>> it is still to play on the equipment side. >> that's if. that will do it here. david with forbes on sox. have a wonderful weekend. take care. we always think of companies going broke. but could your town go bust as well? that is a nightmare facing stockton, california. public pensions are out of control. what is the solution? we'll go in focus with victoria barrett. and john standy and elizabeth and morg an. >> vicki, are the unions a problem? >> they are a big problem. numbers are staggering. california counties alone 136 billion in unfunded liabilities . you know, the unions are in the business of preserving unions and so politically, they will make certain tweaks

to pension plans and get great headlines for it they are simply tweaks you talk about introducing 401 k plan to public sector employees with long-term positive implications and fix problems, pensions will not do it. they will put up a nasty fight. 401 k's put them out of business. >> rick, the pensions are out of control. >> it is interesting. it is tweaks when it is someone else's income. here's what no one wants to focus on. los angeles, california. public unions sat down with the mayor and worked out a modiction and put the city back on the right footing. lexington, kentucky they reached a dl . mayor of detroit, mayor sat down with the public unions. what you are seeing is unions responding to the crisis and

more than willing to sit down and do something about it it makes for better politics to pretend they don't want to do anything about it and that they are greed yefat. >> it is not that some people are making good effort. rick mentioned california. california is growing broke . detroit is almost bankrupt and largely because of the pension funds. >> yeah. yeah. >> they only do it when they have to. in 2009, that was a key point in time. public employee union members out number private unions. do they support the campaign and sit across and do the negotiations and politicians sign up for the losty pensions and they will be long gone and out of office david, by the time the contracts come up and the people hardest hit are the retired.

years down the road. higher property taxings kick in and they can't afford them. very easy for politicians to promise the sky to unions because they will not be there when the unions bankrupt the towns or cities. >> i whole are the hadedly agree. you can't point your finger in one direction at the unions causing problems in the city. in stockton, california is a great example. during the housing boom. we saw lawmakers overbudget and overspend and higher tax revenues that never came. >> it was the union's problem? >> no, lawmakers and the unions and we are seeing unions sit down and start to negotiate in many cities. destroit was a pace. >> come on >> and (talking all at once.) in new jersey, teachers fought like a one percent commitment to their own health care and they want free health care for life. >> we have to go to the

numbers. and that is emack. >> mike is right. government unions are in bed with the politician and that is like putting the cat among the pedgions. only four states can cover the pension obligation. government workers are baskly paid by taxpayers . so they are flooded with red ink right now. if they were not to do the eight percent guaranteed return that the government workers are promise exclude put it down to five percent. you would see california, illinois and new jersey tipping in the red. they are making false promises. you are not guaranteed promised benefits for life. i believe yes, people like cops, firemen and teachers yes, fund them. but the other jobs in the private sector, no, you shouldn't be promised anything. >> john, is it the public pensions that are part of the problem. >> i agree with mike. public sector unions are not

bankrupting the but politicians are. they dekraai gry but they allocate themselves better mandates and unions are a symptom of this. if we want to reign in the unions, we must reign in the politicians to apportion more and more of our money. >> vict toria, politicians are always going to spend money that is not theirs. you can pin point the public sector unions. >> no? >> i know, they are in there every day arguing for their member to get higher shares of government budgets and that's what we are seeing happen. in california counties, the share of municipal spending going to fund pensions doubled in the last 10 years and so what you are going to see. fewer firefighters and fewer teachers, because we are paying for pensions. >> rick, the fact is, we run out of the money.

