obama likes to cite a study by princeton economist harvey rosen.he company -- the president misrepresented. what is the truth? professor harvey rosen joins us to explain. thank you for being with us. appreciate your time. the president is saying that you say romney's tax plan we will end up raising taxes on middle-class. is that what you said? >> that's absolutely not what i said. what i said is that he can cut rates on the very highest income taxpayers and get rid of loopholes and tax preferences, he can make up enough money for those people at the high end to not end up paying more, don't end up paying less. if they don't have to pay less than the people below them don't have to pay more. that's what i showed. mathematically possible for the romney plan to work. i did not show or claim that middle-class people would have to pay more. there is nothing in my paper that states that. nothing in my paper that implies that, nothing in the numbers that would support that conclusion. gerri: professor, the administration that is saying 180 degrees the opp

we will ask professor harvey rosen later.and our financial gerri: well, there is an old saying that says when you're in a hole, stop digging. that is what is going on when it comes to the economy and the president obama's policy. our economy is like a car on winter morning, barely turning over. obamacare, health care law is a good case in point. a new study shows obamacare will cost a total of $26 bilion to implement. just to implement the blizzards and blizzards of new regulations and paperwork required. again, i'm not talking about the increased costs or higher cost doctors. we are just looki at putting law into effect. here's the detail. the private sector will bear the biggest burden of those costs, $20.4 billion over the lifetime. states will have to pony up 7.2 billion. keep in mind, this is a law a lot of states don't even want to implement. five states will face a billion dollars more in cost. illinois, florida, texas, and california. you see them here. most of those states are already having a lot of financial proble

harvey rosen wrote exactly i can't tell how the obama campaign reached that characterization of my workder plausible proposals along the lines, governor romney can be revenue neutral and keep the net tax burden on taxpayers ith those about $200,000 of income about the same. so why would the president's campaign resort to these tactics? why raise the level of vitriol and insult and in what has already been called the dirtiest campaign in recent presidential history? the answer appears to be simple and obvious. the polls show that governor romney overwhelmingly one the presidential debate, by a historical margin. the impact of his victory is driving governor romney's poll numbers radically higher. this brand-new poll from the pew research center six ohs governor romney nationally jumping to a four-point lead over president obama. that represents a 12-point swing from just a month ago. and according to the new survey from the left leaning website, politico, governor romney extended his lead amongst independents. the republican nominee now leads president obama by 16 points in a key demogra

it's by harvey rosen, a princeton economist. you cited in your release, in the romney tax plan. and so we called professor rosen to ask him whether we thought your characterization was fair, and which you say that it adds up to raising middle class taxes. and he said, the obama campaign could say i've done the math incorrectly or i don't know what i'm talking about, but the figures in my study do not support my characterization of my work. what do you say to that? >> well, there was a bloomberg piece written by economists at the romney campaign directed to reporters that said this is going to impact people who make between $100,000 and $250,000 a year. now, the president believes if you make $250,000 a year, or less, your taxes shouldn't go up. and mitt romney obviously hasn't drawn that same benchmark, because under his plan, if you're an average middle class family with kids, your taxes would go up $2,000 a year. so ultimately, this same economist at the romney campaign is pointing people towards say you can't do this without eliminating things like the mortgage interest deduc

this is harvey rosen feld. he wrote and shepherded passage of prop 103. >> that is the founder and chairman of mercury insurance. >> i don't know. i don't care about him. anyone who is an enemy of consumers is an enemy of mine. >> they have been adversaries for decades and fight have been joined again. >> prop 33 simply provides that if you've earn aid discount, a loyalty discount a new company could also consider that and offer you a discount. >> but those opposed don't focus on the discount for those drivers. they can see a surcharge on those who haven't been insured. >> it's preexisting condition. it has nothing to do with people driving records. you can be a great driver. just chose not to drive and you get hit with a surcharge. >> prop 33 offers protection to anyone with a lapse of 30 days or less. those unemployed up to 18 months and military personnel. not their spouses.. >> why should i believe an insurance executive wants to save me money? >> i'm not saying you should believe that. but i'm saying to yo

also puts harvey rosen, you can also generate enough growth to avoid a middle class tax increase.here are a loft credible folks saying something else. it's a fact he's going to raise middle class tax. >> the obama campaign, david plouffe is a chris christie of the campaign saying their campaign is built on a tripod of lies and the president has said sometimes they just make things up. >> last i checked, isn't this called politics? you have lying all the time in politics. it is our responsibility to call folks out on it. on my tv 1 show, i have a segment called the biggest damn lie. >> that's got to be a very tough line to draw. >> some lies are much bigger than the others. you have to call folks out on it. here's the problem i have when it comes to a debate. when you hear lies on a debate, they should be called on out on the spot. when you hear a lie, it shouldn't be, hmmm. it should be i'm sorry, mr. romney or president obama, that's not true because with so many people watching, people want to know i'm hearing the truth. it shouldn't be let me wait two hours later to get the tru

