works. it's fiction, but there's sort of a couple nuggets that may seem familiar to you, in particular if you are a fan of "the kelly file." and we can talk about it on twitter after you've read it. thanks for watching everybody. i'm megyn kelly. have a great weekend. welcome to "hannity." this is a fox news alert. tonight new developments regarding two breaking stories. there's major fallout after president obama announced his decision to re-establish relations with cuba. we'll have reaction on the ground in havana coming up, but first, the fbi's pointing a finger at north korea for hacking sony pictures and forcing the cancellation of the december 25th release of the movie titled "the interview." now, fox's own ed henry is standing by at the white house with much more on what we're hearing from the obama administration. ed, how are they going to respond to this cyber terrorism attack? >> that's the big question, sean. white house aides revealing today this is getting more intense behind the scenes here. that they are now having daily white house meetings with cyber

security military officials, other top government advisers because this is much more than just an economic espionage hacking situation. josh earnest today from the podium called it a serious national security matter. the question then becomes as you say what next. josh earnest refused to speculate on whether or not there may be u.s. sanctions against north korea. he refused to officially confirm that north korea's behind it by the way, even though various government officials believe inside the white house that the regime of kim jong-un is in fact behind it. what's interesting is there's unlikely bedfellows ranging from hollywood stars on the left to republican senator john mccain bashing sony for cowing here. but also john mccain going after the president a little bit saying, "the need for sony pictures to make that decision ultimately arose from the administration's continuing failure to satisfactorily address the use of suber weapons by our nation's enemies." critics also wanted the

president to speak out more on behalf of sony and say, look, whatever decision you make you're going to have the american government behind you against north korea or whatever other enemies may be out there. josh earnest today insisting the president did do that in the abc news interview when he said people should go to movies, go out to the theater. but i pressed him on that point. >> i thought the context of the question was about the concern of terror threats out there. >> it was. but i think it was also a show of support for artists and others who are making films including the artists who made this film. >> so they're not trying to suggest that the president's saying go to theaters, which was about potential terror threats connect today this film was an endorsement of this film backing the artist. that's not quite what the president told abc news. the bottom line is the daily beast is also reporting that at least two administration officials had been contacted by sony way back in june. the report suggested maybe they had screened the film and had

okayed it. the state department is saying they didn't really have direct contact with sony, but they knew about the film. that certainly raises questions as well in terms of what the administration knew months ago. >> that raises a point. "new york times" says officials are 99.9% sure this was in fact north korea, this was a cyber attack. they've got to realize every enemy, every adversary, is watching america's response to this. and they won't even fully acknowledge that it was them. why? >> well, look, in fairness the white house is saying the fbi and others are on top of this and that they want to be 100% sure that it's north korea before they're throwing wild allegations out there. as you say though, insiders and the government are saying it's abundantly clear that either north korea directly did it or hired someone else to do it. but you're right, there's a broader context as well. north korea's just a small slice of the pie. china is engaging in cyber security. you know, there's tens of thousands of incursions a day when you talk to government leaders either from china or other rogue nations. so the president who by the way

will be having a news conference here at the white house, a year-end news conference before he goes to hawaii, you can bet he gets tough questions about this tomorrow. >> ed henry at the white house as always, thank you. as you mentioned the intelligence community is deeply worried about the cyber attack. our own catherine herridge is in washington with details. newt gingrich said we shouldn't kid ourselves with the sony collapse america has lost its first cyber war. and this is a very dangerous precedent. what are your people in washington telling you? >> well, sean, tonight intelligence source tells fox news that the evidence does not point to north korea as the sole entity but a main player with an outside party. pointing to the sophistication of malware modules or packets that destroyed the system. that has not seen from north korea in the past, rather iran, china or russia. no evidence of an insider of a

sony employee. and demands totally unrelated to the movie. that said fox news is told that the malware has two destructive threads. it overwrites data and interrupts execution proses seize such as a computer's start-up function. the fbi is warning that the malware can be so destructive that the data is not recoverable or too costly a process to retrieve. now, the forensic evidence suggests the final stage of the attack was launched outside north korea's borders. that creates a certain degree of plausible deniability. and today the homeland security secretary said the administration wasn't quite ready to name names. >> this attack is a serious attack. we're not at this point ready to identify who we believe is responsible. >> an intelligence source confirmed to fox news tonight that u.s. security firms were first notified monday by the u.s. government that they plan to publicly blame north korea,

