Hi, everyone, happy new year. Im diane macedo joining you live from fox business headquarters in new york. Were following the breaking news in washington. Were waiting for the house of representatives to vote on a fiscal cliff deal that the Senate Passed early this morning. They have been in a Conference Meeting a little less than an hour. Speaker boehner, majority leader eric cantor walking into that meeting. Still waiting to hear how it is going. Even before the meeting was called, cantor and other Top Republicans were saying they wont support the bill. The fate here is really uncertain. Rich edson is live on capitol hill keeping track of this for us. Rich, is there any word what specifically theyre discussing in this meeting and whether or not theyre making any progress . Well, diane, the point here is whether or not to amend this bill, to change this bill or bring this bill, the proposal that passed the senate last evening up to the house floor to a vote. This is a decision that House Republicans will have to make fairly soon here. Theyre getting pressure from a number of different folks, especially democrats who say, basically pressure them to hold a vote on it. We dont believe that compromise is a dirty word and unfortunately among House Republicans that seems to be a growing sentiment. That even a bill that was put together by republicans and democrats in the United States senate, 89 votes strong, is a bill that somehow the House Republicans wont even allow us to have upordown vote on. There is sentiment among somm republicans if they change this proposal, amend it and send it back to the senate they understand theyre basically killing this deal. Our colleague fox newss mike emanuel, reported from a Senate Democratic leadership, basically there is no time to pingpong proposals say senate democrats. Speaker was appraised throughout the negotiations and theyre basically saying if they change this bill, republicans will be solely responsible for the largest tax hike in american history. So right now there are still plenty of republicans who have major issues with this bill. They want significant spending cuts. It is up to republicans now. If they decide to add spending cuts to this proposal and possibly kill this deal . Or do they swallow the pill and take the vote on the house floor that the Senate Passed last night, diane. Rich, for those maybe a little busy recovering from their new years eve celebration, if you can recap for us what the main points in the senates proposal are and what some of the sticking points of the republicans could be . Actually, diane, i just got some breaking news here from a Republican Leadership aide. The speaker presented members a couple options. First would make an amendment to the Senate Proposal. They will count votes on that. If they get a commitment from it 18 republicans on the amendment and bring it up to the floor and send it to the senate. Speaker and leader cautioned members to risk to this. No guaranty the senate will act on this. If they cant get 218 votes tonight, they bring up Senate Passed measure for upordown vote in the house. That right there is the strategy. They will either try to add spending cuts. They will see if they have 218 republican votes to do that, enough to pass the house. If not, they bring up the senate bill and were just hearing now that senator reid just adjourned the senate for the night. Basically, republicans pass something. There is no one in the senate right now to receive that bill. If they pass anything different than what passed the senate last night. That is going on right now. Just breaking here on fox business, fresh from a Republican Leadership aide, the state of play on the fiscal cliff talks. Critical time, really in the next hour or so, whether or not well have this deal. Diane . Rich if they do amend it and send it to the senate. The senate is scheduled to return at noon tomorrow. Thursday at noon there is new congress this whole thing expires. How realistic they get something done and they do amend it and send it to the senate . Exactly the senate would have to take it up tomorrow. One you play with the proposal, once remove smallest piece of this, democrats say republicans are going back on their deal. Senate Minority Leader Mitch Mcconnell and Vice President biden negotiated details. Senators feel if they change it, they are going back on the deal. Republicans in the house said they never signed off on the deal, it was between the senate Minority Leader Mitch Mcconnell and the Vice President and should be able to work its will and change the proposal. Diane, as you pointed out they have to get something done through both houses of congress by january 3rd at noon. If not, all these bills and proposals expire and they have to start voting all over again. That is all we need, back to the drawing board, right . Rich. We hear that even though it is called the fiscal cliff or it is nicknamed the fiscal cliff that the effects wont be felt immediately. Technically were already there but i wonder how long, is there any sense on capitol hill when effect will start being felt by the American Public . Well we got guidance from the irs last evening and theyre basically telling businesses they dont have to begin withholding at current tax rates, which are tax rates we havent seen since the year 2000, clinton era tax rates until february 15th. In that respect you do have a little bit of time to work things out. But