the place, like so much of detroit, invites it. sifting through the remains of detroit's great american ongoing tragedy, photographing them, posing in front of them is something of an irresistible impossible. detroiters hate it. all the visitors like us, i should point out, wallowing in a ruined porn. >> what is this part of the factory? where are we standing? >> this right here is where the assembly line was. this was a paint booth right here, they'd paint the cars. you can see in the floor where they have the wash for the overspray. something that ended 35, 40 feet over here. there's bridges here between the main building and the assembly lines actually came across the bridges. you'd get the possibility of an assembly line three quarters of a mile long. >> you're talking hundreds if not thousands of people all working on the process. >> yeah. >> this is sort of kind of a -- it's not a perfect model for detroit but it's a perfect model when a big factory goes down, it's not just 33,000 people. that's 33,000 families who are going

the detroit institute of art is a facility owned by the city of detroit. the corporation manages that facility for the benefit of detroit. those are detroit assets. they are different than pensioners, which are obligees that with have. we have to be fair and equitable in our treatment with all creditor classes, financial creditors, or retirees, pensioners, and the like, and that's what we're going to try to do. >> reporter: are you on track for [ inaudible ] >> well, we hope to stay on track. we had our map out. we had the tank full of gas, and the car was in the driveway. we're now heading down the road. but we have a long road ahead. but we're on track to keep our schedule to meet the requirements under the statute that ends basically at the end of september 2014. >> reporter: detroit is finally hit the bottom if you will. how soon before detroit is a better city? a city that people want to move to? a city that just doesn't feel safe, but is actually safe? how soon before detroit is relatively back on its feet in your honest opinion? >> okay. honest opini

as the auto industry sank it took it's capitol of detroit with it. today the city is shrinking and broke. to solve its financial crisis detroit will have to cut city workers pensions. illinois just pass emergency legislation to tackle $100 billion shortfall in its pension obligations. that's huge money and people will pay the price. on this edition of inside story we'll look at the trade-offs and solutions when balance sheets teeter to the brink of disaster, and we start in detroit. >> let me just say that the judge has spoken, and i do think it's a tough day for all of us here in detroit [♪ music ] >> once the nation's fourth largest city, the heart of the auto industry and the soul of american music today's detroit is a portrait of urban decay and facing a water shed moment. it is the largest municipality in u.s. history to file for bankruptcy. a federal judge ruled the city is not only insolvent but in a decisive verdict declared that pensions will be included on the chopping block. dave bing is the outgoing mayor. >> the only way we stayed alive,

detroit? >> well, ed, you called it. your narrative laid out the situation in detroit. it obviously is a reduction and elimination of democracy. that's why we are in fact still pursuing our lawsuit through the naacp. we do not believe that this filing of bankruptcy and granting of it was necessary. it was premature. even judge rhodes in his ruling agreed with us that it was not done in good faith. that it was done, rushed, 30 days was not enough time. but he also indicated that they filed a petition in good faith. you know, my grandmother used to give us cash when we were coming up, and then peppermint afterwards to take away -- to deflect the taste. mr. orr today gave us some peppermint, knowing he has taken away the democratic process through this bankruptcy. he and governor schneider. and let me say to the nation that's looking at detroit as if somehow it's some unique situation. stay tuned. it's coming to your community next. when you look at the 125 cities around this nation that are at the brink of bankruptcy, detroit is the case model for that. there was also, ed,

works currently on the detroit institute of art and they say the fair market value for the collection could garner up to eight hundred sixty six million dollars now some of the masterpieces of the museum include works by ben go across to brazil says on you like i did not reach all of. the first thing is is this the right thing for a destroyer to do and when i ask this i don't just mean financially and fiscally is it the responsible thing to do but two hundred million short of a billion dollars which is seventeen billion short of the eighteen billion dollar hole you've found yourself in doesn't seem like that good a fix what do you think well that's exactly what the judge of in the bankruptcy trial said as he kind of pointed against selling our collection he said this is a temporary fix to a much more endemic problem but i think in order to convince me that you shouldn't sell this art you first have to explain to me why having art in your backyard which is a nice thing i don't think you can argue that like having yo

