on food related concerns. pressing for with the new agenda to shift the emphasis

away from mitigatin carbide ving in the marketplace to the overriding objective to prevent farmers from keeping unsafeood from entering commerce and the first place. award save the working group based three core principles to prioritize intervention and strengthen surveillance and enforcement improving response and rovery if prevention fails. we have started to move forward with ts new strategy. one example theda news safety rule which a understand was many, many years in the birthing that requires science bad measures to prevent salmonellat the farm as well as safe handling controls throughout the distribution chain. working on this w one real

eyeopener howong it can take d something so sensible. similarly we are moving into areas that are pretty fundamental but very important to help our guidance on the greens in balance and meadows is another measure to prevent foster controls. we're committed to build on the guidance and and forest manage were produce safety standards through rule-making. the fda can only do so much with existing authority. to do a better job we will require new powers to of wch included in the bills pending in congress we need authority to have preventative and all falities. we need to ensure what is now saw the best practices become increasingly common practice for all. we need to enhance our ability

to establish and enfce the proper implementationf control. wilson a day modern legislative mandate to ensure thke use of the best information and the most modern strategy that are risk-based and oriented to prevention. in order to six typically upgrade performance we must foster compliance. for example, of a problem occurs we need to have prompt access to food safety records, modern trace back with tools and mandatory recall authority. and we need new powers to modernize and substantially strethen the fda ability to ensure that food imports meet u.s. food safety standards. this is a huge challenge indeed this includes authority to hold people accountab for

the supply chain of preventing food safety prlems when enteringhe united states and conducting more overseas inspections and working more closely with foreign governments and having rigorous indendent and it third party system to supplement fda overss and border inspectio but none of these authorities measures will provide the desired protection unless there supported by new and adequae resources to carry out more inspections, strengthen our laboratory testing a for structur and enhance scientific exptise, we will reire additional funding. brainy to build up fda food program over a period of years up to the necessary level then must be sustained forhe longer term. this is not a one-off solution. we're very pleased the adoptive house bill includes a fee based revenue stream but

we need to keep working with administration and congress to insure budgets for food safety. if this sounds like an ambitious -- ambitious agenda it is but the dates must be calibrated so there commensurate to the wholesale and long-term strengthening with real transfrmationf the food safety system that will enable the fda to live up to its mandate and responsibility to prevent disease and ptect the safety of the food supply. we know this is a huge chlenge with major stakes to the health andell-being of every arican. the centers for disease control and prevention estimates eac year 76 million cases ofoodborne illness occur and it is states and 325,000 or hospitalized in an estimated 5,000 dae pritzker to reduce thes numbers are preventative msures must addressed a passers that threaten food safety from the farm to the dinner table and

to accomplish this weeed to improve panerships across the country and around the world. working closely with state and local gornments we tend to create the integrated national food safety system called for by the working group only such a comprehensive network of cooperating authorities can make the optimal use oall availble resources to prevent and contain food safety problems. we're also strengthening alliances such as centers for disease control and u.s. department of our culture. cdc is our critical parer on a brick response but we will depend on them more than ever to in terms of collaboration with the data and analysis that forms our prevention efforts recovery collaborating more closely with usda with the food safety working gup isuch areas as produce 50 yen on seafood inspection

pursuant to the 2008 farm bill with our increasingly global world three must look beyond our borders and seek better corporation and stronger collaboration with international counterparts and need to harmonize food safety standards, shares information andpproaches and share responsibility. over the longer ter a key necessity will also be to strengthen the regulatory capacity of the developing nations with less secure systems than ours because their products are imported for our market and because it will improve the a global health we need to work with members of the food industry. many of whom have been making important innovations and practices and technology and l of whom the primary responsibility produced and market safe food. because strengthening our

capacity is center goal to transforming o food safety system, i want to say more about the changes we plan to implement in order to improve inspections. with a larger work force, we can and will do more inspections but to be maximum effective way will use the upgraded tools and techniques with increased valhi of some microbial testing. when refined ominously bills to act promptly without waiting for people to become ill part of the fus will not be solely on the number of inspections or for somcase butlso how well we are in compliance to the preventn oriented food safety standards. of a strategy must be the full complement of inspections with enforcement cases if and when if needed to use tls at our disposal to prevent illness. i am pleased to announce the

fda i launching a registry food manufactqrers and processors and packers and wherehou must submit an eltronic report to the registry when there is reasonable probability the use or exposure to an article of food could harm the health of humans or animals the reporting firm must investigate the cause if t food may have originated wi the reporting fir and all parts must consult with the fda about foow-up measures. in the short term this will help to identify with the risk lies in our complex food safety system and enable us to respond ickly. for example, when a food processor receives an ingredient from aupplier which the testinghows it is reportablehe processor must submit a report to the regist informing the fda of the problem of being greedy a.

that will allow us to go ickly to the source and find out who else may have received shipments of that ingredient and ultimately enabling us to a better job to protect the public. over time we use the information to target areas for prevention. and for guidance and regulation and insction we hope we can keep many categories of problems from ever developing in t first place. i think this represents an portant advance and iant to take this opportunity to thank our colleagues one collaborators at the national institutes of health to work on the mwatch to make the reportable food registry portable of possible this has become part of the program which is a single point* of entry from the all fda regulator products when it opens ter this year so we're

moving towards a more comprehensive and integrated approach and this is one of e first measures toward that goal. the many things i have outlined represent a great challenge to the fda but we know they also mean changes coming in the food system. many in the food iustry have already adopted preventive controls that these companies will in the future be more clearly accountable for properly implementing such food safety controls. and they will eventually need to prevent modern controls to protect the public record understand it can cause anxiety to want to emphasize that w recognize what we have is not a one-size-fits-all solution but the adaptable set of principles and practices and a set of tools that are clearly defined and understood.

in the agricultural sectorda will carefully focus standards on produce commodities and issues importantor improving food safety and will be very sensitive to the wide diversity of practices which we know very by commodity, a charter free and scale of operation. my colagues and i are committed to listen and learn from the agricultural community abo their concerns including the concerns of small growers and the organic community. i am looking forward to upcoming field visits to learn more about these issues but certainly our goal is to issue rules we are confident will make a difference to improve food safety andhey will be scaled and circumstance appropriate. finally i want to add our plans for improving food safety include important issues under our prevention tremendous them. one of them as a safety of animal feed and drug residue

anotheis antimicrobial resistance that can be exacerbated by the usef antibiotics andever culture these very iortant elements of the food safety landscape today. in a sauce of the issue of pet fo safety melamine underscore the importance on the safety of the food they feed their pet it is important to react on the basis it is just oneood supply and we fully intend to apply the same control principles to pet fd to human food these matters and not receive the aention they deserve in the past and we're termined to change that. as much as we're focused on building up the fda food safety program we also want to strethen fda focus on nutrition. as we work to reduce sickness and a coli and salmonella from

pathogen's we're affecteby millions o americans to contribute to the wellbeing of our food supply must finally be saved but also comprised as much as possible in a nutrition centel the food and food products that people can choose to build healthy diets. we need to consider nuttion efforts to reduce the risk of such illnesses as heart trade the charges these come a diabetes and stroke. the most and alarming evidence is that 65 percent of americans are obese or overweight and 17% of youngsters under the age of 20 are obese. obesity increases the risk of het disease, certain cancers and stroke. seetary sebelius pointed out of the cost our health-care system $147 billion over the zero course of the past year a step remounted h almost doubled sie last tabulated

