economists who is the intellectual father of their discipline you would get 998 out of 1,000 responding adam smith. that is the clear consensus i think among my contemporaries, and smith's modern disciples would ci his celebrated invisible hand idea. the idea that if you turn selfish people loose in the marketplace and tell them seek your owndvantage, chaka and border with one another, the end result wl be the best possible outcome attainable as a whole. that claim brings little hollow these days. i feel the invisible hand was never a claim adam smith put forward in those terms. his modern disciples are more enthusiastic about the invible hand idea than he ever was. he was azed you could rn selfish people lose in the marketplace and sometimes get good results so when he stated his claim it was alws qualified in that way. still it is a major intellect will advance, the idea producers would compete with one another to steal market share from their rivals with no intention of benefiting society the end result would be competition would drive prices down, high-quality products would be introduced to a

joining me now congressman adam smith a democrat, and the congressman just got back just days ago from afghanistan and pakistan. sir, we appreciate you being here. i know you read the comments today from senator levin who was on the floor of the senate making a speech today. he says pointblank that we should increase and accelerate our efforts to support afghan security forces in their efforts before we consider whether to increase u.s. combat forces above the levels already planned. do you agree with him that before we even think about sending another u.s. member that we need to increase afghan security forces? >> i agree in part and disagree in part. >> which part to agree with? >> let me explain. certainly i think the critical element, this is a classic counter insurgency campaign, and in a counter insurgency campaign, what you need is the locals, in this case the afghans to take the lead in that. they need to work with us, they need to be the ones who are providing security. yes, we need to train their army, we need to train their police. but there's a huge development piece in thi

co-op approach and against the public option approach, which is the real sort of what i call the adam smith approach, really forced competition among the insurance companies who are eating us for lunch. the mayo clinic came out for public option. that's news. that's breaking news. that's big, and that's a stunning development. we're not actually doing amendments yet. we're just doing a walkthrough and asking questions. what i was focusing on was the children's health insurance plan which gets killed under the 14.3 million children are going to lose their benefits unless there's improvements in the plan which i think there will be. also the way you set up medicare. that's the medpac think which is garbledy speak. it's the idea you take the decisions away from the congress and lobbyists and give it to the health care professionals because that would help seniors get better coverage. >> senator, you said the mayor clinic. when they say they're for the public option, does that mean they are advocating an independently run government-administered program that would compete against the private se

today who's the intellectual father of their discipline, you'd get 998 out of 1,000 responding adam smith that's the clear consensus, i think, among my contemporaries. and smith's modern disciples would cite his celebrated invisible hand idea. the idea that if you turn selfish people loose in the marketplace and tel them see your own advantage, barter with each other, had end result will be the best possible outcome attainable for a society of whole. that claimings hollow these days. the invisible handas not something adam smith put i his terms. his modern disciples is more enthusiastic of these ideas. he was amazed you could turn selfish people in the marketplace and sometimes get good results and it was always qualified in that way. still, it's a major intellectual advance. the idea thatro

and so this is adam smith. this is adam smith that laid this out even though you can read through all 1,057 pages of wealth of nations, you'll not find him use the expression the invisible hand. but it's the invisible hand indeed that best describes the vision of adam smith. in 1776 having printed and published his book, "wealth of nations" the very found of -- foundation of free enterprise. and centuries later we come up with keynesian economics, there is no basis for the economy, the economy is a great big huge national or global chain letter and that if the government would just print a lot of money and spend the money in a lot of ways and maybe go drill some holes in an abandoned coal mine, according to keynes and fill it up with garbage and turn the entrepreneurs loose to dig dig up the money, he said he could solve all of the unemployment in america. i know. it sounds bizarre, mr. speaker. i am not making this up. this is the characterization of john maynard keynes, the difference with his approach and pr

