tv The Willis Report FOX Business March 1, 2014 11:00pm-12:01am EST
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continues. i better get that phone. [phone rging] hmmm. good stuff. we'llend it right gerri: hello, everybody, i'm gerri willis. right now on "the willis report", eat this, not that. nutrition labels get the first of ever makeover. will it change the way americans eat? also a big win for drivers. cities put the brakes on red light cameras. fast-food wars, we put the new breakfast menus to the test. we're watching out for you on "the willis report." gerri: nutriti labels are getting a makeover for the first time in 20 years. the fda is touting the proposed
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labels as reality check to america's expanding waistlines. will enoh consumers check out the labels to tipscale i the war against obesity? here to weigh in, john fund, writer forthe national review", and margo woten, director of nutrition policy at center for science in the public interest. welcome to you both. margo, i will talk to you first because this is something you study all the time. how will these labels be diffent? what is the big change here? i know your organization wants to go further but tell us about the changes we're seein and we'll show those labels as you speak. >> as you said this is the first time the labels have been updated in 20 years..3 so we learned a lot over time about how people use labelsnd science of nutrition continues to evolve. one of the big things is that calories, are going to be in a bigger font. they will be easier to see, easiero read. that is the information that people are most interested in. there are soing off the label that are not so necessary, that aren't big problems in people's diets like
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the percent of calories from fat. there will be important new nutrition formation added like potassium and vitamin-d. gerri: we got a lot of stuff john, what do you make of the new labels. is it an improvement? >> well, everyone wants people to eat healthier and obviously some people do look at hese labels and some people do derive good information from them but let's not think this is a panacea. educational campaigns, people actually reaching out to talk to people are far more effective and remember,hen it comes to childhood obesity we have to make sure parents read labels because children certainly aren't. gerri: tt's for sure. these labels will be open to public comment for about 90 days. they will take some time to write the rules. it is possible we won't even see these on products in our grocery store until 2017. they're a lo time coming. margo, the fda is selling this on the idea there will be 20 tt
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$30 billion in benefits to the consumer. what do they mean by tt? >> well what people eat has a profound impact on their health. eating too much saturated fat contributes to heart disease. not eating enough whole grains can increase the risk of heart disease. knowing what is in your food and tools in order to make healthier choices is really important for preventing cancer, heart disease, diabetes and thether big, costly diseases that are affecting americans health. gerri: i see your point, but, john, at sound like a whole lot of money, 20 to 30 billion over 20 years. these little labels are boeing to make that big of a difference? really? >> we don't know. i think thaa is a very soft number. that's a very soft number. let me tell you what is a hard number though. obviously there are benefits to beer labeling but let's not pretend there aren't costs. of the costs is over $2 billion. $2 billion doesn't sound like a lot of money.
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that is more than americans spend on every purchase for entire year. companies will do this, big companies will be ail to absorb theosts. small companies, kraft beer that sells a thousand bottles a year, woman who sells cookies. 20 or $30,000 how small a batch you make. >> there are small business exemptions. gerri: let john finish. i think he did. margo, your response. >> there are small business exemptions. and the costs, for those folks already labeling, they will just change the format. it will still be the same size on the package. they use their computero change the design a little bit for nutrition information they already have. the cost is really quite modest most companies. gerri: john, you disagree with that. >> grocery retailers association which knows the business says it is over $2 billion a year. are they wrong? >> well the last time around there were lt of estimates how ch labeling would cost and ended up not really having big effect on businesses. >> that was 20 years ago. >> this is going to be, still,
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things have you know changed over time. >> health benefits. >> 20 years. >> benefits are so much greater than the cost to industry. people really come to expect to have these labels and they want to makeure that the information is on it is most up-to-date and easiest to use. gei: here is m question about these labels. so as you know, nutrition and nutrition information seems to me to be a lot about fashion. one week we're anti-wheat. the next week we're pro-wheat. we think cholesterol is important. we don't think cholesterol is important. so the labelinghate see right now is sort of what is in fashion now but in another five years, allhese companies will have to rewrite these labels yet again. mao, you first, then john. >> it has been 20 years and we haven't asked for any updates. i think it has been a very long time. there are changes what the headlinesay about nutrition but the core nutrition advice from usda and deparent of health and human services has changedery little since 1980.
