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>> good morning, everyone, there are just so many headlines today. i will go through them very quickly. the marriage rate down. the chevy volt, uncompetitive until 2020. starbucks sued, their counters are too high. all that plus the question the irs will ask you about your health care. the latest speculation what ben might say tomorrow and that stock market rally keeps going. it is a cascade of news and we've got it all. "varney & company" is about to gyp. to begin. n: how old is the oldest person you've k? we gave people a sticker and had them show us. we lened a lot of us have known someone who's lived well into their 90s.

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>> hello everyone, here is your

tuesday morning government waste story today. the disability program is filled with abuse. one public employee was taking in $142,000 in disability payments for a so-called neck injury and didn't stop this person from travelling the world,using a trapeze at club med, skiing, scuba diving. what else does she do, she's disabled. and what does she do, buying a boat and naming it free ride. that's one case. and many more, for many on federal disability, no tax. federal workers can take home more pay for going on disability than if they stayed working. 15,000 of them are 66 years old or older, six are over 100 years old. so, which government agency is the worst offender? the postal service, it accounts for 40% of federal disability claims, even the postal service inspector general tells fox news that this has become an unintended retirement syssem. there you have it, fraud and

abuse with your money this tuesday morning. to the markets, inflation, housing numbers out. there's no inflation, that's officially, consumer prices up just .1%. we're building new homes at a rate of 914,000 a year, not bad, but it's not great either. and if you want market impact, you've got to look at what ben will say tomorrow. and the times says he's about to slow down on the printing. however, having said that, the dow still finished yesterday with a triple digit gain. what gives? we'll deal with it next. it's a brand new start.

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♪ ♪ smoking in the boys room ♪ ♪ >> appropriate music, smoking in america is at an all time low. i say this is the most successful public health campaign in the history of the united states of america. and we'll have more on that one coming up in a moment. i've got the latest from the g8 summit. this is all they've got after this big meeting. and they have agreed on closing corporate tax loopholes and europe and america are talking more about expanding a trade deal. that's it from the g8 summit. i want to bring in scott

shellady from chicago. i've been told if you print a lot, you get inflation, what's going on? >> i think that's scaring the wits out of ben. we're looking at a in inflationy cycle and if they don't get their acts in line, that could happen here, be careful about becoming japan. stuart: well said. i want to look at the opening market. the uptrend was supposed to be in place and it is. a gain of 10 points in the very, very early going and three, what was over 100 points yesterday and now we're up 15, getting close to 15-2. the modest rally. the recovery continues. but we've got facebook. just can't get a good buzz going can it? and unveiling, it's going to unveil an instagram video feature, similar to the one on twitter. the revelation apparently comes tomorrow and that news has been greeted with a yawn. so, nicole, the stock, please? >> right, right now, it's moving about a third of 1%, okay.

1/2 of 1% and they're trying to build for the media press event on the 20th of this week and we hear they may be beefing up instagram with video. and we know it's hotter than facebook lately. we'll continue to watch it, but right now up 1/2 a percent. and we'll see if they have anything else up their sleeve. the last time they had a big event-- >> they don't do buzz like apple used to do buzz and that's a fact. okay. nicole, stay there for a second. i've got to deal with a couple of stocks. boeing introduced another version of the dreamliner, 78710, and it flies 7,000 nautical miles and 300, 330 passengers, uses a whole lot less jet fuel. boeing says it's got commitment for 100 planes and battery problems took the stock to the low 70's and look at it now. 103.50. there's news on the chevy volt,

not good. the government's bean counters say that gas powered cars are cheaper. the volt catches up by 2020 only if gas goes to $6 buck and the tax credit is permanent. nicole, it will me, gm stock this morning. >> doesn't it feel like just a vision? 2020 are you kidding me. it's flat. 374. so in 2020 when i'm 100 years old when these things will finally be profitable and you'll also have to factor in the tax credit and thinking about the gas prices and talk about juggling. stuart: now general motors is down 3 cents so we've got 33 on gm right now. scott shellady still with us. all right, scott, it was the quote heard around the world from the financial times yesterday. and came about 2:30 eastern and came out with this, ben bernanke is likely to signal that the the federal reserve is close to

tapering down. and the market thought it recovered and ended up 100 points on the dow and you want to explain what's going on, please, scott? >> let's call that the great taper caper. and what we've got. ben bernanke has until january before he leaves and until now and then, he's going to massage the market from the bad news is good news psychology, to good news is good news psychology, however he has to do that with rhetoric, be it tomorrow or whenever, that's what he's going to try to manage for the next six to eight months. until then, they still have some fed guidelines that we're still unemployment is at 7.6%, we're still only growing at 2 and got nooinflation, all of those things add up to no tapering. but the market's got to think, hey, feel happy they're talking about it and try to get out in front of it and that's what markets always do. right now it's a little premature. >> you traders love it, you love it, it's what you want. >> stoke the fire there, scott,

stoke the fed fire. we'll see you tomorrow, thanks so much, scott shellady. >> all right. stuart: let's move away from markets, we've got a dow 40-plus gain. i want to go back to the scandal at the ir, you've read about it and you've passed judgment on it. a new cnn poll suggests nearly half the people believe the white house pushed the irs to target conservatives and tea party groups. and that reading is 10 points higher than last month. according to the poll. a lot of people believe the machinery of government was used in the president's favor in the election last year. >> now to this. prime minister has clearly introduced an all government all the time and has shifted our economy and our society. i want to bring in one of the leading thinkers on economic policy and i want to know if president obama has changed america for years to come. joining us to arthur brooks, the president of the american enterprrse institute.