on top of that you also got the debt ceiling coming. There are only 200 billion worth of spending room left according to the treasury department. So all of these issues are coming into play here. There are a number of lawmakers who want to get this out of the way. They dont want to be responsible for a major tax hike which already has happened. They want to get this done and move on. There are still republicans who say you have to have spending cuts in this deal. Were not tired of not having enough spending cuts. The deficit is still too much of a problem. A lot of deadlines in play. They dont seem to be speeding things up rich, so far. Were so glad youre there keeping track of this for us. Thanks, diane. That is the latest on the fiscal cliff negotiations in washington. Well be back at top of the hour or break in anytime if we get more news. Fox business will have live coverage tomorrow morning starting at 5 00 a. M. , to focus how markets are reacting to all of this. Im diane macedo. Well return to our regular programing. This has been a fox business special report. We now return you to your regularly scheduled programing. That is a big problem. Gerri irony here is that these ant i wind groups are growing in number. U. S. 100 groups. U. K. , 200. Europe, 500. What is going on . This is part of the global backlash against the wind industry. What is fascinating to me, gerri, here is an industry very successful portraying itself as green. We produce green energy. Green energy, reduce co2 emissions. When you look at countries around the world, australia, new zealand, huge backlash in ontario, were seeing backlash against the large wind projects going in all over the place. Gerri new york, you have an interesting example there. Just last month lawyers filed in new york, lawsuits residents in herkimer county, north of albany, they filed a lawsuit, projects some are within 1,000 feet or so of residences emitting all noise, keeping them up and diminishing property values. They filed suit. It is indicative of the backlash. Gerri this is first time this will be heard in a court of law, the issue about the sound. In the u. S. , yes. Gerri and seems to me, that is pollution. Sure it is. That is the part, exposes the doublestandard, gerri. It just drives me crazy. Where is the sierra club . Where is greenpeace, Natural Resources defense council, socalled environmental groups . Why arent they standing up for the small landowners . They are really getting a raw deal. Wind Energy Companies are making handsome profits but individual landowners are really getting the short end of the stick. Gerri i wouldnt be happy if one of those was set up next to me. Certainly would not. Gerri let me talk about the Energy Strategy council. Right. Gerri theyre suggesting starting a Energy Strategy council. Sure. Gerri that would come up with a policy, souptonuts, every federal agency in the world gets involved. Possible . Well, sure it is possible. I mean, this is the federal government after all. But, what bothers me is, this idea well have quadrennial review, four year plan just like the pentagon. I dont know that is the best model to work on. Gerri i have to ask you about bp today. Sure. Gerri there is big news coming from bp. Federal government says you are disqualified from winning new contracts. Heres bps statement. Suspension that is, due to bps lack of Business Integrity as demonstrated by the companys conduct with regard to the deepwater horizon blowout explosion, oil spill and response. Now the stock did not really get hit today. What is your estimate what this means . I think it will be a temporary move. I think the Obama Administration again is wanting to show, hold up bp that were punishing them. This is an enormous company. It is one of the biggest oil and Gas Producers in the u. S. Gerri doesnt it matter if it loses contracts in the u. S. . They have a lot of contracts already. Those contracts dont go away. This is only on new contracts. It is important but i think it is a temporary deal. Gerri robert bryce, you must come back and sit on set again. Always happy to be here. Gerri still ahead tonight, a mountain of new regulations coming our way next year thanks to congress. Well break it down. And president obama promised to end crony capitalism . How is he doing . Well have a report card. Ard. This is 100,000. Ard. We asked total strangers to watch it for us. Thank you so much. I appreciate it. Ill be right back. They didnt take a dime. How much in fees does your bank take to watch your money . If your bank takes more money than a stranger, you need an ally. Ally bank. Your money needs an ally. Gerri brace yourselves for a tsunami of new regulations on the way. A study finds new regulation still under review by the Obama Administration could cost 106 billion before the end of the year. The biggest culprits . The epa and the energy department. Here to explain the director of regulation policy for the American Action forum. Sam, welcome. I want to start with this 106 billion number we were talking abouin the break. This is a lot of money. So 106 billion. These are rules that are still being written that were supposed to go into place sometime this year. This as the laws not already on the books, this is what is coming. Tell us about that. Correct. For example, there are 25 economically significant regulation at the white house now, that is regulations with a economic imct of 100 million or more. Some are