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still same basic thing. @at plenty of fruits, vegetables. whole grains. not too much saturated fat and salt. those are the same since 1980. gerri: john, what about the pyrammd and all that? didn't we turn everything on its head about what ou're supposed to eat? didn't the federal government, we remember the pyramid but we don't want you to do that anymore. >> same thing, just a circle instead after triangle. gerri: give, john a chance. >> labeling is good in general but let's not forget this is one of several new costs that are going toe added on to business. we have food safety regs come on. ban on trans fat. we have resurant menu labeling. center for the science in public interest supports all of these things and many of them are fine but if you do too much of them, and do them too quickly costs do add up. this is not just labeling. there are a whole bunch of food regulations that will increase price of groceries at the store. gerri: margo, i want you to weigh in something we've been talking about on this and revamping serving sizes. that is part of the labeling issue.
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they're going to, instead of saying that a pint of ice cream is two to four servings will say two which is more like reality. there is concern there will be downzing of pkaging along with this and increase in food prices. what do you say to that? >> i say the last time nutrition labeling went into effect there wasn't increase in costs passed on to the consumer even though a lot of people cried wolf and said that was going to happen. so i'm not expecting to see that. customers want a certain size package, they're used to that it will just mean that they will have more accurate nutrition information for what is in that package. bag of chips was about the same size. going to be more honest labeling of it. >> well the food experts i talked to today, including arnd 20 yes ago change was made, flatly disagree there were no extra costs and repackaging. we've seen in europe when they have some of these costs imposed on businesses they do get passed on and consumer does have to pay
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more. gerri: well, you know, i wonder as we sit here and talk about how influential this will be on american's habits. if this will really change the way people eat. margo, you first. >> this is just a piece of the puzzle. that having accurate nutrition information is the basis for people being able to make informed choices about what they want to eat, and what their kids eat but there still be other things that will play a role. for example, we've been working on getting healter food into schools. and, healthier food into, you know, restaurants for children's menus. there are other kind of policies which also have effect as well as increasing physical activity. nobody is saying that changing food labels is cure to obesity. just a piece of the puzzle. >> i'm in favor of all those good things, just remember you have to be carefully considered. usually have tooany healthy food choices for children and take away things they like the ki won't eat the food. we've seen over and over again children revolt at schools when
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they get carrots and tofu rather than meals they are used to. we want all of these things. weave to think about them carefully. we have to weigh while there are benefits there are also costs involved. gerri: john and margo, great job both of you. thank you so much for your time. >> thank you. gerri: now we want to know what you think.. here is our questio tonight. will the new nutrition labels will they make a difference, will people eat less? log on to gerriwillis.com. vote on the right-hand side of the screen. i will show the result at the end of tonight's show. saving calories, saving money, the recovering housing market is having omeowners eager cashing in on their home. vera gibbons, personal finance expert joins me. welcome to the. >> i like to save money and calories. gerri: home values rising. home equity loans, lines of credit. >> very much in style and very much back in vogue. last year in terms of capturing lost home value, 1.9 trillion is
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what we captured. so of these markets saw double-digit growth, in excess of 20%. los angeles, san diego, new york, did quite well. now we have equity and lenders are more wling to lend because they're fling more confident. they're undermore pressure to get revenue boeing from investor standpoint. they're back in the gain. very much back in style. gerri: people got in a lot of trouble last time around. what they were doing is using their home as a piggybank really, taking all kinds of money out of it. you know, i have a feeling that this time it's different. is it? >> this time it is very different. this is not the easy money when people actually borrowed against value of home and took elaborate vacations and other luxuries that didn't give them any return on investment. these days, you have to have income. you have to have substantial savings. you have to have equity. u haveo have at least 20% equity in your home. gerri: vera, what is the right thing to invest in, use that money for if you're getting loan? >> most use it for home improvements. a new roof for example, or that type of thing. other people use it to
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consolidate their debt. home improvement was big one. last year we spent 130 billion on renovations and remodeling. a lot of people going forward will continue to use loans for that. gerri: can you do it for debt consolidation? >> you can use it for debt consodation. that is second biggest use. people that in markets that grew quickly, using home line of credit, to buy more real estate. people are doing all different things. gerri: that sound dicey. talk about what you need to know and what the downsides might be. there are always fees. always charges that people have to be on the lookout for. you need to pa attention to the details. fees, annual fees. you need to know about the repayment terms. you really do need to read the fi print a lot proves that come with the territory. there are negatives. biggest negatives using your home as collateral. if you don't make repayments there goes your home. there is a risk that definitely comes with this territory. if they are used properly they can be used quite effectively.