what do you say, arthur, has he changed it now and for good for a long time to come? >> well, yeah. hi, stuart. it's hard to argue that things haven't changed in the united states. the truth of the matter is we have been looking for a long time to scale up the size and scope of governments and obama has simply taken and escalated these particular trends. growth of government is something that's been going on for two decades and you've been in the united states for a long time and you've seen it and i know you've seen it to your dismay, but it's kind of a bipartisan deal at this point. you can't say it's democrats or republicans. the truth of the matter is the amount of government in dollars per capita has increased more under republican administrations than under democratic administrations over the past two decades. i would call this a bipartisan conspiracy to make us into a european style social democracy. >> the way you're talking implies it's going to take years and years and years to unwind what both parties have brought us to, right?

>> yeah, that's right. no, that's absolutely right. the biggest problem, we have a tendency to think that the republican party is the free enterpri enterprise party always and everywhere. the idea of what you and i love, the entrepreneur and free enterprise advocate striking out on his own. we have two parties, one content with the growing welfare state and one that has a great claim of administering the welfare state about 5% more efficiently than the other party and we're going to have to have republicans and democrats come together to say what are our core values here, what is this country going to look like and if you want to know what the country is going to look like, just look across the pond, what's going on in europe. if only we can get to 11% unemployment. if you're a spaniard that would be great. stuart: can you win a general election in the united states of america if you say i've got to cut back on all of these government give aways? i've got to reform these

programs? because you will be demagogued to death. you're hurting the old people, the sick, the poor. i don't think you can do it, arthur. >> it's a hard thing to do and that's actually why we need the visionary leadership. the kind of arguments that we need to make. i lived in spain a long time and a system i know pretty well. the difference between now and 20 years ago, today, there are three or four times more homelessness than there was in spain. why? the reason is because of the insolvency of the economy because of their entitlement spending. that's what led to austerity. the truth is we should be anti-austerity, enemies of austerity because it hurts poor people. why do we need to get entitlement spending under control? if we don't we will have economic insolvency, leading to austerity. and make the truly intergent unaffordable. it will hurt the poor. those are arguments that are true and a visionary leader should be able to do that.

>> give me the name of a visionary leader you see emerging right now. do you have a name? >> now what we need -- yeah, that's the problem. we could throw out people who have a lot of capability to talk in aspirational terms. marco rubio is good at it, paul ryan, chris christie, et cetera. what we need are a bench of 50, 50 people and there are aspirational, great leaders who can talk in strong moral terms at the state level. what we need to start doong is assemblying a list of people who can be the next list of leaders, instead of saying, look, we're three years out and let's pick the winner from among the five. those are the who's next in line philosophy that's led to a lot. stuart: i've to got to say goodbye to you, but add another name to the list, dr. ben carson. just think about it. some interesting stuff recently. come and see us again, please,

stuart: president obama's approval rating, it is slipping even among his core supporters. according to the latest polls his support fell 17 points in one month with the youth vote. not good for the president. will it hurt democrats as a whole, the entire party as we approach 2014's elections? we'll deal with that at the top of the next hour. to the big board, a much bigger rally than we expected. 15,239 and now we're up. and looking at oil, close to $100 a barrel. 98.12 as ww speak. time is money and so in 30 seconds here is what else we've got for you today. 60 pages, that's the obamacare questionnaire. the government health care comes with a ton of paper work, and wait until you hear what the irs is asking. charles payne is going to be here, not only making you money, but to inspire you. we've got a preview of a speech that he's giving tonight. it might bring tears to your eyes. and who is the highest paid

member in the house of representatives? you may know the answer, but that doesn't mean that you'll like it, okay? and i want you to check out the latest video from brazil. more than 200,000 demonstrators took to the streets protesting high public transportation costs and the country's spending on the 2014 world cup, that's soccer. and 100,000 showed up in rio de janeiro alone. the largest in two decades. the protest was largely peaceful. brazilians though not happy with big spending and a stagnant economy. detroit going broke. bonddolders likely to take a very big hit. but could that be good news for one business in the city? it's called hard core pawn. we have the owner after this. . >> the weather is changing and meteors falling from the sky. i can't say that i believe in the zombie apocalypse, but you know what? as long as they were buying i'll

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>> you know, we weren't expecting this. the dow jones average up up, means 120 odd points from the all-time record high. now this. detroit's dire financial straits,,you know that. bondholders are going to take a hit, a big hit. accept just 10 cents on the dollar, a deal so bad many are willing to take their chances in bankruptcy court for detroit. meanwhile, public worker unions and their pensions untouched. the unions say they have he' already made concessions, but the fight in detroit is clearly not over.

