everybody stood. it was a fine, uplifting moment. liz: feel-good moment for both republicans and democrats. stuart: all going on with the nfl, political tour -- turmoil and contention, that was good stuff. regrettably our time is up. neil, it is yours. neil: wait a minute. you said regrettably. you said your time is up, but here is the italian. you didn't mean it like that. stuart: my name ends in a vowel sound. neil: that is closest you relate. that is good. you would no more buying the dodge demon. come on. stuart: no. neil: maybe an old plymouth duster. stuart: i used to have a porsche 911 turbo with whale tail, extra

wide rear wheels. i got to age of 50, 55. i couldn't handle the thing if i longer. i realized i was too old to handle it but i sold it. it was a rocket. it was a rocket. neil: did you pay full price at the time? stuart: i will not answer. neil: i have my geritol, out. they're trying to carry on with tax cuts, right? treich to make a pitch across the board. speaker paul ryan trying to do it this year. there are a lot of obstacles. they feel, given roll out of days which committee will do what and when, they can get this done. it has been something echoed by top officials on this network, fox news, repeatedly. take a look. might be somewhere in tow 20s. that is the closest the math makes sense. >> no. we're driving straight to 20. that is why the number is there.

it is significant. for both smallest business in america and the largest corporation, almost a 40% cut in the rate so they can compete and win. >> we think this tax plan will cut down the deficits by a trillion dollars. that is a large number. we're focused on growth. we think the 3% gdp is very moderate aspiration. we think we can do higher than that. neil: well i have not seen steve mnuchin this animated in like months. so that's a sign they're optimistic that this is going to goose the economy. you will get 3% or plus better going. we should posit, something i echo throughout the show, that is a big deal people make out of that. that is very usual weed that that kind of growth. 1984 we were north of 7%. average of reagan years coming close to 5 1/2%. jimmy carter in his second year in office was enjoying north of

4 1/2%. john kennedy in his final kennedy and final year after he passed away, had 6% plus growth. my only point mentioning any of this, it is morenusu, the type of growth we're seeing now. it is tepid and it can change now and it can change the revenues dramatically if you get it up to 3, 4, 5%. all of sudden that doesn't only pays for tax cuts but a lot of other things. "real clear politics" associate editor, a.b. stoddard. "washington free beacon" liz harrington. liz, people forget we live in the moment. we live in the last, 7, 8, last, 9, 10 years, growth has been fairly tepid. but it is not the usual case. when i hear economists say, that is not doable, it was very common under democratic and republican administrations prior

for decade. so why is it being treated as such an unusual development? >> well, i think they are stuck in what they call the new normal of the post recession era where growth has been abysmal. it has been 2% and it is persisted for a while. it is because we have such a burdensome tax code and burdensome tax rates on corporations, where you know, american business can't grow. you're absolutely right. for decade before, we, that growth is normal. we can get there. they say that president trump is crazy for promising these rates but in the senate and house can get the act together with the tax cuts trump administration is proposing they can get to rates again. neil: always in the details. ab. you follow this stu very, very well. there is a reason w it is more status quo in the last decade or so, because of that new reality. republicans are saying, you get

all of these through and you will uncork a lot of activity that has been sort of tamped down. forgiving a lot of money held abroad so it comes back, that is flying back into the economy. any one of variety of ways, we're off to the races. that is the argument for it. what do you think? >> they're making argument the way they will structure this will be so stimulative, that the deficit will be made up by economic growth. it will spur the kind of hiring that we just haven't seen. neil, it is true that the regulatory landscape, burden, regulatory burden has grown since the last time we had tax reform. but we also have seen companies do far more with much less. they haven't been hiring at a rate that we need them to. to keep enough people employed. neil: that is very, sorry to jump on it. that is distinction, ab. you zeroed in on it. given this money repatriated back home. that is not a given they will

hire folks. not a given they beef up plants and operations to such degree it will be hiring boom? >> that is what we're banking on. republicans and democrats are. we've seen top line numbers. we see real actual, pay-fors, deductions. how they will get to really happy, ambitious talk, we heard yesterday, it really looks like a great plan in many ways. but until, we release, really see more detail and fights in congress that you know are coming. are resolved. how much we can make these temporary and how deep into the deficit we can go, on these and how they're going to be designed. there will be some sacrifice. we haven't seen them. you keep the mortgage deduction. you keep the charitable. we'll raise the standard double, the standard deduction.

seems like a lot of giving. not taking much. we'll see what is looks like halloween, mid-november. neil: frame it around halloween. could you be right. liz, another thing i see, the big thing they have put out there, is, removing the deduction for state and local taxes. we'll get into that with a congressman who will be directly affected in the empire state of new york. ahead of that, are you getting feeling that will be enough, or that people tell you that will be enough, because, depending on the economists you talk to, maybe it's a trillion up to, a one 1/2 to two trillion dollars over 10 years? it doesn't pay for this. especially if you argue that the total tab on these tax cuts is in excess of $5 trillion. so what do you think right. i think the argumen that will be continued to be made, this is paid for by growth you will get. ab is right. look at actual details what they do with the state deduction. right now at this point, a lot states california, new york, new jersey very unhappy about

the talk of that, way their states will be affected through this. we have to see what details are. but the point is, senate is writing its own bill on this. so paul ryan has been very ambitious, saying house will pass this in october. the senate will have their own bill in november. two weeks to get them together before the end of the year in december, to get this through. so it will be very complicated for them to do that as we saw with health care. they're going through reconciliation. the senate has its own idea what to do. that is why president trump should keep targeting these democrats in states like north dakota, indiana, states with, that he carried. keep courting democrats to come on board. i don't know how reliable senate pubs will be on tax reform if health care is any indication. neil: ab, we were talking about economic growth and whether that pays bill or pays for tax cuts but we did see the norm, particularly in the second term of bill clinton where we had in

