tv Bulls Bears FOX Business July 17, 2019 5:00pm-6:00pm EDT
connell: yeah. you can act independent. just have somebody else pay for it. melissa: right. i guess. yeah. connell: 25 or 30s. thanks for joining us. we always appreciate it. see you tomorrow. melissa: "bulls & bears" starts right now. breaking news. the president leaving the white house at any moment for a rally in north carolina tonight. we are expecting him to stop and speak to the press on his way out as he usually does. he signaled in a tweet earlier he may not be done with his war of words with four congresswomen. we will bring you his words as soon as they feed into us. we will get reaction on the controversy from one member of the trump administration, hud secretary ben carson joins us in just a bit. streaming struggle. take a look at shares of netflix. down double digits, 10% in the after-hours in reaction to the company's second quarter results. just out in the past hour. we have the details and the
numbers you need to know ahead of tomorrow's open. coming up. today, we tell the pharmaceutical industry their greed is going to end, that under medicare for all, there will be a cap on what people will have to pay for medicine and that we are going to significantly and underline the word significantly, lower prescription drug costs in america. we are tired of getting ripped off. susan: happening right now, it's a democratic duel. just days after 2020 frontrunner joe biden debuted his ambitious $750 billion health care plan, which opposes medicare for all, bernie sanders firing back with the defense of his signature proposal in a major address that just wrapped up moments ago. wait until you hear how much his plan will cost you. this is "bulls & bears." joining me today, liz peek,
kristina partsinevelos, jack brewer and carol ross in new york city. let's get straight to hillary vaughn at the sanders event at george washington university. hillary? reporter: susan, bernie sanders is campaigning on no premiums, no deductibles and no co-pays. that's key to convincing the american public they should go for medicare for all. >> and some others. seem to think the american people hate paying taxes but they just love paying insurance premiums. oh, my god, dear, the insurance premium is here, what a wonderful day! oh, wow! reporter: senator bernie sanders made the pledge today not to take any donations from drug companies or the health care industry, and he's putting other 2020 candidates in the hot seat to also not take any campaign cash from these companies.
sanders and biden have been dueling over health care plans. biden wants to build on obamacare and of course, bernie sanders wants to ditch it in favor of medicare for all, but biden in iowa today on the trail took his shot at sanders' plan. >> make health care a right, not a privilege. give everyone the peace of mind they deserve. everyone. for me, that means building on obamacare with a public option. now there are a lot of people running in the party who want to get rid of obamacare, start over with something new. folks, i'm not for that. reporter: campaign finance records show that biden has accepted thousands of dollars from executives at health care companies including merck and blue cross, but also senator kamala harris and mayor pete buttigieg have as well. we'll see if they accept bernie's pledge to not accept this money and give it back. susan: hillary, thank you. now, jack, will sanders' plan
appeal to voters, you think? >> not at all. i think this is the one policy that's going to end up costing him the election if he does win the democratic nomination. you cannot come in and take away people's right to choose their doctors. you cannot, you know, focus on the fact that we have so many americans that love their doctor. i like my doctors. i don't want anyone telling me that i can't use them. so i think their intentions are right and i hear them, i wish everyone had health care and i think we can figure out ways to do that, systematically without having to necessarily force them. you hear joe biden, he says we have a right. we have a right to choose who we want to work on our bodies. >> do you think we have a right, though, when we come to america in general drug costs are so expensive? i'm not saying i side with sanders at all but i do think this is important for them to distinguish themselves and biden, if anything, if we are going to say a positive for him is he's still allowing those private insurance plans to go forward. i think that will be a winning
strategy for him, especially when he needs to differentiate himself. i still, if you bring up the right, we can argue just in general about medicare for all. they often say people deserve to have the right to be healthy in america, and that would almost be an argument for that side of the party. >> i don't know, i think that anybody who doesn't understand economics will like this plan. i think that anybody who doesn't pay taxes will like this plan. i think that anybody who doesn't understand the rationing of resources that you brought up will like this plan because remember last time around, we were told that we have got to keep our doctors. people are lied to by politicians. if you don't understand fundamentally the shift that's going to happen here, this is going to sound great, it's going to sound free, free is really, really expensive at the end of the day. >> it's going to sound great, it's going to sound great except to the union workers who the democratic party are very eager to bring back on board in 2020. one of the things that has happened for unions over the last decade or so is that they
have won enormously generous benefits packages, including health care. those people are among the three quarters of americans, according to gallup, who are completely satisfied with their health care. so i think telling all those people that you're going to toss it and you're going to toss obamacare, obviously joe biden wants to remember the glory days of his time in the white house via obamacare nostalgia, but the truth is, people aren't going to go for this. i think everyone's right. this is not going to work on the stump. susan: what about the economics of it? i was looking at those price tags carol brought up. $10 trillion over 10 years. $40 trillion, pardon me, over 10 years. our annual budget including medicare, social security, is already at $4 trillion a year. you want to double that and you don't think the middle class is going to pay much higher taxes or you have to introduce by the way, a vat which is what nordic countries do in order to pay for these single payer systems. >> well, susan, by the way,
bernie sanders already said publicly that the middle class was going to have to pay higher taxes. tha that was on bret baier's show. think about the middle class voters again who are happy with their health care and a lot of them are union members in all those swing states. i think this is a no go. i think biden actually has the high ground here, and the better plan. ironically, though, he completely blew it by presenting it and talking about how if you like your health care, you can keep it, because that was the signature lie of the obama years. how joe biden didn't realize that replicating that was going to be a terrible political gaffe, who knows. but anyway, i think he's undermined his own case. >> i think joe biden is smart. the more he says the obama name, whether it's in obamacare, obama anything else, gets him further and further away from racism, and the fact that people are calling him racist because he voted the 1994 crime bill and has done so many other things.
