well i'm charming in washington d.c. and here's what's coming up tonight on the big picture after one hundred fifty four years republican rule democrats in new york's twenty sixth congressional district to blame to the big three could this be the foreshadowing for the tone of the upcoming twenty twelve election year plus the sneakiness of the g.o.p. never ceases to amaze details about the loophole they created is still funds from elderly schools or private and religious schools and to speculators in the oil industry are caught stealing millions so does their punishment fit the crime.

you do know this democrat scored a huge political victory last night taking new york's twenty sixth district adding another democratic seat to the house of representatives that seat was previously held by republican chris lee until he was busted taking topless photos of himself to solicit women on craig's list despite the fact that only three democrats have ever held that seat since eight hundred fifty seven and republicans led by karl rove in the chamber of commerce dumped millions into the race outspending the democrat by somewhere between two to one and four to one democrat kathy hochul still prevails taking forty eight percent of the vote republican jane corwin is forty two percent of the vote there was a third party candidate jack davis but he only took nine percent of the vote the democrats won because they successfully turned this election into

a referendum on the republicans plan to end medicare take a look at this ad that's been running around the nation. as we saw yesterday's election the american people are putting up with the right wing radical agenda to kill medicare so it's paul ryan with the help of the tea

partiers and it's millionaire and billionaire financier is like the koch brothers killing off the republican party as we know as we know it and it's talk about this issue is phil kerpen vice president for policy of americans for prosperity phil welcome back my pleasure thomas nice to see a hopeful soul of the fourth democrat to ever hold the city as i mentioned since eighteen. seats hundreds isn't it time for the republican party is for backing away from from paul ryan the way the new congress tried to do sunday in africa and i think that would be a big mistake to read this race that way the democrat here only won by about forty seven hundred votes the tea party candidate a phony tea party candidate the democrat who is the endorsed democratic party candidate in this district the last two cycles siphoned off over ninety five hundred votes more than twice the margin of victory if you're so sure we got forty seven of them were the eight that you noted i don't think forty seven percent of the message or a mandate for anything i think the nine percent of voted tea party are probably well to the right of paul ryan so if there's any message here it's perhaps that his

plan doesn't move far enough fast enough and i think that there are a lot of other serious weaknesses with corwin as a candidate she was very weak and slow. now those are really just below the belt attacks like the one in the ad that you just showed and frankly i'm not sure this is an indicator of anything except that the republican party of new york is a bad job choosing candidates and does a bad job dispelling faith. that's a very interesting take you know president dwight eisenhower in one hundred forty six or nine hundred fifty six for the republican platform explicitly said you know we want we endorse social security it's not medicare didn't come along so well but you know social programs we endorse labor they bragged in the platform in one hundred fifty six about how two and a half million people were unionized and they wanted to see that grow in our wrote a letter to his brother edgar in the one nine hundred fifty four october eighth in which he said should any political party attempt to abolish social security unemployment insurance and eliminate labor laws and farm programs you would not hear their party again in our political history there's

a tiny splinter group of course the believes you can do these things among them are a few texas oil millionaires and an occasional politician or business a number is negligible and they are stupid that was nine hundred fifty four that negligible number has become the entire republican party aren't even well i suppose all right i drive a thai's medicare think killing the republican pretty clear on what's going on in medicare right now because the democrats voted to absolutely destroy medicare as we know it when they forced through the patient protection and affordable care act and we now have the independent payment advisory board which is the panel of bureaucrats who are empowered to ration health care in this country that's the democratic answer on medicare let bureaucrats that's not we've got a resource shortage we don't have enough money to pay for less absolute nonsense what's killing medicare is the fact that the really republicans came in and said can i do know treatment are going to i pad they're going to put a joy bit program here in lodi or now you have the government that's what i'm negotiating under phil can we show you this is rational is there any what is conservative about saying to the government you have to pay retail you can buy