by the cdc in 1998. itrings into sharp focus the public health importance of food labeling as an essential means for informing consumers about nutrition an iue that vitality of the nation and yet is the concern it is not substantially addressed since the fda implemented the nutrition labeling act 16 yearsgo or lease not substantially addressed by the fda. back then with the nutrition labeling nd education act was plemente the fda labeling rules addressed but tower of babble on food packages claiming nutritional and specific diseaseelated heal benefits hat were unfounded are downright misleading. recently however we have seen the emergence of claims that y not provide the bull picture it will be imptant to reestablish a science based

approacho protect the public and their house and all have a role to play whether educating the public and aurely communicating the health and nutrition and permission they need for ensuring that consumers in fact, have healthy food choices. there are many ways to encourage and support americans who were seeking to gain contr over their diet. for instance, i am following with gre interest a local initiative to requir restaurant menu labeling and the ongoing which is in a discussion of the national menu labeling requirements. with approximately one-third of all meals consumed outside the home and given them many well documted exples of veryigh calorie menu items and popular restaurants it is important for consumers to ha meaningful access to nutritional information in order to make well-informed choices about the foods they eat. wi information in hand consumer still need healthy

options to choose one case in point* rates to sodium. consuming too much ireases hypertension and hypertensn incrses the risk for heart disease and stroke. a mor problem many foods are prepared with large amounts of stood -- sodium thus making sticking to your dietary requirements difficult we're trying to follow the efforts to low sodium and the food supply potentially creating ma more healthy options. the effort led by my former home base new york city to create a voluntary program by government and industry that would gradually decrease sodium and packaged processed foods is intriguing and laudable. i am also lking forward to seeing a recommendation of the institute of medicine study under y to examine strategies to reduce sodium intake part of such efforts

can form the foundation r national progress provide do think it is truly a historic time for food safety and nutrition i feel privileged to me at the home of the foo and drug administration at this critical time and delighted to be part of a meeting like this that is looking forward to the future in terms of the kinds of programs and policies our nation needso improve food safety and nutrition. has our agency moves toward re sick the partnership and support of consumer groups, industry and others to bring about meaningful change. are really do believe tt there is an enormouamount at stake and enormous amount that we can do and doow projector working together toward hour common goal and high-value all of the insights and commitment of those in the room here and

the organization's you're representing and look forward to your full participationnd support as remove four of these importantssues. of thinking very much [applause] hajj are we behind schede? >> is there any questions we have a microphone. >> [inaudible] >> i am optimistic it is a critical time for forward moment. it is clearly something that has been under development for a number of years and thi is i think the ment to mov

forward. we will work wit congress and the administration supports legislation and as i said i am optimistic. >> i am very pleased what you said about your approach to internationa coordination and a dialogue. i noticed you said one-size-fits-all is not the approach needed. would youomment on the provisions in the use and senate bill with those who go about wh the international challenge? >> this is probably not the best forum to a side-by-side comparison baidu think it is very important that whatever of legislation moves forward, it has a focus on the international concerns and the safety issues and it

provides some recognition of the importance of working in partnership with other regulatory agencies and as appropriate with thi-party certify years, the landscape is ermous, the global footprint of any one nation food safety and regulatory agency can only be so big so it is an area to work together and shar information we need to harmonize make activities interchangeable last possible with shares rategy is sent in not make every nation responsive to different regulatory scheme was press

remove forward we're not looking at the minutia of how things are done but loong a the outcomes because there is one strategy for ensuring food safety about what will matters what a day clearly is to te a risk-based approach on the emphasis of preventive contls and we need the greatest degree of transparency about our regulatory prioritiesnd of course, we need resources to implement. >> im a food and society policy flow d just wondering providing consumers with their right to know what

is in their fears and yet you mentioned the importance of the bullying to inform consumers but i am wonring how lile food is produd in what you see the efta role to provide consumers more information how food is produced? >>nformation is important and very hard for consumers to navigate through both the complexities of a food supply and food production system that i very complex andften very dispersed. and a food production system that is also part of a broader

effort to enhance consumers t e product that the importance to provide clear information in a standardize way that consumers can access that without havinto have ph.d. sen biochemistry oil me familiar with the most recent scientific literatur on the effects of this foo additive on this hlth condition is very, very important and as i look at the fda role the labeling every that come i think in the time that has ssed, there is more than we can do to make the nutritional content of food product more understaable and comprehensible to people. that past happen in a broader

context of ongoing consumer education in. we have to really have a system tt is comprehensive and coordinated that involves the best possible science brought to bear with education of the consumers and increasing health literacy overall and i think more accountable labeling. >> that is what i want to clarify nashville the nutritional information but the actual production process? >> i am sorry i gave a long answer to a question you did not ask. [laughter] >> somebody mentioned touches on that but that distinction between the nutrition labeling provides versus what we know very little abo wch is how food is produced and i am wondering about the bling for

consumers? >> pettus and a somewhat more complex question period very interested and methodology and in part of what we need to work with is in that understanding tonsure that production proceduremeet the health standards as far as what level of details of consumers that many asptsf that are appropriate for consumers to understand, there may be other aspects that invoe other commercial confidential information but in general it is important for consumers to know was much about how the food is produced and i faint fda does have a role to play in that. >> johns hopkins university i'm delighted to see some the

with your expeise and appreciation for evidence and public health at the cost of one of the most important agcies in the u.s. of not the world regarding food labeling good task force made interesting recommendations health food labels might be changed with respect to emphasizing caloric content making links, how much energy would needs to be expended through exercise. the second question related to the linkage with the ftc with respect to regulating food advertisements toward children. >> with respect t how nutritional information it is conveyed and certified right now we're taking look

at some of the issues around labeling but it is very important and it is hard for consumers to understand without some tutorials and how to review and analyze we would like it to me as straightforward and easily understandable as possible. with respect to working wh the ftc they do have the responsibility around t advertise eight issues but we do have an important role to play in terms of clarifying the science base. and working with other parts of the entities and not-for-profit organizations and professionals in identifying some of the concerns so they can be appropriately acted upon.

>> i have two quick questions where will more information be posted and number two can you talk about label packaging which is proliferating? >> the first question there is a table outside that provides information on this new portable fooregistry and the individual who can help answer questions and of course, you can get me information from our website for contacting us directly. the second question? is very interesting there are a number of models those that error happening in this country and over the summer

ent time meeting with e.u. counterparts and i was interested to learn more about what was going on particularly inhe u.k. especially the package labeling fed is now in place and we have some variation on that hear that spans the spectrum with how-to information is present and what kind of informati. we are looking at it what is clear is there a thirst he part of consumers to get more information, more readily about the foods there choosing for themselves or their families and while the nutrition labeling on our food pack is very beneficial with a lot of important information there are ways to convey it that will add to the ability of consumers to make

informed choices and tha is important for house. thank you [applause] we will now move to the next session which is a breout panel please move dectly to those for the last session of the day. thank you [inaudible conversations]

