>> sourdough bread. >> we have proven that we like cracker barrel. >> sarsaparilla. >> so good. gianno, god bless you. i know you have lost someone you love. we love you, we love your family. thanks for watching. "america reports" now. >> sandra: china giving the u.s. the shoulder saying that is coming military and climate talks with the white house. xi jinping looking to punish the united states for nancy pelosi's trip to taiwan. >> jon: critics say president biden is backing down by postponing the scheduled missile test in the south china sea. why is the house speaker acting tougher on china than the president? house armed services committee member mike gallagher joins us live. >> sandra: we begin with a fox news alert to kick off

"america reports" on this friday. white house getting good news on the jobs market but will a massive spending plan send the economy into another tailspin, making an already bad inflation problem even worse? hello, everyone. i am sandra smith in new york. >> jon: i am jon scott info john roberts. the labor department says the u.s. added 528,000 jobs last month. the on employment rate also falling slightly to 3.5%. >> both numbers beating expectations. wages are still largely out of step with the rising inflation. now more than 200 economists, 230 to be exact, warning democrats their social spending bill will make high prices in this country even worse. >> jon: senior economic advisor jared bernstein joins us. first, congressional correspondent chad pergram has the latest on the spending bill. >> good afternoon. democrats say this bill will help with inflation.

more than 200 economists warn congressional leaders that the u.s. is in a dangerous crossroads. they argue the bill increases inflation. senate majority leader chuck schumer does not mince words. >> considering how high -- >> they are wrong. i don't know who that list was for the overwhelming majority of those who have looked at this. the public and economist. they have said it will do reduce inflation. it will. >> after days of talks, kyrsten sinema signal she will move forward on the tax and spending bill. democrats agreed to drop a provision to tax carried interest to get kyrsten sinema's vote. there is an excise tax on stock buybacks that will raise $74 billion. schumer called buybacks despicable. joe manchin scores a future deal to streamline pipeline permits. plus deficit reduction. >> the thing that i talk to my republican, they want to make

sure. we've got to have more energy. guess what your we going to have a lot more. paying down the debt. $300 billion for the first time in 25 years. >> what's ahead is a voting marathon that likely begins tomorrow. the g.o.p. will engineer amendments to make democrats look bad. >> what will vote-arama be like? i admire joe manchin and standing up kyrsten sinema for standing up to the radical left. hoping will come up with proposals that make sense and they will abandon this jihad they are on. >> we expect oh, we can vote on the bill. schumer believes all 50 democrats will vote yes but they need to be healthy. one covert case blows this up. >> interesting weekend. chad pergram. >> sandra: let's bring in senior white house economic

advisor jared bernstein. great to have you. >> nice to be here. >> sandra: big day, unexpected lehigh jobs number. what does the white house attribute to this again in the jobs market? >> a lot of strong momentum in the job market. lots of demand for labor, part of it goes back to president biden's american rescue plan, getting shots in arms and checks in pockets. set this job market recover up to be as strong and sustainable as it's been. oh, we labor economist like to talk about demand for labor is derived demand, derived from consumer spending. even with elevated prices, we have had positive growth in consumer spending or the first half of the year and very likely through july as well. that shows up in more jobs for more americans. great day for the american labor market. >> sandra: jason fuhrman had an interesting response, i'm sure you're aware of his work and he looked at it and said

this is uncomfortably hot. economists are saying this is the victory lap to the white house can take and we all want to see a robust jobs market. at some point you have to look at sky high inflation still at a four decade high and see if you combine that with a super hot jobs market, there's going to be no let up in demand, no let up in inflation. do you worry about that? >> well, as someone who right now is personally uncomfortable hot -- under these lights. i can tell you that from the perspective of the job market, i don't think that's where any of us would take it. when we are talking about adding over half a million jobs in the month of july, 9.5 million jobs since this president got here, the fastest labor market recovery on record. unemployment back down to 3.5% nationally. more quickly than in almost any past recovery that i can recall. by the way, i just picked out

another number from this report, i should say some of my colleagues did and showed it to me. 3.9% hispanic on employment rate, the lowest on record. so yes, we have to be concerned about heat. the federal reserve is going to do what it has to do. the backdrop of the strongest labor market on record is incredibly important for households trying to make ends meet in these challenging times. >> sandra: perhaps we should be asking whether or not we need this big tax and spending bill for the president is touting. 230 economists writing to the white house saying this spending bill is actually going to worsen the inflation problem in this country saying the u.s. economy is not a dangerous crossroads and aptly named inflation reduction act of 2022 would actually perpetuate the same fiscal policy errors that have helped bring on this inflation situation. i want to put this up on the screen. i believe this is the first white house reaction to this.

they are saying the proposed 433 billion in spending would create immediate inflationary pressures by roosting demand while the supply-side tax hikes would constrain supplied by discouraging investment and draining the private sector of much-needed resource. >> thank you for giving me a chance to react to that. it's completely upside down. with the inflation reduction act, i should say the aptly named inflation reduction act does is it takes some demand out of the economy with deficit reduction. 300 billion in deficit reduction over the life of the bill and that comes on top of 1.7 trillion reduction in the deficit over the past fiscal year. now interims -- that's demand. they also have the supply-side completely backward by lowering the cost of prescription drugs, lowering the cost of health care coverage, lowering the cost of clean energy. this mill contributes to the

economy's productive capacity. you cited your economists, let me cite larry summers who i think has been very much a critic of inflationary pressures. the prescription drug provision, energy incentives and increased medicare benefits will all contribute over time to much-needed inflation reduction. you quoted jason, my good buddy, a couple minutes ago. he has made similar comments. i'm happy to do this all day but if you look at the legislation, a boost supply, dampens excess demand and it is aptly named the inflation reduction act. >> sandra: just to be clear, not our economists. some of the notable signers include the nobel laureate vernon smith, former chair of the council of economic advisors, former director of the office of management and budget, former president of the federal reserve board. in addition, professors from the university of chicago, princeton, duke, university of virginia, columbia, notre dame.

>> it's a fair point. you can cite the economists in your letter. we have well over 100 economists saying exactly the opposite, many of whom are nobel laureates and many of whom have the same credentials you have there. i say that we put the dueling economists aside and look at what's in this legislation. let's be very concrete about this. does it lower prescription drug costs? yes. do americans now pay two to three times for the same fairy pills and prescription drugs that people in other countries are paying for? two to three times more? yes it does reduce those costs. does it reduce the cost for 13 million facing an increase in their health insurance? yes it does. does it lower the cost of clean energy for generations to come? yes it does. those are in the legislation. does it lower the budget deficit by 300 billion over ten years? >> sandra: does it lower inflation and by how much? final question. >> the deficit reduction is clearly this inflationary.

