we look forward to seeing that kick off. that's going to do it for a wednesday edition of "way too early." "morning joe" starts right now. ♪ the top democrat in the u.s. senate majority leader harry reid has now mentioned the bill nra koch brothers this year more than 140 times. >>er in in it to make the money. an attempt to buy our democracy. it's dishonest, deceptive, farce and unfair. >> it is wrong. incorrect. [ laughter ] erroneous. [ laughter ] >> even the keystone debate, mr. president, they're one of the main owners of all that stuff up there. that ugly tar stuff in canada. they are, if not the largest, second largest owner of that stuff up there. [ laughter ] good morning.

hey will. >> good morning, it's wednesday, may the 14th, on set, along with me, we've got joe here that's here. >> that's all. >> msnbc. >> it's a good show, right? >> yes. >> you can't always predict who is going to be here. >> it's exciting. >> it's interesting, it remains the name of the show. mike barnicle is here. former communications director for george w. bush, nicolle wallace. >> jon stewart went in last night. and landed another blow right here. >> this guy spent millions fighting online gambling. tens of millions fighting organized labor. in the 2012 presidential election he gave $90 million to republican candidates. perhaps because he thought he would help him take on quote,

radical islam and unions. yeah, that's right. laugh harry reid is going to crush this guy. >> so don't pick on him. >> wait? sorry, what did you say there? don't pick on the billionaire that puts money in politics. >> he's not in this for money. he's in it because he has certain ideological views. [ laughter ] >> what the [ bleep ] difference does that make? [ laughter ] what are his ideological objections to online that the largest gambling casino has? >> i can't tell overt internet who is under age. i can't tell whose got financial difficulties. i can't tell who is not gaming responsibly. >> but if you come to my casino -- [ laughter ] you don't enter without answering a very detailed

financial solvency questionnaire. >> if you lost john stevens, you lu lost everything. he didn't make a distinction between the koches and the adelsons. >> and also speaking of "daily show" skits, let's continue with news about karl rove. karl rove is dullinging down that hillary clinton should be prepared for scrutiny about her health if she decides to run in 2016. the republican strategist pushed back who claimed he openly claimed the former first lady had brain damage. he said, of course, she doesn't have brain damage. still, it's pretty clear where he's trying to aim voters' attention. >> my point was, if hillary clinton were going to run for president, but she would not be

human if this didn't enter into consideration. this will be a topic in the 2016. they will be 69. she will be 77 if she serves two terms and this ends up being an issue. >> clinton's spokesperson blasted rove's remarks saying hillary clinton has recovered 100% from the blood clot from 2012. a republican and the white house getting involved as well. >> this was not clever. this wasn't an insinuation. this was karl rove running head first into a brick wall. nothing drives people away from a decent office than this kind of attack. they say why would i put my family through this. it weakens -- in both parties, it weakens the fabric of both. >> here's what i say about cognitive capacity, that dr. rove might have been the last person on election night to recognize and acknowledge that

the president won re-election in the state of ohio. we'll leave it at that. >> go back to the newt gingrich comment it weakens the fabric. that's tough talk coming from newt. we go fresh off the thrilla in manila. we'll let you be the one around the table to defend karl rove this moraning. he didn't say brain damage -- >> he said she was wearing a kind of glasses that were associated with severe brain trauma or something like that. >> which i find this fascinating because she wore coke bottle glasses in college. you have ever seen those pictures of hillary in the late '60s and early '70s? what's karl thinking? >> i think she couldn't wear her

sunglasses, she they gave her a pair of glasses. >> she was wearing the same style four years ago and her traumatic brain injury didn't get in the way of being the most successful secretary of state in history. >> let me try to explain karl. what karl -- >> let me try to explain karl. >> hey, i feel different. karl didn't just stumble into this line of questioning about hillary clinton's health, okay? he's one of the most prepared and deliberate speakers. and when he gave speeches at the white house, people were always doing -- you know, reading research. so this karl's nature, is that things are talked through. he plans these types of thing. >> so are you telling me that he thought through this before saying this? >> well, i think he thought

through and is probably, you know, maybe not in front of -- >> what's his strategy? >> well, i think injecting questions about her health crisis from a few years ago is something that karl thinks is fair game. and i think that the fact that we're having a three-day conversation about hillary's age and health, he is in this objective. >> it's not about hillary's age and health. it's about whether karl rove suffered brain damage. >> well, to some. but some of the people that may be thinking about 2016 have definitely given some thought to -- >> she is giving it all she has. >> that's all i've got. >> karl rove -- you know what -- >> can we go back to jon stewart, is there anything else? >> you gave us an ending. >> i mean -- >> listen, katrina was easy compared to this.

>> well, when you rebecome president, you release the results of your colonoscopy. >> you know what karl was trying to do. >> if she becomes president, there will be countless discussions, over the years she will release her -- >> this comes directly from the stupid part of it you're talking about. ronald reagan got inaugurated at 69. when he starts at 69 and leads at 77, i think about ronald reagan. that's not a bad thing. >> there anything that they can device to try and diminish hillary clinton, they're going to use brain damage, benghazi, boko haram now. that's what this is. >> that's all this is. >> jim peters -- go ahead. >> i was going to follow up on what nicole was saying, she's exactly right, this is not

accidental. hillary's health is something that democratic strategist have been whippering about for about a year now, when they talk about what can ruin her candidacy, it's always a question of her health. here's a case of the most public visible case really spilling out into the open. now, one thing i think this is not, and you've heard some of this chatter over the last couple of days, i don't think this is sexist. i think you would have had these questions come up about biden. >> it's ageist. >> nicholl, remember i told you, they released that ad, how many houses did john mccain have? well, he can't quite remember. >> that was an attack against his family wealth and his age. >> and his age, right. >> these questions were going to come out, anyway. i think the question is whether or not karl rove has temporarily taken it off the table by being

so crass about it. >> but the other thing that shouldn't get lost, it is interesting, look at how the clintons respond. their first response is pretty funny. she's 100%. but they escalated throughout the day to near hysteria through the end of the day, whoever gave the initial response should be given the job of rapid response and whoever gave the second or two should be the understudy. >> for people that don't sit around sets like this or don't talk to journalists, there have been questions off camera, speculation. i only say this because jerry was talking about republicans. it wasn't just republican a lot of reporters were worried about her health. of course, they had absolutely no evidence whatsoever. they were worried. >> they were worried with justification after that fall. >> with some justification, it took her a while to come back

but it was speculation. and karl rove didn't help himself and he didn't help the republican party by speculating like he did. >> when we get the results of all of these personal data, colonoscopies and everything else, i think we'll find out she's healthy as a horse. >> there you have it. >> marco is clarifying remarks? >> yeah, going back to the climate change remarks. senator rubio found himself the target of unwanted headlines after he recently entered the climate change debate talking at the national press club. the potential 2016 presidential contender tried to clarify remarks he made on sunday. here are the original remarks and what he had to say about them yesterday. >> i don't agree with the notion that some are putting out there including scientists that somehow that are actions that have is an impact on our climate. >> let me get this straight, you do not think that the human activity, the production of co2

is caution changes? >> i do not believe that human activity is causing changes the way the scientists are portraying. i do not propose the laws they pass will do anything about it. >> headlines notwithstanding, of course, the climate is changing because climate is always changing, that's a measurable you can see. there is climate change. i've never conceded that the climate is not changing. that's not the question before me as a policymaker. the question before me as a policymaker, is that if we ban all coal in the u.s., if we ban all carbon emission information the united states, will it change the dramatic changes in climate and the dramatic weather impacts that we're now reading about? and anyone that says that we will, it not being truthful. but for you to go out and say if you pass this bill that i am proposing this will somehow lead to us have less tornadoes and hurricanes, that's not an accurate statement. >> seems rational to me. >> listen, i may be out of step with my party on this.

i don't know where you have to live to think that the climate isn't changing dramatically. and miami is one of those places where they haven't seen dramatic change. it's not the same thing as acknowledging that climate change is real. >> i guess what's interesting about this, i'm not exactly sure who marco's audience is. he says he believes in climate change. i do believe, like he said, that we're not going to pass legislation they're going to stop tornados and hurricanes, et cetera, et cetera, et cetera. and the left is -- >> but that's a defensible position. >> that is a more defensible position. but i'm just saying all the republicans i've talked to. and i've been talking to a lot of them for a very long time over the past four or five years, they believe in climate change, they believe that humans are responsible for climate change. the only thing they don't believe that the federal government could combat and

impose massive cut jacks because it makes extremist and trillion they'res. >> without getting china and other parts of the world that are doing more. >> they're doing more, actually. >> right. >> so in a time in the world, everybody is saying, steve, we'll go to you, we're going to be in competition with china for the next 100 years and china is going to outcompete us. at that time, we're supposed to usually disarm and let the chinese continue to damage the atmosphere more than us? and we're supposed to be worried about what tom steyer and other people say? i don't believe that. and even if we do what we do in that direction, without putting millions of americans out of work. >> i agree. first, the same people, the middle people, do want to have

some kind of coordinated change to climate change. >> they're so effective? >> the reason, nicole, they are not effective, if you're a country on your way up, and you don't have all the resources and you say, wait a minute, you guys have polluted the air for 200 years, don't i get a chance to pollute the air for a while while i'm economically developed. china, they don't have any clean energy. they have coal. and imported oil and really expensive natural gas and that's it. and they don't have any nuclear yet. so it's going to be very hard for them to do what they have to do, but he have to do it. and it thirdly, joe, there are policies, nonetheless, there are policies out there that we could put in place that would destroy millions of jobs that would put us on a path for a more responsive behavior. for example, we've not increased

the gas tax since 1983. the highway trust fund is going broke. we could raise the gas tax, rebate that to americans so it didn't cost jobs and get more balanced. >> jeremy peters on the hill, you look at polls, and i don't think climate change is at the top when it comes to intensity. i would suspect because of that we're not going to see another pass or do anything on the climate for quite some time. democrat stride in 2009. even the president was reluctant to get involved but they dragged him into that battle at the last minute. any legislation on the hill that marco rubio would have to be concerned about voting on before the election and the rest of the candidates? >> there was a bill that fell apart this week in the senate, an energy bill that was actually quite modest, the fact that it fell apart in a filibuster just shows how difficult it is to get even the smallest things through on climate. >> what -- well, you have your moderate democrats that like the

