markets. liz: thank you very much for joining us. [closing bell rings] we'll put all of his ideas on facebook.com/lizclaman page. what a busy hour we have had. dow jones industrials can't seem to follow the s&p and nasdaq into the green. still down 90 points. that will do it for "the claman countdown." connell: stocks ending the day mixed. boeing really the big story, to get into the afternoon, brexit, the other one, those two dominating the headlines, dow settling lower by 86, 87 points. boeing in correction territory. that is everything really for the dow, major fallout continues from the ethiopia airlines crash. then you have the s&p 500 and the nasdaq both closing higher today as technology stocks did well, energy stocks did well. nasdaq up by 33. i'm connell mcshane. melissa: i'm melissa francis. this is "after the bell." we have more on the big market movers but here is what is knew at this hour.

♪ melissa: putting colleges on the hook for student success or failure. the trump administration weighing a plan that would require universities to take a financial stake in students ability to repay their loans. interesting. we're live at the white house with the latest from the president. plus a nationwide cheating scandal. hollywood actors and ceos charged, accused of allegedly paying bribes up to $6 million to get their kids into elite schools including yale, stanford, georgetown. no harvard so far. crucial vote for brexit. the uk has had nearly three years to figure out how to break from the european union. it all has come down to the wire. connell: as it usually does. back to the markets first, with the dow ending in the red. wig winners, unitedhealth, apple, home depot. gerri willis on floor of new york stock exchange. one of those days where boeing again was really a focus for the

dow, gerri. >> it is all about ba, a steady drip, drip of negative news for the stock. at 3:00 p.m. we found the eu was grounding 737 maxs as you announced earlier. boeing announced they would upgrade or fix their software that controls the flight control system on the highly controversial planes that have been implicated in the crash of the ethiopian plane over the weekend this stock is down on top after downdraft of 5.3% yesterday. american airlines down 2% and change. ual down 2% and change. southwest, ticker luv, down as well. all the major u.s. airlines still using the 737 max. they are not grounding these flights. but there is a lot of controversy around this. in fact a congressional panel, senate aviation panel will hold a hearing on this in short order to talk about this issue but it was splitsville for the major

indexes, right? the dow was down but s&p and nas was higher as we would have celebrated all indexes up with good consumer inflation data and the news from the eu that social media taxes would be put on hold but it was not to be. the dow down today. back to you guys. connell: gerri willis. melissa: no deal for now. uk lawmakers just voting down prime minister theresa may's revised brexit plan. fox business's ashley webster in the newsroom with the details. ashley, the sky is falling. reporter: it is. 17 days and counting, melissa, until the uk is supposed to leave the european union. that may not happen but as you say another major overwhelmingly defeat for the british prime minister today and this was supposed to be at revamped deal. the deal she got from the eu was better, would take care of the northern ireland back symptom but you no what? doubt grew throughout the day. no surprise she lost but by the amount she lost by. in the end 391 no votes to 242

votes for the plan. that was the margin. 149-vote defeat. there it is. back in january she lost the same vote by 230 votes. so okay, an improvement, but still pretty embarrassing for the prime minister. so what happens now? tomorrow there will be a debate and then a vote on a no-deal scenario. in other words leave with nothing in place. the so-called crash-out possibility. if that goes down to defeat which it's a expected to do on thursday there will be a potential vote on brexit extension. prime minister says if you vote to extend the deadline you will have to come up with on tough choices for the e all. to agree to do that. take a listen. >> wish to revoke article 50? does it want to hold a second referendum. [shouting]

does it want to leave with a deal but not this deal? these are unenviable choices. thanks to the decision that to the decision the house has made this evening they are choices that must now be made. reporter: prime minister hanging on with her voice there. they are disappointing but the eu will not negotiate anymore. bottom line, very much up in the air, guys. connell: hang with us, we want nile gardiner from heritage. you're listening to ashley's reporting, we know what is next. a vote on the no-deal scenario. how do you expect that one to play out tomorrow? >> well i expect that parliament will vote overwhelmingly against a no-deal scenario. that is no surprise there.

on thursday, parliament will vote for extension of article 50. they will likely vote in favor of extension of article 50. that doesn't mean a no-deal brexit will be stopped. all the remaining e u2 7 countries have to agree on an extension of article 50. there will be a lot of discussion in brussels on this. also parliament has to put in place new legislation with a new exit date for the united kingdom. this is complicated. not far off from ma 29th. 50/50 whether britain leaves without a brexit deal. connell: i'm sure you heard debates on both sides. you can outline them for us. melissa was making the point that the sky is falling. some people's point of view it is financial disaster, others say, no no, we'll be okay in a no deal scenario. what would you it look like if britain just leaves?

