and yet he's the person warren buffett wants to succeed him as chairman of berkshire hathaway, the mega holding company that buffett built. like his father, howard does not live the high life. in fact, he's a farmer who would rather dig up the ground than sit in a boardroom. are you sure he's your son? >> well, i think that's worth checking out. you'll have a big exclusive. [ticking] [bell ringing] >> for 150 years, the floor of the new york stock exchange was the center of the financial world. but today most trading in stocks is done elsewhere by robot computers that buy and sell in microseconds, faster than you can blink an eye. and the computers have done so well that some institutional traders have come to believe that the game is rigged. are humans ever involved in the trading? >> humans are not involved in the trading because humans are way too slow. [ticking] >> there are close to 850,000 of them in the united states, twice the number of atms. the new slot machines, the main attraction at casinos, are like high-tech video games. and states across america are increasingly relying

liz: buffett and berkshire hathaway came through. he is known for taking risks.ch money can i make on the car? say i have a little lexus suv? >> the average owner makes $350 a month on getaround. covers complete car cost. we have people making over $1,000 a month. your lexus would be popular, luxury vehicles, bmw, lexus, tesla are on the site. liz: you're kidding. people rent out tesla? >> they do. 50 to $75 an hour and 500 a day. liz: we have elon musk, the cofounder and ceo of tesla on "3 days in the valley". we have to plug that right away. what do you recommend? certain amount of mileage. how old can the car be? if you have a beater, can beaters apply? >> in general we look for nicer newer cars reliable and great experience for the renters. through insurance we have some restrictions. so the car needs to be 1995 or newer with under 150,000 miles. definitely five years or newer are preferable. you can sign up and set your price based on the type of car you have. liz: sam, what is the toughest thing about starting a new business? you have a lot of would-be star

one owned by berkshire hathaway that you were chairman and see crow of. so you know the game. you know how capital builds and capital develops. how do we release capital in this country, whether it is metaphysical capital or real cash? >> well, the two, good for you, david. the two most important things are, building human capital and financial capital. financial capital is wall street and i've been on a dozen times or more to talk about how to fix wall street but the real thing to fix our long-term future is human capital, which means our school system and the thing that fixes that is reorganizing it so it is not a top-down, soviet agricultural model but giving consumers, in this kise parents and students, a choice. way you give them choice is vouchers. school choice i think, that and fixing wall street are the two most important things we have to do to get this country moving again. david: school choice. liz: as you have watch the republican convention and democratic convention, do you feel that one side or another has it right? >> well, certainly the republicans are correct

charlie monger of berkshire hathaway is pretty smart guy.e says exxonmobil is one of the best run companies. the government would be better if it ran itself like exxonmobil. he said it is stupid idea to use our own resources that gaining energy independence is dumb. we should use up the bad guys's energy as much as possible an conserving our own. that is different way of thinking. >> that is different way of thinking. he started from the premise that resources are limited. i start that resources are limited because of technology. we've seen new resources from the technology. david: nobody realized 20 years ago how much oil we have through fracking. i don't know what research we'll have 10 years from now. >> taert. but the betting is it will be more. david: howard, thank you for coming in. liz: thank you very much. some say the securities & exchange commission may be getting its priorities mixed up. are the regulations maybe leaning a little too politically? former sec chair harvey pitt tells us what he thinks next. david: apple hitting a new

just like people don't want to go out and spend $120,000 for berkshire hathaway stock. don't want to spend $700 for apple stock. they think it's ex-spens sive. there are these head winds, kindle fire on the horizon. apple is dirt cheap and keep going. >> i know i'm throwing a curve, amazon.com is trading at 334 times forward earnings, ebay in a way trying to mod itself after amazon, trading at a scant 21 times forward earnings. james, one of those, to me, has got to be mispriced. >> yes, i think ebay to the upside is misbrides. because i tell you, what does ebay have going for it? amazon is about to release the best tablet on the market. they have their cloud service, completely wing. amazon destroying the entire book industry, the last man standing. what else does ebay -- >> paypal? paypal? right? herb? john burnham, do you own amazon and/or ebay? >> we own both. >> i'm sorry to throw a curve ball here. the valuation thing, i can't swear in my head. why do they deserve such different valuations? >> i think apple is incredibly cheap compared to amazon. the reason amazon

everyone talks about but it seems like no one owns, except the lifers who never sell -- is berkshire hathaway. specifically the "b" shares. >> that would be your mvp. >> that's my personal -- i mean we have this as a pretty heavyweighting and a lot of the models that we run for clients. i'll tell you why. you don't see a lot of mutual fund managers owning this because they almost view buffett and berkshire as their competition. they don't want to own another fund themselves that they are a fund. the way to look at berkshire, 60% of this business is driven by insurance. unlike being a common stockholder, because buffett owns the insurance companies themselves, he can use that cash flow to make other investments. this stock technically speaking broke above $87 which was the prior high. there's really no resistance until $100. stocks breaking $90, $100 tends to happen a tractor beam, we call it the $100 roll. i wouldn't be surprised if there are 12 more points here. >> art hogan, who's your mvp? >> we gave you a couple of theme attic names but the one we like the most is liberty ventures. we rea