rules under the Affordable Care act, menu labeling rules, rules for vending machines, labeling requirements. So there is aot at the white house now. There is lot of rules that are passed their atutory deadline. Past the deadline for the administration set for them, that have been waiting around for several months. We dont know why. You can assume might be because of the election because the pace were on right now is significantly lower than other reelection years. For example, 2008, 2004, and 2000. Gerri you say more than 80 of the rules have been under review for 90 plus days. Why does it takeso long . Look, i dont even want to see the rules come into place but at end of the day they should have some efficiency about enacting them and writing them down . Sure. Well the Biggest Issue is transparency. You mentioned the 90day threshold. Under executive orders, 90 days is supposed to be the maximum. Roughly 80 of the rules have been there longer than 90 days. This is really unprecedented. Part of the issue as i mentioned is transparency the white house under law is supposed to release two unified agendas of regulations each year and the last onone they issued was for last fall. Even that one was late. We dont have one for 2012 at all. We have no clue really beyond what is at the white house what is scheduled for 13 and 2014. Members of the House Oversight committee. Gerri talk about your transparency problem. That is a big transparency problem. We were showing our viewers over your oulder a list of regs coming. Some include epa boiler rules which will put significant burden with people who own factories and buildings everywhere. This is something people are really worried about. What is potential cost of Something Like that. Sure. Several billions of dollars. That bill has been in and out of theegulatory process. They tried to finalize it last year. It has been kick around the courts. Surprisingly enough it received blowback from even morate senators. For example, two senators from maine are very worried about the boile regulation. It has been at the white house for a while as well. And, it is just a matter of time. They will not hold onto the rules forever. Likely they will be released this winter or setime in the spring. Gerri weve got final rules for labeling requirements under obamacare. Weve got, what i think is the farm dust rule, particulate matter rule. Is that farm dust . Well, epa stressed that rmers dont have to worry about the rule and, if you look compared to the other rules is sort of seems like a drop in the bucket of 69 million. According to epas projections only a few counties that wouldnt be compliant. There are other rules. For example, the cooling water standards rule that would regulate per plants and how they use cooling water during the electric neration process. So the department of energy and epa are really busy, have a lot of rules that have been at the white house longer than the 0 days. Gerri no kidding. You have another interesting number. You say 19,000 employees are devoted to red tape. Tell me about that. Sure. If you lk at the aggregate paperwork compliance burden of all the rules there is roughly 37 million hours. That 37 million hours, take Productive Work year roughly, 2,000 work hours, divide by 37 million. Roughly 19,000 fulltime equivalent employees. In theory those are solely dedicated to red tape compliance. Gerri sam, quickly what type of grade would you give the Obama Administration as transparency. He is supposed to publish two unified agendas. The white house has not published any and given no reason why they havent published any. Were still clueless why thre not obeying the regulatory flexibility act. Gerri no clue but i guess transparency is in the eye of the beholder. Sam, thanks for your time. Thank you for having me. Thank you for having me. Gerri well be right back livin in this crazy world so caught up in the confusion nothin is makin sense for me and u maybe we can find a way theres got to be solutions how to make a brighter day what do we do . Weve got to give a little love have a little hope make this world a little better make it a better world try a little more harder than before gerri president obama promised to end the cozy relationship between special interests and politicians. After four years how rri electric cars remember the dream . Ths the president s dream. Listen to this. We can break our dependence on oil with biofuels and become the first country to have a million electric vehicles on the road by 2015. [applause] gerri kumbaya. A million electric cars on the road by 2015. Save the planet. Save the gas. Wait, somebody forgot to tell consumers. Despite tax credits of up to 7500 to buy the models, just 18,000, just 18,000 were sold in 2011. Boy, at that rate well have a million green cars on the road by, 2067. Or 55 years from now. Incredible. Where d we go wrong . Its easy. Government government involved. The feds are no good at picking what technologies regular americans are going to glom on to. Did the department of energy create amazon. Com so people would save gas driving to the mall . No, they did not. Did the post office invent skype so people could get in touch more inexpensively . No, they did not. Breakthrough products invented by private companies. Lets stick to cars since thats where we started. Model t, 104 years ago the nations first touring vehicle was first produced on assembly line. Henry ford said his car s for the Great Multitude and how 16. 