>> no a group of conservatives talk about the administration's health-care policies to. tony blankley leads the discussion this is one hour, 15 mines. >> we're so glad to have

michael her but i am here to introduce our pal and was the thrill tha is to have these wonderfuleopl here. first of like to introduce each of the but we also have tony blankley who will be the moderator. many of you have seen tony on fox news president talabani executive vice president for local public affairs which is the leadg independent pr firm. for then 25 years tony has been at the intersection of tional politics and public policy and served as press secretary for newt gingrich contract for america he was one of the key communicators. priotois career on capitol hill he was a speechwriter and senior policy analyst for reagan and appears regularly

on the sean handed the show that i'm sure you have seen him on fox news, msnbc hardball with chris matthews. sorry. [laughter] and as well as co-host thing the show left rightnd center on public rio. >> our fiscal and economic policy panel let's start with dan mitchell senior fellow with the cato institute he is a top expert and tax reform and supply-side tax policy and a strong advocate of the flat tax d international tax competition. prior to joining tateho he was a senior fellowt the heritage foundation and worked in the senate finance committee he also served as the 1988 bush-quayle transition team and was part of the budget policy for citens for a sound ecomy. his articles can be found in

the "wall street journal", "new york times" come investor business daily and "the washington times" for periphery bring guest on radio and tv. holds his bachelor's and master's degrees from the unersity of georgia and a ph.d. in economics and i am disappointed you did not where your georgia bulldogs but you did wear red. next we have french built a venture-capital list from back arkansas. he is ceo o dell the trust banking corporation whiche founde over the past with a five years french has had a very rich career in public and private sector and served as an adviser to arkansas gornor huckae adviser to presidensh and served as a deputy of secrary of

secretary. also appointed a special assistant to george h. w. bush, and also a contributor to fox news come as cnn, npr on political and economic policy matters. he has been a leader in his committee and a past president of the rotary club the eighth largt in the world and also a director of boys scouts of americ and many other organizations and a magna, the graduate from vanrbilt. rich turner is a president of the gan institute that she founded in 1995 which is omote debate over frae market ideas over the health care reform she has been instrumental in promoting a developing ideas for reform

that transfer power over health-care decision to the doctors and patnts. includinonschool o economics and the university at the vican in rome. she also testified is really before congress and devises legislators on health policy she has been published in major papers inclung the "wall street journal" and "usa today" and has been on 20/20 and many radio and tv programs. our a-star panel president talabani. >> i appreciate having this opportunity to the moderator. i had the good fortune to be

near the beginning of this operation i became an active member of the conservative movement in 1962 i was the first organizing operation for barry goldwater. and we need at the steamboat institute right now more than ever is the recession and understanding of the principles. i would love to see the day when the demrats and republicans compete to 62 tankan with more effective conservative programs. we're not there yet president talabani. [laughter] but for two long, we have the two parties competing for another set up idea. i was a conservative for a

republican and a democrat fore a conservative. we need to convince a lot of people whore not conservatives of the wisdom of our policies and values and when that happens to a party politics take care of itself if the priiples and i use but we invited them to come they did not come this time it may be next time. but to be a part of the economy, finance, budget a of these the have happened in the last 10 months, the world can go a numberf different ways right now. when you have a real economic event that shocks the nation as this one has come aery

ofte it has big conseences. in the panic of 1893 and the depression that followed and that being the end of the laissez-faire capitalism and the beginning that people were shocked and moved the nation to the left that happen the same thing and 29/32 that was much more ft-of-center values. the reverse happened in the early '70s were the failures ofibal principles became more manifest weot reaga and thatcher to donate the last 30 years and we may be at su a moment again for americans have lost assets at a staggering level. unemployment is likely to stain that the unacceptable level. the wealth of the nation has

been reduced will take a lot to get back and the public is making a reassessment. we are fortunate in hat the current administration has come forward with a rery vigorous ne conforming principal prep we have a chance now, we are not home free. we are better off than i can imagine being given what the world will look like 10 months ago. but nonetheless, we will be in a competition for the public judgment of which way back to prosperity and freedom? obama's got off to a wk start but i worked in the warehouse and competed there is a lot of ups and downs and a presidency and very often it goes through hard start the go throu their ceiling. inton managed have to give

himself reelected. i think she raised a lot of our ideas he sned welfare reformut the point* is that i am glad we live in hope today that the values of freedom that we believe then have a chance. but we only live-in help and that is what we're here for comment to start aovement to win the battle. is fascinating and w just listening to the gentleman from heritage when he said we don't want to have our grandchildren on the need to tell them what freedom was like. i have to say it come i don't have the grand kids yet but i would tell tm about that right now. we hav lost atriking level of freedoms that w enjed 60 years ago. part of what i think is the movement is not only winning

the argument, and the freedom but also the processs you have any real and we did not have the nanny state we have lost a fair amount of ground even if we have the consertive values for those who doubted politics and when reagan came instill we have to not only hold off the status but also have to start throwing the process back. i am delighted. this is the right topicnd is a lead off of the discussion. this extraordinary momenin time where we have nationalized auto industries, trillion of special interest money being spent called a stimulus package where we he t.a.r.p, where we have a set of programs in place that one

year ago i could not even half imagined. where y have the president ofnited states firing the ceo gener motors before they nationalized it. just on some sort of vague undisclosed authority. that stock -- shock to me and a lot of people where y see the bondholdes have substituted for their preference and the line for the union and they we given their fair are and their interestn the companynd it has all been done, the moving around of property from one to the other. these arehings i think conservatives not only a shocked today b if i fin it more and magic -- unmatchable that it has happened. i would like to focus all the

things on a technical level we have seen each panelist will make a few opening remarks and we will check for a while but we want to look at the insignificance of the deficit this extraordinary increase in de to that is unprecedented. grandchildren. what we have already been coitted to, literally our grandchildren taking money at of the private sector and incrsing our deb payments that can to be used for productive assets, $1 trlion of unfunded obligations and we're watching the interest ras for the treasy bills. will they stay at a reasonable level? what happens if we cannot afford to borrow at a practical level? what does that do for arica

me? have we become productive 140% of the federal budget is borrowed? thes are some ofhe questions i think we have to face the we will talk about this afternoon so of the start on a few opening remks that we will move around the table. >> with references to the past and lessons learned thatakes me reflect on the last 30 years about the lessons of the last 30ears reagan in his 1981 inaugurad speech coming out of the carter malaise or word discontent in may 1980, raychem looked at the present crisis and said government is not the solution about the cause.