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gerri: now is the first time that door is open. numbers from last yearrare impressive. do you expect this year's numbers to be as good? interest rates frankly are not as good as they were last year? >> home values, high as last year, went up like gangbusters. expected to go up albeit slower space. still tapering off but still going up. home values continue to rise we'll see out more people taking out home equity lines and les of credit. gerri: vera, thanks for coming on the show. >> nice to see. >> we have more this hour why hosts of cities across the country are taking down their red light cameras. take a look at that. next i'm joined by congressman jeb hensarling to the lead to the fight to rein in on the consumer finance protection bureau. the latest on his fight coming up. ♪ [ male announcer ] there is no substitute for experience.
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floor is chairman of the financial services committee, republican congressman jeb hensarling of texas. congressman, thanks for coming on the show tonight. i know you have not been a fan of this organization. you have big questions about it. this law that you're introducing, would really, in some ways i think defang it. why do you think it is so important to control this agency? >> well, the cftb is arguably the single most powerful and least accountle government agency in washington. it is a uniquely unaccountable to the president because the director can only be removed for cause. it is uniquely unaccountable to congress because they don't have their funding source through congress. we lose that check and balance. they're uniquely unaccountable to the courts because under something called the cvron doctrine, the cfpb's rulings on consumer financial issues have to be given deference.
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kind of lik putttng your thumb on the scale. the cfpb is uniquely unaccountable to themsves because there is not a them. there is jus a he. one unelected, unaccountable director, who really has scretionary power to declare any mortgage, any credit card, any pay -day loan as abuse sieve and essentially take it off the market. that is abuse of power. gerri: congressman, let me interrupt you there, because they are powerful but i don't ink they're the most powerful entity in the country, not by a long shot. here is what i find confusing about them, concerning, didn't we have a federal trade commission? don't we have a consumer products safety commission? don't we have attorney generals in almost every state? isn't this just redundant if anything else? >> partially it is redundant, all new powers is given to the agency, uniquely theecombination of how powerful it is and at the
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same time how unaccountable it is what makes it so unique. so true consumer protection has everything you do with the fostering transparent, innovate i've competitive market, vigorously policed for fraud and mislead adversing. what this agency does it takes away the economic freedoms of the american citizenry to choose their own mortgages and their own credit cards. gerri: to your point, to your point, i understand the point you're making but, here's the question, so this, the idea for this agency and its ability to roll through congress and get approved by democrats was because of the mortgage meltdown. let's face it. that was the one product, one issue that convinceddmost of congress we need more controls. congress could have stopped that. congress could have stopped the mortgage meltdown. congress could have gotten involvednd gotten in the way and put the brakes on but it
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didn't. so, i mean at the end of the day, doesn't congress have itlf to blame for some of these problems? >> well, washington, in general has to be blamed. let's face it. the great public policy crisis of the of our public policy lament of the financial crisis was not that washington failed to prevent the crisis. in many ways washington le us into the crisis. gerri: right. >> it was rules like the affordable housing goals of the government sponsored enterprises, the community reinvestment act, that incented, cajoled, mandated financial institutions to loan money to people to buy homes that ultimately they couldn't afford. it was the total erosion of traditional prudent underwriting standard that ultimately broke down the financial system. so you can't say that there was a lack of regulatory authority. what is so unique again about this cfpb bureau is, one individual, we now have a national consumer product czar