wholesale for the v.a. you can hot buy wholesale for tri care but when it comes to medicare you got to pay retail and that was why the. even though the deal the white house made with formal that one hundred million dollars off the general reserve bill that created the i don't know house and then just a job yeah absolutely totally cool because he was at the white house cut the democrats kind of the democratic field democrats killed the amendment when dorgan brought it up because listen it within the know all the democrats all the democratic manner when they had to because they were corrupt deal with pharma just like all the lobbying well from get that bill through you know what a nice home i don't know if he knew all the background you know you'd all out including the screwed over on reimportation look at this now you just go back it up for a second the independent payment advisory board which is now the law of the land thanks to democrats on a partisan bill and to deny coverage for medicare we will ration care based on cost and political determination that you don't know me as a cause no individual surance company does i mean to their choice are you trying to tell me that any of the insurance companies need arises have you ever heard the word rescission i have no. doubt that we have people here going down the way to

have it look like in the middle of a private insurance company we're talking about no no we're talking about what's wrong about a lie and saying i'm going to give you seven thousand dollars and you can go on the private market buy insurance where you can go to united health care was steven j. holmes that has taken six hundred million dollars going to say sion and every penny of it was from saying to somebody no you can't have a litter trays when you know you can't and if you're actually as you know you can't have them a chance please we've got limited resources for medicare paul ryan's plan says the best fairest most equitable way to do this is to give people choice to control those dollars that's not bad what is president obama that's the democrats and president obama say and i don't like that people who are south of the independent payment advisory board can ration care who are going to see the government medicaid i mean to repeal i grab in order to restore it and save medicare and that's what the ryan plan does that puts it on a sound footing makes the state of the saves medicare which is going to be destroyed by obamacare is rationing policies in the status quo ok the choice with regard to medicare since it's a government run program is to vote the bums out of office and it sure looks to me

like that's what's going to be happening well i think it's tragic that we're out on top of the budget so we don't know what they believe and they just want to talk. thank you very much for the air guard yesterday's election chairman of the democratic congressional campaign committee steve israel said today the republican plan to end medicare across republicans three point four million and a seat in congress and this is only the first seat in my opinion he's right if the democrats can stay on message and this is this is a pretty fascinating thing paul ryan is one of the first of this new breed as as he would defy it or is it has been defied they were born and bred of the lewis powell memo the one nine hundred seventy four memo or lose paul wrote this to his best friend next door neighbor the head of the chamber of commerce saying it's time for us to take over the schools it's time for us to infiltrate the judiciary signed for us to take over the media and they did it with money from the koch brothers from from joe coors from you know and with the philosophy of i and rand i mean he actually believes this stuff. all right and frankly i think it's killing the

republican party you know i i get it that phil loves it but i i think it's kill him and are they going to figure here's the question in the background talk about this in our daily take the night are the republicans going to figure out a way to sell of us the average person beyond here here here and here graham here's seven thousand bucks good look behind health insurance after your second heart bypass operation i don't think they're going to there wasn't a word for example where one of the early indicators for me is drudge drudge is you know the drudge report right wing news aggregating web site the biggest in the in country maybe in the world not one word about the republican was in new york twenty six are now long work you know rationalization no excuses and not one word republicans i think are running scared they don't want the oil barons the coax or the billionaires the cubs to sacrifice their party. actually they want to sacrifice medicare. and they're not going to stop the part of the requirement to pay full

retail prices for drugs that's a two hundred eighty billion dollars your subsidy for the farm of the group who wrote billy tauzin that the house manager of the four house measure push this thing through the republican retired early from congress he could take a two million dollar job running farm and it was a poison pill and ryan thought he could use it to kill the program but it's not working eisenhower was right their numbers are small and they are stupid. it's time for our daily poll your chance to tell us what you think here's the question does a victory for a democrat for the democrat the new york twenty sixth raise show that paul ryan is shutting down any wins for republicans in two thousand and twelve your choices are yes the democrats successfully show this was a referendum on the republicans plans to end medicare or no despite the fact that only three democrats have ever held the seat since eight hundred fifty seven so far

