jon: details on what looks like a shooting rampage in nevada. jenna: "america live" right now. megyn: several people have been shot at a nevada i hop restaurant. quoting a sheriff in carson city nevada.

trace gallagher has been working to learn more on this. we'll go to him now. do we know anything. >> reporter: we are working the sources here. we have confirmed the sheriff's office in carson city says there has been a shooting at an international house of pancakes 35 miles south of reno, nevada. a gunman walked into this ihop and opened fire reportedly with a semi automatic weapon, and that as many as seven people may have been shot. we do not know the severity of the the injuries. we do know there are a number of ambulances reportedly on scene, that traffic in both directions has now come to a standstill. there are reports conflicting, one says the gunman may be down, others say the gunman may be in custody. those are not confirmed, those are local reports. we have confirmed, yes, there has been a shooting. the number as we all know in these early case incidents, me

megyn, because the information is very fluid here and clearly this is about 35 miles from the major media source that can actually go out and bring us pictures. we don't expect to have pictures for at least another 15 or 20 minutes in this case. we do know there is a life flight helicopter on the scene. we do know there are a number of ambulances also on the scene, and we also understand that a number of first responders, including the sheriff's department and local police have also shown up to this international house of pancakes. we are now working on the numbers, working on exactly what the status of the gunman is in this case, and trying to figure out exactly how many people involved in this shooting. the reports now as many as seven. one report says eight, again these are unconfirmed. as we get more information on this megyn we will bring it to you throughout the hours of "america live." megyn: before i let you go, what time of day did it happen? it's 1:02 hear pm in the east.

>> reporter: two minutes after some:00 here in the west, megyn. we believe this happened about 20 to 25 minutes ago. okay it happened at 9:00am local time. so it happened a little over an hour ago in this restaurant in carson city. you can see there on the map, carson city is very close to the california-nevada state line. people who know the area know that reno is up there, lake tahoe is up in that area. that's where we're talking about here. we've got responders coming from california as well as nevada and we should have much more information on this in the minutes ahead. megyn: i'm sure tv crews as well heading to the scene to try to find out what happened and speak to eyewitnesses. as we learn more we will bring it to you. trace gallagher, thank you very much. as soon as we know more facts about what is happening in carson city we will take you back to the story immediately. fox news alert a new low for president obama's poll numbers. just ahead of his big jobs speech which happens now in two days. welcome, everyone, to "america live." i'm megyn kelly.

less than 24 hours after previewing his jobs plan to supporters in detroit there is new evidence that president obama is facing an uphill climb. according to the abc news "washington post" poll only 36% of voters approve of the president's handling of the economy. 62% say they disapprove, and it gets worse. when asked about the direction the united states is headed, 77% say they believe we are on the wrong track in this country. to echo those polls the markets turned sharply down and there are a couple of reasons for that, we are down about 200 points right now. stu varney host of varney & company is my guest now. a little earlier today we were down more. now we are down 200. is this linked to the zero growth we saw on friday. >> reporter: yes it is. it appears we are on track for recession and there isn't much confidence that the president's

speech thursday night will get us off that recession track. we've had two months of very bad news on the economy culminating in the zero jobs report for the month of august and stocks are way down. as i said, there is no confidence that the president in his speech on thursday night will be able to turn things around. publicly in detroit yesterday he hinted at a big, new stimulus plan, building roads and bridges and railroads. well that has not gone down very well with investors because it didn't work the first time around. and there is a suggestion that it will to the get through congress any way. and that plan is really a political ploy. then you throw in the on going chaos in european i mean chaos, the banks are looking very shakey over there and they are in recession, you couple it together and you've got a 200 point loss for the dow today following a 253 loss for the dow last friday. investments heading south. megyn: stewart, how do you know that that is what is driving it? you look at the european markets

and you see them hemorrhaging, i can see, okay we're doing the same. we are all connected. how do you know, people think the stimulus failed therefore he's stalking about stimulus there, so i'm out. i'm going to sell if i'm on wall street. >> reporter: you can follow the news events and watch how the reaction comes through in the investment world. when president obama yesterday stood up in detroit and spoke openly about an infrastructure plan you could see from what's called the futures market that the future price of american shares, you could see them start to fall almost immediately. similarly, yesterday morning when we have news that the european banks were in trouble you could see those futures coming down again. so you can link news events immediately with what happens on the market, that's why you can say that today's decline it largely the result of no confidence in the speech thursday night and what is going on in europe. megyn: and you can discern a little cause and effect there. stu varney, thank you sir.

america is making their message to president obama loud and clear. supporters of the president now suggesting that the president should go big in his jobs plan speech on thursday night, calling for billions, some are even saying a trillion dollars worth of new spending. we will discuss those suggestions just ahead. fox news alert unimaginable devastation and mass evacuations as dozens of wildfires rage across the loan star state. one thousand homes in texas have burned in the past week, one thousand homes have burned. and it seems that no one is immune to the threat. from the west and east to the panhandle in the south fire danger lurking in nearly every corner of the state. the levels high around the borders. the more central you go it is very high. and the further inland the worse it gets. extreme fire danger right around some of the state's largest cities. kris gutierrez live for us this afternoon. >> reporter: hi, megyn, dinner

december firefighters at the state and local level have responded to nearly 21,000 wildfires that have consumed 3.6 million acres. that is roughly an area the size of connecticut. six of the worst wildfires in text cast began this year. this fire is raging east of the capitol city of austin where it's consumed 30,000 acres, up to 600 homes in 20 different subdivisions have been consumed by these flames alone. this fire forced 5,000 people to evacuate. another thousand are expected to leave their houses today. the fire is zero percent contained this afternoon. no word on how it started but 250 firefighters are working around the clock to put it out. listen to this homeowner here, listen. >> i'll tell you, we left our house and about 30 minutes later we couldn't even get back to it. it's moving probably 8 or 10 miles an hour across the

ground. so, you know, god help us. that's all we can do right now. >> reporter: can you even imagine? tragically we've learned that two people have been killed because of this wildfire, megyn. there was a 20-year-old woman and an 18-month-old little girl trapped inside a mobile home by the fast moving flames. megyn: horrible. there is no containment on at least the largest fire that they are looking at down there, kris, thank you. there is a potential turning point going on right now in the amanda knox case. she is back in an italian courtroom today appealing her 26-year prison sentence in connection with the murder of her roommate. after an independent report slammed the handling of dna evidence it is now the italian police who are on defense. senior foreign affairs greg palkot is live in london. amanda tpho*rbgs studying a broad, her roommate meredith k

kretcher winds up dead. there have been serious problems in particular with the dna evidence that they have found in the appeal of this case. greg. >> reporter: exactly, megyn. in fact it was not, we said they said day in that courtroom. today it was the prosecution, the government trying to defend its side of the story asserting that the dna evidence that they have found links the 24-year-old amanda knox and her boyfriend, to the murder of that british student, meredith kercher. the two were convicted along with a third person in 2009. that was a 2007 killing. the defense has claimed throughout the summer during this appeal that the dna found on the murder weapon, the knife and kercher's bra clasp was not conclusive, was inadmissible. the latest we're hearing right now from our fox news producer on the ground is that the

prosecution might spring yet another surprise tomorrow, they might be asking for a deal breaker third test of that dna evidence. it was hoped the appeal might be wrapped up by the end of the week, that could string this out for a couple more weeks. i asked her too exactly what was the feeling right now in and around the courtroom, and the feeling is, we are told, that the conviction could be overturned. we are even told that the family of amanda knox, her father is there, her stepfather is there is even making some plans about what would happen when amanda knox might be coming out of jail. there is one more thing here, megyn, that is the prosecution could appeal a overturning of the conviction. nothing is easy or simple in the italian justice system. megyn: thank you. my conversation with best selling author douglas preston. he's been following the trial very closely. he became an expert on the italian justice system in connection with a major best-selling book he wrote, monster of florence.