as detroit crumbles financial, the pawn industry, that's p-a-w-n, thriving. les gold, the star of the reality show of hard core pawn, runs a pawn shop in the heart of detroit. is this financial news good for business? he's got a book "for what it's worth", flashy cover there. >> welcome to the program. >> thanks for having me. stuart: is that good news for the pawn industry. >> it's bad for the city, but the economy in detroit is better and people are working. our pawn industry, our pawn line that was out the door two years ago, has shortened. so, it's bad for the city. didn't happen overnight, but the redemption is better. and economy is bert he. we're a perfect economic

barometer, we can tell you in advance because of those lines. stuart: i thought that the terrible news for the city is probably very, very good news for you, but that's not the case. >> not the case. stuart: i come to you and you paan an object with you, and you give me a loan for $100. >> yes. stuart: what interest rate? >> state of michigan is regulated 3% a month and a $1 a month storage. stuart: hold on a second, story to interrupt you i know you're a star and television and interrupting you. story about that. you give me $100 for one month. i owe you, $104 at the end of the month. >> $3 interest and a dollar a month storage and state allows us to charge $1 per month per each item that you pawn. stuart: isn't that close to 40% on a year? >> yeah, but it's -- there's other states, we're the lowest interest rates in the united states. if you go to florida, it's 25% a month. if you go to arkansas, 30% a month. stuart: a month? >> a month. if you went to florida got that $100, it's 125, arkansas is 130.

stuart: it still seems like, i mean, 3% a month. it seems like a good rate of return, but-- >> well, it's a good rate of return. -plet's say you pawn a large television set. i have an employee that put it away. we have to store it in our facility for a month. it's not the that inexpensive to run a 50,000 square foot facility with over 50 employees. stuart: what's your redemption rate. when i mean redemption, getting it back? >> we have a 90% redemption rate. out of 100 loans, 90 people get it back with their financial institution. and that's across the united states. the npa, national pawn brokers association of the pawn shops have a redemption average between 80 and 90%. most people that frequent the pawn shop and use us get their merchandise back. stuart: i didn't know that. >> i knew you didn't. stuart: i did not know that. >> most people don't. stuart: basically you offer short-term loans by what by any standard is a high level of interest and you've got high overhead to do that. so you're a bank essentially. >> we are most people -- we're--

as pawn brokers, we're most people's financial institution. and they don't have a credit card or a bank account. don't have a debit card. stuart: we don't think of you as legit. you saw pawn broker, oh, pawn broker. >> right. stuart: but in fact you want a new face on it. now this, a number of smokers

falls to an all-time low. i'm calling it the most successful public health campaign in history. government intervention did it and i actually like that. and my take on all of this is next. ♪ you light up my life ♪ ♪ you give me hope to carry on ♪

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>> a doctor who is so fed up with red tape, he's not taking any insurance anymore. it's called concierge medicine. that doctor will be joining us in the next hour. plus, young voters turning against the president? what? there's a swing in the poll and we've got two young voters with us here in a couple of minutes. a class action lawsuit against starbucks beccuse their counters are too high? lawyers rule in america. and next week we're add ago hour to "varney & company," 9:20 through noon. we've got a big week planned. please don't miss it. now, here is my take on the anti-smoking campaign. i'll get straight to this. i believe it is perhaps the most successful public health

campaign in history and i have turned full circle. only 18% of adults use tobacco, that's an all-time low. and i used to oppose the restrictions on smoking and now i don't. and bear with me for a second: i'm going to take you back a few years, i was a bus conductor in london in 1971. i sold the tickets on those red double dekkers, okay? smoking was only allowed upstairs and believe me the air was thick and the smell was indense when you ran up into the top deck, but because just about everybody smoked in those days, i never gave it a second thought. when the anti-smoking campaigners started to make a mark, i ignored them, and i thought they were zealots. as you get older you get a sense of your own mortality and start to think and you could not ignore the evidence that smoking is dangerous and addictive. when smoking was restricted the air began to clear, i noticed

this and kind of liked it. i started to shift my position. i didn't like the government imposing its will, but i could not deny the benefits of less tobacco use. in this case, government action has been good for society. so, i turned full circle and smoking has all, but disappeared in polite society. and what other campaigns will i eventually agree with. subsidized wind and solar power? >> no, how about the 16 ounce soda ban proposed by mayor bloomberg or his left over food demand. and the anti-smoking program is unique and public health benefits are obvious. i'll stick with that. you can't say 'one size fits all'. it doe't. that's crazy. we're all totally different. ishares core. etf building blocks for your personalized portfolio. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock.

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>> tuesday, june 19th, a jam parked hour, be inspired, get a preview of the speech for tonight, you'll be shocked by the personal health information city, state, and federal governments share about you. the president loses young voters. there's a shock. two young voters here. the lawyers gouge starbucks, and a doctor who just hates red tape. this is a very full show. ♪ right off the bat, presidency

and politics. the president saw a 17-point decline in the approval rating among young voters in just one month, last month. is tide turning? agent two, young voters. jason, author of "obama zombies," and the president dropped 17 appointments in approval. does that extend to the democrats, the party as a whole in the year 2014 and the election? >> well, there's usually a drop off in mid-term elections for younger voters so i think democrats will be hit because of the lack of voter turn out they had in 2012, but i don't think it's going to have much to do with the current controversies. it may have a slight bit to do, but democrats could be hurt. there's two significant reasons why there's been a 17-point drop off in one poll. number one, there's obama care kicking in, and you have young people who used to buy bear bone

