>> alan simpson: ( snorts ) >> kroft: simpson gleefully accepts that he is one of norquist's republican the coke bottle. he got there by serving as co- chairman of the national commission on fiscal responsibility, which recommended that some tax increases would be necessary to solve the nation's debt problem. simpson has no use for norquist. >> simpson: he may well be the most powerful man in america today. so if that's what he wants, he's got it. you know, he's a megalomaniac, egomaniac, whatever you want to call him. if that's his goal, he's damn near there. he ought to run for president because that will be his platform-- "no taxes, under any situation, even if your country goes to hell." >> kroft: simpson also wants to know where norquist and americans for tax reform, with its multimillion-dollar budget, gets its money. >> simpson: when you get this powerful, and he is, then it's, "where do you get your scratch, grover?" is it two people? is it ten million people? the american people demand to know where you get your money, grover, babe. >> kroft: but under federal law, "grover, bab

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alan simpson joins us now, what do you make of mitt romney picking paul ryan for america doing somethingend the curve on this debt. >> first, it's always nice to be part of your program. ryan will add a great deal to the ticket. we found him to be a guy that doesn't need to sit down with a big pile of papers and a staffer telling him or her where to go. he springs his own brain to the game. he is very intelligent, very sharp, he does things to him that are realistic and will be dramatically different to others, and they say it's a great temperature late and things to look at, and they're talking about entitlement or revenue reform, if you go around searching things for every plan that will enrage part of the public we'll never get everything done. >> why do you think after you cape up with a plan that most people on both sides of the isle feel is incredibly credible, why do you think the president blew off your plan, and your plan was a mix and tax revenues, and ryan is just cuts, what do you think? >> you can't lead medicare out, medicaid, it will suck up everything in the federal gover

it was suggested in your book you talk about alan simpson, who i know very well and bowles-simpson, you can't legislate without compromises, you might as well go home. to that mind how do we get past the gridlock, and what inspired you both to collaborate on this book? i assume there were a lot of compromises along the way. [laughter] >> no compromises in writing. but compromise has seen better days in this country and not surprisingly, andrea, government has seen better days in this country, and it's not surprising that the same time when compromise is at its ebb, the popularity of our congress is also now in single digits or barely 10%. and, you know, that accounts for the families and relatives of congressmen, right? so there you go. [laughter] >> and we're not sure about them. >> exactly, exactly. [laughter] so seriously, our diagnosis, there are many causes, but our diagnosis is that we're living in the era on a permanent campaign where every day is election day, and compromise doesn't fit election nearing well. you stand up for your principles, you don't do anything about them but

on labor day, we'll hear from two men working to change our course: erskine bowles and alan simpson, the co-chairs of the commission on deficit reduction. we'll also hear from businesses and workers with jobs on the line. please join us on monday for a special report on jumping the fiscal cliff. >> susie: as we wrap up the week, we turn to author and educator lou heckler. in tonight's lou's been thinking, sleepless nights versus a clear conscious. >> it's pretty hard to see the news these days without encountering yet another story about formerly admired personalities getting caught in some form of wrongdoing. it cuts across all areas, too. sports, entertainment, politics, big institutions, local officials. is it more prevalent or do we just know more than we used to? there was a day when big news media outlets looked the other way if someone in prominence erred a bit, but that doesn't happen now. i am asked fairly often by younger colleagues how i would handle a certain situation they find themselves in a place where they see more shades of gray than black-and-white. it's not always

we talk about fixing the debt with former senator alan simpson and erskine bowles. we check in with doctors who worry their life-saving research could be on the line, if the sequester isn't stopped. and monday, we meet a small town defense contractor counting on lawmakers to keep its business strong. >> susie: and finally, we end with a few thoughts on the big win in little rewards. here's author and educator lou heckler. >> i hate to admit it, but i'm now at that awkward age. it's the age where you read food before you eat food! does it have enough of this? does it have too much of that? i guess the days are gone when i could chase three pieces of pepperoni pizza with a bag of krispy kremes. as i think of the organizations i have worked for and the ones i now speak to, i do think there is a vitamin deficiency in many of our working people. i think they lack vitamin "p." the praise vitamin. i was speaking at a conference and i posed the question: what's the number one thing you hear when you've done a good job? i looked expectantly across the room of 300 people and

two leaders urging lawmakers to fix the problem before it's too late are alan simpson and erskine bowles they are the co-chairs of president obama's commission on deficit reduction. our washington bureau chief, darren gersh, spoke with them, and began by asking erskine bowles why he thinks we will go over the cliff. >> because i think both sides see it to their advantage to go over the cliff, their political advantage. to me, it makes no sense whatsoever. what they're doing is really, you know, making a bet on the country. they're really risking our country. we've got $7 trillion worth of economic events that will hit us in the gut in december-- expiration of bush tax cuts, the expiration of the payroll tax cut, it's these mindless and senseless across-the-board cuts that came about because of the sequester, which came about because of the failure of the super committee. and if we do nothing by the end of this year, the negative impact on economic growth in 2013 will be enough to throw us back into a recession. and it won't be just 2013, because companies will have to start preparing, so

