8:45 a.m., kentucky governor steve beshear discussing his support of health care law. 915, a preview of the debt ceiling debate with phil mattingly from bloomberg news. [captioning performed by national captioning institute] [captions copyright national cable satellite corp. 2013] host: it was at the white house john president obama told boehner that he was open to discussion but only if the house passes a clean spending bill and visited that limit. house speaker john boehner said they will continue on their efforts to pass narrow bills to open smaller portions of government vomit abandoning the effort to delay the full implementation of the affordable care act. we want to get your reaction to what has been going on the last

three days. not only of what is happening in the white house and congress as well. here is how you can call us -- host: also on social media -- host: some of the headlines reflecting what has been going on here over the past three days. here is "the wall street journal," their headline -- going to "the washington post was quot" -- ,"d then "the washington times reaction to last night's meeting

, according to boehner, he sums it up this way -- "they will not negotiate." to give us the latest we have and servesroll call" as a staff writer. the meeting last night, what was actually accomplished and how did all the sites play out what happened last night? guest: well, good to be with you. outgeneral sentiment coming of the meeting perhaps best summed up why senate minority leader mitch mcconnell of who appeared on the cnbc program shortly after the meeting. cordial but unproductive. it went on a fairly long time. but as you just noted in the

headlines, a fairly good summary of what seems to have gone on, that the republicans, the speaker, the minority leader in the white house and senate majority leader harry reid to be at an actual , now it seemsble for both the debate over funding the government would let us to the predicament of a government shutdown, as well as the looming debt ceiling fight. one of the things you started hearing more and more on capitol hill this week is that intentionally or otherwise, simply because of the way the calendar is working here, it looks like this is all going to end up having to be one fight. host: so, moving forward, what are both sides planning,

starting with the house? they will continue on with legislation but the larger issue of the debt limit fight, what is the strategy, if there is a strategy, that emerges from all of this? been somere has reporting in the last 24 hours that what may be going on, at least among house republicans, is some sort of a move toward deal ofo seek a larger changest both on may be to the tax code, maybe some , something changes that goes beyond the realm of discretionary annual appropriations. and so, the question then will thing thathe other is going on in the house, i should say, is what seems to be developing among house republicans is there may be a

sort of group that at some point in time as the shutdown drags on may be able to muster enough votes to help the democrats on some sort of procedural vote or force,o allow rather, a vote on the senate's continuing resolution on the house floor. and the question will be whether or not they get to that point before we get to october 17. host: with the speaker have to allow that action to happen? guest: it depends on what they do. , there are ways in a house that are seldom view -- used. frequent viewers, i am sure, have encountered affect that the house, when they move a previous question before there is a vote on a roll on the house floor, in

theory if you defeat the previous question, motion, which almost never happens, and i don't remember the last time it happened -- but in theory, if you do that you can actually amend the terms of the rule. thingat is the kind of that is almost unheard of but might be the kind of situation that at least some republicans ponder doing if it drags on. host: how are house republicans holding together at this point? , what it is interesting we are hearing out of the house they largelys that have held together. every time it seems like in the last week or so we start to hear of a group that is backing a clean stopgap measure, which

ledns -- which seems to be by the new york congressman peter king -- they don't seem to have a large number of votes when an actual vote gets called. far, both house and senate republicans seem to be backing this strategy, at least for a moment, of these individual bills where they will on nih or they will fund the v.a., or they will fund national parks. and that strategy is one that is being rejected by senate democrats, although we will get the first -- we might get the first question about that today. i think the first measures are going to be are riding in the senate today. so over on the senate side, we will be going to see what senate

republicans attempt to try to get those bills on the floor. niels giving us the latest on the shutdown of proceedings on capitol hill. thanks for your time. again, if you want to call us on this day three of the government shutdown, it is -- host: let's start with coleman from tulsa, oklahoma, on the republican line. caller: i think things turned into the republicans favor yesterday for the first time with the veterans memorial demonstration, the idiocy of the government barricading an open memorial. positions now are becoming more clear. every family has to prioritize their expenditures if they have limited income.

and the federal government does have limited income. but it does not want to prioritize. president obama and harry reid are saying we want everything. it became very clear on the house floor yesterday. chris van hollen and other democrats said anything the government does should be funded, fully funded. now, the republicans are saying, no, let's prioritize and let's look at ending. is a situation -- let's look at spending. now we have a situation where the democrats say, we have no problem, we can simply borrow from our kids and grandkids, so we don't have a limitation on the government, and the republicans are trying to say let's get things prioritize shared this is becoming -- prioritized. this is becoming clearer to the public and i think things will get much better as we move forward on the discussion.

host: james from lafayette, louisiana on the democrats line. good morning? one more time from james from louisiana. caller: oh, good morning. i am basically a small businessman here in louisiana. last year we put up with the season.- the income tax let's just it is, get things rolling. we are tired. we have a governor -- government here in louisiana that drives us crazy and now we have a house -- just get on with it. we are just as and tired of it did as a small-business person, i am speaking. host: nick from fairview, tennessee. independent line. caller: can i make a suggestion before i get to my porno question, i should say? -- get to my question, i should say. you are about as level as all of

them. could you do some studies and shows on media bias? it is outrageous. both sides. do what you do. you do it well. to my point -- the second commandment of progressivism is the government can be best cannot be a benevolent benefactor without that's for a long time without becoming a boondoggle in bamboozling bureaucracy. this obama is already on this road and not in -- has not been that long. the president is now bribing people with smartphone sign up, he has closed down a national park that is open for veterans. the brutishfrom bloodthirsty president of maine ghazi -- benghazi. i arrest was allocated hundreds of millions of dollars and they had not even started and they millions of dollars to

obamacare. if you get the facts out of people pay attended. the president wants chaos. he sits there and will not negotiate on anything, and now to their credit -- and i am not a republican by any means. i think they are so stupid half the time. they come up with a thing about passing, i think nis, for medical research and harry reid got up there -- and you know, he does not care of children died. and these are people who say they are always for the children and they destroyed our educational system. host: a couple of tweets from members of congress -- host: we will be reading more of those of the day goes on. houston, texas. republican line. caller: i am a republican, tour,

but i am also a special education direct their in the district that serves primarily disadvantaged children. and having had to watch firsthand the destruction caused by the republican policies of shutting down the government, i have been -- forcing sequestration on the most needy children. i have had to simply resigned myself that it is not possible to be a christian and a republican simultaneously right now. i am absolutely at a loss as to how to explain to my party how wrong, how cool their actions -- cruel the actions are and i can tell you my father was a marine who fought in world war ii and was wounded in world war ii and he would never, ever had gone to stand at a memorial when children were suffering. he taught me many times he fought in world war ii to protect the women and children from the predations of other countries, who at that time were

bent on destroying it. why we are damaging our national -- our children right now over these petty political squabbles is beyond me. we must fund the government. and we must funded adequately. children aren't in need and we are simply not doing what is right. host: -- children are in need and we are simply not doing what is right. host: john boehner put out an op-ed in "usa today.:" he goes on with his thought -- host: here are some of his thoughts following that meeting. [video clip] this that people

expect their leaders to come together and find ways to resolve differences. the president reiterated one more time tonight that he will not negotiate. we've got divided government. democrats control the white house and the senate, republicans controlled the house. send four different proposals over to our democratic colleagues in the senate and they rejected all of them. we have asked in a conference to sit down and resolve our differences. they will not negotiate. a nice conversation. polite conversation. but at some point we've got to allow the process that our founders gave us to work out. we have appointed conferees on the house i to sit down and work for our senate colleagues. it is time for them to appoint conferees. all we are asking for here is a discussion and fairness for the american people under obamacare. i would hope that the president and my democratic colleagues in the senate would listen to the

american people and sit down and have a series discussion about resolving these differences. host: jack is up next from poughkeepsie, new york. democrats line. is so: mr. boehner disingenuous. you never hear him talk about oil subsidies in agriculture subsidies and hundreds of billions. i called to say thank you to c- span but i am a little disappointed because i feel what is behind the curtain, what, like in the wizard of oz, toto reveals the wizard. you are not talking about enough on c-span the money in politics, the campaign contributions, the lobbyists -- what are the names of the lobbyists? but their faces on c-span. what are the names of their firms? how often do they need with elected officials? who are they? wachovia so do they meet with? what do they discuss? what do we know about the discussions? why don't we have more -- like

in deep throat, follow the money. i feel the health-care industry has got to be against obamacare. even though more money will be brought into the system. the health care industry can't be for people who will be covered regardless of pre- existing conditions. when you bring someone into the system that need to health care, that does not have it, that has needs, thoseal bills run a fortune. and now the health care industry rightly will have to provide coverage to people who need it. so, thank you for c-span. i wish you would cover more. host: before you go. to do tould invite you check out the c-span video library, and the reason i have said it is we have dumbed -- we have done numerous segments of what you talked about. if you type in lobbyists or some type of keyword --

caller: with all due respect, i think it should almost be done as a segment on a daily basis, following the money, reminding us every single day what is happening with the money behind the curtain when little toto pulled the curtain back. host: thank you for the the suggestion. i would still ask you to go to the website just to check out what we have done on the topic already did grover, north carolina, independent line. hello. eddie, good morning, go ahead. caller: how're are you doing, sir? how are you doing, sir? host: you are going to have to stop listening to the tv and go ahead with your question or comment, please. aller: i wanted to ask question of the democrats and republicans. if the hard-working americans just up and automatically quit their jobs for a week and no ta or coming to the white house

washington, how long would it hunt a jobo have to the way the hard-working americans are doing now? that was the -- host: john, pendleton, oregon. republican line. caller: thank you. w, i watched this and i have to stop and wonder. you and i both agreed that if you and i had to sit down and work on a budget and we could not come to an agreement, we would go back to the last budget until we could come to an agreement. they have a previous budget for the previous year. why can't they agree on that budget until december, until which point they could hash out andthe bs about health care what they want to spend their money on. because the bottom line is, you and i are working people.