there is a reference made to clinton's rough start as president he '90s but he learned his lesson and in the second term he said in the era of big government is over. contrast that with president obama and now carol speech this past january which i want to quote specifically instead of paraphrasing. >> the question we ask today is not whether a worker remit is oo big or too small but whether it works foro whether it helps families find jobs at decent wages is or care they can afford or a retirement that is dignifi. so itresumes that is the role of government. and i thoughtmy goodness how far have we come30 years? that is why i think tony's point* of that balance pne to a key area of where our

country can go forward with returning to the core principles or we cam progress down the road to serfdom which obama has headed us down. also there have been all of these pullbacks across the whole 200 year history. with jefferson just as the country got started coming in a vorite quote to of my old friend from illinois, a wireless government would restrain from men from injuring one another, and shall be free toegulate their own pursuits of industry and improvement and shall not take from the mouth of labor the bread they have earned. it is the sum of good government. thomas jefferson in his inaugural but lincoln's 60

years later had to remind the country again but you cannot help the poor byestroying the rh. the cannot build character or courage by takg away the people's iniative and to me it gets us back to the core of the decisions that congress and the administration have to make proess we talk aut these economic issues, i like to focus on what is america 10 exceptional as some? to meet american exceptional th and is the phrase within "the pursuit of happyness" not a guarantee. it is not government's role to guarantees every citizen happiness. esidentpresident talabani it iso protect their right to pursue happiness and read pursue happiness in our church life

and government life that is what bil character and with a lifetime construction project and set expectations that somehow every ill we have in our society will be addressed by a government program is not spread out that is why i believe is the core of the steamboat institute to return to that int* of view and before i turn it back i would like coming into steamboat yesterday a beautiful slide in autiful blue skies and i thought of daphne as sheade her first airborne midy and the colorado. [lghter] but i came here not to desert by to help rally the troops to go forward and leave their country and th direction it needs to be led. thank you [applause] >> first the constitution went

into exile here in the iraqi mountains now iraqis freedoms are here but before we go on and, t show how this is the educatio moment it is a teachable moment is the other braid to say that. thank you. at this moment come if you are a worker employed by a company the thing that makes you happiest is your company makes a profit for cover buddy who works for a company that makes a profit feels comfortable to know they will n get laid off and until these last few months, profit was a bad name for millions of americans they say they made to much money but now they've learned the value and makes possible your ability to support your family

because your support of my somebody who c hire you or make to be efficient your competitive with people all over the world there are two lessons to be taught. those who see the terrible thing happening you need to start taking responsibility foryour life. of the other less than we may be able to teach is to see what happens when the state sucks sell much money and imposes an efficient policies the companies can make a profit would you rather work r a profitable company like you used to view can get pay raises and advance as the company expands because of free-market principles are you want to be? so all the times are hard and unemployment will go higher, the lesson of profability is to instructed has little theyan has than a generation. j. day shift negative and i

admire you and we worked together over the years to inspire conservatives on economic principles has been in viable as long as i can remember. >> thank you. normally i talk to people about being a boring economis and talkeabout magic -- mginal tax rates and capital formation but i want to talk about spending because frankly if government spending continues to skyrocket we will never have good tax policy. if we have a government hour founding fhers set up by the federal government less than 5% of gdp is almost impossible to have a bad tax system if we allow th federal beverage to go 40 percent of gdp it is impossible to have a good tax system before start to focus on how to make it better today has been 25 years doing that we need to figure out of government spending.

when bill clinton left office the federal government was down 18.5% of gdp. lot higher than a lot of us would want the very low compared to most other industrializ economies. you are making progress and government was shrinking not because we're cutting it but let the private sector grow faster and that is all you need to do for success that is why the government fell we have good people in charge of congress they box 10 clinton d he was not as radical to begin with we left it separate and we were making progress. unfortunately in the name of compassionate conservatism probably the most disturbing ote i heard this cade and i will paraphrase was the last president george to be bush

saying when somebody is hurting it is government's job to help her out as a result der the bus years, e federal government budget went from 1.8 trillion. i am not a math genius but that is almost a doubling in just eight years. in other words, this is not a democratic problem by washington problem and a problem of big government [applause] most of the new spending was not for home when security or national defenset was what a bureaucrat left behind with a pork bill, a transportation bill, a giant medare expansion, the federal government bailing out the politicians of louisiana for the fiao of hurricane katrina these are all mistakes republicans made when they were in charge because they forgot the lessons of the

contract of america and for about the lessons of reagan and they came to washington and decided it was a hot tub instd and not a cesspool [applause] can. that is actually the optimistic part of my opening remarks. [laughter] leme tell you where ware headed. obama comes in andives us $800 report on top of the mess of the last eight years now pan's $1,000,000,000,000.02 do the same thing as opposed to office to help our healthcare. that is bad but not the biggest problem but if you look at the long-term forecast made by the cbo, what wl happen to the feral budget between now and 2082, what do think? day estimate the federal government that is 25%, will

go from a federal government down to the other 25 the optimistic scenario will go up 45 andhe pessimistic scenario willow go 67. if you add an 15% minimum for the state or local government and we will have a bigger government then in the european welfare state even france or sweden. i know that mea we havto start using deodorant, but we will be a european and welfare state. i guarantee when that happens will add european-style economic contions. lower living standards and we caot get away from it. if government is big the private sector it is a small park is built 10 bause of the internal programs and demographi changes even if with every single initiative if obama fails we still should

look yes or no. i don't think deficit is the problem. suite 10 has a budget surplus. what date trade places with sweden? no. because government is bigger. ..

because it is not just government is going to give big in the long-term growth rate is going to go to 1% like it is in france. that is bad news the mostly i thought about that but wt this really means then why all this really have to fight, if the government getthat big and the american people windup adopting this eopean mindset that is okay to s on your brains every day and let someone else take care ofou that is going to destroy what made america great and that is why we have to fight it and i hope the steamboat

compresses t start. [applause] >> thank you dan. i agree with milton friedman that he uould rather have a smaller public sector with the deficit than the larger one balanced. what we have now of course is a huge public sector and then a huge deficit added onto it and the deficit is another example of how begin teach conservative principles to both parties, because if look is the fact that the deficit and the debt traditionally was an issue that only conservative republicans cared about. the demratic party did not care. the republicans would talk to their base andhe rest of the country didn't care. then pro-came along and started talking about the issue of independence and moderate stted recognizing the problem of large government with a huge debt on top of it and knew

typebar from rot ad be reinforced the issue but when this became a crosscutting issue was during the w bushehr because the democratic party decided to attack bush justifiably as we would probably save for his deficit spending, for his big spending and in the process spent the last eight years telling the democratic party base dead deficits and government debt is a bad thing and they have come to believe that's the now this is why this is a conservative not a partisan it that are in. now we have people who are even moderates and some of liberal democrats if you look at the polling who now are concerned about excessive debt and deficit as republicans used to be and this is the opportunity that i think that presents itself bor conservative principles to be champi by both parts and in the next topic we are going to

have grace will tk about which is health care, which as you can see in the the bakos mal five years on e democratic side. f.r. colservative principles about health care and government in deficit can persuade a number of democratic congressman and senators then we can complete this terrible plan that is overhanging us and so once again this is a matter of principles applying to the public and we want to get as many of all parties to championing those and you can't today talk about economic principles without also talking about health care because heth care not only has a t of non-economic issues that are vital to free people, the right to choose your own doctor, the right to participate in those decisions, the right of the docr to be able to give professional advice but because its also a huge economic factor. thproposal to add what is

called universal coverage according to the cgressional budget office between one and $1.5 trillion more over the next ten years. the president's claim that the reason he is proposing all this is to bring the cost down of alth care which would be a good idea. it was belied by the congressional budget office that said no not only in the next ten years did the. >> host: of what ithe out-years it is going to be bending up the costs so both huge enomic consequences and huge persol value iues and we can't talk about that issue and the context of this conference. >> the issue of health care, i really believe has become a lightning rod for the issues that we have been talking about here but it really is the expansioof government that is the terrible speier the american

people see in what has been happening ovep the last several years, really over the last decade and they want to put a stop to it. i have had a chance to attend a number of town hall meetings around the country and people say you know, you really are the people there? are all these people coming out, they are organized, ey are part of some astro turf, speaker pelosi, harry reid lled the unamerican angry mobs. where on eth do we have the leaders in this country calling the american people names because they wanthem to stand up and stand up to their country. they are concerned about their country, they ar concerned about the spending that is going to affect the only the economy today but in the future and they want to be heard. the legislation that currently is being considered inongress has passed for five committees. eightpeaker pelosi has just said this in the last couple of

