december, and that created tension in the house. and he said that he is sure that obama is going to get reelected and that he won't extend those breaks next year. >> what does this mean for the negotiations of joe biden leading that bipartisan group for august 2? >> i think they have terms to look at what the deal looks like. and they have to look at democrats to oppose the medicare, and to look for loopholes for the deal. and the republicans who run the house, and they oppose tax increases and looking for more spending cuts and more budget reforms going forward. >> on this friday afternoon, moody's is saying what now with these debt ceiling negotiations? >> right, they have two months

to get a deal. the bottom line is that everyone wants to see the debt ceiling hike but no one wants to see what happens. but everyone wants political cover, and he's got to have something on medicare. and the republicans can say we not only got big spends cuts but the democrats have to get something too. and that will put pressure on the gop for taxes. >> but this possible downgrade on the debt, what is moody's saying? >> unless there is a deal to raise the debt ceiling in the next months they would put our credit review on a downgrade. and that's pretty serious, given that the u.s. credit rating has always been aaa. >> does this give political capital in any group? >> yesterday underscoring they

used moody. >> so both sides are useing it. >> yeah, neither side wants to see what happens if the debt ceiling doesn't get raised. there is a lot of pressure on the republican leaders, and even more so on obama. they have been talking to wall street and warning wall street of the political happenings in washington. i am not sure that their members feel that the debt ceiling has to be raised. >> thank you both. >> thanks. >> monday on c-span, our "road to the white house" coverage continues with more from rick santorum with his presidential campaign announcement.

next mitt romney in new hampshire one day after his political campaign announcement, this is about an hour. >> good morning everyone, thank you for attending on an early friday morning, and for attending in new hampshire where you take your candidates serious. one housekeeping order, please if you don't mind, muting your cell phones or pagers before our event. and it's my pleasure, i have had an opportunity to meet the romneys and a unique experience at my home table a few years

ago. we had an opportunity to speak about a myriad of issues and i support the governor then and now. and pleased to have them back in the state. thank you very much and welcome back to new hampshire. >> thank you. hey, i will take it. gosh, it's great to actually start this process again. and to be in a place where we feel it is an extraordinary thing that happens in new hampshire. where people really do get to know the candidates on a personal level. so some familiar faces in the audience, and some faces we have seen before. you all know that mitt announced yesterday. [applause] we are in this to win it. [applause] we are also in it for a very

important reason. and an important reason why i encouraged him to run and why i am so supportive of him. i tell you, i love my children, they are great, but i love my grandchildren more. my children will be ok, this economy is tough now but i am not that worried about my children. i am extremely worried about my grandchildren and their future. and their ability to have jobs that will give them the kind of life that all of us will enjoy now. and that's why i pushed mitt into this, and said i am behind you. as i looked at who could lead this country and give us back the jobs we need. and i said, mitt, you know what? sorry, sweetie, it's up to you. and that's why i am supportive of him to do this again. it's a tough process. i have been through it before.

some is good and some not so good. and you have to recognize that and know that it's worth the fight. and worth for me, my love of this country, and my love of my grandchildren. and hope for a better america with prosperous jobs for all. so sweetie, it's up to you. >> thank you, sweetie. thank you. [applause] thank you, you are very generous to applaud. even though we haven't said much yet. and i appreciate that a number of you got up this morning to hear from ann and me. and i will say and your counsel or advise or questions are welcomed. a little more about ann, she and i met in high school. she was 15 and went to a party i went to at a friend's house.

and she came with someone else and i told the guy, i am closer than you and ann and can i give her a ride. and we have been going steady every since, and now 46 years she and i have been together. it's been all good. and but there have been times of challenge and heart break. when she was diagnosed in 1998 with multiplesclerosis, that was a tough time. and she was getting ready for an elevator to go into the house to take her to the second floor, because she couldn't use her right leg well. and thought she would be in a wheelchair. and we went to utah to help in the olympic games. and she was fortunate to get good doctors and prayers and all of things she's been able to recover and hold back that

disease. and then a couple of years ago she was diagnosed with breast cancer. and she went through the surgery and radiation and battled back from that. she's the champion in our family, and a fighter and my inspiration. thank you, sweetheart for all you do. [applause] tell you more about me too. i spoke yesterday a bit about my dad. but i want tell you more about him. because he's a lot of inspiration to me as well. you remember george romney, yeah, he was here running for president in 1968. and i hope i do better than he did, because he got even before the new hampshire primary. but dad was born in mexico, his parents were american but living in mexico at the time. and there was a revolution i believe at the time he was five

years old. and they moved back to the u.s. and his dad went broke more than once. they were in the construction business, and i see nodding of heads, and they lived in los angeles and iowa and finally utah. but my dad learned to be a blast andplast carpenter, they were strips of wood that you nailed up, and dad could put a handful of nails and spit them out and boom, and boom. and he was very good at it. and he never had the time or money to finish college. so he didn't graduate from college. but he believed in america, and he believed in the opportunity that america represented.

