dan mitchell studies state pension problems with the cato institute and kevin james is running to be. how bad is it? people want to be responsible i think. >> i am not sure. politicians want to be reelected and state government workers want to get as much as they can before the house of cards comes down. there are too many people writing in the wagon netted of people pulling now they raise taxes cc the productive people leaving the state more people living off the government sooner or later nobody is there to pay the bills. john: but california has a higher cost of living. >> even with that this does not justify the difference of the $50,000 average for 70,000. california prices itself out of the market. john: and calpers assumed the 8% rates of return. now they just lower it down at seven point* 5% like that is responsible. why do they think they can make that rate of return? >> tonight i will party with the victoria secret supermodel. it would happen if calpers will not meet those targets that means the unfunded liability which is a huge will become enormous they cannot pay their b

dan mitchell studies state pension problems with the cato institute and kevin james is running to bebad is it? people want to be responsible i think. >> i am not sure. politicians want to be reelected and state government workers want to get as much as they can before the house of cards comes down. there are too many people writing in the wagon netted of people pulling now they raise taxes cc the productive people leaving the state more people living off the government sooner or later nobody is there to pay the bills. john: but california has a higher cost of living. even with that this does not justify the difference of the $50,000 average for 70,000. california prices itself out of the market. john: and calpers assumed the 8% rates of return. now they just lower it down at seven point* 5% like that is responsible. why do they think they can make that rate of return? >> tonight i will party with the victoria secret supermodel. it would happen if calpers will not meet those targets that means the unfunded liability which is a huge will become enormous they cannot pay their bills the

let's bring in dan mitchell and robert frank. all these numbers together, and diit over the weekend, laid up on the couch, i think nine states at the very top, and your effective will be lower, i get it, but nine states, you will hit 50%. >> i definitely would not want it live in california and i probably should have trained to be an accountant rather than an economist because this is great for the tax preparation industry but what matters for the competitiveness from a job standpoint is marginal tax rate are very, very high, as you said, over 50% in several states and this is going to discourage a lot of wealth creation. a lot of entrepreneurship in the country because people are not fat cats awaiting slaughter. they will reduce what they report to government. >> is this the best they can do to spur the economy? slaughter people and take 50%. ewant it eliminate all deductions and just lower the rates? >> that certainly is what i want to do. the problem is not only do you have the class welfare people against it but also this huge

our money power panel weighs n drew kenneally, lindsey piegza, and dan mitchell, senior fellow with theute. good to see all of you again. drew, let me start with you, what do you think about all this. >> economics is all about incentives. what the governor is trying to do is level the playing field for individuals and businesses to relocate to louisiana. so it all makes sense on paper. the question is what can he do politically. but economically he is going the right direction. melissa: lindsey, let's talk about the economics for a second. the personal income tax last year, he raked in $2 billion. so that a lot of revenue to be giving up. the corporate tax is very low. i think it was like half a billion dollars or something, even less than that. it was a low number. but he is giving up a lot on that personal income tax for sure. there we go. so i don't, i mean i don't know, it's going to be tough. you make that up on a sales tax. that is going to be fairly regressive? >> the difference between that short-term solution and long term prospects. right now the focus in government on state a

dan mitchell, thank you. not a dollar in aid unless you match it in spending cuts.e congressman who is perfectly happy to get in chris christie's face. unfortunately, a lot of colleagues were not. >> the president [ woman ] if you have the audacity to believe your financial advisor should focus on your long-term goals, not their short-term agenda. [ woman ] if you have the nerve to believe that cookie cutters should be for cookies, not your investment strategy. if you believe in the sheer brilliance of a simple explanation. [ male announcer ] join the nearly 7 million investors who think like you do: face time and think time make a difference. .. nes, it's how we make sense of investing. isurprise...it's eating less. to losing weight. i'm hungry just thinking about it. thank goodness for new slimful. one delicious, 90-calorie slimful and a glass of water, like before dinner, helps keep me satisfied for hours. so instead of this much, i only need this much. and slimful tastso good... i don't even miss dessert. slimful and a glass of water... eating less is a beautifu

melissa: noell nikpour, she is a republican strategist and dan mitchell from the cato institute. can you fix any of those problems? what do you think? >> here is the scary about that study. give me one study that tells you one thing. there is study that tells you something else. that is what studies are for. this is the scary part that is not minutesed. >> don't have insurance, disability, long-term care going absolutely nuts with regard to cost. that is scary, if those people get sick, hurt, they're really hurt. melissa: you were supposed to solve a problem, not pile another one on top of the sundae. >> one of the problems i see are the kibuki numbers of the jobs. you have to realize a lot of these things i don't really believe the numbers. i don't think a lot of people, they have fallen off the job market. they're not looking anymore. a lot of people have taken a job that is below their level or part-time job and they counted that as a job. i don't think these numbers are true to form at all and represent what is really going on in america. melissa: dan, do you want to weigh in