landrieus and others who do not support this legislation? >> no, it fell over keystone. there was a land mass that landrieu and bagich wanted to approve. the white house has not decided what it's going to do. and if it ultimately decides it's not going after this, they are going to wait until after the legislation to do that because they don't want it to hurt senators like begich and landreau. >> i thought it was fascinating having the canadian ambassador here last week. he kept doing the talking points that i thought came from the

koch brothers, i asked him where he got it, he said, oh, the state department study. >> our state department? >> our state department. >> this is one of the most widely overpoliticized decisions. >> a lot of very rich liberals don't want barack obama to pass this legislation. and what do they have to worry about? because they got millions and millions of dollars. it's just the 50,000 people that aren't going to have jobs because of it. i hope that makes you feel better. go to your yacht, polish it -- you won't polish it, you'll have somebody else polish it. that would be a really good paying job that makes you feel bad about yourself. have them buff your fingernails, too. coming up on "morning joe," we're going to be talking to senators rob portman and john tester about some of the most pressing issues in washington including the keystone pipeline and the controversy surrounding

the v.a. that's atrocious. and former yankee great willie randolph is going to be on set. and larry kudlow and joy reid. and miles nadal. former secretary time geithner is standing by. first, though, not fun, bill karins. >> across the country, just a crazy weather pattern. record highs on the coast. it's been snowing a couple days in colorado. how about this yesterday, it was 52 in boston. that was it. in d.c., it was 92. 40-degree swing in the northeast alone. this morning, we are tracking showers and a few storms up there around the capital district, albany, schenectady and troy. and albany you've got showers, pittsburgh, a shower or two. later this afternoon, cooler today in d.c. and baltimore than yesterday. this is where we should be this

time of year in the 70s. chance of storms from pittsburgh to buffalo. and how about out west. the drought is bad enough. now we're getting one heat wave an another. areas that don't see a lot. san francisco, san diego, 90s to 100 today. how about this for l.a., 101 today. 100 tomorrow. we finally cool it off by the weekend but the fire danger is really high. and in the middle of the country, i mean, it's cold. it's a chilly, cold morning. a lot of extremes out there. if we're going to get any tornadoes 0 are severe weather, we'll watch out for you from nashville to louisville, back up to the ohio valley. more "morning joe" when we continue. we'll be right back. ♪ when folks think about what they get from alaska, they think salmon and energy. but the energy bp produces up here

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former u.s. treasury secretary timothy geithner. i'm sure they pull put u.s. treasury secretary. it could have been canada, luxembourg. but, no, this guy was former u.s. treasury secretary. he's out with a new book "stress test: reflections on financial crisis." wait wait to read this. i'm glad you finally got more people in the treasury department. let's start there. you had a couple of dogs wandering the hallways the first year. it was actually hard. that was a challenge. >> you could hear the echoes of footsteps. >> you had. but that first year, it was so shocking to us that you were going through the financial crisis of our lifetime and you couldn't get staffed. you. >> we had great people, we really did. >> i know you had great people. it took you a while, though.

what was the challenge? don't say you had great people again. you didn't just win the nfl -- okay, the super bowl. talk about the tough start. >> well, the world was burning still. remember, in january '09, the country was falling off the cliff, complete was shrinking at the rate of 9%. we had already put trillions of dollars in the financial system, but things were still frozen or falling apart. >> right. >> we had to find a way how to right the ship, how to land a plane safely. yeah, we had challenges. >> off the top, steve ratnor. >> ratnorwas fabulous. >> obviously, this book has ignited talk about what happened. different points of view, left, right, all that stuff. looking back, i think the central concern people have is

did we do too much for the banks? did we give them too much money, too cheaply, not fire enough ceos, more pain from the share 408der, more pain from the executives who got bonuses. how do you feel about that? was there stuff that could have been done differently, i know you had legal constraints but wasn't there something that could can be done differently? >> i think the huge damage done by the crisis and all the bad people that caused the crisis, they say, really, seriously, you couldn't bring a tougher measure of justice more quickly for people. but that was a classic panic. we were risking the great depression. and the first challenge was to land the plane safely. once we landed the plane, we moved quickly to try to clean up the system and bring a much better response. it's true, you could look back and say, was it tough enough on

them? but the first obligation, the most important obligation was to protect the risk of massive unemployment, a great depression. we did that, it wasn't messy, but we did that effectively. better than any government has in the last 100 years in a financial crisis. >> you write about being handed talking points by a white house official -- >> it was actually my treasury colleague. >> i'm not trying script you but suggesting messages that you had a pretty visser ral negative reaction to. i certainly have been in the position that they may have been in of wanting a cabinet secretary to echo a message. seeing it from your perspective -- i know you worked with some of my former colleague in the bush administration. you can talk about how political your job got and how difficult that was? >> i think one of the most important tests of government in a crisis is the ability to put policy above politics. >> it's impossible, isn't it? >> no, it's not.

in fact, i think that was a great moment for the united states. if you look at that moment, you know, the transition between a republican and a democratic president, you know, the world at the edge of a great depression. you had two presidents with bipartisan support, mostly from democrats at that point. basically put politics aside. and do what's necessary to help pull the country back from the abyss. it was a pretty big moment. >> with the t.a.r.p. and all of that? >> with the first to break the back of the panel. then the stimulus to put money back in the hands directly of the american people. and then the range of the financial system. i got a pretty good test of government at a terrible time. and we passed that test much better than other governments who sat there, were paralyzed by their politics. or played politics with the crisis. a pretty good moment for the bank. >> you mentioned in january 2009, we were on the brink. that was a term we heard a lot.

the country's about to go over the cliff in the fall of 2008. what does that mean explicitly and specifically? i mean, what would have happened if we hadn't taken that step back? >> take a look at the great depression, there's no memory of it. you know, people didn't live through it. but in the great depression, unemployment went to 25%. and gdp fell by 25%. and it took a decade to try to get back to some measure of security for people. and that's because we allow it as a country, a financial panic torsion escalate and bring the system to collapse. and why does that happen, it's like the lights going out. it's like the power not functioning. if the company can't get oxygen, people can't borrow and businesses fire people on a brutal scale and people are trying to protect themselves. that produces a certain set of conditions, panic leads to crash. that's why it's so damaging. and then, of course, they have massive innocent victims in that

content. >> so how close were we? >> right at the edge. paulson wrote he thought we were three days away from the atms not working. people were talking about burying gold in their backyards. you could hear panic and fear in the voice of the leaders of the world and largest corporations at that time. >> mika does that. unrelated to the economy. jeremy peters is in washington, "the new york times" has got a question for the secretary, mr. secretary. >> mr. geithner, one of the prime takeaways of this book is just how complicated your relationship with larry summers is. he promoted you to various senior positions. he was your mentor. and as you know, the president was strongly considering him for chairman. federal reserve, twice, actually. do you think that president obama made a mistake by not picking him? >> no, i think that janet yellen

is going to be excellent. i watched her make judgments at a very complicated time. and i think she's going to be an excellent chairman. i have just huge respect for larry summers, i think month more talented person in the country. henry kissinger said about larry summers, you should give him a permanent office in the oval office to vent any idea. he's a great person to work for. he's a pretty challenging, demanding guy. i used to say, what matters is the ratio between the thrill and the torture. and with larry, the thrill was -- >> higher? >> -- much greater than the torture. >> a couple issues before we wrap it up, one, what you had to say about elizabeth warren's hearing. she said she were made for youtube hearings, sort of show trial, explain. >> well, that was sort of a

gentle way to put it. >> like they were witchhunt, talk about that? >> i've got a lot of respect for her. >> it doesn't sound like it. >> i do. she did a great job in standing up with the agency and protecting from a form of abuse. she was excellent. there's a lot of oversight process. >> what made them show trials? >> well, you know, people didn't like what we were doing. it was unpopular stuff. it was essential, necessary stuff, very effective stuff but it was deeply offensive to people. it looked like we were giving money to the arsonists. the core paradox of what it takes to break a financial panic to keep the lights on. and there are going to be collateral beneficiaries of that. and that's deeply offensive. she gave a lost voice to that concern and she was very eloquent in making that case. >> speaking of arsonists, a

handful of banks still control 50%. too big has gotten even big. >> you're right, you always worry about too big to fail. and this is something we should always worry about. it's like a federal war. you should be on it. >> the big bank's concern, still approaching 50%? >> well that's not the way to think about it. that risk for the country is say much lesser risk today because of reforms we put in place. i'll give you examples. we mate capital requirements -- the limits on risk much, much more conservative than they were before the crisis. >> why? >> we had much better tools to put banks on the line when they screw up. >> let's say -- they're not going to because they've strengthened. let's say citi has a crisis, we're bailing them out or do we let citi fail? >> we're in a much better

position to let them fail that doesn't do too much damage. >> was it a mistake not to save lehman brothers? >> it's not like financial security. we don't give presidents a set of tools to react. we don't do that because of other concerns. we don't want to leave the market with expectation. >> if you could do it all over again, would you? >> if we had the authority -- >> with the authority, would you save lehman brothers? >> you don't want to save everybody in a financial crisis. it's a mistake to do that. you have to make sure you do -- we didn't have this authority until after the panic. we want to make sure we can protect the rest from the failure of the rest. you want to make them fail -- to use a different metaphor, you want to draw a fire brig around

the couordinates. >> should they have been saved? >> in retrospect, with full knowledge at that time, what we should have done, we would have escalated much more quickly to prevent the panic from spreading. of course, now, we ultimately did that, but it took a lot more work because the fire was burning too hot at that point. >> all right, tim geithner, thank you so much for coming in. >> thank you, nice to see you guys. >> the book is "stress test: reflections on the financial crisis." you can read exempts on our website mojo/msnbc.com. >> first, americans are hitting the bottle harder than ever before, we'll explain why in your morning papers and "morning joe" sports next.