'97, 4 1/2% growth. 4 1/2% in '98. gdp soaring in to 4.7% in 1999. was backs of internet boom. it was beginning to peter out by end of 2000. it was still good enough for 4% growth. in other words, in second term, in that boom, with cut investment taxes, even though prior he raised rate on top income folks, he cut enough, it sustained 4% plus growth. i don't want to get caught in boring numbers, i'm boring enough just me. but i do want to raise that question that pegging so much to just slightly more growth? >> look. i mean, this is a roll of the dice. will we see the rates of growth? will it pay back, pay down the deficit without touching entitlement spending and all other -- neil: people say no. everyone i talk to says, no, no,

no. >> will, as you pointed out repatriated fund coming into labor and more hiring? so does that change the feeling, real wage change, for the average american, many of whom you know helped put donald trump in office? it's a gamble. in terms of that timeline that is a very tight timeline. they are literally panicked now, neil. that they are, they have members who could see primary challengers file their candidacies by november, mid-november, by december. they have to show that they have done something by then. it's a very tall order to get all these -- neil: paul ryan said it will get done this year. do others share the view? >> there is confidence in their urgency and panic and desperation. like i said there is a lot of things they have to resolve in order to get there. we'll see how the debate breaks out, but they still have, find a

lot of things to pay for, and a lot of things, like that state and local deduction, whether it will stick around. a lot of things still in question. neil: absolutely. ladies, thank you both, very, very much. speaking of whole state and local tax deduction, removing it, a guy directly affected, new york republican congressman chris collins. very good to have you back. >> good to be with you, neil. >> how doable is that? how do you feel about that? that would directly impact your constituents. you have to weigh whether overall package itself compensates for that, they get back more than they have to lose. what do you say? >> that is true. new york is the highest taxed, most regulated state in the nation. and there may be an issue here. we'll have to look at numbers. i represent western new york which is actually one of the more impoverished sections of the state. it is certainly not westchester or long island and the doubling of the standard deduction neil, may well as we understood, we

have to look at numbers, could mean less than 5% of my constituents will even itemize deductions. if that is the case, by doubling the standard deduction, they will take the standard deduction, well that is very different. neil: that could be up to 24,000 for a couple. >> correct. neil: that is a big deal. so this is all a moot point, this other stuff. >> i am more focused than ever, as everyone else on the 3% plus economic growth, the 20% corporate rate. 25% on pass-throughs, subchapter s. most small businesses creating jobs in the future are in fact pass-throughs, whether they're sub-s, llcs or partnerships and that economic growth will benefit all americans. with more labor and supply demand, wages should go up. folks will drop need for food stamps and other entitlement programs. it's a multiplier working on deficit and debt going onward.

3% growth is magic compared to the anemic 1.8% we've had. neil: i love to go back to history of these things, which gives you indication how exciting i am at a party, people used to forget, it was almost commonplace of growth at least that per quarter, per year. so we're just not used to it. maybe you and are i are age where it was commonplace. you get up to the level, you're talking extra two trillion, three trillion in revenues over life of so-called tax cuts in a decade that people don't appreciate. but again it is getting to that, right? >> so 3% is doubling of our connie in 24 years, the rule of 72. 20 trillion economy goes to 40 trillion in 24 years, which may sound like a long time to the millenials, but for you and i 24 years went with snap of fingers. we have to grow our way out of the financial mess we're in with

20% debt-to-gdp. neil: you have been making that argument. do you think this is, as speaker ryan seemed to indicate in his briefing today, sir, that it is going to get done this year, all kvetching back and forth it will get done this year? >> i do. neil: you do? >> the freedom caucus yesterday, which is our most far right conservatives, they came out in support of the framework. neil: indeed they did. >> so we don't have the same emotion to use that word tied to tax reform that we did have with health care reform. everyone hates irs. everyone knows our tax code is way too complicated. so the emotion is not, is not in this. we just need the hard numbers, data to show the average american well save $650 a year. they can spend for whatever they want to spend. small businesses at a significantly lower rate will be investing in new technology, product development, et cetera, et cetera and we're going to go territorial where we will not

tax exports any longer. make it in the u.s., ship it to europe, you don't pay income tax on money made from the product going overseas. these are huge to get the economic growth we need. neil: getting that out there, explaining selling that will be very crucial. >> right. neil: congressman collins, thank you very much. >> always good to be with you, neil. neil: congressman's views on the irs are his and his alone. we love the irs actually. this is about making them the bogeyman. if you want to help the irs keep doing what we've been doing. if you want to help yourself, maybe jump to this. that is the gist of the battle. meantime beginning of what week four in professional football kicking off with the thursday night game. now the green bay packers, aaron rogers has been apparently telling fans to lock arms in the stands and join them in this great nfl anthem debate. now i'm picturing being one of those fans for tonight's big

game. i usually have multiple hot dogs i'm juggling. i have to lock arms with somebody. can you just play the game? ♪ what did we do before phones?

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>> came back. >> walking into the house chamber. getting back to work. neil: moments ago, steve scalise, of course the congressman who was shot on that baseball field some months back, made an address on the floor of the house, well-received by both parties, as it should have been, bipartisan support. for the spirit and comradery that it generated but do not underestimate the power, persuasive influence this republican majority whip will have, given all that he has been through. this is a guy who is going to be making the case, joining speaker paul ryan and other republicans for tax cuts. so steve scalise is calling you, you're naturally going to pick up the phone call, right? this is where, comradery and goodwill, republicans instantly will try to translate that into votes for a tax package. so he is a goodwill ambassador, put it mildly. but bigger better story he is

alive, he is well and back on the mend. he might have a little bit of trouble for walking, but a lot of people thought for a time on e baseball field he would have a trouble living. that was then. thanks to capitol hill guards protecting him. he is alive and well back into the fight. meantime the nfl getting ready for another fight of it is own tonight. this of more political nature. the president standing by comments he made about the nfl. >> you say the nfl situation is a very important situation. your critics say it has been a distraction but you say it is critical. >> it is an important issue. it is not a distraction at all. first of all i'm doing a lot. as you know we passed over 50 pieces of legislation. with very a supreme court judge. we have much stronger military. we have strong borders. we'll get the wall. we'll get all the things we said. we're announcing the biggest tax cuts in the history of our country. so there has been no distraction. neil: well there might be another distraction tonight

because there is a "thursday night football" game and, maybe, agitating or expanding the agitation, an idea passed along by green bay packers quarterback aaron rogers calling on fans to lock arms during tonight's game. congress of racial equality spokesperson nigel ennis. he is throwing it in the fan's laps, nigel. what do you think of that? >> i think it is brilliant, what aaron rogers is doing, what jerry jones did, kneeling before the national anthem and before the flag was unveiled was a ver powerful thing. i think what even mike tomlin, look, i have to admit, neil, i'm a steelers fan, since i was a little, little boy, going back to franco harris and bradshaw. neil: give you a little latitude. >> but tomlin was attempting to protect his players from the politics of this issue and really unify the team.

he came 99% from a perfect reaction. i wish he had celebrated villanueva who, who is a veteran, okay, three-time iraq veteran, and actually asked permission of roth -- roethlisberger if he could go out and stand with his hand over his heart and they said go ahead and do it. if tomlin had given him attaboy and celebrated it, i doubt very seriously any steeler fan would have burned their jersey and tomlin would be a hero. they understand even the sincere nfl players that are trying to do the right thing by kneeling, that they're being penny-wise and pound foolish. ultimately the goodness and the goodwill of the american people that pays their salaries.