i think that's where he's playing here. but when you talk about health care, it's about quality of care. i don't want you to take away my quality of care. i think no matter what joe biden or bernie sanders say, the quality of care in america will go down if you go to a single payer system. >> let's talk about estimates for a second. we are talking about $40 trillion on an estimate. when has an estimate ever been in the neighborhood of what it's going to cost? if they're saying $40 trillion, imagine what that ultimately would end up being, then like jack said, the fact that you're not going to get the quality that you're not going to be able to make the choices that you're going to have the government who is bad at doing everything that they do, decide that this is something that is going to be a political football. >> why don't you go with biden? the fact he's trying to give a little bit of both worlds. i know it's a little cheaper. he's saying $750 billion versus the trillion. i know, but i'm just -- >> because you go to the free market. you go to the free market and you stop getting government in the middle of this. this is what's --
>> isn't that too conflicted, though? that's an issue in america forever. look at the high drug costs. >> we don't have the free market. we have government cronyism and intervention. the whole reason why we are even talking about this is because we don't have transparency and we have the government creating laws so that we don't have choices and we don't have competition. >> i agree with you. >> competition has never made anything more spepsiexpensive, . >> we talk about generics. generics can't even come into this country. why are we continuously paying so much for drugs? i completely agree. get rid of that structure, don't give the government more power. >> if you were a politician right now, what would you propose? >> i know what i would propose. i would propose that we put more money into hmos, preventive care medicine. we need to go to preventive care, hold people accountable for what they eat and put in their bodies. that is the only way. we need to do soul searching in our country. we can't just sit here and eat and do whatever we want to do, then wonder why our cardiac arrests are going up and everything else.
preventive care is the only way. no different than you do with your best athletes, you train them and they eat right and they feel better. >> the responsibility going with the right. this is the thing that's always absent from the conversation. we have rights, we have rights. where are your responsibilities? what portion are you taking on? >> does that mean the education system, teaching people how to eat properly? >> amen. amen. >> that's the government intervening, though. >> that's not the government intervening by putting in better curriculum. i agree with you. we are on the same page. we all got the same goal. we just have a few different ideas on how to get there. susan: guys, let's get to president trump speaking to reporters on the white house lawn moments ago on his way to north carolina. okay. well, we are waiting for the president to walk up to the microphones.
