>> this was the year of obamacare. >> government shutdown. the government shutdown. john: i did notice that spending and i kept going on and poor people helped in our government lied and lied about it. >> no one is listening to your telephone. >> and many policies are eager to go to work. >> this is not the time to be a silent spectator. >> the left was eager to pass more gun control.

>> what we really need are clear goals. and everybody can complete on the same time. >> this is just what we see here. a new federal part. ifis just what we see here. a new federal part. if you wanted to get the state and county and city laws, you need to run a bigger building. we are now a sea of government power with ever shrinking islands of liberty

and still be affordable, cheaper. how could that be? magically we get more stuff for less? now some of the truth has come out, prices are up, some people lost coverage. the kato institute predicted that? are you happy? >> yes, we're happy to have been proved right. everybody knows you can't have the government, at least they should know, you can't have government central planning create more things for more people and have it cost less. we could have more stuff for

less money if we made people consumers of their own healthcare and had some skin in the game, if they had their own, if they were paying out-of-pocket for these things, but since we're not doing that, moving away from it, of course it will get more expensive. >> wait a second, people don't get that. people say these private insurance companies make a profit by having government man date that the profit isn't too much and organize things better, that that will be cheaper for all. payment is going. and when people are not personally invested in what they are buying,. >> my biggest concern is that it's been a disastrous and this is as good as obamacare will

get. and those programs were relatively efficient early on. and now we see that they are bankrupt and the rest of the country. and enjoy it now because obamacare will not get better. >> more americans are understanding this. until they own and control the health care dollars. john: summative videos and some were trying to get others to sign up. john: some don't realize that they are asking people to pay for geezers like me.

>> you think the disastrous rollout has kind of broken up younger people people like obama, it's like medicare and it's like social security. systems that are put into place for good reasons, but are screwing poor young people. john: i appreciate what you guys are doing. >> to spend it wisely. >> let's move on to government spending. in this year we had another partial government shutdown in the media suggested that some may not survive. >> a government shutdown could put those at risk. >> is not responsible. >> has already been cut to the

bone. >> there are no more cuts to make. >> we always get into this debate of what should we cut. and it detracts from the larger picture. because in the end that is not what is driving us down. it is the entitlement spending. and the research we conducted indicated that there's a wide appeal for entitlement spending and spending restraints. and i think of the politicians actually thought about it in those terms, they would have a policy. >> if inflation goes up, it could raise the social security payment? john: what do you think people are thinking? >> i think people realize that now that people are investing in 401k plans and we don't have that reliance on are heavily run by government entitlement programs. >> it is not a retirement plan, it takes money from young poor people. >> would be mean not?

>> and i think that -- you are not getting a payout that is tied to what you put in. >> when i talk to people, some say government is too big. >> then i find it upsetting. >> they don't know. >> i do want to point out a few people. they were quick to maintain this. >> what about the people that need them? >> that is what the state is for. >> anything non-authorized by the constitution. >> i am a poor person, i would find a way to eat.

>> i haven't heard people say this until this decade. this is a new concept. >> it's actually really fantastic. one of the great things it doesn't come out of this is that they crowd out private institutions and private charities that otherwise would come in and help people. and of course we don't want to do it alone. we want to help people in need. and these people are recognizing it and saying that the local church is a much better option. >> the next topic, and if they find. all three of you say that this is one of the biggest stories of the year. but i just don't get it. i assumed that spying was going on in our political enemy somehow read mike e-mail. and i made this list of a hundred things i hate more about my government then nsa spying.

libertarians trust me, they call me disgusting. and so please educate me. >> i think that you are part of this. they think the worst of government. they think the worst of centralized power to begin with. reason why the revelation about broad-based, widescale surveillance by the government of every transaction that you are having, it freaked people out. it is because that is not what the government has been saying to them. and they have been talking about we are not looking at your phone calls or your internet browsers or any of that. and it turned out to be wrong and these are things that outrage people. because it is such a disconnect between the public face of government and what it does.