but this is completely inconsistent with past practice where the u.s. government has chosen to work behind the scenes, sean. >> catherine, thank you. meanwhile members of the hollywood elite are outraged over sony's decision to cancel the release of "the interview." ams aim sli, one of the things this is beyond embarrassing. this is a surrender in this particular case in terms of we're going to let tehran and moscow and north korea decide the content of movies and book sns. >> that's exactly what these celebrities are saying, sean. they agree with you 100%. take a look at what some of these folks have been tweeting. some of our celebrities in america. judd apatow writes i think it's disgraceful that these theaters are not showing "the interview." will they pull any movie that gets a threat now? and jimmy kimmel saying i agree wholeheartedly. violates terrorist actions and sets a terrifying precedent.

michael moore more humorous, dear sony hackers, now that you run hollywood, i'd also like less romantic comedies, fewer michael bane movies and no more transformers. and ben stiller writes, really hard to believe this is the response to the threat of freedom of expression here in america # theinterview. bill maher writes, is that all it takes, an anonymous threat and numbers of 9/11 to throw freedom of expression under the bus. and rob lowe writes, i've seen -- hollywood is done. nevel chamberlain proud today -- >> a craven capitulation and surrender to a dictator. and there are two issues here. why did hollywood respond this way? what is the president going to do? that's the big question. >> that's right. they said setting a precedent. we'll have to see how this unfolds. >> thank you very much. joining me to explain exactly

how north korea infiltrated sony's computers and how we need to fight back, cyber security expert robert with us. how are you, sir? >> good, thank you. >> why don't we have the protections in place? let's talk technically first and then we'll talk about how to fight back. why would we not have the protections in place to prevent this from happening? >> so any corporation that has any data of any value whatsoever is probably under attack as we speak. and while they may have redundant systems in place, hardware, software, firewalls and so forth, to keep that information safe and secure, it's the humans on the inside of the corporate network that are most vulnerable. so bad guys today are hacking humans as much as they are hacking the networks themselves. so for example they would send out a simple e-mail to one of the employees that might look like it's coming from one of their favorite charities, that

employee clicks a link in the body of the e-mail. and that e-mail and that link ultimately shut down the antivirus defenses and allowed bad guys inside the network. >> is newt gingrich right that america lost its first cyber war here and by the capitulation and surrender of sony and the lack of res i mean, did we just lose this cyber war and we're not doing anything about it? >> yeah. honestly, i think that's an inflated statement. i don't see this being cyber war in any way, shape or form. there have been no deaths. no one has been physically harmed. you know, i don't necessarily consider this to be terrorism of any sort. i certainly think that the people who lost family members in 9/11 would think the same thing. it's very likely that -- >> let me ask you. couldn't this bring america -- >> yeah. >> if this continues, couldn't it bring america in many ways our financial institutions, america's corporations, even maybe our government to its knees? doesn't it take on a sense of

urgency that we ought to have as a country that we've got to fight back and prevent further attac attacks? >> there has been a sense of urgency going on for quite some time now. major corporations have been hacked for the past decade and many are at a disadvantage. >> not like this. >> well, if this type of data that, a, is related to hollywood, and the personal type of information, the actual internal communications that were leaked, that has happened before. so while some say this is unprecedented, this has occurred in the past. certainly this is a formidable wakeup call, definitely action needs to be taking place. but whether or not retaliating against a foreign nation, that's another story altogether. a 22-year-old -- >> so let them get away with it? that's the only option. either we fight back or they get away with it. robert, thank you. appreciate your time. meanwhile, didn't take long for some liberals to begin spewing complete garbage when it

comes to cyber attack. one against on cnn even defended, even defended north korea. i couldn't believe my eyes. >> what is the thought process behind making a movie in which we decide to depict the -- for our amusement, the assassination of a living foreign leader? we're not allowed to cry fire in a crowded theater. that is part of the responsibility of our first amendment right. so i think that common sense also has to prevail when we exercise our artistic freedoms and first amendment freedoms. >> lieutenant colonel ralph peters. to me this is unprecedented cowardess. we're going to allow essentially kim jong-un to determine and censor what movies we put on? where does this end if this doesn't go answered? if it goes unanswered? >> well, we just saw the perfect hollywood wedding.