long stroll there on the south lawn. of course, we will be hearing for any remarks pertaining to the controversy that stems from his shall we say fight with the four progressive congresswomen and of course, that's been taking a lot of headlines. he spoke with cbs earlier this morning as well. reporter: [ inaudible ]. >> about what? reporter: [ inaudible ]. >> no. if people want to leave our country, they can. if they don't want to love our country, if they don't want to fight for our country, they can. i'll never change on that. no. reporter: do you think you're winning this political fight? >> what? reporter: do you think you're winning this political fight? >> i do think i'm winning the political fight. reporter: why? >> i think i'm winning it by a lot. reporter: why? >> i think that they are not espousing the views of our country, the four congresswomen. i think that they've said horrible things that the press doesn't cover. i think you should try covering it. when you look at some of the things they've said, they are unthinkable. if somebody else or me or anybody else said things like
that, it would be historic. you ought to look at some of their horrible statements because there's never been statements like that. reporter: mr. president, you have been very outspoken about [ inaudible ] the democratic party. how do you think that all began and is there anyone in particular you blame on that? >> well, the democratic party is really going in a direction that nobody thought possible. they're going so far left, they're going to fall off a cliff. so i think they're making a big mistake but who knows. that's up to them. reporter: -- american principles to be able to criticize -- reporter: [ inaudible ]. >> well, there's a lot of talk about the fact that she was married to her brother. i know nothing about it. i hear she was married to her brother. you're asking me a question about it. i don't know but i'm sure that somebody would be looking at that. reporter: sir, do you believe people should be allowed, sir --
reporter: [ inaudible ]. >> well, i think the story last night was that 187 republicans voted in favor of trump and four voted against. i think that was the big story. that seems to be the story. there's great unity in the republican party. it's very unfair what's happened with respect to the way i would say republicans are being treated frankly, but certainly the way this president has been treated. in the history of our country, there's never been anything like this and this should never be allowed to happen to another president again. should never be allowed to happen. despite that, we've created the greatest economy in the history of our country. we're doing things like nobody's ever done. we have the best job numbers in the history of our country. african-american, asian american, women, hispanic
american, best job numbers we've ever had. i have to go because i see it's starting to pour. reporter: mr. president -- reporter: [ inaudible ]. >> i'm not relishing the fight. i'm enjoying it because i have to get the word out to the american people. you have to enjoy what you do. i enjoy what i do. the key is, the key is -- it's not a question of relishing. they're wrong. they're absolutely wrong. that's not where our country wants to be. we're not going to go and we're not going to be a socialist country. it's not going to happen. reporter: mr. president, should people be allowed to criticize the government? susan: there you have it. the president wrapping up a conversation with reporters on the white house lawn right now due to rain. but he did go on about the political fight that's happening between him and his tweets over the weekend and the four congressional females, also
known as the squad. we've got to bring in some of the experts. one of them joining us right now, the housing and urban development secretary, ben carson. mr. secretary, we just heard him speak now but overall, we know the house did condemn his comments as racist. do you think the president's tweets were racist? >> not at all. i've known the president for some time and i've never seen any indication of that whatsoever. you know, he lived in new york for a long time. jesse jackson gave him an award for the work he's done in the black community. i remember the very first time i met the president at mar-a-lago before we were into the political arena, and someone came up to him and said mr. trump, rod stewart is here. and he said yeah, but this is ben carson. i mean, that's the kind of person that he is. that's the kind of person i've always known him to be. you know, his interest is in everybody doing well and the
policies are such that a rising tide floats all boats, and you can see that. the manifestation is so clear, you know, in terms of the unemployment rate, particularly for minorities. >> but that's not what we were talking about. we were talking about whether his tweets were racist or not. i understand the policies are great and the economy is doing well but this is a question of racism. >> yeah, well, the place where that intersects is because he is spending so much time and energy with policies that elevate the very people that they are claiming that he is against. that's my point. >> secretary carson, thank you very much for joining us. question for you. do you think these four women, these young women in congress, the so-called squad, do they represent minority thinking or in particular, do they represent the view that a lot of people in the african-american community have of president trump, or is that community open to the oide that his policies, higher wages,
things that are happening economically that are good for african-americans, are more important than these tweets and these sort of battles that he gets in? >> yeah, i think you're exactly right in that it's the impact, it's what's actually happening. it's much more important than the arguments that we get into when we try to parse every word. and try to interpret them. 's the it's an interesting thing, psychologists will tell you this, if a person thinks that you don't like them or that you hate them, then everything you say, they will interpret in that light. if they think you love them, everything they say, you will interpret in that light. it can be exactly the same thing. we need to get away from all this parsing of words and analysis, and really, let's talk about the actual problems that we have and how we solve them. i think we would be far ahead in the game. i really think that's what the
american people want to hear. that's what the minorities want to hear. that's what i've heard from them. i was with a minority this weekend who said i really am impressed with the things that this administration is doing. but they said i won't say it out loud and i won't say it to people because i don't want to be ostracized and have my family attacked. but i think that might not be such a rare opinion. susan: secretary carson, what does that mean for the ballot box as we head into 2020? an obvious line has been drawn. does it help or hurt either side? >> repeat that again, please? susan: the ballot box for 2020, the presidential race, with this back-and-forth across racial lines, telling minorities according to some liberal commentators to go back to where they came from, some would say that might hurt the republican party. >> again, you know, there's going to be all kinds of conversations on all kinds of
things, and it's going to come from both sides. did i wish that that weren't going on, absolutely. it kind of reminds me of third grade, apologies to the third graders. but we have so many more important things to deal with. i think it would be extraordinarily helpful if we would just begin to focus on those things that are important. >> one of those things could be housing. secretary, i want to actually pivot a little bit. we have new data that shows african-american home ownership falling in the first quarter of this year to its lowest level on record. mr. secretary, why do you think this is the case and what do you think the administration should be doing next to fix it? >> a very good question. first of all, i recognize that the home ownership rate for blacks in this country is lower now than it was before the housing crisis, more than a decade ago. because minorities were taken advantage of severely.