--can go to our boss and say can't say, you have to give them more money first. we already in debt, over our heads and water. if we don't have the money to spend, we can't expect to buy a new car if we don't have the money. we can't add a new debt if we don't have the money. it's good john from oregon. not only did the house speaker come to the microphones yesterday -- host: john from oregon. not only did the house speaker come to the mike that the house majority leader -- senate majority leader. harry reid from yesterday. [video clip] was veryesident strong, strong, strong. this has never happened before. they can make all the historical analysis they want but it has never happened before, where a political party would be willing to take the country to the brink of i natural disaster and say we

are not going to allow us to pay our bills. the president said he would not stand for that. will -- i said i would be happy to work with you, mr. speaker, on a way out of this. but we are where we are. we are through playing these alltle games, and it is focused on obamacare. that is all it's about. as i said before and i will tell each of you here tonight, they did the same thing to social security, they did the same thing to medicare, and they are trying to do the same thing to obamacare. host: house minority leader putting out a tweet and following the meeting, nancy pelosi, saying house the mcgrath want to reopen government that can't optimize one house republicans keep moving the goalposts and refuse to take yes -- and they can't compromise when house republicans keep moving the goalposts. new york, democrats line. hi. caller: good morning. these

[indiscernible] we voted for them to going to take care of it. now they are not doing it. why they cannot just do a simple vote and get the thing going? i was watching it last night -- they don't want to make a vote. everybody come together and make a vote. if obama was a white president -- they are trying from day one to defraud the president. over -- [indiscernible] don't come together. they should cut them from get paid. them.hould stop there should be a role to punish those people holding the country hostage.

host: grant from nashville, tennessee. independent line. caller: thank you for taking my call. thank you for c-span. i wanted to talk about the money and how it has been reported 70% of the economy is consumer driven. a couple of years ago on c-span i believe they said the government is responsible for 20%. where is the 10% coming from? or have international investment? let's go to the 20%. people are in the department of defense and less than a million people farm. opinion, our government priorities are disturbingly unbalanced. involves therity health of the population. and we have become inundated with obesity.

if we do not take care of this problem, obesity will bankrupt the nation. so, health care is important. we need health care. do we need to protect the entire world? there at risk of losing dollar as a standard of currency because these republicans are jerking the system. it is a jerk off. thank you. host: mary, ohio. republican line. toler: i just wanted to say the senate democrats, i don't want to pay 75% of their health care. one other thing, all these parks are shut down. people have gone to washington, d.c., all summer long to visit the white house and it has been shut down all summer. that's all it got to say. host: a couple of tweet from the senate side --

talking about estimates of business near ash -- national parks. host: randy from maryland. democrat line. tired of'm getting these republicans getting on there and singing all this that that is not true. they make up stuff. i guess they hear stuff from all the other republicans. they keep saying -- they think if they say it enough, it is true. but it's not. three quarters of the stuff that comes on there, the republicans just make up stuff. you are there, you hear all the stuff all the time. i think you should be right.ible to set things when you hear something that is not true, you should say it is not true.

host: there is a poll on facebook if you want to participate, taking a look at the question of who is responsible for the current fiscal stalemate in washington. that is on our c-span facebook page. congressional democrats, those waiting in, around 3366, congressional republicans, 9000 people, the white house, about 4600 people. our c-span to go to website on the facebook page you can participate in the poll as well. there is the front page. as we look at it, we will hear from andre from the bronx, new york, independent line. caller: good morning. i just want to say thanks for the wonderful work you are doing. hearing how it is affecting the poor people. wanted to but my thing out there to the republicans. very important thing. strong work to get a

nation. why is it you want to hold the government hostage? $300 million it takes a day. don't understand we as poor people working so hard. kids, i want to clean my teeth but i can't because i don't have insurance. bama and the democrats have come up with his health plan to help people get coverage. i think the problem is they don't get any vote. when i get chance to vote i will never vote for republican because this is what they do and we poor people are really affected. obama, be strong. things will be better. you know what i'm saying? they need to go. .ost: e-mails

this is from minneapolis -- is from north carolina -- host: david up next from i to go -- idaho, republican line. caller: i was just calling. i have been really upset about how my party has been acting, to be real honest. piece by piece, what they are trying to do and sorted out is just dragging this government r thanwn on even longe it should. there is no reason for this.

it just seems that they realize they messed up and they are not willing to take blame. and it is very frustrating to me. they were talking about the national parks and monuments of stuff but what about social security, which i recently just got married, we can't get a social security card for my wife because that part of the government is shut down. host: a couple of stories from the marketplace section of "the wall street journal" saying the shutdown is hitting manufacturers. united technologies corporation said wednesday it is preparing to furlough nearly 2000 workers --

host: it takes a look at other businesses including bae system thing to estimate it could impact 10% to 50% of the 44,000 500 employees -- 34,500 u.s. employees. host: that is from "the wall street journal." asking at retailers, saying well the retail federation, the industry trade group came out with an annual holiday forecast predicting sales would grow by a middling 3.9% from the year before. host: queen, up next, maryland on the democrats line. caller: i just had a few points to make. i am really at a loss for words

knowing that the republican theressmen are hijacking government. it started long before october 1 and it needs to end yesterday. i heard callers say, so what, we can go as long as we need to go. let me tell you something. my husband works for the department of homeland security, and i am a -- in a highly military district. these families don't know where their next paycheck is coming from but the congressmen are getting paid while we are not getting paid. absolutely uncalled for. dubious. obamacare or the affordable care act, it is just black out -- just like our car insurance but you have to have it. ultimately whether or not the next person is going to the emergency room and does not have money to pay for it, we are paying for. this is an opportunity for them to find some health insurance that it's within their budget. i are all americans and

implore those who are educated of those who are not, get involved in your government. we voted these people in and we can vote these people out. host: over the last two days we have heard about not only the shutdown but it's relation to activities taking place at the world war ii memorial in washington, d.c. from wednesday, you can see there are barricades around the memorial. you have probably seen the photos of veterans coming to the barricades to. joining us on the phone to talk more about it is jonathan jarvis, director of the national park service. a few so much for joining us. guest: good morning. great to be here. host: can you first start by explaining the policies in place that put barricades around the memorial in the first place? guest: with the lapse in appropriations i had to furlough would've thousand federal national park service and will use to provide the basic nationalto all 401

parks to yellowstone, yosemite, and lincoln memorial. they provided the basic services of trash pickup, protection from thealism, interpretation of story behind these incredible places, as well as keep the restrooms clean. inh the lapse appropriations, everyone of these employees, except at the very basic to provide security have been furloughed. as a result, in order to meet the standards of protection for these places for future generations, i had to shut them down. host: doesn't make a difference that this is an open air memorial? guest: it does not. open air does not mean it takes care of itself. every day i would have and picking upmployees garbage, opening the restrooms, ensuring the utilities, the lights, the water, all of those

things. they are not working this week. host: just to clarify on a normal night if we were not an shutdown, if it were midnight someone could visit the memorial and walk around? guest: yes, they could. there would be employees there still taking care of it. host: what is the official policy, is it open to veterans are not? guest: it is open to veterans from honor flights as part of first amendment activities. we made a decision in the nationalf the 401 parks across the country that we would still honor first amendment activities on the national mall, on the ellipse, and on the grounds at independence in philadelphia because of these are probably the most important fight for the exercise of the first amendment in the constitution, and particularly in these troubling times where american citizens want to exercise their rights so we need to respect that. e recognized that

these honor flights for our world war ii veterans are basically exercising their first amendment so we are allowing them in. but other than that, the memorial as well as about other monuments are close. host: "the washington times" representative doc hastings, republican out of washington, chairman of the house natural resource committee is questioning why posting guards and barricades in an open air site under circumstances where it is not guarded for at least 10 hours out of the day. guest: congressman hastings is incorrect in that regard. we run a 24-hour a day, seven operations.365 date under normal circumstances i would have 300 employees working on the national mall and i currently have seven. ast: as far as the policy, far as your estimation, how many people have been turned away from the site?

is there an estimate? guest: i don't know specifically for that site. october under the national park system we host about 700,000 people per day. that is nationwide. manyhat is based on many, years of collecting visitor statistics. of year is as time popular time to be in the washington, d.c., area, and i am sure it is tens of thousands but we don't have the actual number. host: we were looking a video showing the barricades in front of the world war ii memorial. do you think it could have been played out differently, as far as not only how this took place but also the reaction he received because of this action? guest: i think the congress could have laid it out differently by providing a basic appropriation to the national park service and the rest of the federal government so we can open these places and provide them to the american public. host: as it currently stands, they will remain closed except for veterans on the honor flight

program? guest: that is correct. host: anything you would like to ?dd question thank you for your time, sir. apollo, pennsylvania, is next from our independent line. lance is joining us. caller: good morning. how are you today? i just had a couple of comments. i am from pittsburgh, pennsylvania, and i just think it is a shame that our congress has come to this point. it is a shame that the people in thisn rubbed raw way. this is is assuming -- just beyond tragedy now. we need to come to a solution. if you're congress cannot do it for you, then i believe that people need to make a vote, get the congress out, take them and put them on vacation, whatever you are going to do. i know they make three digit salaries. all of them. they are the top a people in the united states.

guys need to take a hiatus a break, they need to do that and maybe send their wages toward the people that they have closed down. it is a shame you are hurting families or they are hurting families and they are affecting millions of people. and not only that, the economy. being indecisive. and if you are indecisive and you can't make decisions, you should not be in office. host: ed from georgia, republican line. almost everybody who called in on the independent line and the democrat line are completely constitutionally ignorant. the health-nging care law over and over and over, which is not his job -- only congress can change a law. to understandll how dangerous obama really is, when he is changing law that he hangeo right to c

-- it is congress's job. if obama can change any law he wants in his whim, we are in deep trouble. that is what the republicans are trying to do. this is not the law that was sent to the supreme court. this is not the law that the democrats wanted. this has been changed. they need to fix this in the supreme court, i guess. host: one more call. here is david from michigan. democrats like. you for taking my call. i can sum this up very, very easy. told republican failure. iny failed to keep us safe 911, they failed to get bin laden, they failed in two wars, they failed in katrina. america, quit supporting failure. get these republicans out.

they are destroying americans. thank you very much. host: that is the last call we will take. we will continue on in our conversation with senator tom coburn, republican from oklahoma , who joined his next it and later on, two segments taking a look at the state of kentucky, the health exchange, and how it is laying out the affordable care act and the first will be with audrey haynes, secretary of the kentucky cabinet for health and family services. the discussions coming up as "washington journal" continues after this. [captions copyright national cable satellite corp. 2013] [captioning performed by national captioning institute] >> this house really is florence's house, so all the little things in that house -- the stained-glass windows, the leaded glass by the front door, parquet floors, tile around the fireplace ash that is all florence.

and she is bringing her influence of what she experienced in her life into this marriage, into this house. this really is a very, very personal space for them. >> watch our program on florence harding on our website www.c- itn.org/first ladies or see saturday on c-span beginning at 7:00 p.m. eastern, and we continue our series live monday as we look at first lady grace coolidge. booktv's coverage of this year's national book festival, david nassau spoke about joseph kennedy. notinally, kennedy could figure out -- churchville played this mind game -- whether churchill was teasing him or was so drunk that he forgot from the day before that kennedy didn't shrink. they disliked one another intensely, but the war was over. there had been intense suffering. and churchville said to kennedy, he held out his hand and he said