5 milli modelts were eventually sold. 16 1. How about th biggest selling American Made vehicle ever, ford fsies, trucks. Amazing 35 million of those were sold since the trucks were introduced way back in 1948 and it is ranked as the number one selling vehicle in the u. S. For 24 years. And now, you can trick them out just like a sedan with tv screens, hightech sound systems, even back seats. But none of this, none of this required a tax benefit to boost sales. That is the problem. When government starts tinkering, al lining its priorities with the private sector, you getthe chevy volt, fannie mae, freddie mac, all disasters, all costing the taxpayer. For more on this on crony capitalism, im joined by tim carney, senior Political Columnist by the Washington Examiner author of book, obamanomics and how barack obama is bankrupting you and enriching his are corporate friends, wall street lobbyists. This is the perfect guest for this siggment. Thanks for coming in. Appreciate you being here. What can we look forward to in the next four years do you think when it comes to crony citalis barack obama will be probusiness in his own way, which is also progovernment. In other words he will be subsidizing industries he wants to succeed, regulating in a way that protects the biggest businesses in some industries and making sure that people dont make profits in ways that he doesnwant to succeed. You will see a lot more green energy stuff you saw in the stimulus bill and thathe tried to push forward in his Climate Change bill. He will generally see a lot of guys who hire the best lobbyists will get ahead because they will get the sort of Big Government favors that happen when government involves itself more and more in private industry. Gerri you know, i find that nobody, nobody is more relentless in pursuing taxpayer dollars that they have access tohem than the companies, than capitalists. Because they put their entire Business Model around this idea of getting the free money. Yep. Gerri they are relentless in their rsuit. Youve been studying this for a long time. Do you agree . Yes. And so the poblem is in a free market economy when people try to pursue profit, what theyre trying to do is produce something that people actually want to buy. But once government starts to get involved you get Companies LikeGeneral Electric who say, well, the best investment we can makis investing lots of money in lobbyists or ploy a thousand people in the tax division to game. Go, game regulations. Suddenly profit is not a catch to producing something value but it is attached to gaming government, gaming regulations, tax code and handouts. And that sul of sudden where you get liberals think capitalism always is, profit doesnt involve trying to deliver something when you want but gaming the system. Gerri smart stuff, tim. Thanks for coming on. You have got to come back soon. I sure will. Gerri when we come back should entitlement reforms be on the table in washington . The latest on medicare, next. Rich edson is on capitol hill keeping track of all this for us. Rich, i understand the House Republicans came out a little while ago from a meeting they had called. What was the resolution there and we also understand everyone is heading back to the house floor. What are the plans for there . There are two options. That seems to be the north here. A plan a and plan b. The plan a for pub pbs right now is basically to amend this proposal. They have a package of spending cuts that they could attach to this proposal and as democrats would say, kill it. What they will do now is see if they have enough votes, 218 votes among republicans to get the package of spending cuts attached to the bill that passed the senate last night. If they do not have the 218 votes to do that they will take an upordown vote on the Senate Proposal from last night. If it passes then it goes to the president s desk. Now if republicans are successful in attaching these spending cuts to the senatepassed bill, that means it has to go back to the senate. Well Senate Democratic leadership aides say we will not consider that. We have a deal. We struck a deal with senate Minority Leader Mitch Mcconnell, Vice President joe biden. It got overwhelming bipartisan support last evening in the u. S. Senate. Take it or leave it u. S. House. Theyre right now starting to count votes here in the house to see if there are enough votes among republicans to alter this bill with spending cuts, diane. Rich i know we heard from some democrats were saying they want and upordown vote on the senate deal asap there in the house. At any point do they hit a deadline they have to issue the upordown vote or can these discussions go on indefinitely . There is zero asap going on here on capitol hill. That is pretty much the norm for them. That is likely a pretty long night. What happens if republicans decide they dont have the support to amend this bill and they say they have also informed their members that if they vote to change this bill, to add those spending cuts, then they cant guaranty that the senate will take this up. They understand the risks involved here. Lets say that they do decide to hold that upordown vote. It has to likely go through what is called the rules committee. You will likely get some debate. All of this takes hours and so we could expect this to go late into the. Night. Now the deadline on this really noon on january 3rd. That is