you know, some of the subprime stuff and the debt-to-income ratio stuff, it was horrible. you're not doing anybody a favor if you put them in a house that they can't afford. they lose the house, their credit and their future possibilities. so what we are doing is we just dedicated $43 million to housing counseling to help people get on the right track, we are doing an enormous amount of activity around affordable housing, because the housing prices are escalating much faster than people's income, even though people's incomes, as you know, have increased about 3% recently, but the housing prices are going faster than that. and it's largely due to regulatory burdens, zoning regulations and other types of regulations. attacking those and at the same time, we have an office of innovation which is looking at some of the great technological advancements that have been made
that lower the cost of housing. what we have to do is remove a lot of the barriers so that we can use those technological advancements. >> dr. carson, this is jack brewer. i want to first of all say, amazing job with the opportunity zones and the things you guys are doing in the african-american community. i just personally wrote an article comparing the two administrations, obama and trump, and really what the policies look like, and i have been, as you can imagine, i have been cast out of his will. i want to give you my two cents in regard to african-american home ownership. people don't understand right now, we keep talking about the border crisis but we need to worry about the crisis that's going on in our own inner cities here in america, where there's hundreds of men and women being shot in chicago and in philadelphia and all these other urban areas, but the real issue when it comes to housing is the fact that in the united states of america right now, 77% of kids are born in a home without a father. people buy houses as families. we need to get our families back
in this nation. you can't expect for african-americans to be able to go out and buy homes when they are single moms with no dads in the house. 77%, you know, it brings tears to my eyes, i lose sleep over it. dr. carson, no matter what you are doing, i'm here to support you because we got deep spiritual issues that we need to address in our community. get god back in our kids' lives and try to really put a foundation back and stop letting all these rappers and entertainers tell our kids things that are so un-godly and that is really just seeping through our entire black urban community and i'm tired of it. >> well, thank you for bringing that up. because in fact, as you probably know, the brookings institute did a big study on poverty in this country and they concluded that there were three things a person could do that would reduce their likelihood of living in poverty to 2% or less. those three things were number one, finish high school. number two, get married.
number three, wait until you're married to have children. now, a lot of that is antithetical to a lot of policies we have had in place for the last 50 years. for instance, if you are getting housing assistance and you make more money, you have to report that so your rent can go up. that's not a big incentive. you bring another income producing person into the household, you have to report that so your rent can go up. don't even think about getting married. you will probably lose everything. so these kinds of policies are antithetical to the research and to the data which actually shows the direction we should be going in our policies really should reflect that. >> secretary carson, thank you for joining us. we really appreciate it. >> thank you. always a pleasure. >> we are going to continue on and talk business. netflix dropping 12% after reporting disappointing subscriber numbers. but coming up, we will actually take a closer look at how new competition in the streaming space could impact their bottom line. stay tuned.
can't see what it is yet.re? what is that? that's a blazer? that's a chevy blazer? aww, this is dope. this thing is beautiful. i love the lights. oh man, it's got a mean face on it. it looks like a piece of candy. look at the interior. this is nice. this is my sexy mom car. i would feel like a cool dad. it's just really chic. i love this thing. it's gorgeous. i would pull up in this in a heartbeat. i want one of these. that is sharp. the all-new chevy blazer. speaks for itself. i don't know who they got to design this but give them a cookie and a star. prpharmacist recommendedne memory support brand. you can find it in the vitamin aisle in stores everywhere.
prevagen. healthier brain. better life. but some give their clients cookie cutter portfolios. fisher investments tailors portfolios to your goals and needs. some only call when they have something to sell. fisher calls regularly so you stay informed. and while some advisors are happy to earn commissions whether you do well or not. fisher investments fees are structured so we do better when you do better. maybe that's why most of our clients come from other money managers. fisher investments. clearly better money management.
we like drip coffee, layovers- -and waiting on hold. what we don't like is relying on fancy technology for help. snail mail! we were invited to a y2k party... uh, didn't that happen, like, 20 years ago? oh, look, karolyn, we've got a mathematician on our hands! check it out! now you can schedule a callback or reschedule an appointment, even on nights and weekends. today's xfinity service. simple. easy. awesome. i'd rather not.