"i'm so sorry for your loss." joe, junior, had died during the war. and churchill was sincere. and he said to churchill, what good was at all? and churchill looked at him hadlieving, world war ii destroyed, and churchville's mind, hitler, mussolini, the dictators, and had saved a democracy. it had saved western hilllization, so church thought, and kennedy believes hatred at him. national is the only television network devoted exclusively to nonfiction books every weekend, and that's all we are marking 15 years on c-span2. >> "washington journal" continues. us, senator tom coburn, republican of oklahoma and member of finance committee. thanks for joining us. on this a3, what are your

thoughts of what is going on? guest: failed leadership all the way around. think of it, we considered one appropriations bill in the withdrawn it was because they wanted to give an amendment. we ignored the process the founders set. the house passed out of the committees and the senate appropriators passed out of their committee appropriation bills, but because we are playing politics with the next election we never considered any of those bills, and then all of a sudden the fiscal year is over and we have to do a continuing resolution, which is terrible for our federal employees because it does not allow us to do what we need to do to do a better job. i think it is failed leadership. if you are president and you see a train wreck coming, you don't send a signal that says i am not going to talk to you all and wait until it crashes. what you do is you try to stop it. republicans as well. this is about failed leadership.

it is about short-term political gain or loss rather than what is in the best interest of the country. it is pretty childish, i think. host: the president said yesterday he is willing to come to larger discussions about the debt and debt a lot only if the cr is passed -- guest: that is fine. you can play the political game and say you will not negotiate, but the fact is, we have an impasse now. we are not going to negotiate? we are going to set conditions? what you do is when you are a leader you create a vision, and you create a vision that causes people to want to follow the vision, and that is not one of dividing the country but uniting the country. and then you do what you need to do to pull people together. .ou don't add wood to the fire so, president obama is my dear friend. i love him as a man. i disagree with them. i think he has failed, i think harry reid has failed and i think john boehner has failed as we approach this.

and i understand why they are dug in now -- they sent several iterations to the senate. and then the last one, but not matter what you send we will not considerate and here is what you have to send. harry reid said something interesting yesterday. i thought was really remarkable. when he was being interviewed -- he said the house can't pick and choose. well, under the constitution, the house is the only people who can pick and choose what we spend money on. because it all has to start with them. w, people have gotten locked out into their positions, is self-destruction, is what it is. and it is not good for the country. it is not leadership. and you see tremendous disappointment with washington and most of the institutions in washington. it is not just the politicians. it is the supreme court. there is less confident in that . strategy from the

house side sending these smaller, tailored else to the senate. guest: i think it raises another issue. you just had john jarvis on here. approach of the administration with this shutdown is totally different from bill clinton's. this is just like their approach to the sequester. i will make it hurt. so, what you see -- he is saying the world war ii memorial is open. but there is not a bathroom for it. but the park police have a bathroom, but they will not let the world war ii vets used the bathroom. if this is about punishing because they don't agree -- when you have cdc employees who need to be there, who are necessary -- they were there during bill clinton's time. they are not there now. 75% of our national security apparatus should -- apparatus not there. they were there during the bill clinton shutdown. the question is -- it is a political game. why are we doing this?

all we are doing is harming ourselves. put the necessary people out there for the country and then solve the problem. but don't make the problem worse. host: what strategy -- guest: both sides' ability to save face it no one will cry uncle. you have to have leadership that says, i am willing to lead -- i will eat a little crow, now you will eat a little. host: speaker boehner should pass a clean cr? guest: wait a minute -- that is exactly what the president said. you have to do what i want done. you have to sit down. what is the crow on the other side? critical --ho are is it right that the president can you legally eliminate certain aspects of the affordable care act and then congress's is concerned about enough of there should be equal treatment for individuals, and somehow it is wrong? it is not appropriate.

if you say this bill is not going to apply to businesses with 50 employers are more but it will still apply for the people who work for the 50 or less -- which is the vast majority of workers in this country -- but if you are a bigger business, you get a break and you don't have to pay a fine this year, that is innately unfair. regardless of the politics of it. it is not fair. and to say you want to change that and you are not willing to negotiate about that or even delay it like they did -- you know, i understand things get out of perspective in washington. but i think what we are seeing harming our country and it is a display of poor leadership. host: our guest with us until 8:15 and he will take your questions. first is married from kentucky. republican line. for senator tom coburn. -- the first is mary. caller: good morning, pedro. thank you so much for c-span. i learned more watching you than

i ever did through my years of schooling and government and all of that good stuff. please, don't hang up on me. give me a minute. i grew up poor. i know what poor is. ever, never, ever, dependent on the government. wants never -- he went and try to apply for subsidies and they said, well, if you own a farm yard to be able to raise your own food. that embarrassed my daddy so much that he turned around and walked out. we got 12 children in my family. old.ther is 96 years she is on social security. she does not depend on meals on wheels, thank you very much. own crops picking gardens. she lives by herself. we watch over her. she raises her own garden. sahe cans, -- she cans, she knows how to scrub clothes on a washboard. i am raised the same way. i am a farmer, ok? i am a lifetime wife. fe, period, mother and

wife. i raise my own children. i taught them their abcs and how to read and write and how to get out there and work. host: your question or comment for our guess? can theyhy in the heck understand that for any quark -- consequences there is a punishment? guest: first of all, i would love to meet her mother. sounds like quite a lady. know, you just had a description of somebody who experienced life in america outside of a learned dependency. -- there is nothing wrong with helping people, but it is really important not to create dependency. i think she describes what was taught to her, and probably

suffered a little bit more because she did not have that helped but still learn from it. you know, there are a lot of americans just like her who feel that way. from new york, democratic line. caller: good morning. i am just calling because, first -- the way thery news has been saying. is the name -- the name of the act is not obamacare. i have a 17 year old. he is in school. i don't want him of calling the bill of the obamacare. it is not. we need to rightly call it the correct name. which is the affordable care act -- the affordable health care act. that is number one. number two. i think it is a disgrace for the world -- for the world, the united states we are the template.

right now we are not acting like a template. maybe some of these congressmen and senators feeling a pinch, not getting a check to pay their bills. and this would not be on the third day. thank you. guest: i think i said affordable care act. i don't know. i may not have. i tried to say that because when you say obamacare, the first thing that happens to you is people who like it don't like you saying that so they quit listening, so i try to say the affordable care act. i don't have any other comment. host: there are stories in the paper today continuing with the problems with the exchanges, the glitches as they are called. guest: i think it is normal. when you are putting together something this big -- look, anytime you put together something this big you are going to have problems. i don't think those are problems. i think they will get worked out. and they will get solved at a

very high cost to the american people. my problem is with the underlying principles of the bill. physician who delivered 4000 babies and practiced 26 years, i know what is going to happen under this. the quality of care and the access that is promised is going to decline. it will happen. host: jim from brownsville, texas -- i am sorry. brownsville, tennessee. independent line. caller: that is ok. we are small and everything. it obama keeps talking about is law and the supreme court, there, i agree with. that he personally exempted is mrs. coming under this for a year -- exempted businesses from coming under this for a year and all the republicans and independents are asking is individual to give them the same thing under this law as the big dismisses and everything.

all they are asking. and nobody is understanding that that is just asking the same for individuals as for businesses. allt: i think that is not that he did. first of all, you don't have to demonstrate that you qualify for a subsidy to get a subsidies under this. if you know what i know under the federal subsidy program, we have about 30% fraud rate in them. of first 10 years, a minimum $2 trillion cost of the country and adding 30%, $600 billion. most in the bill -- which people don't recognize -- written in the statute is if you cheat the government, we put a deal in there that we can only collect a portion back but we cannot collect it all back. if you lie about what your income is -- and you don't have to prove your income. we don't know when you have to. but the bill says you have to and the president has waived

that. we don't know. we can't come after you to get you to pay back. solving our health care problems are important. this was a try at it. i make one other point. and it is not original to me. it was made by a writer yesterday. when you have a bill that is a andr change in our country it is not bipartisan, you set in motion all sorts of things that are not necessarily positive. billyou had a health-care that was passed without one republican vote. not spitefully. it is because basically they did not agree with the philosophy that got us to where we were going, and also disagreed in extending a broken system that without really changing it. you are going to see consequences to that polarization in our country. you know, social security was passed bipartisan. that care was passed bipartisan

-- big things. -- medicare was passed bipartisan. we chose as a nation from both political spectrums to do something. what you have with the affordable care act is one group of people saying you will do this whether you want to or not, even if you don't agree. and the polling is pretty accurate now. well over 50% of the people don't agree that this is what we should do. they disagree on how to solve it. but they don't agree on this is what we should do. that is one of the result of passing a purely partisan major change in a social network and structure in our country. host: there was a story in politico featuring you before the act took place and the headline -- the gop would fold like hot cakes on this one. guest: they will eventually vote -- fold. the pain is too great. the question is, just take it out and extended out because there's tremendous pain.

i have been through a shutdown before. i was here in 1994 and 1996, in the house. ,ou go through all of this pain and then eventually the pain becomes so bad for the country that you have to do something. or do we compromise now and not wait for two, 3, 4 of five weeks that this will take, given the heart and position -- do you compromise? and does real leadership say, let's bring it to a vote, people can save the face and get something done. so, to invite the leaders to the white house and then tell them --youe not moving, that's should have called them. why waste their time? the fact is, we will eventually solve this -- the cost of this grows every day. disturbed byarly how the shutdown is happening. necessary employees ought to be here.

and they are not. presume the reason politically is to make this more painful than what it should be. host: the story today, taking a look at senator ted cruz and his influence over all of this. one of the quotes in the meeting -- does not quote the senator -- but it says it was very evident that he never had a strategy and could never answer a question about what the endgame was. what do you think about his influence over all of this? guest: i love the fact that his motivations were really pure, i think. he really sees this as a problem and try to respond to what he thinks the people of texas wanted him to do. been quoted all along that i don't think it is an effective strategy because i don't think you can ultimately win it. you cannot defund a law that is a statute. you need 67 votes in the senate to do that. to me, it is painfully obvious that they didn't listen, so we

are where we are. it is interesting to note, we are where we are blaming it now on the house republicans but had we followed senator ted cruz's recommendations we would be based on -- where we are based on senate republicans. strategies ought to be based on facts and not emotions and desires, but on facts. and it is not about an effort to try to change something. it is not about giving it your all. noti think the strategy was effective. i have been quoted as that, ever since it was done. what i love the fact that he is trying. and he has not been in a legislative body before. when i first came to the senate, i made a lot of mistakes in the senate. and i was not very welcomed because i was seen as a radical. so, i understand that. hearts are great,

they want to try to do the right thing. wasthe realism is that that a failed strategy from the start. good morning. i am thinking that everyone has forgotten that we are a nation under god. i really think we should go back to some prayer. it seems that we need it. i am not a holy roller or anything like that. we are a nation under god. i admire boehner for standing for what he thinks. i admire the president for standing up for what he thinks. course, theid, of same.