neil: niger, you mentioned something what the cowboys did. i agree, i thought that was a smart way to handle it, in the case of jerry jones the owner, to kneel with all of his players, then stand up for the nationalnthem itself. i don't know what rogers wants to do something similarly. he suggested all fans, you know, in seats there, in the stadium, lock arms but if you're a fan, you could just say now this is extending over to me, i have to lock arms, not lock arms. if i don't lock arms, i look rude. if i do i look like i'm playing along with the protest movement. some of them might say just play the game and stop this? >> well, keep in mind now, i suppose some might think that. the beauty of our country that you have choice. but i think -- neil: going to be one guy, niger with a big ol' thing of nachos and a beer of the he will not want to get in the middle of this. >> i don't want the cameras to

focus on one guy. i want them to fall back look at the entire stadium. it will be really interesting to see because what they're doing, they're saying stand for our flag. stand for our national anthem. and that is -- neil: if he said that and they do that, you might mitigate this, you're right. if not, it will go on week after week. >> i don't know if you're a packers fan. who are they playing by the way. i forgot with all hysteria. neil: who are they playing, guys? the bears. what does that tell you. >> the bears beat my steelers, you got to be kidding me. i think mike was angry about getting beat by the bears, by way. neil: they will figure this stance out but maybe resolve it with middle ground proposal. thank you my friend, niger ennis. we want to keep you update as the tax cut makes its way through capitol hill. a bigs big hurdle was cleared

yesterday before it was out, when the freedom caucus said you know what? we like it. our 40 members, strong conservatives all, we like it. their grand poobah mark meadows, is here next.

neil: all right. get used to this republicans say. a 3.1% final read on second quarter growth. that could be the norm. now the norm of course over the last eight, nine years or so has been something in the vicinity of two, maybe two .25% but that was not the case of prior periods where we enjoyed much sharper growth. 7 plus% in 1984. average of 5 1/2% in reagan years. excess of 4 1/2% during the bill clinton years. it just depend with democrats and republicans but it was not uncommon to see much stronger growth than even that. the reason why we point this out with my next guest, if you goose the economy enough, give them

big enough tax cuts, that 3.1% could be just for starters and stronger that growth, more revee comg in, the better washington ends up after all. north carolina republican congressman mark meadows. set grand poobah of freedom caucus, largely conservative group of folks who are into deficits, keeping eye on them and into growth. we think that goes a long way toward eradicating them. thank you, mr. chairman. >> great to be with you, here, neil. great day on capitol hill with steve scalise's return obviously but it is all about getting tax reform done. neil: i was thinking congressman scalise, he is a very good salesman in his own right. wayward congressman and women get a call from him, will at least take it, if he is making a pitch for cuts, they will take it, right? >> exactly right. i tell you a quick story about that i got a call from steve scalise from his hospital bed, whipping me on the budget and

tax reform just a few weeks ago. so he is already at work. you're more inclined to say yes when you get a call from steve scalise. neil: absolutely. we're all glad he is doing well. what an incredible journey. talk about the journey, sir, where this tax cut is going. you and your conservative colleagues immediately said you were on board. >> right. neil: and that surprised some because they also know you're concerned about deficits and debt and this cynical view that many have this is going to worsen that. that it is going to go way beyond the 1 1/2 trillion been allocated in a senate republican plan. >> right, right. neil: that doesn't jibe with your concerns about deficits, debt. what do you say? >> well you just hit the, at the top of this segment, the key thing, 3.1 gdp growth. i can make the case, if we cut these taxes the way that we're going after this in a bold way, what we're going to do is not

see the anemic 1.8 to 2.2 gdp growth we've had. what we'll see, 3.1, 3.3g dp growth. what happened over 15 year period, as long as we don't grow government at same exponential rate, you end up balancing in same period. we attack deficits, creating deficit in the short term but only way we can really have a bold tax reform effort right now. we're all in. i have been talking to my senate colleagues today. i'm very excited about the progress we're making, now, the only thing i see that has been offered out there, congressm is ending deduction for state and local taxes as a way to pay for this. however you want to describe that. >> right. neil: that will only get you so far, maybe 1 1/2 trillion dollars in 10 years. are there other areas i'm missing or maybe not been reported where you hope to recoup that? >> well, obviously there is

probably going to be a couple of different areas. you know the repatriation rate, whatever that is set at, that become as net plus in terms of a cbo score, joint tax score. neil: repatriation, money held abroad, could be trillions coming back to the united states. >> that's correct. some say as much as three trillion dollars in foreign investments or assets over there, you would be getting a tax boost from and bringing that back. mandatory issue that is phased in probably, over 7 or 8 years. as we look at the other part of that is, looking at some of the interest deductions, not mortgage home deductions but some of the interest expensing, how that folds with immediate expensing for capital assets. there is a number of dials and levers. details are being worked out now. the way i like to put it, neil, we made a puzzle. we have border of the puzzle

now. we know we have the framework. now what we have to do, make sure we complete the picture, fitting those pieces together. i'm optimistic we can get there as we start to look at some of the critical things that we'll have to make a decision on in the coming weeks. neil: chairman, you're closer to this than i will ever be. i don't see there being much difficulty getting something passed in the house, even if it sticks largely to the blueprint that you outline. that blueprint to your point could change, likely will change of the senate is where it is dicier. that could explain why the president, took joe donnelly, democratic senator from indiana with him to make a pitch for the tax cut. he might need two other democrats who are also in difficult re-elections coming up next year. to make up for republican senators who might be just as inclined to vote against this as they were on the health care thing. john mccain comes to mind. lisa murkowski of a last comes

to mind, maybe susan collins of maine, you know the drill. that he will need those votes, that it will be much closer there. do you agree with that? >> i agree that it will be close as a previous president's name attached to it obamacare, there is not perhaps the same political difficulty crossing the aisle to vote for this but you're spot on. that is a concern. i talked to at least two different senators of different idealogical bents this morning to see where we are on the senate side to make sure we get there. jim jordan and i had a discussion not more than 30 minutes ago to suggest what we're going to do reach out to some moderate blue dog democrats to see what we can do to bring them along. it would help in the senate if we make it true bipartisan bill in the house. that is what we're working to do. neil: if you get enough blue dog democrats, more conservative, modern day bow weevils

ronald reagan wood to his tax cut, that would bring democratic senators to support it? >> yes. that the initial conversations gone very well. as we see that, get j donnelly or manchin, claire mccaskill, those start to look well we had democrats vote for it in the house. it makes it a easier lift on senate side. neil: very quickly top rate seems to be at 35%. there was talk back and forth, maybe a negotiating wedge of a fourth rate of one that would ensnare the very rich so they don't get away, whatever. what are your thoughts on that? >> really right now if we only focus on that part of it we're making a mistake. that is more of a political decision than a policy decision when it all comes down to it. there is real discussion, do you believe that 39.6 in place for those making a million dollars or more? i think in the end what we're trying to do is come up with a

model where everybody can go to on site place, put in their particular income and see how this tax affects them. we're working on that in my personal office. so, as we start to see that, it is all about how it affects those people back on main street. this is going to lower their taxes. it's a great day. it is something not only moderates and conservatives come together on but hopefully democrats and republican as well. neil: all right, congressman, you come a long way when your own party locked you in a janitor's closet and didn't want to hear from you. >> i don't want to go back. neil: thank you very much, sir. good to see you ben. >> thank you, neil. neil: meantime battle of billionaires. one is president of the united states. the other is the guy that runs facebook. you wouldn't believe what they're feuding over. hi, i'm the internet! you know what's difficult?

