herkul us. strictly on call and this company is poised to break out. >> i wish i had time for adam and ben. in the meantime the cost of freedom continues. >> tax hikes and a key report showing the economy is growing slowly than thought. the big reason why. tax hikes kicking in. and some at forbes say we need tax cuts to get our economy booming again. i am dave asbin. welcome to forbes on fox. we'll have steve fosh and rick and elizabeth and mike and bill baldwin. >> tax rate cuts are always a good idea. reduce the price, risk taking and success and this is the way to get the economy moving and

does good things for the balance sheet. when people see prospects for growth they upthe value of assets. >> rick, this is the weakest recovery that we've had since world war ii. 2.3 million fewer people are working now than the recession. please don't blame it all on bush? >> i had forgotten about him. i have a vague memory. i would love to agree with steve. i don't like to pay taxes anymore than the next person does. there was a in- depth study by the congressional research that was skwalch by the republicans who ordered it and that survey shed that over the 40 years cutting taxes. >> oh, no, it doesn't. >> yes, it does. >> you will get an argument. >> we have our study and you have yours. >> it was the national research

service. >> john, the growth was estimated 2.4 percent and the latest figure 1.8 percent and a tremendous drop. how much did tax hikes play in that? >> they don't help. taxes are a price and a penalty placed. if you want more you reduce the levee. we should still reduce them because tax cuts enhance our liberty. >> that's one reason, don't they bill, enhance productivity. >> my colleagues are proposing a phony tax cut. that means it is paid for not reducing the size of government but running government up on a credit card. phony tax cuts stimulate nothing and have a psychological affect making businesses and consumers thinking we are going the way of greece and no hiring and no

spending. >> emac, there is nothing phony about a tax cut. i don't know what a phony tax cut is. this is a tax cut. this is what we are recommending. >> of course, it would help. none other than john f. kennedy said it would help. u.s. news and world report were so astonished with the canadian tax cuts. they put on the cover. kennedy cut taxes and the jobless rate sunk to three percent and you saw rapid economic growth and saw it also in the reagan years. i say turn the u.s. in a tax haven like ireland and you will see the economy boom. we tried everything else and why not this. >> we have been printing money like crazy. the stock market when they got the news of the economy slowing down they boom, ben bernanke would print more money and that is not helping. >> no, it is not.

and that is why personal take home pay per capita is the same point as it was in 2011. false economy where the fed came in and botched the credit markets hasn't helped and what we must do first and foremost, get rid of obama care. the surtax on invest sxment medical dwois tax and payroll tax for medicare, they hurt job investment and creation. >> the cost of borrowing goes down and the cost of doing business increased because of all of the new taxes and regulations, right? >> again, it is the price on work when you pay on income tax. profits and proys for success and capittal gains and when you lower the burden on those good things, you get more of them. the idea of targeting tax cuts that is soviet style central

planning. remove the barriers for the american people and they will pick up the ball and run with it. >> we haven't mentioned obama care and there is a long list of taxes instituted and making a lot of people hold on to their cash, isn't it >> obama care raises the cost of investing for companies because profits will be reduced by the imposition. economic growth is simple. reduce the barriers to productivity and one other thing that we have not tried. stabilize and strengthen the dollar that workings beautifully with tax cuts. i say we try it again. >> rick, flexible spending and not allowed to deduct as much as you used to. i have to tell you since i was paying more in that account, i am spending less and i bet there is a lot of people like me. >> you may be right. we are seeing a reduction in health care spending.

