♪ neil: all right. well, i guess now we know how facebook plans to leverage the brendan the name. did toddler's involved. i am overstating things to make the case. a 2012 patent just came to light that shows that facebook wanted to find a way to get kids younger than 13 to get on the site. now, as a lot of parents note, lot of kids hundred and 13 are on this side. this was going to be there way to, i guess, make illegit. welcome, everybody. i'm neil cavuto. we have of parenting expert

joining us to is a little worried, and she is speaking more as a mom. we will branch this out in the second to elizabeth macdonald all year. so your point of view, all right, be careful. why? >> my daughter is 11. she went on facebook at nine and did a fake account, and i shut it down. neil: audi find out? >> i check everything she does, but i work. i don't have time to check everything all the time. my biggest concern is that they're saying parents will have a lot of control. most parents don't even know how to the lead opposed. most can't even find the ad store on their parents found. neil: they can't even get on it. >> i don't believe it. i think this is really a marketing ploy. this bin $30 billion of their own money in 2012. the advertisers know this is to

you're going after. my kids know everything about social media and every song and every outfit to buy. that is what i think this is about. the most worrying thing is that there are predators out there. my children want to be popular. you have 600 friends on facebook you are essentially popular. i guarantee my kids do not know 600 people, and one of those people is probably a predator. it concerns m. whether they doing with this information? why do they need to know where they go to school, where they live, how old they are, that they were just at the central park zoo. neil: that is information that your child is volunteering, not facebook. >> this i'll put it on there. neil: what is the proper age for them to be serving the next? man. >> eighteen, unfortunately we can do that. neil: a good age to get married, i would say 50. >> there you go.

neil: we did reach out to face but for some sort of statement and got this spirit child safety advocates, policymakers have discussed how best to help parents keep their kids safe online. like any responsible company we looked at ways to tackle this issue, but a patent application based on 2-year-old research is not a predictor of future work in this area. essentially they're telling you to calm down. >> they can tell me come down, but i know that there are a bunch of kids in my house the other day, and one decided to go on my computer and was just about to post something on my facebook page it was completely inappropriate. neil: and it would have been under and your name. >> my name, and this is a 14 year-old. neil: a friend? >> no. i have two kids. neil: you have others. i want to branch this out. >> this is not the problem of facebook apparent. neil: but it is facebook making a problem for the parent. >> facebook has tried to reduce the problem.

there are millions of children had -- a gallon nine sign-on and their parents don't know. this is a way of letting the parents who let the kid online and giving the parents and control. if you don't want your child on line, don't give them access to a tablet, a computer. >> that is totally unrealistic. how can a parent not let the child? in school you have to use computers, telephones. >> it is up to the parent to police the activity. i don't have a problem with facebook. neil: you are not apparent. >> i am not. neil: sometimes that can be better. i am just telling you, easier said than done.

neil: what do you think? >> i am a professional godfather

and of gold. all of my friends' kids, i take care of them. this is the parents' responsibility. kids needs a visceral, productive interaction. they don't need more segues in the materialistic and self-serving types of scenarios like facebook. but they are a key market. facebook will go after them. kids are already using them. parents need to do a better job. neil: i will ask you. >> i really don't think facebook is making a direct effort to go after topplers. neil: this is all about leveraging the brand and justifying what is a pretty generous multiple. so whether you can do it with toddlers or 20-somethings, it really doesn't matter. >> i don't think they care. to say that parents have to monitor and be on top of it, i am sitting here with you. my children are posting on facebook, how do i monitor that? parents are working. they don't have the time.

frankly, i want my kids playing in the parking getting physical exercise. most kids spend a minimum of two hours on social media per day. is it really necessary? at a certain point -- >> i agree with you. i do not think that it is. the entire way we communicate and interact with each other has been damaged by social media and the internet. again, do you blame the company

..