moral cowardese meets physical cowardesse. never a good strategy. sony pictures, all those theater chains, they are going to regret what they have done. because now any niche crazy fringe group that doesn't like anything about a movie can call in bomb threats, death threats. and i can guarantee you hollywood's not going to make any nasty movies about vladimir putin. >> you know what's amazing? hollywood, colonel, they've been pounding their chest and truth to power -- >> oh, they're brave. >> free speech liberals. and at the first minor -- relatively minor in filtration, they cowarded. they gave up. >> make a film about edward snowden or attack the nsa or

portray our troops as sorry victims of government. because they know the united states is not going to come with death squads and take them out. we've been here before and this is all so dog gone dangerous to me. remember in 2005 the danish cartoons about mohammad, they were stupid, needlessly provocative cartoons. but when the terrorist threatened to kill the cartoonist and bomb the newspaper, the correct response would have been for every newspaper in the free world to run those cartoons on principle above the fold front page. but we didn't. we coward. when's the last time hollywood made a movie about horrible groups like islamic state? no, they make movies like being sensitive and hillary clinton showing empathy. we have a history of backing down in the face of threats. it's shameful. >> all right. i get hollywood are a bunch of spineless we spineless weasels.

the question here to me, the larger question is, if they're 99% sure in washington that this originated in north korea, and the president hasn't taken a stand at this point and doesn't seem to show a willingness to fight back, and if he tries appeasement like he did with cuba and the castro brothers, what does that mean for the future of this country? what message does that send america's enemy who is i'm sure are watching closely. >> this may be an inside joke, but i now call president obama the castro convertible. i will tell you, sean, the president just doesn't have any guts. he's afraid to do anything. look what he could do. he could have asked already for a private white house screening of the film. >> good point. >> it might be a terrible film. i'm not a seth rogen fan, i'm a seth mcfarlane guy. >> i would go just as principle. >> exactly. and every american should.

we've got to also look at the bigger picture. congress and the president are both at fault. successive administrations been at fault. we have still not defined in the cyber age what is an act of war. we refuse to treat cyber attacks as breaking and entering. the theft of data should be grand larceny. we haven't laid down the laws. our laws have not caught up with the threats. and that is the fault of congress and the president. >> if this is an act of war, cyber war, and we lost the first battle, we better be willing to fight back and hit them ten times harder so they know there will be a price to pay. thank you. >> sean, we're as gutless as we are clueless. >> right now we are. doesn't make america look very good. we're the land of the free and home of the brave. not tonight. tonight this government and corporation sony have coward before a murderous dictator. very scary precedent. that leads us to tonight's question of the day, should sony

have pulled the plug on the release of this movie "the interview." first, we examine the political fallout of this story and president obama's decision to buddy up to the castro brothers, that murderous regime. we'll check in with juan williams. later, hundreds in new york, police officers sign a petition say if they die in the line of duty they don't want the mayor to go to their funeral. we'll tell you about that and much more on this busy news night tonight on "hannity." the holiday season is here,

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yesterday. now fox's own steve harrigan is in havana, cuba, with reaction. >> reporter: the reaction has been overwhelmingly positive from cubans on the street. some came out on the streets cheering, honking, yelling really excited about the change. perhaps expecting some immediate benefits. other people when you talk to them say they think it's a good move, but might really be years to see some sort of benefit. the average salary here just $20 a month for most people. they do have a long way to go. but a real sense of hope here from this announcement here in cuba, sean. >> steve, thank you. on capitol hill heavy criticism is pouring in from both sides of the aisle. cuba announcement and policy shift and also what he's going to do as it relates to north korea. republican senator marco rubio and democratic senator bob menendez both had words on the issue yesterday. take a look. >> what ghktic opening are we getting here? none whatsoever. that's why i've said this president has to be the worst negotiator we've ever had. and he has betrayed, betrayed,