susan: netflix shares reporting only 2.7 million new subscribers last quarter, almost half its scombroe projection. deirdre bolton is standing by in the newsroom. deirdre: exactly right. that's why we're seeing this stock drop like a stone in the post-market session. you highlighted the key metric that investors are focused on right now, because as we know, netflix is pretty saturated, more or less in the u.s. its growth has to come from overseas. there were high expectations, that i would add even the company guided to, which as you rightly pointed out, were a big disappointment. now, the flipside is if you're an investor, it depends on how much of a believer you are in netflix's future. the company is saying that its third quarter, the one we are currently in, is going to be
amazing, so they have stranger things, of course, coming out. there are lots of people who are watching that now. those figures will be showing up in this quarter's numbers. then the crown at season three will be launched. there's a lot of reasons why netflix is saying if you're an investor you might want to hold the stock, i'm paraphrasing heavily there. they say they will be adding seven million subscribers in this current quarter. so this one is particularly the weak one. they say a lot of it is because the subscriber losses, particularly the ones that happened in the u.s., were in areas where netflix actually raised prices. so they pinpoint that as a particular area of weakness. one side theme we have been following is a question that investors always ask about netflix, just how much are they spending on creating original content. and one thing that we know which we can take as good or bad, kind of point of view on it, is the company is going to be losing the office and losing friends. a lot of people are saying that's going to create problems for netflix. the other side of that coin is
well, netflix is going to have more money to spend on its own original content. >> thanks, deirdre. looking ahead as netflix continues to lose those licenses you just told us about for popular shows like "friends" and "the office" new rivals are launching their own streaming services. susan, do you think netflix is in for more pain? >> the trend shows that saturation is here, competition is rising and netflix is going to have a hard time in the future. they have only put in half of the amount of subscribers that were expected in the quarter, half. 2.7 million. five million expected. they are still guiding for seven million in this current quarter. not a lot of people believe them. the stock is down some 10%. when you lose number one, number two sitcoms and have to ante up the pace to create more content, not sure that's good for the bottom line. >> i think that's right. you have two issues, right. one is content and another one is price. the whole issue with disney, disney is now half the price,
their service, for netflix. i think raising prices is an extremely questionable way to go about it. i'm really stunned by how off they were, as susan said, with the guidance here. you know, coming in at five million, expected viewers, and it turned out to be 2.5 million or whatever, that's just a huge miss. i would think people are going to be a little nervous. yes, they do have new content coming in in the third quarter and that's definitely going to buttress their situation. i wonder if people just aren't kind of confused by all these offerings that are out there and trying to sort of sort out what it is they really want, and until netflix has absolutely must-have programming, they may start to have some problems like this. >> there is a study that actual lie lookactua actually looked at how much time people spend picking out a platform, they spend seven minutes. we are at the moment of saturation. to reiterate, the concerning thing is subscription numbers have dropped.
who used expedia to book the vacation rental which led to the discovery that sometimes a little down time can lift you right up. expedia. everything you need to go. expedia. dear tech, you've been making headlines. smart tech is everywhere. but is that enough? i need tech that understands my business. i need tech that works at scale. dear tech, dear tech, dear tech, we're using ibm blockchain to help make sure food stays fresh. we're exploring quantum to develop next generation energy. we're using ai to help create more accessible health care.
is it to carry cargo or to carry on a legacy?? its show of strength or its sign of intelligence? in crossing harsh terrain or breaking new ground? this is the time to get an exceptional offer on the mercedes of your midsummer dreams at the mercedes-benz summer event, going on now. lease the gla 250 suv for just $329 a month at the mercedes-benz summer event. mercedes-benz. the best or nothing.