you will hear him make the case to have the conviction thrown out immediately. i will ask him about the weaknesses in his argument as well. texas is burning, folks. a massive wildfire destroying hundreds of homes across the state. we're saying up to a thousand now. mandatory evacuations underway near austin. coxing up new twists with the situation on the ground. we'll have a live report. never before seen images from 9/11. footage from a decade ago showing the aftermath of the crash of flight 93 in pennsylvania. we'll show it to you just ahead. and an entire village comes together to catch a massive one-ton crocodile. we only had a picture of the beast yesterday, today you'll see the video. [ male announcer ] it's a fact: your nutritional needs can go up when you're on the road to recovery. proper nutrition can help you get back on your feet. three out of four doctors recommend the ensure brand for extra nutrition. ensure clinical strength has revigor and thirteen grams of protein

to protect, preserve, and promote muscle health. and immune balance to help support your immune system. ensure clinical strength... helping you to bounce back. ensure! nutrition in charge!

if you think even the best bed can only lie there. ask me what it's like when my tempur-pedic moves. talk to someone who owns an adjustable version of the most highly recommended bed in america. ask me about my tempurpedic advanced ergo. ask me about having all the right moves. these are real tempur advanced ergo owners. find one for yourself. try your friends on facebook. see what they have to say unedited. ask me what it's like to get a massage any time you want.

tempur-pedic brand owners are more satisfied than owners of any traditional mattress brand. ask me why i'm glad i didn't wait until i'm too old to enjoy this. start asking real owners. treat yourself to the ultimate sleep experience and save up to $400-during the tempur ergo savings event. plus, visit tempurpedic.com for full details on our 4 years special financing. don't wait-the tempur ergo savings event ends october 16. visit tempurpedic.com now. temur-pedic the most highly recommended bed in america. megyn: fox news alert. we are getting our first pictures from the shooting at an international house of pancakes restaurant in carson city, nevada. trace gallagher has a little bit more.

we are getting a few more details on this now, trace. >> reporter: we've been on the phone with the sheriff's department, megyn. they are telling us now at least five people have been shot and four of them, maybe four to five are critical. that is what they are saying now. the fire department there in carson city is saying the number is seven, but that has not yet been confirmed by the sheriff's department. we also know that this did happen at the international house of pancakes. you can see it there in carson city about 30 miles southwest of reno, nevada. this of course is the state capitol. we know that that ihop, international house of pancakes is about two miles away from the state capitol building. we were just kind of wondering what the reason would be for targeting this international house of pancakes. apparently the gunman walked in at 2 minutes to 9:00 west coast time this morning and then opened fire with a semi automatic weapon, and as we have said shot at least five people, maybe as many as seven people. ambulances, life flight helicopters have been taking people to the hospital in reno,

nevada. chaplins have also been dispatched to that hospital, and the coroner has been sent to the scene of the shooting. you see it right there the ihop. we are still waiting for confirmation on the exact number and the severity of the wounds. as soon as we get that, megyn we'll get back to you. megyn: this is crossing the wires as you were speaking, trace, that the carson city sheriff is saying multiple people were wounded, which you mentioned, including the shooter, he said the person who authorities believe is the shooter has been transported to a hospital, quote, and is probably going to die. that is the latest according to the associated press citing the carson city sheriff kenny furlong on that. more on "america live" as we get it. trace, thank you. fox news alert this time those devastating wildfires, now tearing across texas. what a situation, folks. zero percent containment on the largest fire. and they are spreading into the more populated areas.

destroying about a thousand homes so far. texas governor rick perry just surveying the damage, calling the losses stunning. hundreds of people now living in shelters, unsure if they will have anything to return home to. take a listen to some folks here describe what they saw. >> i know i was outside working on my car and i happened to look up and i saw the flame -- not the flame, i saw the smoke so i grabbed my family and started gathering all my personal belongings. >> we didn't know where to go. it was to the point i couldn't see past my truck. the smoke was so bad that you couldn't see, you couldn't breathe. i'm scared, i'm scared to death. >> it was the blackess sky i've ever seen, blacker than any thunderstorm i've ever seen. we heard a propane tank explode, some hundred feet off, and it was just hot and heavy. megyn: joining me now on the phone is april with the texas forest service. april, thank you so much for

being here. does that remain the case, zero percent containment on the largest fire? >> that's correct. that's what they are reporting to us from the ground. we have lots of folks out there working hard. these fires really are dangerous forces of nature, so we are continuing the battle today. megyn: how do a thousand homes get burned? is it just moving that quickly? is it the winds? >> it is the wind. we had real active wind days on sunday and monday. we expect the wind to dissipate today, which could be a good day for us to make some progress on some of these blazes. we have 33 active large wildfires, over a hundred acres each burning throughout the state right now. megyn: when we look at it on the map, i don't no if you can see our tv, we are showing the viewers how much of texas is facing this danger right now dealing with these fires. one wonders, how do you begin? you can't have the actual man power on hand, can you to fight that number of fires across that many acres? >> we bring in people from across the country to help us with firefighting, but also with

logistics and finance and all the things that go into this response. this has been a marathon for us. we've been at it since november 15th. we continue to respond. we've got 54 available aircraft out there today. in addition to really important resources like doizers and engines. the u.s. forest service is on several of these fires and we're responding as quickly and efficiently as we can. megyn: talk to us about the loss of life. i've read two deaths on sunday. can you update that for us? >> i don't have much information on that. i believe it's under investigation. but certainly a tragedy out there in moore county, and we are really encouraging folks to take heed of evacuation orders, even if you're not being told to evacuate, if you see smoke, if you feel that your family or your home is under threat go ahead and get out of there. megyn: don't wait. what happens now as the fire moves into closer, more populated urban areas? >> we're really just trying to

educate the public, like i said, these are dangerous forces of nature, they can move quickly, they are destroying homes. this one in bastrop as destroyed more homes than any other fire in texas history. we are under a severe drought. it's not looking up. we do think we'll have a lighter wind day but certainly the grass is dry out there and conditions are ripe for wildfires. megyn: property can always be replaced, life a different story. april, all the best to you, good luck. >> thank you. megyn: just as a footnote, folks the latest wires are reporting that texas governor rick perry is now saying he does not know whether he will participate in this republican debate that is supposed to take place tomorrow night because he went off the campaign trail back to texas to deal with this tragedy that we are watching unfold. those who are keeping abreast on political developments might find that interesting.

cecilia ingram lost her daughter to leukemia. two years later she kept going on about it to the people she worked with. the meaness, cruelest boss? we'll discuss that in "kelly's court." will the dna in amanda knox's case be the key to getting her released? why one man following this case closely says this case is on the verge of collapse. >> she is anxious. she is glad that court is back in session again. it's been a long summer for her, knowing that she's innocent, and, you know --

megyn: fox news alert we now have video from the shooting out in carson city, nevada at an international house of pancakes restaurant there. trace gallagher learning more details on exactly how this went down, who was behind it, and who

was in danger, trace. >> reporter: megyn we'll show you the video, we are getting our first eyewitness accounts of what happened on the scene there. a man who owns a local barbecue place that is in the same strip mall as the international house of pancakes gave the reno gazette a detailed run down. he said a machine got out of a blue minivan, he walked up and shot a man on a motorcycle with a semi automatic rifle, that's when he walked into the international house of pancakes and he began firing on the customers inside there. again, the numbers are still very unclear at this point. anywhere from five to seven. then he walked back outside, continued firing. fired shots into other businesses, and bullets may have actually entered into the fandango casino just across the street. the sheriff is reporting the gunman then turned the gun on himself, either shot and killed himself or shot and wounded himself. as we get more interviews and pictures, megyn we'll bring them on this developing story now in the capitol city of nevada.