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all right. let's take a look at some of the morning papers. "the wall street journal" crews, are racing to save hundreds of miners after a deadly accident in turkey. at least 201 people are dead with more than 200 others still trapped deep underground. almost a mile under there.

the coal mine is located in the town. soma, about 150 miles from istanbul. nearly 800 people were in the mine when a fire triggered an explosion. the fire is under investigation. two children are recovering from serious injuries after a gust of wind swept away one of those bouncy houses. >> my son loves those. >> oh, my gosh. >> this is that bouncy house that parents like myself. >> and me. >> and you. have been putting in your yards for your young kids' birthday parties. three children were playing inside one of these bouncy houses when it was ripped from its stakes and sent it flying high in the air. a witness took this photo that we were showing. you one child escaped with only minor injuries. >> look at that. >> look how high those three little children are up inside that bouncy house. one escaped with no injuries.

another boy has some broken bones after falling 15 to 20 feet in a parking lot. while the third has a serious is head injuries after landinging on a car. this is horrifying. terrifying. >> horrific. >> they're usually staked down when you see them in the yard. but maybe that's not strong enough when the wind picks up. from the parade of papers the san francisco chronicle, google wrote the global web of dominance got more difficult. the right to be forgotten. meaning google can be forced to erase links to content about individual people on its search engines. that includes documents. >> the quote, other documents, very important for mike barnicle. if there's ever going to be a senior staffer for elizabeth warren, he will not pass through the background check. >> that's correct. >> because of the quote, other

documents. >> other documents that are in mike barnicle's computer main frame. >> your confirmation are going to be interesting. >> legal experts say this decision will only impact operations in europe and citizens of the e.u. and from the l.a. times, army sergeant kyle white is the latest recipient of the congressional medal of money for this heroism in afghanistan in 2007. white was honored for his actions for his ambush where he helped other soldiers and maintained radio contact all while injured. some were present at the ceremony. he's the seventh living recipient for a medal of honor for actions in iraq and afghanistan. sergeant white is going to be joining us in the studio on monday. >> can't wait to meet him. the telegraph, the united states has become the world's biggest consumer of wine, all right, passing france for the first time in history. >> that's something to be proud of, right. >> a new study said wine

drinking continues to climb at a record pace, meanwhile, the popularity of wine is fading in france. u.s. consumers bought 2.9 billion liters of wine. still, the average frenchman drinks six times more wine than the american. so per capita was trailing behind. we got to get to work on that. willie, nba playoff action. >> a wild one between the clippers and thunder. let's go to the fourth quarter. okc had been down about 13 points with four minutes left. kevin pierce. and durant on the break lays it in. a two-point game. clippers quick inbound to chris paul. he turns it over. no foul called. the ball ends up out of bounds. this one is reviewed. and in a controversial call, the thunder get the ball back. so 11 seconds to play. another controversial call.

russell westbrook of oklahoma city is fouled shooting a three. he hits all three foul shots. the thunder take a 105-104 lead. with six seconds on the clock, chris paul is stripped. he loses the ball again. the thunder come back for a 105-104 win. and a 3-2 series lead. clipsers head coach doc rivers was steaming after the game. >> that's our ball. we win the game, and we got robbed because of that ball. it's clear, everybody in the arena saw it everybody was shocked when they said oklahoma city. that was our ball. we got two more games to play. but that could be a series-defining call. and that's not right. >> wow, that's pretty strong. the series goes back to l.a. society clippers get a chance to even the series back there. the wizards blew out the pacers. they were on the brink of

elimination. 102-79. it's coming back to d.c. tonight, the nets fight for their lives in miami. miami can close that out, and the spurs can do the same against the blazers. >> what about the rangers, down 3-1. >> 3-1 in the series come all the way back against the mighty pens. a couple of good one in the stanley cup playoffs. blackhawks and wild in game six. and the rangers and penguins in a huge game seven. >> and he scores! patrick kane, one hand, and chicago is headed to the western conference final. >> carried back off the wing and worked on by mcdonough. swatted on the cross. score! and the rangers are going to the conference final. >> rangers come all the way back down, 3-1 in the series to win game seven. they'll face the winner of tonight's other game seven

between the canadiens and the bruins. the blackhawks will face the winner of the ducks/kings. that series is tonight. >> can the bruins do it, mike? >> yes, they can. >> well, those are two evenly matched teams. it's go to be a great game. there will be fights tonight. >> if you can get boston and new york in the conference finals. still ahead from "morning joe" from the men who brought you freakonomics. and at 7:00, magic strikes back. he's heard enough from donald sterling. his reaction. he says enough is enough. we'll be right back on "morning joe." [ brian ] in a race,

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she's faxed them from the south of france. "the wall street journal" -- >> did she bury her gold in the south of france or westchester county, what do you think? >> put it evenly. >> you never know when the people are going to rise up. i mean if marie antonette had buried her gold in two different places she might still be with us. >> "the wall street journal" editorial board writes this. harry reid has essentially shut down the senate as a place to debate and vote down policy. he's refused to vote on on all but nine amendments since july. mr. reid is worried some of those amendments might pass with support from democrats, thus embarrassing a white house that opposes them. not too long ago it was understood that any senator could get a floor vote if he wants it. the minority party, often democrats, used this right of amendment to sponsor votes that would sometimes put the majority on the spot.

it's called politics. rightly understood, this meant the senate debated national priorities and worked its bipartisan will. >> jeremy peters, i've been about cushion harry reid for a couple years, what's with this "wall street journal" editorial? >> i think often when you're talking outrage along these lines, it's often a little bit stronger when you are the person who is on the brunt of the perceived injustices. >> right. >> and in this case, i think that's what's happening with "the wall street journal." i doubt that they would be crying so loudly if this were republicans and not a democrat. >> but, jeremy, we heard a thousand stories about those terrible republicans that won't pass democratic leases of legislation through the house. the question is can republicans fairly make -- and i'm not leading you here, i'm curious, can we not fairly make the aim argument about harry reid not

allowing the amendment in the senate? because he thinks it's going to pass? >> absolutely. this is where republicans have clearly said that harry reid has obstructed business in the senate just as republicans have obstructed it through filibuster. now, which is worse? i'm not going to make that call. but you do have to understand, i think, to get a real firm grasp on this debate, you have to understand where this is coming from. and the reason why harry reid does block amendments on these bills is that republicans routinely filibuster everything. >> all right, very good. willie, what's next? coming up next, we're going to explain the story behind this photograph. >> ooh. >> hmm. >> i hate snakes. >> oh, i hate snakes, especially that kind. >> stay with us. ♪ here at fidelity, we give you the most free research reports, customizable charts, powerful screening tools, and guaranteed one-second trades. and at the center of it all is a surprisingly low price -- just $7.95.

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a lot going on in congress yesterday. there was a hearing. i mean, there's so much going on, boom, boom, boom. >> real quick, there's a snake in the bathroom at texas a&m. a 12-foot rock python. came in through the back door. a little control and a bucket to get rid of it. it was an aggressive one. it was somebody's pet who got loose. >> it happens. it happens. willie, you were talking about it yesterday on the judiciary committee hearing. >> were you watching that? >> i actually was. >> very clean people. i was on the judiciary committee. very clean people.

hungry people, but a clean people. >> but those hearings are long. >> you get hungry. >> thank you, mr. chairman. i want to thank you and member connors for your willingness to work to make progress on this issue, and in making sure that other surveillance cannot be used in a similar way. i'm pleased this be addressed in the amendment. >> take a look, willie, on the right, a lot of ear wax, this happens. >> check it out. >> oh, my god. >> wax smeared on the teeth. >> seconds, anyone? >> oh! >> oh. oh, oh -- ear wax. that's disgusting. >> who eats it? >> it's awful. >> enjoy your breakfast. >> oh! that's awful. >> republican or democrat, joe

garcia. >> democrat. >> thank you god. >> okay. they at least have one of them. >> thank god. >> the pride of the 26. coming up at the top of the hour, magic johnson reacts to donald sterling in that so-called apology. >> i cannot believe, he brought up aids? >> yes, he did. plus, senator rob portman and senator jon tester showing patience for the v.a. scandal. >> by the way, jon tester -- very clean ears. >> chuck todd joins our conversation coming up in a couple minutes. stay with us. what are you doing? uh, well we are fine tuning these small cells that improve coverage, capacity and quality of the network. it means you'll be able t post from the breakroom.

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♪ jews, when they get successful, they will help their people. and some of the african-americans, maybe i'll get in trouble again, they don't want to help anybody. [ laughter ] >> maybe? maybe you'll get in trouble again? [ laughter ] jews help blacks -- eww -- unless what he's doing is workshoping new material for

donald sterling literally comedy jam. jeremy peters with us. and with us from washington, nbc news correspondent and host of "the daily rundown" chuck todd. winning columnist and associate editor of "the washington post" and msnbc political analyst, eugene robinson. we're going to talk in two seconds about the sterling controversy. but, chuck todd, we had a lot of elections last night. a lot of races. a couple have stood out. what are your thoughts? >> well look, it's a generational change in nebraska. this is a couple of young guys taking over the nebraska republican party. pete ricketts tried to run for the senate a few years back now is a heavy favorite to be governor. and ben sass. i think what's unique about sass, a lot of groups are saying, hey, we want a race, we want a race. but the establishment is split in this race. >> now, sass went after mitch

mcconnell a way back. >> he did. this is about mcconnell. but paul join was for sass. i had sass on my show yesterday. he said he'd vote for mcconnell as leader. she'd try to put an end to that. i think he's going to be a little moron johnson than he's going to be ted cruz. a lot of people are trying to figure out where is this guy going to fit on the senate. i'd put him more on the johnson side. >> he's now a big favorite to win state wide, right? >> slightly. absolutely. and shelly is a heavy favorite in west virginia. be west virginia's first republican senator in over half a century. but she is, dare i call this person a pro-government republican. they do exist, and that's about what you have to be ideologically in place like west virginia which actually likes federal dollars coming into the

state because she's going to be somebody like a murkowski, collins, the republicans that do a lot of bipartisan deals. >> sound goods. let's go straight now, the latest from sterling, some quotes that i can't believe. >> the earthquake of the sterling interview, the ripple effect continues because we're one day after donald sterling attacked magic johnson. the former laker star is fighting back. magic was dragged into when v. stevian know post evidence this image on instagram. it's a photo made public by tmz sports. and sterling told her not to bring magic johnson or any other african-americans to clippers games to that original racist rant that was made public. it was days ago that sterling went after magic again, this time for having hiv. >> what has he done? can you tell me? big magic johnson, what has he

done? >> he's a business person. >> whose got aids. did they do any business? did he help anybody in south l.a. >> i think it's hiv, it didn't focus on aids. >> what kind of a guy that has sex with every girl and then he catches hiv. is that something that we want to respect and tell our kids about? i think he should be ashamed of himself. what does he do for the black people? he doesn't do anything. >> here's a man who we would think would be educated. and a man who would -- is smart enough to build this type of wealth. he's reaching, he's trying to find on to something that's going to save his team. am i upset?