insurance policies just to indeem them if something catastrophic happens, and now they need all this different, you know, coverage that they would not have, and premiums are going up, doubling or tripling. the second thing is the nsa controversy. who are the biggest consumers of smart phone and really electronic communications? it's young people who grew up with this, and two-thirds in the same poll believe the government is monitoring their electronic conversations. >> charlie, comment, please. you're a youngster, 19 years old or 20? >> that's right, 19. jason makes a great point in midterm elections. i don't think this translates for republican victory because unfortunately republican leadership like mckaine do not denounce the behavior. john mccain was on cnn

dismissing notion that privacy was violated. he was not speaking the message of constitutional liberty, and, look, the republicans and have a bipartisan consensus this snooping and privacy violation is okay, and as long as leaders, former presidential nominees like john mccain doesn't denounce the behavior by the nsa, it's not trant -- translate. >> you are in touch with youngsters. are they talking about invasion of privacy and object to the idea, jason said two-thirds of them believe they are snooped on, do they care about this? this is a big deal to them? >> this is a huge issue. i'll use equatable term. imagine 30 years ago if a government agent went through a bedroom and rifled through the drawers of a teenager, that's how this generation looks at prief violation, the same way.

we live on the internet, bon on it, communicate, and we have all friends. i know people on saturday nights would rather be on the internet than go out with friends. look at the way we look at the internet, same with jason, different than 30 years ago. when they go in the living space, it's a violation of liberty and privacy. >> the winning political grouping is the libertarians who october to the lack of privacy, who want to legalize marijuana. i think libertarians are winning here, what do you think? >> well, you're going to have a natural base of lib libertarians with young people who may want the government to get out, but here's where it doesn't make sense by and large to support barack obama because talk about invasion, intrusion of privacy, it's not just with snooping, but top down from redistribution of wealth to obamacare and the environment. >> that's not resinating with young people. >> it's not. that's where the republican

party -- certainly not jobs because the up employment rate is pretty much the same for young people as it was in the election. it's not that. republicans do have an opportunity to go ahead and then take distrust snooping, arm it, and segue into other factions that would arm young people like health care, and there's an opportunity for rand paul to harness energy his father had and take it in 2016. >> charlie, seems to me that social issues still dominate with young voters; right? >> yeah, absolutely. i mean, you look at the last election. i think it was framed in a social issue, you know, narrative, and unfortunately, young people are very, very socially liberal. my high school, 88% of the graduating class support marriage equality. the younger generation is socially liberal, but back to the point, they treat privacy

very, very seriously, and this is an opportunity for the g.o.p. or conservative movement, if they capitalize on distrust of government that parallels other economic freedom issues. you know, don't want government to tell us what to buy or not to buy, and it's an opportunity. >> we'll take it. thank you, both, very much indeed, gentlemen. the big board, a modest rally, up 55 now, and the fed meeting, by the way, has begun, and ben speaks tomorrow. that will be, what? about 28 hours from now. trying to do the math here. not my strong point. going to nicole because hormel, they make spam, they will not make as much money in the future. i presume the stock's down, is it? >> right, absolutely. that's what you are seeing, the stock down 4.5% sitting at 3880 right now. when you think of hormel, you may not know names off the bat, but it's spam, skippy peanut

butter. they are talking about numbers in the future going forward and year ahead not as good facing higher costs, sales didn't do as well with some of the refrigerated products that they hoped, and as a result, it's done. now, earlier, it was done more, traded as low as 38.65. it's up off the lows still. not a good day for hormel foods. >> nicole, thank you very much indeed. the dow is up 61 at 15241 after the first 37 minutes worth of business. you want money from the government for health care. it costs you personal information. nine pages of questions about your family. detailing here what the irs will ask you about, okay? 28 categories to define how you're related to different people in your family, and whether or not you get a subsidy, whether or not you get it, they get your information. they also ask you twice if you'd like to register to vote and a link is provided.

what we're doing here, i forgot it, it's in the office actually, but a thick folder of all the questions the irs is beginning to ask you about your personal health care and health insurance. it's a big thick wad of questions. >> yeah, yeah. well, you know, listen, that's why so many people are worried about this thing, stuart. it's obvious. when you gather that information as ulterior motives, the voting thing, but what do you do with all that intensely private personal information. what data base will be set up? cross reference? what do they use it for? it's hard for all the scandals over the last four weeks to believe this is not some -- that somewhere along the line there's not something nefarious about this. you have to be worried about this. >> some government at some point in the future can use that information to intimidate you, blackmail you, or push a political point of view. >> who you love, who is related to you, what you like, every single aspect. we're used to government having

ideas on us, but they have taken this to a level unimaginable years ago. >> that's right. that's what the internet's done for you. more invasion of privacy. how about that? a new rule under obamacare requires federal, state, and local agencies as well as health insurers to share personal information for anyone joining the new health care program, okay? let's get back to nicole. more on that invasion of the privacy. we got that now? congresswoman diane black on that subject, okay. congresswoman, thank you for joining us. i appreciate it. i want to get this clear. a lot of personal health care information under obamacare is going to be shared between city, state, and federal authorities and the health insurers. it's all going to be shared. where does that information come from in the first place? >> stuart, i got to laugh because i was listening to the previous segment where you had these young people talking about the government snooping on them.