megyn: trace, thank you. president obama under pressure to, quote go big on his jobs plan in his address to congress this thursday. the big speech coming on the heels of the latest rounds of disappointing poll numbers for the white house. according to a new abc news "washington post" poll just 36% of voters say they approve of how the president is handling the economy. 62% disapprove. simon rozenburg is a former clinton campaign adviser and director of the new democrat network a left-leaning think tank. thank you for being here. maxine waters wants a trillion dollars in new stimulus spending. paul krugman talked about how the stimulus is the way forward it doesn't matter how much it adds to the deficit right now it will correct itself in the long term. you're hearing more and more from the left, the president needs to listen to that, he needs to spend his way out of this problem, and that he should not be listening to the tea party, and to the republican who

say it's the time for fiscal austerity. make that case. >> sure. and i think by the way one of the other people that's made this case is ben bernanke the fed chairman who two weeks ago made a speech saying there needs to be short term stimulus from letting the economy go down further. it's not just left-leaning politicians. we remove the quantitative easing and the stimulus package last year when the republicans won the house in 2010, that those things were keeping the economy growing, right we actually have had 18 months of job growth. it's not as much as we want but it's certainly a lot better where we were new and a half years ago. when those things were removed, and with the shocks of the japan earthquake, you know, and the high gas prices that the economy started to slow down. if you cut spending further in the government what all the economists will tell you is it will slow the economy down. what classical economists are saying is a little bit of

stimulus now may boost things and get the economy back on track. that is going to be the big focal point of the debate this fall between the two parties, no doubt about it megyn. megyn: in if that is the case do you believe that president obama believes that? >> i do, because i think the stimulus plan worked. and i know this a lot of people watching this show don't agree with that but when the president came into office we were losing 700,000 jobs a month. we have actually had for almost two years net job creation every month. so things are substantially better, and i think -- megyn: adding zero jobs to the economy is not good but it's better than losing 700,000 a month. let me just ask you my follow-up, which is if president obama, you believe really believes what you believe, which is we need more stimulus to turn the economy, genuinely that is what is needed, then why is he not likely to do that? even though the left is pushing him to go big, simon known really expects him to do it. i know he's probably going to

accurately deduce he can't get it through congress. he probably will not be able to get a whole lot through congress. why doesn't he stick to the ideology that you think he believes in and tells the americans this is what i actually want to do is fix it. >> the best politics for president obama right now is to make the argument 0 of what he thinks is going to be required to actually fix the economy. if the economy gets better he will probably be reelected next year. if the economy gets worse and what he tries to do doesn't work he probably won't get reelected. what i would do and has the best shot the next 12 months is make things a little bit better than they are now. i think that's what you'll hear from him. i think it will be about him going smart rather than going big. he needs to be smart now, his own re-election depends on the actions he and congress take over the next few months. if things get better he's going to have a good year next year, if things get worse republicans will have a good year. megyn: simon thank you. nearly ten years after 9/11 dramatic new video surfacing.

what could be the very first images showing the moments after those brave passengers took on the terrorists. we will have that for you shortly here. plus, yes we can was the winning slogan back in 2008. now we may be getting a preview of the president's new campaign for 2012, listen here. >> we're going to see if we've got some straight shooters in congress. we're going to see if congressional republicans will put country before party. [ male announcer ] it's a fact: your nutritional needs can go up when you're on the road to recovery. proper nutrition can help you get back on your feet. three out of four doctors recommend the ensure brand for extra nutrition. ensure clinical strength has revigor and thirteen grams of protein to protect, preserve, and promote muscle health. and immune balance to help support your immune system. ensure clinical strength... helping you to bounce back. ensure! nutrition in charge!

are you new to medicare? are you wondering about your options? with over 30 years of medicare experience, unitedhealthcare medicare solutions can help with the confusion. the annual enrollment period to switch your medicare coverage begins and ends earlier this year, from october 15th to december 7th, so now is a great time to review your situation. call now for more information,

megyn: fox news alert on this shooting at an ihop in nevada. we now have new video from the scene. according to police at least eight people were shot by a gunman who then turned the gun on himself. we are also hearing that one victim has been reported dead on rival at the hospital, seven others are reportedly in surgery. the shooting taking place this morning in carson city. we have been reading that the shooter allegedly came out of the ihop, opened fire on another restaurant and then shot himself, and according to one official was not expected to survive although that was a police officer not a medical professional. more on that as we get it. we are watching what could be the emergence of a new white house campaign strategy ahead of 2012. first democrats taking at the tea party in recent weeks. and a new message from president

obama to republicans in congress. listen here. >> we are going to see if we've got some straight shooters in congress. we're going to see if congressional republicans will put country before party. [cheering] >> we'll give them a plan and then we'll say do you want to create jobs and put our construction workers back to work rebuilding america? do you want to help our company succeed, open up new markets for them to sell their products. you say you're the marty of tax cuts? well then prove you'll fight just as hard for tax cuts for middle class families as you do for oil companies, and the most successful americans. show us what you've got. megyn: joining us now leslie marshal a syndicated radio talk show host. lar larson, a syndicated talk show host and fox news contributor. megyn: it's not too much the tea party, it's the congress the do nothing congress that is stifling his agenda.

whether you like the congress or don't like the congress, the numbers are not in their favor? they don't like the congress, the american voters? they don't like the president's policy the american voters. so could this be effective? >> i think it can, megyn and i actually think it's about time. in 2008 hope and change was effective. it was a different economy, and americans were in a different place. right now the president, i think, needs to be strong. i am very encouraged as a democrat always saying, hey, where is his mojo and i'm seeing it. megyn: he rolled up the sleeves and took off the tie and you saw a different candidate. >> yes, not only did i see a different candidate i think it's effective. the polls show americans are less favorable of congress and particularly republican in congress than the president and he needs to show how he is different from the republicans and he needs to be specific in calling them out on where he differs, and the ha poc here

pocwhat he sees. megyn: i assume you're on the side of the republicans and the congress, lars. might this be effective to demonize the congress? it's not me, it's the congress, they are the ones stifling my entire agenda. >> i consider myself one of those tea party sob's that james hoff in a was taking about. the fact is republicans should put not party but principles ahead. the principle of having the government spend us into more debt to try to do make-work jobs doesn't make sense. and the president talking about building infrastructure, the last stimulus was 830 billion and they only spent 30 billion on roads, bridges and airports. megyn it doesn't make any sense. this is really ridiculous. the president is trying to find somebody new to blame. he knows after two and a half years he can't keep blaming bush. he says, now who can i blame. i know i'll blame the party that

controls one of two houses of congress, that will work. it isn't going to work. megyn: i'll go back to you leslie, according to this poll that came out from politico and george washington university it says 22% of voters identify with the tea party, that is as a result of the battle over spending that we saw over the summer. while the tea party may have won that battle according to this poll they may be losing the war. it turned off a lot of americans, thus might the president's strategy work? >> well, i think the more important poll number was the one you cited earlier, almost two-thirds of americans think that the hope and change that president obama said he'd deliver, he delivered and it doesn't work. the baloney about making jobs, if we've lost 2 million net jobs over his new and a half years that is not the net gain. you've seen the private sector job creation it's not there. i know they would say if it weren't for the stimulus it would be even worse than it is now. that doesn't wash.

you have to put americans back to work. blaming congress,s president has a number of things he can do. we talked about them before that are entirely within the control of his epa, his interior department, oil leases and everything else that he can act on right now without congress. he has chosen in the to do so. megyn: how about it leslie, he can blame the congress, but he controlled the congress. the democrats controlled the congress for the first two years of his presidency. >> yes he did. megyn: that's for leslie. >> americans understand that. but americans understand, and lars, you know i embrace you, i love you, and you won't admit it ou've got to agree with me on this. left or right, it is not the president's job to create jobs, you constantly say on -- >> i didn't say it was. >> it's the private sector. >> i agree. >> but the private sector is not inch sourcing. i have not seen one jobs bill lars from your guys on the right. >> you cannot out source drilling for oil in the gulf. you cannot out source that to

india. the president could make that happen again. the president could sign off on the keystone pipeline from canada that is 20,000 private sector jobs being held up by government paperwork. the president could take the treaties, the trade treaties and send them over to the congress which he hasn't done. megyn: i've got to leave it a at that. thank you for being here. all the best. big developments in the appeals case of amanda knox. an update on that for you phoplt tear lee. we jus momentarily. plus we just got off the phone with officials in reno, nevada regarding the house of pancakes shooting. we will have an update on that. stay tuned.

megyn: american amanda knox is back in court hoping to regain her freedom after her murder conviction back in 2007. she was convicted of murdering her roommate meredith kercher in italy. there have been serious questions about the police investigation and the behavior of the prosecutor in that case. now new cries for justice from the family of victim meredith

kercher who believe that the victim has been forgotten in this case. yesterday i had the chance to speak to a best selling novelist who has been following the case closely and seen much much the evidence. douglas preston is author of the book, the monster of florence you know a thing or two about the italian justice system, and given your own experience in writing this book you decided it was time to take a closer look at the amanda knox case and you've been over it all since. amanda knox on appeal right now it's starting to look very good for her. meredith kercher's family is coming out and saying don't forget the victim. the dna that was used to convict amanda knox in the first trial was reliable and relevant in their view and to them you would say what? >> the kercher family suffered a terrible loss, unimaginable. they were further victimized by the prosecutors who convinced them that amanda was guilty.

