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tv   The Early Show  CBS  June 14, 2011 7:00am-9:00am PDT

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>> hot day like today. >> i'm saying. >> probably head together beach. hope you are, too, folks. thanks for joining us. see you tomorrow. >> caption colorado, llc comments@captioncolorado.com good morning. attacking obama. the top republican candidates for president face all of in their first debate but instead of going after each other, they took dead aim at the president. >> we need a new president and the obama depression. >> i will repeal obama care. >> president obama is a one-term president! >> we will speak with gop candidates michelle bachmann and tim pawlenty and also get response from a top obama adviser. town hall. notable republican leaders take your tough questions about the top issue of the day -- the economy. >> this is not a future in which people, businesses or consumers, feel confident in the american economy. >> saen one of the major issues
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also they have learned to do more with less and not in hair interest to hire people? we will see what solutions they offer to creating jobs and turning the economy around in our special hour-long town hall. fallen star. former super bowl champ plaxico burress tells chris he turned his life around after spending two years in prison. he talks about life behind bars and his nfl comeback. "early" this tuesday morning, june 14th, 2011. captioning funded by cbs good tuesday morning to you. i'm yerica hill in washington o the set of "face the nation." i'm chris wragge. and the knee weiner facing new pressure to resign from president obama. he was granted a leave of absence from the house last night but will he resign from the mounting pressure.
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we will get reaction from capitol hill in a few moments. back to you, erica, in d.c. first for a number of these folks presidential debate. kicking off the race last night in new hampshire and they saved most of their political jabs for the president. cbs news political correspondent jan crawford is in manchester, new hampshire, for us this morning. good morning. >> reporter: good morning, erica. the main question going in whether the candidates would take off the gloves and start punching each other. after two hours of talk last night, it became clear they were going to keep their focus on the president. the republican debate was largely about one thing -- the leadership of barack obama. >> where are the president's ideas? he isn't leading on balancing our budget and he is not leading on jobs. he has failed the american people both in job creation and in the scale of government and that is why he is not going to be ree lebtlectereelected.
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>> the obama administration is anti-jobs and. >> i want to announce today president obama is a one-term president. >> reporter: standing on stage together, the seven republicans were united. former minnesota governor tim pawlenty even backed away from tough statements over the weekend before front-runner mitt romney's health care plan. >> you don't want to address why you call governor romney's obama care? >> the question raised from a reporter was what are the similarities between the two and i just cited president obama's own words. >> reporter: with the front-runner untouched he could afford to be generous. >> either one of the people on this stage would be a better president than president obama. >> reporter: noncandidate sarah palin managed to find her way into the debate on a question about the 2008 vice presidential picks. >> is not biden has been wrong about every major strategic decision. governor palin is a remarkable leader. i think she is qualified to be president of the united states. >> reporter: perhaps the biggest headline of the night came from minnesota congresswoman michelle
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bachmann who made her candidacy official. >> i filed today my paper work to seek the office of the presidency of the united states. >> reporter: now, it was a big night for bachmann who really accomplished what she needed to do in her introduction to the american people. she showed she could talk tough on president obama and take on washington and that she intends to be a serious player in this race. erica? >> jan, thanks. joining us now is minnesota congresswoman michelle bachmann who participated in last night's debate and used that opportunity to announce her candidacy for president. good morning. >> good morning, erica. thank you for having me on. >> so good to have you with us. you had said that you would likely announce in waterloo, iowa. but last night, you said i'm here and i've filed my papers. why last night did you choose? >> well, we had come to the point where we had full assurance from the american people that this was the right thing to do.
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i've traveled extensively both to new hampshire, to iowa, to south carolina, florida, other states, and we were quite confident, after much planning and deliberation, this is exactly the right time to file the paper work and we will be making a formal announcement soon. >> will that be in iowa? >> well, we're looking forward to making the formal announcement soon and i hope that cbs will be there. >> okay. let us know where and when. in the meantime, you pledged last night in the debate to repeal health care reform. there are 40 million americans without coverage. what would you offer to them as an alternative? >> well, you know, the real problem in health care, erica is cost. unfortunately, president obama's prescription will only increase the cost for the average american. what i'd like to do is allow every american to be able to buy any health insurance plan they would like with most minimum requirements anywhere in the united states and use their own
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money, tax-free, don't subject it to tax aiation to pay for th premiums and down pays and prescription drugs, anything related to health care and have true medical malpractice reform. that would actually help everyone in the united states, no matter what their income level, no matter if they have preexisting conditions or what by bringing down the cost of health care and that would do more to help health care more than anything else. >> former governor sarah palin, obviously, gets a lot of attention. she has not declared her candidacy. she has strong support among tea party members and you do, too. you founded the house tea party caucus. if she were to enter the race, would you ho you differentiate yourself? >> well, i have great respect and admiration for the governor and i came to my decision to enter the race to seek the presidency of the united states independently. it was a unique decision for me and i think we have a wonderful field of candidates and i think we have room for more. if the governor would choose to
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come in, but i'm choosing to run because as a former federal tax lawyer and also as the creator of a successful company in my home state, i see that we have a need now for job creation like no other time. and i look forward to bringing the voice of the common sense of the american people that i brought to the halls of congress through the tea party now to the white house where it's been missing for far too long and i look forward to entering into that conversation. >> congresswoman michelle bachmann, thanks for your time this morning. >> thank you, erica. former minnesota governor tim pawlenty also participated in the debate and joins us from manchester. good morning. >> good morning, erica. >> there's a lot of talk this morning about the term that you coined on sunday and seemed to back away from last night. did someone prior to the debate sit down and say, look. we don't want to i don't that term any more, back off of it? >> no. it's a term i used on a sunday morning show to make the point
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that president obama admitted that he used the massachusetts health care plan as the blueprint for obama care and last night during the debate, i was first trying to respond to the audience question and when pressed by the moderator, i did use that term again. >> it was a term tweeted afterwards by some of the folks in your campaign. >> it was a term that i used also -- i did also use it during the debate when the moderator asked me about it in the last part of that question. >> it seemed to be, overall, a very friendly debate. this is the first one, of course with you up there on stage. not a lot of shots taken. was that something that had been discussed or did anyone come to you ahead of time and say, look. let's make this first one kind of nice? >> i think what you saw last night is a party united in the nks we need to get barack obama out of the white house. he's had his chance. his policies aren't working. we have crushing levels of unemployment. we have 4 dollar a gallon gas and a federal government out of control and i had an opportunity last night to present my vision
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for america which is to reduce taxes and regulation and get investment and jobs growing again in this country. a big part of the debate was focused on my plan to do that and i was grateful for that opportunity. but we're united in trying to defeat barack obama. some differences amongst republicans as well but last night, the focus was on the president. >> your fellow minnesotan and representative michelle bachmann announced her candidacy last night. what do you think is the most significant difference between the two of you? >> well, each candidate, regardless of whether it's representative bachmann or somebody else brings different things to the table. in my case, i have upbringing is a blue collar upbringing i think a lot of people appreciate in terms of connecting at the heart, given some life experiences of facing life challenges but also i function as an executive and have led a state, a large enterprise in growing jobs, cutting taxes, reducing spending, appointing conservative judges to dovecourd many other things like that and a wish for america and was part
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of the debate last night. >> when you left office there was a significant deficit. jobs and the economy are the number one focus. 48% of americans say that is the most important thing to them in the last poll. they that concern to them when they look at a candidate who lost office with a defideficit. >> the deficit relates to the upcoming two years after that but that is based on 20 plus percent spending projected increases that i would have never allowed as governor of minnesota. >> you say that was on the person who took over after you? >> the budget that is in effect now is the one that i last left and it's going to end with a surplus. in fact, i've got one of the best financial records in the country. only four governors were given an a-grade for financial management and the other three aren't running for president. >> well, plenty of talk of financial management in the next few months. appreciate your time. sir, thank you. >> thank you. >> here is chris. the political pinata last
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night in new hampshire was the obama administration. democrat candidates attacked early and often. robert gibbs is in manchester to go on the defense morning. good morning. how are you? >> good morning, how are you guys? >> let's start with the debate, republican candidates on the offensive. uniformly attacking president obama. were you surprised they didn't put their hands on one another? they krael kind of stayed nice and easy breezy last night and they had opportunities, including governor pawlenty. >> well, look. i think from the political perspective like that, i think they are trying as much as anything to introduce themselves to the american people but i think you guys just touched on it in the past, the last interview with governor pawlenty. he has a record that left minnesota with a budget deficit. mitt romney's record on the economy, when he was governor, massachusetts ranked 47th out of 50 states in creating jobs. so i can understand why these guys would want to attack somebody else.