♪ neil: all right. how spreading to a lot more cities. this mess about those that are keeping soldiers waiting and waiting and waiting. for in the half year wait for surgical procedures and even some problematic branches. now we're told that it could involve more than half the va hospitals in this country. to the republican center johnny isaacson who has often been warning about this, but having a devil of a time getting his colleagues to pounce on this. senator, what is the latest? not it seems to be screaming for someone to take this thing over who is good at logistics', who is good at running hospitals, who is good at taking care of patients. >> hopefully we are on the cusp of having a bipartisan decision that is hard hitting the terms of the air around. we have to bells -- bills, the one that allows them to fire people who are not acting responsibly.

neil: how soon could that be enacted? >> well, the president is not worried about executive orders on anything to do with a va. he won't even address it. neil: sir, i am sorry. to change his mind, and you're right, he has not taken up this particular issue, executive order, if he, by executive order system i am going to allow veterans to get vouchers to get care to go to a private hospital across the street or to get immediate redress of your problems that sometimes takes years to solve, would you support that effort if it meant speed? >> absolutely. in fact, i am the co-author of the veterans choice bill that says if you cannot get into one within 14 days you can go to a private sector doctor. you live more than 40 miles away from at va clinic or hospital you can go to a private-sector doctor and be reimbursed. we have to give choice to our veterans, some competition to the veterans services, put our

veterans first and the employees of the administration second. neil: senator, i want to tie in this whole prisoner swap travesty with what is going on at the veterans administration because i had a chance to talk to a number of veterans who told me, it does not do much to boost our mood. the 5-for-1 swap to get, you know, one of our guys back or the way we treat our veterans after they have served. do you share that frustration that a lot of the soldiers, past and present our feeling? >> i do. in fact, i was at the president's speech at west point last wednesday when 1,000 cadets graduated. he spoke for 42 minutes 85 minutes and never mentioned the va scandal or that he would do anything about it. it was ironic that i was sitting next to a guest and found out later on was a guest to negotiate part of the settlement with the taliban. neil: did you find out at the event or later? >> i found it up later.

neil: amazing. you know if any one of your colleagues at a heads up on this exchange? >> i do not know. have heard rumors, but i don't know facts. neil: the republican leaders say they did not know. so that led me to believe that no one knew. >> my understanding is the first people to know saturday. negotiations took place on wednesday of the preceding week after the fact. neil: amazing. senator, thank you. keep us posted. we appreciate what you are doing all right. coming up, how is this for kicking -- the french, the french are selling us out. guess who they are selling to? the russians. ♪ we're moving our company to new york state.

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♪ neil: this is weird. all right. the french to have been with us. the united states, you have to do something. really coming down hard because he has taken over crimea, the ukraine, do something, do something do something. lo and behold we organize these sanctions and what difference do this little matter of a ship we want to sell them. 400 of the best russian soldiers we can find on this fancy new ship that's as long as two football fields, and then they will go back to russia with it, back to the very crimean port that they took over. it is true. it is actually happening. we are trying to tell the french, are you fried? this is weird. you have to admit, this is weird. >> it is weird, but it also illustrates the dependency of the european economy on russia.

you know what, we have to be careful where we throw stones. you know, our u.s. military buys rockets from russia. russia has just cut us off. we have a 2-year inventory. but there are all of these. we cannot give astronauts into space without the help of the russians. neil: but why should we be helping them? >> it is not weaken it is the french. what are we going to do to stop them? >> you are saying, the idea being that the world is all a sudden showing us around and ignoring us. that is exactly what you're saying. neil: people who put -- >> is this the new normal? identity crisis. neil: that is what i fear. to be fair to the french, i can't believe i'm saying that, but this deal was in the works for the better part of two years. there were building eased.

i did not even know that the french built saddle's ships. apparently who knew. there a big customer. and it would look more glaring with russian sailors coming later this month. it would just be worse. what do you say? >> there are two parts of this. first of all, the french are hurting. their economy is barely keeping above water, and we are talking thousand jobs and billions of dollars. that is number one motivation. the other thing, this original between sarkozy and met the death as a sort of gesture that nato it is kind of funny. they are. right now with all -- but they are not going to. this will go through. the fact that they are training these russians on this ship means the deal will happen. it is another kick in the pants for us. neil: but can you imagine.