and that they had a great case against her. and now with the appeals trial all this evidence that they used to convict her now appears to be erroneous, manipulated and in some cases even fraudulent. so the kercher family is in complete agony. i don't know what they believe now, but they must be -- they are just going through a terrible ordeal. megyn: the most important piece of forensic evidence in the case is the knife that was used to kill meredith kercher, she was murdered in her apartment. on that knife they found dna from the kim, right from meredith, and then they also found amanda knox's dna on the handle. this is a knife that was from amanda knox's boyfriend's house and it was found in her boyfriend's house. the theory is what is the victim's blood doing on the blade, what is knox's blood doing on the handle and what is the knife doing in amanda knox's boyfriend's house.

this evidence has now been cast in serious doubt, has it not, douglas? >> that's right. now they are saying that this wasn't the murder weapon at all. in fact at the crime scene there was a bloody print of a knife which does not match this one. the prosecutors are saying, oh, there must have been two knives. now it turns out that the dna on the blade of this knife was nonexistent. the experts examined it, they said there is no dna on the blade of the victim, and that the result that they got was from contamination or perhaps even manipulation, so there is dna on the handle from amanda knox but she used the knife 4 her boyfriend's kitchen. it's not actually dna from her blood it's only from her hand, use of it. so that is not surprising. it appears that this knife is completely worth less as evidence. megyn: these were suggestions that you and others had raised even before the independent panel of experts took a look at the dna evidence which has been done in part obviously because amanda knox appealed her conviction and also there's been

a growing thing in italy in particular about whether this girl amanda knox an american was given a fair trial or whether there was a prosecutor who for some reason had it in for her, and was blind to evidence pointing him at other suspects for some reason. >> well that's right. in fact eleven members of the italian parliament wrote to the president of italy and demanded an investigation of this prosecutor saying that they believed amanda knox had been treated very unfairly, and imprisoned wrongfully, and that the evidence coming out now was shocking, in that it showed that the prosecution had, perhaps, manipulated the evidence to convict her. these are eleven italian members of parliament. what i wonder is where the heck is our state department that is supposed to be protecting american citizens abroad? we have not heard one word from hillary clinton on this. i mean i think americans really need to start writing the state department and say, look, you need to investigate this.

there's been a travesty of justice, an innocent american citizen has been in prison for four years, and even the eye tal januaries are protesting. megyn: but now if i'm meredith kercher's family he are i say to you look amanda knox bizarre statements, her behavior was bizarre after the arrest doing cartwheels out front. in her diary found in jail she writes she with us not even in the apartment at the time of the murder. two statements she gave to police and during a bugged telephone conversation with her mother she apparently said she was in the apartment. she admitted she was phoebging marijuana a lot that night. she didn't remember anything. the story hasn't been totally consistent, douglas. >> no, it hasn't. you know, she certainly has been a very confused young girl, basically, very naive. but she gave those compromising statements after a 14-hour interrogation by 30 cops in which she claims she was struck

by them, and there is a lot of reason to believe that that is true. now the police are by law were required to videotape or audiotape that interrogation. they say they forgot. give me a break. i know perfectly well that they created an audiotape which they've since destroyed, i'm sure, because it would show that she was corersed coerced, threatened, hit. the compromising statements were made under extreme duress. megyn: you know this prosecutor, from personal experience. has he not been found guilty of abuse of process already? >> he's been convicted, he has been sentenced to 16 months in prison, and one of the great mysteries of this case is why he is still functioning as a prosecutor, why he himself is not in prison serving his time. megyn: they have a pass the trash system in italy when it comes to these rogue prosecutors, they don't get disbarred they get pushed to

another jurisdiction which we've seen with this guy. you can make your own decisions about what is going on in this case. this prosecutor has some problems in his past. douglas, always a pleasure speaking with you. thank you for your expertise on it. >> thank you. megyn: coming up next a reporter live from carson city on the mass shooting there. we are getting new details. that's next. angela ] endless shrimp is our most popular promotion at red lobster. there's so many choices. the guests come in and they're like yeah i want to try this shrimp and i want to try this kind and this kind. they wait for this all year long. [ male announcer ] it's endless shrimp today at red lobster. youravorite shrimp entrees, like garlic shrimp scampi or new sweet and spicy shrimp. as much as you like any way you like for just $15.99. [ trapp ] creating an experience instead of just a meal that's endless shrimp. my name is angela trapp. i'm a server at red lobster and i sea food differently.

megyn: hrefrt hrert on this ma fox news alert on this mass shooting at ihop in carson city, nevada. according to police the gunman has died from a self-inflicted gunshot wound. another eight people were shot by the gunman according to the police, one victim has died. brian dugan joins me on the phone. a reporter. please describe the scene for us. >> right now it seems to be a

scene of people are canvassing the parking lot of this strip mall. i spoke to one of the witnesses this morning, an owner of a barbecue restaurant which is aeu krorbgs it's abou across, adjacent to the ihop. he said a man showed up this morning in a van, got out, shot another man on a motorcycle, then walked into the ihop, opened fire with what sounded like an automatic weapon. the man came out, saw the owner of that barbecue restaurant and started firing at the restaurant also hitting a nearby tax business. from there he walked out, it sounded like -- the owner of the restaurant said he shot himself and apparently that is not true. megyn: apparently that is not true? >> now true. megyn: they said self-inflicted gunshot wound died from. is the ihop secure? were the people running out? what was the scene when the

shooting took place? >> that is still hard to gather. all the witnesses are being held inside of a mcdonald's nearby. it's been difficult to talk to some of them. still trying to get more information at this point. megyn: has anyone speculated, on the police' part does anyone know anything about motive. >> no, not known yet. we are expecting a press conference in about five minutes. hopefully we'll get more answers then. megyn: is there any question that he was the only shooter or that the scene is now secure. >> the scene is now secure. from what i've heard it seems like he was the only one, but i suppose we still need to get confirmation from authorities. megyn: any reports on how badly the other seven victims were wounded? >> i wouldn't know that yet. megyn: any information on their ages, or backgrounds? >> unfortunately not. there was a body covered on the grass of the ihop when i arrived on the scene. police are still investigating, searching for bullets, bullet holes things like that.

megyn: brian, thank you very much. let us know if you get more information, we appreciate it. >> thank you. megyn: folks breaking news in three minutes with new polls from scat rasmussen. our very first look at what happened in the moments after some brave passengers attacked the hijackers on flight 93 on 9/11. and what do you do after catching a 2,000-pound alligator? would you believe you go looking for its big brother? you will not believe this one.  [ male announcer ] it's a fact:

your nutritional needs can go up when you're on the road to recovery. proper nutrition can help you get back on your feet. three out of four doctors recommend the ensure brand for extra nutrition. ensure clinical strength has revigor and thirteen grams of protein to protect, preserve, and promote muscle health. and immune balance to help support your immune system. ensure clinical strength... helping you to bounce back. ensure! nutrition in charge!

the healthcare law gives us powerful tools to fight it... to investigate it... ...prosecute it... and stop criminals. our senior medicare patrol volunteers... are teaching seniors across the country... ...to stop, spot, and report fraud. you can help. guard your medicare card. don't give out your card number over the phone. call to report any suspected fraud. we're cracking down on medicare fraud. let's make medicare stronger for all of us.

