paulsen. he's a member of the ways and means committee and an active member on the committee of human resources. the speaker pro tempore: the gentleman from minnesota is recognized for two minutes. mr. paulsen: i thank the gentleman for yielding. mr. speaker, i rise today in support of the medicare identity theft prevention act. with the constant growth of technology, and as an unfortunate result identity theft, i have received numerous inquiries from my constituents and in particular seniors about what we are doing and the need to protect people from identity theft. earlier this year i also held a seminar in my district with seniors about identity theft and it was very well attended. in 2010 nearly 7% of households were victims of identity theft. and of those households, over one million were headed by seniors. today nearly 50 million medicare cards display the social security emergency number. and social security numbers are absolutely one of the most valuable pieces of personal identity tha

joining me is komal sri-kumar, chief strategist with tcw and jim paulsen at wells capital management. good to see you. thank you for joining us. >> thank you. >> sri, your thoughts on the fiscal cliff. you say even if washington comes to a compromise we will see a drag on the economy and markets. why? >> i think we are going up the fiscal mountain now. it doesn't have to be a fiscal canyon. you don't have to have a lack of agreement and falling off the cliff in order for you to have a negative impact on the economy. even if you are coming down a fiscal slope with increase in some of the tax rates, for instance, expiring the payroll tax cuts to expire or minimize taxes to hit some people. high tax residents new york, california may find some of the deductibility of taxes is restricted. all of that is going to have a negative impact on consumption. we have seen the third quarter show that consumption increase is slower than expected. that's going to get accentuated as we go into the new year, which is why i think even if there is an agreement the impact is going to be quite negative. >>

i remember saying to treasury secretary paulsen can you explain the rule of derivatives here and what happened and how we got into this crisis? and he put his head in his hands, mr. president, and he said not now. i'll talk to you later. now, that's not a very encouraging thing when the secretary of the treasury puts his head in his hands and says i can't explain it now. so we're coming out of this difficult time, and guess what -- we're doing much better. we had an election, it was pretty clear, people want to see us reach a balance here. so as i stand here, i know that there are negotiations going on in the rooms surrounding us. and i wish for the best. i hope for the best and i ask for the best. and there is a word called "compromise." and it doesn't mean you compromise your principles but it means you can compromise because that's what the american people want us to do. yes, they do. and i want to give you an example. if you were out hiking and you saw -- and, mr. president, your state, there are a lot of hikers and you saw someone stuck on a cliff, trapped, swinging from a reason

>> the primary purpose, actually secretary paulsen, his paulsen institute was having their second annualconference about cities and sustainability. when you look at what's going on in china, the amount of investment in infrastructure, the growth of many cities, beijing has 20 million people and anticipates 1 million additional people every year for at least the next five years. a sister city to philadelphia 15 million people, fifth largest city in china. it is massive in scale, the number of people in cities, the infrastructure investments that are being made in ports and in bridges and roads. and structural -- structures all across these big cities. and then they're planning other cities. put 2 million people here, put 5 million people here in cities. >> extraordinary. >> so it is almost overwhelming. >> yes. i know that you traveled there with "fortune" magazine's reporter. he was on here earlier this week and said there were two things that people wanted to know most about. that was our fiscal cliff situation and whether or not hillary clinton is going to run for president in 2016. so

under his treasure department we saw a lot more of that under-secretary geithner then we get the paulsen. >> host: what grade would you give the administration with t.a.r.p.? >> guest: it has to be in half. it really does. a lot of people we will say, well, hey, it helps save the financial system. we did not have a bigger financial crisis, and that is true. the program deserve some credit for that, but ultimately the program was not just about saving the financial system for the sake of saving the financial system. it was to spur a broader economic recovery, to preserve home ownership by keeping people in their homes, as we were told, the money was going to go to the banks, but the ploy, not toward it, so it would go into the economy and increase lending so there would be less misery to run the country, and none of that happened. so i think there was -- it was helpful in preserving the status quo. it did not achieve those major policy goals, and even with that status quo, what did we really save? a broken system of too big to fail banks. through c-span.org we made an even bigger, more da

i remember saying to treasury secretary paulsen can you explain the rule of derivatives here and whatappened and how we got into this crisis? and he put his head in his hands, mr. president, and he said not now. i'll talk to you later. now, that's not a very encouraging thing when the secretary of the treasury puts his head in his hands and says i can't explain it now. so we're coming out of this difficult time, and guess what -- we're doing much better. we had an election, it was pretty clear, people want to see us reach a balance here. so as i stand here, i know that there are negotiations going on in the rooms surrounding us. and i wish for the best. i hope for the best and i ask for the best. and there is a word called "compromise." and it doesn't mean you compromise your principles but it means you can compromise because that's what the american people want us to do. yes, they do. and i want to give you an example. if you were out hiking and you saw -- and, mr. president, your state, there are a lot of hikers and you saw someone stuck on a cliff, trapped, swinging from a reason,