those cubans that have worked so hard and sacrificed so much for the freedom and liberty of the island. >> it's a fallacy to believe that cuba will reform because an american president opens his hands and the castro brothers will suddenly unclench their fist. >> and last night during an interview with abc president obama was asked whether we will actually see changes in cuba. watch this. >> i'm curious if there's something in that phone call you can share with the american people that assured you that cuba is actually changing. >> well, i'm not sure that, you know, raul castro at the age 80-something is going to be changing specifically, but there will be changes in cuba. >> here with political analyst, steve, now that we've appeased the murderous dictators of the castro brothers, how will let's say the president appease kim jong-un with cyber terrorism

attack? >> you know, north korea is one of the areas where the president hasn't been as eager to appease a dictator as he has in other places. look, you know, i don't disagree with the president's long-term objective. i agree with the arguments that the embargo is somewhat an akronistic, that the threat cuba made to the united states or presented to the united states years ago is not the same now. my problem is how he's done this. the fact we didn't extract any real concessions, the freeing of 50 some odd political prirdss, getting alan gross is great, but the president said that wasn't related. the fact that the president didn't actually demand any concessions, that there's no obvious point towards democracy from the cubans, i think, is a huge problem. >> yeah. i think so. juan, in light of yesterday's announcement with cuba and the fact we now realize that a major cyber attack was waged against us, "new york times" reporting

99.9% chance washington believes it is north korea, how should the president respond? why is he sucking up to and appeasing murderous dictators like this? >> well, i got to separate the two out. but i think your point is well taken. on north korea thing i think it's pure censorship and intimidation of an american company. you can't have it. you can't have it when you have radical muslims you get upset if someone depicts the prophet mohammad in a care caricature. you can't shut down a comedy. this is just a comedy. the idea it's an american business, they're undermining american business and hurting the american economy and threatening to blow up movie theaters, not to have it. that's a threat to our national sovereignty. >> i would like to appeal to sony to reverse their decision and stop being cowardly and stop giving into intimidation and i'll make a promise that i will

go on christmas day that it's released. start a movement release the movie. >> every american that wanted to flip off the bird to kim jong-un would be right behind you. >> we can't let this happen. what are we going to allow putin, is he going to weigh-in on movies and books we write? >> ridiculous. >> in iran, are we going to let them decide the editorial content of what we're going to put out there? this is a dangerous precedent. what sony has done here is cowardly as far as i'm concerned. it's surrender. more importantly, what is the president going to do, juan? how is he going to stand up to north korea? >> well, the thing is at home there are calls for ensuring the theaters, ensuring american businesses against attacks tharks that is stalled in the congress at the moment because of concern that it would change the way that insurance is done across the board, across the country. but i think we've got to take a stand and say, listen, american business has to function. we will not only protect

american citizens and ensure businesses, but we will go after. we will not standstill and be bullied by this guy. there has got to be some retaliatory action. >> i want the president to really show the world here. i want him to take a stand. i want hollywood -- it's so disappointing. what do you want the president to do? >> disappointing and not at all surprising from hollywood. i mean, hypocrisy is what thrives in hollywood. look, i think the president has been remiss already. if the united states government believes that north korea's behind this attack 99-plus-percent, the president of the united states should go on national television saying north korea's back on the terror watch list and we will be retaliating immediately and disproportiona disproportionately. the word out of the white house is we're going to retaliate and offer a proportional response. we should go after north korea. >> agreed. >> if they are in fact doing this, they are a terrorist state led by a terrorist thug. we should be going after them in a serious way.

>> the first cyber war newt gingrich said and we lost. we better be prepared to fight back and fight back hard because every two-bit dictator around the world is watching. guys, good to see you both. juan, two appearances in a row that you're doing really well. i'm really proud of you. >> look, hannity, you can't go left. you know that's going to hurt. >> i know. i'm ruining my reputation. merry christmas guys. >> merry christmas. >> we'll examine how the mainstream media is covering for president obama again. this time it's in his decision to normalize relations with cuba. many of new york's finest feel they've been betrayed by comrade bill de blasio. -- why he believes the mayor of new york has thrown nypd officers under the bus. that and much more tonight on this busy news night on. copd includes chronic bronchitis and emphysema.