and your birth should not be a barrier of what you end up in this country. and he grew up in detroit and lead a company called general motors, and made ramblers and jeeps, and ramblers aren't around but in my garage. and then he sold aluminum paint along the way to pay for gas and bills. and ultimately became governor, this guy is a real american story. and a lot of what i learned about america and the confidence i have in america came from my dad. and my conviction of the great american spirit comes from him and my wife and people i have met all over the country. i know in some circles it's fashionable to be cynical about

america. and to think that the challenges we face are so severe that the american people aren't up to overcoming them or solving them. and i have had the chance now through my life in business, which was 25 years and then at the olympics which was three years and then as governor and campaigning. i got a chance to learn the american people pretty well. and i am inspired. as governor of massachusetts, towards the end i got a call one day. and it came from the airport, they said that a u.s. air jet was flowing in from boston. and onboard is the body of a service man killed in iraq as recall, and the parents weren't there to receive the body and

asked if i could go there and receive the body. and i said yes, and drove out immediately. and we drove out to the tarmac, and the u.s. jet came in and the luggage was taken off and then down the ramp was the casket of the service man. and there were a number on the tarmac and they saluted the casket. i put my hand on my heart. and i looked in the terminal and we were in that terminal with the big glass wall. and the police were lined up to see what was happening, and the people walking down the hall saw them at the window. and they backed in behind them. and there was a big crowd up there. and i looked up and every person i saw had their hand on their

heart. and i couldn't see the tears, but i could read them in their faces. we are a patriotic people, and we face extraordinary challenges now. but we are going to every come them, in part because of the energy and passion and patriotism of the american people. we come from different backgrounds. some are going to school -- where did that young guy go, going on school. right and retired and some veterans and some not, moms and dads and single moms and single dads. all different backgrounds. but we come together in new hampshire to do something that you may take for granted. but it's really quite extraordinary. one of the great achievements in the history of the world, for all the wealth and power of the united states of america, the source of our greatness is that

well, but the source of our greatness is self rule, that we have a government that responds to free people and independent people. so we come to you at the beginning of this process, for you to have the choice who will lead this country over the next four years. and i happen to believe that we took kind of an american idea and gave a new chance three years ago. we elected barack obama i guy we didn't know well, with no experience in negotiations and we said, let's give this guy a chance, because he was so well spoken and promised some things we liked. now three years ago later, we don't have to look at the promises but at the record. and the truth of it is that barack obama has failed america. and i say that recognizing that he's tried. but i am reminded of that old

saying that ronald reagan said, not that the liberals are ignorant but what they know is wrong. and what he did is wrong, he did not help the economy get out of slide it was in. but instead he extended the downturn and made it deeper. and now today three years in his term we have more news that unemployment is ticked up again. and we have 16 million out of work or just stopped looking for work. millions more are in jobs well below their capacity. three years later we have record foreclosures and higher prices. the obama prescription for the

economy didn't ail what hurt us, instead it made things worse. i think it's time for someone who has a job to do the job and get the jobs for the american people. [applause] that's not my sister, i promise. so i am committed and devoted to making the number one job i would have as president of the united states going to work to get the american people back to work. and as ann said, not just today and for the next few years, but for a long period of time. because the foundation of our economy has been really eroding. not in just two years, it got worse but over a period of time. and you know that. the agreements in trade that we have made have not necessarily been the best for us.

and we watched as china manipulated their currency to get prices below us. we have seen us continue to borrow and borrow. think what it means for a government to borrow. the number is impossible. when we talk about trillions, it's impossible for the human mind to figure out what trillions is. but we understand that the debt of the nation is almost as large as the entire economy. and if you add on that all the unfunded liabilities we pass to the next generation, it's multiples of the entire economy. we can't imagine passing on to the next generation our bills. i want to pass on to the next generation, a torch, not a debt. so we have work to do. and as you know i spent my life in the private sector. i spent 25 years in business, a little business that became big business and worked with companies that were competing

around the world. i understand how jobs come and go. and i was successful in some respect, but not always, i learned from mistakes as well. i can tell you this, there is no reason that america can't re-emerge as the job creating, rising economic, prosperous and liberty loving nation we have been. this flows from the spirit and energy and passion of the american people. sometimes folks remember how president obama was so wrong? he made so many mistakes related to our economy. i have to think in part he took his inspiration from europe. why did i say that? because when the europeans were in trouble, they spent more and borrowed more. and that's what he did. and when the health care was in

trouble and had the federal government take over. and that's what he did. and with unemployment high they pushed more unions with their card stack in favor of organized labor bosses. he's been very european, and those policies don't work there and won't work here. i believe in america. [applause] you see, i think we got it right and they got it wrong. i think when the founders of this nation crafted what our nation would be. they considered not only our political rights and freedom as important as those things are. they considered also our economic freedom. they said we wouldn't be lead by a king or central government that told us what to do and how to get paid for it. but instead each choose our life

course, not just federal representatives. and by virtue of this, they made it the place on the planet that every entrepreneur and freedom lover wanted to come here. it made us who we are, and our economy outperform from europeans and other. and we are a great nation because of the early pioneers, because of the founders in america. i believe in america, i believe in free enterprise, i believe in capitalism. i believe in the constitution. [applause] i believe in the constitution. by the way when the founders said we would have certain powers at the federal level but preserve at the state level all the powers not giving to the federal. that 10th amendment is one that

i think that barack obama hasn't read. i know he went to law school but read the 10th amendment again, recognizing the power of the states. and i believe in the greatness of america. i was really troubled as the president in his early days in his administration went around the world apologizing to the world. saying we dictated to other nations. no mr. president, we freed other nations from dictators. this is the greatest nation in the history of the earth for a lot of reasons. you know for a big reason, because it was the nation that was willing to lay down the lives of our sons and daughters to defend our own liberty and that of others. and others that seem mundane to many, and that's the economy