that is what adam smith had in mind. the metaphor that we often used for this self-equilibrating property of the market, is a thermostat in which things return to their natural level. that is the right way of thinking about markets. the vast majority of the time. but it was keynes' central insight that two or three times a century the self- equilibrating properties of markets breakdown, and stabilizing mechanisms are overwhelmed by mutually reenforcing vicious cycles. the right metaphor ceases to be a thermostat and becomes an avalanche. consider some of the vicious cycles we have seen in the last few years. the liquidation cycle when financial assets of our value, which forces there sale by those on margin, which closes the prices even lower. a deleveraging cycle where lower prices on institutions, on assets, cause institutions to have less capital, which leads to less lending, and even more asset devaluation continuing the downward spiral. a credit accelerator cycle in which a weakening economy leads to a weaker financ

necessary when a doctor who wants to maximize his or her income wants to go for it, and in good old adam smith economics, it would happen, because there'd be 25 insurance companies, and a couple of them would say, hey, i will veto that and have more customers by having lower rates, lower premiums, but it does not happen because of this chart, and, frankly, the bill does many good things. the chairman is right. but it does not get to the fundamental problem of concentration, those of us who support the public option support adding some real competition to the coagulated and fundamentally anti- competitive insurance market. and i do not blame the insurance companies. their job is to protect their shareholders. that is what the president of the board is to do. that is not our job. our shareholders are our constituents, and so, we need a public option to create competition and to bring costs down. it is my belief nothing will do it better. we can put regulations on the insurance companies, but their natural inclination is to escape those regulations, because their job is to maximize their profits.

. >> joining me now is democratic congressman adam smith of washington. congressman recently returned from a trip to afghanistan. congressman, good to have you on tonight. i appreciate it very much. what were your impressions of what you saw? the american people want to know, are we making progress? are we doing the right thing? what do you think? >> i think we have the right plan now and we're going to start making progress. i think it is very, very tragic we lost six years after the taliban were driven from power back in 2001. we don't have the right plan in place. we didn't commit the resources to getting the governance level up in afghanistan, the dwomt level up. when president obama came into office he had a big problem to fix. put together a good plan, put the right people in place, general mcchrystal in particular is a man i have great deal of confidence in. he's got to be able to put that plan in place and implement it. it's going to take time and be tough. >> whatever general mcchrystal says you're going to go along with it. you wrote, my general

it's a remarkable story but as i noted, adam smith himself didn't believe that it was a general description of what happens when selfish people go about their business. erntd .. >> of course, oftentimes the trade that helps the individual also helps the speci to which the individual belongs. so if you take for example about a mutant gene that codes for keener eyesight in the hawk, we all know the half who bears that gene gets a clear advantage. you can spot my stomach higher altitude soaring above the valley floor. you'll catch more mice. you will feed his can more fully and raised more offspring. if that gene spread throughout the hawk population, which has a tendency to do, so much better for all the other hawks. not any of the disadvantaged by having keener eyesight. so that's the invisible hand played out in a darwinian setting. but as darwin was well aware oftentimes the trade that benefits individuals don't play out at all to the benefit of the group. here i want to tell a simple narrative story. i have taken altering the way i give talks in the last several years because in recent ye

and the pages in my book, you go throw that in a fashion to understand how adam smith articulated it and even though he doesn't use the term invince i believe hand, we use the term invince i believe hand of the consumer makes those decisions. i talked about this last night. if you are a baker and baking bread and someone out there selling bread at $1.5 a loaf and goes on the shelves in the story and bake bread that is similar or better quality and sell it for a $1. you might get your spot on the shelf and the guy with the name brand has two or three shelves filled with bread and yours at $1, in comes the consumer and think i could save a quarter if i just buy that brand of bread. why don't i try that. they bring home this new loaf of bread. if it's good, they will buy the brand over and over again especially if it's cheaper. the store owner realizes he is running out of those six loaves of bread and the other bread is getting stale on him so he widens his shelf space to the bakery who is selling at a lower price. and that's how the good bread takes over the bread that's not as good a