>> depends who you speak to your point, connell. brexit tears say the eu will be fine, short-term pain and short-term uncertainty. they can operate under wto rules that will include tariffs but they are free to do deals with whoever they want to. that the strong brittish economy will win through. on the other side of the debate some called project fear. the planes will not be able to take off. ports dover backed up for miles. shortages of medicine, food, you name it. armageddon. those are saying that is taking it a little too far. connell: what do you say, nile? >> i think there is nothing to fear from a no-deal brexit. my view it is by far the best scenario right now because any delay to britain's exit from the eu i think phones we could be in limbo situation for months, even years. those who are pushing for extension to article 50 i think,

mainly do so because they wish to derail brexit. i think any delay is very dangerous. it is unfortunate that the prime minister is pursueing this path. i don't think the prime minister should have put no-deal brexit before parliament. after all, parliament legislated for britain to leave on march 29th. connell: right. >> she is relinquishing control of the process to parliament. connell: ashley, do you have a sense which kind of out come we should bet on from the no deal to the extension? ashley: i think nile is right. we're definitely looking at extension of article 50. how long i don't know, three months, six months, does it really matter? the ultimate aim is to derail brexit or even go for second referendum. connell: ashley, good reporting as always. nile, good to see you. >> boeing extending losses. let'slet's go to susan li live n laguardia in new york. more airlines and countries are

grounding the 737 max planes. reporter: we're here at laguardia airport taking a temperature check of passengers set to get on 737 max flights. southwest, american airlines, some of the last few around the world to still fly the plane. we today of course had the european union joining likes of china, singapore, australia, indonesia, some countries that have banned the plane from the airspace or completely grounded the plane from any usage until there is some further updates, software updates from boeing. airlines have stopped using the plane as well. that includes airlines in latin america, south africa. here in north america as well. there is 300, 737 maxes in operation. with the ground halt most of those are taken out of service except here in the u.s. talking to people getting on the 737 maxs, a few were surprised they were still in the air and

part of the flight they stepped on. if some found out they were on 737 maxs, they say they would change their flight. they are concerned about their safety. the faa has not grounded the 737 maxs. boeing reiterated their confidence in the plane themselves. but politicians, senators blumenthal, mitt romney, elizabeth warren, feinstein, they all want to lobby the faa take a look at this plane. maybe a temporary, conditional grounding might be in order here. boeing is suffering the worst two-day loss since 2016. they lost a ton in market cap. passengers are a little nervous from laguardia airport. back to you. >> no doubt. susan li, thank you. here to discuss it, jay ratliff, aviation expert. urn one of first persons saying that they need to ground the planes and take a look the other people were not saying saying t.

how do you feel that nations are doing what you said? >> i'm not surprised other carriers and other airlines taken a step of caution, basically saying safety comes first. we'll ground the airplane because there are questions that exist. i'm also not surprised that the federal aviation administration has done nothing. it is typical for the agency many times because we're more interested in managing perception of security than we are many times with security itself. i mean if safety is your number one priority, the federal aviation administration should say there are questions that are unanswered. therefore we need to take the step of grounding the airplanes that being used by southwest and by american airlines. again to put it in perspective, southwest airlines has 750 aircraft. 20 or 34 airplanes that are the max 8. you're talking about 4.5% of the their fleet. american airlines having 960 airplanes let's say, we're talking about grounding 24 of

those which would be 2 1/2% of their fleet. we're not talking about significant numbers here but the bottom line is safety does not come first. revenue comes first and if the faa -- melissa: for the faa? you think revenue comes first for the faa as well? >> oh absolutely. southwest airlines, 3472, many people don't remember flying from new orleans to orlando, had catastrophic engine failure. the engine blew up, pierced the side of the aircraft of southwest jet. national transportation safety board basically said at that point in time we need a close inspection to the families of this particular aircraft engine. that was the recommendation to the faa instead of the faa mandating airlines to inspect those fan blades, they made it voluntary. of course none of the airlines took the aircraft out of the service to inspeck the fan blades even after the inbegin manufacturer agreed with the ntsb saying we're not taking the