it's hard to trust boeing's apologies given that they have not reached out to us. i do believe they did not in the days leading up to the paris air show, because it's for commercial reasons, i believe it's a publicity stunt that they just appeared on cameras to apologize to the families. >> heartbreak on capitol hill today. an emotional hearing as the families of victims of boeing's 737 max crashes testified on aviation safety. all boeing 737 max jets were grounded in march after 346 people lost their lives in two separate crashes. kristina, you have been following this story. what were the big take-aways from today's hearing? >> the first thing boeing did is 30 minutes before the hearing, they announced they were going to give $15 million specifically to the family members of the
victims and disburse it over the next few years or so. you had that one man, he is an investment adviser, he lost his entire family, his mother-in-law, his wife, his three young children. listen to what he had to go through. >> i think about their last six minutes of life. my wife and my mom in law knew they were going to die. they had to somehow comfort the children during those final moments, knowing they were all their last. i wish i was there with them. >> it's important to mention that he had a 6-year-old son, a 4-year-old daughter and a 9 month old and spoke very highly of all of them. he went on to say that boeing was negligent and he's one of many that have filed a lawsuit for that reason. negligence as a whole. >> very, very sad. panel, what do we think? carol, should the ceo of boeing
now lose his job? >> that's a tough question. i hate to get in front of a board because obviously, that's a board decision but i don't know how a ceo makes it out of this. this is, if you think about something a ceo can go through, when they are overseeing a situation which ends up with loss of life that is such a big catastrophe for their partners on a revenue basis, they have shook the public's confidence in flying, this is a hard thing to get out from under. so it's hard to make the call but i think it's something the board should very seriously consider, because this is a giant mistake of epic proportions. >> i'm trembling right now. as a father of four, and you know, i have taken the same flight twice, man. taken the same flight twice. out of ethiopia. it's just unimaginable to even think that -- i don't even know how to react. i very rarely get a loss of words but to see this man have
to go on and now he's advocating for his children, i mean, to know you have these issues with your airplanes and you don't make it a point to teach all the pilots and you're selling airplanes across the world and you're making millions of dollars, i mean, sometimes, guys, greed, can't put greed before god. it's terrible. >> you know, i would have -- >> when you add up all the litigation involved, not only from the personal point of view, the civilian lawsuits but also the ones from pilot, 400 of them from around the world are also suing boeing as well, saying you put us in danger, knowing these problems with this system, and also, shareholders as well, saying what were you hiding from us before you actually divulged it to the market? someone has to fall on their sword. someone is pointing to dennis muelenberg, especially when the 737 is the best-selling plane, makes up the most revenue of the company. when your bestseller has a problem and can't fly, that's a problem.
>> we heard recently the airlines are having to cancel more flights going forward. there just seems to be sort of a cavalcade of bad news affecting boeing. going to be interesting to see whether investors decide it's more trouble than it's worth at this point. >> that's true. one last point. the faa, too, you mentioned the fact that boeing is responsible but what about the faa that allowed boeing to police itself? what do we do about that? >> that's even a deeper issue. to think that we have a government agency that wouldn't step up, that's chilling. >> everybody dropped the ball mere. everybody dropped the ball. unfortunately, somebody has to be accountable. >> exactly. meanwhile, the house is set to pass a bill doubling the federal minimum wage tomorrow. but how are minimum wage hikes actually working in american cities? a cautionary tale, next. my insuy gonna double. but dad, you've got allstate. with accident forgiveness they guarantee your rates won't go up just because of an accident.
smart kid. indeed. are you in good hands? what might seem like a small cough can be a big bad problem for your grandchildren. babies too young to be vaccinated against whooping cough are the most at risk for severe illness. help prevent this! talk to your doctor or pharmacist today about getting vaccinated against whooping cough. most people think a button is just a button. ♪ that a speaker is just a speaker. ♪ or - that the journey can't be the destination. most people haven't driven a lincoln. discover the lincoln approach to craftsmanship at the lincoln summer invitation. right now, get 0% apr on all 2019 lincoln vehicles plus no payments for up to 90 days. only at your lincoln dealer.
today's senior living communities have never been better, with amazing amenities like movie theaters, exercise rooms and swimming pools, public cafes, bars and bistros even pet care services. and there's never been an easier way to get great advice. a place for mom is a free service that pairs you with a local advisor to help you sort through your options and find a perfect place. a place for mom. you know your family we know senior living. together we'll make the right choice.