that's why you have fuhrman and summers making that comment. various estimates to the extent to which it lowers inflation. we have seen estimates that take inflation down, i think if you look at the work, it takes inflation down by about a third of a point. >> sandra: surely the white house has done their own estimate. the president has been selling this. what are you advising the president? >> it's most important that we have outside people who are doing this work with no thumb on the scale, so we have had mark sandy, pretty renowned, come out with the inflation results i just mentioned and from our perspective, when we lower the budget deficit 300 billion over ten years, it's pretty hard to find an economist who says anything other than of course that's this inflationary --

disinflationary. lowering the cost of clean energy, prescription drugs. unquestionably it's pushing the right direction. in terms of magnitude, lots of estimates. you can find them. the sign is very clearly when the takes inflationary pressures down. by the way, let's not -- >> sandra: i thought it was a simple question. >> gas is down $0.90 per gallon so we have momentum in that direction. >> sandra: appreciate you coming back on the program and we hope to continue the conversation and have you back soon. >> jon: days after new york city mayor eric adams turned down an invitation to the southern border, texas governor greg abbott has brought the border crisis to adams' doorstep. a bus packed with migrants arriving the heart of manhattan this morning. we are live outside the port authority bus terminal in the middle of new york city. >> that's right, good afternoon. that bus carrying about 50 migrants arrived at 7:00 a.m. on the dock this morning. it circled the block here in

midtown manhattan a couple times before pulling into the port authority and that's when the migrants poured out. many of them from venezuela. a lot of single adult men, a few children as well. we are hearing a reaction from new york city mayor eric adams today. we'll get to that momentarily. first i want to show you that group as they arrived in new york city. they were meant by tent volunteers who provided essentials, clothes, sandwiches, water, one child arrived with diabetes and no insulin so volunteers had to work on that. governor abbott said new york city and washington, d.c., are the ideal destinations for these migrants because they can receive the city services and housing that mirrors adams and muriel bowser have boasted about in the past. both mayors have called their cities sanctuaries. if after the arrival of this group, mayor adams is accusing governor abbott of playing politics. listen. >> finally admitted what we were saying. we are going to continue to be open. this is who we are as a city.

we need help from the federal government. >> help is not coming to washington, d.c., at least not right now. we are learning the defense department has rejected a request by mayor bowser in d.c. for national guard support as more migrants arrive from the texas border. we know over 6500 and arrived since april. that is according to governor abbott. mayor bowser says she plans to tweak her request, all sides in this debate continue asking for more support from the biden administration. as for the group of migrants arrived here in new york city today, from what we observed, it seems roughly half of them will be brought to other cities and a half will rely on resources here in new york city. we'll send it back to you. >> jon: the border crisis comes to the big apple. as we said earlier. thank you. coming up next hour, a look at another side of the border crisis. more than 200,000 people living in the u.s. legally but asked to leave when they turn 21. we will share the story of

so-called documented dreamers coming up. >> sandra: we will have more on that coming up in the show. it's good to have you here today. >> jon: delighted to be here. happy to work with you. >> hope you're having a good summer. coming up, a horrifying crash caught on camera in los angeles. multicar collision killing several people. what witnesses are saying about the scramble to recover. >> firing missiles near taiwan, cutting off key talks with the united states. how should the white house respond? the house armed services committee member weighs in. >> nancy pelosi visiting reminded the chinese time want to still independent. i expect what you are seeing is a frenzy. they don't know what to do.

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>> sandra: china wrapping up pressure following nancy pelosi's visit to taiwan. beijing canceling and suspending talks with the u.s. on several issues including climate change and military relations. all this as beijing carries out another round of military exercises around the island. congressman mike gallagher will join us in just a moment but first we turned a senior foreign affairs correspondent greg palkot. what's the latest sign of china's anger over pelosi's visit to taiwan? >> a range of reactions. tough talk and more tough action. this on day two of its military exercises around taiwan. first let's recap the action. taiwan air force jets scrambled is chinese planes and warships crossed a median line separating china and taiwan. it's a key buffer zone. that was pounded by chinese artillery yesterday in addition

to a dozen missiles china fired towards taiwan on all sides. china says its forces are focusing on what it takes to blockade taiwan, precursor to any possible invasion. commercial flights and shipping in and out of the island remained disrupted. washington admitting the u.s. ronald reagan aircraft group being held to monitor chinese actions. the secretary of state lincoln calling the drills a significant escalation. yes, as how speaker pelosi wraps up our asia trip in japan, more followed from her visit to taiwan which did trigger this all. beijing says it's sanctioning her for her provocative action i'm going much further regarding the united states. they are saying they will cut off a range of cooperative activities with washington, including dialogue between the two militaries. action on immigration and criminal justice and even climate talks. sandra, the prime minister of

taiwan branded china today its evil neighbor. beijing doesn't seem too neighborly with the u.s. either and yes we have two more days of these military exercises and may be a lot more diplomatic fallout to come. >> sandra: greg palkot, thank you. >> jon: let's bring in congressman mike gallagher, member of the house armed services committee. congressman, give us your assessment of what china is doing and how the u.s., the administration is reacting. >> it's clear they are trying to intimidate us, trying to cheer us from taking steps to enhance the security of taiwan, to build up our forces in the region so it's imperative that we don't back down, we don't allow ourselves to be coerced into militarily or economically. this is the chinese communist party playbook going over a decade. when japan took control of the

islands, they used it as an excuse to militarize the east china sea so that's what they are trying to do right now which is why we need to stand up in bipartisan fashion and take certain necessary steps, building up our power west of the international dateline, arming taiwan, remarkably the biden administration actively -- >> jon: i hate to interrupt, congressman curie will have to bring you back another time to talk about this but we have breaking news. congress mike gallagher. >> sandra: president biden is speaking live at the white house. we are going to take this live and listen. >> president biden: three, give working people in the middle class a fighting chance. more than just a little breathing room. a real chance to get ahead by making their everyday things more affordable and accessible like health care, prescription drug costs, energy, child care, education, housing and so much more. when we lower those costs, all

the necessary things, we improve their standard of living. four, make our economy more competitive and less concentrated when too few companies dominate a market. it reduces competition, drives of the cost for american consumers. that's been going on for too long. we need to give small businesses and entrepreneurs more opportunities and consumers more choices at affordable prices. the fifth thing, the fifth pillar, we are going to reward work, not just wealth in america so that everyone pays their fair share in taxes. i'm a capitalist. i'm not trying to punish anybody but i'm saying everyone should pay their fair share. just their fair share. america is a nation that was built on work. we can never lose sight of that. that's why that strength and pace of our job recovery is so

important. in the past, it's taken years for americans to recover from an economic crisis. when that happened, millions of people suffered for years and years just trying to get back to where they were before. trying to get back on their feet. that didn't happen this time. my dad used to say that a job is about a lot more than a paycheck. it's about your dignity. it's about respect. it's about your place in the community. it's about being able to look your child in the inc honey, it's going to be okay, and mean it. that is the economy i am determined to build. that is the economy i'm looking at. part of changing the way things have been done is restoring faith in the american people and their government. too damn going to be signing very shortly two bipartisan bills the key driver of economic recovery is the resurgence of

american small business. hiring as many people as major corporations. we just learned last week small businesses with less than 50 employees created nearly 3 million jobs in 2021. 3 million. that's the most ever in a single year. more americans applied to start new businesses than ever before in our history. part of our plan is making sure that when we commit funds to help america's small business, it actually goes to those small businesses it's supposed to go to. we know the last administration, that's not what happened. too much of small-business relief funding passed by the congress ended up in the hands of those who either didn't need it or criminal syndicates who outright stole the money. not only to the trump administration of the biggest businesses with the teams of lawyers and accountants skip to the front of the line, my

predecessor undermined their watchdogs who were supposed to be on the job to make sure relief went to mom-and-pop businesses who are supposed to get it in the first place. my state of the union address i made it clear the watchdogs are back. that's why the justice department named chief prosecutor for pandemic fraud who got to work right away. in june of this year, the chief prosecutor told congress that it was essential, essential to extend the statute of limitations for certain pandemic fraud to extend to ten years to make sure fraudsters can run out the clock. congress acted and today i am signing two bipartisan bills that will give the federal and local prosecutors more time to hold criminals accountable for defrauding the american people during a once in a century pandemic. the american people deserve to know that their tax dollars are being spent as intended.