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welcome back to "hannity." in a shocking incident in last week's protest at the brooklyn bridge in new york city, two nypd officers were attacked by protesters. and earlier this evening an individual was arrested and charged with two counts of assault on a police officer, resisting arrest, inciting a riot and obstructing governmental administration. the nypd is investigating the incident. they're looking to identify all the other suspects. look at those pictures. if you have any information on any of these people, please contact authorities immediately. now, despite an ongoing manhunt, new york city's mayor comrade bill de blasio refuses to acknowledge that it was "allegedly occurring." so it should come as no surprise hundreds of law enforcement officers in new york have signed a petition ghand demanding the mayor stay away from their funerals if they're killed in the line of duty. patrick lynch joins us. >> always a pleasure.

>> this is a pretty strong statement from officers saying if i die in the line of duty, i don't want the mayor at my funeral or the city council chairwoman. >> that's how the police officers feel. i know he likes to say histrionics by the union, but we're the voice of the members. this idea came from the members. >> we have the video. look at these pictures again of these people. we also have the video of the attack. it's not in question. it's not alleged. it's on tape. police officers being punched and hit. and if we could zoom in even closer on their faces, if anybody knows anybody, there's a reward, you know, for them. why would the mayor not have the courage to say find the people that attacked these officers? >> you know what's incredible, he's not willing to say we cannot and will not allow violence to happen, especially on the people that are allowing you and protecting your right to march across that bridge whether we agree with your opinion or not. and for him to say alleged,

really? that police officer, the witnesses said he was getting hit so hard you were able to hear every punch. that's not alleged. the blood wasn't alleged. it was real. >> let's go to the protesters this weekend in new york city. what do we want? dead cops, when do we want it, now. listen to this. >> what do we want? >> dead cops! >> when do we want it? >> now! >> is it open season now on cops? >> it certainly is. and it's making more and more dangerous. when you have the leader of the city, really the commander in chief of the new york city police department allowing this to happen saying things like alleged and encouraging it, it's just wrong. you have to say violence will not be accepted. resisting arrest, if you do it, you'll be placed under arrest. it has to stop now. it has to be unequivocal from city hall. folks can march, they can have

their opinions, we'll protect you while you do it. but violence cannot be accepted. >> two incidents, michael brown, robbed a store, charged a cop according to a lot of eyewitnesses including black eyewitnesses. eric garner, guy was sick, had obesity problems, diabetes i understand, heart problems. the issue here people saw the video, is there ever going to be an arrest where somebody's ri cysting it will ever look good on tape? >> resisting arrest never looks pretty. and the use of force by police officers which is necessary. what happened here is first they had a conversation. most of that's not on film saying, look, you've been arrested for this 30 times. you're going to the station now. you'll be out by tonight. he decided i'm not going to go. but everyone's telling us what we can't do and what we shouldn't do, but no one's telling us what we should do. and you can't walk away at that point. >> i want to get to the heart of this. i don't think we should have limited police resources being used to go after guys selling

"untaxed" cigarettes. tell me if i'm wrong, there's so much money at stake for new york state and new york city, isn't it true that cops are told to go arrest people for untaxed cigarettes? >> absolutely. >> because they are so greedy they want the money. is that a big part of this? >> it absolutely is. if the mayor wants to change policy, so be it. what's amazing here is carrying out his own policy, all of a sudden walks away at the tragedy in staten island. but the reality is he kept quiet that he was also putting on the biggest case going after cigarettes coming into the city of new york. >> government greed, government money, six dollars a pack, hasn't the government created the black market? >> absolutely. but if you don't want to go after it, don't go after loose sis, say it. we'll follow orders. it's your policy. >> in order cops are told they have to go after these guy sns. >> absolutely. complaints come in from the folks that own the shop there, the communities and then the police department sends us out.

we don't make the policy. we shouldn't be getting the blame laid at our feet. >> thanks, patrick lynch, appreciate it. coming up, mainstream media, their spin machine is back in full force. let's find out what they're admitting reporting on president obama's decision to normalize relations with cuba. that plus our big question of the day, you don't want to miss it straight ahead. i'm l-i-s-a and i have copd, but i don't want my breathing problems to get in the way of hosting my book club. that's why i asked my doctor about b-r-e-o. once-daily breo ellipta helps increase airflow from the lungs for a full 24 hours. and breo helps reduce symptom flare-ups that last several days and require oral steroids, antibiotics, or hospital stay. breo is not for asthma. breo contains a type of medicine that increases risk of death in people with asthma. it is not known if this risk is increased in copd. breo won't replace rescue inhalers for sudden copd symptoms and should not be used more than once a day.