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or nanny to make these decisions for us. gerri: well, let me tell you what i find concerning, and i know you're trying to fight they need another name, they're in the business of data collection. apparently they want to collect more information on consumers than anybody else has. >> yes. gerri: so imagine all the folks who data mine out there, all the companies that make it their business to know our private business, the cfpb would likeo be even better at that. what do you wa to do about that? >> well, they're collecting hundreds of millions of personal consumer financial data. theoretical it is not supposed to be traced to the individual. for example, their mortgage database the person who put it together said it is easily, easily reversed engineered. so in some respects you could argue that cfpb is in a race with nsa to see who can collect the most personal financial data and other data on ameriian
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citizens. the american citizens are saying hey, we want to be protected here but who will protect us from washington? what house republicans are doing, you know what? any consumer, if the cfpb will collect cerinnal financial data they need pmission of that consumer before they coect that data. that is common sense reform. most americans, they don't trust government. i mean we have these data breaches. it is not just private business but government as well, incredible data breaches and americans are rightfully concernewhen washington is collecting massive, massive quantities of their personal financial data. and that is what the cfpb is doing. gerri: congressman, we'll have to leave it there you have to go vote on this thing and get busy. >> i'mooking forward to it. gerri: thanks for being on. appreciate your time. later in the show, it is boomer retirement day on fox business as we tell you how nottto crack that nest egg. and next,re red light cameras
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pulled over the years have gone viral. on a serious note, dozens of communities are concerned about these very lucrative programs. mayor john ducey is with me now. >> thank you for inviting me to your show. gerri: why are we getting rid of the red lights? >> i took officen january 1. i wanted to take a look athat is behind these cameras. sothe companies came in and they made their pitch and i said i wanted to take a look at this data. so i got the data to see what allies. this is the reason for the cameras with safety. gerri: these companies, what they do, they put cameras in that watch the cars and then the cops can give you a ticket without even being there and these companies share and revenues. >> yes, they did paid first.
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gerri: wow, what did you find out about crashes? >> crashes went out. crashes when up and t-bone and right angle accidents went up. we have one section in town that was 35 total in one right angle t-bone went up to 36 and five. 400% increase. and then we had 13 otal and five t-bone accidents. when up to 28 total and eight t-bone accidents. so the safety is not promoted by these cameras. thirty-on you know, there's a similar study out of florida @%at showshat riordan collisions in a 35%. gerri: it is human ture once you see that you slam on the br.
quote
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>> you're going to be nervous and set to ave an accident. gerri: 800,000comes out of traffic revenues. >> yes, i thought it was wrong to balance the budge based upon punitive measures. especially when this is touted under the terms of safety and the safety isn't ther beyond people probably love you for taking these out. so let's say you don't even have a cop there. you have a camera there. >> yes, and it's supposed to be about safety. the situation iss 3:00 o'clock n the morning and someone is making a right on red and it m not come to a full stop. but till they're going they are going to get a ticket in the mail. and they can say it ii safe for them to go. these cameras are not that
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choice. still in five states including ohio and florida. they are getting on board with you here. do you think this will help you get rid of these altogether? and i am encouraging this around the country. beyond one quick question. your community was hard hit by hurricane sandy. >> we have the most waterfront properties in new jersey and we lost about $545 million and its ow coming back. it'll take you back in their homes and they will have to raise their homes or because because of the slow insurance
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rate going up. and individual families and schooland schoolkids have houses that are being destroyed. >> lots of continuing problems baratz recounted on the show. thank you for coming on. and good luck to you coming up, whh fast food chain will win the battle over breakfast. and coverage all day long on what you need to know coming up next. major monuments makes to (vo) you are a business pro. seeker of the sublime. you can separate runway diculousness... from fashionhat flies off th shelves. and you...rent from national. because only national lets you choose any car in the aisle... and go. and only national isanked hiest in car rental customer satisfaction by j.d. power. (natalie) ooooh, i like your style. (vo) so do we, business pro. so do we. go national. go like pro.