aircraft out of service because that would be an adverse impact to our fleet. fast forward 18 months. the exact same thing happens to southwest flight 1380. then resulting in a debt. that is when everybody rushed for the microphones to say we are now going to order these inspections and the airline said we'll voluntarily do basically what we should have done 18 months before. i'm not surprised the faa has taken the step. i certainly hope they do. i'm waiting on american airlines and southwest saying we don't need to hear from the faa. melissa: people ant home don't want to wait to hear for that, how do you check what equipment you have for the next flight? how do you check what your plane is? >> you can go to the airline website. you can go to site called, seat guru.com. go to flightaware.com. basically putting in airline and night number that will tell you the aircraft you are scheduled to fly. now keep in mind that the 20 some years i was in the industry, many time we do

aircraft swaps at last minute. your aircraft may be running late. instead of canceling or delaying your flight we may substitute your aircraft with another. you don't know what type of aircraft you are getting on until you are at the gate. remember only american and southwest and air canada to the north of us that operate these types of airplanes. melissa: yeah. >> and you know the other airlines right now do not have them. again i'm being told it is one to five billion dollars to shut down or ground stop these airplanes. that is the cost. i think that is the real reason that we're looking at here because of the cost associated. look if safety is our number one priority there is no question what needs to be done. unfortunately we're not doing it. melissa: jay ratliff, thanks for coming on. hope you come back. connell: sharing the financial risks, new details coming out of the white house's push to hold colleges accountable in the student debt game. why critics say this mounting crisis will leave taxpayers never ending bill. brad blakeman, former assistant

to president george w. bush. he is next. melissa: greed an corruption. federal authorities charging more than four dozen people in a nationwide college scam. multiple celebrities and bunch of well-known figures are bracing for legal fight. one has already been arrested. connell: crazy stuff. founder of instagram speaking out against elizabeth warren's silicon valley. we're live in austin, texas with the latest on that. ♪

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connell: so the white house now mulling putting colleges and universities on the hook for federally-backed student loans. it all comes as speaker of the house nancy pelosi has for now dismissed the idea of impeaching president trump. putting it all together as usual for us is blake burman. he joins us now with the latest white house news. blake? >> connell, when you look at numbers as it relates to outstanding student loans is staggering. latest numbers, q4 of 2018, $1.4 trillion out there in right now in student loan debt. nine%, a little north of 9% who have student loans, one in every 11 people, delinquent on those loans. the trump administration through its budget trying to tackle that trend. one idea they're putting out

there, there should be risk-sharing component. so schools have incentives that the schools don't become buried with loans. here is portion of the budget. quote a better system would require postsecondary institutions accepting taxpayer funds to share a portion of the financial responsibility associated with student loans. the administration plans to work with the congress to address these issues. spokesperson for the top democrat on budget committee john yarmuth telling me they will take a wait-and-see approach on details, adding following in a statement, democrats definitely support reducing student loan debt but the trick here is threading the needle between more responsibility of institutions of education and access to student lending president trump spoke at cpac here in washington. he suggested at that time executive order regarding higher education could be coming. the idea of risk-sharing could

potentially be involved should that executive order eventually come forward. connell, the administration is throwing out the other idea of potentially lowering or lessening the burden of student loan debt by throwing this idea out, saying that so long as you paid 12 1/2% of your discretionary income for 15 years of undergraduate loans for 30 years of graduate school loans, if you get to that point, and they're still outstanding loans at that point it, would be forgiven. just another idea that they are putting out there. but of course we'll have to see what may or may not come from the executive order. what congress may or may not do with all of it. connell: interesting, blake burman at white house. melissa. melissa: let's bring in brad blakeman, former senior staffer to president george w. bush. those plans we heard go by are very interesting, because that last thing that blake said about if you pay a certain amount of income, the rest is forgiven, that is no good, because off the top of my head that encourages you to borrow everything.