and so suddenly they are spying on all of us. it is and his terrorist or foreign leaders. i don't think americans could understand that. that is why there has been this huge eruption about it. >> what kind of huge eruption? and certainly among journalists and all of the wired citizens in the country, lots of internet outreach. and has a cost and he won an election? well, we haven't had an election since this came out. but how does it cost the government a lot of the trust that it had built up? >> yes, the gallup poll has found. something like 65% of independents believe that the government has to much too much power and i think that is a tribute otol not only to the

demonstrable failures of government policy, but these disclosures. and people are bothered by this. >> there was a fear that's another is a realization. there is a military information complex. john: people do want to kill us. these are big data sweeps. >> we need to have targeted searches. >> they put it in the constitution. they said that we have reason to believe that in this address there is terrorist related activity.

>> we are always laughing in the shot of government secrecy. and you have to trust us when we say that we want to do this. and they said this is how we use the data in those cases do not rely on data sweeps, but where you infiltrating known terrorist we are never going to collect everything, and then we will have your chair is wrapped up with a bow.

>> so we know that they are serial liars about this. john: coming up next, his new idea, freedom zone. and more of the good and the bad and the ugly of 2013. we will have the next.

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>> this is not the time to be silent spectators to slaughter. >> we can stop children from being gassed to delta. john: they were, and adults, we did not intervene. what happened? we're back with our panel. what happened? >> what happened, the country did not want to go to another war in a muslim country. the president, and secretary of state, a lot of republican leaders made this argument. it is a compelling case, terrible things happening in syria. president said i don't need

congressional other to do this -- other to do this there was enough push back on that he said i'm going to congress to ask. it was clear congress was listening to the people, the people did not want to go into this war, they dropped it. >> rand paul happened, his push back, his leading the fight against syrian intervention gave congress a spine for the first time arguably since korea. they have always gone along to get along, that ended. 12 years in iraq, and 12 in afghanistan, and everywhere else, good luck with this one, we're not supporting it. john: buwe do have clear interests in syria. >> we do. that is the easy part, keeping chemical weapons out of the hands of terrorists. the harder part is what you do about that? a tyrant on one side, and a

rebellion camp myselfed by al qaeda on the other sid: we decio anything, you say good, all of you? >> right. >> probably. john: a probably. gun control, after newtown school shooting a big push for gun control. here in new york city, my friends, my own wife, said, how could you not say there should not be more rules against these weapons, yet no new legislation resulted. so what happened? >> i think what happened is that people recognize that you don't make good laws in the wake of a tragedy. which sandy hook was. john: people recognize that? americans ? >> yes. in this case, as you said, major gun control legislation did not go forward. >> they are pa are -- the mediae saying passa. >> people understand that over the past 20 years or more, there have been liberalized gun laws,

more people can own guns and carry them in more circumstances across the country, at the same time gun violence has gone down. >> guns are a cultural issue. east coast elites, liberal elites they don't like guns they don't know guns, in heartland of america, a lot of people use guns, mostly responsibly, they can give them to theer teenage kids, teach them to go hunting, a lot of the bloomberg hollywood access they don't understand that. they are surprised when the terrible things happen. and it does not cause the american people to say, we need to crackdown on guns. in fact, o opposition to strickr gun control has been going up. john: 2013 the year a major american city declared bankruptcy, i feared detroit is just a little bit ahead of the rest of the country. >> one of the problem for deetz deetzdetroit you had politiciand

union leaders, rubbing each other's backs, unions kept politicians in, and then they rewarded them with kushy pensions. john: indeed teat they kept electing politicians saying they would fix it now, instead, cnn got this one right. >> they turned city hall into a den of bribes and kickbacks making themselves rich. john: former mayor, charged taxpayer for 54 trips, limo rental, and nightclub charges, but some 50 cities have gone broke since 1980, usually it is just giving. %-money from unions and unionsg gets money from politicians, they sit down and engage in hard bargaining, that is where detroit is the canary in the mine for a lot of american

cities and states. >> it catches up with people, hopefully, other cities will learn from detroit and mend their ways. john: you pointed out in cities and state government, this groupon attitude, you can get a dollar but spend 60-cents. >> as long as you may 60-cents and good a dollar's worth of persevered goods out of, that you want more. this is happening on federal level, government borrows 40-cents of over colo over dollt spends. but we have to get out of that mentality, you cannot get a bargain for ever. john: let detroit be with a lesson. in the show, i puto my santa hat, tell you who was naughty and nice this year, good news about the year next, we ask you, to vote on what you want our panelists to discuss. we'll tell you which topics get to the most votes when we return. if you've got copd like me,