obviously if it hits you, it hurts badly. what do you do if you have no more money. >> the great oz said it. don't renegotiate the deals until they have to. if i quote nancy pelosi. duh? who goes to ask for a cut this their pay before they have to. >> rick, i hear what you are saying, but there is nothing in the law that said they can be pensioned a - promised a pension . they should have can 401 k. and you can't outrun the math on what is going on two or three trillion is the estimates of what is owed for the government benefits. states take up 15 percent of the gdp where it is five percent gdp. >> mike, sometimes you can modify the arrangement that the state has with yunce. look at mitch daniels in indiana, it was much harsher

than what scott walker did in wisconsin and it seems like he turned the state around. >> governor christie in new jersey did the same thing. he balanced two budgets without raising taxs and he got the democrata-controlled legislature to modest increases. and the problems is unies have monopoly power. >> easy for you to say, david. and the average working family trying to meet their mortgage can't get a competitive bid on working their town. >> morgan, let's concentrate on what works and what seems to work is what indiana did. changing their relation and a right to work state . new jersey changing its relationship with public sector unions as well >> yes, that is the point. unions are in many places starting to come down. and they were dragged kick screaming. they didn't want the change in

indiana or new jersey. >> they were dragged kick scream the changes are come that's because new lawmakers are come nothing the office. >> what wisconsin is going through with the recall of the gov and everything is focused on public sector unions. who is going to win. >> ultimately who is going to lose is the taxpayers. >> really? >> if we are concentrating on the symptoms, we talk about governments raise too much money and we give them too much in taxes and they give unions gold-plated benefits. it is the ability to raise revenues and spend them and then unions will not be a problem. >> focus not so much on the relationship with unions but focus on the tax situation and local governments are taking from taxpayers. >> i absolutely agree that part of this is a tax side of it. and this is an amazing thing in california. where governor jerry brown said i want to raise taxes in

the state. it is a high tax rate . i am going to introduce 401 public sector workers. and they will not let it go through because of the 401 k. >> kick last word. >> and ultimately. what you pay for, too. you want more productivity. hallways can shoot an arrow and not hit anybody. >> one bank is feeling the heat from their own customers and why the cashin' in group said don't blame the bank. blame the fed. >> and democrats are calling for a tap in the emergency stock pile. history shows that will send gas prices higher in [ horn honks ] hey, it's sandra -- from accounting. peter. i can see that you're busy... but you were gonna help us crunch the numbers for accounts receivable today.

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issued for northern florida and georgia. these are the latest warnings after twisters killed 32 people in four states. yesterday, the weather service issued 269 tornado warnings and that is hundred more than all that were issued last month. keep it on fox news.comfor all of your weather updates. republican caucaus goers in washington state. voting at 1:00 eastern . latest poll shows mitt romney in the lead and trailed by santorum and newt gingrich and congressman paul. i hope you will join me at 1:00 for the latest news on the caucaus and all of your news today. keep it on fox. gas prices are going higher and demdeps are getting louder. they want to dip in the emergency stock pile to make

prices dip at the pump. you say it will not work, why not? >> it usually doesn't work. the main reason gas prices are high our counter in chief tim geithner is printing funny money. if you want to see the oil prices go down. there is a good analysis by michael pinto, make the short term interest rates. value of oil will go down 25 a barrel and gas prices will follow. >> ignore the quip and it was a quip that counterfeiting. but rick, what about releasing the oil reserves. >> it is more about the threat of releasing. mike makes a point about the dollar and i buy into that. if we could get the oil speculators under control because they are contributing $20 to the price of every

barrel of oil. only way to do that and only tool in the box is to convince them we are prepared to fight it by letting loose of the oil reserves. >> emac, would it work in >> drill baby drill was send a more powerful message than draw baby draw. and so you know, we saw it, mike is right. we saw it with george w. with gas at 2.93 and same story under clinton when he did and george h. w when he did it. democrats even admit it there is not a supply issue it is fear and iran and strait of hormuz. >> it didn't work in the past according to emac and will not work now. >> set aside a fuel guide. and that is for if we go to war. oil, released oh, that is a