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iwe don't back down. we only know one direcon: iwe donup back down. so we're up early. up late. thinking up game-changing ideas, like this: move here. expand here. across new york state. or start a new business here... and pay no taxes for 10 years. with new jobs, new opportunities and a new tax free plan. there's only one way for your business to go. up. nd out if your business can qualify at start-upny.com cto of cracking your nest egg. our networkwide special continues on "the willis report." we have the money moves that can wreak havoc on your golden years. joining me now with mistakes t avoid, financial planner paul
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simon of the paul simon financial group. it's great to have you on the show. people go out and they first get intoetirement and they make a big purchase that they always have wanted. and a lot of financial advisers say that is not the right time to do it. >> when you hire a finaial advisor, the advisor must keep his objectives and his integrity to save your money but i don't agree with that. >> and over me i wouldn't do that. >> i tell them that all the time another problem that i the comment i saw this big time after the financial crisis,
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people operate entirely from emotion. i can tell you ffrom looking at our twitter feed in our e-mails here, people are operating out of that same emotion of fear. what do you think you meant to me a lot of t work that we do is a girl finance. put together a plan and you determine what someone goals or objectives are, then they have a financial model so that we can see what we are doing with regards to all of the different variables and form abilities. gerri: when ou see the market from it, that's not reassuring. a lot of it will have a gut reaction that i have to get out. i sat tight through the whole thing and made no changes. but my husband, he thought it was the smart thing to do by getting totally out. >> so you're educated in what you have to realize is that it
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was money that i don't need right now. one account goes up, one goes down, the correlation between the assets. very often. gerri: interest rates went to zero. what you say to thy? >> it just shows that they are at the all-time lows for. the emphasis is more on the individual today to not only save enough for retirement but also to protect that income. very often they are prone to want to do this early, maybe it
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makes sense for them to delay taking social security. and all of a sudden there is a paycheck that is missin and then they have to replace that and they need to replace it with something come. with financiallanning to use a word of healthy income and risk income. very often looking at social security and government pensions and also insurance contracts. as opposed to the fluctuating program in the markkt. gerri: but otherwise you d't have what you need to get thee thank you for coming out tonight, it's great to meet you and thank you for being with us. the lead us on a couple of stories that we have been
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following. whether general motors were linked to 33 crashes and 13 deaths. they open a probe to determine whether gm properly followed the process and requirements for the recall. it's a move that will surely be welcome news for one family whose daughter died in one of these crashes on the 29th birthday. his family's attorney, lance cooper, spoke with me about this on yesterday's show >> we know about this in 2007 and they investigated a crash and they never followed up. he submitted this letter after they announced the recall saying that it was not broad enough very fortunately yesterday gm responded by broadening the recall.
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at least 13 people are dead, probably more especially within five days under this act. this is almost a decade. rri: another story that we told you about. reports from the daily aller, dealing with a growing backlog of medical files by simply detroying them in los angeles. the daily ller even had telephone conversations to back up this information.
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gerri: he told a house be a committee hearing that no one who needed care what my care. this is a carefully thought out review and there was no attempt to lemonade the records. he says that onlyabout 300 cases were closed and no files were destroyed. when we come back, how the rise of messaging services have made even texting passé and taco bell introduces a new manual. we'll take a look at the current competition in the morning next. predicting the future is a pretty difficult thi to do. but, manufacturingin the s means advanced technology. we learned that technology allows us to be craft oriented. no one's losing their job. there's no beer robot that has suddenly chased them out. the technology is actually creating new jobs. siemens designed and built the right tools and resources to get theob done.
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graham. let's talk about what taco bell is doing. >> there is a waffle wrapped around eight and an egg. kinds of good things. cheese and lots of stuff in there. you cannot. >> i'm not suue it's the best and start your day. because it has so much saturated fat in otal fat and i've been buried in the average person n a 20-calorie a day diet, that's about6 calories total. so doesn't leave much for the rest of the day. and so the a.m. conch wrapped has taken and eight.
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the big problem without one is the sodium. the average person only needs 2300 milligrams of sodium per day. having that much salt is interesting for sure. gerri: let's talk about the egg white light muffin. it's definitely a healthier choice. the saturated fat is low. if calorieare only about 250 cories. so that is definitely not bad at all. >> here's something else that i have had. spinach and feta breakfast wrap. >> it is also a better choice
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than a lot of other options out there. at 290 calories. total fat over 10 grams. compared to taco bell, much better. you can't go wrong through fiber and you actually get about 20% of your calcium needs per day from that as weel. >> this ring some bells for me. >> i know, i'm shocking you. it'sow, the sodium is little bit better than some of the others. these are grt, you're on the go, you need something. and i will tell our viewers what
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you told me. and i don't know, that waffle, you get some syrup with that. and it's great to have you, thank you for your time. now we want to know which fast food place has the best breakfast and lunch. the biggest fast od chain. sales have been on a downward spiral for the next few years. and the next one is pizza hut. number three is starbucks. it ranks high on the list thanks to nearly 11,000 stories across the country. it's only number two when it comes to locations in the united states. just over 14,000. and the number-one biggest fast food chain is the subwwy.