megyn: fox news alert on this mass shooting we just learned happened an hour ago at an ihop in carson city, nevada. at least eight people were shot by a gunman who then turned the gun on himself. the gunman has died from a self-inflicted gunshot wound. we are also hearing that one victim has died at a local hospital there as well, seven other victims, we are told by

that same chief deputy, are in surgery at this hour. several reported with serious wounds. the shooting taking place, again, this morning in carson city. we are told the gunman pulled up in a blue mini van. he apparently had a rifle and shot a man on a motorcycle before walking into the ihop and shooting several others. we will have much more just ahead. another alert, we are awaiting the daily briefing at the white house ahead of the president's pivotal address on jobs. welcome to a brand new hour of "america live," everyone, i'm megyn kelly. we are expecting the press secretary, jay carney, to field a number of questions about the speech that is scheduled for thursday evening. critics are saying the president is searching for an economic game changer, something that may be impossible. bret baier is the anchor of "special report" and with me now. the stakes are so high on the president, in large part of his own making. >> reporter: right. we heard for weeks how important

this speech was going to be. remember, of course, that the president has had numerous opportunities since, really, the deficit and debt commission came back with recommendations back in december. then the budget rollout, the first budget and then the second budget, the state of the union, the whole deficit/debt -- or the debt battle with republicans ahead of the debt ceiling increase, and then we heard that this jobs speech was going to happen when it is, thursday night. it's been an interesting back and forth, the fact that senior administration official told ed henry earlier this week and last week that they don't want to downplay the speech, but it's not the be all/end all that's significant because for weeks we really did hear that it was the beall/end all. so we'll see. there are huge expectations for this speech. megyn: i know. there was an interesting piece today that suggested americans have teleprompter fatigue, that,

you know, they really need to hear something new or, you know, see words translated into actions to turn the president's poll numbers around because they've seen him. they've seen him give great speeches with great, flowery language. the white house seems to be suggesting, well, you know, don't expect the shock and awe, bret. they seem to be saying, in fact, now he's going to roll his ideas out a little more piecemeal than all in one speech. >> reporter: right, which is fairly shocking. and i'll be surprised if there aren't a list of specifics. you know, you have all these republican candidates, mitt romney, jon huntsman coming up with very detailed jobs plans. the president will probably roll out some policy specifics and mix in the politics, but the fact that they're saying it's going to come out in a number of different speeches, yeah, there is a fatigue, i think. and you see that this polls. the president's approval rating, how people think the country's on the right track or the wrong track. all of those numbers are not

looking positive for this president. and there are people who look back at health care as a decision this administration's critics say perhaps that wasn't the best choice as the first big policy push that this administration made. megyn: i mean, in the context of the president now looking at congress, exasperated and saying why don't you finally focus on jobs? the response is, where were you? why weren't you focused on jobs when you devoted so much time to the health care law and other agenda items? the white house feels that's part of the earth, so we'll hear -- effort, so we'll hear tomorrow night. by the way, you'll be there -- >> reporter: i will. megyn: not tomorrow night, thursday night. >> reporter: yeah. thursday night i'll be doing the broadcast coverage on the big fox and should be interesting either way. megyn: we'll be watching, sir. see you then. check out bret baier, 6 p.m. eastern time on "special report" monday through friday as well. brand new polls out on the economy, and according to rasmussen 65% of the folks

surveyed now rate the economy poor. just 9% call it good or excellent. scott rasmussen is an independent pollster. what is that, 9% of people think that the economy is good or excellent? who are they? >> well, you know, there are people, i guess, doing okay. but the number that should worry the president the most and anybody who's concerned about the economy the most is how people are feeling about their own personal finances. only 29% right now say their own finances are in good shape, and in answer to that question, are you better off now than you were four years ago, the answer is, no. when president obama took office, 35% thought their own finances were in good shape. heading in the wrong direction. megyn: they don't think they're better off than they were four years ago, and they don't think that in a year or so things are going to look much better. >> that's right. 52% say the economy will be weaker in a year, just 27% say it's going to be stronger. this poll was conducted half before the jobs report came out and half afterwards.

and the numbers after the jobs report came out were about ten points worse, 55% saying at that time that the economy's getting worse. so the perception is growing and, perhaps, gaining some momentum. and this is what we all have to be concerned about, confidence is so important to the economy. what is it going to take to restore some confidence and get people thinking there might be some more job creation? megyn: all right, now, then you also folks on a generic congressional ballot would you vote republican or democrat? according to your poll, the republicans have the edge here. what is it -- put this number in perspective, republicans 44%, democrats 37. >> well, the numbers are fairly stable, really, over the last year or so. what's interesting about it is when the democrats took control of congress back in 2006, almost immediately after they took control their numbers fell. they had a big lift when president obama was campaigning in 2008, but ever since april 2009 the republicans have had

the edge on this generic battle. puts them in pretty good shape to keep hold of congress in the next cycle. megyn: there's a pretty crow/george washington university poll that says democrats have a one-point lead on the ballot. >> there are all kinds of polls that will be out on the generic ballot, some are of likely voters, registered voters and in the all cases is the trend. the trend we're seeing is not much different from what we're seeing, and that politico story is not seeing a big change. we're looking more than a year to go until the election. the economy's condition a year from today will say more about what's going to happen. but overall, you have to give the republicans a slight edge to regain control of the u.s. senate just because of the way the seats are distributed, and they clearly have the edge to hang on to the house in 2012. megyn: uh-huh. time will tell. scott, thanks so much. >> thank you, megyn. megyn: got some breaking news on

the texas fires and the race for the white house. governor rick perry left the campaign trail yesterday to fly home and try to deal with these fast-moving wildfires in his state. state officials say that more than 1,000 homes have been burned in at least 57 wildfires in the texas over the past week. they are pushing into more urban areas where the population is more dense. now, there were reports after rick perry gave an interview morning that he was considering skipping tomorrow night's republican debate. moments ago his campaign said he has decided he will be there. and remember, just about two weeks from today fox news and google are partnering to host a republican presidential debate on september 22nd in if orlando, florida. bret baier will be hosting the debate, and yours truly will be on the panel along with chris wallace. and buck a part of it as well. -- you can be a part of it as well. submit your questions to the candidates. to find out how, go to

youtube.com/fox news. youtube.com/fox news. you just follow the directions there on how to submit or text a question, and you can be part of this debate. we're getting some really interesting submissions. and, folks, we will be asking these questions of the candidates on september 32 -- 22nd. so get your thoughts in now, and if you want to share your thoughts with me, you can do that, too, at kelly@foxnews.com. another fox news alert now, a major shift in u.s. strategy in iraq. defense sources telling fox the white house wants to reduce the number of u.s. troops there to 3,000 by the end of the year. defense secretary leon panetta has signed off on that. commanders had asked for between 10,000 and 15,000 troops. national security correspondent jennifer griffin has more live at the pentagon. jennifer? >> reporter: hi, megyn. well, multiple sources including several senior u.s. defense officials confirmed to fox that, in fact, defense secretary leon panetta has act acquiesced to a

request from the white house to, in fact, limit the number of troops that remain in iraq after december 31st when the status of forces agreement currently expires with iraq. fox news has learned that general lloyd austin, the top commander in iraq, had requested 10-15,000 troops, members of the joint chiefs wanted something in that ballpark. but panetta, under pressure from the white house, has recommended just 3,000 u.s. troops remain. while the president has not made a final decision and negotiations are still ongoing with the iraqi government, a senior u.s. defense official tells fox, quote, the white house has effectively reduced this mission to training only. 3,000 troops provide almost no ability for security operations, this official said. >> if this is a decision of the administration, i'm troubled by it because i worry that it actually takes a great risk. >> reporter: according to sources, most military commanders from the field have warned of the danger of drawing

down lower than 15,000 troops because of concerns that iran could fill the advantage coupe. megyn? megyn: jennifer, thank you so much. hold on, we're just getting fox news alert in on this breaking news in carson city, nevada, and can the news is not good. a news conference is supposed to be underway, and now we are hearing that at least three of the victims are dead. we're trying to get more information for you, we will have a live report on the very latest right after this break. plus, the fate of the u.s. post office hanging in the balance as that agency bleeds red ink. we will show you what the senate is thinking about doing now. and president obama says he is out to create jobs. michael reagan says he really means union jobs. he joins us live right after this break. >> that's the bedrock this country's built on. hard work, responsibility, sacrifice, looking out for one another. giving even a shot, everybody a

shot, everybody a chance to share in america's prosperity from the factory floor to the boardroom. that's what unions are all about. while i was away e-trade's techno-magic -- thanks martha -- triggered my stop loss orders... saved me a pantload.