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john: on facebook we asked our audience to vote for the topic us would like or panelists to discuss, overwhelming winner, common core. most of america does not know what that is, they should government plan to make sure every government school has same standards. >> that is where common core state standard come in with the same rule everyone can compete on the same staircase. john: sounds like a good thing? >> really, why. centralization. all children are different. states have dftz po department population, a small group of eleetzists in washington want to impose a set of ruling on schools in 15,000 school

districts across the nation. >> a electri a long term plan to centralize -- >> don't we need a standard test, can't we see is the kids learning. >> we have standard tests there are plenty, besides, you say standard tests, there is no standard test for what a tv show should look like but the market, or what a smartphone should look like but what people are willing to buy. >> in the work place we allow people flexibility, to have chaired jobs and entertainment, they buy and watch what they want, this is so old fashioned. why -- >> because government knows best! don't you know that. >> finally, good news this year, you say there is some stuff we should celebrate. >> there was progress on marijuana freedom. cup evercouple of stated. and there was progress toward

marriage equality, they did not come from washington, they came from the people and the states, and in the world, economic freedom continues to increed. there is a -- >> we fell in the ranking. >> in the world as a whole, a slow steady progress, toward more economy freedom. john: hurray for the world. >> despite common core story, i think there was a lot of wins for educational freedom with new tax credit programs, and numerous states in alabama, indiana, iowa and others, and education saving accounted expanded and voucher acounts expanded. >> the single biggest story that is a true game changer is edward snowden revelation that bills on things done earlier by anonymous and wikileaks and other agency. >> there is a different grammar to running governments now, you

will be found out wha found outo people, i look forward to when this type of revelation saleherred into things like department of agricultural subsidy programs, we're at very beginning able to the leave a lot of government people shaking in their boots. john: pole shows, pew said 19% of the people trust the government to do what is right. just about all or most of the time. reporters wringing their hands we're losing faith in government, i say yippee, they are finally figuring it out. i was thinking about how 22% of americans identify with the tea party it is understated. i actually feel comfort in that, knowing almost a quarter of the population top identify with the movement whose goal is to rein in government. john: thank you. nick, sab reason adavid, coming up, some new ideas from senator

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john: in 2013 our rulers added to this pile of rules we muftz must ebamustobecause. together they strong else life. i was delighted when a lawyer i barely knew, suddenly erupted with statements like this one. >> this is an agenda of control for its own sake. that is why regulators do what they do. john: control for its own sake. that they are not power frequents? >> i'm guessing have you not dealt with many bureaucrats they like rules they live to enforce rules. john: that was part of myself tv

special, war on the little guy on fox again soon, now the star. of this jeff rose is back, to tell us about 3 new assaults on the little guy. this new focus on food? >> right we have a new food freedom initiative. about grassroots movement. people who want to make and sell simple wholesome tasty food, and mile high wall of regulations they run into trying to do that. john: food freedom, let's talk about your first case, you represent small farms in oregon that sell unpasturized raw milk but are not allowed to let people know about it. >> i'm not allowed to put up an ads in the local health food store or newspaper or go to a feftfestival and pro most promoe

parliament. >> what is the logic? >> there snow logic -- there is no logic. >> bureaucrats, they would talk to us, they say this is in litigation. >> the bureaucrats think that years just is noteve eaten for safe. that drinking waugh milk is like -- raw milk is like juggling hand grenades. john: i think they have a point. but you should be free to -- if you are allowed to sell it you should b be allowed to tell people. >> there are people who want to drink raw milk, they should be able to do it. john: next case. do you have a vegetable garden? hope you don't have it in your front yard in miami shores florida. this couple had one for 17 years, they grew onion, pepper, let uslettuce, this year local government said rip your garden out. >> have you have garden gnomes

and pinnapples and patchys but you cannot have carrots, washington was a farmer. they did not fight a war so people could have a government that will not allow to grow carrots in your own land. >> this is jane, jane bakes cookies, and cakes, and breads, and scones, jane bakes the treats in her clean company 18 at home -- kitchen at home, she takes them to local farmer's market. they are a hit. this is a bureaucrat from like small businesses like jane, when customer want to place special orders minnesota said, no. maybe jane could sell her treats from home, not going to happen. john: they are worried about food safety. >> if bureaucrats had their way.