but he comes from searchlight, nevada. we need the search light to and to give truth people a chance to speak instead those men. we need probably some help from citizen advocates at this point. and what ourievers country really is about. constitutionthe and our religious -- host: apologies, that was my fault. i would not disagree with what she said about looking towards a higher power to solve problems. i do that in my personal life.

i think we need a renewal, not just a spiritual renewal. when i see in the house and the senate is how does this policy affect the next election rather than how is this a good policy for our children and the generations that follow? . am a pretty big skeptic ouri think our -- political system reinforces long-term service. i think what our founders, their vision for what would be in the congress is people who have a real skill outside of politics and bring their learning from their life experiences to washington and apply it to the problems of the country. i think we have a structural

problem with who is here and we have a spiritual problem in terms of our direction. and real leadership can create a vision for america that could maybe change things. host: peter from pennsylvania. caller: good morning. i want to bring one thing to my senator. we have an election coming up in 13 months. when this plan goes through, they will have 13 months to see if it works. thanis is such a bad plan, the election will show that. the senate will be taken over by the republicans. and the democrats will be lost in the congress. now the people will speak. the people will vote this out. not force it out. that is the way the american people work.

guest: i do not disagree with that. that is why i thought the strategy was not achievable in the first place. i am not sure they will see it by then. they will not see the hidden costs i then. he has a very good point. i received a letter from the liberty foundation of america. the american people need to exert more power over congress than congress exerts over them. what we need is a greater awareness by everybody. maybe a little less polarization in the news. we have one group that listens to one side of the news rather than people looking at both sides to get perspective on what the other side is saying. host: there is a story here about harry reid. guest: who is that?

host: ted cruz. relating- the story harry reid as enemy number one. --st: harry and the enemy conversationad a this week about how to get out of this. the press loves big fights. they exacerbate them. they make them look worse than what they are because it sells news. it doesn't matter what it is. they are always trying to stir up a contrast or a difference between people so they can get a story. thanld tell people other maybe five or 10 people in the senate -- the senate is a

cordial place personally. papers andad in the there is not a lot of animosity in the senate, not a lot of lack of relationship in the senate. there are some good bipartisan relationships in the senate. the question is, those are not expanded on by leadership to make something positive happen for the country. host: jennifer from baltimore, maryland. caller: good morning. i am a federal employee who is working for free right now. i guess i am supposed to be essential. i had to have a talk with my kids. i had my own business and i had no health insurance. once i became employed by the

government, i was able to get health insurance. i was diagnosed with breast cancer a couple years later. for people like me with pre- existing conditions, i do not understand those people -- i do understand those people being angry about congress. i understand your side. budget.ot have reduced they wanted $1.2 trillion. you cannot have a reduced budget, repeal obamacare, and whatever asked you're asking for for a six week cr. you have to do better. guest: i agree with you. failed to do the appropriation process. a cr binds you to what you are

doing three years ago rather than any forward vision. letting people make the decisions. i agree. --e appropriation process they do not want to have to vote on amendments. if you cannot defend your vote on anything as a u.s. senator, you should not be here. you should not use the limitation of amendment to keep you from having to cast a vote. i can defend every vote i have cast in my senate. i can still defend what i was doing and what i was thinking at the time. let me thank you for working for our country. i appreciate what you do. we have a great federal workforce. we pay them well and they have

good benefits. we should give them some flexibility. host: what should be done about current sequestration? guest: this is a choice the obama administration made. when sequestration started, they had the ability to do what ronald reagan did, which is go by apartment are agency. the president decided to carry by line item. even the worst row gram that isn't work in -- even the worst program that is working got cut. they could have developed flexibility and they could have made decisions to not spend on something that is not effective. why didn't congress fix all those things that are not working? the problem is congress. and the problem has been congress. as long as you have a congress

they are politicians, more interested in getting reelection. -- in getting reelected. this is not going to change. we can still squeeze another $200 billion by deleting duplicating programs. we have 47 job-training programs for nondisabled. 47 different job-training programs. not one has a metric if they are successful. i can give you a list of other programs that have not been over cited by the congress. the gao has recommended that we oversight. the lack of taking something away from somebody that is getting something. we are throwing the money away.

gender is up next from mississippi on the republican line -- janet. jane,t good morning -- janet, good morning. caller: my problem is that everybody is calling this a republican shutdown because they do not change their mind. they are telling the people exactly what the people want told, as far as that is concerned. for this country that our bills are paid. they cannot be paid with obamacare. our country has lost every bit of the credibility they have ever had because somebody wants to play like a bunch of little kids up there. they are playing with the lives of people. we have people in mississippi

that drive cadillacs and on welfare. this is totally ridiculous. our money -- we know very well though we have probably five or six times the amount of people who put money into medicare over the years. where is our money going? guest: she is highly inaccurate about medicare. the average person gets out three and a half times than they put in, which is why medicare has to be fixed. $124 trillion in unfunded liabilities. medicare is the best deal that ever happened as far as your investment and we cannot afford it. if we do not change it, you will see a large decline in the

standard of living of our kids because the numbers do not work. it is typical. when medicare part b started, the individual paid 50%. the career politicians have lowered your are sent is that you have to pay because they can give you something. but they did not create a tax revenue to pay for it. done is wee transferred all the cost to the next generation. ll isguess what -- the biill i due. the debt ceiling is coming up. if anybody had a credit card that you have maxed out on and you have demonstrated credit thinkiness, do you the credit company will expand

further your ability to borrow money? that is what the debt ceiling will be all about. we have not solved our problem with medicare or social security and we are not living within our means, we need to get a higher level credit card. i have never voted for a debt ceiling increase. i think it is the addiction you can always raise the debt ceiling that keeps us from making the hard choices about our spending. if you want to see our economy grow, have the president and the congress lead solving medicare and social security and cleaning up the defense department and getting rid of the waste and you will see this country boom, because the confidence will be restored. host: one more call from our democrats line. caller: good morning.

i think the senator is being disingenuous when he says he knows the outcome of obamacare. no one knows what the outcome of obamacare is going to be. let's see what happens. whenever we roll out a new application or a server, there are glitches and hiccups. you fix them and you move on. if there are problems with the affordable care act, we need to fix them and move on. obama andor president not for mitt romney. americans want affordable health care. we have had a referendum on that. i think we need to give this a chance to let it run. boehner has ar bill sent over from the senate. all he has to do is bring it to a vote in the house.

it will pass and we will be out of the shutdown. guest: thank you for the criticism. we have a health care system where everybody thinks somebody else is paying the bills. we do not have transparency. we will continue down the road of not making individuals accountable for their own health care. everybodyhappens -- thinks somebody else is paying the bill. eie inat has caused, on three dollars we spend on health care in this country does not help anybody. i have a lot of years of experience in seeing this system worked. it goes against any free-market principles that will work. what is the quality going to be

on this? where is the accountability going to be? that may be true. thing keep doing the same and don't fix the inner loop and you keep sending it out, you will keep having proms with the i.t. program. that is the problem. we should have a system that is totally transparent with the price and outcomes. they should be a refundable tax credit for every american so we all have the same access to health care. there should be a maximum exposure so the insurance cannot game you. the should be an incentive to save and make good decisions. i delivered hundreds of amish babies. they were the best purchasers in the world.

they were really good consumers. they challenge everything you did to make sure you are not doing something that was not necessary. a cost a lot less when we cared for amish. they were involved in their health care. they do not want any money spent the did not have to be spent. there was real inefficiency and informed consent. they did not have insurance. they were interested in the why, what, and how. we do not have that today. we are not competitive in a lot of areas in health care because we have a third-party payment system that doesn't make you responsible for your health care. host: senator tom coburn, thank you for your time. guest: good to be with you. host: we will take a look at kentucky. up first is audrey haynes,

secretary for kentucky cabinet for health and family services. later on, steve beshear, that state's governor. but first not date from c-span radio. hinges on what happens with the partial government shutdown. the shopping forecast is optimistic for now. the nation's largest retail trade group is expected to release the forecast today that failed in another -- that sales in november and december will rise. meanwhile, a tweet from politico says senator rand paul has sent a letter to all senators calling for a bipartisan coffee meeting on the capital steps. "theritish publication that aph" has reported

cyber program has been shot dead in their target assassinations of key figures. a commander of a cyber war headquarters was found dead northwest of the capital tehran. five sciences and the head of the listed missile program have been killed since 2007. the regime has accused israel of carrying out these assassinations. sayskerry speaking earlier it would be diplomatic malpractice not to test yo iran. he wound to said the u.s. would not take any orion offers at face value and that iran left approved they're willing to come clean about their nuclear program. his comments are the first on

the subject since benjamin netanyahu delivered a speech warning the united states and the west against trusting iran. those are some of the latest headlines on c-span radio. this was a controversial building. john f. kennedy made a decision to locate his library at harvard. when he was alive, harvard did not dispute that. they wanted a documentary archive. a number of presidents have graduated from harvard over the years. they did not want the museum in harvard square. they do not want the congestion and the traffic. involved,rsities got the big question is what do we do with the museum? the legacy of 13

presidents. the presidential libraries, sunday, this weekend on c-span3. >> "washington journal" continues. host: we are taking a look at frankfort, kentucky, the side of our c-span bus. we are going to learn about the health exchange and the implementation of the act itself. of 4.4y, a population million people as of 2012.

mind, i amthat in starting our discussion taking look at kentucky and we are joined with audrey tayse haynes, the secretary of the kentucky cabinet for health and family services. thank you for joining us this morning. guest: thank you. we are excited about having the c-span bus in our state capital. host: can you tell us how your state handled the topic of insurance exchanges and what has happened now that enrollment has started? guest: well, our governor has been full speed ahead on leading us into the implementation of the affordable care act. pass theen says, it house and passed the senate and was signed into law by the president. in a state like kentucky where

we ranked 44th overall in our health statistics, it is not someplace that we want to be. we want to take every advantage of the affordable care act and all that it offers us as a state to help our folks get healthier. we have been full speed ahead and created a state-based exchange and it went operational 00o ay afternoon around 6: 6:30 in the afternoon so the system could be stretched out a little bit before the 12:01 hour. glitches, as the rest of the country did. on tuesday the system could still be searched but folks

cannot get their applications confirmed because there were some problems in people making full applications but we are back up and running by 3:00 and overall it has been really terrific and overwhelming. lines at a lot of our places. it was like a rock concert kind of lines. many places where folks are able to get assistance for signing up. host: how many people visited the website and sign up for programs? guest: i have the latest statistics from overnight. 7,954 unique visitors to our site as of 7:00 this morning. 8,994, just short of 109,000 have conducted free screenings