snow during the eagles game against the detroit lions. philly beats the detroit lions. >>video >> reporter:dolphins win that game 34-28 >> reporter:thursday the premiere of sports live! stephen curry interview all

the tax rate right. here just to what is it a. copy. of. this week's detroit became the largest municipal bankruptcy in u.s. history after a federal judge steven rhodes ruled that the insolvent city was eligible to file now this new ruling opens the door for the motor city to cut billions of dollars in payments owed to city employees retiree's investors and other creditors earlier i spoke with anthony randolph director of economic research at the reason foundation about the city's bankruptcy troubles and i started off by asking him if he felt the judge's decision to greenlight detroit's chapter nine bankruptcy filing was the right thing to do. i do the made the right decision clearly detroit is insolvent and so the bondholders claims that they could raise taxes to pay off the stat or even sell things their assets are there are that they would have enough money from those sales to pay off their debt and still continue forward those arguments were spirits and the idea that detroit is an insolvent is crazy for the bar for the pension ers that claim that the const

look at the proud history of detroit. look at henry ford who not only produced a car that his assembly line men and women could afford to buy, he also shortened the workweek and increased wages. we were the industrial giant of the world. detroit was the greatness of america. government didn't do this. you did this. government didn't discover create motown greats like smoky robinson or diana ross. today doesn't need to be any different. we need to look at ourselves, look in the mirror and allow ours the freedom to create and innovate. you have leaders like this. think of dan gilbert of quicken loans that are pouring their hearts and souls and money into detroit. quicken loans has spent more $1 billion in detroit over moved few years and 3600 employees into the city. creating thousands of jobs. quicken loans and sister companies have 12,000 employees working in downtown detroit. quicken loans is proving all the naysayers wrong. go to quicken loans at woodward avenue and you'll get a glimpse moved it's future flt 3600 employe

detroit destroyed the motor city had their share of ups and downs and this week the bankruptcy filing has created more questions than answers for the future of the city anthony randolph of the reason foundation helped us get through the headline letter wall rachel courteous and i paid you a picture of detroit on the stick and this big deal is all coming up and it all starts right now. kicking off your headlines today fracking now it may be the reason why unusual earthquakes have been hitting northern texas in recent months researchers suggest that injecting fracking water deep into the ground may have caused the three point four magnitude earthquake in dallas this past october artie's gynae teacher can reporting from northern texas tells us more. many residents who moved into this area in texas had no idea there would be fracking wells just steps away from their homes they could know that the area that had hardly had any earthquakes before fracking began would start having several every week they couldn't

detroit zits roy the motor city has had its fair share of ups and downs and this week the bankruptcy filing has created what questions and answers for the future of the city anthony randolph of the reasons beyond ation help us through the headline letter wall rachel courteous and i paid you a picture of detroit. and this big deal is all coming up and it all starts right now . kicking off your headlines today fracking now it may be the reason why unusual earthquakes have been hitting northern texas in recent months researchers suggest that injecting fracking water deep into the ground may have caused the three point four magnitude earthquake in dallas this past october artie's gynae teacher can reporting from northern texas tells us more. many residents who moved into this area in texas had no idea there would be fracking wells just steps away from their homes they could know that the area that had hardly had any earthquakes before fracking began would start having several every week they couldn't imagine

a lot of fallout on the streets of detroit out in front of the u.s. federal courthouse here in detroit where a, i think it's fair to say, historic ruling has taken place today. the fallout from that we are just now beginning to get. we will watch this all day and going forward. dennis: thank you very much, jeff flock. welcome, everyone, i'm dennis kneale here with cheryl cheryl . let's take this topic to our panel, scott martin of united advisers, and we've also got charles payne and liz mac donald. charles, let's start with you. federal court has said the state constitution doesn't stop the city of detroit from cutting pensions as it tries to work us way out of bankruptcy which it will now file. does this make it better for the the city or worse? >> well, it makes it better for the city of detroit. obviously, it's extraordinarily painful, but it gives them a chance to have a real economic rebirth. and i've got the tell you, you know, mayor bing brought up the fact that the world's watching this because this may open the door now for this to happen acr