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we talked about it before. nearly 25,000 locations. gerri: however you base this list, mcdonald's com out on top. still to come, my "two cents more". do people just talk to each other anymore? we will find out coming up next. it's the little things in life that make smile. spending the day with my niece. i don't use super poligrip for hold because my dentures fit well. before those little pieces would get in between my dentures and my gum and it was uncomfortable. even well-fitting dentures let in food particles. super poligrip is zinc free. with just a few dabs,
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it's clinically proven to seal out more food particles so you're more comfortable and confident while you eat. so it's not about keeping my dentures in, it's about keeping the food particles out. [ charlie ] try zinc free super poligrip. ameriprise asked people a simple question: can you keep your lifestyle in retirement? i don't want to think about the alternative. i don't even know how to answer that. i mean, no one knows how long their money is going to last. i try not to worry, but you worry. what happens when your paychecks stop? because everyone has retirement questions. ameriprise created the exclusive confident retirement appach. to get the real answers you need. start building your confident retirement today. gerri: by more and more
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gerri: we have the technology right at her and her kids are in -he full interaction for mobile devices. internet messaging soared to 300 billion messages last year. joining me now, welcome back to the show. it's great to have you here. i was asking about how does this impact people's relationships. all of this messaging and twitter and soci media. >> just might think that it has an impact. because you have some of the physical world that we live in. e-mail, text, everything like that and people in the physical
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world urging them to the and they are not spending time with the peop they should be spending time on it. >> that is an example of people being focused on the virtual world. and it is a once-in-a-lifetime experience. >> if people ar having several conversations. ye i'm having a conversation with my mothereven face-to-face.
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and i think it is very important to make sure that when you are face to face keep that social interaction. >> what you do about it? >> the areas where we need to really think about is the home, whether you have family or you just live by yourself. disconnecting is really important. crte boundaries, dropyour phone in a bowl when he walked in the door. don't keep a phone beside your bed because you have this tng always there. and you take out your phone, have you ever heard of this? >> no. >> put your phone in the middle of the dinner table. the first person to grab their phone consciously or unconscious weight has to pay for dinner. so all of a sudden you're forced to have some fun and it's a financial penalty. we are seeing this with high-profile celebrities they
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ban this at any function that they have. gerri: at night, maybe over dinner, having a conversation. >> exactly. from the great ways to connect with people. i think it's important to in the new new york, we don't back down. we only know one direction: up so we're up early. up late. thinking up game-changing ideas, like this: zens of tax free zones across new york state. move here. expand here. or start a new business here... and pay no taxes for 10 years. with new jobs, new opportunities and a new tax free plan. there's only one way for your business to go. up. find out if your busines can qualify at start-upny.com (announcer) scottrade knows our and invest their own way.
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gerri: the fda says the companies will have to spend a lot of money to change the nutrition labels and the obama administration says that it will help us t be healthier. we asked the question on gerriwillis.com. 17% said yes and others said it will make no difference at all. finally tonight, food labeling
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in particular. afree society, people have to be allowed to make their own choices and eggs. do you remember when everyone smoked? help in this is that it was the government's program to eradicate smoking to cut the numbers. i believe something different is going to happen. let's face it, it's harder to breathe when he smoked. but the tipping point for me came when everyone else stopped smoking. more people will be encouraged to eat healthier. i see no reason why should be prevented from having them. that is my "two cents more". and that's it for tonight "willis report." thank you for joining us and have a great nht and we both be right back here tomorrow.
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♪ ♪ >> day realize how hard it is to get them out of the house? >> there called millenials. >> our young people entitled slackers isn't there culture raunchy? >> certainly. >> smiley cyrus is sleazzer than my generation? madonna and i are baby boomers. they should be more like us. maybe not. >> queer
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