anyway, carole roth, good fun, great stuff. now, tomorrow, tomorrow, a big day in dallas. get this.ush presidential library will have its grand opening, what other time to have the debate in the recent rise in the public opinion polls and could he be blamed noer the crisis? president bush's chief economic adviserant to join us live from dallas. stay with us. bush even with obama in the polls. go figure. i'm kudlow. we'll be right back. >>> on the presidential comeback, the new george w. bush presidential library opens tomorrow. get this he has 47% approval. that's way up from his 23% low when he left office. he actually now in a bunch of polls is basically tied with president obama. so that's comeback city. anyway, with all five living u.s. presidents gathering in dallas tomorrow, i have to ask, does america miss george bush yet? joining us from the bush library in dallas, bush's chief economic adviser, our pal jared bernstein is still there. ed, great to see you, welcome back. the obvious question, for two political campaign, basically, president barack obama blamed former presiden

finance, carol roth, rob lutz from cap and money management, and our own rick santelli. welcome to everybody. michael, you and i just had a very long conversation where we solved the problems of the world before we came on the air. you're starting to rethink the pullback scenario for this market? >> i wouldn't say rethink, but i think the reasons we haven't had it remain in tact. the defense gets and the market as a whole doesn't go down. you see today a lot of the recent meters, airlines, no good. you're seeing the refiners actually get dumped. small cap's not working, but some of the defensive sectors managed to hold up. clearly, people do not feel the need to run for the exits. they just look for another place to sit while things blow over. >> and particularly with the fed keeping the free money in place. rob lutz, as you look at opportunities to either buy in or navigate this rally, how do you want to be positioned here? what would you be doing in terms of allocating capital? >> well, i think, first of all, you have to recognize, this is a bull market, and there are

here now we have carol roth, a best selling author. and also tonight, we welcome former white house press secretary robert gibbs. >> there is virtually no inflation. profits are rising modestly and that spells a bull market. plus japan is pouring money in as they should. >> i don't know where you're getting the numbers is all i worry about. >> i am looking at a quarter that is down 6%. so for me, i'm not seeing that growth. we have two out of the last three quarters. i'm not seeing the growth as the catalyst. >> let me say one thing. i know what they do. maybe they will be right, maybe they will be wrong. here's what i'm saying. the economy will probably grow at 3%, better than almost anybody believes possible. that is what the data are showing. therefore i'm willing to argue that the profitability of american companies where the bar has been set very low will once again exceed expectations. >> i think pessimists like me would have to cough up that they have been wrong. we have had a ratio of 4-1. on the other hand we have had companie

cnbc contributor, carol roth, says she's not buying the growth story. carol, eric, good to see you.arol, you say you're not buying the growth story. how so? >> i'm not, maria. i seem to be one of the lone voices out there that does not believe that this market is driven by growth. it is driven because of lack of alternatives and because of the fed. larry mentioned something about koch. well, yes, koch beat earnings by 1 cent, but if you look at the year over year revenue, they actually declined. so we have a lot of financial engineering. we have a lot of costs coming out of the cost structure. that is not sustainable. if we want to have growth multiples on an ongoing basis, the topline revenue for these companies needs to grow. and once the fed stops the printing press, if that growth doesn't catch up, then we'll be in a really bad position. >> when is the fed going to stop the printing press? >> i think that's the $64 million or maybe trillion-dollar question. >> well, it is, but if it matters quite a bit, because if the fed is going to stop the printing press in a month, i want to

carol roth is with us, the author of "the entrepreneur equation." matt lock, we've gotten him off the floor after a couple of hectic hours. and our own rick santelli joins us as well. matt, i want to start with you. i missed this whole thing. i hear it was a pretty hectic several minutes on the floor. tell us what you experienced. >> you would have missed it if you were downstairs for two seconds. that's how fast it was. this is nothing like the flash crash. we can't even put them in the same context. this is a case where we saw a news service, we did not know it was fake, came out and the marketed were roiled, obviously. when that sort of news happens, there's going to be more sell side than buy side. it's natural for it to happen. while it was crazy, it wasn't that we couldn't handle it or didn't handle it. and when things got back to normal, we were able to handle it in a timely fashion down here. >> why do you think the reaction was what it was? just because people worried that the terrorism is deeper than anyone thought? what was -- why is this