my message to those cheats out there is this, you can't hide. we are going to find you. we're going to make you pay back what you stole and hold you accountable under the law. i want to thank the members of both parties, the house and senate, forgetting these bills to my desk. and now i'm going to sign them into law as proof of another piece of my economic plan. the belief that the united states of america there's nothing beyond our capacity, nothing when we work together as the united states of america as with these bills represent. we work together. god bless you all. and may god protect our troops. >> given today's jobs numbers.

>> sandra: as the president just told america, he is signing two bipartisan bills he says that will help hold those who commit fraud under covid-19. >> president biden: i am going to sign the economic... [inaudible] thank you very much. i know it's hot out here. thank you. >> reporter: the brittney griner story. it >> president biden: i am hopeful. we are working hard. >> reporter: are you going to talk to president xi again? >> sandra: reporters trying to fire off a couple questions. the president and the white house team announcing the president still testing positive for covid. there was an announcement briefly from the white house

indicating such. appearing in sunglasses on the balcony at the white house, signing those two bipartisan bills that he just detailed to help those who commit fraud under covid-19 small business relief programs to hold them accountable. he went on to talk about the economy, as you could hear as well. taking a victory lap on that better-than-expected jobs report. brittney griner, the question that he fired off. he said he was hopeful and that they were working hard, she was sentenced to nine years in the jailer. so that is the white house. that's the latest from the white house and we'll get reaction in the afternoon goes on. it's the one let's bring back congressman mike gallagher, member of the house armed services committee. your thoughts on the bills the president is signing. he touted the fact that they are bipartisan. it's rare you get bipartisan cooperation in washington these days. what do you think about those two measures? >> well, i am all for going

after fraud. we had the low estimate of $150 billion worth of theft of the unemployment plus. that number is actually probably 300 billion. it's astounding. this gets to the contradiction with the president said. he is the one who came into office and immediately spent $2 trillion unnecessarily on quote-unquote coronavirus release. a lot of that money is going to be wasted if not outright stolen. the second point come he continues to blame his predecessor, donald trump, for all the problems. he has been commander-in-chief for almost two years. they need to stop with the blame game and as for what he set about restoring trust in american institutions, how about doing some basic accountability for the origins of coronavirus? this administration had a joke of an intelligence community review. how about we figure out why we had a global pandemic that completely upended our lives for over two years? this administration has done nothing on that front. >> jon: we brought you want originally to talk about the

situation regarding china. i want to play for you for just a second what nancy pelosi had to say, speaker of the house, after her visit to taiwan. listen. >> we have set from the start that our representation here is not about changing the status quo here in asia. changing the status quo on taiwan. >> she said it's not about changing the status quo about the chinese sure are angry about her visit. why? >> well, they don't like anything that increases the support for taiwan. you have to remember that for general secretary xi jinping, unifying taiwan with the mainland by force if necessary, he said by force if necessary, is his legacy issue. so they are trying to change the status quo unilaterally through a protracted campaign of economic coercion and military intimidation. in some meaningful sense, you can sort of realized that the

invasion of taiwan has already begun. this is part of it, they are trying to create a wedge between us and our friends in taiwan. it's important that we don't allow such as a wedge to be created and we enhance our support to taiwan to give them the tools they need to defend themselves before we stumble into a major crisis that we are not yet prepared for. >> jon: very quickly, it seems like the speaker of the is being tougher on china than the white house. >> 100%. the white house seems to operate out of fear. they don't want to provoke the communists in china. time and again, we have seen this. a theory to take aggressive action in afghanistan that resulted in us abandoning a billion dollars of military equipment. the fear of vladimir putin that result in them pulling out a move ukraine preemptively and now we see the same playbook of fear and appeasement and that

weakness is inducing geopolitical chaos. >> jon: congressman mike gallagher, member of the house armed services committee. good to have you on. thank you. looking at the legislation, a boost supply, dampens excess demand, and it is again aptly named the inflation reduction act. >> sandra: that was senior white house economic advisor jared bernstein a few moments ago on this program defending the democrats' massive spending bill moments ago here on "america reports." let's bring in mohamed el-erian and douglas holtz-eakin. welcome to you both. a lock to dig into. hopefully you heard the interview. douglas, we gave jerry the opportunity to say by how much this white house estimates or those advising the white house s massive spending bill will actually bring down inflation. he seemed to say there were varied estimates. he threw out one number. one-third about percent. this is a heck of a lot of

spending. massive bill to only have that impact on inflation when the actual act is named for that. >> yeah. it's hard to imagine that this bill will really do anything on inflation. it's a modest three and a billion dollar deficit reduction over ten years, it's backloaded. $.1 trillion economy, you're not going to move it very much. here is the really important point. it matters what congress does all the time, not just in one bill. while they have been talking about the inflation reduction act, they have passed through congress and up to $600 billion veteran spending bill and they are about to pass off inner billion dollar chips in science bill which means they've spent twice over what they claim to have saved in the bill. this is just congress keeping to its course. spend now, promise to pay later, generate inflation in the process. >> sandra: where do your concerns lie, seeing this letter

warning the white house that not only do they believe the inflation act will help bring down prices, it actually could make the problem worse. >> the economists are all over the map on this one and it's not because when measured over time it is deficit reduction. to the extent that that occurs, that's not inflationary. it's because they disagree on the supply response on the spending. i am on the side of when we look back on this, if implemented fully and that's always an important qualification, we will find that it's not inflationary and it will boost supply. but economists disagree on the supply side effects and therefore disagree on the overall impact. >> sandra: very interesting. do you look at the jobs numbers, douglas. perhaps you'll tell me that there is something there to cheer about. the white house is certainly touting this is a big win.