system, and even the chinese duplicate our economy, as they do so, tens of millions are coming out of poverty. and to many that's making a dollar a day. and we shouldn't apologize because of america but be proud and hold to the principles that made america, america. let me say one more thing about my confidence in our future. i mentioned the hands on the hearts of the people at the airport. at the u.s. air terminal. i know that during the olympic games that i had a chance to organize. that every time one of our athletes got a gold medal and our put their hand on their heart. and i noticed that other

athletes didn't do that, and ours is a unique tradition, and i wonder when that began. i was told that it happened with fdr, and this recognition of the bloodshed by heros life. we face extraordinary challenges, we are going to overcome them. and with leadership that tells the truth, and live by the constitution and get america on the right track again. thank you. [applause] now it's your turn. yes, sir. oh, you have a written question, you want me to read it to you. >> sorry, governor, my memory

not as good as yours. welcome to new hampshire, and your statements of your grandchildren resound to the question i want to ask. my question is about climate change. how do you look at climate change as a policy issue? the science of climate change is not. it's about the recognition of science. in 2010 the national academy of science issued a comprehensive report requested by the congress. and their conclusion that there is a strong body of evidence that climate change is occurring and caused by human activities. and some say that so many have been evaluated by these reports and the likelihood of these being found wrong is vanishing strong.

this is the case for the climate change. now my question to you, sir. all of the other candidates suggest there is no science consensus on climate change. some insist it's not occurring. we haven't have a meaningful discussion about solutions until there is an agreement about the problem. will you sir, state now that under a romney administration that global warming will be accepted as reality and this will form the foundation of all climate and energy policy? >> thank you, do you work in the energy field, tell us more about yourself. >> (inaudible) don't want to. >> ok, it's an important topic, i had the privilege of writing at book at the end of my last campaign. i found the challenge is if you

answer questions with short answers and you have debates. and i wrote a book called "no apology" and i have a section on this. i don't speak for the scientific community, of course, but i believe that the world is getting warmer. i can't prove it, but based on what i read. and number two, i believe that the humans contribute to that. i don't know how much our contribution is to that. because i know there are periods of greater heat and warmth in the past. but i believe that we contribute to that. and i believe it's important to reduce our emissions of pollutants and greenhouse gases that may be contributors to the climate change. how do we go about doing that? one of the opportunities are the people that are focused on climate change and global warming have the same interest

as the people that are really focused as i am as getting ourselves off the dependence of foreign oil. and i think that buying a trillion dollars of foreign oil and gets us involved with the enemy cartels and i want to get us off the dependence of foreign energy. there are things we can do to accomplish both. one is to use more natural gas in the propulsion of our vehicles. and now there is horizontal drilling, and now to drill vertically and horizontally. and it tap into gas pockets and that contributes to 100 years of

natural gas, i want to get that in the interstate highways and this is domestic and solves many challenges. nuclear power doesn't generate carbon dioxide and also domestic. and nuclear power is something i think we have to have. so i look at our natural resources and domestic resources. and america can be energy dependent, we can trade with canadian energy and so forth, and trade with. but i want to get us off of dependence of foreign energy and to move towards being energy efficient. i am told that we use almost twice energy per person as european, and three times more than a japanese citizen.

we can do better, i would like to see in our homes and systems of insulation be for more efficient. i think that's happening. for me the highest priority is to get ourselves off the foreign energy and improve solar and wind and nuclear and gas and clean coal. and we can't say it will all be solar and wind. i love solar and wind. but they don't drive cars, and we will have to get ourselves carbon sources that are less co 2 emitting and get us towards energy dependence. and any policy that relates, we talked about cap and trade. we cannot as america enter into an agreement that causes our energy to be more efficient if we lead the big leaders off the

hook. we don't call it america warming but global warming. and if there is an effort in this, it has to be international in scope. thank . .

unless they see a commensurate reduction in spending. congratulations to them for keeping going on. there are really three parts of the budget. the first is discretionary spending. discretionary spending is going to come down and lot. there is a lot of spending in the government that we do not like and do not have to have. some of it was doing stuff that we liked, recently -- like, but we simply could not afford. saying, you know what, i like these, but we have to stop them. i am not going to pay for these by borrowing and putting the

burden on my children's future. that is number one. [applause] that is about 20% of federal spending. the next 20% is military. there is a lot of waste in military. i would like to eliminate that waste and not use it to buy new programs or even fund programs that i like, rather use it to fund a stronger military. if we are going to send our men and women into harm's way, i want them to be well protected and well secured, with that the best armaments in the world. our navy has been depleted and design a path to be even further depleted. i know that they're just putting in place a new series of jets to do fuelling for the aircraft. i am glad they are doing that,

but the ones that we have nell are 707's. these were built in the 1960's. we have a very old airforce that needs to be brought up to date. finally, i would make sure that we have enough funds to care for our veterans in the way that they deserve to be cared for. [applause] that is only 40% of spending. then comes 50% and 60% of the so-called mandatory programs, which are largely entitlement. medicaid i would send back to the states. i would let the states care for their own corporate. that is the way to reduce costs , fraud, and abuse. give those dollars back to the states.