i did the made the right decision clearly detroit is insolvent and so the bondholders claims that they could raise taxes to pay off the stead or even sell things their assets are there are that they would have enough money from those sales to pay off their debt and still continue forward those arguments were spirits and the idea that detroit is an insolvent is crazy for the bar for the pension ers that claim that the constitution of michigan does not allow for the city to amend pension benefits they seem to have a pretty strong claim to the judge ruled that in years past that you go into bankruptcy is like this that you have to be able to break contracts and so he want to head a rule that way i wouldn't be surprised if on appeal that part of the judge's ruling gets reversed but the fact of matter is detroit can go into bankruptcy and should be allowed to go into bankruptcy whether or not it amends pension benefits and that actually leads to my next question now unions and pension funds they had argued that the city should not be eligible like you said for a bankruptcy court protection

bisi onile-ere with the latest out of detroit. ain, the breaking news, is the federal bankruptcy judge has ruled that detroit can continue and is eligible for file for bankruptcy. joining me now to talk about this decision is the president of the american college of bankruptcy. thanks for being with us. was this a forgone conclusion in >> in my view it was. and there were a lot of people in front of me who had the same view. >> what happens to these retirees and pensioners. you heard our reporter discuss how some of them really do depend on this chuck. >> well, time will tell. the plan that the city will propose and -- it is stated that it will propose by the end of the year should give pensioners come clue as to what the outcome will be. but what i suspect will happen is there will be further negotiations. the overarching legal issue is whether the court can impair pensioner's rights. their council will argue that state law prohibits a bankruptcy court from impairing their rights. that's what the negotiation will be about before t

. >>> on the streets of detroit someone is hunting and killing young women two at a time. >> we have four homicides, of which a serial pattern is developing. >> the first set of women were found on december 19th, dead in the trunk of a car on promenade street. >> it was extremely brutal. >> i'm just tired of us losing our children. >> lurking in the online ads for sex. >> is this kim? >> and luring the unsuspecting to a rendezvous with death. >> hey, how are you doing? >> while pimps and hustlers sell young women on a promise of protection. >> let me holler at you for a minute. >> somebody that's involved in this business should be able to protect anybody that gets down with them. >> they're not protectors. they're exploiters. >> they were selling my granddaughter. >> and whenever something goes bad or goes wrong, they're going to abandon you. >> msnbc goes undercover for a closer look at life and death in the deadly game of sex for sale. >> people are closing their eyes. open your eyes. before it's your child. >>> today in detroit on street corners and on the internet, selling sex to

the detroit leaders now face new pressures in working out a deal. the real weight may be on the ordinary people that have to live with it. >> spinning it as a opportunity for a fresh start. the man behind detroit's bid for bankruptcy emergency manager kevin orr says it offers a clean slate for the city ac's model of urban decay. >> the city can go forward and pay it's bills as they come due under due course. >> an inability to deliver the most consistent basic services including police and fire protection. detroit filed for chapter nine in july $18 billion in debilities aldebt allright orr e table. the zoo and it's assets could be sold off and thear galler the ay too. under the debate center is the pension debts. >> i hope that they leave us alone. retirees are in the cross hairs. now 71 she spent her career working for the city. her pension $885 a month is now in jeopardy. it's like the city is trying to kill us all off. all of the people that are retired because they are not going to take care of us like they should. >> she has good reason for conc