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and not talk about their own records. >> let's talk about the economy here and president obama. when he ran for the job he was critical of president bush's efforts. two and a half years now into his first term. some would argue things are not much better. how did president obama deflect a lot of his criticism? >> well, look. i think first and foremost, we have to understand and i think the american people are living this each day. we had a huge recession that started in late 2008 but, you know, many years before that, we saw the middle class losing security, their paychecks shrinking. we have been in a bad economic time, not the past two and a half years but for many years before that. i think what you heard last night from the republican candidates was let's repeat the very same policies, tax cuts for millionaires, removing responsibility from our financial system. many of those ideas are what they espouse to try to get us out of these problems. those are ideas that got us into this problem. i think what the president is focused on, you saw him down in
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north carolina yesterday meeting with ceos the way to continuing to strengthen to grow this economy is how do we improve education, how do we improve job training and how do we invest in the jobs for the future. i think all of that will create a strong foundation that will take some time to get us out of this hole. there's no doubt about that. but i think we are slowly making progress. the president doesn't believe and i don't think many people believe it's fast enough and he is goint continue to work it through. >> is the president running out of time? he said on saturday during his radio address a sentiment echoed for it seems years now it took us a while to get us into this mess and take us a while to get out of it. is he running out of time? >> no look. i think he would be the first one to tell you he doesn't think this economy is producing jobs fast enough but, again, i don't think this all happened in the last year or two years. it took us many years to get to this point and take a while to get out. we lost 3.5 million jobs the
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first six months the president came into office and past six months created 2 million jobs and doesn't fill the hole we lost. we lost jobs during our administration. the key is continue to make progress. it is slow. it's sometimes steady and it's a little bit in fits and starts, but i think the president has to continue to do what he has done and that is focus on strengthening the economy and creating jobs. >> i only have 20 seconds here with you. so i need a quick answer from you. looking at the debate last night, the seven on the stage who do you think poses the biggest threat to the president right now? >> i think honestly it's too early to tell. i think this is a long process. there will be many more affairs like last night. where these guys are going to have to go through and test their own answers and abilities and i think it will be -- it will be several months before we get a chance to know who that person is likely to be. >> good reflection there, robert gibbs. good to talk to you. here is jeff glor another check
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of today's headlines. good morning. more pressure on congressman anthony weiner to resign. today president for the first time blapresident obama weighed. >> i can tell you if it was me, i would resign. >> weiner's wife, secretary of state hillary clinton's top aide is returning from an overseas trip today. weiner said he won't consider resigning until he talks with her face-to-face. it may be the largest theft in history. federal investigators now acknowledge that 6.6 billion dollars sent to iraq was likely stolen and will never be found. you might remember following the u.s. invasion of iraq in 2003, cargo planes full of hundred dollar bills were sent overseas to pay for rebuilding. 6.6 billion dollars vanished though. . investigators say it will likely never be accounted for. in the southwest, the fight against wildfires continues this
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morning. gnaw fire in northeast new mexico has forced evacuations and burned 6,000 acres. that huge fire, though, in eastern arizona is now 18% contained. in iowa, two levees broke alone the missouri river sending floodwaters racing on farmland in hamburg crews are building a wall to keep that water out. 16 minutes past the hour. over to marysol castr
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thanks so much. that's your latest weather. now back over to erica and chris. good morning. >> marysol, thank you very much. anthony weiner staying out of sight but still won't resign from congress this morning, even after the president now says if it was him, he would. he was superstar on the
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gridiron but an accidental gunshot with a weapon landed plaxico burress behind bars for three years. now we speak with him and how he plans to make a comeback in the nfl. this is "the early show" on cbs.
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former super bowl champ plaxico burress of the new york giants says he is a new man. he was released from prison just last week, and yesterday we had the chance to speak with burress about serving time on a weapons possession charge. 20 months in jail. now he's talking about a return to the nfl when the nfl is playing again. we're going to talk to him about that and his time away, when we come back. >> this portion of "the early show" sponsored by volkswagen. that's the power of german engineering. that's das auto.
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a man was shot to death early is morning in san good morning. it's 7:25. let's get you caught up with the headlines. i'm frank mallicoat. a man was shot to death early this morning in san jose. police found the victim in his 1200 block of oxton drive around 3:00 this morning. three other people wounded. police have no suspects at this time. san francisco's muni drivers will have to work under a contract they rejected by a 2:1 margin. that's what an arbitrate hears decided after the transit workers voted against the contractor last week. the deal is expected to save millions. >> you might see extra security in the merchants exchange building in san francisco and the claremont in berkeley. first lady michelle obama will be the guest of honor at fundraisers at these locations starting in berkeley a little
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more than an hour from now for breakfast. the fundraisers are for president obama's re-election campaign. traffic and weather coming right up. stay with us. ,,,, [ banker ] mike and brenda found a house that they really wanted. it was in my sister's neighborhood. i told you it was perfect for you guys.
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in the south bay, delays northbound 85. we are dealing with an accident blocking the road traffic backing up in the area. slow southbound 87. give yourself extra time there approaching 85. wreck at 380. slow in both directions and the golden gate bridge starting to load up a little sluggish working to the waldo tunnel. lawrence has the forecast. >> foggy outside but lots of sunshine too. we are going to see more sun in the afternoon. today going to see some high temperatures in the 80s and 90s in some of the interior valleys. 70s and 80s around the interior parts of the bay and at the coast, should become mostly sunny after patchy fog this morning and 60s common. toward tomorrow, looks like more of the same as high pressure is in control. weak trough in the bay area will weaken and as we head into thursday, much cooler temperatures are on the way. ,,,,,,,,
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new york representative anthony weiner under new pressure to resign. this time from the white house. president obama commented on the scandal and says weiner's actions were highly inappropriate. we're going to get the latest from washington coming up in just a few moments. but good morning, and welcome back to "the early show," i'm chris wragge in new york. erica hill is in d.c. good morning again. >> good morning to you again, my friend. here in washington, because in our next hour we're going to be bringing you a very important and hopefully informative town hall. we sat down for a town hall on the economy with republican leaders, want to get their view after last month's town hall with the president. so folks in our audience asking questions, also your questions which you submitted online about what their plans are for the country. those answers coming up in our
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next hour. chris? >> looking forward to that, erica. see you in just a couple of moments. first back here in new york, let's start with a big story that's, well, been a big topic all around the country. anthony weiner and that scandal. the new york congressman's request for a leave of absence was granted last night by the house of representatives. cbs news congressional correspondent nancy cordes is in washington with the latest on this whole scandal. nancy, good morning to you. >> chris, good morning to you. you know, the white house had avoided weighing in on this mess for two weeks, but in a new interview, president obama calls the congressman's actions highly inappropriate, and says he should probably step down. >> i can tell you that if it was me, i would resign. >> reporter: the president made the comment in an interview with nbc news. but stopped short of calling on weiner to step down. as congressman weiner gets help at an undisclosed treatment center, his request for a leave of absence was read aloud on the house floor, and officially approved by members. >> before the house the following personal request.