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♪ neil: boy, they have been at each other's throats. donald trump, mark zuckerberg, lauren simonetti with the latest on this back and forth. what is going on now? >> i like you call it battle between the billionaires. i'm calling it tit-for-tat spat between president and ceo of facebook. donald trump tweeted yesterday, facebook was always anti-trump. network for anti-trump. fake abuse, "washington post," "new york times," anti-trump collusion, question mark. his tweet about month before facebook plus other social media companies they testified before federal investigates looking at just that, colluon, possibly, among russian oratives trying to influence u.s. politics this is how zuckerberg responded. trump says facebook is against him liberals say we help trump. both side are upset about ideas and content they don't like. that is what running a platform for all ideas looks like. responsibility for what happens on the platform of two billion users is finally being owned by

zuckerberg. he is handing in over 3,000 political ads, bought by russians to congressional investigators as they determined whether those ads helped donald trump win the election last year. and zuckerberg finally apologized yesterday for the original comments he made, the idea that misinformation on facebook changed election outcome was crazy, he is admitting this is too important issue to be dismissive. obviously he is thinking of his company's reputation, how that is involved here. neil: thank you very much, lauren simonetti. whatever, mark zuckerberg is rejecting any bias. says he is -- left and right. what she makes of that. what do you think? >> i think mark zuckerberg is totally wrong and i think that donald trump is completely, 100% in the right on this topic. it is very clear facebook has been completely biased against conservatives for years now. just last year, slew of employees left the company said they were instructed to suppress information of interest to

conservatives and suppress information coming from conservative outlets. it is not just that. since the election a lot of conservative outlets experience ad significant drop in facebook web traffic and interactions and things like that. someone works with facebook every single day. i run that page for the federalist.com. i had meetings, been in rooms with a bunch of other people i work with and i know who run facebook pages for other conservative networks and organizations and we've all been in a room together scratching our heads, saying what is going on? what can we do to try to fix this. neil: when you say that, what you see, bre, that makes you say wait a minute, they're zooming us? what is going on? >> since the election there has been significant drop in interactions and eyeballs going to our page. i will not names, one premier organization, largest organization in the country said

that quite frequently they get more interactions on dog videos that they post on their page, when they post something about policy which doesn't make sense. presumably individuals who are liking that conservative policy think tank are doing so because they want more political content, not because they want dog videos. so that discrepancy is very curious. another friend mine who ran facebook page for one of the largest conservative outlets on the right, she said that, she has noticed that they have invested the, more money they invested and more time they invested and spent by cultivating their facebook page, developing, getting a million likes hasn't really helped at all. since the election their traffic has significantly dropped. just interactions and eyeballs to their page dropped drastically over the past six months despite the fact they're funneling money into that page. i think it is very clear something shady is going on. i think mark zuckerberg knows

that. his about-face on issue reveals more a about it. facebook is ptform that promotes all ideas? i mean, i don't know, lock me up and call me crazy. it is very clear since facebook has been attacks by so-called fake news allegation, facebook reaction is not fight speech with more speech, their reaction is to censor and shut things down. since allegation, facebook, says we'll empower individuals to report things as fake news. click on fake news button on information that they don't like. anyone can just click on that. just a couple of weeks ago, the social network also announced they're not going to allow pages that allegedly share so-called fake news. remember that is determined by users at-will, randomly. it is completely arbitrary. they said they will not let those pages that repeatedly

share so-called fake news purchase ads. i -- neil: who is determining that? we don't know. >> right, exactly. the point is, it is enabling internet troll mobs to get upset and gang up on something they don't like. neil: that instantly becomes fake. >> right. exactly. that is exactly the problem. you don't fight information that you don't like by suppressing it. you fight it with more information. you fight speech you don't like with more speech. so facebook facebook'see action is very clear. they are not aboutromoti platform for all ideas. they are about pushing a certain agenda. neil: bre, thank you very, very much. >> thank you. neil: meantime there is another issue more immediate and threatening right now, north korea wanting to blow up the world. our latest effort to stop them from doing that because we don't think it's a good idea.

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neil: in middle of everything going on here not as if the north korean situation has gone away. when the u.s. sends strategic assets to south korea, north koreans make hay of that they say we are declared war against them. so they say they're free to shoot down our planes ove

international waters. doesn't seem to make a difference, to general jack keane. where all this is going. doesn't take much, accident, miscalculation and you have got a war on your hand. where do you think this is going? >> well, first of all the position of south korea has changed dramatically since president moon was elected and took office just a few months ago. if you recall, he rejected economic sanctions and military option and preferred to enter into diplomatic negotiations with north korea. north korea blew him off entirely. and now president moon of south korea is asking for more strategic assets. is endorsing the military option to be sure. something that was lost on a lot of people just a few ago, three weeks ago, to be more specific, his foreign minister asked secretary mattis would it be possible to move tactical nuclear weapons back on to the peninsula, at least close to the

peninsula once again. we them out of there in 1992. that is how far south korea has come in terms of their level of concern, neil. neil: you know, south koreans must also be thinking of a big issue for them. they're hosting winter olympics. obviously would love everyone to come. they would obviously love to avoid a war that could disrupt that, pretty much their entire country. they have been criticized in the past, general, for being, you know, too open hearted. too, we can mcpeace, not war, and we can talk. there was overture to north koreans about hosting some olympic events. that seems to have gone by the wayside. how do you think this bill fare ahead of the olympics? >> certainly they have concerns about that because it could certainly affect the tourist commitment to go the olympics, particularly under the umbrella of this security situation. neil: say nothing of athletes

themselves? >> i think the athletes they will step up. they're pretty huff-minded folks. i think what is happening here. the rhetoric and incendiary rhetoric from north korea, and controversial rhetoric from our own president, i'm not as worried about that as some because, when you read closely into kim jong-un's remarks, and what he is saying, his calculation is, is more cautious than his, than his rhetoric. he is very much aware of the united states' military capabilities here and i think he has come, he is slowly coming to the conclusion, at least the president has convinced china the president is serious, our president is serious about a military option. and i think that will begin to take hold. if china, is truly committed to that, the shutting down all of the bank trading with

north korea, that will create economic strangulation on north korea that we've not seen. that could possibly lead to an internal regime change as leaders around kim jong-un don't want to go down the path with him any longer, potentially leading to the collapse of the nation that would be favorable outcome to say the least. i'm not certain it will happen but it's a possibility. neil: it would break a lock on power the family had for generations, right? >> oh, yeah. no doubt about it. we've got, we've got months for this to play out yet. i'm sure, tension will be about the same and possibly increase. but, we have the wherewithal to deal with this, neil. neil: all right. fingers crossed, general. thank you very much. general jack keane. paul ryan is confident the house.

