eric prediction. >> there's a water crisis going on. here they are, the water. pho, tracks water companies, up 25% in the year. of course, brenda. >> brenda: that's it? [laughter] >> what, does he have ten waters there? >> what are you, a camel. >> i'm going to get in trouble for that. >> brenda: i'm sorry, bulls and bears, we're just all wet. but coming up, neil cavuto, the cost of freedom. >> talk about a kick in the fanny times two. the federal regulator says the taxpayer bailout, fannie mae and freddie mac could blow up and blow up 363 billion dollar of your dollars. and the government helping struggling home owners pay off their mortgages. what about the people who

already are? hi everybody and welcome, i'm neil cavuto. and charles payne, dagen mcdowell, and adam lashinsky. charles? >> well, you know, i really believe-- we know this fannie mae, freddie mac thing, this 300 billion i think we'll be talking about a billion-- a trillion rather, soon. >> neil: figure right now. >> it's an unlimited paycheck, it's taxpayer money, but i think part of this is the philosophy, if you're a home owner and you're paying your bills and you have a job, you say, maybe, you know what, you've got that anyway from some unfair means, maybe, you know, something was unfair, why do you still have a job and therefore, you actually owe it to the rest of us. you have to, you know, you owe it to the people who can't pay their bills, so, you should be upset about this, somehow, you're staying in a job you should have the in first place, and from the very top-- >> you know, i always think it's like spiro ago now, the

silent majority out there, the people in this case more moderate, paying their bills and dealing with the monthly mortgage on their own. and there's no bailout or programs for them. and leaving aside the reasons why there might be, i wonder whether they hear and see all of this stuff and say, hey, what about me? >> i think they do hear and say that. by the way, it was nixon say the great silent majority, but agnew was a great man. >> i think that spiro started it. >> and here is the problem, here is the problem. department of the usually doesn't need to help prudent sensible people. i was in utah, utah has one of the lowest unemployment rates in america, why? because they're a prudent and sensible people and low foreclosure rates, because they're prudent and sensible people and government usually doesn't have to bail out

people who are prudent and sensible. and let's be fair, the government bailed out wall street, some of the highest paid in the world and i think that the government are bailing out people who are questionable in any event. i don't know what else they can do, i don't know what else they can do. >> and dagen, in this, 363 billion now, going to be a half a trillion dollars. we're so in deep with fannie and freddie, maybe that's why they won part of the financial reform law because they knew this was a real mess? >> they are the mortgage market, as we know it. and if we want to change this country and bail out in subsidies, you're going to have to get rid of fannie mae and freddie mac. and-- >> easier said than done. >> virtually anybody who's gotten a mortgage in the last couple of years has gotten a taxpayer subsidy because the government controlled fannie mae and freddie mac. you're not going to get a 15 year mortgage unless the government is it and that's what people are getting today.

number one, number two, the people who are really getting stuck here, the taxpayers who are getting nothing, are people who rent, and people who don't have mortgages, they're the people who ought to be the angriest. >> you're so right. so right. >> (laughter) >> and you're a bitter connecticut. and adam, what's going on here? >> well, what's going on here is that we've had decades of bad policy that's created perverse incentives. we're all agreed on that, agreeing completely with dagen and with what ben had to say about this and i think you're right, neil, i think the administration took fannie and freddie out of what they did this year because it's a bigger, worse mess and i heard geithner speak this week in california and he said they're going to try to get to it next year and i take it at his word they're going to try to get to it. i completely disagree with you charles, this conspiracy theory that the administration is out to get people who have

jobs. look, there are certain benefits to being in your home and paying your mortgage. you don't have to the stress of being foreclosed on and don't have your credit history ruined and impossible to get a loan in the future. do we have terrible problems with our housing system and deal with them. absolutely. are the people who are paying their mortgages chumps because of it? no, i don't think so, charles. >> adam, you want to talk about stress. let's talk about the house where maybe the husband's no longer working, the wife is, and has lost 40% of its value in part because the neighbors were irresponsible, bought a house they couldn't afford with no money down or-- and now they're taking my taxpayer money and you're trying to keep them in the houses and subsidize the whole thing. there's stress for a lot of people. base you're may go the mortgage, things aren't fantastic. we should absolute tsalute thos, they're doing something remarkable, a contract and obligation. >> i agree with you. that train left the station a long time ago.