democratic congressman adam smith from washington is a member of the house armed services and select intelligence committees and joins us live from sa from seat. thank you for your time. >> i appreciate it. >> you have recently been in afghanistan. tell us what it's like on the ground there now. >> yes, i just got back from a trip over the labor day weekend. it's difficult situation. taliban mounted their own surge and have begun to be much more involved in the south and east. but your report mentioned other part of the country. we're in a difficult fight to stop taliban from regaining control of significant portions of afghanistan. a difficult struggle right now but at the same time, we have an excellent plan in place. general chris trystal is the ri person to implement the change. and we're beginning to correct what got us in the position so far. >> general mcchrytal have not asking for additional troops but some think he will. senator levin doesn't think it's the right attack now. what is your opinion? >> don't prejudge the situation. i appreciate the fact you point out that the r

. >>> also one other thing i can tell you about, we're going to have representative adam smith from washingtonhe democrats now on what should happen in afghanistan. the president may be wanting to send more troops and the democrats don't. >>> more from the cnn newsroom straight ahead. at walmart. save money. live better. walmart. a day on the days that you have arthritis pain, you could end up taking 4 times the number... of pills compared to aleve. choose aleve and you could start taking fewer pills. just 2 aleve have the strength... to relieve arthritis pain all day. >>> attractive young women were duped or did they simply call in the police to help them break their contract with an internet contest, similar to the reality tv show "big brother" the latest scandal rocking the turkish capital of istanbul. >> units here in turkey rated a house in eastern istanbul and they released eight or nine women under the age of 18. a suspect was also detained and then released pending investigation. now the women in the house have since claimed in turkish press reports that they were held at the house aga

how prices fall and people grow less and consume more and the market equilibrates that is what adam smith had in mind when he talked about the invisible hand as a metaphor for the property of the market is a thermostat. it once things return to the natural bubble and that is the right way of thinking about the market's. the vast majority of the time. but it was keynes in sight the properties of markets breakdown. and stabilizing mechanisms are overwhelmed by a mutually reinforcing the vicious cycles it ceases to be a thermostat and becomes an avalanche. consider some of the vicious cycles we have seen in the last few years same liquidation cycle where financial assets fall which force the sale which porsche the price even more. 80 leveraging cycle where of lower prices on institutions cause institutions to have less capital which the two less lending and even more ass said devaluation continuing the downward spiral. a credit accelerator cycle in which a weakening economy leads to less lending which leads to a weaker economy that keynesian cycle which lower spending leads to lower employme

adam smith broke his foot.ould wonder if that could have happened. cincinnati is concerned about the tackle so much so there's a weight clause in his deal. can you explain that? >> what happened here is that andre smith showed up on sunday morning to sign his contract and he weighed 364 pounds. 30 more than his regular playing weight, and at that point the two sides discussed a performance, and the bengals were adamant about putting a weight loss clause in his contract. now he must be at 350-pounds or less and be active for the game or the bengals have the right to fine him 50% of the regular game checks. so there are 17 game checkness the nfl. and the bengals could take away 50% of them. it's a with issue and that's want to keep him from ballooning. he came in on sunday, he practiced for a few days, and even though the suffered a foot injury he has dropped his weight from 364 to 35 -- 35 8. >> carson paler in still dealing with an ankle injury following his lost season. what is his status. >> he has been at pr

that is what adam smith had in mind. metaphor that we often used for this self-equilibrating property of the market, is a thermostat in which things return to their natural level. that is the right way of thinking about markets. the vast majority of the time. but it was keynes' central insight that two or three times a century the self-equilibrating properties of markets breakdown, and stabilizing mechanisms are overwhelmed by mutually reenforcing vicious cycles. the right metaphor ceases to be a thermostat and becomes an avalanche. consider some of the vicious cycles we have seen in the last few years. the liquidation cycle when financial assets of our value, which forces there sale by those on margin, which closes the prices even lower. a deleveraging cycle where lower prices on institutions, on assets, cause institutions to have less capital, which leads to less lending, and even more asset devaluation continuing the downward spiral. a credit accelerator cycle in which a weakening economy leads to a weaker financial s