it will help to hold down the costs. [applause] than social security and medicare. no one in my party has proposed any change to those programs for anyone who is retired or near retirement. the question is, what are we going to promise people in the 20's, 30 boss, 40's, and 50 +. let's not give them promises that we know cannot be met. it is not the same as what i will of the pullout, bring out. but it takes a step forward. how do we make these programs sustainable? i do not want these programs to be jeopardized. we want to make sure that we put out programs that we can honor and commit to.

what entitlements will make sustainable, we will cut dramatically our discretionary budget. if i am president of the united states, i will get america untracked for a balanced budget. [applause] thank you. anyone over here? coming back, this is the front row here. >> i wrote down some notes as well. i do not have a good memory. something that is going under the radar screen is education. it does not seem to be a topic in this campaign. i am going to ask a question about the national takeover in education by the obama administration, which is similar to the national takeover of health care. i hope that this becomes more

important in the campaign. especially when the chosen candidate runs against him. as governor you had some of the highest academic standards in the country. >> number one. [applause] >> your students were scoring the highest in the country. proving that this should be a state and local control the issue. right now we have obama taking over education, setting national standards, giving us a defect of national curriculum. they can call it what they want, but we will wind up with a defacto curriculum. by question is -- tell me your views on as, first of all, and would you come out against this? i am looking for a candidate

that will be vocal in explaining to everyone what is going on, letting them know that we are going to fight against this. what are we going to do when they set the standard? where are these parents with lousy curriculum schools going to go? where do they go? whose face is behind this? it is not at the state and local level. i am hoping that this is something you can take for your campaign and perhaps encourage the other candidates to be vocal. of all the candidates, you are best set to speak on this. you have shown what can be done on the state level. unfortunately, our governor here has just shifted it up words. we lost the power here.

>> you have some kids in school, but the way? how are they doing? >> doing good. catholic school. [laughter] >> of course. one of the reasons massachusetts does so well with our students is because we have such a strong catholic school system. the catholic school system has a very low commission cost. people of modest means are able to send their kids to catholic school using the very large scholarship program. school choice is a huge source of the success in my state and i have to give credit to them. i agree, by the way. it is amazing to me that there really are not people that somehow think that the concept -- constitution was brilliant. that they know better than the constitution. i think that the decision by the founders saying that they would

specifically limit the power of the federal government, that they would give to the states the right and ability to deal with those things that are closest to the citizens. issues like education, caring for the poor, those will be held at the state a.m. local level where they can have their views more fully expressed. in massachusetts we have a referendum program. if you do not like something in a state, it can be put on a referendum and we can change it. states of the place for those issues that touch us most directly and i cannot think of anything that touches us as directly as the education of our children. i like what we have in my state. a statewide series of academic curriculum. the kids take a test every year to see what they're doing.

you cannot graduate unless the best the test and i think it is working pretty well. i will tell you one thing, if barack obama wanted to impose that on the nation, but would fight that to the nth degree. the federal government does not have the right to take over state and local governments. it is against the constitution and it is not right for america. so, i am with you. [applause] you know what this is about, by the way. this is about millions and millions of dollars that go into the obama campaign from a national teachers' unions. the bosses of those unions want to get their hands on education at the national level. but they are losing. they're saying that they want to pay for performance. that they want process work

where teachers are removed from the classroom. they want school choice in cyber-learning. they want to take it over at the federal level. i cannot imagine in america where you will have a white house, republican or democrat, or in congress, republican or democrat, laying out what our kids are taught. i will go with what ever state gives us our freedom. thank you. [applause] >> go back to the days when you were running game. if someone said to you that they had programs that stink and they were born to cut them, and we are spending too much money, so i will cut costs, you would probably tell him, sir, come back to me with a detailed plan on all of these issues. this is what i am going to do. you are a great manager.

why can you not treat us the same way? give us a detailed program of what you accomplished as president. >> the best place to find that is my book. where i lay out the challenges that i think we face in the military, globally, the economy, excessive federal spending and how i would change entitlement programs. it is hard to do in a couple of minutes here, but take a look at the book. and i will give you a discount. they are going for less money right now, i think. i spent almost nine months writing it. by the way, by hired a ghost writer, sat down with a ghost writer. he interviewed me and came back and i said that this would never do. i sat down, did the research,

and wrote it myself. you have got me in there. the english might not be so great, but let me tell you about the things that i do. these are the issues that i think most of us are concerned about. will we have a strong economy that is able to provide for our those of us that are retired, but we want to make sure that we give to our kids and grandkids a nation that is strong and can defend itself. you cannot have a first year military if you have a third tier economy. what do you do to get the economy going? i have seven things. one, we have got to bring corporate employer taxes ballot to those that are competitive around the world [applause] .- around the world [applause]

but in place modern regulations. adjust trade policies. we love trading with other nations, but we want those policies to be good for america, not just the other guys. and we want to be energy independent of the cartels. number five, we abide by the wall. every successful economy abides by the rule lot as opposed to a crony capitalism. when general motors was finally taken bankrupt -- by the way, i propose early on that it needed to go through bankruptcy. when it finally was taken bankrupt and wiped out the senior lenders, it was pushed along to give the company to the uaw. it said shock waves through a system that relies on the rule