[ crying ] oh great. every time i fly. my ears! swallow! [ male announcer ] upgrade to first class investing technology... at e-trade. if you think even the best bed can only lie there. ask me what it's like when my tempur-pedic moves. talk to someone who owns an adjustable version of the most highly recommended bed in america. ask me about my tempurpedic advanced ergo. ask me about having all the right moves. these are real tempur advanced ergo owners. find one for yourself.

try your friends on facebook. see what they have to say unedited. ask me what it's like to get a massage any time you want. tempur-pedic brand owners are more satisfied than owners of any traditional mattress brand. ask me why i'm glad i didn't wait until i'm too old to enjoy this. start asking real owners. treat yourself to the ultimate sleep experience and save up to $400-during the tempur ergo savings event. plus, visit tempurpedic.com for full details on our 4 years special financing. don't wait-the tempur ergo savings event ends october 16. visit tempurpedic.com now. temur-pedic the most highly recommended bed in america. or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today.

megyn: fox news alert, we have just learned that the death toll in this mass shooting outside of an ihop in carson city, nevada, is growing, and we are also hearing that at least a couple of the victims may have been members of the national guard. trace gallagher has the breaking details. trace? >> reporter: yeah. at least two of them were. in fact, members of the national guard, we do not know the severity of their wounds, megyn. the death toll is now three, if you can believe this. the police said the gunman has not yet been killed, did not kill himself. he is still breathing at a hospital, so that kind of figures into the equation here. we now know that at least five people are in surgery. eight people, not including the gunman, were shot. five are in surgery, three do not have life-threatening

injuries, and we do know that national guard members are among those eight. we just don't know exactly what the severity of their wounds are. if you don't know about the story, witnesses say that a man be in a blue minivan got out at the international house of pancakes in carson city, walked up to a man on a motorcycle and shot that person, then walked into the ihop, then began shooting other people. then walked back outside and began shooting at a man who owns a local barbecue restaurant, shot into that building, and there are some reports that bullets may have entered into a casino across the street in carson city. this ihop is about two miles away from the nevada capitol building, and two of those victims are national guard members. it could be three of them that could guard members. we also know the police just said they believe they know who the shooter is. they're not yet releasing his identity, but they know who he

is. they have not released a motive. those are the two big keys right now, why did he do it, who was he, and exactly what is the severity of the wounds of the victims, megyn. as we get it, we're monitoring the news conference, we'll bring it back to you. megyn: this is new information and different from what we were told earlier. we were told by a chief deputy that the suspect had died from a self-inflicted gunshot wound. trace, you're now telling us that the carson city sheriff's department is saying, that is not true, the gunman is not dead? >> reporter: we were told the very same thing, that the gunman had shot and killed himself. at the news conference just moments ago they're saying the shooter is at the hospital still breathing. he, apparently, is not expected to live, but for the time being he's still breathing. if we can get some clarity on that and the rest of this, we'll jump in. megyn: understood. thank you so much, trace. president obama says he is out to create jobs. just hours before he unveils his

master plans for doing it. listen here. >> we've got roads and bridges across this country that need rebuilding. we have got private companies with the equipment and the manpower to do the building. we've got more than one million unemployed construction workers ready to get dirty right now. [cheers and applause] there is work to be done, and there are workers ready to do it. laborer's onboard, business is on board, we just need congress to get onboard. let's put america back to work. megyn: our next guest says it increasingly looks like most of the jobs the president is out to create will be union jobs, and he's asking what about the rest of the unemployed? michael reagan is a political consultant and chairman of the reagan group. michael, on what do you base that suggestion? >> look where he gave the speech yesterday. it's interesting, the introduction that was made by jimmy hoffa, i mean, calling me, maybe you, a whole lot of other people across this country sons of bitches?

i heard that, and be i thought to myself, i need to send him a copy of cee-lo green's hit song. the rhetoric from that side of the building, the the fact he's talking about only union jobs, he's not doing anything to help business, the small business person. every time he talks about small business, he talks about raising taxes, not lowering taxes, he talks about more regulation, not less regulati. you know, if he wants to create jobs in this country, lower the corporate tax rate, get rid of some of these regulations, allow business to go out there and grow again. he's not going to grow it simply through the public sector but, of course, that's where his groundswell of support is, that's where his army is, that's where his voters are. megyn: well, he says he wants tax credits for businesses that hire. that would include small businesses, wouldn't it? >> well, i tell you what, let's see it. let's see the proposal. there's no proposal at all from the democrat side of the equation. they just want to yell and scream at the republicans.

it's interesting that really what he's talking about is the transportation bill. that's what he's talking about. well, the transportation bill passed in if april of this year -- in the april of this year. that was a 2011 transportation bill that should have passed september 30th of last year when his party, the democrats, were in charge. it's interesting that last year's, you know, big labor day weekend rally there was nobody calling the democrats sons of bitches. there was no president of the united states calling on the democrats to pass the transportation bill that put america back to work. we had to live with seven continuing resolutions until april of this year when finally the republicans passed the transportation bill and, trust me, they've never not passed a transportation bill in this country. we need more than a transportation bill. we need jobs in this country that are supplied by the private sector. megyn: but so many on the right have said what he really needs to do is get out of the way of the private sector, that every time he's try today med until the private sector, for example, in green jobs, he's failed.

that it's better if he stays out of that. >> oh, yeah. there's still 120,000 volts for sale. i mean, you look at some of these companies he's done press conferences at here in california, others, the green jobs, companies are absolutely going out of business. the only thing that keeps them in business is government subsidies that are out there. so he needs to get out of the way. every time he talks, every time hi gives a speech -- he gives a speech, the market tanks. if he really wants to help america, shut up! because if you shut up, maybe our 401(k)s and our iras will come back to us. megyn: michael reagan, thanks for your thoughts sir. speak to you soon. meet the man charged with safeguarding president bush on 9/11. inside air force one on the day america changed forever. ♪ >> i was frustrated that i was flying around the country, i was frustrated we'd been attacked, i

was frustrated the communication system wasn't working any good r good. naturals from delicious, real ingredients with no artificial flavors or preservatives.

naturals from purina cat chow. share a better life.

megyn: fox news alert, police have just confirmed now that two of the three people killed after a gunman opened fire at this nevada ihop restaurant were national guardsmen in uniform. extra security measures have been put in place on state and military buildings in northern north dakota as a safety precaution -- northern nevada as a safety precaution. we also just received these still images from the reno gazette journal. we will keep you updated as we get developing detail on this new story. it is one of the unforgettable images from 9/11; smoke rising from the field in shanksville, pennsylvania, right after the crash of united flight

93. now nearly ten years later, there is a new video which may be the earliest footage captured at the scene. trace gallagher has more on that. trace? >> reporter: in fact, megyn, a woman who is now collecting oral histories for the national parks service says she believes this is, in fact, the earliest video of the crash of flight 93. take a look at this thing. this was actually recorded just minutes after the crash by a man named dave. dave died this year, but i want you to listen as you look at the video and the thick black smoke, listen to him narrate over this video and how calm he was, and listen to the detail that he gives as he watches this video and the rest of what's gown finish going on in the world at that time. play this. >> i don't know what else has happened. they ran one into the pentagon and into the world trade center, and we're watching it on tv, and this one happened. a great big, black cloud just

mushroomed right up into the air , and it shook the house, shook everybody's houses. i wonder if there's anything left of lambertsville? >> reporter: yeah, i mean, he knew this was a plane because he heard it go overhead. you could hear him say it shook the house. he went and grabbed the camera, he got these images. he was kind of simultaneously watching television, the pentagon, new york and shanksville, kind of wondering what was happening next. is it the end, the beginning of this thing? remember, there were 40 passengers onboard flight 93. the plane hit the ground going 500-plus miles per hour, megyn. amazing pictures, we believe these are the first. megyn: wow. trace, thank you. >> reporter: okay. megyn: well, she suffered probably one of the worst traumas a mother ever can when her teenage daughter died. she went back to work, and her

co-workers added insult to injury. but does she have a legal case? that's in today's kelly's court. plus, president obama pushing a green economy. his administration offering up millions to subsidize clean energy. but has it created jobs? we'll take you in-depth on that one. >> that's why we took up the cause of a clean energy economy that will free america from the grip of foreign oil and generate millions of good-paying jobs in the process, green jobs at retrofitting old buildings, creating the batteries and other technologies needed for plug-in hybrids that can get 150 miles a gallon and will help to curb climate change. looking good! you lost some weight.