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>> mr. weiner for a period of two weeks. >> without objection the request is granted. >> reporter: back to work after a one-week break, even some of weiner's friends in the house said he should resign. >> i liken him to a hit and run accident. the accidents were bad enough, but the fact that you also ran and then lied about it, it's horrible. he should step down. >> reporter: house majority leaderlead leader eric cantor said democratic leaders should consider taking away his committee assignments if he should refuse to leave. but there are still many who say the decision should be left to the congressman himself, along with his wife and his constituents. >> whether weiner stays or doesn't stay, we're not getting one person in my district a job. we're not getting my person to keep them in their house. will not bring back any of the money they've lost in this recession. so you know -- >> reporter: you don't think it's affecting your job? >> no. >> reporter: you don't think it's a distraction? >> i'm not going to let it be a distraction. i don't have time. >> reporter: with the president now pushing weiner to resign, the pressure on him is intense.
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and the house ethics committee has also begun a preliminary investigation. but he has said he wants to talk to his wife huma first before he makes any decision and she's been traveling with secretary clinton in the middle east and africa. they're due back today or early tomorrow. >> nancy, if the congressman still, after all of this, will not resign, is there anything party leaders can do to force him out? >> well, they have a range of unappealing options, chris. they would vote as a caucus to throw him out of the democratic caucus. he would become an independent. they could, as i mention, strip him of those committee assignments. but leaders are reluctant to go this route, especially because congressman weiner hasn't broken any laws. >> all right. nancy cord necessary washington for us this morning. nancy, thanks. now here's jeff glor at the news desk with another look at our headlines this morning. >> good morning. in western libya today government troops fired rockets across the border into tunisia. a witness says at least five rockets fell on tunisian soil. meanwhile to the east rebel troops are fighting their way toward libya's capital. cbs news correspondent allen
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pizzey reports from tripoli. >> reporter: rebel forces are paying a heavy price in their battle to break out of the besieged city of misrata and move towards the libyan capital. the rebels complain that nato's air campaign against gadhafi's forces is too timid. but the canadian commander of the operation described conducting air strikes on the front lines as like trying to intervene in a knife fight in a phone booth. and the libyan government is desperate to show that nato hit civilian targets. in this case an oxygen plant that allegedly supplied 97 hospitals. as is always the case at sites like this, the libyans insist the target had absolutely no military value. and say they're at a loss to explain why there might be some tanks parked next door. the factory manager claimed the tanks had already been destroyed elsewhere and were moved so they wouldn't litter the streets. pressed as to why the army might leave them next to his factory, there was a rare moment of unguarded candor. the factory manager said maybe,
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this is a wrong by our people. allen pizzey, cbs news, tripoli. in syria today, government tanks pushed toward the border with turkey forcing more refugees to flee. thousands right now are being jammed into tent cities set up just across the border, as you can see. meanwhile, syrian tv showed pictures said to be weapons found in a town near the border. and following up on a story we reported yesterday during a visit by jordan's king to a southern town rocks were thrown there. a skirmish between police and
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coming up next, we all know it's the economy, stupid. but other issues will also come into play as the presidential campaign heats up. those issues and how the candidates will go on the attack when we come back. part of my job is teaching my patients how to take insulin.
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it is no secret the presidential campaigns can be brutal.
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but our next guest says he expects this to be the most negative, vicious, most frightening election cycle ever. uplifting words. pollster and political commentator frank luntz is the author of "the key principles to take you from ordinary to extraordinary." good to have you with us. you say it's going to be basically the worst campaign we've ever experienced. why? >> because we're the angriest that we've ever been. 72% of americans define themselves as mad as hell and not going to take it anymore. we've never had that level of anger. if you're over age 30, every income level, every educational level, we're anxious, we're frustrated, and we think that people have made promises to us that they haven't kept. we don't trust politicians. we don't trust business leaders. we don't trust religious leaders. we have no trust in anything anymore. >> so you paint quite a picture, which probably most candidates -- you know, it's mixed bag. part of them wants to hear things, they want to present the solution. part of them doesn't want to hear all that negativity. there's no denying the number one issue for folks is the economy, the economy and jobs.
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center, and in the center, that's how you win a presidential campaign. >> as we know. you mentioned the negativity. the ads have already started rolling out. there's one in north carolina i know you want to take a look at this morning. i think we have that. >> in 2008, we fell for his hope and change. all we got were broken promises. >> today i'm pledging to cut the deficit we inherited by half by the end of my first term in office. >> thanks to obama's budget
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deficit we face high unemployment and an uncertain future. and now he's back asking us to believe him again. >> i need you, north carolina. >> contribute today and help -- >> in the grand scheme of things, this is what you expect. it's a campaign. >> but i think it's going to be more vicious than that. it's a smart approach. you take someone's words and you use them against them. and obama gave a lot of speeches in 2008. and so there's a lot of language that you can show. but in the end you're trying to build trust. you're trying to build credibility. that's what this is all about. who do i trust? if i trust them, i'll believe their statistics. i'll believe their solutions. and i'll vote for them. >> people want to trust them with their future, too. health care, medicare, two very important topics. paul ryan has put out as part of his plan, medicare, two-thirds of respondents say they don't get. are candidates explaining well enough what they would do? >> well, they've just started. this discussion of medicare has only been six, seven weeks old so you can't expect the american people to be following it. as we move deeper into the election, i think that there
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will be more successful. in the end, they have no choice. they better explain it before election day. >> and i should clarify, too, i'm not in any way saying that paul ryan is a candidate. simply looking at the plan. >> although maybe he should be. >> well, he said he's not. frank, good to have you with us this morning. just ahead we go one wn one with fallen football star plaxico burress. just out of jail, attempting a comeback. he's talking with chris. this is the "early" show on cbs fill an entire community with joy? maxwell house believes so. that's why we've partnered with rebuilding together to help revitalize communities in need. vote for your community at maxwellhouse.com. ♪ wait. ♪ happy father's day. ♪ happy father's day. sally, you don't need toys when you have... ♪ imagination
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erika: (gasp) employee: come on in. make yourself at home! erika: this is my home! employee: let's take a look! erika: (lifting laptop) it's really light. honey, help me shop! employee: you can get up to seven hours on this battery. jesse: the color really pops out. employee: everything's wireless. wireless keyboard. jesse: that's impressive. i like this one better. erika: and i like this one... vo: new pc. what's it gonna be? erika: i'm a pc, and i got what i wanted. jesse: as usual. he spent two years in prison after pleading guilty to a weapons charge. but now plaxico burress is out. he is determined to make a football comeback, and make up for his misdeeds. i caught up with him monday at the national urban league, where he pledged to work against gun violence. in 2008, the new york giants were heavy underdogs to the undefeated new england patriots in super bowl xlii. but with less than a minute left, wide receiver plaxico burress made this game-winning catch to bring the lombardi
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trophy home to new york. burress stood at the pinnacle of his sport, but tragically, his ride at the top lasted just nine months before his world came crashing down. in november of that year, while at a new york city night club, burress accidentally shot himself in the leg with an illegal handgun. a firestorm of controversy ensued and he was charged with criminal gun possession. he eventually pleaded guilty and was sentenced to two years behind bars. >> i was angry at myself for, you know, for a long time. for, you know, for putting myself in a position to have that happen to me. for taking that risk. >> how much does it change you as a man? >> going through that experience, you know, you grow. you learn. you learn what's most important thing. that's family. >> during that time, his wife tiffany gave birth to their second child. and many suspected his nine-year playing career was over. >> touchdown, new york. >> all he could do was count the days until he'd return home.