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neil: well, republicans now making a bid for taxefor they promised to be busy and promised to get things done and they say it will get done this year, not next year, this year. adam shapiro at the latest on the game plan. >> before they can read before they can move to tax reform they have to get a budget resolution passed. in the senate in a week or two, conference committee perhaps sometime mid-to-late october which opens the door for tax reform. secretary of the treasury, steep stuff i was on "mornings with maria" and his stomach in the case as to what is coming down the pipeline. >> we should get the federal

government out of the business of subsidizing states. the federal government has no business subsidizing state from a tax standpoint. this he fared and treat all the states the same way. that is their objective, but again we will be working with congress on that. >> the issue he's talking about their past to do with the repeal of the deduction for state and local taxes, which will have big states like new york and california. here is what senator chuck schumer said about that. >> 40 or 50 republican congressman from well-to-do suburban districts in high tax states, new york, california, new jersey pennsylvania, illinois, maryland, whose constituents will be caught bird by state and local deductibility. clobbered. rerter: neil, one of the talking points you know here is why would states like oklahoma and new york.

they spend far more money to the government think it's back in oklahoma gets my money back. that is going to be the fight. back to you. neil: adam shapiro at the white house. after the health care failures, republicans are hoping this is the one to get a w. one. this means tax cut will happen this year and whether they will turn out to be as good as they look on paper right now depending if you got a good read of what they are right now. what do you think? >> you heard what schumer said about the state and local tax reduction. battle royale. something you and i have been talking about a lot. here is something interesting about that and this will get into the bigger point whatever you think will get done. if you read the document, which i read twice yesterday, nine page outline of what they want to do in the one-page summary of the nine page -- neil: i always like that.

charlie: and no place that no place does it state that will get rid of the local and state tax reduction. they are saying the republican leaders and mcguinness picks may be talking about it publicly, but nowhere in the document doesn't specifically say no state local tax deductions. what are they really doing here with adding a lot more? no more it doesn't specifically state they will keep the carried interest loophole for private equity investment. so what are they doing? here is sort of where the rubber meets the road on this. if you get congress this much work to do, that means you don't have a lot of this stuff decided. you are afraid to fight for it. you don't have a deal and that is the one sort of pitfall in getting this plan, which is sort of a very good outline, but it is still an outline, a bunch of bullet points through congress. you had ed rollins, i was also one of one of the fascinating

things with ronald reagan did the last big overhaul by this. reagan was immersed in the details. ed also agreed with me because i did a little reporting on this. reagan had a lot of the deals basically nailed down. it was even more than that. he had the basic agreements with congress on a lot of it where they would be able to negotiate over finer points at something i'd mention one of the finer points like one of the tax cuts into the next year or something like that. they could negotiate the fine point that they had the whole thing basically nailed down. we don't have that here. listen, and if mnuchin and those guys may be out there with paul ryan, they may pull a miracle. it will take a minor miracle to start at this year. neil: a lot of the senate representatives from the tax states, chris collins of new york and he was saying that his

constituents would benefit, would double to 24,000 that dwarfs whatever they would delineate for their state and local taxes. that's one guy, one district. it's the western end of new york state and the southern tier portion of the state, where that might be germane. in other wds, this is not as big of an issue. they're deduction will be increased such that they won't need itemized investment. >> i don't know. they may be lower middle class people. this is where this gets really complicated. you are a family of four. for say five. you've got three kids, wife and husband. he lived in long island. you make $250,000 a year. president obama put those people, at least initially and then it got negotiated around and around.

those were considered fatcats where you want them to start the upper bracket out. that is generally were higher taxes kick in. those people as you know, family of five is not living high on the hog by any stretch of the imagination. school, you name it. the question is for that person, is losing the deduction for state and local taxes since they will be in a high tax bracket, is that going to be -- who itemizes, who doesn't? they could write up from the get-go. charlie: a lot of our viewers have families -- neil: i don't doubt it. they crunch more numbers than you know and they made a calculat decision here their families all around us as they are, they are not all around america and i think collins is illustrative of that.

>> so i think they even pre-calculated the number of representatives who they could lose. hard to say. when the freedom caucus signed on right away, almost sight unseen, that makes you wonder if they take it. charlie: the supreme boxes largely -- [inaudible] but there's going to be either -- it's not just bad either. other sort of battles. >> here is what i think they've got in the house. the senate will be problematic, but they went over some blue dog democrats, those types of people. they feel that would entice similar democratic senators to go along with this. charlie: well, you know, listening. i think this is a pretty progrowth agenda.

take it apart to 20% is pretty good. i think that's good for business and average americans. the fact that it's with congress, i think that is the key. so much of this is written by vinnie paul ryan spared this is what he was. he was a very smart staffer when he ran for office. these guys will get into it and by the w cwill have their say. gucci gold or whatever it was i'm just telling you that's what the actual lobbyists will go out there. they are going to hump for their guy. neil: charlie gasparino, thank you very much. in the meantime, this is an issue for all the players. paul ryan says, you know, we are doing our part in the house. it certainly sounds like he threw a 13 senator under the bus. >> we passed 337 bills in the house as of this week.