you noticed!

these clothes are too big, so i'm donating them. how'd you do it? eating right, whole grain. [ female announcer ] people who choose more whole grain tend to weigh less than those who don't. multigrain cheerios... five whole grains, 110 calories.

our neighbors putting their lives on the line. and when they rely on a battery, there are firefighters everywhere who trust duracell. so, look for these special pks to see how you can help your local volunteers. duracell. trusted everywhere.

megyn: this is an alert, police confirming that two of the three people killed after a gunman opened fire at a nevada ihop restaurant were national guardsmen in uniform, updating the story for folks that have not been following. nevada highway patrol trooper chuck allen said extra security measures have been put in place on state and military buildings in northern nevada as a safety precaution. we also just got these still images from the reno gazette journal. take a look at the aftermath of the scene there. we will keep updating you. earlier, i want to clarify we had cited an official out in if carson city as reporting that the gunman had died. at a press conference at 2 p.m., the authorities updated that

information to say that they belief he is likely to die from a self-inflicted gunshot wound, but he has not yet passed away. we will update you as soon as we know more. well, the president's green jobs initiative was once promoted as the cornerstone of the administration's plan to get americans back to work. but a growing number of clean energy companies are now in some very serious trouble. one picking up operations and moving to china, another filing bankruptcy just last week after taking a half a billion worth of federal loans. so has the green jobs plan failed? michael k. dorsey teaches environmental studies at dart mouth college and mark morano. mark, let me start with you, has it failed? >> it absolutely has failed. obama's promising millions of green jobs, and what we're finding is in some instances it's $million a job -- $2 million a job or half a million

dollars a job. across the board $80 billion of federal stimulus money went into the so-called green economy, and what we're producing is a sea of red ink from bankruptcies to companies moving to china to just things not panning out at all the way the president hoped they would. green jobs equals red ink at this point. megyn: michael, the new york times' david brooks did an interesting piece on this and went through a litany of green jobs companies that have really failed to create jobs for the american people despite receiving federal stimulus money in some cases or state money in other cases. a couple of them declaring bankruptcy, including 1100 now out of work, the company's bankrupt. the notion being this doesn't work, and it certainly doesn't create jobs, so why would we be invest anything this program? your response. >> megyn, david's piece is really great, and i'd encourage your listeners to read it. the fact is, though, green jobs are the fasters-growing set of

jobs in the whole economy. they're growing roughly about three to four percentage points, a full 200% more than overall jobs in the u.s. economy. that's where the future is, that's where really we're going to see development going forward and really green jobs, they're not about red ink, they're about building america, they're about looking towards the future. they're about doing things we do best in this country, and that's about a clean, green future that protects americans and the environment. megyn: clean and green? that definitely seems possible with a green jobs program, but jobs is the part that they're taking issue with, mark. >> yeah. the idea this is the fastest-growing sector, in spain they did a study for every green job created, 2.2 jobs were lost in the private sector. plus, when you put in $80 billion, you can create a great illusion of a lot of temporary jobs that end up fizzling out in the end. and in terms of a clean economy, the problem with this is ideologically, scientifically and environmentally it doesn't make sense, especially when you're looking at the government

banning energy that works, ie coal plants, environmental groups are bragging its stopping hundreds of coal plants while they're forcing windmills and solar panels on people, and we're subsidizing energy that doesn't work, banning energy that works. people are going to pay higher energy, we're going to have rolling blackouts. we need more carbon-based energy, not pouring it into boondoggles of solar and wind -- megyn: michael, the brooks piece which you said you liked points out, for example, general electric which wrote that its smart grid is going to be a net job destroyer, saying 28,000 meter reader jobs are going to be replaced by the smart grid's automatic transmitters. then there's this other company which the bulk of its employment is in china because the taxes and labor rate are cheaper there. how do you argue this is good for jobs? >> megyn, the fact is that, really, it's about a transition. it's about a transition to the future, it's about a transition to the green economy, and that

means that in the short run there will be job losses. david makes his point in the article, and he makes it clear, and that's true. over the medium term, the long term, that's where the growth is going to be, and that's where the growth is. megyn: but how? i see how we're losing the jobs in the short term and how you make the environment it's good -- the argument it's good for the environment. how are we actually going to create the jobs? >> can i'll tell you about a friend of mine who runs a company in california, they do solar installations on small homes and businesses, and can they've been growing like crazy. we've got to transition this economy, and we're doing it in the green sector. it's the biggest growing sector, think tanks agree on this. it's not a magical numbers game. the fact is right now this economy is in the doldrums. unemployment in d.c. is double digits, in many cities across the country it's double digits, but where do we see the growth? the growth is in the green jobs, that's a fact. megyn: is it? he seems to be arguing that the

demand will come as people get used to these products and want them, and then we will have more jobs created in this area. >> that's absolutely not the case. what's happening is the future, the future is green jobs and one of energy deprivation, energy poverty and rolling blackouts and higher electric bills and people dying in the winter from not being able to afford their heating bills, the idea that government can pick the winners and losers in this kind of technology and make it work is a proven failure, and we have examples from this littered all over the world. and it looks like the obama administration is going to do the old adage the more the plans fail, the more the planners plan. so the more evidence we get a failure, the more money and subsidies they're going to throw in. >> that's definitely not the case. megyn: i've got to leave it at that, because i'm out of time. good debate, gentlemen, thank you for being here. extreme weather alert, we just got an update on hurricane katia. it is now a category three storm

with sustained winds of about 115 miles an hour. look at that thing. forecast maps show kati aukes veering away from the united states mainland in the coming week, but the hurricane center says big surf could effect the east coast, parts of the bahamas over the next few days, so we're going to keep watching this thing especially the surfers. i mean you, grif jenkins. update you as we get it. well, this woman's daughter died of leukemia, and she was upset about it. even two years after her daughter died. her co-workers, apparently, were sick and tired of listening to her, and you won't believe what the boss did next that lands them all in today's kelly's court. plus, president bush using air force one as a command and control certain on the day that -- center on the day that changed the world. 9/11 through the eyes of the man who piloted the president's plane that fateful day. >> as i flew around, it dawned on me that we're the only plane left. i looked out the window, and we had armed escorts because you

don't want the president flying back into an environment that is dangerous, and if something were to happen to me, it would have been a major blow for the terrorists because they would have killed the president of the united states in a time of war. [ male announcer ] this is coach parker...

whose non-stop day starts with back pain... and a choice. take advil no and maybe up to four in a day. or choose aleve and two pills for a day free of pain. way to go, coach. ♪ or annuity over 10 or even 20 years? call imperial structured settlements. the experts at imperial can convert your long-term payout into a lump sum of cash today.

megyn: kelly's court is back in session. on the docket today, the grieving mother dubbed a distraction on the job. cecilia ingram lost her only daughter to leukemia back in 2003. devastated, she kept pictures and a pair of ballet slippers belonging to her daughter on her desk at work. about a year and a half after her child passed away, human resources told cecilia to take down those pictures and to stop talking about her daughter's death claiming she was making her co-workers uncomfortable, and the boss agreed. cecilia, absolutely devastated,

sued the company claiming that they had constructively terminated her and inflicted intentionally emotional distress. she has just lost her case. but was that the right result? let's ask our panel. criminal defense attorney joey jackson and mercedes colon. all right, joey, so cecilia works for this company, orr to mcneal pharmaceutical. and apparently, they believe the statute of limitations on grieving your child's death is two years because her co-workers and boss all say they'd had it. >> this is most unfortunate, megyn, absolutely. and i think the court here, they really kicked the ball. and what i mean by that is they said, look, people are rude, people are thoughtless, employers are rude and thoughtless, if we got involved in everything that involved personal conflicts in employment, we couldn't get anything else done. i think this is just the type of case that a court should be involved in. people lose family members all the time, megyn, and it's the most unfortunate, and it's the most tragic thing.