encourages you to pay no portion of it, because you know i'm only liable up to this i might as well borrow three times x, not just x. isn't that always the problems with these things. >> it is. melissa: if you give kids, if you give student loans out easily, the universities raise the price. there is always negative externality. what is your take? >> it a vicious cycle. higher education is a big business. they make tremendous amounts of money off it. they can't make money off bad practices encouraging student debt, increasing prices. there has to be i agree with the president, a shared risk. there is no too big to fail in student loans. the democrats would like to see that, forgive debt. this is an obligation for students starting out in life, a lesson in responsibility. you have to be responsible. and don't look to take on debt or obligations that you can't

afford, that you have no intention making good on. there cannot be blanket amnesty or forgiveness of debt. there has to be shared responsibility. i agree schools should take some of that on. melissa: it seems only fair. schools, that would at least give them incentive to not get as many people in the door for as long as they possibly can, make as much money off the kid as possible, with no thought of whether or not they're going to be able to pay it off. because there is a high correlation between these schools where it is very expensive, where you see pockets, i should say schools that are very expensive where a bunch of their student body don't end up getting jobs that make that education pay. and they can't pay it back. that school, that has repeat behavior like that should bear that cost. >> no doubt about it. and they should be responsible for the students they accept and debt that those students embark upon. it's a life-time of debt for some students. and most students have not been

responsible, either taking on the debt or paying down the debt. so when you talk about a period of time, a lot of students don't even meet the threshold of either the duration or of the amount of their income. so this is a, it is a very bad exam tell to set for young people. it is a bad example to set for universities. government should not be in the position of encouraging or betting this type of default. melissa: no doubt today's news about that big scam getting people in and paying for it is not going, well it well help the president's point on this problem but not help the university side of it. before run out of time let me ask you about nancy pelosi, speaker pelosi saying today she doesn't want to pursue the path of impeachment from president trump. quote, he is just not worth it. what does that tell you? >> tells me they don't have a case. they never had a case from the time donald trump won until the time he took the oath until today. they have been on bandwagon of impeachment. there is not anything there

there. no high crimes and misdemeanors. she is not doing the president any favors. they don't have a case. they will never have a case. the only way you beat donald trump is at the ballot box. melissa: thank you. connell: fighting for his reputation, elon musk, ceo of tesla is facing enough legal fight with the sec. why the lawyer says he is infringing on his first amendment rights. judge napolitano with breaking details on the story next. dueling hot tweets. president trump's trade representative grilled on capitol hill as the ceo of wells fargo faces tough questions from the financial services committee and maxine waters. we have fox team coverage of that coming up. ♪ igh school. really helped me up my game. i had a coach. math. ooh. so, why don't traders have coaches? who says they don't?

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melissa: busy day on capitol hill. president trump's top trade negotiator testifying before congress and wells fargo ceo under scrutiny by maxine waters

and house financial services committee. fox team coverage. edward lawrence in d.c., deirdre bolton is in the newsroom. let's start with edward. reporter: u.s. trade representative robert lighthizer said we're close to knowing whether we have trade deal with china or not. listen what he told the committee. >> the hope is we're in the final weeks of having a agreement. i'm not predicting one. there are still major, major issues that have to be resolved. if the issues are not resolved in a way beneficial to the united states we will not have an agreement. reporter: president donald trump said he will walk away from a deal if it is not a good deal with the united states. lighthizer spoke with his counterpart in china 24 hours ago. he plans another meet via teleconference tomorrow. lighthizer said the agreement will cover number of things, intellectual property theft, forced transfer of technology,

state-owned enterprises, opening their financial markets to u.s. services and non-tariff issues like subsidies for currency. this could be historic deal if it is finalized. >> as it stands now there is provision that has real commitments and it is enforceable under the agreement as it stands right now. reporter: china wants the u.s. to drop all tariffs that we imposed on the chinese goods coming into this country. they also want guaranteed access to certain markets within the united states. now the enforcement mechanism would look like this. if there is issue, it would be at the office level during monthly meetings. if that issue isn't resolved. there it gets up to quarterly meetings at deputy level. if that still doesn't resolve the issue, it goes to semiannual meetings held between the vice premier and utz trade representative and unilateral options could be taken and everything would be on the table. melissa? melissa: thank you. connell: that is china trade. get to deirdre with the latest on wells fargo hearing today.