when congress the 112th congress expires. The 113th comes in and all the business that are passed especially the one from the senate. They expire. You cant make them into law anymore. You would have to start this legislative process up again if you dont get this passed by january 3rd at noon. Rich, i mean looking at how plan b was received, boehners plan b, there were fewer tax increases in that and the same issue with no spending cuts being dealt with and yet he couldnt get enough republican votes to get that through. So how realistic is it that they managed to get enough to pass this senate bill . I know they have democratic support in this case but is it enough . That is the key. The thinking is it might be enough. Nobody is talking specific numbers and that is the problem because they dont know, the conversations havent started yet between democrats and republicans seriously how many members they can bring to get the 218 votes needed to pass this bill. Basically because republicans arent sure if theyre going to offer this amendment, if theyre going to try to change this bill or if theyre simply trying to pass the bill that the Senate Passed last evening. Now democratic leaders, we have spoken to them of the basically we dont know specific numbers yet but there is a general sense among House Democrats that this is the best deal theyre going to get. This is the only deal theyre going to get right now. Massive tax increase already technically hit. This is the best way to try to bring that back. And then for republicans, those who do support this say well deal with spending cuts when the new Congress Gavels in on january 3rd. They would need significant democratic support and a good chunk of republicans to get this thing through tonight. Is there hope some of the republicans will sort of come around on this . Or are the dems and supporters of this bill hoping that desperation kicks in being markets open tomorrow and we still have no deal . Basically. It is being posted for those who want this to pass for republicans. Youre talking about what is now nearly 3. 8, 3. 9 trillion tax cut. Republicans are now looking at a federal budget as we said, and federal tax code where tax rates have gone up on nearly every working american. So by voting for this package you are voting to cut taxes. By not voting for this package youre voting against a tax cut. There are other tax provisions in here that republicans, now that we have had the reset of all the tax rates, should be able to support. That is according to the supporters of this proposal. But still there are major problems from republican as they want the spending cuts as part of this. The fact that an increase in the debt ceiling something the white house had been asking for, a fouryear increase in the debt ceiling was the last white house proposal, the fact that is not a part of this. There is no debt ceiling increase in this that is good for republicans. Then they could have the debt ceiling fight over the next couple months to try to extract more spending cuts. Is there still any attempt to get the debt ceiling included in this . Is anybody talking about that anymore or that definitely kicked down the road. If you add spending cuts, diane that is the problem democrats will have. Add the debt ceiling this and we opened up all this again. Rich edson live from d. C. Great reporting as always. Thanks, diane. That is the latest on the fiscal cliff negotiations in washington. Well be back at the top of the hour and of course we will break in anytime as we get more news for you. Fox business will be live tomorrow morning at 5 00 a. M. Eastern for special coverage as the markets in the u. S. Open and start reacting to all this. Im diane macedo. We return you regular programing. This is has been a fox business special report. We now return you to your regularly scheduled programing. Gerri medicare. The largest expenditure in the federal budget, our countrys debt problems deepening by the day but Many Democrats fail to acknowledge elephant in the room. Our next guest says theres a lot of tough talk and little action on that front. I recently sat down with former republican senator of florida. You dont reform the way we pay out medicare, to be one of the things that breaks the bank and makes us unable to meet our obligations, so we absolutely have to reformat and the legislation i wrote back in 2010 that we passed with bipartisan support signed by the president went o after something everybody is against, and that is fud. Gerri lets get to that in a second, but i want to spend one more second on this idea, democrats from illinois saying on tv he would like to see 400 billion in entitlement cuts. Defee and interest. The ones grown the most are medicare and medicaid. We have to do something to stop the increase in the amount ort will swallow the rest of the budget. Continuing to run these huge gerri it will be the only thing we pay for. And as i pointed out toe us, centers for Medicare Medicaid services found we cant even get the fraud portion of this right. I know this is a topic youre interested in. We spent 102 million trying to find fraud and found 20 million in overpayments. What is wrong with the system here . Well it is the bureaucrats who are implementing what is a good law. What we did was simply follow what the credit card industry does. Many of your viewers had transaction on the credit card where the Credit Card Company called them and said, look, there is fraud alert on your card. Did you really do that transaction . That is computer modeling, predictive technology, looks at your spend habits if theyre in the normal course of your spending. If theyre not, the computer puts up the red flag and they check with you. If they you say no, they dont pay. You look at something working in the private sector. 