there are two ways the things can be bad. it collapses and it's bad or we manage it and it's bad. it's bad, charles, that's old news. what we need to do going forward, figure out how to solve the problem what we're trying to do and by the way, neil, in a best case scenario, most of the money you talked about on fannie and freddie has been spent, what the government was talking about was in a bad case scenario which we all hope doesn't happen. >> the danger is, the government through fannie and freddie and the federal housing administration keeps making loans into a really rot ton housing market and that the question is when does it stop. >> but dagen, dagen. >> yes, sir. >> love of my life, dream girl, what should they do? the housing market is already in terrible, terrible shape. should they stop supporting the housing market? >> you could take away the portfolio that fannie and freddie actually of mortgages that they own, that's where the trouble, the root of the trouble was and just keep dialing it back until they're out. >> and i think that-- >>, but i want to go back to--

dead forever. >> i do want to go back to something that charles said. one, i don't want to be in that neighborhood, but the other greater extent here, whatever happened to the days, guys, when the responsibility was kind of the debt of our society and not too long ago, i showed my parents, closing dul documents, two pages, 1945. my closing documents look like the manhattan telephone book. have we made things so complicated and involved. we can't return to the mean again and the mean being you could buy a house if you've got 15 or 20% to put down. there are no various mortgages, there are only a couple and just return to sm policety? why can't you put the genie back in the bottle? >> well, i mean, this is at the heart of one of the problems. you talk about paper work, a lot of this stuff there is no paper work, and you know, we

talk with a slippery slope. the people are paying mortgages, why should i? if all of these programs are available to me, but i only qualify-- i get hundreds of e-mails about this stuff every week. if i only qualify for mortgage modification, help from this government, help from this agency by missing payments, why am i an idiot and-- >> and there are people i heard on your show, one program, i qualify if i miss three payments in a row. i said yes. do you know what that would lead them to do. >> a lot of people. that's the slippery slope we're on. >> and it's already starting. >> i told o'reilly, slow down-- >> it's only good for the first house not the 8th. and that's where bill, oh, it's not the vacation home. the biggest spender on the campaign trail. it's a union, big union funding with your tax dollars. yellowbook has always been good for business.

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>> from america's news headquarters, hi, everyone, i'm jamie colby. wikileaks threatening a new massive document dump. the whistle blowering website says it's ready to release 15,000 additional documents in the war on afghanistan. after friday's release of 400,000 documents on the iraq war and the pentagon is currently combing through the documents to minimize danger to troops and informants on the field. and also in the other stories we're following, the campaign trail. the war of words is happening on the weekly radio and internet address, trumpeting his wall street overhaul, president obama, speaking and warning voters of a g.o.p. takeover in congress and south

dakota senator john thune the g.o.p. response, blasting the president's economic agenda. and he was here for the coverage at 12 eastern. >> neil: the only place for you to be on election nate is fox business network. we'll have lots of special guests including the president's former car czar steve ratner and fdr's grandson frank roosevelt, jr. and remember, american airlines fame, republican congressman paul ryan, and other big name democrats as well. so you want to join us, watch fox news channel, but take it from my buddy bret baier, tivo in and watch the kickoff of the election coverage next week on the live cost of freedom, outside this fine building, solid battles, we're broke, legendary radio host mark levin joinings

mr. capitalism himself, steve forbes. so many big names if i were to share them with you now, i would have to kill you. i wouldn't kill you. i might hurt you. speaking of the elections, you see as the top contributor for the mid terms, american federation of state county and municipal employees, big union, outpacing the white house whipping post, the chamber of commerce, by over 10 million bucks. dagen. >> hypocritical, the words go on. but this is the danger in the vicious circle that we've been talking about on this show for a couple of years. and that is, public sector unions, taxpayer money pays those employees and is in those union dues and that money then goes to elect democrats that then give those very public unions more and more power and it becomes this cycle, funded by taxpayer dollars that you cannot break. and something's got to give

and that's why they're giving all of that money to the democrats because they're afraid what the republicans will do when they come into office in january. >> neil: but, you know, we've talked about this, i have a different spin on this. i don't even care about that, but-- >> you should. >> neil: but, but, then you've got to be consistent. you can't be a little bit pregnant on this, you either hate all outside money, whether from the chamber of commerce or a union or you don't and you can't, mr. president, rip the supreme court justices in the house and embarrass them on this issue and then pick and choose what kind of money you favor on this issue. >> this is the beyond-- you talk about hypocrisy with a capital h. this is amazing. you know, over the last 20 years, the top 15 donors to political campaigns, only three have been corporations, the rest are unions and they give 90% of the unions to dagen's point to the democrats and that's a real odd relationship and because if it was a business doing that, you

could actually charge and you could investigate them for fraud, and voter buying votes and influence, i mean, it should actually be illegal to your point, if the president thinks it's bad for businesses it's got to be bad for municipal employees who are feathering the nest at the expense of the regular people out there. if i'm working for the government making 100,000 and my counterpart in the private sector, 50 grand for it, i'm paying off the government to make sure that-- >> here is what would worry pee, ben stein. we heard at that afscme took out a loan for the push and i'm they go as a member. it's not my money. >> and the problem dagen noted hypocrisy. in the last election cycle in 2008, mr. obama outspent mrmr. mr. mccain, 7-1. nobody said boo did it. he got away it it. and he argued the republican fat cats.