paulsen: mr. speaker, i rise today to lend my voice to the chorus of minnesotans that are grieving at the loss of one of our finest cold spring officer tom decker, who was senselessly murdered while responding to a call for help. a six-year veteran of the force and a father of four, officer decker exemplified what it means to serve and protect. he loved his job, and the community that he served. and those he served admired and respected him in return. he was absolutely one of the good guys, a dedicated husband, father and police officer. so today, mr. speaker, let us honor officer decker's life and the incredible devotion he gave to his community. he was a hero but more importantly he was an incredible human being. he and his service will be absolutely and deeply missed. let us all keep officer decker and his loved ones, fellow officers and his community in our prayers. i yield back. the speaker pro tempore: the chair lays before the house the following personal requests. the clerk: leaves of abse

but the quasi-apocalyptic moment in the too big to fail was when hank paulsen said if this doesn't pass there will be no economy on monday. do you think with romney or obama if another such moment occurs the tea party would listen to people like that and still send the economy down the drain? >> the moment that i memorialized my book during the debt ceiling standout that i think is illustrative, we have the thinking of the more conservative plank of the republican party and it was the house leadership, boehner, cantor etc. and i'm asking your question in a general way because i can't speak specifically to the future. they were concerned. they believed that risking the credit of the united states would be a dangerous proposition. they believe default would be a terrible thing for this country. a lot of their fellow members did not believe that, they brought in this treasury undersecretary jay powell who serve for the herbert walker bush administration. what would happen if wanaque's second came and when the debt ceiling was not raised and he gave a powerpoint presentation of when social

jim paulsen at wells. >> will agreeing to higher tax rates help the republicans to get the tax cuts they'reor. bob corker will join us yet. will we go over the fiscal cliff. >> plus, apple official lofficit weekly loss since 2010. we're going to get your technical analysis still ahead. you won't take my life. you won't take our future. aids affects us all. even babies. chevron is working to stop mother-to-child transmission. our employees and their families are part of the fight. and we're winning. at chevron nigeria, we haven't had a reported case in 12 years. aids is strong. aids is strong. but we are stronger. and aids... ♪ aids is going to lose. aids is going to lose. ♪ it's easy to follow the progress you're making toward all your financial goals. a quick glance, and you can see if you're on track. when the conversation turns to knowing where you stand, turn to us. wells fargo advisors. ♪ [ male announcer ] 'tis the season to discover the kid in all of us. enjoy free shipping and great values on your holiday shopping from l.l. bean. for over 60,000 california foster children, the holid

jim paulsen there from wells. >> let's get over to brian for a market flashback. >> it's our daily researchelissa. it's kind of a dual story, rimm and nokia. rimm and nokia settled a patent dispute last year and said rimm will pay nokia a one-time fee plus ongoing royalties but didn't specify how much. the first payment is going to be about 50 million euros, about $65 million u.s. some people may be happy about that on the rimm side and may be disappointed with that on the nokia side. but there'll also be ongoing royalties paid as well. rimm up, nokia down. so fair to say the market say g ing maybe this is better for rimm as previously thought. >> brian sullivan, thanks. >>> it is one of the industries most sensitive to the fiscal cliff negotiations, we're talking about defense. what is ahead for the industry in 2013. we've got predictions. plus, how to play the defense stocks going into the new year. . and i'm here to tell homeowners that are 62 and older about a great way to live a better retirement. it's called a reverse mortgage. [ male announcer ] call right now to receive your free dv

i remember saying to treasury secretary paulsen can you explain the rule of derivatives here and whathappened and how we got into this crisis? and he put his head in his hands, mr. president, and he said not now. i'll talk to you later. now, that's not a very encouraging thing when the secretary of the treasury puts his head in his hands and says i can't explain it now. so we're coming out of this difficult time, and guess what -- we're doing much better. we had an election, i was pretty clear, peopl want to see us reach a balance here. so as i stand here, i know that there are negotiations going on in the rooms surrounding us. and i wish for the best. i hope for the best and i ask for the best. and there is a word called "compromise." and it doesn't mean you compromise your principles but it means you can compromise because that's what the american people want us to do. yes, they do. and i want to give you an example. if you were out hiking and you saw -- and, mr. president, your state, there are a lot of hikers and you saw someone stuck on a cliff, trapped, swinging from a reason, a