this is the button you pressed to destroy new york. that is just a bang. >> you know you sound like pepe le pew. neil: i do, don't die. >> much more handsome. neil: please. by the way, this concerns georgia, not the country. why does a drug test food stamp recipients argue that this would be a good way to police. the government says you can't do that, georgia. what do you make of that? >> i think that if you start drug testing for something like this it is a huge invasion of privacy. i do think, and the courts have shot it down. florida won the drug test across the board for well that -- certain types of welfare. you open the door to some really dangerous government intervention. we are only speaking of the federal level. you want to reduce how the

number of people on food stamps, add back in a work requirement. and the republicans has certainly tried to do that. >> it is interesting. gives those social -- so socially toxic to even talk about drug testing welfare recipients. the federal rule for block grants, temporary assistance does allow for drug testing. states have been saying since 96, reform under clinton, yes, we want to do drug testing. and a dozen in 2010. >> they tried to do it in a broadway. it. [inaudible conversations] neil: on drugs and still need food stamps, should it matter? >> say that again. >> poor, on drugs and still need food stamps. >> are you spending your money -- >> you have children. >> children need the food. >> exactly. >> well, i think there are interesting points. i love the idea, but it would never work because the government cannot even execute

the purchase of a health care plan. think about this for a second. 25 percent of americans are on some sort of food assistance. what my work may be is if we discover a claimant is on drugs, maybe we feed them into a drug assistance programs. if they are still on drugs after we give them more assistance then maybe you withdraw the benefit. again, i don't think you can execute it. i don't think it would work. neil: more work for welfare programs, prove that you are. i kind of agree. this steps overline year. if it were to be widely used in a variety of areas it could get ugly. that is just my thought. make it so that you so that you are not always on these benefits. we shall see. thank you very much. in the meantime, remember that i told you i never really bought the administration's line 8 million new enrollees? how many are new, how many have

actually paid? we brought that down to about 5 million then next out redundant coverage which brought it down to about two and a half million. now is down to zero. i'm telling you, not one new in raleigh because this latest boondoggle, this latest discrepancy is so over-the-top that if it is right it means we have signed up no new enrollees. it is a sham. after this. ♪

♪ neil: all right. if this is even partly accurate we have a full-blown crisis on our hands. the ap reported right now that there are a lot of discrepancies in the data of those health care enrollees, up to 2 million of

them, either the seller is to not lineup, the information on their application does not line up, doubts about whether some of them are even citizens. the fact of the matter is, and all of that up and you get 2 million who are not real enrollees. then we have to get to the issue of how many are new enrollees, and other words did not have coverage before. how many of those are paying, and you can quickly see how this so-called 8 million figure can whittle down to, as we pointed out, nothing. overstated by millions to begin with. now we have this news of the administrative discrepancies that could wipe out the few that we thought had signed up. the former bush 43 health and human services secretary. this is a bombshell. >> i am from the west. one thing we know, if they're is a big storm in the mountains a few days later their is a flood in the valley. there should not be any surprise they did not have systems that were prepared to adjudicate

this. people were able to self attempt as to their income. they basically made it up. when it got on the application they paid the subsidy. now we are in the valley and there's a flood of people who did not actually provide accurate data. i think it is a big problem for the administration. they only have a few choices on how to handle it. neil: this was a big problem, he thought we would not repeated after the real estate crisis, no doctor loans or you can just make up here and comes if you're writing on anything and all. we have done the health care version of that. it makes you wonder about the application process itself, whether hospitals feel that they were hoodwinked. now everyone is going to go slow on rolling out something that they might not be getting accurate information. what do you think? >> these are not casual amounts

of money. in some cases these involve thousands of dollars per person and tens of thousands per family so this is not something that the government can simply walk away from it, and my judgment. they're likely to have to sort through, find those that deal with large sums of money where there is obviously fraud involved, obviously serious misstatement and then sort through. anytime you sort through 2 million individuals, it is going to take some time. it is big money and needs to be done. neil: we know now that a good number of this group might have misrepresented, lied about their income. lower income they could qualify for either subsidies are benefits that might have already been paid out, might already be paid out. so this has the smell of the boondoggle as well.