this is more than obama, more than bush, more than clayton. similar bills have passed the house this year under donald trump at this time then obama in both bush and clinton. the challenge we have is this chart. 274 are still in the senate. neil: senator mike rounds joins us right now is south dakota. i don't know if he was specifically throwing you under the bus, but mitch mcconnell, what did you make of that? >> business as usual. what we've got right now is the house has the ability to move things through on a margin of one vote. in the senate we've got to have for most items we've got to have 60 votes and that mns you've also got to have about 30 hou of discussionn each one of those votes. neil: you guys have a lot of rules. >> some of them would like to change. in the meantime we deal with

what we've got. neil: what he think when donald trump on the filibuster thing, if you stop that we could deal with this health care think i might get done sooner rather than later on the september 30th deadline that we have to acknowledge and pick up our marbles and fight another day. >> first of all, there are parts of the filibuster we would like to change. a group of us would like to get on and debate a bill without having to have 60 votes to do it. i think there is probably fewer numbers that would like to change the senate to a majority on everything. i think i would be difficult to get done. take a look at health care. we could muster to get that done. not everything could be done by eliminating the filibuster at this stage of the game. you will still have legislation that brings and the members of the united states senate. i think we will move to an end around to where we can stabilize

the premium spirit that is still in the works. i appreciate what we are trying to do with senator lamar alexander and his team on trying to work through a compromise to stabilize these market while we take another look at it, using another billext year. neil: on the tax cut, senator, is it your hope this could get dad and dad the broadcast was his goal. he is confident about. are you? >> in the senate within the conference we recognize this'll be one where we have to have 50, 51, 52 votes while republicans in order to make the first major step. once we get to 50 or 51, there may be others who may join us. neil: that would first be on the budget. >> the budget will get done. i don't think there's a problem there. once we've done that, the devil becomes the details.

i like the idea the way leader mcconnell has laid this out. he's had all of this in the discussions. he's committed to what they call regular order. we want to talk about the different parts of the bill. what you are finding are members of the senate are now into and redo the bills, looking at them. they want to play a part in this process. not just as you call them the staffers making these rules. you've got a real real republican senators looking at what is going on within the bills themselves. neil: are you worried about whatever the merit or a tax cut in a generation and obviously if it goes on too long, if it gs on for many months, with every passing day the likelihood of finding broad agreement lessons. you agree with that? >> i agree with you on that. the goal in the senate as we discussed is to get this out sometime around thanksgiving, just before or just after. members of the senate i'm talking to recognize time is of the essence.

neil: demonic colleagues who would not be inclined to support like john mccain's name has come up to a lot of people, rand paul, that he would be similar to the fight on health care among colleagues? >> i would not specifically identify for any one colleague, but i will say i don't know if any one of the members in our conference who doesn't want to see tax relief. it is a matter working during getting it done in an expeditious manner. we all recognize we can't make this work unless you grow the economy and if we don't grow the economy we don't have the revenue to pay the bills. this will come back to haunt everybody real, real fast. not a matter of in the future we will see a trillion dollars deficit right now. we have to grow the economy, bring the revenues in and pay the bills you expect us to pay. it's a whole concept in the united states senate. neil: you been keeping an eye on that in providing funds for that government to rebound from it

apparently is a fairly devastating earthquake. their complaints are hoping the u.s.a. has been slow. the president has been authorized, a way to get around to shipping regulations will help him get there, that they will need a lot more reports in the united states at the number of bondholders making it difficult for them to get that help or tying that help with payments on the debt. bottom line is the mass. what you think about and whether washington should do anything to speed the process of coming change the process. what you think? >> first of all, there's a miscommunication out there that we should correct. this administration is on top of the situation. i'm convinced about when it comes to puerto rico. last night at a chance to talk with top officials and ask specific questions. when i was governor, we have emergencies. we had major blizzards that were shut down the entire state. nothing like what they've done in puerto rico appeared a

thousand times worse than anything we saw. basics are still the same. you've got to have a coordinated effort on the ground. i had a chance to talk with mr. long. they've got a one star general on the ground right now taking charge on the ground. they are moving forward, but they had to rebuild entire infrastructure for emergency operations. they are saying the right things are moving in the right directions. they've got the national cooperative association and they are actually bringing them back in. they'll get thoseolks to help rebuild. that place has been devastated, but you have to start with the very basics. the military in there right now. normally, fema comes in and coordinates with an on ground state team already in place. that was all destroyed in this hurricane. so they've had to come in and

play both roles right now. after my discussions last night because i was really worried about it as to what was really going on. after talking with the folks that are actually in charge of it, they are in my opinion making the right choices and they are doing it an expeditious man all. i couldn't even make a recommendation as to what they should do different because they were ahead of the game and doing their best. they've got real problems down there. >> they are in a world of her, which raises my last question. i know you're not conducting policy here, but given the fact that gun holders have been lucky not long before the storm is on the brink that the senate might file for bankruptcy. do you think they should show more latitude just on the concerns of what's going on in puerto rico? do you think they should just

show a little more compassion? >> here is my attitude. this is an humanitarian crisis. whether they are business people that decide to do so or not, the federal government will step in and we'll take care of the immediate human crisis, which is at hand. it doesn't matter what those folks do. we have to step in. these are united states citizens. we will take care of the immediate human crisis in that little cleanup the mass there afterwards. neil: nicely put. thank you very much. senator mike rounds, republican of south dakota. the sender indicating what is very obvious. puerto rico is in a world of hurt, the worst of which ever had the experience of the better part of this century. a lot of debt, a lot of bondholders in this city, eager for payment. i think it might be a good idea at this time among those bondholders to look beyond their own spreadsheet and stop the sheep. a little more after this.

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neil: all right. the warning you get from the likes of steve bennett in alabama, mr. president pay attention. this is your base. be very careful trying to take it on. a gop fundraiser extraordinaire. uni were mentioning the president assumption being markers onhe victory anyway so it's a republican seat, but the message that banning seemed to be giving is that this is the future. these kind of rebellious challenges to the party is going to keep happening. >> well, it is the anti-anti-establishment. he was antiestablishment and he is anti-anti-establishment. how much more extreme can you go? how much further right can you go? the funny thing is i actually

think donald trump, president trump is probably going to say what he could say is hey, wasn't my fault. my brand is strong and i endorse him. it was the mitch mcconnell effect and luther strange was tied to mitch mcconnell who is very unpopular. so it's his fault. neil: it is not just bannon, but other rebel rousers keep doing this and putting up conservative challengers to establishment politicians, play that out for me. >> and reminds me back in the day of the club for growth, which was a huge group, steve moore founded that. remember what they did? that's why we have ted cruz. he went up against dewhurst in texas. and in that primary, the club for growth in july.seven or $8 million. game changer. that's why you have pat to me. but they would go when and challenge it.

on the platform of more economic frameworks, that's not anywhere on the website. it is a fiscal conservative. the bright part of fact, which is in defense, they do the same thing club for growth is. neil: roy moore is more of a social conservative and that concerns some other republicans that could get to be a distractio visit areas of the tour. >> he's going to win in alabama, but the thing of it is, it is going to be very sticky for people like me with fundraisers because they are going to be bloodied in this antiestablishment versus best, versus. neil: he was outstanding, wasn't it? maybe your job is unimportant. >> tanks a lot on national television telling me that my time -- neil: i did not mean that.

