david: liz peek and adam lashinsky are back with us. adam, i don't really see government spending, infrastructure or stimulus plans as helping the economy, generally, very much. do you? >> i know, it's funny i was waiting to hear what you'd say davis david because i knew that about you. no, i think they can but they need to be done responsibly and so we're seeing a very strange experiment and governance here of republican president promot ing spending plans that are way out of whack with responsible budgeting and so -- david: well try to convince conservatives like me that government spending good work in certain instances. >> and i don't think they're going to do that david so it's a fas nateing story. david: well one thing, liz one key point and i'm not a big believer in government spending programs and i don't believe there's the multiplier effect outside the private sector that is but there is a key metric here and it may seem a little ne rdy, but i'm going to put it up on board because it's not necessarily the dollar amount of the d

smooth, deirdre bolton, adam adam lashinsky, it is a valid point he's raising it doesn't take much to make that debt pricey. >> it does not at all and i think this is the danger also of president trump tying his economic or administration success to the stock market, but as you say, it is going to make the debt more pricey and i think we're now the top five if you put us on a list of all of the industrial economies we're on the top five of better nations. neil: but we've had some rip roaring markets. gary b., one of the thins he was warning about that we have to be aware that interest rates were are ridiculously low and unrealistically so, so even if we get back to equilibrium that could be another excuse for the bears to say well you want to get out of dodge. what do you say? >> well, i think a lot of people are still viewing the fed inflation in terms of the 70s. i'm not going to say inflation has been banished and by that, you know the fed having to raise rates to play it off, but look at the landscape right now. who can raise prices? grocers can't raise prices, because instead of

let's bring our market tan ellyn to talk about this liz peek from the fiscal types and so is adam lashinsky from fortunes also fox news contributor. liz, to you first. we started the show by seeing fears were fading on wall street those we'res presumably would be about things like fridayer interest rates are we suddenly not concerned about that now? >> oh, i think we're very concerned about it but jay powell the new fed chair is going to be speaking tomorrow to congress and every indication is that he's not going to really rock the boat and i think that's very important whether he comes across as looking for three or four interest rate hikes this year, basically what we know is that jay powell has no reason to push a more aggressive stance right now and i think that's very comforting to market watch ers that's what everyone is looking at. >> there are also reports adam over the weekend that maybe the federal reserve is comfortable with a little more inflation than they traditionally would be , 2.5% rather than 2% your thoughts on that and whether we hear about it from jay powell tomorrow? >

dan henninger from the "wall street journal," adam lashinsky from fortune, fox news contributors and lenore hawkins. dan, you and i were together at "wall street journal" in october when the 22% crash happened. couple weeks later we were back to normal. what happens when recession is crash. if it crashes in a healthy economy, it is likely to bounce back pretty quickly, no? >> i think that's right, david. i mean unless all of us are missing something there is really nothing out there in the world right now to suggest that what's been happening in the economy is threatened in any way. the real economy is very strong. for instance, the ism, non-manufacturing index, that came out today, hit 59.9. that is really high. the estimate would be 57.6. so just another indication the real economy is going well. i think what happened today is basically, that the stock markets are beginning to sink, getting in sync with the real economy. that necessitated some kind of a pullback to a point where two can start operating on basis of something more real than what the stock market has been doing recent