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changes in urination, and runny nose. ♪do the walk of life ♪yeah, you do the walk of life need to lower your blood sugar? ask your doctor about farxiga and visit our website to learn how you may be able to get every month free. welcome back to "hannity." now since rising to power in cuba in 1959 after a violent revolution, communist dictator fidel castro and his cohorts have been responsible for some of the most egregious human rights violations in the western hemisphere including the mass execution, the indefinite imprisonment of countless political adversaries, support for latin american based terror

groups and of course extreme obsession of all forms of and suppression of free speech and the press. but if you watch the mainstream media's recent coverage of cuba, you wouldn't know about any of these atrocities because, well, they didn't cover it. >> for the first time since john f. kennedy was president at the height of the cold war, the united states tonight restoring full diplomatic relg relations with cuba, a tiny island 90 miles from the florida coast. >> during the cold war cuba's economy was propped up by the soviet union. we wondered how today's news is going down in moscow. >> havana known for charm and vintage cars is on life support. people here now home that will change. >> here to react to all this media research center with us. why tell the truth about a brutal, murdering, robbing, thieving dictator that's been an enemy of this country? why give the facts to a good story? >> stunning. i mean, he has been a mythological figure to the left

wing press since the 1950s. for 40 years they've chosen to ignore the repressive nature of this regime that has done so much to try to harm america. you look at the coverage last night, sean, there was 29 minutes and 30 seconds on the networks. and only three minutes and 30 seconds dealt with this. this morning there was 26 minutes on castro, only 50 seconds dealt with the repressive nature of his regime. but what's interesting is this, this is what the obama administration itself said. they said responsible for government threats, extrajudicial -- detentions to prevent free expression, peaceful assembly, harsh prison conditions, arbitrary arrests, denials of fair trial. this is the obama administration saying this. >> we're nice to the terrorists and brutal dictators they'll be nice to us. >> kudos to "the washington post." they really brought it up and

harsh on this. >> fair enough. good for them. and thank god there is fox news, talk radio, mrc and others. you have your year-end awards. and you have some pretty funky names for these things. you have the mrc's ku clux con job for smearing conservatives with phony racism charges. and the winner is? >> this is rotten stuff, the republican effort to kill the black vote in state after state. pennsylvania, wisconsin, north carolina, florida, texas, we can all see what they're doing believing they can't convert the african-american vote they decided to slaughter it. early voting shrink it down to nothing or kill it altogether. sunday voting that souls to the polls thing, slam the door on it. same day registration, that's like putting down a welcome mat for african-american voters. look, this is murder in broad daylight. >> is there anything that the folks over there at nbc news don't think is racist these days? everything's racism. >> or do they have any limits? do they have any limits on

decent expression? do you think that fox news would ever -- on your show you would ever say that about a liberal? i don't care how left wing that person was, there's a reason why fox's polls show that 53% of americans believe that race relations are worse. it's because of this. it's because of this kind of dishonest repugnant reporting. >> it's not helping nbc news and it's not helping the country. and it didn't help democrats in the election. but it will come up every election cycle, i guarantee. one last one, you have what you call the audacity of dopes award for the wackiest analysis of the year. and the winner is. >> every media organization has investigated this to death. this animates the right wing of the republican party. and i would like to point out that ambassador stevens was not murdered. he died of smoke inhalation in the safe room -- >> oh, i don't think -- >> not murdered. >> we shouldn't consider this funny, but this is monumentally

stupid. i mean, it's like saying john lennon died of a back ache. jfk wasn't murdered, he had a headache. this man was murdered. they're in such undeniable spin control for hillary clinton. they're capable of saying stupidity like that. >> unbelievable. all right, brent, look forward to the rest of the awards coming up. appreciate you being with us. >> thank you, sean. now, i argue that come january the number one charge of conservatives hold this majority accountable. for example, how do we balance the budget and stop robbing our kids? when we come back we're going to talk about the republicans, what they'll do in january. they'll have both houses of congress. how can they actually balance a budget? we'll talk with former congressman -- that's straight ahead. and our question of the day. protected. given new hope. >> test >> test >> test >> test >> test >> test >> test >> test >> test