is this a good labor market when you still have the participation rate not returning to pre-pandemic levels and that is still struggling while we noted there's more americans today than any other moment in time working two full-time jobs just to pay for inflation. how did you see this report today? >> sandra, you made a very important point. the most thing avigan thing about the report is that once again it shows diminished labor, continued very high demand for labor. if you look at the index of payrolls, the employees on the books, the hours they work, how much you pay in each hour, that's rising at over 11%. demand for employees is enormous. supply is going the wrong direction. that's a recipe for continued inflation. going to take a look and have to move more aggressively. that's all there is to it. the white house can celebrate the 500,000, surprisingly large number for they shouldn't celebrate where we are. we are in the midst of very, very high inflation, four decades, evidence that it's

going to continue. that's will have to be more aggressive. >> sandra: i want to get your reaction. fox business did write up on how democrats beefed up the irs could hurt low income americans. you know this white house says that's the very group they are setting out to help, the lower middle class. there is a warning from g.o.p. lawmakers that this extra irs funding could have ramifications for lower income americans in this country. you can put it on the screen. lowest income wage earners affected the most by this. what are your concerns? >> that is a bit of a stretch, sandra. i think this will go against evaders and avoiders. let me also asked doug, though blemish on this jobs report was the lower participation rate. overall it is very strong

report. jobs created, unemployment where it is. wage growth. it's a strong jobs report. the white house will celebrate this. go a few blocks, as doug says, to the fed. they will not celebrate this at all. this is another blow to their credibility. it's another blow to the analysis and as doug said, they are going to have to do more. a week after they told us they had reached neutral, it's not good news for the fed but it is good news for the white house. >> sandra: douglas. >> i think that mohammed has that right about the fed versus the white house. the white house always celebrates the topline number. the impact of the funding in the audience, i think the community that really is concerned about this is the small business community. that's a place where the irs has a track record of being very aggressive if possible. this will give them much more potential. it has an indirect effect because they employ so many middle class and lower income

americans. it's going to show up one or another. >> sandra: good debate. i do think it's important to remind folks that while this was a great jobs report, there is no doubt about it, adding 528,000 jobs in this economy should be celebrated and seen as a good thing. it's another when you see a rosy picture painted by the white house about the situation most americans are in right now. you can make the case by this president's approval ratings are where they are today but you've got more americans, 60% living paycheck to paycheck saying that they are not happy with their financial situation with a direction of the country is going in. credit card debt is piling up. interest rates go up. it's going to make bill's swell even bigger. so it's not a rosy picture should be painted by the white house. celebrating a good jobs report in getting people back to work is a good thing. >> we have an inflation problem. we also have a problem with the

aftereffects of too many years when financial businesses were too loose. interest rates were artificially repressed. people got into a lot of debt. it seemed it was so cheap. now we are adjusting to reality. so i don't want to say we don't have a problem. 9.1% inflation is high. the issue is who is responsible for this? there is a blame game going on but there is one institution that's in every single blame game and that is the federal reserve. that the federal reserve waited too long, mischaracterized inflation, called it transitory when it's not, didn't act enough. now it's going to have to play catch up and because playing catch-up, it can bring us into a recession if it's not careful. inflation is hitting everybody. no wonder people are upset and rightly so. >> sandra: if you've got this strong of a jobs report and people going back to work, it's

going to help sustain demand and probably keep those prices elevated unless the federal reserve can aggressively tackle this and that is a delicate balance. thanks to both of you for joining us. hope to have you back soon. douglas, mohamed, thank you. that's the delicate balance. that's why markets were reacting. you can pop the dowel on the screen. markets are trying to understand what the fed's next move is going to be. if you have the jobs market coming back in the capacity that it is, back to pre-pandemic levels, if it's not high, the federal reserve is going to have to be really careful with how they handle it because i have to bring prices down. >> jon: more people getting paychecks and spending that money, that could drive demand. >> sandra: things but if your wages are getting gobbled up by inflation, that's the point. it's great so many people are going back to work but if you are having to work two jobs to pay for the inflation, that's a problem. >> jon: the middle class is getting crushed. we need to figure out a way to support the class that has made this country great. >> sandra: indeed.

>> jon: horrifying high speed multicar collision leaving at least six people dead and many more injured. shocking video capturing the explosive impact. matt finn is live in los angeles. what more can you tell us about the victims? >> jon, those six dead include a child, a pregnant woman, and her fetus. this fiery car crash happened in the middle of the afternoon in a jam-packed intersection in los angeles. a woman in her 40s drove her mercedes at an estimated 100 miles per hour or more through a red light crashing directly into two cars causing a domino effect with at least seven other cars and a massive explosion. the eyewitness described as sounding like a bomb. the question is, why? california highway patrol says the driver of that mercedes suffered major injuries but survived. one eyewitness tells fox he was just two or three cars behind this impact and feels fortunate to be alive.

saying he saw victims screaming and fighting to get out of burning cars. that man and other eyewitnesses say a baby also flew from the middle of the intersection, landing in a gas station. bystanders tried to help that child. >> it's the kids. that's what touched me more than anything. the children. the ones that didn't get a chance. the mother that was probably happy because she was having a baby. but she's gone. >> the aftermath shows the dark mercedes and other cars were obliterated. one car was split in half. california highway patrol says the driver of the mercedes was arrested and that charges would likely be presented to the district attorney's office. the identities of the victims have not been released at this hour. we anticipate some type of update soon from california highway patrol. we'll keep you updated. jon. >> jon: please do that.

it's just horrifying. matt finn, thanks. >> sandra: meanwhile, a war of words between where the country's largest red state in one of its largest blue states. florida republicans are hitting back at california governor gavin newsom after he called for residents to leave the sunshine state. kelly o'grady's life in los angeles and she has more. hello, kelly. >> this is all in response to newsom's attack ad that aired in florida they criticize governor desantis for several policies he has championed. 3,000-mile feud we have going really continues to set up our potential 2024 presidential election. paid for by florida super pac flips the script with voice-over of newsom speaking. it sets up the fundamental divide brewing between blue and red states. >> let's talk about what's going on in america. freedom is under attack in your state. ron desantis lets you walk around without masks.

that tyrant lecherous kids go to school. >> highlighting if floridians moved to california they can enjoy sky-high gas prices, socialist monetary processes, democratic policies on crime business energy are the source of america's pain and the brainchild of liberal extremists. >> the results obviously have been destructive around the country. it really undermines the idea that ours is supposed to be a government of laws, not a government of individual men. >> both newsom and desantis are facing reelection races in the upcoming term, the rumors they may be eyeing a 2024 run for biden's job and they aren't alone. this latest ad is representative of a trend we are seeing. governors from virginia, michigan, illinois, new jersey all venting at runs with fund-raisers, advertisements and media tours. more red state versus blue

states. >> sandra: interesting stuff. kelly o'grady. it's going to be interesting, jon. come november, we'll know a lot more about how residents are handling everything and you look at gavin newsom in his handling of covid and crime and the homelessness problem and a lot of residents we have seen flee that state. >> jon: california has been losing population. florida has been gaining population. no wonder gavin newsom wants to invite people to move. he needs to replace all the people. tensions simmering in the taiwan strait as china continues its military drills in the region and breaks off some ties with the united states. we have how speaker pelosi taken stronger stance on time and then the warehouse. who really is in charge of our foreign policy right now question rick we will ask senator bill cassidy. >> sandra: seconds away from

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>> sandra: there is a major problem on tap with a chief supplier of, and dioxide shutting down last month causing a nationwide shortage that could in the last call for some craft beer makers. the bigger breweries have technology to siphon off the crucial gas during the fermentation process but smaller breweries will fall flat in the area which is already for some to close their doors. craft beer considering its recent rise in popularity. i shouldn't say recent. it's been years that craft beer is so big that this is a problem. >> jon: first baby formula and now beer. >> sandra: where do you turn? >> jon: what a mess. >> sandra: what a mess. bottoms up. to be unprofessional paraglider

in free fall after he was unable to open his peers shoot. in a last-ditch effort, he's able to pull out a rescue chute that allows him to escape a near certain death with a second to spare and it's all caught on video. that paraglider, kevin philipp, joins us now. kevin, how high were you when your problem started? >> about 2,000 feet i believe. >> jon: you are doing some stunts with your paraglider and a ferocious blast of wind ended up wrapping around your body, right? >> actually i maneuvered wrong. i was training on a maneuver. my brake handle or my hand got stuck somehow and i couldn't break in time. diving too much in front of me. i was flying towards it.