of law. finally, we need to have great schools. seven, we need a government that does not spend more than it takes in. if you spend more than you take in, people wonder if the currency will be worth anything down the road. those are seven things that would do to get the economy going. thumbs-up will be enough. thank you. [applause] >> in 2014 there will be no americans that have to face pre- existing condition costs. what are your thoughts and ideas on upholding this really amazing new chapter in our country? >> my own view is that to repeal obama care, for a couple of reasons -- [applause]

my bill in massachusetts was 70 pages and we dealt with at the issue of pre-existing conditions in a fairly comprehensive way. his is 2600 pages. in those extra pages he does more than pre-existing conditions. he takes over health care. the american people are saying, in every way that they can, no way. i will repeal obama-care on day one of my administration. i will direct the director of health and human services to take obama care away from the 50 states. [applause] that said, there are things that we need to make sure that we do at the federal level relating to pre-existing conditions. let's say the to develop

diabetes working at a company for 20 years. and that employer goes out of business. you have to change jobs, moved across the country, whenever. meles new employer does not want to pay the cost of your care. that does not make sense to me. at the federal level i would say that if individuals have been continuously covered for some period of time, they cannot be denied ongoing coverage because they've developed something called a pre-existing condition. little things about insurance, we should be able to buy it across state lines. but the way, employers in small groups should be able to purchase in pools so that we can get the discounts and in groups. one more thing, let's get rid of

the extraordinary cost of our malpractice system that makes health care so much more expensive. i agree with you, it is important for us to make sure that we can stay continuously and shared. [applause] -- and assured -- insured. [applause] >> i question is about the differences between the federal government and the state's. i believe that we should appeal roe vs. wade. if abortion becomes legal in some states, should there be criminal sanctions against a doctor is that still perform abortions? >> has anyone proposed that? i do not think that any political person has talked about boat -- criminal sanctions. the right thing for matters

relating to abortion is similar to other measures, turn it over to the states. i think that this is a decision best handled at the state level. thank you. [applause] you guys, i want to say thank you for being here this morning. ok? yes, hi. let's take you for being here. i have a question about this whole healing thing -- this debt ceiling thing that is going on. if they raise the debt ceiling it is just a welcome mat to spend more money. in the fall sperm head of paying our bills, they are still taking out money. i know that it is still coming into the government. all we have to do is pay our

bills instead of letting out shrimp and other programs that are ridiculous. i am tired of the government raising the debt ceiling on my back. >> a powerful point. [applause] the spending going on in this nation that has not been financed by ourselves makes no sense at all. we do wonderful things in the world. we have a great humanitarian efforts that are wonderful. but we are borrowing money from the chinese to go help other people. while the chinese not helping other people? why not said to them -- you go out. [laughter] [applause] why are you not helping to fund

those things? rather than loading money to us to get ourselves deeper in debt? it cut its us in jeopardy. it says that the average american household has, if you take the national debt and unfunded liabilities, almost half a million dollars by an obligation. it is unthinkable. by can tell you this. i am pretty confident that we will have a republican house, senate, and white house. because this president has failed. look, he is a white -- a nice guy. well spoken. he could talk a dog off of the meat wagon. [applause] in the beginning it was all about george bush. we are not hearing much about george bush anymore. unemployment went up again today. you know what?

you cannot keep blaming george bush. this is now his economy. the borrowing and spending, the $1.60 trillion deficit, these numbers are his. it is why he is going to lose. we will have a republican house and senate. it is not that we have all of the answers, but one of our answers is to stop spending everything that you take in. [applause] and i will hold the line so that we do not keep adding depth on to the backs of our kids. sir? you do not have to get out, if you do not want to. let's in just a handicapped old citizen. in an ordinary american who has been self-employed my entire life and i really appreciate what medicare has done for me.

at the same time, it has been pointed out, and i know that it is full of fraud. the simple idea of coming to washington, no longer will the government pay bills to doctors and hospitals without having received the written approval of the patients. in the one cancer treatment ipad oconomowoc and i am thankful for that, $120,000 for treatment in one hospital. $5,000 by another. something is wrong with the overseeing of the medicare system. with that movement, we need to care about who is paying the taxes. we cannot have it in the manner that is being given. >> a great point.

[applause] doing better? >> i am flying out, thank you. >> a fighter. [applause] you are absolutely right. but the waste in our health-care system is absolutely amazing. one of the challenges is this. 350 million people as a lot of people. think about the differences between new hampshire and montana. mississippi and michigan. california and rhode island. the difference is not population or health care system, in cannes, it is enormous differences. putting into place this in

single program trying to over see the whole program. the fraud, the abuse, the paper work, the waste is overwhelming. i would like to see patients have the ability to choose the current medicare plan or a plant provided by private providers. let the seniors decide which plan they like. i am not talking about changing anything for anyone who is currently retired, but people in the 20's, 30 +, medicare advantage, you think so? you are an advantage person. this is a program that we have to protect. as you say, medicare and social

security has to be protected. no one wants to cut those programs the way. but we have to bring to those programs but kind of dynamism and competition and choice that has allowed the rest of the economy to be so vibrant. i congratulate you on being wise enough to see the difference between a hospital that charges $100,000 and the one that charges $5,000. if that happened more, we would make other choices in this country. let's i will give you another one in regard to ira's and social security. we should have regulation that permits me as an employee to deposit my money is in the bank of my choice and to withdraw it under the plan of the federal government.