we talk with the men who led president obama's deficit reduction commission, former senator alan simpson and erskine bowles, about the threat of the cliff. and we'll see the latest new home sales data, and talk housing with analyst megan mcgrath. >> susie: in this back to school season, some advice, and warnings, for kids heading off to college. here's neale godfrey, founder of the children's financial network, with tonight's kids & cash. >> i cringe when i think of kids going off to college with credit cards, but they will. >> reporter: almost 85% of undergrads have cards, and they hold almost five credit cards a piece. they will graduate with an average of $4,000 in credit card debt, not counting student loan debt. instead of a credit card, encourage your college student to get a debit card, which should be connected to a joint checking account that you will oversee. teach your child to budget and make them accountable, to you, to keep track of spending. review this with them on a month-to-month basis. the next month's budget estimate will not be loaded to their account, unless they ca

on labor day, we'll hear from two men working to change our course: erskine bowles and alan simpson, the co-chairs of the commission on deficit reduction. we'll also hear from businesses and workers with jobs on the 4v-pjoin us on monday for a spel report on jumping the fiscal cliff. >> susie: and if you can't wait until labor day, we have a fiscal cliff preview on the web. it's on www.nbr.com, just click on "fiscal cliff" under the topics tab. that's nightly business report for wednesday, august 29, have a great evening everyone, and you too tom. >> tom: goodnight susie, we'll see you at: www.nbr.com and back here tomorrow night. captioning sponsored by wpbt captioned by media access group at wgbh access.wgbh.org >> join us anytime at nbr.com. there, you'll find full episodes of the program, complete show transcripts and all the market stats. also follows us on our facebook page at bizrpt. and on twitter @bizrpt.

obama's deficit reduction commission-- former white house chief of staff erskine bowles and senator alan simpson. bowles explains the risks of falling off the fiscal cliff. >> if we do nothing by the end of this year, the negative impact on economic growth in 2013 will be enough to throw us back into recession. and it won't be just 2013, because companies will have to start preparing, so we will start seeing negative growth in the fourth quarter of this year. >> tom: tomorrow on nbr, our friday "market monitor" guest is alan lancz of lancz global. he'll explain why he's taking profits now and lowering risk. and from the housing market to internet stocks, we look at a new study on how to spot an investment bubble before it pops. >> susie: when it comes to teaching your kids about money, one of the keys to success is making a plan and sticking with it. in tonight's "kids & cash," alisa weinstein says it's not as hard as it sounds. she's author of "earn it, learn it." >> one of most important rules when teaching kids about money is to be consistent. one of the biggest challenges when teaching kids

neil: alan simpson ripping everyone, peeved that his recommendations are being ignored.mer debt commission member -- goes on and on. alice likes it. and recommending both parties go with it. >> thank you. neil: senator simpson, in his way, was saying, he is frustrated. nadler was on earlier saying that debt commission's recommendation should not become part of the president at debate, they might cheapen the process, what is your take? >> well, the record of facing up to our long run deficits is is adismal, we have not done it, the main thing driving your deficit going forward is retirement of baby boom generation, and cost of health care, we've known about them for years, we have not done anything, i share the frustration of senator simpson that the political process is not facing up, it is republicans and democrats. neil: you are right. over the years that i've known you, have you been warning about entitlements and focused on them when nobody was, long before that guy ross perot was, yet, it is ignored. i wonder, what do you think it will take to get this addressed? >>

neil: alan simpson thank youodss very much.r paul ryan out stumping today. te >> do we want to stay on thee path we on? the path of debt, of doubt, a db nation in decline? or do we want to get this economy going against by gettino back behind the people of the g country who are the nucleus of o the economy.he neil: small businesses are -- ceo barry sloan said it is common sense, you can only runun off credit lines for so long, ln and business guys don't have anh opportunity to make their credir lines like the government,ines right. >> we cannot borrow moan as mon effectively as the u.s. government has, and total debt afreshing $16 trillion, as a percentage of the gdp it is 25%, the ryan plan wants to cut it tb 18%, going back in history, evet during fdr time it was about 10n of gdp, government is borrowing way too much money, taking too many resources. resources out of theds to economy. neil: i think you raise a crucial point, when government confiscates money, that is money that would otherwiseise particularly be -- tissuel appry be in the private world's h

one or our guests says ryan has a problem, but sarah agreeing with what alan simpson says that everyoneou so much for joining us, sarah, how does paul ryan depend this? >> i think paul ryan, as answer to the question, maria, that was essentially, look. we messed up. he is taking full responsibility for it. i don't think there is any confusion about where he stands on these issues. he has been consistent throughout his long congressional ten year on spending and debt issues and he has a lot of credibility. i don't think people will judge him based on a cup the letters that his office wrote a couple years back. >>> greg, is this a time to label him as a flip-flopper? >> my dad always said do as i say not as i do. and it wasn't just on postoffices or energy projects, he supported the george bush medicare prescription drug bent and a lot of other things that added to the deficit. when obama was elected he became a deficit hawk. it's pretty hypocritical and all of these politicians say cut spending but they get cold feet when it comes to their home districts. >> i don't think there is any co

alan simpson on the deficit and national debt. doesn't pay any attention to that. how about romney? well, which romney is going to appear? which etch-a-sketch will we know? but the answer to your question in my opinion is that the primary process is the republican nominee so far to the rate he's going to have to make a sharp u-turn, a persuasion besides the sharp one.