>> jon: but there was some turbulence involved is what i have read. >> yeah, exactly. this is -- i do the mistake that on the other hand the turbulence pushed the wing straight towards me which was really unlikely normally. >> jon: we have got the video of that moment where the orange reserve chute comes out. you had double that out with your hand? >> yeah, exactly. normally you throw it and the distance it travels, it opens but this time it couldn't really go far enough so i had to grab it again. >> jon: the footage is terrifying. despite the fact that you've got your paraglider opened up above you, you are still falling very quickly and it's my understanding that you had basically one second left to get that reserve chute out, the emergency chute. >> yeah, exactly. if i wouldn't have pulled that,

one second. really, really close actually. >> jon: it's not your first brush with death in this sport either. you actually broke your spine an earlier accident and you are still doing this. >> yeah, it's such a beautiful sport to me. i was really thinking about my choices. it wasn't an easy decision but it gave me so much pleasure. i could experience so many nice moments so for sure i wanted to get back. >> jon: it's my understanding. you really pushed yourself to be able to come back from that spinal injury. good on you for being able to do that. we sort of here you will react with relief. obviously when you made it to the ground safely, you kind of crash landed against a small tree but you made it. what was going through your mind? >> yeah, it was a huge relief.

i didn't know how soft or hard the impact will be. my spinal cord injury. i really was worried about the impact. i got quite lucky. no scratches, nothing. >> jon: lucky and prepared, i guess. kevin philipp, congratulations on keeping your wits about you and what must have been a terrifying fall. kevin, thank you. >> thanks for having me. >> sandra: no such thing as luck. skilled, calculated risk taking. new at 2:00, far left prosecutors under fire for policies people say protects criminals and endangers victims. we will speak to the mother of a victim of the los angeles crime wave whose lives george gascon doesn't care about his constituents. plus, senator bill cassidy on the showdown with china and darrin porcher on the border crisis coming to new york city now.

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>> sandra: brand-new at 2:00, a shrine to the democracy, honoring the presidents who lead our nation during its most pivotal time. one former basketball star, mount rushmore has to go? >> jon: high-pressure spots on the court to hot takes, jaelyn rose says people need to cool it with mount rushmore, specifically using it to measure greatness. >> sandra: critics saying that belongs on the mount rushmore of ridiculous woke ideas. welcome back. great to spend our friday afternoon with you, jon. >> jon: i am jon scott in for john roberts today. eyebrow-raising comments coming

up. breaking news out of washington and the president facing the prospect of breaking another major promise all because his party finally agrees on something. >> sandra: we kick off the hour with a lot of questions mounting for this fight in white house. in moments, the administration will have a chance to answer. >> jon: big headlines. a better-than-expected jobs report giving president biden something to crow about. >> sandra: the development that stands to impact far more americans, democrats plowing ahead with his massive his massive tax-and-spend bill. >> jon: despite some 230 economists who warned it could make the already crippling inflation even worse. >> sandra: and then there is china. as the communist nation steps up its live missile drills near taiwan, it is nixing high-level military talks with the u.s. in response to speaker pelosi's visit. >> jon: the menacing move

designed to project strength not just to taiwan but also to the west. anybody looking to the white house for a clear show of strength might need to look pretty hard to find it. >> sandra: listen to the mixed messages having critics asking who is exactly in charge? >> are a came here to send an unequivocal message. america stands with taiwan. >> she has the right to go to taiwan. she has the right to travel wherever she wants. >> our solidarity with you is more important than ever. >> we have said no policy changes at all. the one china policy stands. >> democrats and republicans are committed to the security of taiwan. >> nothing, nothing has changed about our one china policy. >> democracy and freedom and how taiwan has been an example to the world. >> are still responsible for making sure the rest of her trip is safe and secure. we will let her talk about it

when she comes back. >> sandra: breaking on the china conflict. >> white house summoning the chinese ambassador for a dressing down over the nation's actions. senator bill cassidy standing by with reaction. >> sandra: peter doocy live at the white house. another important briefing, questions will be asked. he is worth noting the timing of the investor being summoned. comes after you press the white house hard on whether the president appeared weak. >> yes, and white house officials have been claiming that the lines of communication with the chinese are open but the chinese are now saying that that's not the case anymore so it's going to be tougher moving forward as these exercises continue for any kind of back-and-forth especially since they are telling us there's no plans for president biden to talk to his counterpart. president biden has known him for decades. he has got a lot of free time up there in the residence this week. >> he doesn't have free time.

>> can't he pick up the phone and call? >> he's been working all the way through his illness. it's a little bit insulting. it is. >> someone who is isolating by themselves. >> he suggested -- you suggested he has a lot of free time as if he's not doing anything and you know that's not the case. >> white house officials trying to kill bill on capitol hill that would officially designate taiwan as a major nonnato ally. the white house would rather their position be ambiguous we are also learning senator bob melendez, democrat from new jersey. >> there's no bigger defender of taiwan involvement in this -- bob melendez. i think he's upset. the way to deal with china is to be strong. >> we saw president biden earlier today talking about the jobs report and an executive

order about covid relief, fraud. he did not address this. >> sandra: peter doocy, keep us posted. we will get to questions. thank you very much, peter. >> jon: to capitol hill and democrats big spending push. team coverage continues with fox business' hillary vaughn. hillary, there's a big warning out from hundreds of economists. what exactly are they warning about? >> they are trying to get congress not to pass this bill by warning them that it could add to inflation. these economists writing in their letter "the inaptly named inflation reduction act of 2022 would do nothing of the sort and instead will perpetuate the same fiscal policy errors that have helped precipitate the current troubling economic climate, would create media inflationary pressures. leader chuck schumer is brushing off those concerns, telling me this afternoon they are wrong. >> if there is a chance these people are right, is now the right time to do this considering how high -- >> they are wrong.