dan mitchell, got brown, good to see you both. thank you for your thoughts today. >> buckle up. default may not be the risk but the federal government shutting down if lawmakers fail to reach a deal on the debt ceiling sure is. we eel run through what that could mean for the country and financial markets next. >> also ahead, washington's tax deal is drawing fire from corporate america. wells fargo former ceo dick kovacevich said our country is in his terms going to hell. why do i always have to say that? he's here on the other side of the break. tdd#: 1-800-345-2550 gives me tools that help me find opportunities more easily. tdd#: 1-800-345-2550 i can even access it from the cloud and trade on any computer. tdd#: 1-800-345-2550 and with schwab mobile, tdd#: 1-800-345-2550 i can focus on trading anyplace, anytime. tdd#: 1-800-345-2550 until i choose to focus on something else. tdd#: 1-800-345-2550 all this with no trade minimums. tdd#: 1-800-345-2550 and only $8.95 a trade. tdd#: 1-800-345-2550 open an account with a $50,000 deposit, tdd#: 1-800-345-2550 and get 6 months commissi

." >>> we'll talk this morning to boston globe sports columnist dan shaughnessy and george mitchell whoor league baseball. we'll speak with the a-rod allegations. >>> plus, a veteran gets a successful double arm transpl t transplant. we'll talk to the doctors this morning who made it happen. >>> and the life of pi. have you read the book? >> i saw the movie. >> i read the book, when you read the book, you think you could never turn this book into a movie. they were able to do it, and, of course, a big success. we'll talk with screen writer david mckee. how they were able to pull together the elements of a man talking to a tiger on a boat. >> they did a fantastic job, i had say. everybody who watched it, they say read the book. you are missing out so much. >> the book is amazing. >> thank you. >> kids are too young i think. >> 44 minutes past the hour. >>> president obama turning up the pressure on congress on immigration reform. during yesterday's speech at a las vegas high school, he told the crowd, the time is now. if congress doesn't act in a timely fashion, he will put up his own le

mitchell told a great anecdote. she was interviewing connecticut governor dan malloy and joe manchin walked over. here's what he had to say. >> i think i'm with the rest of the people, connecticut and the united states, we want action. no gun should be sold without a background check. you can't get on a plane without a background check. you shouldn't be able to buy a gun. >> is there anything that you sense in there that everybody comes together, feels a little kumbaya for 48 hours, maybe it feels like that, but is there anything that suggests to you that the two sides will be able to work together in barack obama's second term? >> well, i'm a moderate centrist democrat. i do believe we can find common ground. i also believe that we have to stand firmly on what we believe in and after what happened in newtown and actually after a series of really tragic mass shootings and of course, what happens daily in this country, loss of life from gun violence, i believe strongly that there are actions we can take. the president laid out a very reasonable actions we should take and yet we have not seen any m

mitchell. >> isn't this great? look where i am. come on, wake up. let's polka! ♪ clinton is on the campaign trail, golf is golfing with dan♪ that's the "world news now" polka ♪ ♪ it's late at night, you're wide awake and you're not wearing pants ♪ ♪ so grab your "world news now" mug and everybody dance ♪ ♪ have some fun, be a pal, every anchor, guy and gal ♪ ♪ do the "world news now" polka ♪ come on, everyone! ♪ that's the "world news now" polka ♪ all right, perot supporters only. ♪ that's the "world news now" polka ♪ ♪ who needs ratings, who needs sponsors ♪ ♪ and if your neighbors call the tops this is all you have to do ♪ ♪ that's the "world news now" polka ♪ ♪ do the "world news now" polka ♪ ♪ it's your birthday, >>> this morning on "world news now," it's early, it's ugly, and it is spreading. the flu is already hitting and it's hitting hard. >> doctors are sounding the alarm. this year could be a bad one. it's friday, january 4. ♪ i came to get down, i came to get down ♪ >> from abc news, this is "world news now." >> rob, we kind of need you. rob is over at the bar. >> it's a big day. >> it is a big day, and rob's al