think the first thing is what are the top things that are going to rebalance, apple, google, berkshire hathaway so instead of trying to find a way to game the system or find a trade, back in the 1990s you could actually make money doing that. right now investors need to take a step and think the market capitalization of those companies have really expanded so you have to go on how much more can apple do it. again, i'm kind of like dave before. i own some apple but i don't know if i want to keep running, so investors need to know why and what is being rebalanced versus trying to find a trade in it. >> yeah, but, i mean, when we know what's being rebalanced. do you want to follow that? mean, do you want to follow the people that have -- have sell orders to sell coca-cola over the short term, or is this you are waiting for things to settle out? >> i think you wait for things to settle out. let's look at quadruple witching yesterday when we had index options and index things rebalance on thursday. everything worked out clockwork. now, before, you know, i've said to you, i always like to have triple

let's throw in berkshire hathaway, that is moving higher today, warren buffett's company, big conglomeratey companies under its wings but five companies it owns are directly influenced by housing, like shaw industries and they own benjamin moore paint. warren buffett told us most of his businesses starting to do well a year ago, but the housing were lagging. >>> the governor of a state that has a very low unemployment rate, and what he says the government is doing and should be doing to create jobs. governor deval patrick of massachusetts, proud of a 6.1% unemployment rate, well below the national average. he's got some stocks coming up, on the american dream. i'm so glad you called. thank you. we're not in london, are we? no. why? apparently my debit card is. what? i know. don't worry, we have cancelled your old card. great. thank you. in addition to us monitoring your accounts for unusual activity, you could also set up free account alerts. okay. [ female announcer ] at wells fargo we're working around the clock to help protect your money and financial information. here's your temporary

[talking over each other] charles: warren buffett and berkshire hathaway is a big giant umbrella thatunch of investments in a bunch of companies with private equities. stuart: i want to show you the big board. we are up 177 points, 178 points. we got a reading on the service sector. it was positive. reading on the europeans. up goes the down 183 and three retail stocks. >> a couple winners here. men's warehouse leaguers the tuxedo rental unit with the high margins and don't have a corporate orders but making -- actually rented one to my son this week. 15%. the chairman finds 2.4 million shares and walgreen's with sales that mess and not doing well. stuart: that wraps up nicely. i have the latest breaking tracking poll from rasmussen reports. no bump of president obama. mitt romney now has 47% of the vote. president obama 34%. we will update you as more polls come in. i like the scene on a floor of the dnc as democrats doed the returning of god and jerusalem to the party platform. you heard it right here. they booed. megan callie is covering the convention and hosting her own show and

. >> berkshire hathaway has occasionally led the hot out of the bag that his secretary proportionally pays more in taxes than he does. he also ignores class war is waged in the united states in his class is doing it. rather remarkable. i want to talk about events in the euro zone, in europe and how that affects the economic crisis here in your visit to mantra god, which is an example perhaps , a successful example of an alternative to the capitalist economic model in spain. >> first a word about warren buffett. derek and i think the contradictory mess of all of this is that play. i'm the one hand yes, there've always been people like him on the side of the wealthy of the big corporations who have a clear understanding that at a certain point it becomes dangerous to keep going in that direction. you cannot keep having a smaller and smaller number of people doing really well in a sea of people who have a harder and harder time. for a while they push it, but don't kill the goose that lays the golden egg in the end. so buffett is not the only one. there's a whole bunch of people like that

it's a division of, yes, berkshire hathaway, a major realtor in this country., we also got housing starts up a little more than 2% from the previous month. can all of this momentum that we see continue? >> yes, it can, dagen. it's i think we have -- we called an end to the housing correction and downturn at the end of the year, beginning of this year. we're continuing to see positive trends in sales and home prices, up meaningfully from the bottom and from last year. 10% in existing home sales. and i think that trend will continue through the balance of the year. and home prices are up just under 10%, and i think we'll continue to see that trend. we're a long way from a total recovery, but we're certainly in a recovery process. dagen: which is the most worrisome thing you see running such a vast real estate business? is it still the availability of credit? is it the inventory? we have talked about that a great deal. you said you see a real lack of supply, particularly on the horizon when it comes to, say, non-foreclosed homes, non-real estate-owned homes? >> da

while the head of berkshire hathaway came in second with a net worth of $46 billion.he latest from the fox business, giving you the power to prosper. melissa: so the fiscal cliff is quickly approaching. let's find out what congress is doing about it. rich edson joins us in d.c. with the latest. rich? >> we'll call them the cliff experts. federal reserve chairman ben bernanke, the director of the congressional budget office and the chief of staff on the joint committee on taxation. these are the authorities on capitol hill what lawmakers actions will do to the economy and the federal budget. they're meeting with members of the senate finance committee and others. fox business was there where budget committee chairman kent conrad said congress could work out a framework to solve the cliff before it hits. >> there might be an interim step in order to give time for the committees of jurisdiction to actually come up with some of the specifics. but that the overall agreement would occur in the lame-duck session. and that would be a 10-year plan, not a six-month plan. >> one

. >> warren buffett and from berkshire hathaway occasionally has let the cat out of the bag. the secretary proportionally pays more in taxes than he does. he also acknowledge that class warfare is being waged in the united states and his class is winning. it's just rather remarkable but i want you to talk about events in the eurozone in europe and how that is affecting the economic crisis here and your visit to an example perhaps, a successful example, for an alternative to the capitalist economic model in spain. >> first a word about warren buffett. there again i think the contradictory mess of all of this is a play. on the one hand, yes there have always been people like him on the side of the wealthy and the big corporations who have a clear understanding that it is certain point it becomes dangerous to keep going in that direction. we cannot keep having a smaller and smaller number of people doing really well in a sea of people that are having a harder and harder time. do it for a while, push it, but don't kill the goose that lays the golden egg in and. so there are alway