>> lots of fiery exchanges as the bank tries to clean up it is image after series of scandals uncovered in 2016. the bank practices bottom line abused customers. in unprecedented move, the fed got involved ordered the bank to restrict its growth until there was improvement in corporate governance and controls. california congressman brad sherman asking for justice for customers who were wronged. here is one exchange about legal recourse. >> congressman, in the situation of retail sales practices mission takes we made, our customers don't need to go to court -- >> so you're smart. they're dumb. you have their doctors at heart. they have lawyers. they want to go to court and you're telling them they are stupid for warranting to go to court? reporter: part of the abuse was found in wells fargo outlandish sales incentives that led to the following, 1 1/2 million unauthorized deposit accounts that were opened, 565,000

unauthorized credit card accounts were opened, customer credit ratings were ruined. sources say wells fargo employees who tried to report problems were fired. here is wisconsin congressman, sean duffy, himself a wells fargo customer. >> has wells fargo undertaken reforms to fix the problem? >> we have. >> is the problem fixed? >> it's fixed. >> it is? okay. i'm surprised because as you come in talk to congress i'm shocked that you're not in an orange suit and a little jail cell testifying today. reporter: that was the point of a lot of these hearings. if any individual had done what wells fargo did as an institution somebody would behind bars. as for the changes, tim sloan says listen we've done a lot. there is new board in place. he is the only employee of wells fargo on the board, very different from the makeup of a couple years ago. he says the company has been reorganized. risk and compliance are taken out of business units. there is better system of checks and balances. imply east gone through

retraining with a focus on ethics. senator elizabeth warren was not in the room today previously called on wells fargo to replace tim sloan who took over once the bank scandals have been public. he is long-time employee. senator warren written to fed chair jay powell advocating the ouster of sloan. wells fargo down slightly but in the past 52 weeks much worse than the s&p 500 drop at same time. back to you. connell: deirdre bolton in the newsroom. we watch the hearings all the time. you will definitely see grandstanding. looks like we saw some of that today. at same time wells fargo was caught doing stuff pretty rough for customers. melissa: absolutely. it seems like it has gone by. they bring somebody out for the tongue-lashing after the fact. what does that do for the folks? connell: guy wasn't running bank. deirdre said he worked there. but wasn't running the bank. melissa: anyway. economy at risk. flue warning from president trump by the rise of socialism in the u.s. why he says the

progressive push will have dire consequences in the nation. cheating, have you heard this story? dozens of wealthy parents and hollywood stars accused of carrying out a nationwide college admissions scam. it is huge. there is bribery. there is test cheating, all kinds of stuff. judge andrew napolitano, fox news senior judicial analyst on the legal fallout. that is next. ♪ some only call when they have something to sell. fisher calls regularly so you stay informed. and while some advisors are happy to earn commissions whether you do well or not. fisher investments fees are structured so we do better when you do better. maybe that's why most of our clients come from other money managers. fisher investments. clearly better money management.

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connell: really some story that broke today. authorities are calling it the largest college admissions scam ever. prosecuted by the department of justice. the actress, felicity huffman and actress lori laughlin are among those involved. 50 people involved. indicted see grows, actress, college administrators, coaches you name it all in a nationwide cheating scandal. it involved wealthy individuals paying up to $6.5 million to place their children into elite

universities. the judge joins us. andrew napolitano. fox news senior judicial analyst. kind of i don't know unique, different than what we've seen in the past, part of it was just paying someone to take a test for you. we have seen. obviously a crime. >> right. connell: in other cases bribes were paid to coaches so they take a slot for athlete. the person paying the bribe, parent, don't even have a athlete. what do you make of this? >> well, it's a serious crime because use of internet mails to fraudulent document. child's head -- connell: child doesn't play soccer. >> here is my child's application. she got 800 s.a.t. score in literature. that is perfect score. in reality she got something less than that. evidence seems overwhelming. there are emails, texts, there are phone conversations. this is a massive conspiracy, but one of those conspiracieses

