and next year 15 percent. i love canada. >> you agree? >> absolutely. >> fox news alert just in. >> charles and ben agree. the magic of the season grips all american. >> david with forbes on fox is next. cpork filled earmarks out and democrats and republicans are punting on cutting spending both parties are trying to put in the special projects. 245 special treats all adding up to 9 and half billion. >> thanks for joining us. we'll go in focus with rich and victoria and rick and elizabeth and dennis neal and what do you think about the special projects? >> you got to get rid of them

entirely. the problem here is a lot of money, less this year than last year. banning them, saying that didn't work. we are talking about nine billion dollars and everyone is guilty. looking through the projects. even the good congress people are stuffing in their projects. they are dirty politics and it is it a lot of money. >> mike, you couldn't be against getting rid of the special projects. >> i am because they don't solve the problem. which is too much spending. that is set before a single earmark is appropriated. it will not help the economy. the stimulus plan didn't have an earmark from congress and yet money was sent for turtles and tennis courts it is real money. >> and also tom cobern, a

senator said they are a gate way drugs to spending addition and bigger appropriations bills. the government has doubled during the time. this country existed for 200 years without earmarks and they are not in the powers of the constitution and jefferson said no to earmarks. >> these are taxpayers paying for politicians to get reelected, right. >> that's what it is. the question whether banning them is going to work. bringing home the bacon is one of the points of politics. so it will not change the habits. how much spending is going on. $32 out of $3500. and that is three and half trillion dollar budget. this will not fix the problem

but will make us feel better. it is a start, isn't it? >> yeah, i think it is it a start. dennis is right. it is not big but the optics are good and what demoralizes the american people is the government is becoming increasingly sneaky and doing things in a less transparent way. the real issue is oz is right. spending and growth. we could afford our budget if we had growth up. bottom line, should we be banning the earmarks. it is never going it happen. congress could legislate a ban on earmarks and then they will walk over to the executive branch where they will hit up the agencies to take from

their budgets to give the politicians what they need to take home the pork. reagan veted 122 earmarkings. they make the country look like uzbekestan. and we don't want our country looking like that. >> and mike. u-becky stan. >> whatever it is called we don't like it. >> you ban them in congress you are giving president obama more power on where this money is spent. is that what you want to do? i don't mind him cutting the expenses. and to his credit he talked when he came in office. he wanted to get ear marks down to the 2004 levels.

he has his head in the right place but how as a policy do we make it happen. i say we form a po bucket and they can only have two million and have it it. it is a better fix than outright ban on earmarks. they want line item veto. and the stuff that the president picks out that he doesn't like they need a transparent vote. they say no. we want it spent. it is all secret. high can pick them out and cross them out and say that is too much money.

we need to impose fiscal discipline on them. we have to keep our eyes on the prize. we have to cut the budget and ignite growth and get the bance back. it isa a embarrassment. >> rick what about line item veto. giving the power to the president. >> i can't believe i am going to say it. but oz is right. >> the president wouldn't do that. look at senator ben nelson getting money to cover medicare expenses covered. this president wouldn't do that. >> rich, what do you think? >> i hope he wouldn't do that. but the proof is in the pudding and we need a balanced budget amendment and get the

percentage of federal pending down below 20 percent and clinton and george bush in the first term. >> victoria, what we have to do to aim for the kind of government before president obama which was big as it was. line item veto, fundmental question. why is the national budget going to piddly projects. they are locall initiatives that should be getting local funding. >> she got the first and last word. >> and one of the oldest airlines thanking big labor for going bankism -- bankrupt. >> states are hiking the minimum wage. but eliminating the men mum

wage maximize pay? since i was a kid. [ man #2 ] i always wondered how did an airplane get in the air. at ge aviation, we build jet engines. we lift people up off the ground to thousand feet. thesengines are built by hand with very precise assembly techniques. [ man #3 ] it's gonna fly people around the world. safely and better than it's ever done before. it would be a real treat to hear this monsterire up. [ woman ] i think a lot of people, when they look at a jet engine, they see a big hunk of metal. but when i look at it, i see seth, mark, tom, and people like that who work on engines every day. [ man #4 ] i would love to see this thing fly. it's a dream, honestly. there it is. awesome. that's so cool! yeah, that was awesome! [ cheering ] i wanna see that again. ♪

fox news alert. live from america's news headquarters. we are awaiting a major announcement from presidential candidate herman cain. hehas taken a hit amid allegations of sexual harassment and a 13 year long affair. we'll bring you develop ams as they happen. and a congressional committee investigating the half billion dollar loan to solyndra is considering suing the white house for more documents. they have clashed over acess to paper witnesses. earlier this month the committee subpoened them. i am patti ann brownn.