>> indeed, it does. the government will have to decide if we just push this one aside and move on or go back and sorted out and ask those people to reapply and use their actual subsidy. neil: how would you prove it, governor? i assume that we verify and check things, but if charlatans are coming in and either lying or the government is not checking or we can't even prove the citizenship of those applying, then we have big trouble on our hands. >> well, the dilemma year is that they had inadequate systems to be able to match up data from one agency to another. those systems simply were not ready when they started the program. this is an old story. as i suggested, when there is the big storm there will be a flood. we are now seeing the flood, the result of inadequately prepared systems. they worked their way through but now have the result. the systems ultimately will be improved, but when they are the question is, do they go back now and apply the better system that

will match? neil: we are doing it on the fly. yes. all right. governor, thank you. always good having you. for those of you might have watched this show once a twice by have a problem with the word fat. i told people, clerkly challenged. sounds good. unions apparently have a problem with the word unions. , strong arm in. so they don't want to use the term union. you can't make this up. after this. ♪ [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ she can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. ♪ my mom works at ge.

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♪ neil: all right. they're is a trend now. some key cities and areas where unions trying to beef up more business and sign up more folks are avoiding words like union and all. in fact, they don't even come up. they want to talk about workers who are, you know, the

bread-and-butter of america. but they will rarely use the term union. they might say educated, skilled craftsmen, but they will not say union. the teamsters local 25 member. was going on? >> how are you? neil: what is going on? >> i have been a proud member for 30 years. i am proud every morning to go to work. i am proud to say that i do look for my union benefits. i work hard for them, and so my co-workers. it makes me cringe when i see these ads, you know, for the union and also with these few bad apples going house-to-house. you know, like you said, use this tactic. it is horrible. neil: a statement attached to the union word itself. they're is a lot of good we do.

ignore the word and focus on what we do. we will just not have soil ourselves for you with names that are too hot to handle. >> well, i would appreciate that again, you are getting the trained, skilled workers to build this country and help build the american flag here. not only our veterans to pay with their blood, but the union workers who build the buildings and the teamsters who brought things from one coast of the other, you know. the trained workers and what have you and the iron workers who build buildings and skyscrapers. you know, we are proud workers. all we're looking for is to go to work a lot you know, get our paychecks and benefits. neil: let them do their thing. let them do their thing. we believe everything you say, but if we want more members we cannot mention union. i you copacetic with that? >> you know, i am proud to say

that i am a union worker. my local and boston. as i said, i will be all right. i don't have a problem. i am not a bad apple. i am too busy going to work, doing what i'm supposed to be doing and earning a paycheck for my family. i am proud to say that i am american union worker and stand behind the old glory. neil: good for you. he has more guts than a lot of his colleagues who are apparently concerned about the stigma. >> remember the days when everyone in this country new digital fallen. neil: what do they say now? >> one, it was the collapse of th auto companies, in particular general motors and chrysler his people view that as a bailout of the union worker. it is really a backlash toward

government union workers. i have never seen more hatred against a group of people. any problem with the government is the problem of the union and union workers. a see that over and over. they do have a serious problem. neil: not with a what? >> not with the trade unions. neil: that's a fair point. >> i don't know if teamsters craftsmen have the same ring, government craftsmen. but the thing is, the word union there you go. unions, the word conjures up irrational or entitlement or lazy. government workers among but there are a lot of hard-working union members. we have to give them that. when they become so deeply irrational and a lot of these flies that don't need to be picked, that is when unions

really get a bad name. you don't see these kinds of fights with aerospace worker unions. neil: i hear you, but with the history of changing your name to make people forget about who and what you are, it has not worked. i remember value jet, they emerged with another company. they really never got to be the same. this is a history of name changes. they never, ever, you know, they never quite connect with folks. what do you think? >> and they never will. you have to change the tactic. i come from philly, born and bred. i have union workers in my family. at the same time, it upsets me to see the actions of some of these unions that use these gestapo type tactics. the bottom line is change your action. union does mean quality, but a lot of people believe it means high wages to meyer cost and problems. change that. the name is not calling the help . neil: when did that become a