campaign trail are pushing for a higher minimum wage, but one seattle restaurant chain says higher minimum wage in the city contributed to its bankruptcy. dan springer has the latest from seattle. dan? reporter: with congress close to voting on a measure that would raise the federal minimum wage to $15 an hour, a cautionary tale from seattle, where big employers are currently having to pay at least $16 an hour. restaurants unlimited, which owns 35 restaurants, mostly on the west coast, and seven of them here in seattle, filed for chapter 11 bankruptcy last week, and in its declaration cited high wages as one of the factors. over the last three years, the company's profitability has been significantly impacted by progressive wage laws along the pacific coast. the result was to increase the company's annual wage expenses by an aggregate of $10.6 million. some examples given, portland, san francisco and seattle, where over the last three years, workers' pay has climbed 35%,
41% and 69% respectively. >> it's just the cost of doing business has gone up and it's really hard to adjust your prices in a restaurant at the speed that the market changes. reporter: nearly every democrat running for president in 2020 supports raising the federal minimum wage to $15 an hour and the bill to do that will be voted on the house floor on thursday. the nonpartisan congressional budget office just released its report on more than doubling the federal wage floor. it says 17 million workers would get a pay raise and 1.3 million people would be lifted out of poverty. but on the downside, close to three times that many could lose their jobs as companies get more efficient. an advocate for $15 in seattle says that's way too pessimistic based on what she's seen locally and with restaurants unlimited. >> there's been 111 restaurant openings in seattle so clearly, people see this is a great market for opening a restaurant and i think there was something else going on. reporter: 29 states currently have laws on the books which pay a higher federal minimum wage
than the $7.25 that it's been at since 2009. back to you. >> thanks, dan. kristina, the democrats take stories like these and take a step back when it comes to minimum wage? >> i think they are going to argue in general no, this is an opportunity, we need equality, so many people can't afford anything in this country and therefore we need to raise minimum wage a little bit higher. in the case for seattle, we have seen it jump quite a bit over the last few years in terms of their minimum wage, so i do understand from a business perspective the chain closing. however, from the flipside, as a business owner don't you always want to be well prepared and able to handle these types of situations and not just use that as the one excuse as to why you're folding and going under. so yes, i don't think democrats would stop at all to answer your question. they will further reinforce. americans need this money. >> good point. >> but they should. they should take a second look,
because when the congressional budget office looked at what would happen if you raised the federal minimum wage to $15 nationwide, which by the way right away is a nonstarter because the federal minimum wage should not be the same in alabama, where the cost of living is about half of what it is in san francisco, as it is in san francisco, but nonetheless, what they found is it throw 1,300,000 people out of work and raise the same number out of poverty. let's think of the impact on those two groups. if you lose your job, that is an incredible step back in terms of your life and your moving forward. it is not the same as you know, having some adjustment in your income. i think the outcomes are totally disparate and much harsher on the downside than the benefits that would result from raising the minimum wage. i think, you know, i think it's a terrible idea. i hope it doesn't happen. and the people most impacted are
teens and people like moms. >> small business owners, liz. you cannot forget small business is the backbone of this country. we have 30.2 million small businesses in this country. six million that have employees. guess what, nobody guarantees their wages and they are risking their time and their money and their effort. it is absolutely ridiculous that government shouldn't be involved in this. >> what about looking at different ways instead of just a federal minimum wage, why not let the states first of all handle the wage needs of different standards of living. what about the earned income tax? that's what warren buffett said was probably the best idea so you don't distort the market and disincentivize hiring, the people that need money get some money back from the government. >> i think that's exactly right. it should be state by state. by the way, there's some really awful aspects of this bill that's going to be passed in the house, such as removing the exemption from teens. it's really important for teenagers to be able to work at
whatever level of pay they can earn just to get a foot, just to get experience. if you make it 15 bucks an hour for a kid that really doesn't contribute much, you're not going to hire many teenagers like what's happened in france, you will see youth unemployment go through the roof. let's get to breaking news, because the house just voting to table an impeachment resolution against president trump, effectively killing that measure at least for now. this was the texas democratic congressman al green's resolution, who forced consideration of this measure, and this of course caps off days of tension and division in washington, d.c. coming up, are you a parent of a millenial? a new survey out with some surprising new figures on just how long they expect to get financial help from their parents. we will get you the details after this. award winning interface. award winning design.
award winning engine. the volvo xc90. the most awarded luxury suv of the century. the volvo xc90. when crabe stronger...strong, with new nicorette coated ice mint. layered with flavor... it's the first and only coated nicotine lozenge. for an amazing taste... ...that outlasts your craving. new nicorette ice mint. hey! i live on my own now!
i've got xfinity, because i like to live life in the fast lane. unlike my parents. you rambling about xfinity again? you're so cute when you get excited... anyways... i've got their app right here, i can troubleshoot. i can schedule a time for them to call me back, it's great! you have our number programmed in? ya i don't even know your phone anymore... excuse me?! what? i don't know your phone number. aw well. he doesn't know our phone number! you have our fax number, obviously... today's xfinity service. simple. easy. awesome. i'll pass.