days that they are going to have it both in the house on this bill when they come back. bissette believes that with senator kennedy's death that may provide impetus to pass this bill in the senate. that is the reason that people areoming out in droves to tell their legislators what they think about this bill. interestingly almeda about one-third of members ofongress are actually holding town hall meetings. others are holding them as telephone townall meetings, closed meetings. what do we think that is? political polls shothat four out of five americans think this bill is going to increase their health care costs. it is going to reduce their choice it i not going to achie universal coverage. it is going to increase the bureaucracy in the houseector. gnome under people are frightened and yet the white house and the leadership in congress are saying that the reason this legislation i failing is because they don't

have the message right. and because everybodis distorting what this is really in this 1,000 page bill. i tell qou that if you look at y one page in this bill it will frighten you and sayg the expense of goverent that is in any of these bills. the president has said, everybody's using scare tactics. excuse me mr. president, when you tell people that maybe you should really take that spelled rather than have surgery or the government is going to tell you whether to take the blue pell or the redelt. talking about death squads and sort of ridiculing them. he is the one i think that is scaring the american people. some of it h been exaggerated to sompoint but absolutely they have every reason to be frightened and i think the

reasons that this bill is failing is because it can stand up to the fact. as tony said the president has said that he just will not sign a bill unless it reduces health care costs over the long term. excuse me but they headed the congreional budget office to by the by was appointed by speaker pelosi, has said that not only will it not reduce health care costs but significantly ireases the mall with the long term. the president says this bill absolutely, will have universal coverage by the end of his first term. the congressional budget office said that despite the fact that this bill spends a jillian dollars or more, at least 70 million people will be without health insurance and probably many more. the brea and also has gone around the country talng about the mayclinic and other

integrated health systems and how we want that to be a model forheal care delivery for the rest of the country. the unfortunate problem is that the mayo clinic in the number of other topuality health systems around the country, sent a letter to members of congress ansaid n only will we not be le to continue, if this bill passes, we willot be able to continue to oer the care that you are saying that heants the rest of the country to emulate. we will have to close our doors. so come on the issuef cost, quality and access which really are the three prongs of health reform, this bill fails. i don't see how they are going to come back and pass this legislation. there has been a lot of conservative democrats standing up and saying that they are very concernedbout thi bill. i think they are really on the

frontline because halladay votes after they ce back from hearing from their constituents around the country is really going to determine whether not thisislation passes. and just to conclude th a quote from paul star who wrote the book and won a pulitzer prize for a book called the social transformation of american medicine. he said politics-- the promise of health insurance as a means of turningenevolence into political power. i think that is what real is goin on here. that is by the public plan is so important. we have seen on youtube video after video with proponents of the public plan saying they know this is a track toward a single-payer system. if we lose our freedom to make the mosbasic decisions about life and death and our health

and we turned is over to vernment for this false promise of security, we will have lost their freedom. this could not be more important and it is crucially iortant at the american people continue to show up at town hall meetings, have their voices heard. there is absolutely strength in numbers. i believe the american people valu our rights and ar in track with this. they understand what is happening a they do not want to see the government's takeover one sixth of our health care, our economy represented by the health sector. thank you. [applause] >> last fall after september as the economy was crashing, the republican party said the reason everything was going haywire was

the standard bearer of the democratic partyas saying there reason everything was going haywire was because of a breach. out of that i think the assessment a narrative started that the reason they are in such trouble is because we are a free market with three corporations going to do whatever they want. everything is going one. it that lesson is the lesson that the public learned that we have failed. and free market principles have failed. because it is the wrong lesson i believe to be learned and yet that was the, at least the initial story. justified t starting of the financial deregulation. we have to ha more and more interventions becae look what happens when greedy men and women act on their own interest. greed has bn a constant factor since we have become human.

some people have cregan thei hearts and others don't. i want to discuss briefly what role government policy has in creating the problems that we have come up perhaps including fannie mae a freddie mac, the other policies. was this the results just of gree amongst umans or were the policies non-free-market policies that exacerbated our maybe even more contributed to the economic crisis? do you want to start with that? >> i would love to start out on that topic. housing policies in the united states back in the day when bob whitson and i were in the vineyards in the early '80s and tony was as well with jack kemp, housing policies always had a bias towards more people owning houses in the federal government and that started out by having interest deductible and it is expanded over the yrs to we are really now the federal

gornment controls well over 95% of every home loan in the country. and thos incentives, people react to those incentives and we try to make it easier and easier for people to own houses at all income groups and at some level maybe that was a reasonable policy the people react to incentives and in my judgmenit was government policy that drove the concentration of investment asts of into residential mortgages and the packaging of them, given by tax policy and regulatory policy and it was government policy that made an exception to a 75-year-old rule which was the capital standards for broker-dealers and exempted the top five dealers from the normal leverage ratio and that is an example of government policy and how@ it skews outcoms and so to blaya and 100% on the

private sector like they operate independently of the incentives out therey government, our governmentnd of the government is wrong. it is wrong to lay the blame it their fault. >> will some experts believe that the fed policy of liquidity contributed to the problem while technically the fed on by the banks is substantially governments like to be. how do you see the feds enacting policies of the yes leading up and contributing? >> monetary policy's 9/11 has been too lax than my friend john taylor of the hoover institute at stanford has the taylor rule which he tries to model from past bavior, what he thinks the level of intest ra should be and universally during the decades it was too

acmmodive. monetary policy was t easy and the lead to an over investmelt and housing for three years, 05, 06 and 07. to me that is that part of the cris tony, but the underlyin crisis was this effort to make everyone in america of regardless o capabilit a homeowner through gamesmanship inhe terms of the mortgag that fannie mae or freddie mac would buy. it makes no sense on the surface of it. t you combine that with the field of accommodative monetary policy and you have got, we have reaped what weise though over this decade and it we are living with the consequences. >> i think you have reached a key issue because the economi is one thing and who is to blame is one thing but it is the narrative that is important and what lessons did we learn because for decades and even still today we ffer from a

gross misinterpretation of what happened in the 1930's. onta both hoover and roosevelt. protectionism, higher tax rates, more government spending, more intervention and suffered 12 years of an economic downtur it was big government, including bafederal reserve policy that caused all the problems. it was capitalism and i think tony has raised the key questn because it's going forward people blame free-market and greed for t economic problems that we had last year and into this year we a going to suffer the same way that we suffered for 40 years after the great depression. the other side effectively fleming free-market for problems caused by government and this whe notion of greed causing the problem is really amazing. this sort like saying every single airplane crashes caused by gravity. yeah, okay that is true but that the actually tell us white the

plane fell to the ground? sisti said, when you mix grade with a central bank rating to muc liquidity in of all this extra money sloshing around the economy and fannie and freddie -- krate a bubble and what happens with bubbles? therse so government created the problem and then what happened? as is always the case government compounds one mistake with others and they bailout the companies that try to ride the bubble to frn to london as a result we have come into this long huge has been our financial system with companies that are too big to fail and what happens when you get other people's money? to take greater chances. here's a great idea. everyone in the brim give me your money and i will go to las vegas and evy time i make of that and win the bet i will keep the money and every time i lose the bale cam out of what you gave me.