, pulled up to the front lawn of the detroit institute of the arts and as only a fire-breathing dragon can do, it left a simple message for detroit's emergency manager about how the city feels about its art museum. watch this. ♪ >> "save the art." if you're going to try to send a message to the powers that be in your city, that is one way to do it. set your fabric-wrapped, metal sign on fire with the flames you shoot 20 feet out of your dragon nostrils. the artists who created that performance stunt made their escape shortly after setting their protest sign alight. the sign was then extinguished by dragon artist supporters and also by the fire department. however you have been making your political case, trying to convey your political feelings, you need to know that out there somewhere, there are dudes in detroit who are getting their political point across with fire-breathing l.e.d. 60-foot dragons that breathe fire and that have a deejay booth on the back. the bar has officially been raised, america. step it up. >> good. detroit belongs in the best news -- i mean, detroit mad

what's the feeling in detroit right now? ink the feeling is now that you know we're into bankruptcy, we've all got to come together once again and figure out what's best for the long-term solution. i think there are people willing to come out and fight the business community, philanthropic community and citizens here. all together we have to fix the problem and fix it now. >> mayor of detroit dave bing, thank you so much for your time. >> thank you. >>> coming up pope francis is many things, the first jesuit pontiff, champion of the poor and trained chemical technician. but club bouncer? details next. when it's donut friday at the office, i use my citi thankyou card to get 2x the points at the coffee shop. which will help me get to a beach in miami and they'll be stuck at the cube farm. the citi thankyou preferred card. now earn 2x the points dining out, with no annual fee. go to citi.com/thankyoucards a body at rest tends to stay at rest... while a body in motion tends to stay in motion. staying active can actually ease arth

detroit doesn't need a handout. look at the proud history of detroit. we were the industrial giant of the world, detroit was the greatness of america. government didn't do this. you did this. government didn't discover, create, motown greats like smokey robinson or diana ross. we need to look at ourselves. we need to look in the mirror and we need to allow ourselves the freedom to create and innovate. you have leaders. think of dan gilbert of quick and loans they are pouring their hearts and souls and money into detroit. quick and loans have spent more than a billion dollars in detroit and moved 3600 employees into the city, creating thousands of jobs. quick and loans and center companies have 12,000 employees working in detroit. quick and loans is proving all the nay sayers wrong. go to quick and loans and you'll get a glimpse of detroit's future. detroit situation is a result of a corrupt marriage, a big government and big labor and big business that has worked against the city of detroit for decades. the result has been a defective government, declini

>> that doesn't top the fire-breathing dragon in detroit with the dj booth on the back and because detroit's going bankrupt, there's a lot of -- and the art is going to be maybe sold. so they did this project to sort of -- to save the art. >> that was the save the art thing. and of all the best new things in the world this year, that was the most visually stunning one. >> the motor city, the great city of detroit has produced lots of great cars, lots of great art, lots of great music over the years. and now the great city of detroit has produced this. behold, the light dragon! this is the brainchild of two artists, detroit-based artist ryan doyle and a hong kong-born artist called teddy low. it is called the light dragon. it is made entirely of salvaged metal and rubber and lights. it is apparently 60 feet long and it weighs 17,000 pounds. it sits on top of a stripped down 1963 dodge dump truck. it's equipped with 2,500 feet of color-changing l.e.d. lights. and because it is a dragon, naturally, it can breathe fire. no, really, it can shoot a 20-foot burst of flame through its dragon nostril

finances like one of the banes acquisitions detroit will be sold at auction to pay off debts created by banks or it's not just public workers who will suffer the whole city is on the chopping block kevyn orr wants the city's art collection show sold off detroit's water department might put on the market and a top it all off right wing billionaires are trying to buy bell i'll park and turn it into some sort of libertarian gambling paradise the privatization of detroit is about to begin and there's no way the billionaire class is going to miss out on mitt romney grew up in michigan so it's fitting in a way that the first attempt to use the bain strategy a public institution would be in detroit but make no mistake about it the fire sale of detroit is just a preview of her republicans will do when they force their privatization fantasies on the rest of our nation every large metropolitan area in the country especially those large minority populations is now in the crosshairs of republican predators joining me now is mike papantonio attorney and host of ring of fire radio ha