and for an employer to call her in and to say she's being disruptive because she's lost her only daughter when she's given them 12 years of her life by working hard for that employer is really despicable, and the employer should be held accountable and should not by in means be telling an employee they cannot only not talk about their daughter, but would have to -- megyn: right. she's got to take the picture of the daughter off the desk. it's not like the daughter had been dead for ten years. a year and a half. and they've had enough. well, sorry, but the grieving process doesn't end on somebody else's time frame. >> but based on the common law and the statutes out there, that's exactly why the judge held the way he did. these laws are not meant to be a general civility code. the judges, the juries are not going to walk into the employers and say we need you to treat this individual with sensitivity, we need you to allow them to grieve -- megyn: why not? >> but not -- only because the dockets would be exploding because so many of these issues

are out there -- megyn: but her argument was that the employer intentionally inflicted emotional distress on her. joey, she was arguing that, she says, she alleged that one co-worker said to her what else can we say to her that we haven't said already? and the boss said stop talking about your child, quote, because she's dead. this woman claimed she asked her boss if she was telling her to act as if tatiana didn't exist, and he allegedly implied, yes? >> beyond that you have to look at the statute. not only is it intentional conduct, but is it reckless? that is, do you consciously disregard the risk that what you're going to say is going to be so extreme and outrageous that it drives an employee, like it did her, to literally get out of the work environment? is. >> what he said, albeit callous and unprofessional, it wasn't extreme behavior. when it comes to intentional inflick of emotional distress, it's outrageous, it's extreme.

it's being super callous -- megyn: this is over the top. >> this is exactly the type of behavior, in my view, which the statute was invented for. megyn: let me ask you, i mean, i can see their point because, while i don't like how the employer handled it, you can't have, you know, employees constantly in tears, constantly stopping the flow of business in the workplace to talk about their personal issues. you know, if you let it happen with the one, then it's going to happen with another. can't you, is it legal, joey, for an employer to say we'll support you however we can, or forget it, even what this employer said, not we'll sport you, you just get yourself together. don't bring it in here. >> well, you know what? i'm very sensitive to that, megyn, and it's a great point. however, i think an employer owes a duty to the employee that is beyond that. the human resource director not only should be calling you in and saying, don't talk about that and, by the way, forget your daughter even exists, but in the alternative suggest some programs perhaps to grieve and counsel so that this person

could get some imp think and sympathy -- >> many of the companies have it. the company has employee assistance programs, they have those programs, there are therapists that this individual could have gone to. why is it the burden of the employers to provide it? megyn: and especially, mercedes, because it was co-workers who were allegedly complaining. the boss had to listen to all of the employees and, apparently, co-workers came in and said, can you, please, stop because i feel uncomfortable? >> so they say. as a result perhaps -- not perhaps, but it absolutely could have been handled more effectively. i think to get her into the type of counseling and give her the type of guidance that she needed would have been a more -- megyn: but, mercedes, did the employer have the obligation to do that? allegedly, the boss said if you need to talk about her, you can come into my office and speak of her behind closed doors. >> all he's trying to do is run a business, and he's saying to her if you need a sounding board, come in and talk to me. and that's what a manager should do if you have a problem

employee. come to me, discuss it with me, but don't distract -- >> however, however -- megyn: let me just ask you this question, then we've got to wrap it up. does she have a right to be assisted with her grief by the employer? if you have alcoholism, you can't get fired for that. that's something traumatic. do you have any protections when your affliction is extreme, debilitating grief? >> only if there's a mental illness attached to it. if she had said her grief was so debilitating that she's -- megyn: she said heart palpitations. >> but it has to be almost a mental illness for her to have some kind of -- >> buff it was a -- but it was a physical illness. i think an employer owes a greater duty and obligation to an employee. this employer was not, and it's most unfortunate. she should have gotten the recourse she deserved. this is a poor decision. megyn: how many opinions have we all read in employment law cases

where the courts say, the courts are not super personnel department. we're not super hr that gets to overrule decisions. guys, thank you so much. one final word, this employer did nothing wrong legally. the law doesn't require you to be a nice boss, nor does it require empathy toward a suffering employee. morality might, but mandating morality in the workplace generally doesn't work, and courts are loathe to enforce those kinds of laws. well, the rush to get president bush to safety. meet the pilot manning air force one on 9/11. next.

megyn: well, it was supposed to be a routine flight, but for the pilot charged with flying the president on 9/11/2001, it was a

day he could never prepare for. inside air force one, president bush looking down at a changing world. but who was the man tasked with the extraordinary mission of keeping the president out of harm's way that day? eric shawn, live in our new york newsroom, with more. >> reporter: hi, megyn. you know, it's the symbol of america in the skies on 9/11, air force one pilot mark tillman thought that the president's plane itself, code-named angel, was one of the terrorist targets. he flew president bush from sarasota, florida. >> we got word from the vice president and staff that angel was next, angel being the classified call sign of air force one. >> reporter: and that seemed to be very real. the warning came after controllers had said an unidentified aircraft was bearing down on air force one. >> as we got over gainesville, florida, we got the word from jacksonville center, they said, air force one, you have traffic behind you and, basically, above you that's descending into you. we are not in contact with them,

and they've shut their transponder off. and at that time it kind of led us to believe, okay, maybe somebody was coming into us in sarasota. they saw us take off, they just stayed high, and they're just following us. we had no idea what the capabilities of the terrorists were at that point. >> reporter: that turned out to be a false alarm, but tillman was taking no chances. >> i asked for fighter support, basically, if an airliner, if that's part of the attack, it'd be good to have fighters on the wing to take care of us. >> reporter: air force one eventually returned home safely, but when he landed, tillman knew the nation had changed forever. >> they caught us with our pants down. they attacked our country, attacked from within. it was a big deal to me, and i knew we had a lot of things to change because, you know, air force one was completely secure, but there were ways to get at us. so from that day on, our security changed tremendously. we had to make sure every little hole, chink in our armor had to be filled so we could protect the president. >> reporter: colonel tillman responded to several potential

threats on 9/11, thankfully, none of them panned out. and after all the commercial traffic was grounded, air force one and it fighter escorts were nearly alone in the sky above our country. tillman now flies the president of an american corporation in a smaller corporate jet, but the lessons of that september tuesday nearly ten years ago will always remain with him. megyn? megyn: wow. what a perspective. eric shawn, thank you. breaking developments this afternoon out of carson city, nevada, following a shooting inside of an ihop restaurant. we're getting more details next. let me tell you about a very important phone call i made.

when i got my medicare card, i realized i needed an aarp... medicare supplement insurance card, too. medicare is one of the great things about turning 65, but it doesn't cover everything. in fact, it only pays up to 80% of your part b expenses. if you're already on or eligible for medicare, call now to find out how an aarp... medicare supplement insurance plan, insured by unitedhealthcare insurance company,

helps cover some of the medical expenses... not paid by medicare part b. that can save you from paying up to thousands of dollars... out of your own pocket. these are the only medicare supplement insurance plans... exclusively endorsed by aarp. when you call now, you'll get this free information kit... with all you need to enroll. put their trust in aarp medicare supplement insurance. plus you'll get this free guide to understanding medicare. the prices are competitive. i can keep my own doctor. and i don't need a referral to see a specialist. call now to get a free information kit. plus you'll get this free guide to understanding medicare. and the advantages don't end there. choose from a range of medicare supplement plans... that are all competitively priced. we have a plan for almost everyone, so you can find one that fits your needs and budget. with all medicare supplement plans, there are virtually no claim forms to fill out. plus you can keep your own doctor and hospital that accepts medicare. and best of all, these plans are... the only medicare supplement plans endorsed by aarp.

when they told me these plans were endorsed by aarp... i had only one thing to say... sign me up. call the number on your screen now... and find out about an aarp medicare supplement insurance plan. you'll get this free information kit... and guide to understanding medicare, to help you choose the plan that's right for you. as with all medicare supplement plans, you can keep your own doctor and hospital that accepts medicare, get help paying for what medicare doesn't... and save up to thousands of dollars. call this toll-free number now. >> megyn: new information on an in story we told you about yesterday. residents and crocodile experts, look at the video! the thing is alive, they are manhandling it right here. massive one ton crocodile in the southern philippines and they got it. the croc believed to be 50-years-old is still alive. they plan to make