does that makes sense i am trified that the history books 30 years from now are going to say this was about the free markets. >> let me know apply this question to health care. obviously we don't have the perfect mechanism or series of mechanisms for delivering health care alone. it is good enough to provide the greatest health care syste- system for 81% of the american public and for people from england, francend germany and candidate and when they need state-of-the-art hlth care. while it is in perfect, and i don't want to-- because the system suggests an organizing ate of mechanism and we already have i would argue too much of that so how was government policy adversely affecting the ability of americans to get good health care today? really into ways.

it that these of our current structure were sown in the world were to solutely as an afterthought because of theay price controls. can we provide health insurance without having price controls? that led to health insurance not being part, really not been the part of the persons conversation and not being visible. it ledo the creation of the health care system which works fine in an industrl age economy. it is not working in the information age economy were four and ten workers change jobs every year. we are guaranteeing thpeople are going to be uninsured because we are tying health insurance the workplace. we also created another bubble of our own with medicare and medicaid programs created in 1965 that initially said yes we willay whater those doctors and doesn't frankly that is what a lot of people thilk will happen with is new public plan

by the way. what happens over time as doctors and hospitals have played less and less to point out doctors and hospitals are paid less than their cost of delivering care. who m@kes uthe difference? the people with private health insurance so that pushes up their premiums so i would argue everybody's saying we tried different markets and health care and it has never worked. how many of the really he the choice in purchasing the kind of health insurance you want for your family ando you can't keep up withou as long as you wod like? you don't what we neeis intramarket. everybody says the conservatives n't have any ideas in heal care and we should pass the obama plan because it is the only one out there. rung. what we are talking about is saying let's have the eal-- sword ready gets the same deal where yo buy your health insurance, more options. [applause] more options for people rchase health insurance there different kinds of groups and across state

lines and a stronger safety net, by the way the state level and not athe federal level. three things that a does not co a trillion dollars in bt is not rocket science. we can solve t @roblems of our house sector but it means letting the private sector solve these problems that turned the whole thing over to goverent for heen's sakes. [applause] >> i get all my knowledge from pj or work. bennett old immi favorite quote during the las debate is the the thinketh gears expense of now, wait until it i free. auter] and the lack of innovation, paul ryan who is a congressman from wionsin, paul ryan is doing a great job and his bill which offers many of the ideas and bill form is sitting in collecting dust somewhere in speaker pelosi's office. 2528 think.

the thing that the government thinks we buy our own property casualty of the policies are home policies anwe are too dumb to figure how to buy health care staggers the imagination and at is why i think the president cannot sell this plan in my opinion. >> let me pick up on both of those and take it somewhere else. it i frustrated me ever since i've been in politics that liberals, often democrats, but not always say we liberals have a comprehensive solution to this problem. will you conservives don't. we have a comprehensive answer wich is free market. but we don't have they statist plan. we are getting an opportunity with the health care debate in the town hall meeting for the public to see what a comprehensive state solution begins to look like a how appalling it is on the free people participating in that

kind of a comprehensive state solution and we may want to start taking those concepts and applying them to other areas after we have thoroughly instructed on health care. let me ask another government intervention question. the government passed t stimulus bl, 800 summit billion dollars. so far about 120 has actually been spent. is there merit from a conservative economic point of view to having come and began efforts to repeal the remainder of the stimulus? [applause] how do you you see repeal or to start off with a debate on the repeal of it? obviously by repealing 60 some biion dollars we would reduce our deficit and our international debthe that the amount, which would be good. we would have less interest payments to make over the next

30 years on that a then in existing economy it would ha consequences some thoughts? >> first of all e presume that the bill they passed is a stimulus bill, which it is not. it is a doubling of the image department budget and people don't even know how to expe the money. they literally have no idea. therefore it would be a great thing to cl for the repeal of the unallocated, the contracts haven't been left on a bridge money and c.p. couldn't get it remember how many members to could get to sign up for cosponsorship ofhe repeal with the caveat that our economy, while still sluggish is showing signs of recovery. has the stimulus bill passing in januy contributed to that? >> n >> it complemented metary cy which may pduce future problems and stabization in the banking system and the

number of things probably have contributed to where we are in the recovery b this bill my judgment should have never been passed and therefore to vote for repeal would be an easy vote to. >> i am all in favor of some of our earth while franzen washington talking about repealing it but realistic gilley obama wide the to it but the basic would be valuae because what is the so-called stimulus it is a regurgitation of the old keynesn idea that did work for hoover and roosevelt nothing fork four-- in the 1990's. i tried my budget by you did not give me youroney to go do vegas. let's divide the burnaman hafen borrow allhe money and the people on this have the room and give it to the people on this half of the room. [applause] now there is a quiz. here is a quiz that will

determine whether not to understand obama's stimulus. who thinks there is no more money in the brand. raise your hand. [laughter] heath loans map back in high school. the whole notion of keynesian economics is boring money out of the right pocket and putting it in your l pocket. it is never worked anywhere in the world. the so-called stilus was nothing but aayof to the interest group that got obama elected. [applause] >> but the and you know that a governmdnt that robs peter to pay paul always has the support of paul. >> excepin this case, they robbed peter to pay goldman sachs. >> let me make a quick point and then i want to go have question and comments from the panel. when youake the point about having a debate conservatives are not in government righno regretfully, nothing congress or

the white house. this is an opportunity for people to start having the debate. let the government in power to justify their policies based on the principles and the stimulus is a gamble because a majority the country no longer believes it was a useful thing. blue dog democrats and moderate republicans have an opportunity for the public to question them. if we can put that into the public debate now, we can't pass that. we don't have enough conservatives in power but we have been up conservativesnded of america conservatives to ise the issue and that the ople in power flail as they discussed that. let me start doing some questions a we of about 50 minutes left on the panel. we will start back there. >> you started out talking about a lot of things that a been happening with eroding

especially the rule of law and how important is for our economy to have the rule of law and sir i loved your quote. we could be living atlas shrugged right now in is the power of the poll, political connections that a driving policy is that of factual economic policy and so i wonder if the panel would discuss the idea othe importance of the rule of law, about holding contracts and basically how that political play versus actual barkett principles is being distorted right now. >> that is a wonderful question and let me just boarded up because i have an opinion about it. [laughter] earl lovelock is one of them, maintaining currency is anothe one, maintaining peacefulness of the land in securi us from reign enemies. i will give you onexample of where the rule of law at th

not work and howhis-- when i was in the red and white house we have the success of grenade that when we went in and got their yog students out of there and the risch jim overturnednd then we are hoping it would be an economic success and at one point that was assigned to look into, is there something we could do to help grenada have more economic success so i went down to take a look at it in the pss-- we wanted to get the hotel people to come down there and get big business tohe local people and prosperity. there was no rule of loss of the hotel people said we would love to g autumn by a hotel but i'm not going to put down $1 billion, so i can do and their lands and people love to but we don't know who to deal with to build the terminals, because nobody else olympic of the lack of rule of law and grenade at that blocked the ability to have economic