over eighty percent of voted yes log on to tom hartman dot com let us know what you think the poll be open until tomorrow morning. time for the good the bad and the insanely ugly the good democratic congressman john yarmuth representative from kentucky came to the defense of middle class advocate elizabeth warren yesterday during a house hearing war on who isn't afraid to take on the banks hers could be the nominee to head up the new consumer financial protection bureau which scares the hell out of republicans that's why a hearing was called yesterday so that republicans could slander her name and call or a liar which they did then it was john yarmuth chance to speak and he said this. to the witness one for the rude and disrespectful behavior of a chair. the snarky comments about

a senate race and the questioning of your veracity when there is documented evidence that you were being totally truthful indicates to me that this hearing is all about impugning you because people are free of you and your ability to communicate in very clear terms with threats to our consumers with threats to our constituents. and possibly. we are very effective ways to combat. congressman yarmouth that's right let's hope president obama is listening and appoints elizabeth warren a.s.a.p. to put the banks jurors in their place and that republican congressman robert. yesterday house leader eric cantor majority leader eric cantor said that any disaster relief for the tornado victims in joplin missouri must come from other programs in the government that's bad enough but today the rock republican congressman put panther's words into legislation proposing an amendment that allocates a billion dollars in aid for term for tornado victims by cutting one and

a half billion out of a clean cars program that's right we're cutting from programs that help to curse. global warming to pay for relief efforts of disasters caused by global warming you can't even make the stuff up and the very very ugly republican congressman paul goes at a recent town meeting those are a multimillionaire told his arizona constituents that raising taxes on the wealthy is a bad idea and he used himself as an example take a look. at . how the executives in the us it's all. it was just like the rest of his constituents who have an average income of around thirty two thousand dollars a year. republicans are once again arguing the millionaires are the middle class no

matter. you know no wonder they think that the middle class is doing just fine and that's a very. coming up class is almost out of session as well as money details on why republicans are aiming at the pleading funds from our nation's public schools. let's not forget that we had an apartheid regime right here. i think is feeding on the oil.

whenever government says they're for keep you safe get ready because of their freedom. you know sometimes you see a story and it seems so silly you think you understand it and then you glimpse something else you hear or see some other part of it and realized everything you thought you knew you don't know i'm sorry for the big picture.

wall street regulators are finally holding oil speculators accountable for their role in the two thousand and eight surge in oil and gas prices to speculators james dyer nicholas wild goose who are facing charges by the commodity futures trading commission for manipulating the oil market and jacking up prices for the rest of us these guys made off with about fifty million bucks thanks to their scheme and now the see if you see is considering a one hundred fifty million dollars fine one of the largest finds in the history of the c.f. t c there is a fine really the appropriate punishment i mean if you robbed a seven eleven

a room the wives of its employees and made off with fifty bucks illegal p the police would settle the matter for you with one hundred fifty dollars fine. frankly i think these guys should be in jail but there's a bigger picture here when it comes to speculation and the republican party's crusade to deregulate wall street and in the process leave our economy our entire economy up to the whims of corrupt bankers let me lay it out how it works there's this thing called futures markets futures markets in the commodities markets the futures markets were originally set up i mean they get to go back to the nineteenth century arguably they go back before that but in modern times and chicago they started trading futures late one thousand nine hundred twenty centuries in a big way and it was a way that a farmer could say you know i'll sell a certain part of my crop before i've even put in the ground at a certain price betting that the weather is going to be good or bad my you know but knowing that they would at least get that price and so that's why you have futures

and we work bellies and all these kind of things you know these are these food commodities and then as the oil business grew the airlines you know they're big players in the commodities market the balance the price so they you know they'll buy oil a year in advance regardless what the prices they'll buy it a year in advance so they can predict what their expenses are going to be and they can fix ticket prices and set their expenses so they can make some money. once upon a time you know for a like most of the history the united states at least since the one nine hundred thirty s. when these rules and regulations were put into place all of this was done on exchanges mostly out of chicago the commodities change that were regulated and all the trades were transparent you could see the traders where you could see what they were buying and typically they if they ended up owning the commodity when the when the future came due they had to take delivery of it so really the only people who were playing the game were the people who were actually going to buy the wheat