it's obvious it will. we are cutting prescription drug costs, cutting energy costs, and we are increasing, spending $300 billion on reducing the deficit. it's plain as the nose on your face this will reduce inflation. >> republicans are not convincing this whole deal is misleading telling me it does not reduce the deficit. if programs are made permanent and that democrats are using deficit reduction as a trojan horse to get want. >> i don't think they care anything they're only trying to get a fig leaf to justify billions of new spending. >> there is a gimmick here. they have a limit on the obamacare subsidy. that program is supposed to go away in three years. it's not going go away. if you play it out over ten years, this adds to the deficit. >> once this passes the senate, the house needs to vote on it. there could be a major hiccup when that happens on wednesday we are expecting the inflation

numbers to come out from july. if that number is bad, it's possible some house democrats worried about inflation may decide not to vote for a period >> jon: interesting times ahead. hillary vaughn on capitol hill. thank you. >> sandra: let's bring in bill cassidy. great to have you. we are awaiting the white house. the questions will come up in the briefing room. good to have you. republicans taking on this president for what they are labeling his weak approach to china. pelosi obviously with her visit standing firmly with taiwan. how do you view president biden's approach on china? >> we've got to stand up to them. i agree with what lindsey graham said. you've got to be strong. whether or not we are rejecting strength right now is arguable. you can imagine that they see president biden is weak and that's why they are being as aggressive as they are being aggressive. i think that's actually a fair statement. you could also argue the same

thing about russia going into ukraine. it may have been precipitated by us retreating so disastrously from afghanistan so at some point you set up a narrative. international rivals are reading that narrative. we need to change that narrative. >> former secretary of state mike pompeo was on fox earlier today and he had this to say about the administration's approach. >> this administration just seems defensive, fearful. we are the most powerful nation in the world. we ought to act like that. >> jon: what you think about that? we ought to act like we are the most powerful nation in the world. >> there's a time to act that way. it's not when the others are provoking you. act that way for more they provoke you because they have second boss about provoking you. i agree with what he is saying here we have to implement, what is the new strategy? i'm not sure this administration has the capability to lean forward. to do anything but react. and they seem a half a step behind where they should be. we need to be a half a step ahead.

>> jon: i want to transition out of the economy, as is likely will be a big topic of conversation in the white house briefing room a short time from now as well. you've got 230 economists from all over the country, all walks of life, different parties. they are writing to this white house and warning this massive spending plan to bring down inflation might not even bring it down. could make it worse. they are saying "it would create immediate inflationary pressures by boosting demand while the supply-side tax heights would constrain supply by discouraging investment and draining the private sector of much needed resources." and there's questions over how much affection going to bring down inflation. we put that to the white house. jared bernstein joins us last hour and here was his response. >> the deficit reduction is clearly dis- inflationary. that's why you have people making that comment. various estimates of the extent to which it lowers inflation.

we have seen estimates that take inflation down by i think if you look at mark zandy's work, taking it down by a third of a point. >> sandra: that's a lot of spending to bring down inflation in mind .1% by a third of a point. >> i agree with that. three and a billion. maybe 100 billion over ten years. i think there is 90 billion a month the federal reserve is allowing to roll off their balance sheet so it's truly a small, small fraction. just take their argument for what it's worth. it's going to be a third of a point. my folks back home who can afford their electricity, gasoline, counter for their groceries, it's down from 9.79.4. that's a big help. no. they don't notice, is one of them said, president biden should live where real people live. >> jon: interesting that this

bill includes tax increases on imported oil. if that's the case, why is the white house not admonishing domestic oil producers to get busy and get out there and pump moral oil on american soil? >> one thing we can say about that tax on oil is it's going to roll right through to the pump. the president saying in the rose garden is going to do everything possible to lower the price of the pump. not true. in fact, among the things he's doing is increasing the tax on the barrel of oil which you'll pay whenever you fill up. this is a lot of misleading statements that are going to hurt the american people and their pocketbooks. >> sandra: senator cotton appreciate you joining us on all things china and the economy, to go big topics likely to come up at the white house shortly. senator cassidy, thank you very much. will watch the briefing to begin. top priorities for the american people right now. suffering through this level of

inflation. it's eating up their earnings. then you look overseas and there's big questions over who's running the foreign policy in the country when you've got mixed messaging coming out of the white house and congress when democrats are in charge of congress and the white house. >> jon: china is getting exceptionally belligerent right now with regard to taiwan and the situation could go from bad to worse. >> sandra: indeed. we are watching that we will continue to watch for the briefing and go to it when it begins. we will see how the administration is going to respond to the hundreds of economists. 230 of them who say the tax-and-spend plan is only going to make the inflation problem or spirit we will monitor that bring you news. >> jon: billionaire george soros is not backing down over his support of far left prosecutors across the country. even as victims of major crimes in major cities say george soros has no idea the pain that his sort of handpicked das have caused to their families. who will speak with a grieving mother who says enough is enough.

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>> sandra: far left billionaire on defense as he sticks by his prosecutors. george soros writing that soft on crime policies such as bail reform and lenient plea deals to criminals have not caused an uptick in crime. keep in mind 1 of 5 americans now live in a jurisdiction overseen by a sorrows backed prosecutor. big cities from coast-to-coast dealing with a rise in crime. it's not just in big cities. many smaller ones feature soros-backed das set of caused residents to cower in fear. our next guest lost her son to gang violence in los angeles in

2020. she wants voted for george gascon but says he must be booted from office. let's bring in imelda hernandez. thank you for joining us. we are incredible he sorry for your loss. how are you doing, by the way? >> thank you. i'm doing the best i can. thank you so much for having me. >> sandra: why do you feel the need to speak out vertically on george soros funding these people? george gascon, someone you want supportive but now you blame him. >> i just want to clear up that i didn't live in los angeles county at the time. my son was murdered in los angeles county. many times it's not just a citizen that lives in the county. it's other counties and other parents from out of state that are being affected by his policies. >> sandra: we are looking at

pictures of your beautiful family. your son was murdered and you believe there are people that are to blame for that other than the person who killed your son. who? >> the thing with me is i do not believe that these district attorneys are acting like district attorneys. they are more like undercover public defenders. they are helping the criminals being released instead of helping my son's case, other parents, families cases that are going through the court system two, three, four, five years in court with no help from the office. but yet the district attorney's office, especially george gascon, is calling families of murderers to let them know answered with eyes that they are trying to do whatever they can to re-sentence them or remove any gun or gang allegations from their case

leaving us out. >> sandra: it is really something to see how george soros is doubling down on his support for these far left prosecutors. in his piece in "the wall street journal" he's made a lot of waves with trigger with why i support reform prosecutors. he says "our system is rife with injustices that make us all less safe. the idea that we need to choose between justice and safety is false. they reinforce each other. if people trust the justice system, it will work. if the system works, public safety will improve." how do you respond to that? >> george soros, i ask, do you have a son or daughter who's been murdered? number one. number two, do you live in our community? i am a mexican-american. i have friends who are african american. i'm a parent of a murdered child. association justice for murdered children. have you been in our communities? do you walk in our communities?

do you know it's going on? no, you do not. so i you are funding these rogue prosecutors is beyond me. george gascon has no substance or value in los angeles county whatsoever. >> sandra: he goes on to say in that piece, george soros, some politicians and pundits have tried to blame recent spikes in crime on the policies of reform minded prosecutors. the research i have seen says otherwise. murder rates have been rising fastest in some republican states led by tough on crime politicians. you can make the case you're working off a lot more than research. this is something you first hand have to suffer through every single day. >> i do. i answer that by saying data is created by human beings. there are errors. there are many errors going on throughout the united states with all this data. murder rates are up especially

in los angeles county. we don't want this to happen to your child in los angeles county. we are asking you to recall and vote for a new district attorney that believes in law and order and proportional justice. >> sandra: what is your final message to those who do have to live under these soft on crime policies? we are seeing crime spike all over the country. it's a scary time when you don't feel coachable walking on the street in your community. what's your message, implementing the soft on crime policies in our country? >> stop being fearmongering by these people who are telling you to vote for them. george gascon cares more about the cadillac converter then justice for families of murdered victims. there you go. >> sandra: we are so sorry for

your loss. your beautiful son is on your screen right now. thank you very much for joining us. >> thank you so much. appreciate it. >> jon: an update to a story we brought you weeks ago. a man in new york city who went free on bail despite accusations he murdered a delivery driver, there was a big concern that he might kill again. today the nypd report that's exactly what happened except the life he took was his own. police say he shot himself before a court hearing this morning. investigators that he murdered chinese food delivery driver in a dispute over duck sauce.