. >> our tax reform plan has been validated by harvey rosen out of princeton. even the president's current head of the council economic adviser said in 1986 -- a lot of additional jobs, so if you you add up the growth, we think $7 million worth of jobs, plus what we can save by reforming the tax code, it's fully possible. now, you mentioned defense spending. we're going to ramp it up, but do it at the same time the spending on overseas operations is going down. he wants to capture what he spent on afghanistan to help the military rest and reconstitute after ten years of welfare. >> it seems unfair when you all do it, too, those wars are already slated to end and they were paid for with borrowed money. when that isn't being spent, it's not saved for you too to do something else with. >> spending on defense, okay, the top line, if you're including those top line overseas expend we're going to be spending less and ramp up to that as we get economic growth. >> but you're spending more things on ships and all of that, right? you're just not spending on the wars. >>

. >> the obama camp has been using a study by princeton economist harvey rosen to back up that romney'sn is paid for by tax cut on middle class but there was pushback from rosen saying he was misrepresented, saying increase in the tax burden on lower and middle income individuals is not required in order to make the overall plan revenue neutral. >> he would be the first to say this is not a monument to one man. >> under backdrop in california today, the president held an official event designating the chavez national monument that may help rally hispanic voters. new politico, george washington university battleground tracking poll of likely voters shows president may have an intensity problem. only 73% support him say they are extremely likely to vote compared to 86% who back romney. >> they know the race has tightened. >> bret: ed henry traveling with the president in california. ed thanks. >>> we are less than a month away from election day. much of the country is already taking part in early voting. we are taking our weekly look at how the electoral college map is shaping up. joining

and that's why harvey rosen and marty phelps has done analysis that shows before you get to growth can you get really darn close. but let's not forget that -- >> what are the things you're talking about? >> let me make one last point f you came up short -- excuse me? >> give me the examples. what are the things you're talking about where you can make it up. >> so, for example, you could just put a cap on all deductions other than the things that affect capital income as governor romney saying maybe $17,000. then all the things that are in there that narrow the base would then be limited, depending on what you were doing elsewhere. so if you took the mortgage interest deduction and filled up your bucket with $17,000 worth of deduction, everything else in the tax code is limited. >> kevin, i want to bring up -- i appreciate you continue to come on the show and have the same discussion with me. i want to bring up 12 million jobs promise. romney and you say that his policies, including his tax plan will help create 250,000 jobs a month for four straight years. that's a grand total of 12 mi

romney, princeton economist harvey rosen assumes the tax cuts would generate enough economic growth toe cost. but for many, that's a rather large assumption. one that's also by the way questioned by many conservative economists as well. bottom line, though, that word assume. every one of these authors in each of these studies or so-called studies is making assumptions. some may be solid assumptions, others dubious, but they are all just assumptions because neither mitt romney nor paul ryan nor any of their surrogates have yet come forward with specifics. instead, we asked the romney campaign if they would like the opportunity to respond to the program. they declined for us tonight. of course, the invitation stands. joining us is republican campaign consultant, alex castellanos and bill burton, senior strategist for the leading pro-obama super pac. alex, with all the criticism, wouldn't you expect the romney campaign to produce their own evidence to prove the numbers add up? right now, people are wondering where that 20% figure came from, whether they came up with the number for policy

harvey rosen of princeton university broaded base and depend on economic growth.gain you don't have to burden the middle class. there are variety of demonstrations basic principle low rates and broad bases are better tax policy and will raise money necessary for the federal government. lori: one last question. >> sure. lori: who will win this presidential election? >> i think that governor romney is going to win but i will tell you it is very, very close. it will be very close to the end. this is not an election i see swinging in a strong way one way or the other, close to the finish line. it will be a tough battle. lori: douglas holtz-eakin. thank you so much. >> thank you. ashley: going to be interesting you know. obviously joe biden, vice president, came out swinging last night. was verying a grist sieve. i wonder how much of that will be translated into next tuesday's debate with the president who is being criticized. he himself admitted he was lackluster at best. i wonder, there is fine line, isn't there, when you come out swinging and aggressive. if you cros

you must read your her book and with richard fisher, and harvey rosen bloom of the dallas fed. mr. fisher says very clearly that our largest banks have become too complex to manage. they cannot be managed by the management, site -- see barkly for a different illustration. they cannot be managed by the shareholder. we can talk about hsbc and money-laundering. we cannot be managed or understood by the creditors. we have any number of failures across the european big bank to look out for that. they cannot be managed by the regulators. the largest banks in the world and in the united states should be made smaller. smaller enough and and simple enough to fail. no funding advantage. these -- there is not a market. there is nothing about the market in the structure. it is a vast nontransparent dangerous government subsidize scheme. you, the american taxpayer, directly indirectly through the federal reserve stand behind the balance sheet and the risk of jpmorgan chase whether you like it or not. this encourages them to get bigger. this encourages them to take more risk. they get the upside

head of the fdic -- you must read her book, "bull by the horns," -- and with richard fisher and harvey rosenbloom of the dallas fed. mr. fisher says very clearly that our largest banks have become too complex to manage. they cannot be managed by their management, see the london wale as jpmorgan chase for an illustration. they cannot be managed by their shareholders, we can talk about hsbc and money charter. they cannot be managed or understood by their creditors. we have any number of failures across the european big banks to look at for that. and they cannot be managed by their regulators, by their supervisors. the largest banks in the world and in the united states should be made smaller, small enough and simple enough to fail. no funding advantage. there's nothing -- this is not a market. there is nothing about a market in the structure. it is a vast, nontransparent, dangerous government subsidy scheme. you, the american taxpayer directly or indirectly, stand behind the balance sheet and the risk of jpmorgan chase whether you like it or not. this encourages them to get bigger. this encour