-- prescreenings. we are just under 13,000 people that have apply for health coverage. their application has been started. over 8000 are now complete. individuals enrolled in coverage. begunall businesses have applications. our call center has managed over 15,000 calls in the last two days. tot: our guest joining us talk about the experience that kentucky has had. located inbus is frankfurt, kentucky. our guest joining us from the bus. if you want to ask her questions about the implementation and issues she has run into, here is

your chance to do so. the numbers on the screen -- republicans, 202-585-3881. 202-585-3880 for democrats. 202-585-3882 for independents. a special number for those who reside in kentucky, 202-585-3883 . what was the education program like leading up to the start of the exchange? been: for months, we have visiting all the county fairs this summer. we have been -- the staff that has done such a fabulous job in getting this exchange up and running. they have not turned down a single invitation to go anywhere and speak. we have given out grants to organizations.

that is where a lot of the lines were forms. they are having huge enrollment days. they will continue of course 31.ugh the end of march we have had our media in kentucky and they have been our progressring with the exchange. we have done a lot of outreach in our state to ensure folks hear about it. there is a lot of misinformation. people are trying to figure out if this is for them. host: miss information such as what? guest: i worked a phone bank at one of our local tv stations in louisville. i believe the late-night comics got it right. people were calling in and saying, "this is not obamacare,

right? " i would say it is the affordable care act. let's talk about you getting coverage. there is a perception that obamacare is bad and the affordable care act is good. if you're able to connect with people and let them know what this means for them, for the first time -- i had so many colors tuesday night in their 50's --i had so many callers that have never had health insurance and their life. people on medicare calling. regardless of how much information or have many doors we not gone or how many county fairs we visited, there is a lot of misinformation out there. and every day information

progress. from our first call louisville, kentucky, this is ,ary for audrey tayse haynes the secretary for the kentucky cabinet for health and family services. mary, good morning. go ahead. caller: good morning. accuratee you two pieces of information. we have two children. our graduate school student exits and he will have been 20 64-year will be forced to buy insurance and has no income. we are small business owners. our insurance brokers have told us it will be more an official for us to drop our employees, and they have been covered in our business for 40 years and

send them to the exchange. we have always supply them with excellent health care and we will not be able to do so anymore because of the cost. they may say it is affordable. it is not going to be affordable for us. and i fear they will not be able to afford the premiums even with the subsidy, knowing what they made. that is not misinformation. that is accurate information. host: mary, thank you. guest: the good news for your son, once he completes graduate andol, my hope for him years as a mom is that he does find a job and he finds it with an employer who does provide health coverage. just in case that doesn't happen he can still on,

go to the exchange. we expended medicaid in kentucky. your son will qualify for medicaid if he has no income and he is 26. that is the good news in kentucky. we have made health care affordable. my husband and i own a small business a few years ago. i understand small businesses are squeezed left and right. your employees will be able to go to the exchange, put in their information, and they will be --i do not know how many folks, how many dependents they have. they will be able to search for a plan that suits them. from the hundreds of calls we took at the phone bank, it is

quite affordable. this is such a great time in kentucky. folks for them -- thatnk to you and your husband for providing the great coverage -- thanks to you and your husband. many small business owners have not been able to do that. many more small businesses and their employees will be able to have access to coverage. good luck with your son on getting a job. host: we have if you're on twitter that says -- guest: we are getting ready in down ay -- it does little bit over a period ofo

time. it is a pretty good deal by anyone's business calculation, i think. our uninsured folks have been costing taxpayers a lot of money through emergency room usage and also our governor just came back from a trip in europe where he visited austria, germany, and spain. the europeans are looking at us thinking what is the big deal? most of them have had access to health care for quite a number of years. us, wesinesses look at have done a great job in improving our education status. now we are going to have a healthier workforce. this governor and the one after that will begin to recruit new employers to our state. calculation by

outside experts that are not connected to us, to the state. we believe they will be $15 billion dropped in the state. there will be new provider taxes paid through this process. there will be lots of jobs created. we are not concerned about being able to keep up our 10% of the deal. host: patricia is next. caller: good morning. i received disability social security and i'm currently drawing veterans disability from my this is deceased- from my husband. i received medicare from my

social security and i received champ v.a. how does this effect my income and how will affect my health care? i know several other people -- we do not know where we are going to go with this shutdown and how it will affect us. is it anyway you can help? up the roadre right in shepherdsville from us in frankfurt. is your health care and is not impacted at all. the government shutdown, that is another story. presidenting that the and congress can't reach a deal soon because all state governments will be impacted and

the means our people are being impacted. regarding health care, you're good to go. host: as far as the staff and the help in terms of federal dollars are concerned? guest: would you repeat that? host: do you have enough federal dollars to keep it going? guest: yes. that is been the irony of the shutdown. on shutdown has been focused rolling back the affordable care act. the money to the states for the affordable care act for our startup costs and for keeping the exchange going for the next year, we have that money. they gave it to us in grants. it is not impacting the exchanges and the affordable

care act at all right now. that is ironic, i think. mediane talked about the income in kentucky. is there a percentile of those who will get some type of federal subsidy? guest: yes. we have overons 600,000 uninsured in kentucky. we suspect about 50,000 of those people when not qualify for a subsidy of some type. medicaid,ill be medicaid expansion, or will be able to choose one of our health insurance plans and will qualify for a subsidy. ofexpect a small percentage folks not to qualify for a subsidy. host: donna from reston,

virginia. caller: good morning. hi. i would like to give you a lot of credit for working with all the people throughout kentucky and making sure they have the knowledge and truth and ability to go online and to learn about obamacare or the affordable care act. i think this is making an extreme difference in your state. the other politicians are complaining and complaining and saying what it is not going to do and how it is going to hurt people. productive at all. i want to thank you. i do not even live in kentucky. peace that gives me there are some politicians

giving it the right way. other politicians are scary people and making people afraid of what they are going to lose. i was listening on the radio yesterday and a woman called. she was saying how terrible the affordable care act is because her income was going to change drastically. they asked her specific questions and she was not going to be affected at all but her daughter was. she gets $300 social security and her insurance now, it will be $150 a month. i wish they would've asked her what kind of insurance would your daughter have had if not for obamacare. host: thank you, caller. guest: i would say the other night when i was working the phone bank, there was a great

experience that evening in louisville. we suspect our statistics show uninsured000 of our -- it was a great opportunity for me to hear from folks around kentucky as to what their concerns are. i believe that donna is right on. there is a group of people who have them player- -- employer- based coverage. people talk about their health insurance going up. health insurance costs have been going up for years in this country and for years at double- digit percentages. what we are hoping to do is to begin to bring some of those costs down, as well as to level the playing field and provide accessibility for others. over 4ulation is

million. uninsured.,000 i'm sure that is similar to most other states percentagewise. will in the state that have health insurance or are on medicaid, they are receiving veterans benefits. folks like that when not be impacted. the people that need is our folks with pre- existing conditions. they have been online looking around and they could save hundreds of dollars. one of our key employees that has been working on this whole project to get this exchange up and going is a contract employee and he told me you cannot

believe this but, "i went online and took some time to look online for my family." saveid, 'i i'm going to $500 a month by by my wife and child their health insurance policies through the exchange." that is like a $500 a month raise for him. who doesn't want that? i do think donna is right. host: insurance companies involved. and from is the largest member -- anthem is the largest member. what kind of negotiations take place between your state and the companies for them to enroll in the exchanges? topt: those might be our insurance companies but not all companies are participating up front.

in the individual market, we have three companies that are participating. humanity is headquartered -- humana is participating in the individual market. they will be participating at the beginning in the triangle area of northern kentucky, louisville, and lexington. they are not going statewide yet. we have two companies providing individual coverage statewide. one of those is anthem. they are the largest carrier in the initial market in our state. the other is one of the new nonprofits health co-ops that was created under the affordable care act. that is paid back over many years. the goal of those nonprofit co- ops was to provide a competitive

environment in states to begin to lower health care costs. our kentucky health co-op is going to be providing coverage in the individual as well as the business market statewide. we do have united health care and bluegrass family health. care only for dissipating in the small business market. and from is participating in business and individual. humana is participating in the individual market. united and bluegrass are participating in the small business. outnegotiations -- we laid the essential health benefits and chose our benchmark policies. they use that and went through the same actuarial scrutiny that they would each year when they

file their insurance rates. a negotiatione like you would thing for normal contracts. the rates are the rates. we have been pretty pleased. host: any concerns about keeping the cost controllable over time? guest: i think we will control costs over time by people being healthier, right, and leveling the playing field. the one benefit we are excited about is all of the policies will now have a strong the haverhill mental health benefit along with substance abuse. we are thrilled about that. another great thing is no longer do women pay more than men for policies. i was talking to a young woman tuesday night. she is 28.

she and her husband buy their own insurance now. she has another job that is part-time. they had been wanting to have a child. maternity rider was so expensive. "are you sure my attorney costs are included?" absolutely. she was thrilled. that they ofsad them want to have children and cannot afford the insurance even though they have insurance. here was a young couple trying to do the right thing. there are cost barriers standing in their way. mrs. one more call, sondra.-- this is

caller: i am thrilled with the affordable care act. i wish it did more than it did. my parents are republicans. they are scared to death of what they call obamacare. they are not being silly. they are convinced when this goes into effect, because of their age, they will be left to die is nobody will pay and they have to switch their doctors. i would like you to respond to that. thanks. guest: i am so sorry your scared,have been especially with this kind of miss information. --misinformation.

there on medicare and their coverage is not going to change. i believe all the political rhetoric in this country, the folks that have been for the affordable care act and the implementation. i often think those folks have not been vocal enough. we have not done the job we should have done to educate people about what it is and what it is not. so now we are. it is unfortunate that it is too late. i am sure it is causing quite a lot of emotional stress for your parents. my heart goes out to you. if i can get on the phone with you and them, i would be happy to do that. they are going to be fine. the great thing about this for kentucky is that we are leaving

the country -- leading the country in implementing this. stategreat for a southern to be seen as a leader in trying to help its people. that is what the governor talks about everyday. he sleeps very well at night and so do i. we have been working hard to make this successful. we have to get the facts out. host: the exchange for kentucky can be found that kynect.ky.gov. joanie s to talk about it is audrey haynes -- joining us to talk about it is audrey haynes. thank you. guest: thank you, pedro. it has been great being with you. thanks to c-span for coming to kentucky. host: our next guest is governor steve beshear joanie s to talk about his state's experience.