h the mayor in detroit wanted this. no way, i don't see way for them to get out of this in the next 15 to 20 years that would be palatable enough for all of us to look at it and say we're satisfied. i think people have to face the hard realization that the jobs are not going to be in detroit. >> a quick thing to that. an important point. because the skilled labor has also left detroit. >> to the other states that don't require union membership to build a car. >> you can't solve this problem if you don't like problem solvers. that's the problem with the left. they've destroyed more cities than godzilla. a couple of solutions. the modern setters movement. where if you're an undocumented worker or immigrant, move to detroit. if you work hard and clean it up, you have it. it's yours. you solve two problems at once. lisa depasquale wrote an article on the $20 million in art owned by detroit, if they sold that, they could take care of this. sell is art. final suggestion, put trump in exampl charge. he cuts through the red tap

bad news for the french but good news in detroit. ming gm ceo is the first woman to run a major automaker ever. she is also on the cover of this week's" bloomberg businessweek." she is up for the challenge. listen to what bob martin delhi had to say. -- bob nardelli had to say. >> she's got good focus but the challenge will be the competition, to enhance the platform and differentiate the blame -- brands. she will have to separate herself a little bit and bring that outside in perspective to be able to change what she had put in place. that is the toughest thing a ceo has to do. >> hard to forget five years ago gm and chrysler had an $80 billion bailout and six months ago, the last lights went out on the last plant in detroit. >> we are absolutely and, not in the nicest. of detroit. i just want to take a picture every day on the way to work and create a coffee-table book at the end of the year and reflect on the things i see. it was the only time in my 20 year career that i got up in the morning and there was this incredible sense of

the seats. they're close to contending. they gave detroitigers fits last year in the american league central. seat is trying to get people as well. they snead offense. seattle has become a real thorn for the yankees, and they were offering beltrÁn a two-year deal. >> reporter: a how much process, bob, went into the move to get rid o fielder. >> well fielder had a poor postseason. he said it wasn't going to bother him. it bothered the front office that they had to get him out of there. they need a closer. they got joe nathan. eight seasons of over 36 games, and he should be the answer. they're not done. they still want to use that savings from prince fieldering to get an outfielder like ellsbury or chew. >> they saihow is this going tot the tigers offense to back up cabrera. >> i think he could hit an mvp with me or our behind him. he's that's great. he's a terrific hitter. it will hurt some but now they can move martinez in that spot. he had an outstanding second half. i think cabrera will be just fine. we'll see if he wins another mvp. but

that's the mayor of detroit, dave bing, and we've had reaction already from the union side, an afscmey for detroit, and that they will appeal this decision. in the meantime, we try to make sense of what judge rhodes wrote. >>> we want to bring ceo of zillow, steve rascoff. what advice does he have for other companies recently going public and the ones that aspire to? this is the million-dollar question, i guess. >> you know, the biggest thing companies need to keep in mind firstly is an ipo is a means to an end. it's not an end in and of itself. it's a step along the way. a financing event, just like a private venture capital round. at zillow, we make sure employees don't focus on the stock price. it's not that important in the near term. what matters is building the company for the long term. >> did you give them options? >> all employees have stock options in the company, absolutely. so creating an incentive for them to care about the long-term value of the company is very important. we try very hard to make sure that employees don't focus on the near term stock price, because we wa

chopping block kevin or wants the city's art collection show sold off detroit's water department might put on the market and to top it all off right wing billionaires are trying to buy belle isle park and turn it into some sort of libertarian gambling paradise the privatisation of detroit is about to begin and there's no way the billionaire class is going to miss out on mitt romney grew up in michigan so it's fitting in a way that the first attempt to use the bain strategy in a public institution would be in detroit but make no mistake about it the fire sale of detroit is just a preview of her republicans will do when they force their privatization fantasies on the rest of our nation every large metropolitan area in the country especially those large minority populations is now in the crosshairs of republican predators joining me now is mike happen tony an attorney and host of ring of fire radio pat welcome back. just fine so you have some serious thoughts on this was this rick snyder kevin or his goal from the start well what a combination put snyder in or toget