>> if you see me advertising tractors. it is sandy antiestablishment is not good enough. it got to go deeper. that's a little scary because what we don't want to do is get hinged so far right that no one can relate. just like the last, the latte left going so far left that they are losing the democrat center. >> i'm trying to get everything back here. thank you very much. in the meantime, the iphone 10, forget christmas. how is valentine's day looking? after this. you know who likes to be

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neil: all right. the issue of the iphone was a big one when it was announced you couldn't even order until the end about over and get it early november.

that was wishful thinking because now reports out there that it might be a more christmas tree to be predicted another facet might be more of a valentines event. some pretty interesting details on what's going on here. what is true, what is not? >> cake and vanilla. when you can buy the iphone 10 november 3rd, when you get a come you may have to wait until after christmas. apple stock down about 5% as apple unveiled their flagship anniversary iphone. they'd be slow to land in users hands. wall street lowering their expectations of it. the wall street brokerage cut is a production estimate by 20%. they are securities now expect apple to only make 38 million unit of their device at the end of the year. "the wall street journal" confirms apple was hitting a production roadblock related to their devices through the sensor cover, technology that lets users unlock their iphone. the journal says the two parts nicknamed romeo and juliet work

together to create the iphone 10 face i.d. feature. they are beaming 30,000 infrared across a user base. joliet has the infrared camera to make a positive i.d. the problem is romeo takes longer to manufacture than juliet, causing supply waiting for their romeo before they can hit shelves. this isn't the first bump in the road for the thousand dollars device. apple's original plan was to have touch ids and face i.d. features on the iphone 10, but including the touch i.d. fingerprint technology with edge to edge display, and it was a problem so they decided to ditch the idea. neil: said there is in any significant production? these things come up with every new product announced, but it doesn't seem like the panic you get in the electronic press covered the digital price is

justified, but what are you hearing? >> well, we're expecting it to sell out in a few hours once it's released. there will be a waiting list and the people that i than in wait for them, we don't know when they'll be able to get their hands on them. this has been a problem that delayed not only its release date, but now we don't do when users are able to get devices they are paying for. neil: thank you very committed very much. hillary von. apple stock under pressure as hillary pointed out here. it might be leading to the technology selloff, but not across the board in certainly not the case of some new debuts here. fox business network deirdre bolton. apple does lead the way for the most part. the mac is certainly does. since a big product release, the three phones at once, the somewhat disappointing apple tv, concerns about the connection. exactly. a lot of people say you now.

apple stock lost something like $50 billion market cap and market power since that time. ple really does lead this group and has a lot of technical analysts getting anxious and all of these stocks, all these names we saw. amazon, facebook, netflix all priced for perfection. the second there's something a little bit off as we were hearing from our colleague, there can be some pretty quick selling. neil: heather, what is your read of this, even when people see them drop a little bit, and they usually come in it day or two later because they are deemed to be great buying opportunities. would you tell them? >> apple itself is up 30% year-to-date. if you see a 5% to 10% pullback, it is usually short-lived and institutional buyers will calm them by apple. maryland just that it's one of the most crowded spaces for

their portfolio managers. the same in terms of a crowding indicator. apple is a very livestock. i think you would be hard-pressed to short apple. but again, it has had a tremendous run. it is not a big deal. >> when you do see this every time apple has a new offering, you know, we were discussing the rate. it does seem to happen. there is a delay, a problem and it ends up not been as big of a deal. what is your read on this? >> that's a good thing apply in demand. a lot of companies would love to manufacture that sort of demand over demand and undersupplied because it just creates more bias in the space and more chaos. people pitching tents outside the lines. it gets the media's attention and our focus, so i think it is not necessarily a bad thing for

apple. they always have 75 million students in the fall. right now analysts expect about 11 million units of the iphone next to be produced. they are falling short of demand here. neil: i want to show the roku debut north of the 14-dollar share price here. sword as if it were some technology. >> that company is hiring like crazy. even here in your community, not far from our offices here, people line up outside. >> you won't catch me there. i won't be outside waiting, but i know many consumers will. neil: people will wait in line for lott is tough. maybe a little sausage and peppers. that's a whole other. ladies, thank you is very much. more after this read on the markets right now.

the duster andad here at s&p, nasdaq wit all these problems. optimism about tax cuts that they expect to see delivered and soon, like this year. think again.

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>> thank you, mr. speaker. you have no idea how great it feels to be back here at work in the people's house. [cheers and applause] we are the people's house. this is a place for these ideas are supposed to be debated and we fight through those issues, but ultimately we come together. neil: what it is that rare moment when both parties are happy and both parties are getting along and both parties are overjoyed when one of their own who face death, is alive and well to tell us about it inside another day because congressman scalise is back on the job and ready to make phone calls.

one of us already pestering him about budget and tax issues. obviously, steve scalise feels that he will be important and likely for the president's tax plan. that is the plan, by the way that has been derided by most of the press. that is safe to say, jerry lewis. jerry lewis? gerri willis. where am i going. some of these headlines here, they have been strong. it is sort of like french revolution with a twist, all of that, without looking a possible benefit. that is fine, but very lopsided. >> absolutely lopsided, neil. president trump has barely finished in the speech when the outlets began releasing their analysis of the plan and in fact b. analysis came so fast it felt like some most written ahead of time. let me share with you some of

the headlines. from "the los angeles times," the new tax plan is a huge giveaway to the wealthy. this from a "new york times" story, the transplant gives substantial rewards for wealthy people and corporations. now to be sure these headlines ignore the fact president trump open the door to a higher surtax for very high earners and it seems to me the coverage obscures the fact that among the wealthy people getting tax break for small business people such as the deli owner with business earnings through the tax return. this came from market watch. most americans don't want or need a federal tax code. the gop or is bush tax cuts because the republican party apparently is a wholly owned subsidiary of large multinational corporations and richest americans. finally, the fact the middle class would get few benefits from reforms since it would do away with state and local tax seductions.

that ignored the fact they would double standard junctions for most households and boost the child tax credit. as we know, lots of questions yet to be answered by the tax plan. lots of things to fill in. it's hard to come up with a definitive analysis under so many outstanding questions. neil: gerri willis. thank you, lady. i had to do that. did you make very, very much. in the meantime, state and local deductions with those who come from districts that iran such states getting rid of that. that could be a reduction. dan donovan is one of those quite concerned to like the idea. congressman, i talked to one of your colleagues at the other end of the state of new york. he is okay. the immediate deduction house doubled. it would offset whatever they would lose on message and it probably wouldn't be agonizing anyway.