time now to turn it over to trey wingo being adam scheckter. michael smiths mortensen. all the insiders in house to talk about the top stories lines of the upcoming nfl season. >> if you want inside information on the nfl, you can do a lot worse than this panel of experts right here. so as we he get set for week one to start. what do you think is going to be the biggest unanswered question going into the season? let's start with you. >> i think brett favre asked it, can he play a full season? which seems odd for the most durable quarterback in history. the bottom line is this guy's not worked out two straight off seasons. didn't work out the two weeks before he did show up for training camp. i just think it's a question whether this guy can last the whole season. >> 291 with the playoffs. >> i look at the biggest television in america, the cowboys video board. how is this going to impact football games? i mean, the first time they have to redo a punt, 1k3 a receiving team runs a touchdown back, it's going to be a problem. it's going to cause injuries and cha

. >> it's not just adam goldstein, michael jackson, heath ledger, anna nicole smith, apparently all ofhave drug-related deaths. what do you believe is going on here? >> it's more and more an ep dickidick -- epidemic. they're getting it not just from their doctors, they're buying it on the streets, from their parents' medicine cabinet and it's a big problem. >> when you start mixing these drugs and combining them, that's when something dangerous or deadly can happen. what are the combinations people need to be on the lookout for? what are the drug combinations most likely to result in something disastrous? >> absolutely. it's a problem with people are taking medicines from multiple sources. this is really -- because people aren't going to one doctor to get their medicines anymore, there's no one overseeing what they're doing, not one doctor making sure there's not drug interaction and one pharmacist making sure there's not a problem because people are getting their medicines from the internet. >> what are the combinations -- >> there's no oversight. >> what are the combinations people n

good old smith adam economics would happen because there would be 25 insurance companies and a couple of them would say, hey, i'll veto that and get more customers by having lower rates. lower premiums. but it doesn't happen because of this chart. and frankly the bill does many good things. the chairman is right on the insurance industry. but it doesn't get at this one problem of concentration. and those of us who support the public option support adding some real competition to the could hing a lated, occified and fundamentally anti-competitive insurance market. and i don't blame the insurance company. their job is to protect their shareholders. that's what the chairman of the board and the president swear to do. but that's not our job. our shareholders are our constituents. and so we need a public option to create competition and to bring costs down. it's my belief nothing will do it better. we can put regulations on the insurance companies, but their natural inclination is to escape their -- >> we're leaving the finance committee markup of its health care bill for live coverage of

adam dunn pulls it in.   we have aflac trivia. mr. trivia himself, rob dibble, is back with us.   sometime tonight.    first padre to win a gold glo award. was it ozzie smith, nate coburn, a big first baseman, dave winfield. >> rob: rupert jones. >> bob: or randy jones, the reliever. >> rob: it is randy. >> bob: i'm not sure ozzie, i'm not sure if he won one before he left here for st. louis or not. >> rob: didn't ozzie win a gold glove too? >> bob: to me the least obvious of the four would be nate colbert. he once hit 5 home runs in a doubleheader for the padres. >> rob: okay. number 35 was? >> bob: jones, right. >> rob: i have no idea. >> bob: livan hernandez has retired nine in a row, top of the order, willie harris, in the middle innings. @x@0@p@0@6p)@)@)p,  . >> bob: petco park in san diego, 2-run ball game, harris, orr and zimmerman for the nationals. we want to pay it off quickly. we don't want you to have to wait too long. who got that first gold glove as a padre. it was dave winfield.   oh, man. jerry coleman, the hall of fame announcer for the padres, said one of the greatest calms i've ever he