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>> sandra: biden's border crisis in the big apple. texas sending illegal migrants straight to the new york city. first bus arriving this morning. governor greg abbott keeping his promise to send them directly to democrats backyards. all of this after new york city mayor eric adams rejected an invitation to go visit the southern border. >> jon: meanwhile there's a new push to help nearly a quarter million so-called documented dreamers who entered the u.s. legally as children so they can stay here for good, but their advocates worry that even though they followed all the rules, they have a worse chance of becoming citizens then migrants who broke the law to get here. david spunt's live in

washington. it seems there's a bit of irony here. >> hi, jon. this is the group that does not get much attention. about 200,000 document and dreamers in the united states. we have covered undocumented dreamers, those are the ones that are part of daca. the group that i'm going to talk about came here legally on a parental visa and the aged out of the system at 21 and unfortunately they have to self deport. i want to tell you about this guy. he was born in india but after a stop in canada came to the united states legally on his appearance work visa when he was 9 years old. we interviewed him three years ago. country caps on certain employment-based visas mean when they turn 21 the age out of the system and in some cases they are deported. >> we are termed as documented dreamers. that's to emphasize that we are children who grew up here. but we did have some sort of

documented legal status. unfortunately those barriers have prevented us from getting a pass. >> he had others in his group tried to bring awareness to documented dreamers. members of congress, former president george w. bush. advocates are looking out for this specific group. iowa republican congresswoman marian at miller-meeks was one of the first members in congress to raise her hand. >> we need these young, talented young people who have gone to elementary, middle school, high school and college education here in the state. >> a bill to protect these people past the house. it will come before the senate and the national defense authorization act. the president signs that annually. they are hoping they make in this year for the president to sign. >> jon: keep an eye on that.

>> sandra: let's bring in darrin porcher, retired nypd lieutenant. great to have you here, thanks for joining us. it's been a while since we've seen you in studio. what's happening now with texas sending these migrants to democratic led cities? so many politicians around the country have ignored what's happening at our southern border. what you think? >> i am a former resident of texas. when we look at how much money texas is spending on these migrants coming in to that state undocumented, it's a problem. now they are coming to places like new york and now eric adams being the mayor of new york city can understand that this is a genuine problem because it's entitlement spending causing inflation to go through the roof. we don't have the resources. eric adams is requesting aid from the federal government. if you don't have the ability and the resources to manage the situation, then you need to understand what greg abbott is dealing with at the border in

texas because it's billions of dollars in connection with illegal migration into the state of texas. >> jon: listen to what mayor adams had to say about the arrival of this busload of migrants from texas. >> a political play. he finally admitted what we were saying. we're going to continue to be open arms. it's who we are as a city and we just need help from the federal government. having a great conversation this afternoon with the federal government to figure out how we can get this right. it's despicable what we are witnessing in texas. >> jon: it's despicable what we are witnessing in texas, he says. all texas is doing is saying hey, you know, new york is a great city. let's send you to new york. what is so despicable about what governor abbott is doing? >> eric adams is out of touch. he doesn't understand the dynamic of the illegal

immigration that is invading the state of texas. governor abbott invited mayor adams to come down and see what the border crisis consists of. however, he, mayor adams, has elected to introduce this in the public based on the discourse and not from a practical perspective of attending what's happening on the border. that's our problem. you need to hit the rubber that hits the road. eric adams is disconnected as it relates to that. >> sandra: here is governor abbott in texas describing why he is doing what he's doing. listen. >> they do need to realize the magnitude of the chaos created by biden's open border policies. there have been -- they are up in arms about a few thousand people coming into their communities over the past few months. in any one sector in the state of texas, we have more than 5,000 people come across that sector every single day. >> sandra: they are getting some people but they are not seeing even a fraction of what they are dealing with down in

texas. they are just getting a taste of it and complaining. >> you're absolutely right. they are bearing the brunt of the financial responsibility in texas. something needs to be done. as governor abbott mentioned, the federal government is not providing what them with the resources necessary to prevent these people from coming into the country illegally. we want legal immigration into the country, not illegal immigration. if you go to any other country throughout the world may have a clear stance against illegal immigration. therefore we should be no different. >> jon: it should be pointed out that the people getting bused to of these blue cities are people who essentially wanted to be caught by the border patrol. there are hundreds of thousands of people who have not been caught. we have no idea where they came from or what they want to do in this country. >> absolutely right. we have to take into consideration new york city has proclaimed it's up to be a sanctuary city so if you want to

be a sanctuary city such as los angeles, san francisco, you need to bear the burden and the price that comes with that and this is the position that we are in as new yorkers. something needs to be done and something needs to be down now and connection with this illegal immigration i think governor abbott is doing anything possible but the federal government does not support it. >> sandra: thank you for being here. >> jon: deadbeat renters living the good life while refusing to pay rent, and there is nothing their landlords can do about it. next, we'll speak with a woman who is out tens of thousands of dollars thanks do well, a ruling from l.a. >> sandra: remarkable story. former nba player who wants to cancel mount rushmore.

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>> sandra: some renters refusing to pay los angeles. we will speak to a woman who is out tens of thousands of dollars and is now calling on the city to take action. meanwhile, the scary scene in new mexico. a driver plows through a parade celebrating native american culture. multiple people we are told,

including two police officers, were heard. dan springer has got the details. what are policing about a possible motive? >> looks like no motive at all. really reckless drunk driver. this was a frightening seen for hundreds if not a few thousand people attending the parade last night in gallup new mexico. the video is shocking. >> my god! >> a gold chevy tahoe suv plowed through the crowded streets, hitting multiple people and cars. 15 people were injured including two police officers. now we know thisot som planned attack on the native american community which was celebrating the 100 intertribal events, right in the heart of navajo nation nation. it started when local police saw several people drinking alcohol in the suv as it was parked along the parade route. when officers confronted the people the driver took off at a high rate of speed. police say the driver was