what you make of that and those who might feel that way? >> meal, good to be with you again. i think gerri willis was right in saying we don't have details yet. they get analysis on what is known as the framework or the president presented a framework to paul ryan and chairman brady presented a framework and i were going to put the meat on this framework. it's only been two days. ronald reagan took 18 months to get his tax reform done. neil: you have to but they made on the framework here. so much from congress here. it could take a lot of time. broad parameters take time. >> i think that's part of w is great about the process. wead h to retreat five hours or everyone got to speak about their concerns. everybody was allowed to have input into what the chairman, the speaker took copious notes, listening to what people wanted to see in the tax plan and what they need is going to be.

this is a process. it's been 30 years since the tax code has been reformed. it is arduous, too difficult for people. it is unfair. now we have a tax code that is going to double people standard deduction. a lot of people at the first $24,000 aren't going to pay any federal taxes. so when jerry was talking about the report she was ready for somebody said most americans don't want a tax cut. that person hasn't been talking to people in my district here that's for sure. neil: let me ask you about that. the one thing that has come out is the mortgage of that state, but the one thing is getting rid of the deduction for state and local taxes. the impact of the state notwithstanding, even if it were to go through, the re-days it wouldn't be enough to compensate for the law or the cost of the tax cuts over a decade where else are you going to get that

money? >> i mean, that is something the economist that the ways and means committee are working on. i've spoken to the president's economic adviser, gary cohn. i spoken to treasury secretary steve mnuchin. the leadership in the house republican party. chairman brady, speaking about our concerns. but there is no analysis to be done yet. we have to wait to see what some of these proposals are. i heard a proposal yesterday that would keep the standard salt, the state and local tax deduction that people make under certain amount of money and eliminate the people in 1%. so there's a lot of proposals out there. we don't know what we are going to be voting on. i'll tell you one thing. speaker brian and chairman brady and the administration has listening to members of congress and they listen to me. neil: it is your hope this gets done this year? >> yeah, i would like to see people immediately. we have a third of our public site if they need to buy new

refrigerators $400 they wouldn't afford to do it without borrowing money. we have half of our people i represent live paycheck to paycheck. they need relief and a native fast. neil: congressman, thank you for taking the time. we appreciate it. in the meantime, the president waving a lot of restrictions to help get it to puerto rico. he might want to talk to bondholders who are far more interested in getting paid back the dead. that is pretty much saddling puerto rico. we are not saying you need to forgive it. we are sayg maybe: i'm demanding repayment for all of this. after this. ♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ can i kick it?

♪ yes you can ♪ well i'm gone

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>> but given the fact that on holders have been looking to puerto rico long before the storm was on the brink in a lot of debt payments couldn't make bankruptcy, do you think they should show more latitude just on humane concerns of what is going on in puerto rico? do you think they should just show a little more compassion? >> here's my attitude. this is an humanitarian crisis. what are they as business people decide to do so were not, the federal government will step in and we'll take care of the immediate human crisis, which is at hand.

it doesn't matter what those folks do. we have to step in. these are united states citizens. we will take care of the immediate human crisis and then we will clean up the mess there afterwards. neil: by the way, that might already be happening. following these developments here in a lot of the bondholders part of this crisis might be responding, but what is going on? in that wall street saying he puerto rico, you are about power for the entire island. hospitals, senior citizens in nursing homes without power. we will step in and give you money. we will help you out. we've got a great deal for you. puerto rico. nobody else is giving you money. we want to give you money. with the bondholders, certain group of bondholders say about puerto rico bond now trading at half, so the value of their bonds that they own, the on holders they gave puerto rico

has been cut in half. we want to restructure a big slug of that. $125 billion worth into a loan. the loan would have a 6% rate on it. the way some analysts look at it saying hey come you guys on wall street are trying to take advantage of a country in dire straits. desperate condition right now when you try to take quick cash out of the situation by restructuring decrepit underwater bonds into a high-value high interest rate loans. neil: they are owed money on that. >> that's correct. neil: were they going to issue new money? >> that's correct. this group of bondholders on about $3 billion worth of bonds. they want to take $2 billion worth of those bonds and say we are going to restructure it into a loan carrying a 6% interest rate. some would say greece is the same. nobody else is going to give puerto rico money. wall street is doing puerto rico

a favor. the problem is quickly the same mortgage crisis are written on the bottom that deals with puerto rico. they are selling puerto rico debt, the puerto rico cannot fit the bill for. the bond underwriters make money, the performance looks better from the bonds. puerto rico is a $72 billion in solvay country. they don't have industry right now to pay back the debt. it is being looked at right now that you are trying to make a quick buck, turn the dead into quick cash to get your money back out of puerto rico. neil: they responsible for the other 70 billion in debt. could they be tempted to do the same thing? >> they could be tempted. the question is how is puerto rico going to pay back any of this to? neil: it seems to be kind of sons of comes to mind.

>> yes. puerto rico shouldn't take in on baghdad. they should've been smart smart enough to restructure the economy. that's the point. way. neil: so what is puerto rico going to do? >> whilst reducing take the money. your utility is crashed. you need money to get and watch this. schema matching funds require credit. so puerto rico is being told listen. in order to get matching funds come you got to show your credit worthy and have some credit. in order to get matching funds, they need the loan to show with god alone. we should get the matching funds. neil: they can't pay bac the loan, but they would need a collateral for more money. >> that's right. from fema. neil: fema must know the weird math that would allow that to happen. >> likely. i'm sure fema bureaucrats know the background story. we are going to keep giving

money. we in the united states will keep giving money to help out, but that will not be nearly enough. >> is to be a whole restructuring of the puerto rican economy. whether or not they should be a state, the john katko help right now temporarily. the tax breaks, the way the economy is structured is not helping a in the small business guys need be helped as well. neil: you are not only wickets marconi also have a wicked good heart. you shouldn't be doing this, folks. you are really screwing people. you've got a step back because you don't look good. a little more after this. with one phone call, he sets me up with tailored products and services. and when my advisor is focused on my tech, i can focus on my small business. ♪ a dell advisor can help you choose the right products with powerful intel® core™ processors. ♪

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or visit kohlerwalkinbath.com for more info. neil: we've been focusing on a lot of other stocks but the russell 2000 rich in all the small companies stocks. that is all-time high. trish regan right now. hey, trish. trish: i think they like idea of tax cuts for small businesses. thanks, neil. president trump calling on all lawmakers to get behind the tax cut plan. that this is once in a lifetime opportunity to fix the broken tax system and that will give relief to americans. i'm trish regan, welcome to "the intelligence report." you saw it on our show, a tax plan that would simplify the tax code, giving money back to hard-working americans, the people that earn the money in the first place. folks on the left are out there blasting, this will only help the rich. same old tune.