all we would do is eat pab lem that isster esterste steve fish. >> they awh allowler to sell at farmer's market but not other places. >> if you want to sell your food, and people want to buy it, it should not matter whether it is a farmer's market or amazon.com. john: and at farmer's market she cannot make more than $5,000 a year in sales. >> that is $10 a week, you can have a job but you can't make more than $ 10 a week at it. john: he has interest from stores, job sites, special orders, catering jobs. >> can't do it legally this is what small business entrepreneurs, not just food area, run into. this is why the institute for justice is fighting back. john: department of reaction in minnesota said we cannot comment

because of the lawsuit. when you take these cases do you tell people like her, go ahead and sell it, or say, stoppuntil we win our case? >> usually we tell them you better stop until we win the case, if they are going to get in serious trouble. >> thank you, jeff rose. coming up, santa. will tell us who was naughty and nice this year, but next, senator rand paul, he didn't think it was right when people earlier this year asked the president, when is it legal for america to kill someone with a drone, the president would not give an answer. so senator paul stood up on the floor of senate and tracked. and talk -- talked and talked until we go the ap an answer, ad answer? i'll ask the senator about that and what his critics say next. >> rand paul is not a flawed messenger on this subject, he is

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be one this year would have been worse for liberty of her were not for a few freedom fighters who push back against big government. senator rand paul of kentucky. a filibuster over americans and the joint policy. why is this? >> i am kind of a stickler for the bill of rights and i think that we should be innocent and presumed to be innocent until found guilty by a court of law. our founding fathers thought this was important enough to enshrine it in the bill of rights. so i was very worried that the president was going to say, okay, i can kill americans without any kind of accusation and i asked him repeatedly. and then finally we had a filibuster and it was like pulling teeth to get him to admit.

john: did he answer personally. >> presidents don't like to admit any limitations on their authority. >> i never thought the president would do this, but i thought it strange that the president would not admit that he did not have the authority. they are about the rules that bind president annan people.

and we really don't get an angel, we get it over. so we really do want the bill of rights to protect us at all times. john: many say it is that internally. but john mccain said this. >> needs to do more than firing up libertarian kids and their college dorms. >> it did fire up libertarian kids. i thought that was great. stand with him on twitter, it's about. but you worked with senator john mccain. how is that going? >> we have a good personal relationship and i respect him as a war hero. it doesn't mean it is always right, but he deserves our respect and others for his time spent as a prisoner of war. but one of point of view is that if you are deemed to be

dangerous, of course we can't incarcerate you with no trial and no attorney and no charges. in my response to that is that it begs the question. who gets to determine whether or not you are guilty you of something? the government has criteria that says that you are suspicious if you like to pay cash at the store. if you have missing fingers, stains on her clothing, or have changed the color of your hair. and that might include quite a few people in our country. you don't have to build back very far to see the government abusing its power. the conservative groups, the religious groups, they were targeted for their political beliefs and given different types of treatment by the irs. and every cell phone call in america is being kept the records of medicine analyzed by the government. and that goes against the founding fathers and what they talked about in the amendments.

john: they are not listening to the cause. >> it's none of their business and i should not have to justify my privacy to anyone unless they i am an international business person who deals with peoppe in sweden. and they say that it is open. or maybe has a personal relationship that they don't want to talk about. and i think we have let that lapse. john: these could be an option for places like detroit. >> instead of asking houston to bail out detroit, but we do is

help detroiters bail themselves out. and those who pay more taxes will get more back. and those are the businesses that have already shown that they can get customers to vote for their business on a daily basis and it would leave over a billion dollars in detroit, not sending it to washington, and i think it's a kind of free-market stimulus that would actually work. john: not just detroit, but the same that parts of china have tried as well. >> just come i think it's good that republicans can be for something consistent with their beliefs that would help people in need of help. john: thank you, senator rand paul. if you like to learn more, i posted a link on my twitter page at fbn stossel. and coming up next, getting out my santa hat and my secret list as to who is naughty and nice and 2013. people join angie's list for all kinds of reasons.