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>> it's a day, you know, that you dream of when you first get in. you know, for those 621 days that i was in that, that's all i could constantly think about. >> burress has partnered with the brady center against gun violence and the national urban league to help educate the public, particularly the african-american community, about the dangers of carrying a weapon. >> i wanted to be responsible for my actions, be accountable for what i did. i just wanted to use, you know, what happened to me, my testimony, to help. >> the 33-year-old father of two is also attempting a professional comeback. he hopes prospective teams will judge him for the man he is now and put aside the mistakes he made in the past. what do you tell them so that they know, you know what, no more problems here. it's plaxico on the straight and narrow? >> i would say don't judge my future by my past, and to just go and just become better and not just, you know, be a football player but to be a champion in life.
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>> although there is plenty of speculation over which teams he may be interested in playing for and which may be interested in his services as a receiver, burress and his agent can't discuss the matter with anyone due to the nfl lockout. but a likely destination could be philadelphia. tony dungy, a former head coach of the indianapolis colts is mentoring plaxico and he is a mentor to michael vick and you know all about what happened with michael vick and his comeback there. so we will see what happens and we'll continue to update you on that situation. we'll be right back. this is "the early show" here on cbs. why do we choose coppertone sport? it works great on wet or dry skin because it's seriously waterproof
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welcome back to "the early show." chris wragge here in new york. erica hill in d.c. so, erica, we got the big town hall coming up in just a couple of minutes. what can the folks at home expect? >> well, you can expect a lot of questions about the economy. that, of course, is the focus of the people in our studio audience and folks at home submitted questions for republican leaders to answer on the economy. hopefully yo some answers. that's ahead in our next hour.
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a big decision expected today for the san jose city council... whether to approve the mayor 7:55. i'm grace lee. time for news headlines. a big decision expected today for the san jose city council whether to approve the mayor's controversial budget plan. it includes layoffs and other deep cuts to reduce the city's budget deficit. the new fiscal year begins in a little more than two weeks. palo alto-based facebook is expected to become a public company early next year. sources are telling cnbc facebook employees and security and exchange official have been pressuring the company for an initial public offering. some analysts say the social networking giant could be valued at $100 billion. seven marie callender restaurants in the bay area are now closed. they are among dozens of
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restaurants shut down by the parent company. now, that company filed for chapter 11 bankruptcy protection. traffic and weather around the bay area in just a moment. stay with us. ,,,,,,,,,,,,
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good morning. slow at the bay bridge toll
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plaza. no surprise. back up to the maze. 30 minutes from the freeway to the maze. southbound at 280 blocking lanes near almaden. cleared to the shoulder but slow and go there as well as 280. north 280 through downtown san jose, traffic crawling along. pacifica busy southbound 280 near 380 from an earlier accident. lawrence has the forecast. >> starting out with fog but how about this, sunshine mount diablo. looking good. and that's where you can expect to see some of the warmest temperatures around the bay area. in the valleys 80s and 90s today, folks. we haven't seen temperatures like this in quite some time. 70s and 80s around the bay and looking at some 60s at the coast. should become mostly sunny heading into the afternoon. tomorrow, going to be a similar day, maybe some patchy fog at
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the coast, cooling down. cooler thursday and friday with the return of the fog. ,,,,,,,,
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hello and welcome to this special hour of the "early show" coming to you from the new see yum in washington, d.c. our focus this morning, the economy. a town hall with republican leaders here to answer your questions just as president obama did in a similar event last month. i'm erica hill along with cbs news chief washington correspondent and host of "face the nation" bob schieffer. >> hello, everybody. we're here to talk to key republican leaders about this economy. according to a poll 79% of americans believe the economy is bad or that half of us are concerned about ourselves or someone in our household losing their job. >> and unemployment, of course, back above 9%.
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gas prices still around $4 a gallon in many areas. and across the country there are signs of a double dip in the housing market. major economic issues affecting millions of americans. so today we've invited a cross-section of folks who ask republican leaders what they can do to alleviate some of that pain. they have submitted their questions of what they find important and they'll hear from viewers who sent their questions in online. >> basically we know what the questions is -- they don't. joining us are four distinguished republican officials beginning with paul ryan of wisconsin. he, of course s chairman of the house budget committee and the author of the republican budget plan. >> also with us florida congressman allen west and south carolina governor nikki haley. >> and finally oklahoma senator tom coburn who served with congressman ryan on the president's deficit commission. we want to say welcome to all four of you. [ applause ]
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>> okay. so let's get right to it. our first question is from trey lewis. this is for all four of you on the panel. >> good morning, everyone. there's many ways that people feel as though president obama isn't using to stimulate and make the economy more robust. if you were in a position to do so, what would be the one thing you would do to stimulate and grow the economy that president obama isn't doing? >> one thing? >> well, 30 to 45 seconds each. >> first of all, i'd go in the opposite direction on spending, on taxes, on debt and deficits. get rid of all the uncertainty in the economy. he's promising huge tax increases on successful mall businesses. i wouldn't do that. keep taxes low and get spending under control so we don't have a debt crisis. if we have a debt crisis, a huge interest rate increase and inflation problem. that's making it harder for businesses to create jobs. so i would go in a different
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direction he's gone on fiscal policy. that's what we've done in the house. he's offered a different direction on fiscal policy. keep taxes and spending low, not high. >> i'd say the same thing that paul is talking about is creating the fiscal policies to create confidence in the american consumer and our small business owners. what i see in my district are the small businesses are the economic engine that drives this country. but if you look at the regulations coming in and restrict the access to capital. and you look at the tax poll sis which are going to preclude them from hiring more americans. you drive by in south florida on u.s. federal highway 1, you see all those closed storefronts. you have to think that there were six or eight americans that once occupied those storefronts. >> governor? >> what i would like to see the president do is really lead and ask for a balanced budget, which he has yet to do. i think that's critically important. from a governor's perspective, everything i've tried to do to govern in south carolina has been stopped by president obama, whether how to deal with the health care crisis.
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he's mandating more on our states, and we can't afford it. whether it's creating jobs. he's actually got the national labor relations board suing a great american company for creating jobs in south carolina or illegal immigration, he's stopping my labor director from allowing her to enforce the laws that are in place. the key is let the states have the flex inlt and the freedom they need to have in order for us to govern, which sat the end of the day is down to the states, we need the federal government to get out of the way. we need a president who understands let them have states rights and let them handle their states in the way they need to. >> senator? >> i think what needs to happen is we need to identify the real problem. and the real problem is america's anxious. doesn't have confidence about where we're going. and that's, i think, a leadership deficit on behalf of my friend, president obama. i think we need to talk true and honestly to the american public about the depth of our problems. they're not unsolvable, but
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they're unsolvable until we address them and identify them. and what washington's big habit is we treat the symptoms of the problem rather than the problem. and so being honest and saying, we don't have any choice. we have to eliminate $9.7 trillion out of the federal government's expenditures over the next ten years to not go in the tank. they can dispute that, but that's the fact. anything short of that will not solve the problem for your future or your children's future. there's $2.5 trillion sitting on the sideline and this country right now that could be invested if people had confidence and clarity about the future. and i don't believe president obama has delivered that. and i think as soon as he does, you're going to see a big turnaround in the economy, regardless of what we do on the other things. we've got to have confidence that we believe in our future. and i think that future a sk lag because we haven't had the leadership to put that forward. >> well, that certainly gives you the republican view of what's wrong with the economy right now. so that gives us a place to start here.