activity and i don't know what this happen since them. at that time he failed because her while reagan was a popular man iniet different people in the private sector that went to help, beuse we can't go down there until you have your relook lahsa you are absutely right, that is the foundation, so that you know that your property i yours and the rule of law. you can't just take it. if you don't have that, i wonder how many bondholders are going to want to buy more bonds in a country where their rights to the bondholder are not being honored. [applause] >> let me add my own silar sty. earlier this ye i was somebody to go to paragu of all places to speak. why? because there was a serious movement to repeal their income tax and of course one thing i told them is you can repeal your

inme tax but it is not going to get to anywhere as long as yooked at the economic freedom of the world index public by frazier, what you find those indexes or even the world economic forum clo bull competitive index, they'll show that rule of law and property rights are about 40% of what determines the natios prosperity. is like the foundation. you can build the pupil house buif you are foundation is quicksand it is not going to help you and unfortunately what worries me about what i happening in washington is that it is. it is like reading alice shrugged oliveagain with t people with the right lawyers and lobbyists are the ones to get the deal and then you pull the rug out from under the bondlders and what are you doing? seaware creating a banana repuic. that is the difference between the united states and paraguay, lease traditionally is that we have ruleso follow ando matter how-- you still boend by

the law butow we have turned that uide down and the blah is an instrument of partisan politics and that worries me even more than higher taxes. rothman. [applause] had a chance to talk with margaret thatcher about t years ago about my work in health reform and she litally took me by the shoulders and she said, you must remember the rule of law. there is nothing more important. with. >> next question. >> i am concerned about the future and what inflatn is going to do to awakening due to protect ourselves? give us some advice please. >> i think that that is a very worth the concerned particularly in lht of fiscal and monetary policy. i would say my judgment as i

look at and think about the next three to five years it would be really at the top of my list, not that we haven't talked about anything but a long list of concerns. because of we get into that siation and that causes wage pressure and agreed ministry schemper herrity, we have really made this point, everyone we ve talked about will come everyone of those things raises the cost of labor, raises the cost of production. that combined with this explosion in monitor tyrannization of this dead by the fed is frightening and it might make the late '70s and early '80s look quite but nine and we don't know, if there's anotpaul volcker in their future or not but it it's concerng to me and can i be and wound is the question as a banker iger routinely a in a theoretical way yes, the economy grows, fiscal policy becomes

more appropriate, the fed does a good job at withdrawing reserves and raising rates but this is an andrecise world. they have no more knowledge about it then you do. and therefore, you are going to have to err on the side of negative so income producing real estate, proper amount of commodity exposure and income and common stocks. things that can adjust price. things that have the abili to hedge the dollars like a mmodity does rick multinational u.s. corporation and is buffett said last week in "the new york times" the fate of the dollar rests with the congress. my only response was my 120's text message, omg. [laughter] so every american should be concerned about the possibility i would argue the probability of

that in the next three to five years. >> one of the things they don't think you would want to be is the long-term credits her. and because you don't want to roll along we don't know how high inflation is or how low the value of the dollars. betton devine's the ability o the country to make long-term investments because everybody is letting short-term and in a strategic capital offense beared decisions happier people-- and it undermines the abity to invest inhe future and be productive so along with all the other chaos that inflation causes it undermines the ability to be producte in the future. >> let me add one quick point to this. first australian dollar, the swiss fncseveral currencies are more sapan a loman but i think this is on of these changable moments. ronald reagan took a lot o political pains to do the right

thing by a leading inflation out of the stem in the early 1980's. a lot of rublicans in 1982 figured reagan s doing the right ing for the country. i don't have a lot of faith that the politicians with just got rid of than the politicians we are now dealing with have that kind of integrity to do the right thing by the dollar to go rough the pain of whdrawing publicccess liquidity out of the system because when you withdraw excess liquidity, higher interest rates. that is the worst tng in the world the politicns will say but it is critical to get the excess money out of the system. in plas li going to a happy are and you have had seven drinks and you are feeling great. the next morning you are not going to feel so great. is it that way putting yourself back on the wagon? no, it is in and we have seen it countryfter country the more you go down the path, don't

want become argentina. don't think there is a name-- but i do think going bac to the 1970's again and that is not something i want and i hope i'm wrong. >> le point briefly, we talked about the moral integrity of politians. [laughter] alough they are no wor than the rest of us unfortunately, t the best cure for politician is an informed public. [alause] if i is their judgment that they kim bamboozle and ignorant public and demagogue an issue that gives the opportunity to be active without moral integrity when they know better so the-- one of the functions is to be educating the public and once

again this is a moment because of the public understands the issues they will be intolerance of the demagoguery of the politicians that we have another opportunity to help them find their integri. >>ony, can i a a point that people come up all the time and see what can i do? showing up in a town hall meetings his relamp pardon but there are a lot of petitionon my. we have one called pition the court and you can find out what is going on with the health system, what we ought to do instead. john calavera has a bumper sticker that bag. he is not my doctor soap that is also out there. make sure the people do y know you arenformed in you are talking back. >> the next question. the lovely lady in the orange.

>> this really great to have the d it is wonderfulo see another graduate on the panel as well. my qstion is we have talked about all of these different things but we haven't talked about tort reform and this to is hug issue coming from a medical background and so forth. i would likto hear you speak to this and the fact that i think it was yesterday howard dean on the other side finally admitted one of the reasons with the problem with health care is tort reform so i wanted to hear at you had to say. thank you. >> and the 1,000 page bill somehow or another they just didn't have roo who knew? we know what the reason is$ because the trial lawyers are such big upporters of the people were writing this legislation but in tgwn hall meeting after town hall meeting that is a huge litning rod issue.

people know that medical malpractice is really one of the major drivers ofost, not the only one but none of the major drivs and we have evidence of how you can begin to solve this problem. texas for example reformed his malpractice rules in 2003, 2005 fully in effect on they have a backlog of 7,000 physicians who want to move to texas because it is a friend their informants of this inspect an earlier question we had about governmen does of a huge impact on the economy and the incentives and disincentives and this is something government can fix but it is not going to happen in this bill or probably in this cgress but the american people think has spoken on that as well. >> the history of what gives rise to toward reform is fascinating. it started in the 1930's as a conscious doctned of the liberal that because you have poor people, average people

being harmed and they can't necessarily find someone to compensate them, let's say people who have deep pockets, corporations who will say what they were negligent and that you are going to toeeld legally responsible. they will ver noticehe difference in their deep pocts sewed was a conscious policy decision to try to shift the burden of responsibility. obviously we saw bankrupting mpanies, we saw-- because they could have for the entrance of the liabilities owed as another example of win m tries to outthink the barter place with the brliant liberal idea of. a series of decisions that rational people make and then you end up with a catastrophe where we don't have all kinds of doctors available because of these decisions were you have otherwise profitable company tiring thousand people going out of court because they are unfair responsibities for their

couct. yes tort reform, a proct of another febrile who idea. it we have time for one more? >> one more very quick question. or a very quick answer. >> they regularly throw you into the pit with some very hard liberals on cnbc and you very briefly stand up for the ideals of france did and i thank you for that. i do have a question. larry kudlow says that europe is reforming the taxes that some european countries are going with a flat tax oreducing their business tax. were going in the of the rection according to what you said and according to what we all know. is it true in the first place that they are performing their tax and isn't that going to make feiva less competitive if that imbalance goes that way? >> i was tking to mr. juja about this before the pafel.