where not everybody knew each other. think of it as bicycle wheel. he knows everybody but all the conspirators didn't know anybody. some of the children, not children anymore, doughnut didn't know what their parents did to get them in schools. connell: schools in many cases are saying, i would think it is believable, maybe the schools didn't know. if you bribe a coach, as, this is an example in the indictment, a soccer coach now resigned at yale, women's soccer coach, gave them 400,000-dollar bribe. get as girl to be on the team doesn't even play soccer, but the school will claim we didn't know about this we thought this was one of his recruits. should they have known? >> yes the school has duty to know the integrity involved or the absence thereof in the admission of students. connell: that is the next step in all of this. >> correct, correct. how about these kids that have

graduated and some gone to law school or medical school? are their undergraduate degrees defective? connell: what if they didn't know in does it matter? >> i doubt that anyone will harm a hair on the head of the students who were innocent in all of this. in fact the government has chosen, as far as i can tell, one of the documents is 300 pages long, the government has not indicted any of the students. they have indicted the people who received the money and peel who paid the money. connell: one other question, one other topic, one other question on this, what if a student didn't get in, yale example -- >> "punk'd" by somebody -- connell: only certain amount of slots. the coach told me in email i was good enough to be on the team but they didn't have any slots yet. do they have any recourse. >> depends on the school and that is difficult case, difficult case to prove. i didn't get into yale but i got into harvard. what are your damages? waiting for melissa to come. connell: she is happy harvard

wasn't involved. connell: where i went, fordham, we didn't have the motivation to get involved. >> where is jesuit school involved. connell: georgetown. >> bitter arch rivals. connell: i saw that i want to ask you about elon musk before you go. that case was pending a just a development. the judge granted sec permission to file a brief responding to elon musk, all about whether or not he should be held in contempt for a tweet. he was supposed to get his tweets approved. apparently did not. >> if he is going to argue as his lawyers did in part in the documents they filed yesterday that he has a first amendment right to say whatever he wants. he doesn't, he gave that right up when he entered into consent decree with the sec over comments he made last year. connell: one of the arguments he may make it wasn't material statement. because similar statements were made in the company's earnings report. is that legit? >> no.

it it is legit to make those arguments but would i have advised making a mea culpa. elon musk is elon musk. i have admiration for him because he bucks system and is successful. he will get his fingers burned. a fine and more restraint not jail time what is he allowed to say publicly. connell: will hear more from a the judge, never hear enough, college admissions scandal. appearing on "bulls & bears" at the top of the hour with melissa and crew. melissa: big payout for uber drivers of the company paying $20 million to settle a lawsuit ahead of its ipo. in the suit drivers argue that uber classified them as independent contractors rather than employees in order to avoid paying minimum wage and so they didn't have to provide benefits. the settlement covers drivers in california and massachusetts who drove from august of 2009 through february of this year. connell: big day for scandals here. socialism appears to be growing in popularity on the

left. now, president trump sounding the alarm on that. we're bringing you his latest comments own the subject after the break. with my annuity, i know there is a guarantee. it's for my family, its for my self, its for my future. annuities can provide protected income for life. learn more at retire your risk dot org. to be nobody but yourself in a world which is doing it's best to make you everybody else... ♪ ♪ means to fight the hardest battle, which any human being can fight and never stop. does this sound dismal? it isn't. ♪ ♪ it's the most wonderful life on earth. ♪ ♪

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melissa: growing movement on the left with millenials but president trump is warning against the rise of socialism saying quote, you always have to be careful because socialism is easy to campaign on but tough to govern on because the country goes down the tubes. here now is dan mitchell, center for freedom and ross parity chairman and liz peek, foxnews.com columnist and fox news contributor. liz, i will start with you. the most amazing thing to me is that those that are advocating socialism either don't know what it is technically or they're deliberately ignoring it. it is a power grab where the

government takes the means of production and takes all the assets and then doles them out to people. it is not about the people. it is about government power. >> that is exactly right. it's a fraud. you basically promise people all kinds of things, including equality, equality of outcomes, not equality of opportunity. sure you produce equality by basically dumbing everyone down to the same level. what is so offensive to me the big push of socialism by bernie sanders or aoc is not backed up any concrete examples where it works. aoc talks about scandinavia. you look at history of sweden very good example they embrace socialist policies, went from fourth richest capital nation in the world to 14th. they started to have to dismantle the socialist infrastructure because it wasn't working. time after time it doesn't work. so why doesn't it work? it ignores completely the incentives that human beings