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erica? >> we want to move on to our next question now. nancy logan is an executive assistant who is between jobs. she might look familiar. she was at the town hall. she asked the president basically the same question. your chance to ask it to republican leaders. >> i was given a loan rate modification that ends in less than a year and the rate is likely to go up significantly where i won't be able to afford my monthly mortgage payment. i can't refinance my house or move into a fixed rate mortgage because i owe more than the house is worth. my question is what is your party doing in congress to help americans like myself who are stuck in this dilemma. >> we want to talk to congressman west, because florida 56% of homes are under water. >> an incredible situation down in florida where, of course t subprime mortgage industry really took a toll. the most important thing that we have to do is from the policies we're creating up here is set the conditions by which we can reduce the size and scope of this federal government to get money back into your pockets so
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that you can stay in your home and so that you can have this job growth. if you go back and look at the community reinvestment, redevelopment act, when government all of a sudden got involved into the mortgage industry, i mean, sooner or later, 30 years down the road, you see what happens when all of a sudden we start to take those mortgage-backed securities and we're selling them freely between banks, then we have all this bad paper out there. the most important thing is get back to sound economic principles that work and not come up with the band-aid remedies like this $800,000 mortgage credit that we give which we saw really didn't do anything to stimulate the mortgage industry. >> senator? >> i would say like tom coburn said, why is this happening? it's happening because the economy's in the tank, there's no confidence. people don't feel confident about the future. so they're not going out and taking a risk and buying a home and therefore bringing your home value up. this is a symptom of the bad economy. let's fix the economy. there's a lot of things that i hope we can get into that can
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get this economy growing because washington's throwing a bunch of programs at you and it's still not working. it's cost a lot of taxpayer lab liability. there's no confidence in this economy to bring that market back up so you're not under water any more. >> let's go to robert johnson who has, i think, apparently to your question here. >> there's a lot of agreement that we need to balance the budget and reduce the deficit. how realistic are we in achieving those goals if we do not reinstate or raise at least some taxes? >> i want to ask senate coburn to answer that question. kind of got off the republican reservation there. he wanted them offset. so should taxes be off the table? >> no, i don't think so. look, there's two answers to your question.
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how have we fixed our problems without agreeing that we'll have to give something to get what we want? and growing the economy that markedly enhanced the revenues shouldn't be an anathema to republicans. if we want to do all these spending reductions -- and i'd love for us to have time to really talk about because i can give you eight out of the 9 trillion i'm going to propose, but if we're going to do it, for those who are locked in politically to those programs, you're going to have to give up something. so we're at historically low values as far as the percentage of the gdp that comes from revenue from american taxpayers. that's part of our problem. we're also at an historical high in terms of spending. that's a bigger part of our problem. what we have to do is pull those back together if we're going to get back to them. 18.8% is the max you're ever going to collect unless you have
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a boom like the dot com bubble. we need to be realistic and know that before we get a solution to the problem, both sides are going to have to give something. the policy question is how do you drive the economy with the government taking a larger and larger share out of the economy and the answer to that is eliminate things that are not legitimate roles for the federal government. went back to the question of homes. where do you find in the constitution the authority for the federal government to be in the home loan business? i mean, it's not there. and the reason we're at risk today, the reason our children are at risk is because we've abandoned constitutional principles, we've abandoned the enum rattive powers and we decided to do things that our founders knew would never work. >> we'll take a break here. >> our town hall on the economy continues with more questions from our studio audience and also from you at home. stay with us. show" on cbs.
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we are back now with our panel of republican leaders, senator tom coborn, governor nikki haley, congressman allen west and congressman paul ryan. >> and we want to bring in our cbs news business and economics correspondent rebecca jarvis, who is following the questions we have been getting online. rebecca? >> bob, thank you. this first question comes from facebook. it was submitted from suzanne thornton of texas. and she asks under a democratic president, clinton, we had a surplus. under a republican, bush, it disappeared and turned into a deficit. so why should we hand our country back over to republicans? governor haley, why don't you take this one? >> you know, i think what we first have to understand is both parties made a mistake. both parties did not handle the government responsibly the way they should. we have got to, and in reference to what the senator said, we do have to cut taxes. and south carolina, we have an economy where i have basically
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said, government was intended to secure the rights and freedoms of the people. it was never intended to be all things to all people. so what we did was we said this is going to hurt but we're going to get back to the basics and we're going to get strong again. and we're going to do it independently of the federal government. and a lot of that is we are cutting unemployment taxes for employers. we are cutting down the weeks for employees on what they get in terms of unemployment taxes. but we have incentivizing those that are successful to want to be more successful. and we have to remember that when you give businesses cash flow, when you give them profit margins, what's the first thing they do? they hire people. so your goal has to be on jobs. it has to be on job creation. and it has to be on the fact that when you know both parties have messed up, guess what that brought about? the rise of the tea party which were upset with both parties that said, we want to take our government back, we're going to do it. now it's government's responsibility to control the spending and know the value of a dollar. >> governor can i just ask you this question, corporations are turning in record profits right now. but they don't seem to be hiring.
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so, doesn't that beg the question here, why aren't they hiring? with all these big profits? >> i'll tell you, i'm proud to say that while the economy is taking a downward turn nationally, in south carolina, it's going up. and the reason it's going up is because unemployment is down for the fourth time in a row. they have a governor fighting for jobs every day. we just passed tort reform. we just passed medicaid reform. we just passed every legislator had to start voting on the record. we're doing things that are giving companies confidences. confidence, one to come to south carolina. we are fighting the unions every step of the way. we are a strong right-to-work state. we're going to stay that way. that's what gives a company confidence to say this is a state where we can make money, this is a state where we can invest and know that we're right to hire and then they stay -- and then they come to stay. my job as governor is to continue to keep communication with those companies and say how do we help you expand? >> representative ryan a lot of governor haley's response talks about jobs and jobs of top of behind for americans. the most recent cbs news poll
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showed that 48% of americans think the most important thing is jobs and the economy. but just 10% think it's the deficit. that's what we mostly hear from republicans. we hear more about the deficit than we hear about jobs. >> they're interrelated. these are the same issues. they're not exclusive of one another. jobs comes from economic growth. economic growth gives us more revenues which help us get down the deficit. the huge deficit we have is nothing more than tomorrow's interest rate increases or tax rate increases. so when government runs huge deficits like it is today, what that tells businesses, who are sitting on capital and not hiring, look out my taxes are going to go up tomorrow, we're going to have an inflation interest rate problem tomorrow. so it is these massive deficits that are showing businesses that there's an uncertain future, and uncertain future with which they don't want to invest in. and that is why a lot of businesses are sitting on capital. i've been at a round table in kenosha with business leaders last thursday. all of them are telling me the same thing. we don't know what's coming from
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government next. so many new regulations coming down the pike. >> they also don't know what's coming from the consumer, though. there's no consumer demand for a lot of their products. they don't know what's coming from the consumer. the demand that's coming from american consumers is very weak at this point which is why they're not creating the jobs to sell the product or to manufacture it. >> consumption comes when people feel secure in their own lives when people have jobs that they feel secure in. when they're not worried about losing their job. you need to have a good economy that is producing jobs and giving security, economic security to americans who then will go forward and act like consumers. and so what we have right now is a government that is giving so much uncertainty, tax rates on successful small businesses under the president's plan, which is in law, is going as high as 44.8% on successful small businesses. most of our jobs don't come from the big corporations, they come from the successful small businesses. and when we're going to be raising their taxes as much as president obama is proposing, that puts a chilling effect on
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job creation. when we raise and borrow all this money, 42 cents out of every dollar coming out of washington is borrowed. 47% is coming from other countries like china. this is not a future in which people, businesses or consumers, feel confident in the american economy. we've got to deal with these issues so we can feel confident and get this job creation back on. >> there's obviously a vicious cycle here and it doesn't help that the u.s. economy is absolutely a consumer driven economy. you talk about the importance of confidence. you talk a lot about small businesses. but going back to large businesses who are sitting on this cash. isn't one of the major issues also that they have learned how to do more with less. and it is not in their interests to hire people. is there any way you can change that? >> well, first of all, predictant. i think large businesses, first of all we're in the international economy whether we like it or not. and we have to recognize, if we tax our employers, our producers a lot more than our foreign competitors tax theirs, they win, we lose. right now we have the highest corporate tax rate, now that japan is lowering theirs. right now we are taxes our
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businesses, our manufacturers in america a lot more than our foreign competitors tax theirs. and what is the government telling them? you're going to pay higher taxes. what is the government doing? running up record deficits. that means even higher taxes. so even though the president's proposing over $2 trillion in new tax increases on these businesses, we still aren't solving our fiscal problem and it's putting a chilling effect on hiring. so you're not going to get good consumption in this country if you don't have good invest, confidence, businesses out there not only keeping people on the payroll but adding to their payroll. so we're in a vicious cycle and we want to get on a virtuous cycle. >> we're going to have to stop this cycle right now. we need to take a quick break. when we come back we have several more questions to get to. stay with us. a barbie dream house and fashionista doll, an at&t samsung infuse 4g... and permanent mounting tape. have you seen my phone? no... [ siren wailing ] that's my phone! [ cellphone rings ] no, that's her flat screen... she lives in malibu. hello, mr. stockton.