mitchell, i love being able to talk to you on big days. you've had a long day. thanks for being here late. i appreciate it. we're going to be right back with dan rather.that the most evident of truths, that all of us are created equal is the star that guides us still, just as it guided our forebearers through seneca falls and selma and stonewall, just as it guided all of the men and women, sung and unsung who left footprints along this great mall to hear a preacher say that we cannot walk alone, to hear a king proclaim that our individual freedom is inextricably bound to the freedom of every soul on earth. >>> you need to stay with us during this hour in part because we are awaiting president and mrs. obama and the further dancing. they have danced so far and the president made remarks at the commander in chief ball. the other official inaugural ball today is due for a visit from the president and the first lady. we're also expecting further remarks tonight from vice president biden at the commander in chief's ball. that is all due to happen roughly this hour. so you should stick with us. also, dan rather coming up. we'll be right back. [ male announc

mitchell, i love being able to talk to you on big days. you've had a long day. thanks for being here late. i appreciate it. we're going to be right back with dan rather.at the most evident of truths, that all of us are created equal is the star that guides us still, just as it guided our forebearers through seneca falls and selma and stonewall, just as it guided all of the men and women, sung and unsung who left footprints along this great mall to hear a preacher say that we cannot walk alone, to hear a king proclaim that our individual freedom is inextricably bound to the freedom of every soul on earth. here's what happened... i was talking to my best friend. i told her i wasn't feeling like myself... i had pain in my pelvic area... and bleeding that wasn't normal for me. she said i had to go to the doctor. turned out i had uterine cancer, a type of gynecologic cancer. i received treatment and we're confident i'll be fine. please listen to your body. if something doesn't feel right for two weeks or longer, see your doctor. get the inside knowledge about gynecologic cancers. knowing can make all the difference in the world. >>> you need to stay with u

mitchell, i love being able to talk to you on big days. you've had a long day. thanks for being here late. i appreciate it. we're going to be right back with dan rather. the most evident of truths, that all of us are created equal is the star that guides us still, just as it guided our forebearers through seneca falls and selma and stonewall, just as it guided all of the men and women, sung and unsung who left footprints along this great mall to hear a preacher say that we cannot walk alone, to hear a king proclaim that our individual freedom is inextricably bound to the freedom of every soul on earth. whoa ! looks like you're in a pickle. yeah. can you get me out of it ? just so happens i know a chap... book any flight and hotel together and get access to our free personal concierge service. any need, any question, we're on call 24/7. [ male announcer ] finally, mom's oven-baked tastes straight from the microwave. like oven-roasted chicken in a creamy alfredo sauce. marie callender's new comfort bakes. it's time to savor. >>> you need to stay with us during this hour in part because we are awaiting president and mrs. obama and the further dancing. th

mitchell. >> isn't this great? look where i am. come on, wake up. let's polka! ♪ clinton is on the campaign trail, bush is golfing with dan ♪ ♪ guess what happened with hussein ♪ ♪ that's the "world news" polka ♪ ♪ it's late at night, you're wide awake and you're not wearing pants ♪ ♪ so grab your "world news now" mug and everybody dance ♪ ♪ have some fun, be a pal, every anchor, guy and gal ♪ ♪ do the "world news now" polka ♪ come on, everyone! ♪ that's the "world news" polka ♪ all right, perot supporters only. ♪ that's the "world news" polka ♪ ♪ who needs ratings, who needs sponsors ♪ ♪ who needs networks too ♪ and if your neighbors call the cops, this is all you have to do ♪ ♪ just yell it's half past 3:00 ♪ ♪ tell them that's news to me ♪ that's the "world news" foca ♪ do the "world news" polka. ♪ ♪ it's your birthday, we're going to party like it's your birthday ♪ i'm only in my 60's... i've got a nice long life ahead. big plans. so when i found out medicare doesn't pay all my medical expenses, i got a medicare supplement insurance plan. [ male announcer ] if you're eligible for medicare, you may know it only covers

mitchell. we go back to you as we see supreme court justice sonya sotomayor and supreme court justice john roberts take their places. >> reporter: i'm here with governor dan malloy, you have been talking about what you want to see happen in this speech but also about doing something with guns. >> we want action. no guns should be sold without a background check. you can't get on a plane without a background check. you shouldn't be able to buy a gun. we need to get rid of these large magazines where so many can go in with 30 rounds to 100 rounds and wipe a school out or a classroom out. and we have to stop this kind of stuff. we also have to talk about mental health treatment and destigmatizing mental health treatment. this is a big agenda. we are supporting it and i'm doing everything in my power to get it passed. >> reporter: just yesterday a freshman senator, ted cruz, was on "meet the press" and accused the president of exploiting the horror of newtown within minutes of it happening. you talked to the president as it was underway. tell us your reaction to that. >> the senator is wrong. and highly inappropriate. and quite frankly doesn't know what he's