susan: when it comes to bankrolling your kids, when is enough, enough in a cutoff point? a new survey from td ameritrade revealing just around one in five millenials expect to still be financially reliant and dependent on their parents into their 30s. most parents say it's embarrassing for kids to stay on their payroll past the age of 27. but carol, aren't these parents enabling these freeloaders even up to the age of 27? >> yeah. the people who should be embarrassed are the parents for themselves, because they are not being parents. they want to be the best friends, they want to shield their kids from every adversity, they want to baby them and give them no coping skills, give them a trophy for everything. are you surprised that they're not independent or financially independent? this is the obvious outcome. we need to bring back tough love. it still has love but you got to be tough. >> you've got to be tough. i have two millenials. i can tell you that i've had
these conversation over and over. my daughter, bless her heart, she works extremely hard but i'm going to call you out on national tv. my son's got to work a little bit harder. it's one thing to not want to work, but if you're going to school and you're doing the right things, when you stay underneath your parents, you just don't get a chance to go out there and get the experiences you're going to need later in life. once your parents are gone, this entitlement in the country is really what's holding us back in a lot of ways and we talk about unemployment, we talk about minimum wage. how are you going to pay a work force more that's not more skilled? that's really what we're seeing and what it's come down to. it's sad. >> i agree with your points but i have been reporting on this and i went out and interviewed a bunch of students here in new york on that sole reason, the fact they are still living with their parents and some of them aren't paying rent, and many of them cite what we have heard a lot about, the student debt level which is already above $1 trillion. even in this research piece that's coming from td, often td when they do these things, take
it from a grain of salt because they are promoting their own product, they said one in five of the young millenials surveyed still can't afford to save and barely, few are even putting $200 away. >> that's the parents' problem for not teaching them roi. >> or let's go back to education again, financial literacy. >> financial literacy should be in school but the same thing with the parents. it falls, if you are a parent, you can't abdicate that responsibility. >> i want to lob in one contrary opinion here. i do think that there was a cadre of millenials who came out of school during the financial crisis and never got the sort of starter job that they expected. a lot of college graduates, if you remember, started off earning minimum wage. i just feel like there is some group that has student debt that never sort of got on the right earnings track and they're just sort of behind the eight ball. i think they will catch up. there's no reason in this booming economy that they won't. but i sort of understand that there is a segment of that age
group that's struggling. >> yeah, that's right. one in five, is that really that much more than other generations? just putting it out there. we got to go. florida officials are trying to find a new way to stop the homeless from sleeping in their parks. they are playing one song on repeat. would it keep you away? it might. we will play it for after this. ♪ all right brad, once again i have revolutionized the songwriting process. oh, here we go. i know i can't play an instrument, but this... this is my forte. obviously, for auto insurance, we've got the wheel route. obviously. retirement, we're going with a long-term play. makes sense. pet insurance, wait, let me guess... flea flicker. yes! how'd you know? studying my playbook? .. iabetes, i'm more likely to have a fatal heart attack or stroke.
lower a1c helps, but type 2 diabetes still increases my risk of a fatal cardiovascular event. because type 2 diabetes is more than a1c. wow-these are great answers! and that's why there's jardiance- the first type 2 diabetes pill that offers a lifesaving cardiovascular benefit for adults who also have known heart disease. because jardiance can reduce my risk of dying from a cardiovascular event. and it lowers my a1c, with diet and exercise. and-it's the #1 prescribed pill in its class. jardiance can cause serious side effects including dehydration, genital yeast or urinary tract infections, and sudden kidney problems. ketoacidosis is a serious side effect that may be fatal. a rare, but life-threatening bacterial infection in the skin of the perineum could occur. stop taking jardiance and call your doctor right away if you have symptoms of this bacterial infection, ketoacidosis, or an allergic reaction. do not take jardiance if you are on dialysis or have severe kidney problems. taking jardiance with a sulfonylurea or insulin may cause low blood sugar. so, now what do you think? while my a1c is important,
some only call when they have something to sell. fisher calls regularly so you stay informed. and while some advisors are happy to earn commissions whether you do well or not. fisher investments fees are structured so we do better when you do better. maybe that's why most of our clients come from other money managers. fisher investments. clearly better money management. [♪] >> i'm going to stay silent. west palm beach officials are hoping playing that song, especially if you have kids. if you plan on repeat, it will
drive homeless people away from their park if you have ever heard the song more than once. if you listen to it again and again, you know how irritating it can be. do you think that will push people away? >> i probably danced to this song more in the last year than i have any song because it makes zia stop crying. i don't think it will push the homeless people away. it's a relaxing song. my daughter stops crying when i hear it. >> isn't there something about cruel and unusual punishment? >> i think we built this city on rock 'n roll is worse. if you are going to do it, you
might as well play it out. liz: the president moments ago said he's winning his fight with the four freshmen progressives. the president at this hour flying to his make america great again rally in greenville, north carolina. the president in just a few hours expected to say it's about the democrat hard left and the quote horrible things they say about america and how their bad policies will ruin the country. it's healthcare as they continue to dodge how to pay for their plans. president trump meeting with survivors of