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[ magical chime ] ♪ [ people cheering ] [ girl ] whoo hoo! and still ahead, more of your questions for our panel of republican elected officials, as
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we continue a cbs news town hall on the economy. >> this is "the early show" on cbs. your local news is nex,,,,,, ♪ let's go out to the dmv ♪ it's ok that we're number four hundred and three ♪ ♪ we'll find ourselves a comfy seat ♪ ♪ and watch some shows and stuff ♪
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investigation is going on this good morning. 8:25 your time. let's take a look at some of the headlines today. a homicide investigation going on in san jose this morning. overnight, police found a man shot to death on oxton driver on the city's east side. three other people were wounded in the same incident and whoever is responsible still at large at this hour. also in san jose a big vote on whether to lay off more than 100 police officers. the city council will decide whether to pass mayor chuck reed's budget plan. in addition to laying off officers, it called for a 10% cut in pay and benefits for city employees. the san francisco police chief will hold a community meeting tonight to discuss a deadly officer-involved shooting. police shot josue smith last week after officers say he tried to run them over with a stolen car. smith was suspected of robbing two banks in southern california. traffic and weather around the bay area in just a moment.
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what's your story? citi can help you write it. westbound we have a broken- down vehicle just past highway 4. you can see our speeds dipping into the 50s there. stays slow and go all the way into the berkeley emeryville area and as you get towards the
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bay bridge toll plaza, better here. not backed up as far as we were. metering lights are on. elsewhere, across the san mateo bridge, busy, 19 minutes between 880 and 101. 880 heads up at stephenson boulevard with a wreck. lawrence has the forecast. >> you like the sunshine, the warmer weather, we are going to see that around the bay area today. to san jose we go, looking good there right now. could very well see temperatures up in the 80s in the san jose area by the afternoon. even hotter than that if you are heading towards some of the valleys of. 80s and 90s showing up well inland. 70s at the bay. mostly sunny skies at the coast, patchy fog right now. temperatures there expected to be in the 60s. now, looks like the temperatures are going to hold for at least one more day, 90s in the valleys by tomorrow afternoon. by thursday and friday, though, more of a sea breeze kicking in carrying more low clouds and fog, cooling down the temperatures. the internet on a plane! are you from the future?
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welcome back to the special hour of "the early show." a town hall on the economy, the republican view. >> joining us senator tom coburn, governor nikki haley, congressman allen west, and congressman paul ryan, and next we have a little question about taxes. senator coburn, i'm going to ask this one be directed to you, and it comes from crystal grant. >> greetings. i'm originally from south carolina, so greetings to you, governor haley. my question is about compromise. with low and middle class americans making sacrifices every day, and the deficit growing exponentially, it seems difficult to just tax breaks for millionaires and billionaires. are you open to considering maybe tax returns to previous
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levels for those making over $500,000 a year versus the $250,000 level? >> i think my approach would be we've got to find a compromise. i don't like that because of when you do that, what you're doing is taking investment capital that's not going to go into small business or medium sized business. you're taking capital away and saying the government can spend the money better. the fact is, is if we were to lower tax rates, we could actually generate increased revenue. and that's what we had proposed in terms of the president's deficit commission. that's what the gang of six was working on. you know, we can increase taxes a trillion dollars by lowering tax rates and getting rid of things like the ethanol blenders credit that you all pay $6 billion a year for, and then go to the pump and pay another $1.72 a gallon in subsidies for ethanol blended gasoline. i mean we have a trillion dollars worth of tax earmarks in the tax code that are special favors across, and some are not, but the vast majority are
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special favors. we ought to eliminate those, lower the tax rate so people can have the confidence, and the expectations that they know what they're going to pay. so i'm not against increasing the revenues of the federal government, but we ought to do it in a way that actually increases jobs and increases wealth, and increases prosperity. but combined with that, you have to decrease the size of the federal government. the size of the federal government is double what it was ten years ago. we just simply can't afford it. i mean, you just said, in your statement, you have to live within your means. and the federal government has refused to do that. and we're incompetent in congress to address the issues. a couple examples, if i could take some time. we have 80 economic development programs -- we have 188 total. we have 80 within four agencies. not one of those economic development programs has ever had a measurement on it to see if it was actually effective in developing the economy. not one time. have we ever looked at it.
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and the cost for that money, that $6.6 billion that goes for that, we don't know what it is. wouldn't we be better off having that $6.6 billion in the states like governor haley, and say here, do economic development with the money the way you think you ought to do it rather than us in washington, where we don't actually know how to do it. >> what would be your take on that mr. west? >> well, i think it's very simple. and understand four years ago i was sitting in a desert in kandahar, afghanistan, so i bring a very commonsense perspective. being in the military is simple. you know, we don't reinforce with additional resources where we're going to lose those resources. so i think until we up here in the federal government can show that we can be fiscally responsible with the resources of the american taxpayers, then we should not be asking them to increase resources. one of the problems is when you have tax cuts but then you grow government that's how you take a surplus and turn it into a deficit. but it's not just the tax rate. it's all of the additional taxes that make up a marginal tax rate. so the next thing you know you
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got the dividends tax, the capital gains tax, you got your estate tax. you got all the other taxes you may have at the state level even down at the local level. now what we're talking about is a marginal tax rate for people that can be anywhere from 60% up to 70%. even when john f. kennedy took over as president and he saw marginal tax rate on those top income tax brackets of 91%, he said that's too high. and he cut it down to 71%. so when you're talking about growing the economy, once again, investment, ingenuity and innovation does not come from capitol hill. does not come from washington, d.c. it comes from the people down here. and we have to set those fiscal and economic policies that plow moat that, and we have to get spending in line with revenues. 18% to 20%. that's where it is. we need to cap that federal government spending at about 20%. right now, federal government spending as per gdp is 25%. and with the obama budget, it's programmed to go above 30%. you cannot continue to go on that path if you want to have long-term, sustainable, economic and job growth.