respond to. incentives of a better life, more freedom, profits, yes, the dirty word profits, et cetera. that is what drives people. socialism basically ignores all that. melissa: yeah. dan, i think one of the things they don't realize is, you may start with this nice idea where you're taking money from the rich, give it to the poor. the government takes over everything, starts distributing it. once there is no reward for work or innovation human nature, people don't work out of the goodness of their hearts. all of sudden you see what happens in venezuela where resources have become very scarce, and there is hoarding, eventually violence just in a struggle for sure is vile. is it possible because some say, no, no, you can stall along the way and stay at that point where government is handing stuff out and people are still blissfully happy. it doesn't have to go all the way to venezuela point? how do you respond to them. >> you're right, you don't need

to become venezuela and be sweden and still have a decent economy. you might not have great incentives but so long as you're paying attention to demographics you can survive but liz was totally right. sueden used to be one of the richest countries in the world. it has fallen simply because the burden of government is too big. here is what i say about donald trump's tweets. governing under socialism is is fun until, until, you run out of other people's money. as liz pointed out that happened to sweden. we saw in 2009, 2010, it happened to greece. it is happening before our eyes in venezuela. sooner or later, you go downhill and the more you're a socialist, closer you are to venezuela, the harder the fall is going to be. melissa: liz, aoc gets away with saying she is for the people but when she says i'm the boss, that's the truthful moment because she saying, i want to grab everything from facebook and technology and everybody who is wealthy. then i will decide who gets it. she will be the boss and she

will have all the power if you follow, what she wants and become socialist. >> that is exactly right. it is urge to put technocrats, bureaucrats in charge of all kinds of decision making, better made by marketplaces. that is really kind of the crux of the issue, right? again i don't understand why these people don't look at history, don't look what happened in the soviet union, which was communist, not socialist but nonetheless has many things in common. denmark, sweden, greece, you can really look at so many examples because guess what, the marketplace figures out what you want to buy, what you want to sell, what the price should be. that is much better collective decision making than the bureaucrat like aoc. melissa: dan, owe you extra one next time. sorry we have got to go. thank you. connell: senator elizabeth warren is continuing the call to break up the big tech companies. founder of instagram is weighing in on that. live in austin, texas at south by southwest to hear about that

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elizabeth warren suggestion of breaking up the big tech companies has become a big topic of conversation at a gathering. hillary vaughan is there in austin, texas with the latest for us. >> instagram cofounders pushing back against senator elizabeth warren's plan to have regulators retroactively reject facebook's acquisition of instagram. >> i imagine the sci-fi version of this which is the time travel where i have to go back and unwind the instagram acquisition from ever happening. >> you heard it first elizabeth warren time traveler >> the collie say that every company is -- the cliche that every company is a tech company is increasingly true, so breaking up techs and having those conversations, i think those conversations would lead to better policy if we're specific on the problems we're

trying to solve and specific on what the intent would be. >> warren called for big tech takedown on social media. facebook temporarily took down the advertisements. warren calling them out in a tweet saying curious why i say facebook has too much power, thanks for restoring my posts but i want a social media marketplace that isn't dominated by a single -- facebook has put the ads back up even though they maintain they violate their policies because they use facebook's logo without their permission. connell? >> i love the technicality. that's why we took them down. >> thanks, hillary. >> because you used the logo without permission, not because we are facebook thought police. delete facebook. >> you have already done that. it may have been on twitter, but on social media today warren was making conservative friends. >> now the world is ending.

step too far. >> they were retweeting her tweet because they say this stuff has happened to us. >> amazing. >> that does it. kind of a split day on the markets. see how tomorrow goes. thanks for joining us, down 96 on the dow. >> big cheating scandal. we have brexit. a lot of news today. still more tomorrow. here's bulls & bears. david: we have breaking news, felicity huffman the actress due in court at this hour. she's known for her role in the hit tv show "desparate housewives," expected to make her first court appearance, she and 12 others were arrested this morning charged in alleged college admission cheating scam. also involving actress lori laughlin of full house fame. this is bulls and bears. we're bringing you the details on this major scandal. here's our panel:.