later on, how an extended shutdown could affect wall street. but first an update on news from c-span radio. russell gold and dan gilbert write the u.s. is overtaking russia as the largest producer of natural gas. it is reshaping markets and eroding the clout. out but has been surging in recent years, a comeback fueled by oil and natural gas that was unimaginable a decade ago. analysis of global data shows the u.s. is on track to pass rusher as the largest producer of oil and gas combined this year if it hasn't already. jobless numbers show the number of americans seeking unemployment benefits rose 1000

8000 andk to 300- hovering there six-year lows. president obama speaks this morning. he will be talking at a construction company just outside of washington. these are his first comments since meeting last night with congressional leaders on the government shutdown. c-span radio will have live coverage here on c-span radio. those are some of the latest headlines on c-span radio. >> i have been asked periodically, you know, when were you most afraid during your government service? my service in government spanned the entirety of bush 43's administration, from january 20, 2001, to january 20, 2011 -- i

mean, 2009. and including 9/11. and when asked what was the scariest moment, i think people are always expecting me to say 9/11. and in reality, for me, it wasn't the scariest moments -- and there were more than one -- came in september and october of 2008, when it genuinely appeared and probably was true that the global financial system was on the verge of a collapse comparable to or worse than what was experienced during the great depression. >> this weekend, part one of our conversation with former white house chief of staff josh fulton, sunday night at 8:00 on c-span's "q&a." continues. journal" host: our c-span bus in

frankfurt, kentucky this morning. we are with that state governor, steve beshear. thank you for joining us. your response to the number of people who have signed up for exchanges in your state, or for health insurance in your state. guest: yesterday or the day before yesterday was probably the most exciting day of my governorship. it just keeps getting better. we are having tremendous response. there is a lot of excitement. 8e have had something like 11 different visitors to the website and viewed over 1.8 million pages. i think there is 3500 people are now signed up. we have 10,000 or 12,000 that are going through the application process. it is growing and snowballing. it is getting better every minute. host: your states on employment

rate is about 8.4%. for those who sign up for the exchanges, how do you make it affordable for them and how does he continue to be affordable? guest: but we did in kentucky is ,000ave addressed all 640 kentuckians. 308,000 will qualify for the expanded medicaid program. the other people are going to be able to get affordable health insurance on the exchange. you know how it works. you go on there. you do not worry about the sticker price. added two percent of those folks are going to qualify for expanded medicaid or for subsidies that will take that sticker price down to it affordable amount. we have a number of examples we have put out there of different

folks at different ages and living in different places and having different incomes. the people getting on and finding out are excited about what they are finding. they are finding affordable health insurance. host: federal or state subsidies are both? guest: federal. it is all under the affordable care act. i have to thank the president and the congress when they pass this. we are going to change the course of kentucky history in terms of its health. we are one of the worst states in terms of health statistics. we have been that way since they started keeping rankings. this gives us a chance to transform our people from an unhealthy state to a healthy population, a healthy workforce. i would predict in the next

generation, you will see a major transformational change in kentucky's health and work force, but activity. we are bringing a bunch of in.se business host: the numbers are on the screen. a special number for those who live in kentucky, 202-585-3883. you have about 10,000 physicians in the state. is that enough? guest: i am old enough to remember when congress passed medicare back in the 1960's. the same questions came up then. the health industry adjusted and they will adjust this time. we will have enough doctors and enough health care professionals to do what needs to be done. the old phrase, build it and

they will come. that is what happened. we will have enough professionals. ,000 peoplethe 640 will sign up tomorrow. this is a process. we have six months for the initial sign up period. then you will keep going. the folks will be there to take care of them. senator rand paul was commenting about the health care plan in kentucky and was quoted as saying the question is not whether it is a good idea but how to pay for it. there is the problem for liberals and they have big cars but small brains. you have to think through the consequences. guest: i just wish we could get congress to think through the consequences. all they want to talk about his politics.

i want to talk about the uninsured and tuck the ends -- kentuckians the need health insurance. this may not be the greatest system in the world. we would probably all redesigned it in a different way. this is where we are. , upheldan opportunity by the supreme court, we have a plan that can get most americans covered by health insurance for the first time. i just wish those folks opposed to this with spent half the time they are spending on railing against it and defunded, i wished it was spent half of that time coming up with their own plan. what do they suggest? they just want to rail against this approach. this is not political with me. i do not care whether it is

democrat or republican. you do not have to like the president or may. ee. is about you and your family to one worrying about letting health incident bankrupt you. we will have a stronger country. this is deborah. i applied for disability. made too my husband

much. i'm not going to be able to afford it. guest: it will not cost you one dime to check. see what you qualify for. just go and look. you're going to like what you find. host: a caller on our democratic line. good morning.

i've been self-employed for almost 15 years now. .'ve needed insurance i'm roughly in the 30,000 year range, never could afford it. act, when ible care whated researching it -- we have found out is really a blessing to our family. we live in kentucky. i don't think i will go anywhere else. we love the state and we are really proud of what is going on here in kentucky. >guest: thank you, randy. the story here. people like randy and others who are working hard and supporting

their families but they cannot afford insurance under the current structure. this affordable care act is going to help him and his family to get insurance for the first time. is going to keep them out of the emergency room. them to take allow their children and for preventive care, vision care, oral care. it's amazing what is going to be covered under these policies out there. childcare will be covered. mental health and behavioral health, substance abuse. there's a myriad of things that are going to be covered for the first time and that every policy now will have to have in every state. the story of the affordable care act is the story of folks like randy. russell on our republican line. it is embarrassing, that

female on there was so excited about this obama tax that is come along. we had checked. our family's insurance will go from $52 a week to $640 a month. that's not affordable. i'm not interested in going on the thing and finding something, because i don't live off of the government. they're just trying to tax us working people so the wet backs, illegals and muslims and everything else and people who don't work can have free insurance and expect all the rest of us to pay for it. what i suggest to you is,

divorce yourself from the president and congress and me and just think about your family. go and check on this stuff. if it works for you, that's great if it doesn't work for you, ok. don't turn your back on it becomes some democrat is a part of it, or its political in your mind. give it a shot. it won't cost you anything to go check. host: for people who may not have access to a computer, how did they get information about the exchange? we have a website, and thousands of people are going on there. there's also a toll-free number. i don't have it here and i don't have it memorized, but i'm sure you have it or we can supply it to you that people can call from anywhere in the state.

we have a call center set up. is going to have 100 people and and readye educated to talk about this whole thing. we're going to have cases in every community where connectors are located that can talk to you in person. if they don't feel comfortable on the phone, on a computer, they can go when and said i to eye with people and talk through the whole situation and learn about -- sit eye to eye with through thetalk whole situation and learn about it. if you want to find out about this, you can. yourcheck around in community, call our toll-free line. we will tell you the spot in your community that you can go in person if that's what you want to do. host: steve from west palm beach, florida. caller: good morning. everybody keeps calling this and affordable care act.

-- an affordable care act. is $400 a month for my family of three. that includes a $50 co-pay at the bronze level. $400 ai going to afford month when i can't afford to keep the electric on? the co-pay, once i meet my deductible, i still have to pay 40% out-of-pocket for any expenses. how is that affordable? florida, i can't speak to the rates and what they were set at but i know that here in kentucky virtually everybody can find some type of affordable plan. everybody circumstances are different, and there may be a circumstance where somebody still doesn't feel like they can afford it. i will guarantee you that the policy you can find through the exchange will be a lot cheaper

than a policy if you just went out and tried to buy it individually. the effort is being made to make sure that you can get some kind of coverage and some kind of insurance that you can afford. companies within they define, how do pre-existing conditions? guest: the affordable care act has set new health benefits, essential health benefits for every policy sold in every state. that's not only the policies sold through the exchange, but every policy. there are rules that pre- , that cannotitions be a disqualifier for anybody buying insurance. they cannot charge women more than men for buying insurance and getting coverage. you have to allow children up to 26 to stay on their parents'

policy. all of those things are across the board for every policy sold. pre-existing conditions, that's not an issue anymore. host: who defines the pre- existing conditions? is my understanding that there is a definition in the statute and regulations about pre-existing conditions. guest: from elizabethtown, kentucky. i need to try to understand about the subsidies. how are we going to sustain those long-term? i understand a lot of that is federal funds. things that get us into trouble. side, isn'tdies that what we were doing with programs such as medicaid where

we were simply supporting those medical fees for people who could not afford it? how long are we going to be able since -- to sustain such activity? guest: it's all about priorities, when you get down to it. the health of our people is one of the most important things there is. i'm willing to spend some government money on folks like can't afford to get good health care themselves. we do that in the medicaid program. this 640,000 kentuckians, they are not aliens from a foreign planet. these are folks that you and i know. neighbors and friends, people we sit in the bleachers with and watch our kids played basketball or baseball or soccer. we shop at the groceries with them, go to church with them. some of them are family members

of hours. these are hard-working kentuckians for the most part. they just don't make enough money to be able to have health care. that, it affects the productivity of our state. affectsts our image, our school attendance, all kinds of things in a negative way. what do we want to invest our money in? that's the priority we have to look at. think healthay not is a priority. i think it is. the federal government is paying for these subsidies. just like medicare, a lot of that comes out of the federal government because back in the 1960's we decided as a nation that the health care of our seniors was a priority for us. does it need to be tweaked? sure. nobody wants to do away with it. social security is another thing. the vast majority of this

country likes it as a safety net for our senior citizens as they retire. we've got to make those decisions. people may not want health to be a priority of theirs. it is a priority of mine. from eastlake, ohio, are democrats -- our democrats' line. caller: health is my priority, too. i salute these men for fighting for what is right, if you make more money, what's wrong with paying more for your insurance? let everybody have a chance to have a well, happy life. i was talking to a man from london and i said, how do you like your insurance over there? i know it's similar to what we have here. he said, they are telling lies about it.

i love it. he said, your mortality rate for infants is much higher here than it is in england. it is higher here than a lot of other places. why is that? have placesr places that mothers can go for prenatal care so their babies are born healthier? that is one of many things that this will help. god bless you all for fighting for the rights of people. guest: thank you. you brought up something that i experience now almost every day. for the last six years -- the highest priority i have had is getting our people back to work. we have been fighting to create jobs for kentuckians. we have increased the foreign and companiesent that hire kentuckians in our state tremendously. travel,ces that i

particularly now, they look at me and say, what is this all about? of these countries in western europe and around the world, every one of their citizens has cal care of some kind -- health care of some kind. heads,ratch their wondering why we don't have some kind of system. i hear folks say we have the best health care system in the world. i don't agree with that. we have the best health care in the world, the most talented people in the health care business. our system is so complex, so messed up, so many moving parts. it has been cobbled together over the years. startcould go back and all over again, we would design it in some way different than what it is now. if you're going to have a procedure in the hospital, you get home and you get your bill and you've been charged $15,000.