of course. but at the same time, i'm a god fearing man. i'm going to pray for him and hope that things work out for him. the problem is, he's living in the stone ages. he can't make those comments about african-americans and latinos. he just can't do it. >> gene, i don't know where to begin with the ignorant statements. let's leave hiv out of it and instead talk about the fact that for a very long time, magic johnson has focused on going into inner cities and creating economic development and bringing hope to the hopeless in a lot of african-american communities for some time. in fact, that's what i've associated him with over the past 10, 20 years. >> yeah, so many ignorant statements, so long time. it just shows how out of it and how divorced from reality donald sterling is. and i think sometimes invested certainly tens of millions of

dollars, i don't know if it's hundreds of millions of dollars into low-income communities across the country, created economic opportunity. he has walked the walk, in addition to talking the talk. and is the last person in the world that you would say such an ignorant and prejudice thing about. but there you go. that's donald sterling. that's the donald sterling we've come to know. and not exactly love. >> mike barnicle, how can this guy remain associated in the nba? i can't see any judge thinking that there's any way that he would have any standing, to have any part of any team? >> well, he can take them to court, certainly, but there's no way he's going to end up with the l.a. clippers at the end of this, with whatever litigation proceeds. i choose to go back to what is soon to be ex-wife reference last week when she said she

thought certainly that donald sterling was in the early stages of dementia. >> he's got to be. who would do that? >> it's possible, the racism goes back a bunch of years, guys. >> yeah. >> so it's not like this stuff wasn't buried down in there. maybe even his sensor is turned off. >> no doubt. there's no guard rail now, so he's going right off the cliff. >> it's insanity. and it's just -- i don't know -- i don't know how this guy, and we've asked this question before, thomas, how is this guy been allowed to be an owner since 1981, the nba had to know, had to know. well, they did know that he had racist tendencies. >> yeah, they had the largest judgment go against him for discrimination and a payout that he and his wife had to make based on discriminatory practices. so the nba does know what's

there. if they have something to leverage him out -- and he agreed, mike, as you point out, he knows what's in the laws of nba ownership. if they have majority of those owners saying he's got to go, he's got to go. that's something that he agreed to on the front end. and according to his work philosophy, if magic johnson made such a mistake and should fall into the background and never be heard from again, what's his problem? he's made such a horrendous mistake that he should drop off the face of the earth. >> obviously, he has nobody around him that can counsel him. and he's stumbling from one crisis to another. it's unbelievable. speaking of surprising, it's not quite along those lines. but karl rove is actually doubling down on the suggestion that hillary clinton should be prepared for serious scrutiny about her health should she decide to run for president in 2016. >> we've got the republican strategist that is pushing back

against the new york post head line. he questioned whether the former first lady may have brain damage. it's pretty clear where he's trying to aim the voters' attention. >> my point was, that hillary clinton wants to run for president, but she would not be human if this didn't enter into consideration. and my other point is this will be an issue in the 2016 race. whether she likes it or not. she'll be 69 by the 2016 election. and she'll be 79 if he ends up erving two terms. >> clinton's camp blasted back saying she's recovered 100% from a blot clot in 2012. it wasn't just clinton pushing back, a well-known republican and white house jumped into it as well. >> this wasn't clever, ant it wasn't insinuation. this was karl rove running into a brick wall. nothing drives decent people running away from public office

more than this type attack. it weakens the fabric of democracy. >> here's what i would say about cognitive capacity which is that dr. rove might have been the last person in america on election night to recognize and acknowledge that the president had won re-election, including the state of ohio, so we'll leave it at that. >> chuck todd, what's going on? i mean, i just don't understand why would karl rove bend over backwards to make hillary clinton look like a more sympathetic figure? >> i am curious. it's amazing the conspiracy those are i heard yesterday. rove did this, he's doing the old lbj here. make them deny that they have brain damage. throw it out there and then say, oh, i didn't say brain damage, brain damage, brain damage, you know, but i'm trying to get it into the ether. and then i've talked to other folks who say that rove truly

was sort of shell-shocked that that got out there. that wasn't what he meant. >> well, he didn't exactly spin it very well yesterday. >> and he didn't spin is very well, no. look, the fact is she's the same age, she's going to be the same age as reagan was. if you're going to go down this road and claim she's going to have health issues, and things of that nature, then you may have to be throwing your own guy, ronald reagan under the bus a little bit. so i think this is a dangerous, tricky road to go down. and as we saw, with rove, you go down this road, and you stumble down this road, i mean, i agree, at any point, any presidential candidate has deputy release their health records. i don't care if they're 45 or 70. at the end of the day, i think it's important, the american public wants to know, they want to make their judgment about who the running mate is, things like that. so that is fair game. but to sit there and say it only really applies to her.

and you go down that road, it's going to look a little sexist if you're not careful. and it's going to backfire. >> you obviously have known hillary for a very long time. and you're absolutely confident. while you said legitimate -- there are a lot of people legitimately concerned after her fall that she's doing fine. >> look, i think she's doing fine. you watch her during her time as secretary of state, all the travlgs all the wear and tear and meetings she did. yeah, she had a little health problem, but probably would the rest of us after what she went through. regardless of what rove was doing, it's clear what what he was doing. if somebody like joe biden decides he wants to be in the mix two or three years older than hillary, it's going to apply to him. senator marco rubio found himself the target after recently entering into a climate change debate. speak at the national press

club, the potential 2016 contender looked to clarify remarks he made sunday. here are the original markings and what he said yesterday. >> i don't agree with the notion that some are putting out there including scientists that somehow there are actions we can take today that would actually have an impact on our climate. >> let me get this straight you do not think that human activity, production of co2 has causing change? >> i do not believe human activity is causing changes to our climate. i do not believe the laws that they will pass will do anything about it. >> headlines notwithstanding i of course, the climate is incorporate challenging because the climate is always changing, that's a measurable you can see. i've never disputed that climate is changing. i pointed out that climate is always changing. it's never static. that's not the question before me ace policymaker. the question before me as a policymaker, if we ban all coal,

all carbon emission information the united states will it change the dramatic weather impacts that we're now reading jab and anyone who says that we will is not being truthful. but for me to go out and say if you pass this bill that i'm proposing this will somehow lead us to have less tornadoes or hurricanes, that's just not an accurate statement. >> there we have him cleaning up his language but former president gore speaking about the calculus around climate change. he's said it's not complicated and why candidates are carving out their positions now. >> they will face primary opponents financed by the koch brothers and others who are part of their group, if they even breathe the slightest breath of sympathy for the truth. >> sympathy for the truth. jeremy peters, let's talk to you about the whiplash effect that we're seeing from senator marco rubio. obviously what he had to say to jonathan karl did not go over

well at the national press club and he's giving a different answer on climate change. >> i think this is what happens when you're thinking about running in a republican primary at the same time trying to become a viable national figure. you have to say one thing that on the one hand doesn't alienate the base. in this case, the republican base doesn't want to hear that global warming is man-made or a serious problem. but on the other hand, the majority of americans feel this is a real issue and that it needs to be dealt with at a federal level. so you've also seen this pattern from other contenders. possible contenders for the republican nomination. remember what happened with rand paul when he came out and said that republicans need to stop talking about voter fraud. and voter i.d. he got slammed on the right, even though what he said, this is offensive, republicans need to be careful about the way they're talking about this. it's offending african-americans. yesterday, he walked those statements back, saying, well, i

didn't say -- i didn't say that these laws are a bad idea. all i was saying is that we need to not talk about them as much. a lot of times these guys are trying to have it both ways. >> chuck, off of what jeremy just said, potential candidates trying to have it both ways, not offending the base. karl rove's comments about hillary clinton. the base, not only the republican, but specifically, the republican base, where does this potential field of candidates go in appeasing the base, while perhaps alienate oeg they have a demographic problem anyway in this country. can they shoot the middle here? is there a middle for them? >> i don't know, they have a -- we talk about a demographic problem. i go back to the term and color phrase of 2013, this is a period of time where it's not exactly where the democratic party was in a great place in virginia. and he used climate change, he

used some of these issues. but climate change was one of them, to define his opponent as out of the mainstream. you won't believe what he said about this in suburban -- in a suburban part of the state. this is -- there is a sort of a suburban wing that used to exist of the republican party that's sort of pro-business. the old eisenhower, rockefeller republicans. the children of them are starting to vote democrat. not because they're enthusiastist perhaps about the democratic party but they're just -- they've gone all brian sullivan to reference that. but they go, wait a minute, what's going on over here? and they feel as if you can't have rational discussions about certain policy issues. and so that's the voter that they've also turned off in suburban america. and 2016, the clintons are very good at wooing suburban america. and climate change that can turn

off potential with right-leaning republicans. >> gene robinson, a fascinating story in the front page of "the washington post," your newspaper. you read the article, he has conservative challenge from the right in his district. there was this weekend, where cantor was booed by republican act that visits. quite a turn of events for a guy who was seen as the conservative alternative to john boehner just a year ago. what's going on? >> well he's in trouble. and it's hard to figure why or how. because he's gone so far out of his way to try to define himself as the more tea party-friendly member of the leadership. of the leadership duo. and the one who will, unlike john boehner was really with the tea party. now, he faces this challenge that seems to be getting serious. i mean, i don't know that -- i don't know that you can call him

in grave peril at this point. you know, look, the majority leader in the house in a safe district, isn't supposed to be in trouble at all. at this point of the cycle. and i think it shows something that's happening in general about the republican party through these primaries. even though the so-called establishment candidates are winning a lot of races. they didn't win last night in nebraska, particularly. but they're winning a lot of races. but the tea party is bringing the staekt farther to the right in some cases. cantore will probably be brought yet further to the right. this, i think, could present problems for the republican party in the general election. >> we shall see. all right. thank you so much, chuck todd, thanks. we're going to be watching "the daily rundown" at 9:00 a.m. eastern.