we live in an independent glol ecomy but the ke adamat and when you look a corporate tax rate to around the world to look at every single socialist european welfare state, what do you find? they all ce event france they'll have lower corporateax rates than america. not only that but obama's international tax proposal is to expand the double taxation of multinational strine turn market share abroad. i county one thing. maybe rich people who are not bad and evil like the love said but rich people aren't stupid amid the big comnies are evil like talev says. i don't agr but maybe they are but you know what? they are not stupid. amica becomes inhospitable because of high taxes and a government companies are going to to look around the world and not to press are going to look from the ruprecht of this with this whole issue of tax competition is all about and they are going to cuckooed that it is bett to create bs and

places like switzerland, hon kong and even friends of the anna. uchitelle the spytes countries that are springing up in eaqtern europe. you look at the tax competion. sweden, i widgets in sweden a couple of weeks ago. what is sweden done? it has eliminated its death tax. we are supposed be the cradle of market capitalism and gs in austria, went to austria after sweden. they have eliminated their death tax and the wealth tax and cut their corporate tax rate down to 25%. we a i.t. 30 epperson so we are shooting ourselves in the foot globall i am not selling a book bob whitson but i have a youtube video out there. go to youtube then type in tax competitionnd youill find one of the first things is that they feel i did on tacks when. i just issued one on government

spending this is my new project to reach out to people and tried to give infoative little six or seven men and videos on a key topic. you can learn how we are undermining our own competitiveness and when a bomb says we are going tincrease the bden of government were quick to raise taxates all these bad policies are just going to accumulate and the investments, the jobs are going to be in india and china and but as i do happen? the politicians are going to say it is the fault of the free market so have to raise taxes even further. >> regretfully we don't have 80 days to go around the world and asse all of the affair when the other competing with us. thiss the end of this conversation. you have2 minutes to get up and come back from what is going to be it think it really fast thinning conversation, which is going to affect politics for the next 100 years of taking a very ick break. 12 munaf met, and come back.

[applause] win

the first recompetition purebreed and the cid aleve and this war can be or you come up brg in a family member and it changes the whole family. it is different today than what it was when i first got here. and i have to foodnet, you grow

very fond the court, did you spend a long time on. there was a period the with chief justice rehnquist and justice o'connor when we had ne, we have a long run together and you get comfortable wi that and then it changes and now it is changing again. so, the institution is different, your reaction is different. if you have to start all over. people, the chemistries tippen. >> here from other justices during supreme court we guess c-span looks at the home to america's highest court starting tober 4th. now discussion of predent obama's agenda for cid dixon puic service. six months after the inauguration of a group of acemics to part in this conference at tufts university in massachusetts. it is about two one-half hours.

th. >> good afternoon. let me try again. good afternoon. thank you. i ron paulistic boumediene of the college of citizenship in public service here talks university of. welcome to this public forum on the obama adminisations cid thickish gned up after six months. we are very pleased to host this defense because the vision of tops college parallels quickly-- perfectly president obama's challenge chipley becom a naon of active citizens. our fishin at tops is that all college and university graduates be active and effective citizens and leaders for community change so we e about the busines of

educating citizen engineers, citizen lawyers, tizen businesswomen andusinessmen. thank you l for coming coming thank you to friends and lleagues from several local and extra local institutions of higher education, the boston area s leaders and civic activists and particularly graduate students who participated in the first annual summer institute on civic studies which is concluding with this her event is in effect the exclamatn point for that first stitute. we greatly appreciate the participation of allen who will give the opening keynote and he will be introduced shortly by peter andel selee special thank you to distinguished panelist, including the two of youho

were joining usive from south africa. i am delighted now tontroduce our moderator, peter levine, who is the college director of research and also a director of circle, the country's premier center for information and research abo civic learning gagement. pleaseoin me in welcoming peter levine. [applause] >> thanks robin, thanks to all of you for being here and a specl thank to the institutive civic studies sill this is a naison celte seminar in the tutsi week intensive seminar. unusual to have tv cameras and lights and famous people speaking to us but we have been together for two weeks and this is how we are ending and i want to especiay mention my colleague and 20 graduate students fm around the world

in the room door ready participate. i will take-- say couplof words about how this event is structur and then turn the podium over. first of all our text in a sense for discussion is the following short statement by then cannon if for president baracobama decemb 5, 2007. he said i would sess for your vote as a candite, i will ask for your acti citizenship when i am president ofhe united states. this will not be a call issued in one speech a program this will be a central cause of my presidency. so our text for discussion is what doe that mean for service inactive citizenship to be a central cause of the presidency, what did t president mean money said that what should he have meant, whathod we expect, what should we do? toiscuss that we have the panel, will introduce just before they speak in order not

to have a long introductory session and we will begin with a special keynote from allen followed by a five minute response our opening statements from our other guests a then a little discussion which i will moderate among them and then people and by mbers of the audience to come up to the microphone and asked questions to the panel. so a vbrief introduction. he is chair of the corporation for national and community service, a federal agency that oversees among other things americorps, theational senior service corp. of america so the very senior leader in the federal government on issues having to do with citizenshipa civic engagement. allen solom is a graduate of tufts, and elected trustee of tufts and still serves in that role, is a leading member of the tih college board of advocates so in many ways o leader and

meanwhile is the launching innovative ventures and elder care so with that introduction ellen. [applause] >> thank you peter. lynn peter spoke of the text, i couldn't help but recall efrts to teach as a young boy and and so i think it is actually quite appropriate so i am expecting, and the great thing is the tension and the discussion over the text text is going to be a little longer but i am expecting a lively discussion of that and reaction from the distinguished panel. peter, thank you, rob, thank you. it is wonderful to be here with friends and colleagues, liz hollander, nancy wilson, of my colleagues from the political

science department and others that i may be can't see but i think you willed learn from listening to what i have to say that you will understand why am so committed to tisch college and wyeth think that tufts university is so much in the forefront that for this country is moving her andarticularly the changes that i think will me about at this time and under this president. one because i thi that the obama administratiothe agenda isothing less than to change the civic culture of america. what is it that we must remember about the presidency of john f. kennedy? a commitment to go to dimon, early support for civil-rigs, perhaps the cuban msile crisi but the most rembered moments of president kennedy's term was when he challenged americans to ask not what your country can do for you but what you can do for

your country ago when the history of the obama presidency is written i don't think the central focus will be on the economic crisi or even on health care. i believe the legacy of these times will be that during president obama's term we reordered the civic values of a bearub and be redefined what it means to be a citizen. we began to see evidencof this during the 2008 presidential campaign. that those are so presidential campaigns befor 2008 vallese does tt i participated in or for the most partnd for most americans pretty passive defense. some americans like meese said at their desk send roach checks and most americansat on their couches and watch 32nd televion ads are perhaps large debates. in 2008, millions of americans who never participated before got up from their desks and their couches, they talk to the neighbors, then docked and doors

and travel to battleground states and early primary states or in some cases they just make phonecalls from their kitchen tae. the fact is there was a sea change in th level of political participation and its intsity in the 2008 presidential campaign. today we are seein a he uptick in the number of americans interested in national communities service. application to programs like the peace corps and americorps our way uprcut in the first five months of this fiscal year the rporation for national community service received over 150,000 on line applications to americorps comred to just over 70,000 during the entire last year. in increases of well over 100%. teach for america eceived over 35,000 applications, a 50% increase over last year for 4100 slots. every communities service organization has many more applicants who want to serve, and is