problem? >> i hear educated, fully trained. i here american made products, good for the economy. again, it is a small percentage. i am hoping that is what we're putting out there today. the majority, 99 percent of us, i was up before a.m. this morning and by stan as six. i am here with you. neil: good for you. their i was up at that time putting my makeup on. thank you, my friend. when we come back here is the proof that more and more americans cannot afford their mortgage. dollar general is cutting its prices. there you go. game over. ♪ friday night, buddy.

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neil: all right. i'm not the sharpest tool in the shed, but even i can start following these grounds. remember when all of the big mortgage bankers started laying off people? bank of america led that. now it is getting out of the affordable mortgage business, pushing low-income borrowers to a federal plan at a time, we are finding, that people are not exactly running to get mortgages in the first place, and if you are finding they do not qualify for them more are having a tough time getting a loan. what is really going on? >> this is a statement. it is happening in massachusetts a big program to help low-income families. bank of america is backing off. i believe that they are seeing, perhaps, some cracks in the foundation. these are what they call not perfect loans. they don't fit into the neat

package. bankamerica does not have the protection. neil: right? they're just saying -- >> that's right. here is something interesting. 40 percent -- bank of america 23 year life span, 40 percent of those loans were written by bank of america. a large part of these loans were written. they're getting out of the business. bank of america is getting ahead of the curve. >> it is in the state of massachusetts. if these same loans drove bank of america, helped drive the stock price, you know, the bank is getting real criticism and blow back. and you have to say, why? they have been in there for decades. the fact that the state itself has an affordable mortgage program and the bank is saying, go use that, it is up to the taxpayers of the state to say, we want the state in this kind of business. >> i take issue with that

criticism. you have a bar where that can still go to the fha and get a loan of three and a half percent down. you have to pay essentially insurance. neil: continue. >> three and a half percent down on alone, you have to pay a little bit more, one and 1/4 percent more. neil: one better on the machiavellian view. i think that they are doing this as a tit-for-tat. keep going after a spirited. >> the critics say we don't lend enough. neil: they can't wait for love of money. this might be of little tit-for-tat on their part. what do you think? >> there is definitely part of that. well, they are looking toward the future. interest rates will be this cheap forever. they will not enjoy the freedom and the economic growth.

they have to prepare. this is one of the ways. neil: here is where this connects. and i love what i say that. dollar general is increasing its discount to make customers buy. dollar general customers are going, walmart customers are going to dollar general. it has to be really cheap. i don't know. they are leaving. absolutely. they're going back. what is going on? >> i say it is more competition. i mean, welcome to the world. >> a lot of these stocks, by the way, are in serious bear markets. almost. coach and best buy.

neil: retail stocks are hurting lltely because they're not going to make much money. >> you know last year there were on fire. >> you're going to year a four-letter word. >> and the approach, i must admit. i'll tell you, when you have median wages as an income of, down, a big old being blown, yet the said dollar general. >> any general. sure. you have to wonder. there are those who argue. this could trigger some problems down the road. signaling the economy has trouble. >> i don't know if it is that the economy is truly struggling. it is increased competition. here's the thing to think about.

they are running numbers. consumer credit is on the rise. people are starting to borrow more there really are not making any more money. what we are going to begin to see is the squeezing of the margins. the question becomes went to the analysts and investors said the margins are not there, the revenue growth isn't there. maybe we need to take down our stock targets. we have not seen the ad. a something to think about in the future. neil: i am a consumer, an average american. interest rates are low. it might be on the cost of something that going on. if you are shopping for stuff you might just hit pay dirt. >> of those sales were on fire last month. neil: recalls then blowing up. >> and just waiting for you to start talking about the taylor role and money supply.

neil: that is another show. the discussion tomorrow. by the way, do you know that some people might like my british accents, which i think, i must say, is phenomenal. the french accents, not so much. i ys say be thman with the plan but with less ergy, moodiness, i had to do something. i saw mdoctor. a blood test showed it was low testosterone, not age. we talked about axiron the onlynderarm low t treaent that can restore t vels to normal in about two weeks in most men.