there is so much going on long in the social security account. it is unbelievable that we could have a social security system that is going bankrupt. individual accounts like ira. >> i have an idea in that regard. see what you think. i know that the specialty of ira, to put your money in a retirement account, but you are allowed to take it out but you get taxed. my own view is this. if you make $250,000 per year or less, almost all americans, you should be able to save your money any way that you want to without paying taxes on interest, dividends, or capital gains. [applause] i know that i am taking longer

than i was supposed to. so i will stop here. but i am confident in our future. restoring the principles that made america great in the first place, we are a part of that. new hampshire has a loud voice. the fact that you are here this morning speaks volumes about the interest of the people in the hampshire in choosing a leader. thank you so much. thank you. [applause] [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2011] [laughter]

>> [inaudible] college. proud to meet you. >> [inaudible] [laughter] >> how are you? >> [inaudible] appreciate your being here. thank you so much. how are you guys doing? thank you for being here. >> governor, in a registered

democrat [inaudible] i am happy to be a part of this campaign. >> you are very kind. i appreciate that. congratulations. thank you. >> [inaudible] >> my goodness, they're fabulous. [unintelligible] was here this morning. >> i was here. [laughter] [inaudible] >> it is a good job. >> not bad. >> not bad. congratulations. tell me your name again? >> [inaudible] >> thank you.

absolutely. you bet. >> i voted for you last time and i hope that this time you win. >> thank you. that is the best. >> very good. i like your response. keep it positive. keep it on the offensive. >> thank you for that. >> [inaudible] >> great to have you here this morning. appreciate your help. how were you? good morning? yes, absolutely. i want to make sure that we get dramatic cost reductions. let's [unintelligible] >> thank you for being here this

morning. you were right the first time? [laughter] >> [inaudible] are not doing it. are not covering it. >> secretary duncan said some good things in the beginning, but then you saw what happened. >> money is behind all of this. where are the liberals who are not happy about corporate influence in washington, d.c.? funnelling this money into the national curriculum. [inaudible] special takeover in education

should be just as important. >> by would use that as an example. i did not realize some of the points that you made. >> [inaudible] obama [inaudible] abolished. >> thank you. a lot of people are still burning. three years into the four here, this is simply excusable. >> it breaks your heart in this great country to have so many people suffering as they are. is that right?

>> [inaudible] >> thank you. >> [inaudible] little guy? >> seven months. >> seven months? >> with you the whole way. >> next, ron paul at the second annual space and freedom coalition conference. the 2012 presidential candidates talk about foreign policy. this is about 24 minutes.

>> it is a budget -- delightful to be here tonight. i cannot imagine people staying up this late to listen to politicians. about freedom and faith. freedom and faith how, i cannot imagine any more important issues. the goal of all political activity as liberty and what is the purpose of having this liberty? as far as i am concerned is to allow creative energy to be released. virtue and excellence, because governments cannot provide vtue and excellence. you have to he a free society so we can assume that responsibility as individuals. [applause] life is precis. i have delivered four thousand

babies, and there are some of my friends to take a different position on a live issue. -- on the life issue. they claim that the mother's life is precious, you cannot interfere with her and her body. as an o.b. doctor, let me tell you, life does begin at concepti. also, it is very little. if i as a physician do something wrong and ensure the fetus, i can ritfully be sued because of the rhts of the fetus. if a fetus is injured in an accident, it can be a homicide. for most of us, we respect liberty and freedom. that is what we are engaged in, protecting freedom. if we do not have hi respect

for life, how can we be dealing with our personal freedom, our rights to home school and our kids, the right to pick our religioand make personal choices on what we do? it would be impossible if you do not have high regard and respect for life and then respect for liberty, because without liberty, we do not have what has made this country so great. [applause] we live in difficult times today, because i think there has been a total rection of some of these basic principles that have made amica great. was in the military during the 1960's. i was an air force for five years. the 1960's were rough times. we are engaged in an undeclared war, and it was tragic in the sense of life lost, but cultural changes were occurring.

that is when abortion became commonplace. the people changed before the laws change. morality has a lot to do with legislation. we don't have an abortion today because the law permits it. that has made it worse. but a lot, dated the social changes that occurred. it was the breakdown of our social system at that time. the war had something to do with it. the drug culture had something to do with it. then this move toward making life so careless and accepting the notion of abortion. during this time, there was a rejection of the family as well. it started off and the statistics came out and started to show that minorities were having more babies out of wedlock, but now it is cultural. it is getting to be an epidemic that family values and families have broken down. this is where our real problems

come from. we would like to think all we have to do is select the right politicians and everything is going to be ok, but believe me, the government is a reflection of the people. that is why the burden is on people like you to make sure that weave those values. [applause] the family is something that is very important. it is ingrained in our christian heritage. in the constitution, one of the provisions i sought the most frequently is article 1, section eight. that tells you everything we are allowed to do. the rest of the things we are not allowed to do confirm that. there is a biblical passage in the old testament, first samuel chapter 8. that is the provision i am sure you have heard of before. this is when after the people in jig after the israelites came

out of egypt, they had accepted god as their king. that is what they live by. they did not have a king. what they had for judges. it was a patriarchal society, but there were always going to be conflicts. the time came -- there was always a temptation to drift away from the belief in god. there was an effort made under samuel. the people came and said we want somebody to take care of us. we want a king. samuel strongly objected to it. he explained to them, you do not want a king that would substitute for got. you need to read that chapter,