bakeries and the people who were actually going to use the oil but here lines but then came along phil gramm and his wife when you worked for enron and or was on the board of enron and the so-called enron loophole the commodity futures modernization act was passed in the ninety nine or two thousand and it changed a lot of the rules of the game and so what happened is these speculators came in in the case of these guys that just got busted today and this is really interesting because it is the top story on the financial times financial times of course you know the world's leading newspaper rich guys talk to rich guys and girls and women whatever creators charged to see if you see and what they did what these two guys did and basically the reason why they may go to jail or get a fine of one hundred fifty million dollars fine others don't do they didn't do a very elegantly they didn't have like a giant goldman sachs and where they could do it in two different divisions and so on and what they did is they went in and well let me tell you read it from the financial times in march they bought six point three million barrels equal to

eighty four percent of oil available for delivery against april contracts the buying created the impression of a shortage and pushed up the price. futures futures on the new york mercantile exchange so they went in and they said ok we're going to take eighty four percent of all of this oil and we're going to commit to actually take delivery of it even though they had no intention of because they were just speculators they weren't airlines so the airlines and the big trucking companies want out there looking at the little bit of loyalist left over going holy cow there's an oil shortage we'll pay more and the price of oil starts spiking. once the price of oil is really up there these guys then say you know but before they dump it on the market they say first let's place a bet that the market's going to crash they place this huge bet that the market is going to crash the whole selling short then they dumped the oil into the market at the peak so they sold all of crow far more than they paid for it and then with all this extra oil in the market the airlines are going hey you know we don't need to pay high prices for futures anymore the oil market crashed and so they they're best

paid off this is how they made the fifty million bucks and in fact as the financial times says after cashing in the profits from their futures positions the c.f.c. see alleges the traders open bearish bets or short positions that will profit from a drop drop in prices and then allegedly surprised the market by dumping their physical oil driving on prices making further bets on the very future futures markets now and here's where it gets interesting there is this whole movement in the united states utah for example just may goal an official currency. so we're going to goal our large little fort knox here and there is the of this whole ron paul rand paul right wing hard right hard money. bunch whatever true believers who think that the dollars should be based on gold you know for a while at once and it sort of worked out but it didn't it frankly it didn't stop the debasement of the dollar look at the value the dollar from for example one hundred thirteen to nine hundred seventy one is still fell apart but what would

happen if the dollar was really solidly back then gold is if these speculators came in and said you know let's buy a bunch of this gold here or china or india put a bunch of gold in drove the price which is what it's happening right now then the dollar then the price of gold goes up and the value of the dollar or the price of the dollar goes up which means that it's harder for our exports to export products if they're of selling into the market the price of gold goes down suddenly value the dollar goes down we all get poorer and this literally could happen from day to day i mean it would be insane disaster. so i just wanted to understand these two things and how they work and you know it. it's frankly time for us to roll back the enron loophole to take phil graham's legislation the commodity futures modernization act and grimly split which which blew up the glass steagall act which broke up the you know kept the investment banks from real banking and throw them

out let's let's just undo these things there was actually legislation that the dancing close to get through the house to undo these things that the republicans stopped in the sun in the last legislative session it's not going to come out of the house this time because crazy republicans it's time to throw the money changers out of the temple of commerce. our public education system is under siege by republicans all around the country republican governors are pillaging their state's education budgets siphoning off hundreds of millions of dollars from public education and moving them money this is where gets really interesting moving that money into private or charter school voucher programs that includes religious schools there's a giant wall that prevents government money from funny religious schools but

republicans have figured out a way to tunnel underneath that wall and fund them anyway through voucher programs is going out in wisconsin where governor scott walker is slashing nine hundred million dollars out of his education budget and adding seven hundred fifty million dollars to the school voucher program and also in new jersey where governor chris christie cut two hundred or eight hundred twenty million dollars i was education budget last year then created an eight hundred twenty five million dollars school voucher program last year and that's just to name a few here to explain how the scam works and what it means for the future of public education america is that giuliani reporter and blogger extraordinary at think progress said welcome back thanks for having me. what does how does this work exactly federal funds going to fund religious schools you know what happened to thomas jefferson's wall of separation well that's exactly where the school voucher movement came from a one point american history of the twentieth century a lot of religious conservative americans said that you know we want tax are going to religious schools we want our kids in christian schools for example but you know