you guys go after it, right? >> the irrational middle, that's what america needs. angry middle. >> the angry middle. they saw it yesterday. gene, stay with us if you can. former yankee second baseman willie randolph is here to explain why the yankee way it's the way it is. and senator jon tester is here later this hour. up next, his energy bill was derailed by the controversial keystone pipeline. we're going to get senator rob portman's thoughts on that and much more. you're watching "morning joe." be right back. 0

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unfortunately, many americans live on the outskirts of hope. some because of their poverty. and some because of their color.

and all too many because of both. our task is to help replace their despair with opportunity. and this administration today, here and now, declares unconditional war on poverty in america. >> that's lyndon johnson 50 years ago, declaring a war on poverty. now with the republican senator from ohio, rob portman who has revealed his ideas for a conservative plan to take on poverty. thank you so much, rob, for being with us. >> you you bet. >> we thought it was an either/or. you have to be republican or you have to fight against poverty. what are your plans? paul ryan's been talking about a focus on poverty, too? what are we willing to do to help in this area? >> well, first, just the opposite you know, from

either/or. lyndon johnson just talked about opportunity, rather than despair. i mean, lieu technical economy today, joe, we're clearly at a point of despair, in the sense that poverty is up -- the rate of poverty is up. 47 million below the poverty line. we also have a weak economy coming out of a recession. the recovery is not adding hope and opportunity to the middle class, as well as people on the poverty line. so the question is, what do we do about it? i think there's two major things. one is, we need to grow an agenda. and you and i have talked about that, that includes transforming all of the economy, from the health care system to tax code regulations and so on. that's what jfk talked years before this. a rising tide lifts all votes. and second, even with a rising tide, people are going to fall through the cracks and end up on the shoals. we talked about prevention and

treatment and recovery. some of the models there, two decades ago, you and i worked on this issue of drug abuse from a republican perspective, but also a bipartisan perspective. i've done this with regard to prison re-entry with second chance. my point is there are ways to get at this with constructive conservatism because we know it would. >> if we're talking about this, i'm just pressing you a little bit here, if you came out and said i've got a plan to take on poverty and tax cuts, et cetera, et cetera, a lot of people are going to roll their eyes and say, well, that's the republican party we've been hearing about for 50 years. there has to be a spending component to it if you're going to get people's attention. are you and other republicans willing to invest in some of these programs to make a difference? >> yeah. i think we do. we invest in what works. i talked about yesterday, joe, of the fact that we should use federal funds to leverage local

and nonprofit private funds. this has happened with regard to the drug issue. the example i used was this legislation that was passed two decades ago that i offered that talks about how to get community coalition, started. it turns out there's like 5,000 coalitions that have been sparring for the act. it has to be funded at the local level. it involves the whole community coming together. the idea is it's not going to be solved from washington. also evidence-based approaches, i talked about the second chance and the fact that it requires that we use the best practices and the federal government has a big role to play there because some of the best research is done at the federal level. you can bring together best practices. you can go online and see the website it's called what works. >> gene robinson with "the washington post." >> senator portman, good to talk with you. >> thank you. >> does the republican party have any plans to address poor

people? to try to communicate with poor people on these issues and to try to sell a program that, frankly, does sound like what republicans have been say for a long time. and what a lot of team think has not worked. >> yeah, look, i don't think republicans have talked about this for a long time, john kennedy's admonition that a rising tide lifts boats. in a growing economy, some people will be left behind. i think we saw that in 1980, for instance. we saw that in the economy. and yet, ronald reagan actually talked about how do you deal with people who have drug addiction problems and therefore there are broken families and therefore there are problems. we need to get back to that. i specifically talked yesterday that you're not able to deal with some of the broken communities until you deal with drug addiction and the impacts, particularly, the impact that's

disproportionate on communities with the current war on drug which is i don't think is working. and secondly, the record number of people in prison and not dealing with them when they get out. 95% of them are going to get out. that's a conservative approach otherwise taxpayers are picking up the tab for two-thirds of those people getting back in the system. there are ways to deal with those things. >> i don't want to cut you off. we've got a lost people that want to get at you, rob. here's steve rattner. >> you had a couple references to kennedy's quote a rising tide lifts all boats. but it was a lot more than nap it was after his famous visit in 1960 when he in fact launched the war on poverty. launched what became head start. and your party was in the process of trying to cut all of those things. you of course voted against raising the minimum wage. i know you think costs jobs but

would raise 4 million or 5 million people out of poverty simply by getting them to $10.10 an hour. so what is wrong with those programs? >> steve, first of all, regarding the minimum wage, since you talked about that i strongly support programs that create jobs. i don't support raising the minimum wage to $10.10 an hour because it's going to create fewer jobs. the issue with regard to poverty isn't the minimum wage, with all due respect as much as it is about jobs. as you look at it, as you know fewer there been 0.3 of 1% of people are under minimum wage and under the poverty line. why? because most people under the poverty line need a job. it's not about the minimum wage, it's about a job. the problem about raising the minimum wage too fast and too high, you're going to eliminate jobs. the budget office has joined and said if you do what the president is proposing it will result in jobs being lost not gained. why not do things like making

the earned income tax credit work better. things that could affect work. i do support that in ohio. that would. i think states should be able to do that. i think we're getting off track on some of these political discussions. i know it's very popular, the minimum wage issue. again, ohio's got a higher minimum wage index. >> mike barnicle. >> senator, these are admiral goals but how do you attack poverty in this country when many members of your party have voted to cut food stamps. they've voted to repeal health care, you talk about a rising tide lifts all boats. how do you talk about a rising tide that lifts boats still filled with the hungry and rising ill-health? >> i do believe that the rising tide theory is important. in fact, i think it's necessary. you got to have a stronger economy. you've got to have growth. there are five or six things that we should do immediately to

get the economy moving again. dealing with health care costs. and the competitive global economy. we've got to do a much better job really reforming all of our institutions of our country as other countries have done when we have not. my point is that's not enough. it's not sufficient. the question is how do you come up with ways that are practical, i call it constructive, to actually look at what's worked. and deal with the issues. i don't believe it's going to happen from washington alone. by the way, lyndon johnson said that later in that same speech which is this is not going to happen in washington, it's going to happen in the field. it's going to happen in private homes in public lawsuits from the courthouse on up. he even acknowledged this is not something that's going to happen in washington. but washington has an important role to ply. that's what i tried to lay out in my speech yesterday. >> rob, thank you for being with us. senator rob portman. tomorrow morning on the show, glenn greenwald is going to join us on his new memoir on braying

the edward snowden story. coming up this hour, the bouncy house that went from a good time to a really scary scene. what led to these photos. oh, my god. and what happened to the kids inside. we'll be right back. here at fidelity, we give you the most free research reports, customizable charts, powerful screening tools, and guaranteed one-second trades. and at the center of it all is a surprisingly low price -- just $7.95. in fact, fidelity gives you lower trade commissions than schwab, td ameritrade, and e-trade. i'm monica santiago of fidelity investments, and low fees and commissions are another reason serious investors are choosing fidelity. call or click to open your fidelity account today.

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♪ all right, gang, so two children in upstate new york are

recovering from serious injuries after a gust of wind swept away a bouncy house. you can see the image there. three kids were actually playing inside. >> hey, you can guys take down the lower third. and go back to that other shot. i want to put a perspective how high this thing went. yeah, go back to the next shot. just right there. >> wow. >> look how -- >> oh, my god. >> -- how high three little children are inside that bouncy house that we've all had, if we have kids. nicolle, you can't even look at it. >> my 3-year-old loves that. >> three little kids. we've all had these at birthday parties, right our kids have all done them at birthday parties. and apparently, it was staked down. >> it had been staked down, joe, you're right. this gust of wind came along and blew it up 50 feet in the air. this gives perspective of where the ground is and cars parked

nearby. one child escaped with only minor injuries but another boy has broken bones after falling 15 to 20 feet in the parking lot nearby. while the third has a serious head injury after landing on a car. heartbreaking for the parents. it's just a simple toy that a lot of parents book for birthday parties for their kids. >> my kids aren't going in one of those. >> yeah. >> if parents that don't want them anymore, there's there's a good reason. >> i'm done with the tent. >> unless the stakes go down 40 feet to -- >> to aquifer. >> oh, my gosh, that's horrible. thomas, what's coming up in the 8:00 hour? >> all right. a big hour coming up how to think like a freak. >> that's what i'm talkin' about. >> that's what i'm talking about. >> the men behind the book

"freakonomics" are back with tips how to train your brain. and what secretary eric shinseki needs to say in his senate testimony needs to keep his job. >> how about i quit. >> jon tester is standing by to join us live. straight ahead. we're back after this. cars are driven by people. they're why we innovate. they're who we protect. they're why we make life less complicated.