well, this is not snooping. thisrules that are set up by hhs. we've just now seen at 2 # 5 # 3 - pages of rules, but now thereby, they are the personal health information that's going to be unitized in the whole implementation of obamacare. i talked before about this hub that's being right now put together where you are going to have five agencies that are dubbing this information, and now we find out more of government overreach into our private, personal lives into our financials, into our personal health information, and all kind of pieces of who we are. >> this information, all this massive information about you and i and everybody else, that is going to be shared. it will be all insurers, state, city, federal authorities, it's all on the same data base everybody -- a lot of people have access to it; is that correct? >> that is correct. here's the question. we continue to get more

information from the administration, from hhs, about what personal information they are going to get from us. what we don't get is we get a lack of assurances where the information's going to be used, who is going to have access to it, security cleercheses, and so there's another 253 pages how they are going to get information, but they don't tell us how they are going to assure us of how it's used. a lot of questions here. >> do you trust assurances? they said, oh, no, we'll never pry into your personal health information, why trust that? this administration or any administration in the future, why trust them? >> amen. we have seen what irs has done, but i want to say that hr2022, which i encourage people to take a look at, and they can join me in sponsoring that on cosponsor.gov gives assurances under the perjury of law they certify the information is not used for any other purpose than what is intended and

particularly not to abuse it for political purposes, and so i'm doing my best that i can at this point in time to give assurances to people, but this should set our hair on fire. this is not snooping, but out and out. we're going to give the government more access and more control over our lives. >> congresswoman, we love you on the show, you're a former emergency room nurse, i believe. congresswoman, we appreciate you being with us. >> you are very welcome, thank you. >> to nicole, sony up big. i think i know why, but tell us. >> it's what you think because this is something that was circulating some time ago, over a week ago, and now it's come to fruition. right now, sony up 3%, dan lobe, quote often, a a 13 billion hedge fund took a stake, raising the stake, more importantly, in sony cooperation, -- corporation, and now making opinions know saying the company, should, in fact,

consider an initial public offering for the profitable music and movie business, and that kind of move could boost the share price of sony by 60%. we heard that he's said that recently, but now saying it again and putting some money where his mouth is too behind it. that's why you see that. >> got it, nicole, thank you very much. after the break, another example how lawyers are running america. this time, it's starbucks that is the target, all because of how high off the ground the counters are. that's one of the reasons. all rise, the judge is nec. ♪

♪ >> boeing launched the 78710 dreamliner in paris, reported to be the most dpisht airliner in history. 17 mile range, and already has commitments for 102 of the planes. boeing's stock, though, down a fraction at 103. new reports say that facebook will release a video service thursday. tech crunch reports it's similar to twitters' vine service. facebook shares up 50 cents. big board, smart ears rally following the 100-point gain yesterday, 152 is where we are all. the boston shut out the blackhawks 2-0 in the third game of the final. bruins lead the series 2-1. the height of the counter is in more than 2,000 starbucks, the

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♪ ♪ [ male announcer ] if you can't sta the heat, t off the testrack. get the mercedes-benz you've been burning for at theummer event, going on now at your authorized mercedes-benz dealer. hurry, before this opportunity cools off. >> o smile because charles is going to make us money. he's got a follow-up on the recommendation early, temper, seally ma stress people? >> two pieces of economic data up. cpi, remits up more than 2.88%. people will move back in housinn. housing permits out paces apartments, that's great. 55 year over year.

there could be a big time must've in housing actually hit main street. people need the mattresses. it's a technical violation in the chart last year, but two insider buys, insiders bought 690 ,000s shares of the stock, it's cheap, a huge grand slam. i don't know why it's down, but goes up big, smile. >> spill. >> after the fact. >> the disabilities agent because of the high pickup counters. a class action suit against the more than 2,000 locations in california is claiming the coffee chape knew about this since 2005 and did nothing. sue them. all rise, the judge is here. this is outrageous, judge. this is lawyers gaming the system for their own personal benefit. >> do you think it is outrageous that the legislature of the state of california, not the free market, but the legislature

of the state of california decided how high the counters should be? because that's the problem. when the government interferes with the free market. who knows better to serve customers, starbucks or politicians? the politicians in california mimicking under what happened george hw bush, decreed you shall not make counters above whatever it is, it's a range. >> you're kidding? they say it has to be at least this? >> yes, and it's on that basis they sue. i dislike the suits as much as you do because they raise the cost of doing business for everybody, and because it's class action, is encompasses a lot of innocent people, but starbucks has bent over backwards more than almost any other company with which the american public deals every day to accommodate the unique needs of customers. the only reason this legislation

exists is not because of starbucks, but because that the legislature told starbucks how to do business. they fa -- facilitated the policy. >> it's a conspiracy. >> i thought you astewed, shied away from conspiracy theory. >> wait a minutings i got one for you. >> what could this be? >> moving away from starbucks, no connection whatsoever. >> all right. >> i want my intelligence service to lie. i want my spooks -- wait a minute, react later -- i want the intelligence services of my country to lie, publicly and in public, i want the truth to be wrapped in a sail of lies, and i want to confuse my enemy, not