then it shows the hospital accepted $1225 in full payment. that's kind of crazy. what we're doing today and what we're going to be doing now is to at least try to make sure that that group of americans and particularly for me, this sucks this 640,000 kentuckians, this is going to make a huge change for us. host: a caller on our democratic line. i want to make a comment there. my pastor, his insurance went up and he got on the exchange their.

he found insurance for him and .is wife and his child i think there's a lot of misinformation out there. it would have some people to go to each county and have forms or something of that nature. why is a lot of people's , like the guyg up ande who said $55 a month going up to 66 -- $600, why is that? guest: insurance costs for health care have gone through the roof. we were all getting priced out of the market. to the managed care

model. we have been on this fee-for- service model for years. provider would do whatever they wanted to, send us a bill, and we wrote them a check. in health care anymore. you've got to manage the care of people -- can't do that in health care anymore. you got to manage the care of people, keep them out of the emergency rooms, let them have a primary care physician that will give them guidance they need to manage their diabetes or other chronic conditions they may have. that's the way we're going to start containing health care cost and start bending that curve a little bit. the experience your pastor had is the experience that thousands of kentuckians have had over the last 48 hours. ofre is a world misinformation that's been put out there. i don't blame people for being skeptical and standoffish and going, i've just heard terrible things about this. folks have been spewing out all this information about what this

is all about. that's why i want to just encourage people, you don't have to take anybody else's word for it -- go online, call our toll- free hotline, go see the people in your community that are certified and have the knowledge of this. find out for yourself. this is not about the president or the governor or about anybody else, it's about you. go see whether you can, for the first time, get health insurance that is going to cover you and your kids to where you don't have to worry that some sickness coming along is going to throw you into bankruptcy or that you have to choose between medicine and food. iis thing will work, and think you're going to find when you inquire, you will be excited about what you find. host: the governor of kentucky joining us on our c-span bus, talking about his experience with the opening of their exchange and the affordable care act. thanks for your time. host: thanks, --

guest: thanks, pedro. host: we're going to take a look at some of the concerns of wall street over the government shutdown. we will be right back. >> the true modern record of congress. >> the video library is amazing. >> you can share c-span programming any time. here's how. go to www.c-span.org. click on what you want to watch and press play. you can also search the video library for a specific topic or keyword, or find a person. type in their name, hit search, and go to people.

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host: joining us now, phil mattingly. fears ofwall street u.s. default. is this what wall street is concerned about? isst: the shutdown bothersome to them, but it's more bothersome because it is a leading indicator going into the debt ceiling. wall street is terrified of what could happen if they do not raise the debt ceiling. i don't think anyone has considered the possibility that we would get to the point of default. they are starting to get the feeling that, maybe the 11th hour deal we have seen over the last three hours is not as ready as it has been. host: can you go over what default would mean as it extends to wall street and how you look at these things? -- they look at these things? had itwe've never before. the u.s. has never missed a bond

payment. treasury bonds are where the market goes when they are afraid of something. everybody was fleeing to treasuries. what happens when the global reserve currency is now in question? here is what we think would happen in a technical default. credit markets would start to freeze up. there is a chance that banks could collapse. interest rates would be forced to rise to try to get investors back in. the cost of financing across the board, even home mortgages would start to increase. i think that's the best guess of what everybody thinks would happen. far as those who buy bonds, would those rates go up as well for those people who want to buy treasury bonds because we would be seen as an unstable commodity? is, whate big question would treasury do. do they delay payment?

do they miss payment entirely? is there a way they can prioritize payment? there are so many unanswered questions here, and that is what is contributing to the fear of the unknown. host: the president had a meeting with the heads of large corporations. what is the message for the business industry? from thee message came wall street ceo's. they also met with house republicans. they're trying to get the message across that this is not something you mess around with. fights aboutyour policy, just don't do it around this issue. president obama has made it clear that he is not willing to negotiate. house republicans made clear to the ceo, we want the president to come to the table. host: phil mattingly from

bloomberg news, if you want to , here's howtions you can ask him questions. the numbers are on your screen. send us a tweet. you can send us an e-mail to. how is treasury overall preparing at this point? guest: they are quiet about what they're trying to do. they don't want it to look like congress has the option of letting this go. they want congress to fix this. i think were going to see something later today where they start to briefed about what could happen if there is a default, what they're trying to do to prepare for this. we have had a debt ceiling issue before. the unknown is what is crushing

everybody as they look to treasury to see. do indication of what they in this type of scenario would be extremely valuable. host: the treasury department sent a house -- letter to the house speaker this week. part of this letter goes as such once's important to note the final extraordinary measures are exhausted -- guest: that's right. already in the emergency functions of the treasury department. hit october 17e and a swing into the different things they can try to do for -- to forestall default. we are there. a market reaction perspective, that's the date everyone is looking to. phil mattingly with us to

talk about wall street and their reaction to a shutdown. the numbers will be on your screen. jim from ellicott city, maryland up first on independent line. for taking myyou call. i was wondering if you had any insight as to whether or not the wall street ceo's will put their andy where their mouth is stop donating to republicans if they continue to hold our .ation's credit rating hostage they are not really negotiations. it's a hostage situation. not giving upe anything. they are demanding that the republicans -- the democrats, or they're going to damage the economy of the u.s.. guest: it's an interesting point, one we have been looking to. since 2010, since house republicans took the majority and in the wake of the financial reform law passed by barack

obama, you have seen wall street's money really flow towards republicans. they did not like the dodd-frank law. sendinggoing to start money to folks that also disagree with that. house republicans have been very clear. there is some frustration amongst industry officials, industry executives that have given money here. they're saying, this is not rational to sit here and threaten the u.s. default. it doesn't make sense right now. is this going to swing the game in terms of campaign contributions? no. but as lloyd like fine said yesterday, -- lloyd blankfein said yesterday, there are republicans in these groups of ceo's, democrats in these groups of ceo's.

thatey don't get to solution, will they be looking at the republican party and saying, i'm not signing that check next year? that's a possibility. host: a caller on our democrat'' line. caller: could this be a situation where the credit default swaps are really at play here, just like in greece and goes over the it technical default, the credit default swaps actually get paid out and they can fake sit after the traders -- fix it after the traders get paid? all in general been looking at the markets to say, when are they going to start reacting, particularly in the bond markets? when will they start to look at what could happen? lawmakers have been looking at that.

not unlike in 2008, when the tarp law failed. everybody started to get a look at what might happen if they could not enact the bailout package. folks are looking at the marketplace right now for a similar situation. when it comes to what will happen in terms of payout, this is the big question. is totally sure what to do in this scenario. people can make up any different number of options in their mind, and that's part of the big problem here. was down dow jones yesterday, s&p, nasdaq down as well. that some of this is because of what's going on in d.c.? people are but looking for the kind of drop that shakes lawmakers. said yesterday in an interview that this is a time for wall street to be worried, maybe this time it is

different. there's a sense of complacency in the market about how real this thread actually is. they want to communicate to the marketplace that this is problematic. they need a catalyst to get people to the table and start trying to figure out solutions. host: we do have the president from yesterday. here's what he had to say. [video clip] would say,tion i generally speaking, has been washington fighting, washington posturing. is that the right way for them to look at it? >> this time is different. they should be concerned. a chance to speak to some of the financial industry who came down. i told them that that is not unusual for democrats or republicans to disagree. that's the way the founders designed our government.

situation inhave a which a faction is willing, potentially, to default on u.s. government obligations, we are in trouble. to do itre willing now, they will be willing to do it later. phil mattingly, anything to add? what we're hearing about is the president this might set going forward -- precedent this might set going forward. this has always been a political vote on the debt ceiling. president obama voted against it as a senator. it's not an easy vote to take. always figured out a way to get it done. you have to slip it into something. ist isn't occurring anymore

threatening to forge or administrations -- future a dministrations. caller: how much do you think the whole situation is exacerbated by the president's with regard to sequestration and the shutdown as well as the debt ceiling? everybody has to walk a fine line on what is going on here because they feel they need to make the american people understand their position. president's perspective, he needs to make people understand why he refuses to negotiate on this. this is borderline infuriating to republicans, who sit there and say, we have had negotiations in the past. debt ceiling increases have been paired with spending cuts in the past. why can't you just come to the table? in terms of whether they exacerbate the issues, the

feelings in washington right now are very poisoned on both sides. clearly, that does not help the situation it does not help where we currently are. host: david from fall river, massachusetts. i see the argument going back and forth. let's go back to an old saying. what's good for the goose is good for the gander. if obamacare is not good enough for congress, it should not be good enough for us. we vote these people into office to look out for our interests. what i see here is a war within our own government. let's get these people together, do their job. we voted you in -- your job. we voted you in. you might not be in next time.

let's keep our national parks open. this is for the people. our government has to come together. it's we the people, not as the government. guest: he makes an interesting point. we were talking about catalysts, what's going to bring folks to the table. the government shutdown -- people are waiting to hear from their districts, waiting to hear what the impact is. lawmakers need to be driven to the table. if this is so problematic back home, it might drive them to the table. we are on day three right now. probablyink this will get wrapped into the debt ceiling debate. when people say we are watching, it's the people who are watching, calling and who could end up helping drive the debate to a solution. a tweet --

guest: this is something republicans, particularly paul chairman have been very wary of. it's a driving force behind their desire to push spending cuts since they have been in power. tom bank regulators lawmakers on the hill, increasing interest rates is a situation that people want to make sure that our debts and deficits are under control and handled, or at least in a more sustainable path for when that moment comes. that said, the obama administration would tell you, they feel like what they have done in negotiations with house republicans over the last three has set a much more sustainable path and should help her tech against any type of interest rates. happens to the

federal reserve if we approach the debt ceiling? guest: everybody was expecting the federal reserve to pull back on this. they chose not to last month. that surprised the marketplace a little bit. was unsaid from ben bernanke during that whole process is that the fed keeps a close eye on what is happening in congress. they knew these debates were coming up. they're working in a protective mode. they don't want to leave the market unprotected. not saying this is the sole reason why they decided not to taper. government dysfunction plays into their decision not to pull back. host: a collar on our democrat'' line. i'm watching this.