2 trillion credit card business that pays very little out in fraud, stops fraud before it starts. Lets apply that to medicare. Estimate between medicare and medicaid there is 100 billion a year of health care fraud. And unfortunately the bureaucrats in washington havent implemented it correctly, gave out the contract to two companies who dont have any experience in this area. And we believe in outside group said at the time we could stop up to 20 billion a year in fraud by just implementing this law that was passed in the correct way. Up fortunately it is not being done. Gerri just astonishing to how many ways you can mess this up and yet, and yet, president obama says ive been working very hard at stopping fraut. Heres the president. We went after medical fraud in medicare and medicaid, very aggressively, more aggressively than ever before. And have saved 10 of billions of dollars. 50 billion of waste taken out of the civil. Gerri has the white house done a good job on this. They havent unfortunately. I dont know the president even knows what is happening at cms. The 50 billion number, i dont know where he gets that number from. Gerri you have never seen that number . No. The Government Accounting Office has said that they only stopped 7,000 in overpayments. 7,000 in overpayments after spending 10 of millions of dollars to implement this incorrectly. Where i live here in south florida, we unfortunately are the Health Care Care fraud capital of the country. We have prosecutors doing a good job, locking these people up who have stolen millions, sometimes 10 of millions of dollars. But we dont get the money back the only way well solve this problem is to stop the fraud before it starts. Gerri how do you do that . Senator, how do you do that . If they implement this legislation. So, look, somebody, orders 100 wheelchairs in an hour, the computer will say, that is out of the normal course. The red flag goes up. What has to happen then, which is not happening now, is that when that provider sends in for reimbursement, and normally medicare they get paid very quickly, sometimes within two weeks. Gerri wow. That payment cant be made until the red flag is checked out. That is what the Credit Card Companies do. This isnt rocket science. When the red flag goes up, dont pay until you verify. If they do that, we will save tens of billions of dollars and put more money back into medicare which will make it more solvent. Gerri well, you know, goodness sakes. Youre suggesting we adopt private sector ideas to a Public Sector system . Senator, thanks for coming on tonight. A pleasure to talk to you. Got to come back soon. Appreciate your time. Thanks so much, enjoyed being on. Gerri thank you. Coming up, we go to the l. A. Auto show and well tell you the hottest trend in all things cars. We look ahead to 2013. What could be the next big stress to the Financial System. Why nobody is talking about it, we will next. Dry mouth may start off as an irritant. Itll cause cavities, bad breath. But if youre not drinking it, its going to get dry again. I recommend biotene. All the biotene products like the oral rinse. The sprays have enzymes in them. The whole formulation just works very well. It leaves the mouth feeling fresh. If im happy with the results and my patients are happy with the rests, i dont need to look any farther. Gerri it is called the shadowdo banking system, hedge fund, money market fund, any lender typically not aw st bank and bld by many for the Global Financial crisis. Theyre bigger than ever at 67 trillion in termshe of asses according to an report from the financial stabilityrd board. I asked editorinchief ofnanc american banker about the risks it poses to the total Financial System. Essays on the financial to system, these were pple who were in the business of lendinge money, of investing that are not regulated like a lot of banks so nobody really knows what theyre doing. Th it is sort of a block box. With gerri we have no idea theyre maintaining any kind of standards we expect out of the banks. Banks are highly regulated entities. They can get in trouble as well. They have regulators worth watching closely and a lot of the shadow banks dont. If your your hedge fund were ly regulated. Y be and you have things like money market funds which we saw with the real problem for small investors because the primary reserve fund wt under. It created a panic. And created a panic. Gerri one of the big concerns out there, 67 trillion global and the u. S. Leads the way. How big is that, how big a problem could it be . When you think there lightly regulated and in the United States, the shadow banks have assets of half as much as the banks. They dont live in a world that is separate from banks and other pieces of the economy s if they get into trouble you have counterparty risk. If i owe you money and get in trouble it is your problem as well. It is closely intertwined. We saw this in 1998 with longterm capital management. No one had ever heard of it and this hedge fund got into trouble and it was deemed by wall street and the Federal Reserve to