because he predicts what happens if you have a king. he said the teen will take your young people, you are a young men to fight wars, your young women to be used in the government. they would attack you and overburden you and you will have to wk for about% of the time for the king. i got to thinking -- you have to work 45% of the time for the king. isn't that essentially what we have done today? we don't need a king and we don't need washington to act as if they are the king in this country. but today, there is so much dependency on the government, cradle to grave, and we have so little confidence in ourselves. we believe that if we don't have the safety net and the government there, if we don't

have medical care taken care of, if you don't have government schools, everything would fall apart. we have lost our confidence in understanding what true liberty is all about and where it comes from. it does not come from our king or our government. our liberties come from our creator. that is where our life and liberty comes from. it was advised by the founders at the time that the constitution would not work if we did not remain a moral society. we are at the crossroads right now, because we have lived beyond our means. we have become totally dependent. we do all the things we should not do and do not do the things we should do. take for instance our foreign policy. when is the last time we declared war? when is the last time we won an award out right? it has been a long time ago. we do need a strong national

defense. we are allowed to defend ourselves. but the obligation is to be of congress through the people. when we have an enemy we have to go after, we should declare war and win the war, and not have perpetual wars and allow our president to go into places like libya without even telling us about it. [applause] but faith and freedom is a crucial item. we must have the faith to generate an understanding of what true liberty is about. we also have to have confidence and an understanding about proper foreign-policy, a constitutional foreign-policy, but an understanding of free- market economics. what about a biblical understanding of what honest

money is about? what about on as weights and measures and no paper currency and no federal reserve that destroys our currency? there is nothing immoral about our financial system and our monetary stem. this recent breakdown of our system is proof positive of it. it was predictable that there was a bubble out there. many predicted that it would come a that it would burst, and it did. but guess what? washington panicked and they said the end of the world is coming, so what we must do is tax the people and spend more money and are more money and print more money. that is going to get us out of trouble. but they did not ask, how did we get into this trouble? we spend too much, bar to much, and printed too much, and they thought that was going to help. it doesot work that way. honest money means that you

cannot counterfeit money. there is a principle that you as an individual, or the government cannot do anything that you as an individual cannot do. but you are not allowed to counterfeit. why do we allow the government to counterfeit? we don't need to raise the national debt so they are just encouraged to spend more money. they should not be allowed to just print the money, because it is immoral. it is the encouragement for big government. there has not been a war fought in many centuries without basing the currency. since the crash of 2008, our dog -- our dollar has been devalued 50% against gold. so therefore, look out for trouble. the odds of us cutting back over on the hill to live since edley

are not very good. we are going to be challenged because we will not be able to depend on our king. the kings time has run out, and guess who you are going to have to depend on? you are going to have to depend on yourself, your family, your friends, your neighbors, and your church to be prepared. it will be challenging. there is no doubt about it. bu the reason why we should be optimistic about this is we have great traditions. we know something about sound money, private property, contract rights, and it is not quite like the problems that the soviet system has met, but we are overextended internationally. we cannot be the peacemaker of the world. we cannot be nation-buildi because we do not have the money.

at times when i think about what we need to do, everybody says you have to sacrifice. i don't tell people that it is up to you to have to sacrifice. what would it be like if you had less regulations and no income tax? you could take care of yourself of lot easier. the people that ought to be sacrificing our the people who ripped us off in the building up of the bubble, and then we went and bail them out. they are making big bucks again and the people who are suffering in the middle class lost their jobs, lost their mortgages, lost their houses. moral society would not have that happen. we need to believe once again in the principles of liberty and understand why the family is the bedrock. the educational system shod be through the family and the church. we should not be depending on the public school system.

but the good news is, have been speaking out a lot in the last couple of years around the country and with a lot of young people. the burden is falling on the young people, but it is not the next generation. is this generation that is right here today soe ve to deal with our problems. there is a lot o enthusiasm with the renewal of the concept of personal liberty and the constitution of our costs -- the concept of our constitution. i thank you very much. [applause] ♪ beautiful day. [cheers and applause] >> hey, everybody, good morning! [applause] how you doing?

good. good to be with you today. listen, i want to share with you a story. it's an unpleasant story. for those of us who have served in congress for a while, we were there in 2008 when we had a financial crash. and then we watched a recession start. we saw millions of people, friends, families, constituents lose their jobs. we saw trillions of dollars of wealth just vanish because we had a great recession. con subsequently, usually the bigger the recession you have in this country, the bigger the recovery. where's the recovery? but i want to tell you something, when that 2008 financial crisis happened, it caught us all by surprise. we didn't see it coming. and so ugly crisis legislation emerged from that. i want to ask you a question. what if your congressman, your senator, your president saw that

financial crash coming, knew it was going to happen, knew basically when it was going to happen, why it was going to happen, but more importantly, what if your representative in congress, your president knew what needed to be done to prevent it from happening and had the time to do so but decided not to because it just wasn't good politics? what would you think of him? >> wouldn't like it. >> you wouldn't like him. [laughter] that's where we are right now. we have the most predictable, most preventable economic crisis in our history, and what are we doing? we're playing politics. we have a leadership deficit in washington right now. [applause] we have a debt crisis coming. we know that government cannot keep spending must be we don't