nonaccepts, in the campaign cycle. 1 million dollars contributions from individual donors all, but one was a democrat. the democrat have been piling up money on individual candidate basis, they're still outspending the republicans, it's only on the outside money where the republicans are finally catching up and overtaking this election cycle and the democrats have been the party of the fat cats for a long time now. union fat cans, very wealthy hollywood fat cats and wealthy new york fat cats, they've got them. >> adam, putting all of that aside, this is hardly the stuff of which to build bridges with business, is it? >> i agree with you there. there's the relationship with business between this administration is terrible. i think after the election, it will get better. by the way, the president's spokes people have said that he is against the supreme court decision, which includes corporations and unions. he has said that, neil. >> but he didn't practice. he didn't say a word about the afscme, he didn't have a

problem with it. it's just like i might say, i should have a salad. if i don't eat the salad, i'm a hypocrite. >> most recently he has said-- his spokesman said he oppose the spending period the way the supreme court. >> neil: no, no, no. >> oh, please. >> neil: i actually read the statement today, what they said they're opposed to this sort of thing, but they pointed out that the chamber's money is a fraction of the real business money coming in so what they're saying, they spend more, that is hardly condemnation. >> the day that mr. obama says look, i'm not taking anymore union money, not taking money from wealthy hollywood people, not taking any money from the wealthy wall street people, that's the day i hope to live to see. >> and if europe is cutting spending. we seem to be ramping up the spending and that has the forbes gang burning, coming up

at t next. and fear mongering, hearing from the breast cancer patient who is thankful, thankful that she's got her cancer now. [ advisor 1 ] what do you see yourself doing one week, one month, five years after you do retire? ♪ client comes in and they have a box. and inside that box is their financial life. people wake up and realize i better start doing something. we open up that box. we organize it. and we make decisions. we really are here to help you. they look back and think, "wow. i never thought i could do this." but we've actually done it. [ male announcer ] visit ameriprise.com and put a confident retirement more within reach. prsso. hi. we love your weight watchers endorsed soups but my husband looks the way he did 20 years ago. well that's great. you haven't seen him... my other can is nging. progresso. hey can you tell my wife to relax and enjoy the vi? (announcer) resso. you gotta taste this soup.

>> coming up. imagine a breast cancer patient saying she's thankful she's got her breast cancer

>> nobody knows what's in it. even if they do they doan know how it's going to affect our coverage. >> and you think to get the treatment as aggressive as you can now, because later you're not sure. >> absolutely, absolutely. i'm getting terrific care and

i'm grateful that they are able to give me the best care they have because my insurance right now is covering it. who knows what the future holds. >> neil: man, the e-mail we got on that one. her name is cindy. she doesn't want us to use her last name out of fear of retribution. she's thankful she's got her cancer now because of the rationing she fears ahead and health care announcing a cost cutting pilot program and that which ares here and of' been wondering what the woman has been fearing now. >> there's never been a case i'm aware of where there's governor run health care where there isn't rationing. the government to be fair doesn't have the money to have unlimited care for everyone. some people will get unadequate health care will die and in a way you might say poor people have had rationing forever, but in the end only rich able to get unlimited care. >> neil: what do you think of

the view that the woman had that i'm grateful i have my cancer now? >> not necessarily an informed opinion. she's-- she should be grateful she has good insurance now, but we have to remind ourselves, every time, ben, insurance equals rationing, it's always been the case and it always will be the case, not changing. >> yeah, but do you want government to decide what kind of care you get? that's what's going to happen. medicare-- >> do you want united health care deciding i'm not sure which is worth. >> have my insurer make that decision rather than in the government pilot programs put in place with this health care law to decide quality over quantity. somebody in government gets to make that decision. >> neil: all right, i was furious about this story until i discovered that united health care is indeed my health insurer and we decided to call them up and find out the point of view putting out a statement the intent of the pilot is to produce unnecessary drug

administration that does not improve the patient's health outcomes. either now or later something gets rationed. >> first of all, countries with socialized medicine the wait times are lendry, people are dying waiting for things we get in weeks in america. and i've heard there's going to be at least 90,000 doctors short. so that means that nurses are going to do things that trained doctors are supposed to do and people are going to get a lot less. it's not well thought out. it's going to be expensive and going to be a disaster. >> neil: all right, i'm not details-- coming up in washington, is it good for your wallet. it's nothing if the capital goes down.

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>> neil: gridlock in washington unlikely profits for our gang's stocks. >> goldman sachs i know it is an evil company, they just had great earnings.

>> neil: adam what do you make of thatç evil choice? >> i just don't like the investment banking business going forward. that's why the stock has under performed. >> neil: what are you doing these days? >> i like caterpillar. not only benefiting from a boon in latin america but a global mining boon driven in part by politic tensions with china. >> neil: ben, caterpillar? >> incredibly well managed, well run company always has been.ç adam is not as far as i know discovered anything that is no the price of the stock. >> neil: what do you like? >> vpi. i was privileged to have dinner last friday with warren buffet and i said what should the ordi