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>> let me ask you, the three members of congress here, you've been here since january. to the best of my knowledge you've done absolutely nothing. there's no jobs program. you've got unemployment at 9.1%. why is that? >> well, we have divided government now. first of all, what happened the last two years -- >> well, there's always been divided government. >> a trillion dollars when you had the borrowing cost and stimulus. remember what stimulus was supposed to do? keep unemployment from going above 8%. we're at 9.1. we went as high as 9.8%. a tax increase, $800 billion tax increase with the president's health care law. the health care law passed which is basically the government taking over 17% of our economy. we've got new energy regulations coming through putting a chilling effect on american-made energy to lower our gas prices. so so much has come from the government in the last two years, i believe that that is the greatest reason why the economy's not growing. what have we done since january in the house of representatives where the two of us work? we passed a budget to reform
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this tax system, make people take away tax shelters from higher income individuals in exchange for lower tax rates, and businesses to create jobs. >> not to be argumentative but you passed something you knew there one chance that the senate was going to passed. >> it would be nice if the senate tried to pass a budget. it's been 775 days since the senate even bothered trying to pass a budget. >> wouldn't it be good to try to find some way to compromise, get some people at the same table and say here's something we want to do, here's something you want to do, instead of passing these things that people know will never get agreed to by the other half? >> i give you another great example. our office came up with h.r. 1663 which is the small business encouragement act. what it says in the previous fiscal year if you're a small business that has revenues of $20 million or less, you have 100 employees or less we're talking about extending the work opportunity tax credit for 2012 and 2013 which says we'll give you $6,000 if you hire a person off the unemployment rolls. and if you're in accounting that has a double digit unemployment
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rate you get an additional $6,000. now those are the type of things we're looking to do to help small businesses get out there, encourage them and incentivize them to hire people. it's sitting in the ways and means committee. hopefully we'll get it on the house floor and then get over to the senate and hopefully they'll pass that and get on the president's table. before we recess. >> bob, i think what you're describing is a system of careerism that has invaded and perhaps been here a long time. the goal is the next election, not the next generation right now in washington. >> absolutely. >> we're more interested in political careers than we are fixing the very real and urgent problems in front of our country. the senate has -- this is the lowest level of votes the senate has had in my seven years, and the lowest level of votes in 25 years. and the reason we're not voting is people don't want to take a vote because they might have to defend it. so, rather than come up here and do the job and have the courage and the honor to go out and defend your votes, what we do is we just don't vote. >> how do you change that,
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though? how do you change -- >> leadership -- >> with 18%. >> actions. >> but leadership -- >> we put ideas on the table. we passed ideas in the house. we've said here's how we balance the budget, here's how we save medicare, here's how we create jobs. we're putting these bills out there and passing these bills because you need to lead with your ideas, defend your ideas, and what we're having is basically the crickets are chirping. we're not seeing any action from any of our legislative partners on the other side of the aisle. >> governor haley looks like she'd like to comment here. >> i have to say this. >> from outside washington. >> while d.c. is totally in chaos, and has -- is just not doing anything, the states can't wait. we have to lead. and so, what i would beg of both the congress and the senate, which i think everybody should agree on, is give us flexibility. quit mandating any spending down. medicaid alone is a quarter of south carolina's budget. give us the ability to decide what the health care needs are of our citizens. when it comes to any education mandates, let us decide how to
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educate our kids. when it comes to any of the health care, let us decide our health care. and bloc granting in medicaid is huge for us. if they would do that, i know the congressman has done that as well and they've been helpful. these are things that can really make a difference. you know, i have said d.c. is just dysfunctional right now. but all i would beg is that those things can be done right away. those are things that y'all could pass that would make a huge difference with our states that we could continue to function and lead for our people while you all figure everything else out. >> let me ask senator coburn to wrap this up. i think he hit the nail on the head here. is there any way to change this, senator, will we see a change? >> i think the american people need to change it. i'm convinced that washington is main focus is short-term political expediency. and the reason our country is at risk is because we think short-term and about the next election rather than thinking about the future of our country. the reason i'll stand up as a
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conservative republican, one of the biggest deficit hawks in congress, and say, i'll negotiate on taxes. because our country's in trouble. and if we don't, we're going to lose the very limited future that's in front of us today. and somebody else is going to tell us where we're going to spend our money. >> that's right. >> it isn't going to tb the american people. it's going to be the bond holders throughout the world. >> do we go the direction then of the united kingdom and employ austerity measures and face potentially a toxic environment? that's what the bank of england just said, a toxic environment where there's slow growth and inflation taking place at the same time? >> no. you do both. there's no question, first of all, every dollar the federal government spends doesn't give the same bang for the buck in the economy. and i can show you about $5 trillion that gives us a negative return on the dollars that we spend. so if we're going to spend money as a federal government then we ought to be spending it where we get an economic multiplier of $2 or $3. the problem with the stimulus bill, there was only $46 billion out of almost $900 billion that
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actually had any productive change in terms of economic multiplier in the whole stimulus bill. no wonder it failed. we said it was going to fail. because it did not create jobs that then created more jobs. so this isn't hard. what is hard is to come to the realization that career politicians in this country are killing this country. >> with that we actually have to move on to the next topic, although we could talk about this for a long time and this comes from leslie in our audience. a question about medicare. >> hi, there. i'm 48 years old so i'm in the age group that would be impacted to the changes to the medicare program under the so-called ryan plan. i'm also the caretaker of an elderly parent, common in my age group. how can you be certain that medicare will be affordable for me when it comes time for me to retire, especially considering i've been paying in for 30 years? >> i'm the ryan guy. i guess i'll answer the question. a few facts that are not in dispute. fact number one, we have 10,000
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baby boomers retiring every day. and fewer workers coming in to pay taxes to pay for the program. fact number two, health care costs, they're skyrocketing at about four times the rate of inflation, which is threatening medicare's turnability to provide affordable, accessible care. fact number three, all the experts agree medicare is going bruptd. medicare along with social security i would argue are the most important federal programs we have. so what we want to do is save and strengthen the program. here's what we say. number one, if you have retired already, or if you're 55 and above and are about to retire, government made a promise to you. we should keep that promise. so we say, don't change the program for anybody above the age of 55. but in order to be able to do that, in order to cash full that promise, prevent that bankrupt from hitting my mom who is on medicare. my mom took care of my grandmother when she had alzheimer's on medicare, it's very important to me personally as well, you've got to fix it for the next generation if you want to keep it for the current generation. and the way in which we propose
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to fix it for 54 and below are to have a system that works like the one we have in congress. like the one that president clinton's bipartisan commission to save medicare proposed in the late 1990s. an idea that's had bipartisan support in the past. it's called premium support. it works just like medicare advantage today. medicare prescription drugs. medicare supplemental. you get a list of plans that medicare preapproves that are guaranteed coverage options that you select from. these plans compete against each other for your business, and then medicare subsidizes that plan based on who you are. if you're a wealthy person, we don't think taxpayers should subsidize their health care as much as everybody else. if you're a lower income person or if you're a person who keeps getting sicker we think we should have increased subsidies. and so what we say is starting for the 54 and below crowd, when they turn 65, is take what we spent per person on medicare, apply it to these people, adjust it like i said, less for the wealthy, more for the poor and the sick, so that they can have plans to choose from and use choice and competition. here's the alternative, the
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president passed a law, it's in law, obamacare, i know people don't like it being called obamacare, the current health care law raids half a tral dollars from medicare to spend on this new health care law and puts a board of 15 unelected, unaccountability bureaucrats in charge of cutting medicare for current seniors through price controls, which will lead to providers dropping care, which will lead to rationing, which will hurt the actual program for current seniors. we repeal the rationing board. we repeal the raid of medicare. we think medicare funds should go to medicare, not other programs. how many times have you heard that on social security and we save it for the next generation so we can cash flow the promise and keep it for the current generation. so when you turn 65, you'll have a program that will be there for you. at the age you are, 48, i'm not that much younger than you, it's not going to be there for us if we don't do anything to save it. it is going bankrupt. the sooner we act on this the better off we are. and the more gradual the necessary reforms are.