have. money we don't have. and yet we see what we are doing to our children and our grandchildren. we know without a shred of doubt we're giving them a lower standard of living, less prosperity, less opportunities. we're living at their expense right now. and we know doing it this way is hurting our economy today. it's costing us jobs now. it's telling entrepreneurs and businesses don't invest, don't take risks because gosh only knows what government's going to do to you next. and so we don't have a leadership deficit in the house, and i'll tell you why, because the house of representatives is taking this moment seriously. and it's really because america sent people like mr. mulvaney, like mr. ribble, sent up 87 freshman to come to congress who came not for career, but a cause, and the cause of liberty in america and getting freedom back. [applause] i gotta tell you, having people

like mick mulvaney and reed rib on the budget committee is a breath of fresh air. so in the house we put out a budget to get this situation under control. we do four things. number one, we cut spending. $6.2 trillion of spending. [applause] we just think it's this novel idea that we ought to get government to live within its means and that we should give our children a debt-free nation, and we literally put into place a plan that literally pays off our national debt. [applause] number two, like in the mid 1990s we had great success with welfare reform, but we only reformed one of the several welfare programs in the federal government. we need to finish reforming our welfare system. [applause] but we want to have a welfare system that is geared not toward keeping people on welfare, but

getting them back on their feet in the lives of self-sufficiency. that's what this country's about. [applause] if we go down this path or this tipping point of having more takers than makers in america, then we will become a european cradle to grey social well -- grave social welfare state. that is not the american ideal. third thing we do, medicare is going broke, it's going bankrupt. it has to be saved. and so we have this novel idea that if you've already retired or if you're about to retire, you're above 55 years old, you've already organized your life around this promise government made to you, and we think government should keep that promise. so we make sure that this system stays intact for those people, but in order to do that, you've got to change it and fix it for my generation, those of us 54 and below. and the way in which we prose too that -- propose to do that is a system that says you get to choose among these benefits

medicare offers you, and medicare subsidizes it. more of your poor, more of your sick, not as much if you're wealthy. doing this, saving it from if bankruptcy for the next generation, preserves the program for the current generation. [applause] there is an alternative. the alternative is bankruptcy. the alternative is the program collapses. the alternative is obamacare. you have to remember dirty little secret, president's new health care law takes a half a trillion from medicare to spend on obamacare. how many times have you ever told your congressman at a town hall meeting or talked around the coffee table or at the greasy spoon restaurant and said i wish they would stop raiding social security. well, guess what? they just started that with medicare now. and what's worse, they put a new board of 15 unelected bureaucrats in charge of price controlling and rationing medicare to current seniors.

so they raid it, they ration it, and then they don't even try to save it. we save the program, we end the raid, and we stop the rationing. we think that's the better way to go to save the system. [applause] fourth thing we do is grow the economy. now, here's the difference. washington doesn't create jobs. the private sector creates jobs, entrepreneurs create jobs, people create jobs. and when you have so much government, so much government activism, so much government regulating and so much government spending, you don't know what's going to happen next. there is so much government-inspired uncertainty in our economy that it's putting a chilling effect on job creation. so pay off the debt, keep our tax rates low and stable and predictable, stop picking winners and losers in washington

for the regulatory system and get the system under control so people can flourish. here's what it all comes down to. the way in which we address this debt crisis, how we handle this going in will determine what kind of country we are coming out of it. and so let's just know that we are in this moment in america, it's a very precarious moment in america. i see it as a great opportunity in america. and it's a moment where we can decide, do we believe in those founding principles that made us so great, or are we going to put those aside and go with a different plan, a social democracy/european kind of a system? what's so unique about america is america's not just a country, it's not just a land mass, it's not maine to california, wisconsin to florida, it's an idea. and the idea of america is that our rights come from god and nature. they come before government. [applause]

it's the only country founded as such. and so our rights are not given to us from government, our rights are ours naturally given to us by god. and so knowing this, applying these principles -- liberty, freedom, self-determination, government by consent of the governed -- applying those principles to the problems of today renews america, keeps us exceptional. at the end of the day, the way in which we address these fundamental problems in the america will determine, a, are we going to keep ourselves as that opportunity society with a safety net, that society that is characterized by more prosperity, by upward mobility, by equal opportunity, or are we going to abandon that? are we going to go down this other path, the one we're on right now where more and more people become dependent on the government for their livelihoods, where they are

drained of their incentive and their will to make the most of their lives, and we become a government, a society where the government sees its job as equalizing the results of our lives, as pursuing equal outcomes versus equal opportunity? the difference is stark. the difference is we go into managed decline, into managed stagnation. we go into a society where the government has such a profoundly bigger role in our everyday lives, many managing our economy. in managing our economy. look, it's not a fixed pie. the world, the economy, america is not a fixed pie where the government has to simply redistribute the slices. we need to grow the pie. we need to grow opportunity. we need to have a system of prosperity where everybody has a chance of reaching their destiny and fulfilling their potential. and you know what? america gets this. the people are way ahead of the political class up here in washington. they know this.

[applause] and so while we have a leadership deficit on confronting these issues in the white house, and while we have the united states senate for a second year in a row that didn't bother to pass a budget, i want you to know that the people you sent to the house take this very seriously, and we've done this in the house. we're going to keep lead anything the house. and if we do our jobs right, we will give you that choice you deserve in 2012 so you can decide what kind of country you want to live in this country for the 21st century. thank you very much, and god bless you. have a great day. thank you. [applause] ♪ >> it highlights the