33-year-old jeff irving of pinedale new mexico arrested and booked into the mckinley county jail on seven charges including aggravated dwi. two other men in the tahoe were taken to a detox center. 12 people injured were taken to the gallup indian medical center and unofficial there tells me 11 were treated and released and the one person still in the hospital is in good condition. we know some of the injured were kids participating in the parade. new mexico state patrol investigative at the good news is none of the injuries are life-threatening and this appears to be a case of drunk driving. >> sandra: wow. dan springer on that. thank you very much. >> jon: we have got a story about landlords in los angeles whose tenants are not paying rent and they are living the good life while refusing to pay. property owners are begging the city to end pandemic era rules that allowed tenants to continue

to live without paying rent. without that rental income, many say they could lose their places. our guest owns four rental properties in los angeles. says she is already out $72,000 which does not include money she's had to spend fixing a unit that was completely trashed. we are seeing that unit here. turning me now, ky trang ho, a los angeles landlord. the city is still refusing to enforce rules would require renters to pay you rent, correct? even though we are more than two years into this pandemic. >> that's correct. the free rent bonanza in los angeles is going to continue for at least another year and then after that, they have another year to pay back the back rent so we can't even start doing anything for at least two more years. >> jon: i suppose landlords generally get a bad rap.

nobody likes a landlord. but you are basically a small business person. you are putting food on your family's table with the rent that you get, the income that you're supposed to get from these four units you have, right? >> yes. i don't understand why we are the only ones that don't have a right to our livelihood in this economy. bragging about how they fought for increasing wages for hospital workers. what about us? we are essential workers too. if we didn't provide housing, there would be people on the streets. >> jon: ky trang ho, we have to leave for breaking news. thank you very much and we hope you get some relief. >> sandra: quickly to the white house. the press secretary karine jean-pierre holding a briefing. she's being asked about biden's foreign policy. we are about to welcome sweden

and finland. if you look at what's going on with russia's economy, it's not doing too great right now. that's because of what we have been able to do as a unit, what we have been able to show our foursome strength, the sanctions that have had an effect on russia. so that matters. you have seen leadership from this president that if nato, the strength of nato and how these come together would not have happened if it wasn't for this president's leadership >> it's president biden's goal to make president xi a pariah on the world stage? >> no, i am speaking to russia. what i am saying about china is there's no reason for beijing to have escalated the way they have. there's no reason. the policy has not changed. we are still in line with the one china policy. the speaker had every right to take that trip and so that is

something they need to speak to. >> reporter: last one, why is the president bragging today about gas prices? >> secretary jean-pierre: because it's gone down. >> reporter: is still $1.72 things higher than when he took office. >> president biden: it's come down in a way that we haven't seen, the trajectory coming down. >> reporter: is still over $4 a gallon. is that good? >> secretary jean-pierre: do you want to talk to a nurse or teacher or firefighter if having a little bit of breathing room doesn't matter to them? >> reporter: saying gas prices are only $4.11 cents? >> secretary jean-pierre: even that breathing room matters to families especially during the summer and people are traveling, people are trying to do with a can for their families. people are trying to think about what are we going to do with our kids driving to camp, driving to see other family members across the country? this matters. we think about $0.85 per month

for a family member, you think that doesn't matter? it for everyday americans. that matters. the reason we are seeing that is because of the work this president has done in the last several months. it's because of the historic tapping of the strategic petroleum reserves. 1 million gallons per day until september. that matters because of all the work he continues to do when it comes to inflation. there is more work to be done. he's going to continue to do that work. but to say that the changes, the drop that we have seen at the pump per gallon doesn't matter, i think that's wrong. i think that's not true. i think that does give a little bit of space and breathing room for families. it's important. i will get back to you in a second. >> reporter: you have announced the travel for monday. >> sandra: fair questions from peter doocy finishing up on the price of gasoline in this administration touting the recent drop in gas prices. to her point, great, we'll take it but you are still looking at

gas substantially higher than when this president took office. $4.11 is the national average. you have the average american family shelling out way more money today for their transportation to and from work, taking kids to school, than they were just a year or more ago. there's a lot of work to do. a lot farther down gas prices could come if we changed energy policy back to being more fossil friendly. >> jon: it was clear when he took office he wanted to damage the petroleum -- >> sandra: pretty apparent when he was running for office. >> jon: i guess a little relief, we'll take it. there could be a lot more. is mount rushmore an offensive term? it is according to former nba player and current espn analyst jaelyn rose. the star of the fab five tweeting out a video demanding american stop using the term as a measurement stick for

greatness because the monument was built on stolen native american land. it's not rose's first controversial comment. he recently called grant hill an uncle tom for playing at duke. >> sandra: all right, as we head into the weekend, before we get back, we will head to the boardwalk where your family trips are setting you back more this year. a live look. veteran homeowners, newday wants to help you use your va home loan benefit to get more. more cash, more savings, more peace of mind. the newday 100 va loan lets you borrow up to 100% of your home's value. up to $60,000 or more. veterans are saving an average of $615 every month. with more ways to help more veteran families, no bank, no lender, no one knows veterans like newday usa.

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cracker barrel set off a social media storm by posting this to twitter. notice the flags labelling the real and fake meat, a lot of people starting awoke war on meat. >> something that i haven't thought about through this whole impossible meat thing. must be hard to keep that straight in the kitchen. if you're not tasting it, your cooking it. the pattys look similar. >> and how do you put the right one on the right plate. >> sandra: they're introducing something new there. >> choice is good. it's around for a reason. somebody is asking for it. it is anything but a debate. that's to inflation, summer staples like hot dogs and ice cream are taking a bigger bite out of american's wallets. madison alworth is in jersey shore.

tough assignment. there you are in point pleasant beach. how much more are families shelling out for the foods in front of you right now? >> yes, sandra. we got quite the spread for you here. you're paying more for everything. most of them around the average of 9%. this is the fried oreo. last year this would have cost you $6.95. this year it's $7.25. that doesn't even cover the cost for the business. with the increase cost of cooking oil and the flour, they should really be charging $8.25. but the owners here said they didn't want to do it because it's a family staple and they didn't feel right doing it. families are paying more for everything. when it comes to ice cream, that's up over 12% in costs. hot dogs, they're up over 16%. you know, most customers do expect the price increase. you see it everywhere. you see it at the grocery store,

the gas pumps. everybody is worried what will happen if this continues. >> luckily they understand the price increases and they don't hammer the little kids. they're doing their job. they don't have a choice. it's tough some days when people get upset. we're just trying to do the best we can. >> this is my future. this business is what i will provide for my family. it makes me wonder. >> when it comes to this food, another part of this story is the supply chain. that is still a problem. the oreos are still difficult to get. last week they couldn't find any to buy. the food is going up in price. when you look at the spread, you understand why people are still paying for it. >> sandra: i don't know how you're keeping people away it from. fried oreos --

>> i'm bring some back. they're amazing. >> i wasn't hungry when the hours began. but i'm starving now. >> sandra: i'm from chicago. i don't eat a hot dog like that. it has to have all the fixings on it. >> mustard, right? >> sandra: absolutely no ketchup. madison, thanks. great to be with you. i'll see you on "the five" tonight. thanks for joining us. i'm sandra smith. >> i'm john scott. "the story" starts right now. gillian turner is in for martha. >> thanks. good afternoon. i'm gillian turner in for martha maccallum from washington. right now on "the story," new threats from china this after the white house condemns beijing for firing missiles near taiwan calling it a significant escalation. the u.s. also now positioning an aircraft carrier in the area to monitor the situation. china says they're cutting off communication with washington in retaliation including high level