and right now to forbes on fox. taking the minimum to the max. san francisco just became the first place in the country to mike the minimum page over $10. and eight more states are getting ready to hike theirs as well. kim, you say eliminate the minimum wage will help wages. >> no disrespect to teddy roosevelt who started the minimum wage so many years ago. but i believe it would increase wages in the long run. i talking to former chairman who is ceo of a company. he said new starts are down 23 percent because it is too expensive to start or operate a business here in the united states. and so let's say you allow

companies to hire people for what they can afford and help them to remain profitable. they are going to hire more and pay more. >> interesting, and so rick, eliminating might help hike wages in the long run. >> we are getting to a point where small children are going to stop brushing their teeth and cleanning their roomm because it is it bad for job growth and wages. i tell you what, unskilled workers in this country will not suffer a wage decrease. but they will have more money in the pocket to spend and become customers. >> small employers are saying if my minimum wage goes up i will not hire more people because i can't afford them. >> in my home state of the north dakota, there is an oil boom and in a town in

williston, they are paying 23 dollars an hour. there is economic growth. you have to concentrate. the wage situation will take care of itself . we need economic growth policy. >> morgan, do we need it or not. >> i have to remind everyone that minimum wage is put in place to squelch web shop. we should increase the minimum wage . so much is inconclusive. so many different reports say so many different things. poverty rate is up and housing income is down sevenpercent and cost of the living has risen. we talked about this last week on the show. we do need to raise the minimum wage. and the it puts more money in

the hands of workers. >> and you have an antidote of your own, go ahead. >> san francisco, which you mentioned in the top is a unique place, and i know several small business owners in the city. the city is booming. start ups are popping up on a daily basis downtown. rents are high and hard to get a reservation on tuesday night. you talk to restaurant owners and sal owners. they have good business but hard for them to make the profit. i have a friend who will not expand her salon because of high costs not only high minimum page in san francisco, but health care regulations that add to her costs and that means jobs are not created. workers are getting higher wages here and facing nine percent unemployment. >> it is all but guaranteed.

>> highest rate nation. among certain businesses that are on the brink when you raise their base costs for labor and some of them will lay off people even though we mentioned health workers. it hurts the people we need to know most. and there are fewer jobs and someone talked to lori and said we lost seven percent of the wages. they are going down. and minimum wage is going up. is it helping. no, not at all. >> people that are hurt is young people. and women. >> why are you for raising the minimum wage. >> we are talking about minimum wage. but economic growth. talk about reforming tax rates

and obama care and then sit down and look at minimum wage. >> it is crigs mas season . have a heart people. >> kim, people say it is heartless to want to cut the minimum wage. >> only one.eight million of which. 1.eight million out of 73 people making a hourly wage make minimum. >> they don't stay on it for a year or two.

>> guys, let me in here. rick just said let's have a heart. i am sick and tired of liberal to decide we don't have a heart. we have a heart and not raise and put people out of work. >> yes, exactly. and rich, isn't the biggest heart. better to have a job than not at all. >> yeah, the people with the biggest heart are the employers who are putting their time. they don't have to hire. many the administration would like to force them. they'll not hire as many people. they will send workers on a

business trip. why is someone here saying it is good for taxpayers .

so why are so many saying this is good news.

>> another kick in the fanny from fanny and freddie. bail out mortgage company selling out more than a million in a conference in chicago. they were given 185 billion taxpayer dollars. morgan how can you say this is a good thing? >> i think it is a good thing.

we are talking about executive bonus,, i would be made. but the conference is concerned. whether you like fanny or freddie or not. between them and the other government backed lenders make up 96 percent of the entire industry . between foreclosure and loan modictions, they need to be meet with the private industry. >> mike, spend money to make it my fear is that it will be successful and drum up more business for them. they have tripled in sides . it is terrible for them . >> i think they should be broken up. but freddie is saying they conducted two hundred meetings over two days. i hope those were to talk to

bankers about how to break themselves up. cutting expenses have at it >> i am not seeing it yet. >> victoria, is this a good or bad thing this meeting? >> they have to go to conferences. send your guys to a conference, but do they have to sponsor. is their visibility not high enough. they should not be spending money conferencing, go and do not sponsor them. rich, what do you think? >> i would like to point out two years ago president obama was bashing private banks for holding conference and that nearly killed city of las vegas tourism. fanny may and freddie mac should be broken occupy a they could have various conferences in holiday inns. >> morgan why would they sponsor it?

>> i don't agree with the sponsorship . held a 74,000 private dinner. that is a lot. it is. and the rest of the they really are the thelma and lieiz. and why did j.p. morgan and citigroup pay for the conference? they were attending the conference. have them be stuck with the bill. >> you think we are stuck with these institutions? >> no, as long as president obama is in charge we will be. but i think they will be less smaller. >> want to pay for holiday bargains in the store? buy their bargain stocks and the gifts that keep on coming next . t.

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