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john: okay, it is time to open my book and my report. who is naughty and who is nice? who gets lumps of coal this

christmas? well, nancy pelosi, because she said that government does not have a spending problem. and she also said that government cannot spend any less because the cupboard is bare. >> no more cuts to make it, it's really important that people understand that. john: no more cuts? they spend more than 3 trillion and that is why it puzzles me that the president says over the past two years he will reduce deficits that more than $2.5 trillion. more than two thirds of it through spending cuts. john: spending cuts? no, they didn't cut much of anything. the deficit decreased because of the blowup stimulus. and the president proposed increasing spending by less than he wanted to. it's not a cut. and also this being said about obamacare.

>> every time they have predicted something not working, it has worked ♪ ♪ john: hardly. they applaud, but it didn't work and that's when they postponed a mandate. the problem is that we have a government that is so big and so powerful and so expensive and fast that cannot adequately be supervised. >> and senator mike lee is on my nice list for pointing that out and david axelrod agreed with him this year. so he is on the nice side of this as well. along with rand paul, because he demanded that the president come clean about drone strikes. >> i cannot sit at my desk quietly and let the president say that he will kill americans on american soil, those who are not actively attacking a country. john: the shock that a senator

has to say something so obvious. john mccain, because after the filibuster that he called libertarians a wacko birds, and chris christie, because he said this. >> this strain of libertarianism that is going through both parties right now and making big headlines. i think it is a very dangerous thought. >> well, it's big government is dangerous. and a lump of coal to governor chris christie. but nice gifts for democratic senators tom harkin and jay rockefeller. surprise to find them here on the nice side of this ledger. and oh, they retire this year. that is good for all of us. and this town's billionaire mayor, michael bloomberg will retire as well. and that is good because he somehow doesn't understand that government bans the sale of big cups of soda and he said this. >> we are not winning anything. we are just shut entrancing that we want to show you how big the

cup is. >> you're not showing us that, mr. mayor. government and thomas jefferson were right to show is that it only grows. and we already must obey thousands of pages of rules. >> let's give everyone a big hand. [applause] >> is magician was told that he was in violation of the animal welfare act because he didn't have a disaster escape plan for his rabbit. >> from now on come you cannot use your rabbit until you fill out paperwork and pay the 40-dollar license fee and we will have to inspect your home. john: eisai these people these things. >> but they don't laugh ever. it's beyond so you are on the naughty side of this. and actor vin song, from the nice side? coming out in hollywood as a

libertarian. and also fighting for people's rights to sell mistletoe. >> if people want to work, let them work. >> and on my nice list, it is this guy, who wrote a wonderful book, no, they can't. in response to government claims that yes, we can do everything. and finally tonight, this was a surprise to me. but the speaker the house on my nice list. oh, yes, because he said this. >> we should not be judged on how many laws we create. we should be judged on how many laws we repeal. >> if they only would repeal something. and my wish for christmas is that reporters stop whining about what the do-nothing congress does for the least productive congress does. instead, celebrate the fact that politicians not passing more laws mean more freedom for santa and for the rest of you. and without freedom, we do good

things outside politics. that is my good and bad and ugly for 2014 and we will see you next week ♪ ♪ al ber to, welcome to red eye. tonight -- >> coming up on "red eye," level tating hot chicks. bizarre illusion or human evolution? does the white house think the christmas was a mistake? >> wasn't great for the country. it was terrible for the country. wholly unnecessary. finally, are the americans considering replacing soccer players with cows for next world cup? the story fifa doesn't want you to hear. none of these stories on "red eye" tonight. now let's welcome our guest. i'm here tonight with miss new york usa and favorite sleeping aid are his own