inform them. what's wrong with that? >> the statutes against perjury apply to everyone. >> don't get -- >> other than the officials of the government? general clapper, a person who worked for the government his entire life and taken an oath to uphold the constitution took an oath to teel the truth. could have declined to answer, answer in another environment to discuss things more freely, those would have been lawful, truthful answers, not signaling anything to the people. >> much further than that. >> but he lied-under-par oath answering no when the answer was yes. yes, clemons who spent $5 million fending off a frief louse constitution. >> i go further. i'm not talking clapper and one or two appearances before congress, no. aisle saying that i want to win. i'm in a battle with terrorists. i want to confuse them. i want my guys who are on my side to go up there and say, yeah, we did this, this, and

this. >> under oath? >> such a lawyer all the time. i just want to win. >> this is truth and morality. you who now accept the conspiracy theories -- i couldn't resist, keep coming at him, if you make an exception for the obligation to tell the truth under oath for government officials, where will that exception stop? >> you got me there. shouldn't do it under oath. >> oh. >> all other occasions, lie through your back teeth. >> love you. >> not really. judge, not bad. fine performance on my part. [laughter] we know it can make you money, but after the break, charles payne delivers his message of hope. believe me, don't miss this. charles is next. iant to make things more secure.

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>> here's a question, are you familiar with that candy crush is saga game? i'm told it's wildly pop lieu lar. it's made and put out by a company call king, k-i-ng. here's the news on the company. they are thinking of going public. the "wall street journal" says they are in talks with big banks, may do it ipo, may do it in the future, it would be a big one because this is one of the

highest grossing apps out there. what's that again? candy crush saga game. never heard of it. okay, it's going to be big. now, something different from the nicole, down there on the floor of the exchange, what is this? your mom is fan of the show watching this? >> my mom is a huge fan of the show. she love the the show, she was watching your take earlier and felt compelled to e-mail me that i have to share with everybody. she wrote, love varney's editorial with reference to smoking, well balanced as usual. give an opinion on electronic cigarettes, no harm to the air or other people. my mom was a newspaper publisher, as you know, very fair and balanced and think you are too. she thinks electronic cigarettes are the rage doing all research because, obviously, you know, she's a smoker and tried to give it up.

>> electronic cigarettes, we've had makers on the show. my take is they are a terrific way of getting people off actual smoking without ingesting their lungs full of the nicotine and tar, you take in the nicotine, and that way get away from actual smo in that sense, i think e-cigarettes are absolutely terrific, but if you are going to get addicted to nicotine and it is addictive, not keen on that side of the equation. that's my fair and balanced approach. >> second half, the friends next to you, they prefer you smoke an e-cigarette. >> you puff out just water vapor, although, charles, next to me, when he had a guy on the set smoking, you could feel it? you were affected. >> i'm ultra sensitive. i don't know how i hung out in smoke-filled bars. within five minutes, i'm a bad shape. >> nicole's mom, thank you, i'm

fair and balanced, and thank you it very much, nicole. outrage over the free cell phone program that expodded under president obama. a new video reportedly caught two distributers happening out the phones selling them for drugs, shoes, handbags. they are given under the lifeline program that started under president reagan and now costs $2 billion a year. what do you have to say? >> outrageous. $2 billion. giving them out because they want the poor people to use it for job applications. you go somewhere for an interview, there's a phone, but if you are a single parent with a kid, the kid has a phone, it's all lyings. it's all bs. it's a gift. this is one of the gifts that -- and for someone to take this in return for vote is outrageous. 2 billion and counting. >> all right. this is the charles payne block, by the way because tonight, our very open charles payne has a

speech, be preparedded to be inspired. charles, go. >> come on, now, too much pressure on me. tonight, i'll give a speech at the metropolitan museum of art for kid at the eagle academy. five charter schools in new york and normings, these kids will go to college, and it's a great honor to me. it was started by 1100 black men organization, saying the keys to the community is to get the men in shape. they can't have kids, abandon the women, drop out of the work force, and stop killing each other. god made everybody on the planet to be great. you have to tap into the greatness. it's an honor for me. one of the thing i'll talk baht because they are over achievers, and one of the things you must know in life is if you drift, it's you never drift forward. neutral is one of the reasons america's in bad shape you. you cannot put life in neutral and keep moving ahead, and so over achievers think that. when i was a broker, my first

firm, number one worker other than one other guy, jim. if i worked until 10g at night, he worked until 11, but i worked hard, built the book, and put it in cruise control. thought i would make a lot of money forever. i didn't. the crash happened. it was a personal lesson in life not to drift. learn it personally and with countries. another line, america and western europe suffers frrm rich country disease, the need to relax and divvy up the spoils. free cell phones is an example. there's a poll that talked to kids all over the world, and americans are the least optimistic, young americans. i'm excited to be there. by the way, tomorrow is juneteenth. that's a big deal when the slaves in texas were really emancipated, and real quick, i'm getting the signal, but the union general said, guys, you work for the wages, own your property, but do not come to a military post and expect to be supported, and this will not be

supported either. that's tomorrow. >> thank you. >> thanks a lot, appreciate it. >> i got a little teary there. tonight, museum of art. a good man. next, a doctor no longer accepting health insurance of any kind. plus, wait until you hear how much money nancy pelosi is worth. we went out and asked people a simple question: how d is the oldest person you've known? we gave people aticker and d them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed much is the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪

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>> latest financial disclosure from nancy pelosi, the richest member of the house of representatives. she's worth 24.4 million. who is next in line? republican eric cantor, 4.4 million, up from last year. how did he make money? investments in ge, marathon oil, dominoes pizza, pfizer, and sun trust. okay. before we go to the doctor, the big board, up now 100 point, another day when we got a hundred point swing, up, down, whatever, it's for a week in o row we got this, now 95 at 152, and it's about ben, speculation, i think, on what ben will say tomorrow. stay out of this. now, let's bring in the doctor from wichita, kansas. this is a doctor who stopped taking any and all insurance

policy going to a position of membership for his patients. doctor, welcome to the program. good to see you. >> appreciate you having me. >> i'll explain briefly what's going on here. >> you have a bunch of parties, and you charge them x number of dollars a month to be a member of your practice. you don't take any insurance policy whatsoever, and you've done this because you don't like all that red tape and paying for people to administer that red tape, so here's my first question. how much do you save by not having any sphurpses people whatsoever? >> oh, the savings is absolutely astounding. we've saved some families, small families, a thousand dollars a month. we've shown potential savings for a small company of a quarter million dollars in the first year alone. if you take that nationally, that's not just millions, but that's billions of dollars in savings. >> okay. that's savings for your patients, who are part of your

membership and for companies. what bout savings to you? your practice doesn't have those people filling out the forms. >> right. there is a local clinic with 62 employees, three physicians and one employee. the overhead which patients typically pay for is eliminated. >> you charge 50 bucks a month per patient; is that right? ten dollars for children a month? is that roughly accurate? >> right, right. most adults are $50, depending on age, but up limited access for that, wholesale medications, labs, free procedures, ekgs, stitches, you name it. >> if i need a blood test, member of your practice, i need blood work, how much is that? >> yearly blood work normally several hundred dollars for about 12.5. >> 12.50? >> roughly, yeah.

blood count is $2 #, checking your cholesterol is 3, normally that's anywhere 60-90 depending -- went to the er got a lab we charge $4, and they chargedded insurance $6 p 0. >> you have deals with labs presumably? >> right, well, it's a position purchasing agreement, but when you take the red tape, extra work and hassles out of the equation, they bill us for services renne dored, cut a check, no questions about anything, and everybody's paid. >> what about catastrophic illness? serious illness. >> we recommend, yes, we recommend that people still have catastrophic insurance, you know, 50 years ago, insurance did just that, paid the doctor because that was inexpensive. we made that expensive using insurance for primary care. we're turning that back to what it used to be and should have been. catastrophic insurance, which is

inexpensive still covers surgeries and heart attacks and things like that. >> okay. this has nothing to do with the approach of obamacare, just you saving money for practice and patients and saving money for employers. >> it's interesting, doctor. thanks for joining us because you may be the way to go. we'll see. thanks, doctor. appreciate it p on the phone: appreciate it, thanks. >> selling life insurance to pay for long term care and medicaid, growing trend as more and more offer buy outs. dealing with that after this. dow's up a hundred. s different investment objectives, ideas, goals, appetite for risk. you can't say 'one size fits all'. it doesn't. that's crazy. we're all totally different. ishares core. etf building blocks for your p. findut why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus, which includes investment objectives, risks, charges and expenses.

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>> gas prices are stable for some time now, national average for regular is 3.6 # 0. there for several weeks. prees of oil, $98 a barrel. share price of hormel, who make spam, remember, they cut the four year out look for profitability, and the company blames higher costs, lower profits, and down gone hormel four and a half percent. starbucks has calorie counts next week. they are up 66 this morning. now to some housing numbers. u.s. home construction rose 6% in may, we're building new homes at a rate of 914,000 a year. take a look at the dow. not too far away from the high for the day, p roughly 100 points. now we return to a theme in a

moment, selling your life insurance. this time to pay for medicaid, very interesting. the state -- you hurt my feelings, todd.

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>> i don't want anything to do with this. >> i just wish -- i really do, i don't see where it's benefited anyone other than banks. i don't. it's ridiculous that they would build up -- by the way, people are -- you know, the fed does not have to not have a $3 trillion balance sheet. i bet you there's a long time ago saying a one billion sheet at the fed would be disastrous. who knows when they will get rid of it. i don't think it's any time in the near future. >> i don't think individual investors like this speculation of ben printing money. >> go to cracker barrel, love the grits, and buy the stocks. >> you like them, you buy them. like the company, buy the stock. >> not to be influenced by crazy policies that, by the way, don't work and create a time bomb. >> you are going to make us money. what do you have now? >> actually, i'm down on capstone. i wanted to update it because