july yesterday in the us of detroit city employees could be slashed even though they were guaranteed long ago so they break down the complexities of detroit's bankruptcy and shed light on what this decision means for other cities and financial peril i'm joined now by richard wolffe economist and professor emeritus at the university of massachusetts always amazing to have you on richard. thank you for inviting me so richard what do you think is this bankruptcy decision the best outcome for detroit. noah. nod it's one of the worst outcomes and i think you're right to point to this issue of the pensioners it is a historic moment it is saying to the workers of that city and in fact to the workers of all this country that when you sign a contract with an employer and you give up wages and benefits now to get a pension in the future and the employer agrees with you to do that that if and when that employer gets into difficulty they can act as if they never made the commitment they can forget all that you for went through all that you did without to get a pension and take the pension away w

i wanted to reiterate the detroit thing. reality show with trump called "fix detroit." 16 people, maybe celebrities. >> then they can come in like kid rock and fix it? look, the problem is, i'm not surprised at anything they say because they can say one thing to my face and then say no, no, no, that's not what we said at all, and you could roll the tape back, and it's what they said. it doesn't matter because their own reality is what governs. that's what dictates. >> i think when he said he'd prefer not to see detroit go bankrupt, i think that's probably right, those people would. it goes into the courts and they'll work it out. there will be cuts in pensions. you know the only thing that's grown in detroit are muslims. >> oh, boy. >> we're going to leave it right there. >>> senator rand paul will be in detroit on friday and saturday. we'll have him on. he's got a very good plan. and maybe trump can help them out. >>> an uproar after a new mom flaunts her toned abs three days after giving birth. the post-baby body debate. i'

facing more than eighteen billion dollars in debt the city of detroit finally filed for bankruptcy last july yesterday a u.s. district court judge authorized the city to go forward with its final and for chapter nine judge steven rhodes said that negotiating and reaching a deal with the city's one hundred thousand creditors would have taken far too long for their prevented detroit from delivering vitals city services disturbingly this ruling means that the pensions for thousands of detroit city employees could be slashed even though they were guaranteed long ago so they break down the complexities of detroit's bankruptcy and shed light on what this decision means for other cities and financial peril i'm joined now by richard wolffe economist and professor emeritus at the university of massachusetts always. amazing to have you on richard. thank you for inviting me so richard what do you think is this bankruptcy decision the best outcome for detroit. no it's not it's one of the worst outcomes and i think you're right to point to this issue of the pensioners it is a historic moment it is s

lit dragon rolled through the city of detroit, pulled up to the front lawn of the detroit institute of the arts and left a simple message for detroit's emergency manager about how the city feels about its art museum. watch this. save the art. if you're going to try to send a message to the powers that be, that is the one way to do it. set your metal sign on fire with flames you shoot out of your dragon nostrils. they made their escape shortly after setting their protest sign alight. however you have been making your political case, however you have been trying to convey your political feelings, you need to know there are dude in detroit getting their political points apart with 60-foot dragons that breathe fire and have a deejay booth on the back. the bar has officially been raised, america. step it up. >> good. detroit belongs -- detroit made it. good. >> they are trying to save the art from the detroit art institute. and christie's is going to get 500 million for it. >> 500 to 800 million. they are putting, oh, that would put a big dent in our debt. but it will also get rid of the co

learn more at the street.com/nbr. >>> in detroit, the city becomes the largest to enter bankruptcy. happens next? >> auto makers symbol of detroit's economy sold more cars than expected in november. but can the pace of sales continue into the new year? >> and falling behind, american students are lagging other nations in reading, math and science. what changes need to be made to ensure future generations can

the union is appealing the judge's decision in detroit. and andrew g. biggs is a resident scholar at the american enterprise institute. he served as the principal deputy commissioner of the social security administration under george w. bush. welcome to you both. >> thank you. >> woodruff: steven kreisberg, to you first. the basic question here i think is should public employees who have done their time working for the government, are now retired, be subject to any kind of cuts when the city or the state they work for is facing terrible fiscal crisis, and an underfunded pension fund? >> well, the underfunding of these pension funds has nothing to do with the workers. the workers, as you have said, have served their city. they put in their time. they've done the services that they've been paid to provide. the pension is a form of deferred compensation. so typically when people do the service, they get paid. you know, becoming a deadbeat on a pension as the city of detroit is proposing to do is not consistent with the values, i think, of just about anybody

winbaltimore ravens to a over the detroit lions. it was the sixth field goal of the game for the ravens. he accounted for all the team points. will mohamed el-erian speak to us? he is a giant jets fan. >> that will not happen this year. >> the first super bowl in new york and neither team is in it. kickers have a longer duration of career. let's go to the morning must read. >> we will talk about obama care and the president talked desk is talking with tech executives. will obama care fade?