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i savehim $519, and it certainly didn't go toward thang. am i right [ laughs [ dancmusic playing ] so visit progrsive.com today. i call this one "the robox." neil: and what is the deal with this prisoner swap? i told you i did my do diligence . any number of corporate deals. in telling you, this one just does not add up. swapping five bad guys for one of our supposedly guys. i'm at a loss. so is james. we have released five.

[indiscernible] for one questionable jesus. am i nuts? i would expect some of the president's actions to come from an undercover geodesy? judging from the reaction they are getting i can see why you say that. could it chief of i go with the war will deal. did not endanger anyone slimes. the money, yes, their lives know. and you mentioned doing your due diligence. to any one at the white house to anything? i tell you what, if this is what comes of years of effort, we have a certified moron during the show. it is the dumbest ceos on the planet could not have concocted a worse deal. was there anyone at the white house to said no deal? i know scary. i just looked at this 100 different ways. we put our security at risk,

confirm to the world we don't care about putting them at risk, and the only upside is we win back a guy who might not be quite the euro we thought. maybe not even close. weird. obama is trying to empty guantanamo so we can close it. he note that there would use that sell they were sitting there for him. and captain rice, jane fonda would have been a better trade. i don't know about that. professor david, the war is over, and that is what happens. prisoners are exchanged. well, the war is not over for many, and you better tell that to the taliban. they are still fighting that war, killing americans. pretty much anyone else. they might want to get that update. and if it would have been so dangerous to repatriate by force

, how can it be any less dangerous to go after terrorists now that obleashed against the world? a very excellent point. i don't have an answer. no wonder our soldiers are confused and many of our veterans so better. we don't seem to treat them well georgia and florida writes, i am a veteran and have been misdiagnosed for nine years by the va. your get off your and help our vets, does exactly what needs to happen. thank you for your support. no, thank you. good lord, you deserve better than we are giving you. and jim in rockport, texas connect some of these that are taking up to 18 sick days for the six state of veterans affairs. hazy, neil, i had to do this seventh grade over a second time because i missed 18 days and more. that's why wind up in the army in 1963. i should have stayed in school. i am grateful for your service

just the same. thank you. really? give it a rest. one more than a few of you are more than a little sick and tired of harry reid, namely his constant attacks. john von facebook says, harry clearly suffers from a bad case 70. i am sick of his attacks. heck, i am sick of him. and chief tweeds -- by like the way that sounds. if people would counter, he would stop. sean wright's, i find it entertaining. it does make them look good. more attacks, the more fans they did. and then will you learn something new every day. and do not get in my way on that buffet line. that's all i'm saying. such stories that i shared

tiresome. all i know is walter cronkite never would have talked about such nonsense. you know, not as big when he started out. i'm sure later on he would have. amy e-mails, you're weird. amy, you or rude. bob in arkansas. i think you need help. bob and i think you need to change the channel. you keep telling viewers who say the slightest thing nasty this stop watching you. you should be grateful they are. well, not. i would rather have no viewers and those kind, including ones like you. off you go. robert, i wonder whether you would the -- were dropped on your head his childhood. robert, i am wondering whether you should be kicked in the as as an adult. enough with the putdowns. it pains me to hear them. you're wonderful. oh, i know that.

your french accent is terrible. i think it's perfect. you should hear this cnbc guys trying wish. see you tomorrow. ♪ kennedy: how do you slay the many-headed monster that is this wild sgt. bower bergdahl case? you have the man at the metal, an angry set of lawmakers feel snubbed, and now you have all these questions about what to do with guantanamo. we have been trying to figure it out. as the president lost his mind, totally given up or surrounded himself with incompetent people who have no idea how the navigate the waters in washington? the president's is thinking he will be devoured as every new day brings a worsening scandal. how much worse can it get? can you put the toot