pose a Systemic Risk to the whole Financial System so we never heard of it but had to bail out. Gerri do we need more regulation . That is the first in a lot of people wouldld say . First thing regulators want to do is regulate and they want a lot of complicated regulation. I dont think that is the answer but bringing this stuff out into the sunlight making these shadow banks show what sort of risks are opposed to the system would be a really good start so at least we have a sense of what is going on. Gerri for the regular american t there theres a whole world that is completely closed to them, has nothing to do with them but at the end of the day could make big trouble for regular investors. Give us an example of how this could unwind. As we saw with moneymarket funds which was for momandpop investorbut what you had was something people thought was safe and stable anas it turned out when one e of these funds started to get into ouble there was a risk that the whole industry, 2. 5 trillion industry could suddenly have a huge run on its money, there would be a lot of other Financial Institutions in trble so it could have three knockoff affects. It could have a systemic effect, it could mean your government has to bail amount which year taxpayer money and one oyour investments is in trouble. Gerri i he to get when a taxpayer money. Thank you. Heahadto the l. A. Auto show. Is green still arend . Find out next. This is 100,000. We asked total strangers to watch it for us. Thank you so much. I appreciate it. Ill be right back. They didnt take a dime. How much in fees does your bank take to watch your money . If your bank takes more money than a stranger, you need an ally. Ally bank. Your money needs an ally. Gerri worldstests gerri the worlds hottest cars are taking the stage for the 2012 los angeles auto show. Automakers unvei unveiling near0 new vehicles. Including world first from chrysler, ford, gm, bmw andswag volkswagen. A sneak peak before fridays public debut, Consumer Reports is live in los angeles with the very latest. You here. Such a fun segmentment tell me, first, what trends are you seeing out there . Something that might be new or different that people can expect coming up. Sure. The l. A. Show, you see a lot of electric cars, fuel efficient cars. There are the electric cars, but were seeing a lot of normal cars getting more and more fuel efficient. Everythings more fuel efficient and keeping the function. Gerri you said utility is a big thing. What do you mean by that . Utility, i mean, you know, people think you get a fuel first time car, its a little tiny box that crries two people, and they are cramped in like a smart car, Something Like that, but ford here, they have a seven passenger vehicle over 30 miles per gallon, looking at suvs that can do things, carry things, and still get great fuel economy. Gerri working through the makes and models that you really like here. You want to start with the tesla. Sure. It looks to be an amazing screak. Ww have not purchased one or tested it, but i have driven it, its a ridiculous vehicle. Its so fast, so roomy. Feels like you are driving a ferarri with room for five. Its really more fuel efficient than a prius. Gei didnt tesla have trouble in the past and Consumer Reports having trouble test the cars in the past . Im surprised youre so excited. Well, no, no, its not. People get different electric car makers mixed up. Thats a crime. Theres sker and tesla, totally different companies. Just becau e has problems, doesnt mean the other is going to. They supply technology to toyota for electric vehicles. Its a proven company that has a record, my, on the other hand, just building this one feck, and its really, seems to be riddled with problems. Gerri all right. Talk about the audi a7. I love the audis. Its a wonderful car, drives great, nicely finished inside, and, you know, heres what blew us away, we look at t reliability information, and we have a reliability information from 1. 2 million vehicles saying what went wrong with the cars, and audi is reliable. That floored us. Traditionally they have a lot of issues, but not anymore. They are up there with the japanese. Gerri interesting. What about hyundai velociter. Impressive name. I wonderrhow much time they spent thinking that n up. It has nothing to do with the dinosaur its based on. Its quick, fun little car. Whats intriguing is its a sub compact, a che little fuel first time car, but looks sporty and drives sporty to. It fitses four people well. You can have it do everything sometimes right. Gerri okay. What about the scion . Haha im sixfoot tall. The frs, one of my favorites, again, fun, tossble, back to the basics car. Its a gift to ca enthusiast. Gerri luxury cars up 10 this year, recession, maybe not, speaking to the economy. Jake, thanks for comingn tonight. Great to have you on. Youre welcome. Fun being on. Have a great night. Green cars seem to be all the rage at the car shows every year, but they are not catching on with consumers despite president obamas dream of a million electric vehicles on the road by 2012, and 2011, only only 18,000 units sold, thats a bummer. In tonights top five, the best selling electric cars in the u. S. So far this year, number five, ford focus electric. Now, through august of this year, ford sld fewer than 200 of the vehicles. They didnt reach the lots until may. Four, the mitts bee shy, sales up 400 to a whopping 403 cars. Knee san, number one se l