there's this thing called the constitution standing in the way so what they did is they designed about your scheme which is basically you get a bundle of taxpayer money and then you can take that algeria to any school you want in schools compete in the theory is that schools are supposed to get better from this which is why the free market here in the libertarians are going to develop their schemes so have you know i mean they've been doing this for at least twenty years you know in various cities and states and experiments and there's one even here in d.c. have any of these demonstrated that schools actually get better as a result about your programs well here's the funny thing is that it seems like the free market actually failed in this circumstance this see is that it's not the appropriate way to improve public education the longest running dr scheme is in milwaukee and wisconsin and it's been running since one thousand nine hundred eight that states that he and the university of arkansas studied it this state study found that students who were in the private schools they were receiving doctors actually got worse results on stated i thought the math and reading and the university of arkansas comprehensive study found that they got about the same results so basically you know we're finally money to private schools many of them

religious schools making a buck off the investor you know the investors are making a buck off the people who are going to schools are all of us they are taxpayers and yet we are actually getting better results for it so and it also seems that it would basically ghettoized public education that the kids who keep the private for profit schools or the private religious schools they you know we don't want these kids we can't handle them public schools don't have a choice they've got to take every child who presents itself because education is a right you know states or at least it's regarded as such by every state so you know not a good thing how widespread is this and and how are these republicans just. fine well this is the thing about your programs actually came out to vote democratically in states and cities across the country between one hundred sixty six and two thousand making up for about twenty five times they failed to talk about a ballot. but after a new president was yes exactly and to the public and they actually had these referendums fail twenty four out of twenty five times so they're actually pretty

unpopular with the public at large but what they're doing basically here is instead of going to the public they're going to legislators and legislators are being funded by big groups like the walton foundation the wal-mart family the broad foundation which is from the billionaire broad family i mean we have a lot of really right wing foundations right wing think tanks big groups like the american federation for children which is funded by the family which is another billionaire family they're the they're the heirs of amway and actually they are actually their brother in law erik prince of blackwater fame so i did if you want to talk about the on the republican machine in the state of the up in michigan you know exactly and these people are pouring millions and millions of dollars into getting these gotcha schemes passed in wisconsin they actually had the seventh largest pac to nations of any and the entire state where the battery folks and a lot of people didn't see this coming be elected you know they elected up to a dozen people and these people got in and they're starting to try to expand the milwaukee program which already doesn't work which is in reaching a lot of private school funders so basically this is just i mean there's an

ideology here which has been demonstrated not to work and there's a bunch of hustlers you know for profit companies that are making it better basically getting our tax dollars and making a profit on it and there's a bunch of religious groups that have their own obvious agenda who are also now getting our tax dollars. it seems like the only people winning are the hustlers and the ideologues. you know. i you know i know that there was a new york times story about the bill and melinda gates foundation supporting this kind of stuff at what point do you think americans are going to wake up and say hey wait a minute what happened to public education when i think was right now it's. happening it's a bit south of back and stealth attack on the public education system that's saying teachers are no good we need a great teachers unions publication and public education is no good we need these private for profit schools and we need charter schools and saying that teachers are against reform they're not for reform so i think basically what's happening right now is to push in the wake of this trying to say that you know bill gates and the walton family should be running our education system that we value our public

schools and want to lift them up we don't want to use untested unmerited you know reform methods that basically let loose capitalism in our schools where really they don't have a place you know capitalism is great for widgets or restaurants or toys there are clothes it isn't good for public schools it isn't good to have schools competing with each other and closing them down and bussing kids halfway across the city to a charter school here education is part of our common and the commons the whole point of creating government was to administer the commons well said thank you so much for being with us thank you great to have you and keep up the great work of the great research in the great. since reagan republicans have been trying to kneecap public education in america just so corporate c.e.o.'s and churches can turn education into a big business thomas jefferson devoted his life to free public education available to everyone in america rich or poor it's a day republicans are turning their back on our most influential. after the break conservatives daniel helper and janie weinstein join me for our lonely liberal rumble and maybe.