bad idea and only politicians would think of it. last week, demand for gasoline was down sevenpercent from a year ago. reducing demand is higher prices. number two, you need prices to be high yer that will get us to pull back. >> morgan? >> no, it is short-sight short term. we saw this last year when oil was released in the market. prices came down two weeks and went back up to over the prices they were at before the announcement came. it is a short-term aid. >> it sounds great. it sounds like flip a switch and suddenly oil prices come down. is that true? >> no, it is a waste of time. oil is expense and i have the dollar is cheap. but sell ever barrel because it serves no purpose. we could be at war or peace. we would still consume their oil throw it bubbles nup west

texas. to have that is ignoring basic economics. >> if oil lower prices. why not drill more? wouldn't that lower prices as well. >> you are talking to the wrong guy. i don't have an allergy to drill. we could drill beyond every denist office in america and everywhere you look. and it is not going to have the impact everybody would like to have the impact. ask conservative economist. >> wait a minute. wait a minute. key stone, the key stone pipe line would deliver a third on the daily basis of what iran. >>ly and half or. >> i hear what you are saying. >> the president is worried about the jimmie carter and bring us back to bell bottoms and because of the str is not an policy.

>> coming up that. is great. >> it is fantastic. >> it is enjoyable. >> it is. >> and it is awesome. >> the stars sang praises for neil cavuto and he's back on the fox business network . only place to see live election ruments and live market reaction from all over the world. your money is primary and neil is on it. and up next. rick santorum calling president obama a -- sob. he said it is a bad invest: that flip side is next. man: 1939 -- my parents ran across an ad

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rick santorum taking heat for saying not all kids should to. college isn't worth it for most kids .

>> rick santorum catching flack for telling folks not all kids need a four year college degree. critics say college is a good investment. but ky said otherwise. >> it is only good if you are trying to provide your alcohol tolerance and good investment it is not for you. most people are not getting the bang for the buck. they are offering 55000. >> and return on investment say it is not a good deal.

>> i can't believe we reached a time when we talked about a college education based on return on investment. it is not all about money. we don't have to overdramatize it. if college is what you want, it should be available. trade school is what you want that's what you should do . over the top response is foolish. >> we are in a tuition bubble and american family getting slammed by fat cat academics who think they are donald trump min i mes and running five-tar cafeterias. bill gates and michael dell and richard branson never graduated from college . i like finland and germany and sweden. go for trade school and apprenticeship. >> and look at you have john mackey and founder of hotel

foods and rachel rays and none of them went to college or finished. >> they are the most talent amazingly brilliant people in the world. but for regular folks like me, college is an answer. unemployment rate 8 percent. only four percent with people with college degree. you will earn one million more with a college degrees. >> and the point is, you don't have to go to college to be successful. >> you don't. you don't. and yet, we are in a society that somehow says that said a college degree means success. rick said earlier, you shouldn't go to college if that is not a good fit for you. we are in a society . challenge something he said. somehow, being a waiter with a college degree in history is a better outcome we think societally than a plumber. we need to put pride back in trade.

>> okay, that is the last word from viktor yampt and coming upment informers might not be able to push down the prices in the pump. but they say they can pump with acorn, next. by a certain date. you always have homework, okay? i don't have homework today. it's what's right here is what is most important to me. it's beautiful. ♪ ♪

they'll refill your wallet after filling up your tank. you like that united health care group. >> they acquired two more florida plants. analyst like them as well >> we like them at news corp. >> hundred billion in revenue . only a nickel on the dollar to the bottom line. and pick by stock. chemical mining company and 21 cents goes to the bottom line and that is a good fertilizer play. >> if you like chemicals, you like the stock emac. >> here's the issue. they have a good plan. and they need those for the

iphones and this is pricey and i would go for -- >> commodities is going up. that will make stocks like this a buy. >> i would wait for it to come down. it is pricey. >> and cute, cute, cute. this is an index of all . tech. you believe tech and apple and they'll will go up . this is the stock to buy. >> it is great to get a good shot at apple and google and microsoft. that squares people. there is that question and emac said it is cheap. it is trading at 52 week highs . any chance it will turn in a bubble?