i told you bill baldwins really smart. >> (laughter) >> they go from them to smart. >> if you have to reach back to the early '60s and the kennedy years. >> do the math on reagan and on clinton. oh, come on, look at the democrats all over tax cut. i love how the democrats dismiss tax cuts and touting tax credits for oughtios or cash for clunkers and you can see the economy react. >> the biggest group hurt in all of this is the small business. they are the biggest job creators. the big cooperation can do fine tis not a problem. we are seeing more small businesses fail and they are the primary jobtors. >> we have to talk about a problem here. is there any movement to cut

taxes across the board? will the president sign off on all of the additional taxes from obama care? >> no sadly, this money believes that the money you are allowed to keep is a loss to the government. it is what you make on line two, send it in. he will not push it. later this year, the house of representative led by the house ways and means committee, david kemp and others are coming up with a radical tax simification. >> he said you have to start with tax cuts because you have to starve the beast. you focus in on spending they will find tricky way of spending. starve the beast by cutting taxes. >> i think starve the beast was a reagan- era person. he said three ways that government damages business

spending and one way is reach in paychecks and take your money and the other is print money and third way bond. they are all bad. and swapping from one to the next doesn't help any. >> bill has a view of the world. lower the prices and good work you get more and dynamic economy that overcomes a lot of stu pidity from washington both on the balance sheet. mortgage rates, jumping. we have someone here saying it is great news for your home's value. a flip side, next. 1972. [ all ] fort benning, georgia in 1999. [ male announcer ] usaa auto insurance is often handed down from generation to generation.

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we are experiencing extreme weather in the country. severe flooding in upstate new york. one woman is missing and presumed dead after flash floods swept away her mobile home. emergency crews looking for more possible victims and in the west, temperatures are spiking through the roof. mercury expected to be in the 110. death valley, california, it could reach 130 degrees. be careful, folks. an american killed in egypt. the victim was a 21-year-old college student from maryland reportedly one of seven people killed in the violent protest. egypt bracing for larger demonstrations, tomorrow. i am jamie colby, for all of your latest headlines go to fox news.com. >> big news, mortgage rates

surging from 3.93 last year to five percent. that is a big jump. a lot of folks believe it is bad news for home sales and prices. emac, you say that is great news. >> it is great news for the housing market temp really. it will get people up off their seats to look in the lower rate. pending home sales in may rocketed higher because people tried to look in the affordable mortgages now. and that's what the realtors said. >> mike, is it great news or bad. >> emacis right. i think it is going to slow down the rate of the growth we saw in home prices because the economy itself is weak. incomes are not rising and gdp was revised downward and people are not hired. that will decrease demand and only thing goosing home prices. >> you are saying it is

indicative of a bad economy is not a good one, what do you think, steve? >> the federal reserve will get out of the credit markets and stop suppressing interest rate. lending standards are getting more reasonable. but like the old soviet union. food was free but you couldn't get. it mortgage rates are easing up. and so bill, good news on the housing front if>> it is bad news for housing prices and good news for senior citizens trying to live off the interest and good news for the economy. we'll be spared a housing binge and hang over. >> john, i am confused. cope it simple here? >> let's hope it is bad news for housing lest we forget we ran in

serious economic trouble in 2007 and 8 when there was consumption in the housing and nothing to do with economic growth. people are putting it in businesses, we'll see the actual economy grow. housing is not economic input. it is consumption. >> john said it is bad nows for housing and that is a good thing. >> did i say that bill baldwen is a clever guy. let me take that back. >> see how fickle. >> i think emachas it right. if you want to get in the housing market and sitting around when rates couldn't be lower, you get what you pay for. they better get in there now. it is only going to go one way. nemac, this begs the question. this is a short- term shot-in-the-arm. people will get in and banks will be reluctant to allow too much renegotiating of the mortgages. >> i hear what you are saying

about the renegotiating with mortgages and again, we have that shadow inventory and i think we have leeh way time to get rid of and people are going to refinance and i agree with john tamny. the federal reserve is trying to deflate the bond bubble. it is hard to control the ten year yield and 30 year yield when you are trying to deflate the bond bubble. it is like having a balloon whip around back wards. >> it is co to getting the credit markets working again. when you have a normal economy and stable dollar you have one and half million starts. housing would be helped with a normal credit market and people who understand. >> i have to go to john tamny. most of their wealth is caught up in people's homes. they want prices to go up and homeownership and you are