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it will be british austerity. it will be painful benefit cuts to current seniors, tax increases on everybody like young people that slows down our economy, if we keep kicking the can down the road. and it is the political careerism around here that has put us in the mess we are in, and you need leaders to step up and stop doing this. we put a plan out there. i don't expect everybody to like the plan. but at least we put a plan out there and i would love to see our partners on the other side of the aisle put their alternative plans out there so we can get to the business of solving this problem. >> we need to kick this can over to rebecca for the next question. rebecca? >> we have a question from brian from post falls, idaho. he says considering the fact that the u.s. government is the nation's largest employer, how do you expect to cut $2 trillion from the budget without sending the jobless rate through the roof? and representative west, why don't you take it. >> i think it's important for us to, as we said, we've got to get back to understanding what are the essential functions of the federal government? one of the questions i asked when i got up here, because i'm
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a newbie. i've been here since the 5th of january. never held any type of public office before, but once again it's a commonsense approach, a disciplined approach that the military teaches you. 13 appropriations bills come out of the house of representatives. what's the priority? no one could answer that. and that's why i wrote a letter over to the house appropriations chairman hal rogers, why don't we have a tiered program so that we say these are the priorities and then we can understand from the bottom up. we can start to refine, we can start to cut and get the federal government back into its essential functions. i think that we can have this bureaucratic nancy state that grows up here in washington, d.c., and if you continue to have that, you're going to continue to have the separation between the revenues that are coming in and the spending that's going out and what we've seen in the past three years, $1.42 trillion, $1.29 trillion, and now $1.65 trillion of deaf sits. so we have to make the hard decisions up here. and i think that's one of the reasons why persons like the
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governor and myself, we're not career politicians. and we're bringing in a perspective that is totally different, and outside of the beltway. >> coming back to the question -- >> we've got to make a change. >> coming back to the question of jobs, we are facing a new reality. >> government does not create jobs. >> right. >> the private sector creates jobs. >> and we are looking at a private sector right now that's not doing it. >> you're not setting the conditions for the private sector to grow. you're not setting the conditions. >> well, let me tell you what the conditions are -- >> tax rate of 35%. the highest in the world. who is going to be able to create a job in the united states of america, bring production and manufacturing back to this country, if you're pushing them away? >> well, ford motor company, for example. >> ford motor company did not take any bailout money and they created jobs. >> exactly. they are. they're creating 7,000 jobs here over the next two years. but they're also building a third of their cars, and producing a third of their cars for the asian market by 2020. that means the market is changing. the world is changing.
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people overseas are the primary customers of u.s. businesses. >> absolutely. and that's why -- >> if they are building cars for foreign counterparts, why aren't they building them in foreign countries? that's exactly what they're doing. how do you work against fate? >> well, i don't think we're working against fate. i think the thing is, i look at the panama canal. the panama canal is going to be expanding in 2014 to bring in larger cargo ships. we happen to have port everglades brought in $90 million of revenue last year. i've already had meetings with the senior representative of hong kong and can you is ar general from taiwan who want to have increased trade and revenue coming out of south florida with small business owners. how woo he can increase our production, our manufacturing, our exmortgage to some of these foreign markets? but right now, we don't have the right type of economic and fiscal policy. it comes back to the one words we keep saying over and over again. certainty. >> i think we've missed talking
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about the fact that the national labor relations board, when you've got a president that allows the national labor relations board to actually sue an american company for creating jobs, you are actually incentivizing companies to do business overseas. that was huge. and that is right at the heart of what we're saying. if we have to create jobs, government can't be the one stopping them. i mean, president obama can't say on one side, i am for job creation, and on the other side, sue one of the companies that is trying to create thousands of jobs. they created 1,000 jobs in south carolina, all while expanding 2,000 more jobs in washington and they still sued them. that sends a terrible message to our companies. and a terrible message when i was at the u.s. chamber of commerce we had a canadian company that said i'm not doing anything until i see what happens with this lawsuit. >> we're going to have to leave it there. stay with us, though. we'll be back again in just a moment. ,,,,
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we are back with time for one quick final question. a yes or no if you can. do you believe the debt ceiling will be raised? >> i do believe so if for every dollar of borrowing we cut more than a dollar's worth of spending. >> not without spending control measures. >> only with deep spending cuts and spending caps going forward. >> i agree with the governor. >> okay. there is not a yes or no in any of those answers. >> a yes but -- >> but they were all short and we appreciate that. we appreciate all your time today. >> thanks to all of you. >> you're welcome. >> very, very interesting. we all learned a lot. thank you. >> our panel again, congressman paul ryan, congressman allen west, governor nikki haley and senator tom coburn. >> and thanks to our studio audience out there and our host the studio here at the newseum here in washington. >> if you missed any bit or it or maybe you'd just like to see it all again you can view the entire town hall at youtube.com/cbs or on our website at earlyshow.cbsnews.com. and also be sure to logon to cbsnews.com for a special
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washington unplugged, when reaction from our town hall. great day everyone. thanks for being with us. your local news is next.,,,,,,,,
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right now first lady michelle obama is at a brea ising money for good morning. 83575. i'm grace lee with your cbs 5 headlines. first lady michelle obama is in berkeley raising money for her husband's re-election campaign. the price is $1,000 to $25,000 per plate. later mrs. obama will hold a lonnie quinn in san francisco. a federal judge is expected to issue a key ruling on prop 8. he was openly skeptical of arguments put forward by supporters of the ban on same- sex marriage. they want him to overturn a ruling by another judge that threw out proposition 8. transit employees in san francisco are weighing their next move after an arbitrator told them that the contract that was offered by their own
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management is good enough. a union deal permits the use of part-time bus drivers, train operators and the end of guaranteed pay raises. traffic and weather coming right up. stay with us. ,,,,,,,, [ man ] i got this new citi thankyou card
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good morning. let's take you live to the san mateo bridge where traffic has eased up a bit. earlier we were seeing a 19- minute ride between 880 and 101. now we are down to the usual stuff, 14 minutes between hayward and foster city. north 880 at 92 we have reports of a trouble spot. looks like all this red here on the roadway, in fact both direction 880 slow and go due to the stalled vehicle in the roadway. and 280 looking better slow and go through downtown san jose. lawrence has the forecast. >> the weather looking great outside. we have a lot of sunshine coming our way, more sun all the time. the fog really dissipating now. you can see couple of patches in the distance in the bay but that's going away now. more sunshine on the way, temperatures heating up outside. 80s, 90s inland today, the hottest temperatures in quite some time. 70s and 80s around the bay. out at the coastline you will find numbers mainly into the 60s. next couple of days we'll see another hot one toward tomorrow maybe slightly cooler at the coastline. then everybody changes as we get into thursday and friday. that's when we see more of an onshore breeze kick in.
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