i'm down now, earnings friday, missed the street, stock took a hit, but i love it and wanted to let everybody know the long term story is in tact. it's not really earnings. it's not a lot firms that follow it, but one had a hold rating on it. it's been quiet lately. i just think this is one of the companies that's going to be -- one day you wake up, 100% from where it is now, but it did take ll like it.i acknowledge that. >> all right. texas is now allowing elderly residents to sell their life insurance policies before they die to pay for long term care. new york, florida, kentucky, louisiana, maine, new jersey have similar bills ending. joining us is the man who buys your life insurance policy, and we always play the organ music because he bets on your death. lifeline program ceo scott

paige. now, you're on the show earlier, and you said that you approve of the states doing this? buying the insurance policy from someone before they die, and then they use that money to pay for elderly long term care payments? you approve of this? seems like they are competing with your line of business. >> no, actually, it's helping our line of business because the problem we had with the last settlement for the last 25 years is consumer awareness. the insurance industry nevermented consumers to know there were other options available other than venderrerring and canceling it. every life insurance policy never pays the death claim. with this state, the states are required to inform consumers before they go into medicaid that if they have a life insurance policy, they should consider selling it into the settlement market. it's a huge success. >> it's a money grabby the state, though, isn't it?

they all need money, and here's a pot of gold to go at. i mean, it's a grab, isn't it? >> it is a grab. you know, the states are looking for any way they can to shoulder the burden with what's happening with the social security, medicare, medicaid, a way to help the states slow.pro the burden of children by the help of a private sectorment one in four people apply for medicaid have the life insurance policy. normally, they allow the policy to cancel for nothing. now the funds are deposited into a private trust account used to pay for long term care services allowing the individual to get a much higher quality of care, direct where they want to spends funds or what health care services, not relying on what's happening with the state and medicaid. >> if that money the consumer gets, they don't pay tax on that money, do they? if they go through you, it's taxed, but through the state, they don't. >> well, there is a special

exception for individuals, it depends on what they have, life expectancy, and some can qualify for tax savings so they don't pay tax over life setments, just depends. >> you like the free advertising you get when the states do something for you. we have this understood. >> we understand when we brought it up last week, it was the first to be toll across the country. we are cutting edge on news here. >> we thank you very much for that, scott. cue the funeral music, and we'll say good-bye. thank you very much, scott paige, good stuff. >> thanks. >> now, the marriage race, did you know it's down in america? we want to know why. who is not getting married? well, we'll deal with that in a moment. ♪

>> senator grahm says the republican party faces a demographic death spiral if they don't pass his immigration preferences. republican committee chairman says, well, senator grahm is he running the republican party? tonight at seven eastern.

♪ >> marriages across the u.s. down 5% since the recession. why is that? who is not getting married? joining the company now is american action forum. why don't we start with who is not getting married? >> we're seeing younger, less educated people delay decisions to get married. it's not surprising. those who are uncertain about their economic future delay major economic decisions like getting married. >> an economic thing, you say? >> largely an economic decision. >> it is? >> it's going to impact the economy and your decisions, birth rates, housing, a big ripple effect. it's not that surprising that people clay. >> the other end of the spectrum, who is getting married in greater numbers or same numbers as before? >> nose who are older, higher education, largely going to be confident about what the economic situation looks like so they are getting married regularly, more frequently. >> i don't want to bring you into a discussion on social

class, but i'll bring charles in on that. seems to me there's a class division here. if you tell me that younger, less educated, less wealth people are not getting married, there's a divide appearing between that group of people and older, more wealthy, better educated people. that's class. >> younger people, the people they look up and admire, you know, they shack up all the time. kayne and kim had a baby girl. nobody care she was pregnant while legally married to another guy. nobody frowned on that. nobody thinks it's a bad thing anymore. >> don't agree or disagree op the class question, but what are the economic consequences? >> right. >> of this shift in the pa tern of marriage? >> largely in household formation, people live at home longer, and that's going to continue. if people marry later, buy houses later, have children later, and that's going to have a broad economic effect. >> negative -- would you say negative? >> absolutely. >> fewer children, fewer births,

fewer formations. >> this is europe or japan. they went through the same thing. >> american action forum, do you say because of the marriage thing, is looking more like western europe? >> i think that if the economy needs to get stronger so people can make these decisions and get back on track and get married. >> do you think the marriage rate would change course if we had 4% economic growth? >> absolutely. a stronger economy would bring people back to making decisions earlier. >> all good stuff. thank you very much for joining us. >> thank you. >> more varney up next, but remember, please, next week, varney extended into the 11 a.m. hour, all-star lineup of guests just for you next week. at a dry cleaner, we replaced people wi a machine. what? customers didn't like it. so why do banks do it?

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there is a shock. the president did solve a joke line with young voters and just one month. >> i did not think this will translate to republican victory. stuart: i find this fascinating. social policy remains category number one. charles: not swinging to republicans. the most honest, honest agenda out there. they do not care if it is good news or bad news. they have ideology that they believed then and i think they will stick to it. connell: we will have a lot more on that.

are we ready for a replacement? bernanke has stayed on longer than he wanted. the question is, who is next in line. the head of the nsa is back on capitol hill today. he is testifying right now. during the final day of the g8 summit, tax loopholes need to be closed. jumping on the food truck bandwagon. how restaurants are taking a cue from the sector. we have that and much more on markets now this hour. ♪ dagen: are you a dirty water dogs kind of guy?