i'm seeing obama and the pelosi.s, reid and i'm not hearing much in the way of all of this. 50ave worked out there for years and my tax dollars are not working for me. they are not working for me. since obama has been in the presidency, i don't see how he and say, i'mere doing the job for you. he's not. i had to retire for health reasons, but i worked for 50 years. whenever i'm sitting here and watching this, the democrats are not doing their job. all three of these people, obama, pelosi, and reid need to get up in the morning, put their big boy britches on, get up

there and do the work for the people instead of standing there and bashing the republicans who are trying to do their best. no, he has not worked with boehner and the republican since he has been in there. the obama administration and democrats on capitol hill have been firm, there will be no negotiations on this. this is a new position. they are willing to come to the table to solve these issues in the past. what you have is house speaker are tryingr, they anything. they're doing piecemeal proposals. the democrats are not even looking at them. to what weng back were talking about setting a precedent. they don't want to start negotiations because they don't believe this should be a negotiable issue. they believe this should be part

of a normal, functioning government. here we said. republicans are trying to do everything they can to bring people to the table. democrats are saying no. illinois, is scott, republican line. i just don't understand -- we live in a free country and we are trading with communist countries. that doesn't work in a free- market system. a free-market system works well with democratic and republican type thinking. can you explain this, why we are doing that? how and why we are trading with countries that don't like us? it doesn't make much sense, especially to the american people. it doesn't make much sense to me. maybe i'm ignorant on this. i think we have seen over

the last 10 to 15, even 20 years as technology has increased, social media has increased, markets have grown. the economy is international. in 2008, the big concern was not the one country was having a financial crisis. is that ifognized something happened in one country, there's a domino effect. the president is making a trip over to asia, or scheduled to make a trip over to asia because they're looking to increase investment and trade with countries across the world right now. it's impossible to ignore countries like china, or countries we have disagreement with like russia. the economic firepower they .ring to the table just because you don't agree

with somebody's politics does not mean you're not working with them on the business side. washington is really looking to get into china right now. i don't think anybody blames him for that. people get that this is a global marketplace, and to not enter those places because you disagree with their politics would set you back in business. --t: a tweet guest: the treasury would disagree with that premise. -- ifeasury department congress doesn't appropriate it, they can't go out and spend money. if congress doesn't raise the debt ceiling, they can't do anything about it. this constitutional question has been brought up whether or not president obama can ask on his own and raise the debt ceiling by himself. have askedmocrats

him to consider this option, this 14th amendment option, take congress out of the scenario. arenistration officials clear on this. they do not believe they have the power to do this. they have had their legal folks take a look at the 14th amendment. questions want legal around bonds they would be putting out. otherwhole point to this thing is, we have no other options and the debt ceiling needs to be raised and as of now, this is congress's job. host: one month after the shutdown, rose up by 10%. guest: that would be the best case scenario. heard from the wall street ceo's when they were here yesterday is, the shutdown is problematic.

but the shutdown has happened before and we have bounced back. after he walked out of the white house yesterday, he said, we know what's happening there. our big concern is default. the fact that those are being bundled together makes things even more complex. half the time lawmakers are not sure what they are negotiating on. adding complexity to a debate that's already difficult and has both sides so entrenched should be a scary thing for anybody. ont: good was what is going -- could what is going on effect our credit rating? guest: absolutely. hadd on the cuts we have over the last year, two years, our credit rating is on a stable place right now. what the s&p was looking at primarily was government

dysfunction, not necessarily the debt. they were looking at government dysfunction and they were not sure the u.s. congress and president could figure out a way to work forward. this is not helping on that front. this is something that rating agencies will be looking at. host: milwaukee, wisconsin, independent line. the last time our credit rating went down, what would be the next stage for our credit rating going down? ratingshere's multiple i credit agencies look at. -- that credit agencies look at. they can downgrade more, a step- by-step process. they would not downgrade the u.s. to unk. -- junk. anybody thinks we would actually default. were we to do so, this goes back

to -- this would be a total paradigm shift. i don't think anyone has considered the possibility that we would reach that point. rating agencies would have to shift at they look at the u.s. if we were to walk over that cliff. albuquerque, new mexico, democrats' line. why didn't the republicans come to the table for the last six months? why is it that all of a sudden they want to negotiate after the shutdown? they are just playing games, like they have always done. i'm sick and tired of listening to this. they're like little children. i expect these people to make proper decisions. the democrats are standing their ground.

they should stand their ground. the republicans need to bring that bill to the table. watching, thes republicans kept shooting the democrats down when they were trying to tell them, bring the whole thing to the table so it can be voted on. why are they not doing that? i hear some of these people calling in and saying democrats are being irresponsible. they need to look a little closer to see who is irresponsible. when it comes to journalists or politicians, there is nothing like a deadline to get stuff done. this has divided government. it's very difficult when there is not something pressing on lawmakers in both parties to get any room, especially when the differences are plain as day right now.

we have been working from a deadline to deadline for the better part of the last three years. is noime period different, and underlines what obama administration officials continue to tell us, which is that we're trying to move away from that point. on the republican side, their point is this. we have one house. this is a point of leverage. we believe the country is going in a bad direction and we want to figure out a way to influence. you take the issues the administration cannot fail at. that is where you try to get concessions. the obama administration is clear that they believe this is an unsafe way to do things. host: a question from ron off of e-mail. guest: that's an interesting

perspective. this is congress's obligation right now, and if congress wants to debate on it and congress wants to attach other things to it, that's within their right. the administration is looking 40, 60 the past 20, years and saying this has not been the way it's been done before and there are plenty of things to sit there and have thetes over, including funding the government. -- defunding the government. the u.s.ng default of is not something that should be put in the center of political brinksmanship and/or policy differences. host: a caller on our republican line. caller: this is a three-part comment. a retired servicemember, my

wife is a government employee. i've given over 20 years to this country. i've watched this government go back and forth for years. i'm a faithful republican. haveovernment irresponsibly failed this country. , but thefiscally security of our country is completely vulnerable right now with this shutdown. just look at the congressional approval numbers right now. we peaked at 13%. to 10%.re back down there's a lot of people who are very unhappy with the job congress is doing. this has divided government. this has divided government when so diametrically opposed with the other's agenda and what the other wants to do. the frustration is becoming palpable because nobody

understands why simple things, such as keeping the government running -- this is just continuing the spending at the same level it has been for the past couple of months, and it's only for six weeks, why that can't get done. it is very frustrating to people who are looking and saying, i voted for you to coming get stuff done in washington. why can't you figure out a way to do it? host: here is derek on our independent line. caller: a couple of quick comments. ridiculous to have a continuing resolution and no budget or appropriations passed for three years. the president just gave everybody a raise in congress for this great job, approval

rating of 10%. i have a question. i was told that the federal was ae act of 1913 charter for 100 years. is that correct? thank you. understanding is that i do not believe it is up for reauthorization. i think it is safe to say that the fed in its current role in the economy and u.s. system is not going to go anywhere anytime soon. parties, evenoth those who have been pushing to very cognizant of how reliant we are on the federal reserve to keep currency stable, to keep things in a very stable place compared to where it was pre-federal reserve,

where we were having major financial crises. from illinois, on our republican line. one of the things on the federal reserve, when they are buying our bonds, that enables the government to crypt money. -- crimp money. real hard time with the democrats is, i look at illinois. illinois is totally broke. billion in unfunded pension funds. , whyffordable care act didn't we have health care years ago? when you give things away, people just take it. you have people going for hangnails because somebody else is going to pay for it. you do things that you can do when you are not in debt.

when you are in debt as far as we are, you are just asking for catastrophe. thank you. he makes an interesting point on the states. what we have seen with detroit, -- thenia, illinois economic issues the country is dealing with right now are not just on the federal level, they are on the state level. that makes what is happening on the federal level even more concerning, that my gloss over the fact that the more granular sense, there are economic --blems across the country if congress is continuing to move from crisis to crisis, there's a concern there were never -- there will never be the will to address what is going on. will it be interest in a more formal way? -- be addressed

in a more formal way? guest: they want to get a sense of where things are going, and make sure the bond market will not turn on them all of a sudden. ao's down here yesterday was public display of consulting with market participants. thetreasury department and fed stay close on a regular basis. host: rusty is on the democrat'' line. asking the media keeps the same redundant questions and hashing over the same things. when they stayed at midnight hashing over this budget, the republicans said they are the ones really watching the budget. ust does that really cost when they could not get the job done during normal working hours and they had to stay late? security, people working late to support them. this added cost, where is that saving us money? are in theawmakers

capitol building, they're going to have a ton of support there with them. i would imagine their rebuttal to that would be, compared to what we are dealing with on a national scale, compared to the spending bills are looking at right now, it's a drop in the bucket -- we are looking at right now, it's a drop in the bucket. i think everything can appear ridiculous at times. working until midnight when you have had entire month off, or when you have had two-week recess is to go home and talk to your constituents, the appearance of that is frustrating to everybody. host: how do international markets view what is going on? i don't think anybody thinks we could actually reach the point. there is not been anybody

fleeing treasuries right now. that is a big concern if that happens. international market participants who are large holders of our debt, when they get spooked and think it is real, that is the stuff that keeps the treasury officials up at night. the is the stuff that makes obama administration try to hammer home why they don't think this is something to negotiate on. caller: good morning. saying,blicans continue and the democrats agreed that -- thefuse to negotiate republicans want one thing. they want to kill obamacare. if the law of the land. what president obama should do ifoffer to repeal obamacare we could bring glass-steagall

back. it would do a lot for the , and would satisfy all these republicans. it's something to think about. i would wonder if the republicans would go for that kind of negotiation. have a nic day -- nice day. is a: glass-steagall depression-era law that instituted a wall between investment banks and commercial banking. the wall was taken down in the 's and2000 costs -- 2000 allowed for the merger of super banks, citigroup, bank of america, places like that. that isave look at something that exacerbates the financial crisis. an interesting idea in terms of proposals.

administration has not been for a reimplementation of glass-steagall. haveistration officials been clear about the fact that they don't feel that glass- steagall being in place would have necessarily got into the core of the main problem in 2006 and 2008. the proposal would be them offering to swap something they don't believe in either. it's an interesting thing. this?ould they trade for what if the president went back and said, i will not raise the debt ceiling unless you implement gun control or, i will not raise the debt ceiling unless you scrap obamacare and put in single-parent care? they don't think it's a legitimate debate. host: the house will be in shortly.

here is jenness -- janice. caller: it's amazing what is going on in congress. it's ridiculous. they are so busy listening to their lobbyists, they have forgotten to listen to their constituents. it's got to stop. if they want to make some kind of sanity of this thing, they have to stand there together and agree and listen to what the people are saying, and not their .dvisors forgot that we are the people of the united states of america. it's just ridiculous. they have to stop. they have forgotten they represent the united states,

they are the ones who are supposed to be an example of what the constitution is about. guest: it's an interesting point on this issue. i don't think you see lobbyists -- certainly there is a lot of question about whether lawmakers are beholden or adding provisions to help one company in their state. the 30 or 40, house republicans that everybody points to as being the reason why we have been driven to this point who are dead set on dismantling or defunding the president's health-care law, they are listening to their constituents. what they are telling you is they are from red districts where people feel that dismantling the president's health-care law is more important than funding the government and/or raising the debt ceiling. host: phil mattingly, thank you for your time. we continue to look.