we feel the city of detroit never went into bankruptcy. you have to think about it like this: this mayor did not lead us into the bankruptcy. the city council never voted for bankruptcy. we feel it is illegal. on the other end of this the state and the city put $400 million together to build a new hockey arena here in the city of detroit. we are paying millions of dollars to jones a and lawyers, across the city of detroit and the nation, to to lead the bankruptcy... ..we are paying a lot of money out now that we could put in a place where we could make sure that we take care of the pensioners. >> we are talking $20 billion, not $400 million. >> yes, but what we have to understand is the nation is dealing with the same issue. cleveland and atlanta, la, are all dealing with the same issue. the way to solve it is not on the backs of the pensioner, but make sure the banks that we bailed out at $1.8 trillion - they are the ones that caused the catastrophe in the united states of america. and they need to pay. they need to take big major hits. it

in philadelphia where the eagles faced the detroit lions. fans at the game couldn't see the yard markers and point out where the ball was. more action a little later in sports wrap. >>> president obama is calling on aid to help with the afford able care act. republicans want to repeal the law. americans may have to pay more than they expected to keep their doctors. >> congress will be in session. they have a long list of bills to finish. 1.3 1.3 americans will be

one other piece to tell you the detroit institute of art is in play. what they have it that museum chris released its report on that today, the art detroit owns 452-$866 million. that is what christie says. dagen: it is headed somewhere. thank you for the reporting as always. junius with more, peter kaufman. the best dressed man in investing. >> thank you. dagen: it is good to see you. yesterday's ruling, the impact on detroit, does it save the city, does it ring investment back and what about some of these other cities like stockton or san bernardino. >> it was such an interesting ruling. he is a great judge, very careful, almost never gets overruled said he was very careful what he did, so the interesting things going on in detroit, and the impact of the rest of the country. he made some fact findings the city did qualify for a bankruptcy filing because the state had authorized it, and even though the city found he didn't negotiate in good faith with the creditors, he found it did not matter because it was over 100,000 creditors. he went further and s

worked against the city of detroit for decades. the result has been a defective overnment, declining business sector, and failing schools. make a say this to partisan point. both parties are to blame. there's enough blame to go around. both parties, democrat and admit we they must didn't do everything we could do for the people who live in these cities, in detroit. the problems we see, it means the end of time. woe is me. let's give up. they say we can't create enough jobs. we'll never do it again. i disagree. shea athe schools here will keep getting worse. i disagree. they divide between rich and poor and black and white will only grow. i disagree. pez michl is wrong. for a moment.e we are the greatest country on earth. we developed so much capital ecause we believe in freedom and ourselves. for this to come true, we have beeny something we haven't trying. we can't keep doing the same thing over and over and expecting a different result. we need a new vision of prosperity. one that won't leave communities behind. politicians have t

you can look at the example of detroit. they had to go through banks result see proceedings to touch these. the burden of proof is on the city to make a case they are eligible and that's a high threshold. pension benefits are usually safe around the nation. pension benefits are protected for current employees and retirees. >> i'm looking at research that your own group put out saying 126 public plans were only 73% funded using the most optimistic pension return formula. 50% using the more conservative 5% return figure. what percentage are underfunded and not by just a little but in some cases by a lot? >> right, this is correct. those numbers are right. currently in 2012, based on 126 state and local pension plans that we maintain at the center, the funding rate owe was 73%. a lot of that unfunded lighty isn't due to current workers. pension funding really wasn't involved until the '70s or '80s. a lot of these are legacy costs from a past time and plans have been working steadily to fill the gap. >> so is it real or not? are