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back from iraq and the injuries to the vets are pretty intense, especially the ones we can't see. i think the v.a. is doing a pretty good darn job. that being said, if one veteran dies because somebody screwed up on a wait-list, that's far too many. >> first of all, i've got to say, there are a lot of veterans that would take exception to you saying, quote, the v.a. is doing a pretty good job. if you think the v.a.'s doing a pretty good job. i think you may be one of people in washington, d.c. that think that v.a. is doing a good job, but maybe one of the few people in america who believe that. >> i couldn't disi agree with you more. i've been around the state of montana. i've talked to veterans for the last eight years. and i'm not a veteran. i've talked to veterans. and i can tell you almost truly without exception they truly appreciate the v.a. is it perfect? absolutely not. does it need to be improved? absolutely. we need to work on it, especially when it comes to

mental health issues. but overall, i will tell you that the v.a., and i'd know it's in vogue right now to politicize everything that's going on with the v.a. but the bottom line is, we need to get to the bottom of this, we need to find out if there's wrog doing and hold people responsible. >> it's not in vogue with all due respect, senator, there's been a waiting list that's been extraordinarily long. an you've got parts of the v.a. that are actually cooking the books. and possibly killing veterans. >> we need to get to the bottom of that. but i will tell you, the waiting list, we knew was coming. it was coming. and i can tell you that this secretary has reduced it by 45%. that being said, it's being increased by 45%, too. because we're having veterans come home from iraq and afghanistan as we wind these wars down. and i think it's good we're winding these wars down but we've got to be realistic. the fact is, the waiting list is too long. secretary shinseki has made it a priority. and he's worked hard at it. and he needs success.

in the meantime, what has congress done? well, we've had sequestration and shutdowns and anything but certainty to the v.a. so when we see politicians badmouthing the v.a., they're pointing a finger at the v.a. and three back at themselves. >> that's bad mouthing the v.a. paul reichoff is bad mouthing the v.a. he's not a politics. and there are are millions of other veterans for some reason don't share your rosy scenario of the v.a. >> let me tell you, the v.a. has plenty of room to improve. but they do plenty of things right, too. i think if we want to focus on the negative and we don't want to focus on ways to improve the v.a., then we'll be right where we are right now. asking for resignations when we don't have all the facts. we need to get all the facts and then we need to act appropriately. >> well senator, instead of

focusing on the negative, you come from a big state. let's talk about accessibility from ptsd treatment. you get in the car and drive for hours some veterans before they get properly treated. what can you do about that? what should the v.a. be doing about it now? >> well, what we need to do, we need to get both in the v.a. and the private sector more mental health care professionals throughout. this could be the biggest issue fatesing this country over the next 20 or 30 years. what the v.a. is doing about it, they're trying to hire as many folks as they can to serve areas both urban and rural. they're working on telehealth which is critically important. with success, by the way, even better than eye-to-eye work that they've done with the folks that have ptsd and tbi. look, it is a business issue. i don't know that we've got one psychologist east of montana. and there's a big area east of billings. there needs to be work done there, no doubt about it.

all hands on deck to get it fixed. >> senator jon tester, thank you for being with us. greatly appreciate it. >> thank you. >> i don't get it. i don't -- >> it's an outrage. >> well, you talk about -- >> i don't get that, i talk to veterans all the time. >> we have them on the show. >> i talk to veterans all the time that wonder why shinseki should still be there. they are killing vets in phoenix. they are cooking the books. i don't know if he -- if he's lobbying for another facility. in his state. i don't understand that. >> well, and you talked about -- >> i'm sorry, that is -- >> that's political in itself. >> that is one of most remarkable disconnects, political disconnects from a guy i've always respected. i don't get that. >> he's a good guy. he's heart's in the right place. but the reality is the v.a. is an incredible mess. at outrage more senators going

the house of representatives, the american flag, we have to take care of our veterans. >> and even came on saying shinseki who he has covered a long time and he doesn't get it, he doesn't get it, giant should be gone. i'm shocked that you've got a united states senator saying this is about politician? it's about vets. >> coming up next, yankee great willie randolph joins us. wow. ♪ [bell rings]

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now former second baseman, now coach for the yankees, willie randolph. we're just talking about what you're doing now. you managed the mets for how many seasons? >> three and a half years. >> you had a great run as a coach and player with the new york yankees. what's next? >> i hope i get the shot to manage. i got the opportunity and lived the dream. i grew up in brooklyn, new york.

i rooted for the mets as a youngster. i got a chance to manage the team. my life has been really charmed and really blessed. and then also captain of the yankees. living both worlds and just understanding the game has been good to me, i love the game but i'd like another shot and see if i can get better at it. >> you ought to get another shot. >> your career with the yankees spans almost 30 years. you put it all together and you saw some things. >> yes. >> you were there for reggie jackson, you were there in the 80s with don mattingly, you saw jeter come up from the minors and watch him grow under that great yankee run with joe torre. can you put into words what the experience was for you? >> it was a great experience for you, a 21-year-old kid to be a part of a world series championship. the yankee way means a winning tradition, a legacy that's rich in championships.

everyone can't win, it's not easy to win championships. i was fortunate to get traded by the pirates to the yankees and it just took off for me, again, storybook. the yankees for me are about family, tradition. the steinbrenners gave us an opportunity to win. i was fortunate to play with great players, hall of famers. >> how would you like to be joe girardi trying to handle jeter's farewell tour? >> how hard is it to know when it's time? >> the players don't know it's time. your hear feels i can do that. >> i went through that a little bit with mike piazza. he did a great job of saying you got to give me a day off, i'm okay with this.

derek is a different thing. it's got to be a tough thing for a father and son to go to the game and jeter has the day off. it's a tough, tough pill to swallow. >> when you talk about the hear, though, do you have a conflicted heart when it comes to new york and mets and yankees? i know the book is called "the yankee way" but you grew up a mets fan. do you have a conflicted heart over where your allegiance really lies? >> i'm conflicted but the best of both worlds. when you manage a team, it's like a father/son. as a player, you leave it on the field. i enjoyed playing more than managing. but when you think about me, i'm a yankee. you know, i got the world championship rings, i was captain of the team. >> the ring says it all.

distracting. >> we're all surprised you didn't say the mets way. >> and i was the honor of being one of eight yankee captains. that was special. i probably have some pin stripe blood in my veins but the love the mets. >> that ring, though, look at that bling. >> this was actually, 2000 world series. imagine living in this town? this was the most nerve racking. the true subway series. they're going on right now but had is the real subway series. >> there a lot of great stories, including the one where you went to yankee stadium as a fan and heckled derek jeter. you got to read the book. >> still ahead, magic johnson's reaction to donald sterling's

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♪ ♪ ♪ tell me you never saw this man move, doing the dance, the karl rove dance ♪ >> sickening, isn't it? >> welcome back to "morning joe." mike barnicle is with us, steve rattner, mark halpern and joy reid. thinking on the whole brain damage thing. >> we picked through that a couple of years ago. he didn't say brain damage but said was wearing glasses that suggested he had a traumatic brain injury when of course these are the same type of glasses that you wore in college. >> those milk bottle glasses. >> from the yale days. >> you remember that. >> i think this will go down in

history as a miscalibration by carl because of of the way he let it come out. i'm not 100% certain he wanted this in the blood stream. this was a private event. people can say, as nicole did yesterday, people had no know this was going to come up. he had to know this was going to come up. >> but the clean-up was not handled well either. >> what she said in private obviously is in private. obviously she didn't have brain damage. i just disagree with her on issue. >> the republican party is in crisis right now. doesn't look like jeb bush wants to run, people are worried about chris christie, there's another other establish candidate. the big gun, the big brains at the presidential level is what can we do to intimidate hillary clinton from running or try to make the conversation about her

about the past and negative. i think that's part of the package that carl's part of now but i don't think he planned this. >> well, joy, this sure isn't a way to intimidate her. if i had my opponent throwing a wild charge like that at me or let's say a member of my family i'd go, okay, well, so they're going to just hand me this election then, aren't they? it was a stupid thing to say and it was stupid to not back down from it. >> yeah, i mean, the source of it obviously he's now backing off saying he didn't really say that but it comes across, if true, as a schoolyard taunt, needlessly petty and small, a stupid insult. as somebody who grew up wearing glasses, it comes across like a schoolyard, foolish taunt. it doesn't in any way get to hillary clinton as secretary of state. like what you're supposed to go after if you're being serious about running against her is the actual content of the work she's done as a public figure, the content of what she did as

secretary of state. this petty stuff and speculating about her having brain damage, it isn't even serious politics. >> and talking about her being old, when karl rove says she'll be 69 if she wins, 77 when she gets out, you know what i think? think of ronald reagan, who was 69 when he was inaugurated, 77 when he was out. i would take eight more years of ronald reagan. i know a lot of people would. but republicans, who are listening to karl rove, i don't even think republicans get it. >> can't you just see hillary clinton saying to rand paul i'm not going to use the youth and inexperience of my opponent against him? >> exactly. >> you're reminding people she has a lot of experience in public life. people who know her and know politics understand she's a serious person. >> the republican party is in

existential crisis right now. their kind of republicans now are trying to disqualify her. it's the strategy president obama used to disqualify mitt romney. they're saying our only hope of winning now until we have a candidate that can match up with her until we have a candidate in the electoral college, is to disqualify her. that's where the energy is now. >> is karl rove more wary of hillary clinton or more leery of the existing republican field? >> he would like a horse to get on. until they have a horse, there's a one-word job description for the party right now, who can beat her?