gets alan simpson and erskine bowles together.p with the fantastic ideas about "a," yes, increasing some taxes. also, "b," reforming entitlement program, including med medicare and medicaid. president obama called for the commission took the report and put it here and said forget it. we're not even going to send it up for a vote. he didn't even take his own advice. let's be honest here. >> bob: be honest here. >> eric: that is the way that went down. >> bob: the bipartisan commission but every republican voted against it. >> dana: erskine bowles the other half of simpson-bowles, he -- we a sound bite if you want to go to it. but he said about paul ryan he is brilliant, a great plan. he's bold. we love him. he is great. >> bob: i would run that piece but i saw hit the morning we didn't put what he also said, an extreme plan. >> dana: bowles said it's extreme plan? >> bob: he did. >> andrea: then he went to criticize president obama's budget which is rejected 97-0. in the senate by democrats, bob. >> bob: there is no doubt that both

alan simpson weighs in.r firm mf global lost but would you invest in jon corzine with a hedge fund? we found somebody that kabt wait to do just that. >> you probably heard of a study finding women lack confidence with investing. a guest says women are just as good if not better at investing than men. we look forward to seeing you for "closing bell" here at the new york stock exchange at the top of the hour. see you then. have a good weekend. >> i love a good old gender fight. thank you. >>> molycorp is smacked around the chops and really pique's herb's interest. >> you should see this. off 11% or so. on monday, morgan stanley resumed coverage of molycorp with an overweight rating and then lo and behold the rare earth miner announced it raised $480 million in stock and note offerings by morgan stanley. they tell me the timing of those deals and the analyst recommendations is just a coincidence. in reality, the stock falling since upgrade. it was whacked even further today on the announcement of the deal which

then you have appointments this commission co-chaired by alan simpson on the deficit and national debt. doesn't pay any attention to that. and how about romney? well, which romney's going to appear? which etch a sketch will we

true, the name got a bad rap from alan simpson. >> snoopy snoopy poopdogg. >> reporter: somehow thatsnoop still applieapplie >> come on, snoop! >> reporter: there is this down side, pity the fans stuck with merchandise like the snoop dogg floor meat or pajamas and snoop dogg slippers. >> reporter: some may shrug off the earth shaking change. he changed his name to snoop lion. i kid you not. >> back to things that sound cool when said by snoop dogg. number 10 -- >> yo. >> reporter: will yo still sound cool if said by snoop lion? >> yes. anything with lion. uh i'm a leo. >> reporter: in the lion kingdom the news merits something between a yawn and a roar. jeanne moos, cnn. >> what's your message to snoop lion? [ laughter ] >> reporter: new york. >> oh, wow. >> the next hour of cnn newsroom starts right now. happening now in the newsroom, the greatest ever swimming sensation michael phelps smashing the record books winning his 19th olympic medal. a chance at history being made again this morning as the bullet from baltimore gets back in the pool. >>> outrage over support for same sex ma

other republicans went along and alan simpson, former republican senator from wyoming. wles-simpson. >> for the same reason that i'm not in favor of bowles-simpson and we ought to take the good things without the bad and there are two fundamental reasons why i rejected and why paul rejected bowles-simpson. it goes back to check growth. economic growth has a big impact on the deficit in this country. we need to get growth going again and taxes have a big part to play in that economic growth and ernst & young study pointed out that the president's call for tax increases will cost 700,000 jobs, okay? it will decrease the ability for us to grow. so the baseline and the assumptions in the bowles-simpson commission called for a nearly $2 trillion tax increase over the next ten years. that is not something that will lend itself to economic growth. the second piece, wolf, is the fact that the structure of the entitlement programs and healthcare was left in place and we know that that has been ineffective at lowering costs to allow more people access to coverage. >> your good fri

if you ask alan simpson he will tell you, the last big immigration bill passed under reagan a republicaniled because they didn't secure the borders and -- >> ifill: we're keeping an eye on the floor for next speaker but we have time for another question. >> a bunker hill of reform governors -- [cheers and applause] >> ifill: of course. >> that question will go unanswered it was a tough one. >> ifill: think about that question. thank you governor. we go down to hear tom -- okay maybe we were misinformed. answer the question. >> let me finish mitt romney you guys laid out tough cuts to have a mandate. governor romney hasn't laid out tough cuts except public broadcast. >> that's not a tough cut. >> give us back our mug. [ laughter ] >> ifill: come on, governor. [ laughter ] >> we didn't cut public broadcasting in mississippi any more than anything else. we reduced it some. and they are doing just fine, thank you. i think it's unfair to say to somebody you have to make this decision when nobody said that to barack obama. you look at barack obama's proposals in 2008. there wasn't all this gre