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all right, government is growing, we have $18 trillion in debt. obama when he was campaigning he says $9 trillion in debt, that's irresponsible. that's unpatriotic. now he's almost accumulated as much debt as every other president before him combined. why in this cromnibus bill that took place, why didn't boehner come out and say the penny plan, or something similar, cut government spending, balance the budget, stop robbing from our kids. why can't they do? >> sean, if i could answer that, i'd probably still be in the congress. look, i can't explain why boehner doesn't do something like that. i can tell you there's a lot of people, a lot of members who have authorship, owner of their own plans. the penny plan is so simple. everybody gets it. it seems like everybody gets it except congress. >> one penny of every dollar government spends for every year for five or six years balance the budget. >> done. simple. not that hard. >> 1%. i used to take to the members 100 pennies, put them on the

table and say all i'm asking for is that. >> that's the problem with baseline budgeting for those who don't understand this, built-in increases we're robbing them blind. >> the government solution is printing more money. then you get inflation. costs of money goes up people we want to try to help to get an opportunity in the united states will be hurt because they won't be able to afford it. >> what happens when interest in debt goes up? what happens when the money goes up? most of americans will have a difficult time engaging in the american economy. at that point. >> i want to say now? 15 million americans in poverty. 15 million on food stamps

>> and will get worse. >> we've been broke a long time. and it has been both. >> why would they fund obamacare throughout the year? >> there is no way you can say what is passed was a good thing to do. now, argument is that they did it for political reasons you know? american people are tired of that. they're not looking for a politician, looking for ways to get out of a tough spot. they've had all year so this idea we've got to get this, we have to get out of here, no.

get the job done. and >> that is what i try to do. if you are tell people what you believe in, then do it, they'll support you. even if they don't agree with the plan. what's happening now is that people are saying one thing, getting to washington and, i think it's a big mistake. tell me now five things, big things, solutions that republican party is going to accomplish in the next congress? >> i can't tell you that. >> i can't, either. i have five, the penny plan, your plan, i would go with energy independence, hard, very hard repeeling health care savings

accounts, go with school choice. and i'd go with secure the border. five issues. >> those would be winning issues. most support that on both sides. republicans and democrats. then, gets into they talk about sausage making in washington and nothing happens. >> you're sour in washington. i get the sense you think you can't get anything good splished. >> it's a system set up for failure. that is how they keep their job. government is about government. it's unfortunate. it should be and supposed to be government for the people. >> good to see you. >> yes. yes. >> thank you for being with us.

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aleve. proven better on pain. welcome back to "hannity". should it cause a release of a of a movie? what happened to free speech liberals? why are they not speaking here? this is a dangerous precedent. are we going to let dictators dictate what we write in books or what movies we see? what is the president going to do about this? will he respond? unbelievable. bad idea. head over to facebook and tell us what you think the answer should be. and on new year's eve it's an

all american new year posted by our friends, new year's eve, 9:00 p.m . ring in the new year. thanks for joining us. have a merry christmas. o'reilly factor is on. tonight: >> quote, no one should kill kid themselves with the sony collapse. america has lost its first cyber war. >> it is a victory for the oppressive human government but a serious set back for the repressed cuban people. >> are the bad guys winning? north korea and the castro brothers? we'll have a special factor investigation. >> these are bare barbarians. they intend to kill us. if we don't destroy them first we will pay the price. >> bernie goldberg's most interesting stories of the year. he will run them down for us. >> want to hear the most annoying sound in the world? >> also ahead, gutfeld and mcguirk on the human beings who annoy