they don't have anybody gung-ho who can beat her, to try to start enough noise who can beat or damage her. >> the tea party got a much-needed primary victory last night, some are saying. the nebraska former bush official, ben sasse captured more than half of the votes. he's scored endorsements from sarah palin and ted cruz and outside groups including club for growth. they spent millions on sasse. when he called out senator minority leader mitch mcconnell to show some, quote, actual leadership on obamacare but yesterday he down played that rift and told chuck todd he would absolutely support mitch mcconnell as leader. and pete rickets, businessman who won the primary in nebraska

had the backing of ted cruz, who campaigned out there for him. so ricketts has to be the favorite for that state. a lot of tea party got behind him and establishment got behind him as well. he was a unifying candidate, wasn't he? >> but he is an outsider. mcconnell is someone who will come to washington like senator johnson of wisconsin or mike lee from utah, he's not going to come and play nice. i don't think he'll be as far outside the mainstream of the party in terms of attitude as ted cruz. he'll be a senator and peter ricketts will be senator most

likely. >> and magic johnson was first dragged into this controversy after sterling confronted his then mistress over a photograph. stiviano posted the image of magic johnson on it instagram. sterling told her not to bring magic or any other african-american to clippers game during that original racist rant and then sterling went after magic johnson again, this time, believe it or not, for having hiv. >> what has he done? can you tell me, big magic johnson. what has he done? >> well, he's a business person, he -- >> he's got aids. did he do any business? did he help anybody in south l.a. >> i think he has hiv, he doesn't actually have full-blown aids. >> what kind of guy goes to every city, has sex with every girl and then he catches hiv. is that somebody we want to

respect and tell our kids about? i think he should be ashamed of himself, he should go into the background. but what does he do for the black people? he doesn't do anything. >> here's a man who we would think would be educated and a man who would -- is smart enough to build this type of wealth and own a team, to have an incredible platform to change the world but he's doing it in a negative way. he's reaching. he's reaching. he's trying to find something he can grab on to to help him save his team and it's not going to happen. am i upset? of course. but at the same time i'm a god fearing man, i'm going to pray for him and hope that things work out for him. the problem is he's living in the stone ages. he can't make those comments about african-americans or latinos. he just can't do it. >> joy reid, why don't you tell us what donald sterling is thinking when he goes on tv and

says that? >> the only thing i can think of between that and what he said to v. stiviano on the phone, here's a man who has a desenep sense o inadequacy, just his girl friend being a picture in magic johnson -- >> what kind of fool would say that? he has to know, does he not? we all know what magic johnson has done in communities and cities over the past 20 years. the investment, the financial investments, the risk he has taken to help the disadvantaged, he's done so much. forget the ignorance about aids or hiv, the more ignorant statement has to do with the fact that magic has been doing exactly what he said blacks should do. it's insanity. >> he's a deeply ignorant man who obviously knows very little

about magic johnson other than the way he makes him feel. this is magic johnson -- in the 1980s the idea of hiv/aids terrified people. magic johnson probably more than any other single person has humanized the issue of hiv, has made people understand it in the real sense. it is considered heroic in the african-americ african-american community both for the way he has contributed to the community and -- >> why doesn't magic johnson age? magic looks like he did 25 years ago. >> he's magic. >> that's right. he's magic for a reason. >> you have lebron coming out and saying he will not play basketball next year if this creep is still running the clippers or has anything to do

with the clippers. >> i'm not that familiar with the nba board of governor rules and apparently if the majority of owners is against sterling returner so he will be done. the larger issue, joy alluded to it, do you remember the day the news broke that magic johnson and hiv? >> of course i do. >> at that stage of the hiv crisis, he provided -- >> it's impossible for people too young to remember but there was such a panic. i remember americans going to restaurants and feverishly wiping down their silverware when they got to restaurants because they were afraid they were going to get, posed to the hiv virus. magic put a loving face on the epidemic.

we all thought, oh, my god, in two, three years magic is going to be dead? >> that's right. >> no, that was a turning point in that battle that we owe an awful lot to magic for as you were saying, joy. >> arthur ashe and magic johnson are the two people who did more to end the panic for hiv/aids than anyone else. the federal government refused to use the word aids, people fighting for basic drug care. people thought he would die almost immediately. his survival in and of itself but also his really just incredibly dignified champion of just living with hiv, besides the fact that he was just an ignorant fool who should be out of the nba, that is stupid. >> magic of '91, that's the on thing people would be thinking

about now. now that's way down on the list. people don't even think about it. talking about living with hiv and making a big difference in american society, the guy did it. joy, thank you for being with us. do you know what your show is going snto be? >> we're going to be talking about this and we're going to be talking about the nigerian girls. this is a very personal issue to me and we're going to stay on that story until we see a resolution. >> that's great. can't wait to watch that. >> are you following my advice? >> my staff can hear this, by the way. >> i told her to stay at home, relax. >> i've done it a couple of times. >> pixar has swimming pools and volleyball courts. you got to be in the right mindset. do not come in here for your meeting. i'm talking to the staff. >> don't watch this, just this

part. >> it's not about you, it's about joy. >> coming up, our reaction to the interview of time geithner with larry kudlow. and calm down brian sullivan, boy, he's fired up. coming up next, speaking of freaks, the authors behind freakonomics are coming up. they want to teach you how to think like a freak. bill karins, what do you have for us? >> you can't say freak and lead into the weathercast, joe. >> we're into some freaky weather. it was only 66 degrees in san antonio, it was 92 in washington, d.c. and out west, an incredible heat wave on top of this historic drought. let's add in the santa ana winds and it's one of those days of

firefighters are going to be gearing up and be ready. it's a very dangerous day. winds could gust in the mountains up to 80 miles per hour. 80 miles per hour and 100 degrees. that's like having a hair dryer blower. record heat expect, 100 on thursday. they don't cool off in southern california until friday and especially the weekend. heavy rain and possibility of a few severe storms, maybe isolated tornado or two, it goes through pittsburgh, columbus, louisville, tupelo. if you have any problems at the airport, it will most likely be with the thunderstorms. how about los angeles, 101 today. early in the season for that. you're watching "morning joe." we'll be right back. ♪ and you're younger than you

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when brands compete, you save. mattress price wars are on now at sleep train. ♪ your ticket to a better night's sleep ♪ . hey, with us now, it's the wildly popular freakonomics series, authors steven levitt and steven dubner. they're out with their latest installment. i like the first one, think like a child. >> we don't want to make our way through the world like 8-year-olds exactly because there are a lot of things kids

need to do that they can't do. but what they can do is be relentlessly curious, and their brains are physiologically sharper. we're start to deteriorate at about 22 years old. we suggest people channel the inner child as best as they can. especially when you're trying to come up with good yquestions an creative solutions. >> give us an example how you can do that at work. >> think like a child? >> yes. >> kids don't know anything about the world and they have a lot of solutions. a lot of answers people come up with people think you're nuts but -- >> and also learn to say i don't

know. >> and as adults we tend to present a theory or possibility as a certain tear. >> put away your moral compass. >> we don't mean to say people shouldn't be moral. nobody wants to live in a world where people don't have a strong moral compass. but if you're trying to solve a problem and you walk in thinking you know what's the right thing to do and what's wrong, you will exclude a whole set of possibilities. put your moralali itit itit iti aside and you can come back to it later. >> also in the book -- >> i still think you can be an astronaut. >> i'd like to if we still had nasa. >> you're limiting yourself. >> he already looks like an astronaut. >> thank you very much.

>> could have been. >> you talk about don't be afraid to quit. a lot of people, once we get on a certain path, we don't want to trigger any type of failure in our lives because we get comfortable with being on a path. why do you try to get people to not think of that as a bad thing. >> quitting and failure are two different things. the worst failure is looking back at our life and doing the same thing and wondering why you do that. the people who quit are happier than the ones who don't. >> from freak to frank. you tell great stories. tell bus the hot dog eating contest and what lessons he teaches ees us. >> i love this story and this guy.

kobiachi, he wanted to solve the problem and he approached it totally differently. instead of doing what everybody else did, fasting, starving themselves, instead of thinking how can i eat more hot dogs, he thought how can i eat one faster? he broke the process down and the first time out doubled the world record. >> from like 25 to 50? >> it would be like usain bolt running the world record in like 4.5 seconds, somewhere between a taxi and a cheetah. >> we've heard about creative destruction, that does lie at the heart of it. like you said, you don't drive the car off the cliff. sometimes -- well, all of this is about getting out of your comfort zone and not doing what everybody expects you to do. >> absolutely. it's about thinking. it's about not just sleep walking through life but thinking about what you want to

do and taking control and doing it. >> so who is your favorite freak that you studied that put the big light bulb over your head? >> barry marshall was an australian medical young doctor who figured out what causes ulcers, okay? it doesn't sound like a big game he also figured out what causes stomach cancer. at the time ulcers were thought to be from stress and stomach issues. he went and found out it was about bacteria and solved stomach cancer by looking at a problem, asking questions, hey, what are those bacteria being here, was ostracized by the

medical community and finally was recognized and won the nobel peace prize. >> i know hough to eat a hot dog faster now. >> and you can go out for thai food to celebrate. >> let your freak flag fly high. >> you can read an excerpt on moj mojoe.com. coming up, your favorite internet stock is most likely collapsing. i told up not to invest in pets.com, you didn't listen to me. we're going to dig into it when we come back. ♪ ♪

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♪ ♪ >> you mentioned that in january of 2009 we're on the brink and that was a term we heard a lot, the country was about to go over the cliff in the fall of 2008. what does that mean explicitly and specifically? what would have happened if we hadn't taken that step back? >> think of the great depression. there's no memory of it. people didn't live through it but in the great depression, unemployment went to 25 and gdp

fell by 25% and it took a decade to get back to some measure of security for people. that's because we allowed as a country a financial panic to escalate and bring the system to collapse. and why does that happen? it's because the light's going out. it's like the power grid not functioning. if the economy can't get oxygen, just to mix some more metaphors, companies can borrow, then businesses fire people on a brutal scale and that produces those set of conditions. panic leads to crash. that's why those things are so damaging. and they have massive innocent victims in that context. >> how close were we? >> we were right at the edge. >> paulsen wrote he thought we were three days away from the atms not working. people were talking about burying gold in their back ya s yards. >> they cut out the part where

they explain that's exactly what mika is still doing, burying gold in her back yard, west chester, south of france, all over the place. >> that of course was tim geithner earlier. mike barnicle did not have a lot of nice things to say about elizabeth warren. >> i don't think he likes elizabeth warren. >> i don't know that he doesn't like her. but i think he clearly felt abused by her in the settle of setting her up for questioning, youtube moments rather than -- >> oh, i think he doesn't like her. >> okay. we're going to talk about that and much more. we're going to ask why too big to fail has got i don't know even bigger. brian sullivan is trying to recover from yesterday. larry kudlow, miles neddal, a cast of thousands will be with us when we return on "morning joe."