a private sector and automatic religious about the private sector. isn't it better to have ownership in what they live in? >> it makes them less mobile and we have to remember, housing is soaring in the known cents. >> wait, it makes them less flexible about moving around. if you have a depend housing market it makes it easy tore sell your property and move? >> it does. when housing is doing well it is bad for the economy. it means less money is flowing for commercial ideas this is not a free market in housing. it is a government driven market in housing. >> that is a relative term. >> get the government out. >> housing is doing well when people are earning more that is good. but when fed is printing money it is a bad thing. >> mike put it in context for us. >> and the government turning to

the nfl to help the health care law and we will be sacked with higher medical bills. that is in the bottom of the hour. forget about happy hour at your bar. how about happy hour at the desk. more companies allowing workers to hit the bottle at work. is this a dangerous business plan. >> to alcohol. a solution to all of life's problems. as your life changes, fidelity is there r your personal economy, helping you readjust along the way, refocus as careers change

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and forbes

>> raise a glass at work to raise the bottom line? an increasing number of companies reported letting workers drink alcohol while on the clock claiming it helps the workers get the creative juices flowing and causes them to stick around the office longer. i wish my boss would believe that. we know the series mad men that is very popular that shows people drinking in the office and there was nothing wrong with it then and you say nothing wrong with it now. >> the good old days they had it right. if it gets people together especially after hours and at the office and bringing people together and you are getting ideas going and putting people on the same page. becoming friends. they are going to the bar

anyhow. >> the problem is in this age, one person do too much and then they will sue the company and you have huge lights there. you can'tine serve pizza now. the mayor of new york will hit you from that. >> john, the moment and idea of getting sowed. would it be a good idea for the work place? >> to each business it is to each their own. probably fosters a greater corporate cult xur people are talking about ideas as rick said. it is something to encourage. if people are happy at work. they are more productive. >> but if they are weaving down the hallway, are they productive? >> steve is right. paint a bull's eye with a sign that said sue me. it is a playground for tort lawyers and sexual harrassment cases, too. >> emac, would it help. time magazine.

time magazine the night before they put the magazine to ped, they roll through the aisles with liquor cart. >> it is delivered copy to their tables. they are boozing it up at noon. and i liked the job and delivering the copy. i like what rick unger said madmen and look at autoworkers who got trouble boozing on the job. i wont want a drunk to put my car together. >> the fact is, rick, you have a doctor, would you want your doctor drinking before prapting. nobviously not. it was drinking that put john ta mny and elizabeth all on the same page. nsteve, one thing you didn't talk about specifically. do you think that it would help or hurt the worker's ability.

>> if you have to have booze to get your mind going. do it after hours and do it in bartender is liable. >> steve, you are a writer, you should know better. >> clearly, i have to admit in my career, there are a couple of times, lunches where wine was poured froel. i can't say i was more productive. >> i can't either and i have those lunchions to this day. but in general, it is it a work voirment. stove didn't hear that. >> steve, everything that happens here stays here. we have your word on that. >> absolutely. >> john, you are safe. >> coming up, the forbes list of powerful celebrities on line. most powerful celebrity stocks that you will only get right here, that is coming up next.

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>> here it is. news stands on monday. first, get our exclusive celebrity stock. tiger woods, what stock corresponds to him? nany ke. and they are making up for slow downs in china and europe. great sales in north america. they are coming on strong and i buy it when it is cheaper. >> i think you want a up and coming stock somebody like emma stone who pitches for revlon. my favorite make up. >> you like eh mma stone. >> ron pearlmonwill want you to tinder it for $12. >> go from john store. what is the company he represents. viacomis a machine that transforms fame in cash and works for the share holders and

john stewart. >> you like it. >> no. cash flow is down and debt is going up. >> that's it for forbes on fox. keep it right here with eric boling and cashin' in. >> uncle sam calling on major log football and nba to tout obama care. without them, medical costs will sore. still more prove we need to let the clock run out on obama care before we take it. >> what you see is what you get. i am not an actress. >> paula don't endorsement deal gets fried but not everyone is dropping her like a hot potato. and her bock sales are sizzling. could it help her rise again? cashin' in starts cooking