are those made with all-beef, karen? yeah, they're hebrew national. but unlike yours, they're also kosher. kosher? yeah, they're really choosy about what goes in. so, only certain cuts of kosher beef meet their strict standards and then they pick the best from that. oh man! what'd we do? they're all ruined. help yourself! oh no, we couldn...okay thanks. when you hot dog's kosher, thats a hot dog you can trust. hebrew national. the was a truly amazing day. without angie's list,

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can we just stop saying "the republican party." as someone who grew up in a conservative household, i don't recognize the republican party of even my youth. i don't like what i see. i don't like the far right, i don't like the extremism. they've pushed me away. as somebody who is pretty much not religious, right, pro same-sex marriage, pro legalization of marijuana for the most part, okay, what party is this? what party am i supposed to be in when i'm a fiscal conservative who believes that small government can often be better. there are times for larger government. so we keep saying "the republican party" and i love you guys and i love the show and i come on all the time but i don't know who the republican party is anymore. i don't know in the republican party knows -- it's not a party i can get on board with because

i don't like the small minded attitude, a lot of the right-wing stuff that comes out. >> well, come on down, come on down. >> give this guy a cup of decaf. >> a ticket to new hampshire. >> that was brian sullivan on our show yesterday. brian is back today. lexapro is doing a remarkable thing in his life for the past 24 hours, along with larry kudlow and miles nadal. brian sullivan, i hear not just republicans but a lot of conservative republicans that oppose obamacare, that oppose higher taxes, that oppose more regulations, that are larry kudlow and joe scarborough conservatives who say you know what, just keep the crazy at home, we want to actually win elections and change america for the better. so i don't know that you're -- i mean, i'm hearing this from the

most conservative, ideological people out there, which is just stop winning election. >> by the way, i want to thank everybody for the support. that was obviously unexpected and a little bit out of character. i appreciate everybody writing in. >> you didn't just win the academy award. >> it's like baseball. if the pirates bat .320 as a team but every team bats better and they keep losing, does l thr batting average really matter? the republicans have lost five out of six of the last popular elections? >> we've last five out of six elections. larry kudlow, people are doing some really, really stupid things. harry reid should be going to boxing matches in nevada in his

pajama and flip-flops. he should have been beaten. >> keep your eyes open. he's on the ropes. >> i think this is a year where the big tent philosophy is going to work pretty nicely. >> it worked last night in nebraska. tea party support. >> the republicans are going to have the upper hand on economic growth and obamacare. tease are very important issues. with all respect to brian, i am not in favor of legalizing pot, i never will be in favor, i don't think the republican party should be in favor of legalizing pot, but if a state wants to do it, let the state do, it don't get in the way. i would say the same thing regarding certain key social issues. if certain states want gay marriage, that's up to the state. >> but the national party, let's focus on getting america back to work, right? >> and you're going to see that,

is going to be the big theme. this is the worst economic recovery since world war ii, the job situation still remains very difficult and, frankly, obamacare is not only bad for the economy, it's going to be bad for health care and health care costs. my advice to the gop, big tent is number one and, two, keep your eye on the balls that really matter. >> steve rattner, every time on the house floor we started getting to social issues, the republican party would split, work, jobs, taxes, regulation, getting people back to work, we'd be united. this economy, a lot of unrest in the economy. unemployment numbers are going down. last quarter that we flatlined, maybe because of weather. but you have a great chart here talking about how we've got two americas. we've got the america on wall street that's setting records every day and we've got the america on main street that's been losing real wages since

1973. >> it's true. the stock market has been hitting new highs pretty much every day. it's up 32% last year, 3% this year. >> is there a bubble? >> is there a bubble? i'm sure people on this panel have an opinion about it. looking at the price-to-earnings ratio, how expensive is the stock market in this goes back to 1910 and uses a measure developed by robert shiller, an economist. and it's not as high as it was in 1929 and it's not as high as it was in 2000 and not quite as high as it was in 2007 but other than that, it is higher than it's been. does it mean the stock market can keep going up some more because of these irrational bits of exuberance? sure, it can. >> but your chart doesn't end

we're in a bubble now? >> it suggests stocks are on the expensive end but not in the bubble we've had before. >> explain what happened to internet stocks. >> look what's happened. twitter down 47%, groupon down 46%. some of that are questions that have questionable business models. i don't think many think groupon is the greatest business in the world, twitter when it went public, the valuation was crazy. the whole market is sort of rotating at the moment away from internet stocks. >> can i make one point? steve is right as far as this chart goes. this is a ten-year average of price-to-earnings multiples. now, bob shiller is a smart guy. i'm not here to put him down, this is not necessarily the best way to measure it. look at last year or this year

or a year ahead,or really around 15 times earnings and that's not bad. my advice, sometimes kudlow is right, sometimes kudlow is wrong, i wouldn't jump out of the market right now. >> housing and consumer spending. >> housing is stable temperature it -- stable. larry said trade at about 16 times earnings currently. and on that basis the s&p 500 could be 1950, 1975 next year. s&p earnings are supposed to be 117 this year, gross 6%. if you believe what lee cooperman says, which is stocks are the best house in a good neighborhood currently, they're fair live priced. they're not cheap in relation to what they've been historically

and they're not over live expensive. >> so why is main street still suffering and why is wall street doing so well? >> when you look at the unemployment rate that has declin declined, it's mostly because people have left the workforce. there's only about 150,000 job being created monthly. >> the answer is simple. why has main street suffered and wall street done so well? because wages have not increased, and what hasn't gone into wages has gone into corporate profits. workers are simply not sharing in this prosperity. >> the wage point is exactly right. it's exactly right. and i think that's because of the slow growth in the economy and i think that's because of poor economic policies. but i want to make a point, wall street versus main street. no, won't buy it. 50% of the households in this country own stocks. when you talk about main street, union people, cops, fire,

teachers are all in pension funds and the pension funds are doing very well because the stock market has done very well. in queens your cop is making $120,000 a year, your school teach ser making $120,000 a year, they're putting some money into pension funds and that money is being matched and then some. those pension funds have gone up a lot since the bottom in 2009. >> teachers make $120,000 a year? >> how much? >> did you say they make $120,000 a year? >> in this city? absolutely. look at the recent de blasio settlement, it's going to be more than that. >> how much is the market in unrest in ukraine and overseas? >> they don't seem worried at all. the bond yield has gone down. but to steven's point, the stock market continues to go up. perhaps we are the cleanest dirty shirt in a bag of laundry. do i want to push back a little on what steven said, incomes

have not gone up, that is well founded, well known, accurate. but let's not forget corporations have paid out this huge gain in money to health care over the last 20 years. any corporation will say we have given our employees a raise, it just hasn't been in their paycheck, it's been in benefits. if the president's health care plan works and does as advertised, if we can bend that down, corporations will then transfer some of those savings to workers' actual paychecks. >> that's a fair point. but the balance of the evidence is workers have not had much pay increase. to larry's point, sure. >> has some direct interest in the stock but the vast preponderance of the gains in this stock rally have gone to the famous 1%. >> i just don't think the evidence supports that. i'm not making this stuff up. half of the households in this

country either directly or indirectly through pension funds or 401(k)s and what have you own shares. >> the most important issue is about job creation. if the republican party focusses on that single issue about job creation throughout the entire economy, especially in small business, that is the critical issue. way to stimulate the economy and benefit main street is through job creation. >> and that's the gop message inside the big tent. if they stick to their knitting on that, they're going to do very well. >> all they need is a policy now. >> we'll find it. at least we have focus. that's what we need. thinking like a child, thinking like a freak. >> larry kudlow, good to have you all here. and harry reid on the koch brothers when we come back.

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this guy spent millions fighting to outlaw online g gambli gambling, fighting organized labor. he gave $90 million to republican candidates. perhaps he thought they'd help him take on "radical islam and

unions." . harry reid is going to crush this guy. >> don't pick on him. >> did you say don't pick on the billionaire who puts millions in politics, why? >> he's in this because he has certain ideological views. >> what the [ bleep ] difference does that make? well, what are his ideological objections to online gambling that the largest owner of in-house gam blebling has? >> i can't tell over the internet who is underage, i can't tell who has financial difficultie

difficultie difficulties, i can't -- >> but if you come to my iy cas, you don't enter without filling out a comprehensive financial questionnaire. >> this weekend, visit knowyourvaluect.com. gayle king will be there delivers the key note address. mika is going to be there. and get this, she's going to give away money, mark halpern. >> money, money, money. she's going to have women there all over the state, pitching about their value. $10,000 bonus. donny deutsch and i of course are going to be helping. >> it's going to be good. >> is it a beauty contest? >> no, it is not. it's amazing, these women who want to go in business are pitching their value, asking for a raise and why they deserve a raise. coming up next, what, if anything, did we learn today? master of diversification.

who would have thought three cheese lasagna would go with chocolate cake and ceviche? the same guy who thought that small caps and bond funds would go with a merging markets. it's a masterpiece. thanks. clearly you are type e. you made it phil. welcome home. now what's our strategy with the fondue? diversifying your portfolio? e*trade gives you the tools and resources to get it right. are you type e*? when laquinta.com sends him a ready for you alert the second his room is ready, ya know what salesman alan ames becomes? i think the numbers speak for themselves.

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where villages floated on water and castles were houses dragons lurked giants stood tall and the good queen showed the boy it could all be real avo: whatever you can imagine, all in one place expedia, find yours ♪ ♪ >> time to talk about what we learned today. thomas, what have you learned. >> that we can have our freak flag and let it fly high. we'll have more the freakonomics guy coming up more after mojoe. >> what did you learn? >> the clippers were robbed and need a new owner zip learned if i want to be an adult, i have to

think like a child. >> the veterans have to take a two-hour drive to find a psychiatrist in los angeles. >> and i learned the v.a. is doing a good job. i don't understand that. if it's way too early, it's "morning joe." but stick around, here's chuck todd with "the daily rundown." if it's wednesday, it's victory lap day. will it be a tea party pulse in nebraska, a democratic deferral in west virginia and did book are feel a backlash in new jersey? also this morning, terrible tragedy overseas as hundreds are dead in a turkey coal mine collapse. we'll have an update on the rescue team still trying to save some trapped workers. and back here at home, the s didn't stand for station but some senators want to put harry truman's name on