Companies face an earnings recession, an economic recession followed, mike and susan are watching this economy. Mike, are we in danger . I think we are. Looking at the last jobs report it was terrible with a record low number of people participating in the labor market, that that is a bad sign. And the first 2 quarters of this year, i am looking for earnings of the s p this does not bode well. Mike might be right. We came back after this bad First Quarter uk the same might happen here . It could, i am not really negative saying well go to a fullfledged recession. That defined in two quarters of negative returns. But we do see an adjustment in the market of 10 to 20 that is not necessarily a bad thing but what i see is more troublesome than Earnings Report is there is a sort of perfect Storm Brewing you mentioned jobs, Small Businesses are not hiring, Credit Card Debt is down. That is just you know people are not out there spending, we have no wage growth. David i think more important is that Small Businesses are not growing, starting for first place because the cost of starting a business is so high now with all of the regulations and taxes. That is killing this is the worst recovery we had since world war ii, a big seen has been Small Businesses, and new businesses, there is no capital going into it. David Small Businesses, you cannot emphasis it enough, the places where new employees find the most opportunity you grow, maybe you start with a small salary, but you grow your business grows. Looking at s p 500 the big companies, their Profit Margins have gone from 6 to 9 percent since 2009. You are a big company it is a little bit easier to get scale. But when you are the dry cleaners at the end of the road, and you have 5 employees. You get squeezed every time you turn around. David but the market slugging it off why . A lot of rhetoric about Small Business, you use the term recovery, i am sorry i do not call this a recovery, Small Businesses do not feel this is a recovery april 5 3 years. David you are not answers specifically why the stock markets shrugging the bad news off. I think were totally desensitized to it. I would say it is the low Interest Rates, what else are people going to do with their money. Look at stock prices relative to earnings a p e ratio of 17, that is very high for s p 500 that causes kind of a bubble in stocks. David if you have an earnings recession, less money in than going to out, will that show up on a corporate ledger, dont i have that to book losses . Will that affect the stocks . It may affect them to a certain degree. The companies are setting on a sitting on a bundle of cash. We see corporations talking about buybacks and dividends. David doesnt is team like a waste of money. That benefit the market. And the executive. It is good for investors and a good return to capital but it is not sustainable unless have you top line growth, and selling more goods and services it is not sustain an. The earnings will hurt Small Businesses too Small Businesses have a symbiotic relationship with a lot of corporations, if they are not showing earnings, Small Businesses are not getting a piece of that pie either. Thank you. David paul said that businesses of all sizes are facing he is the crowy ceo ceo of ben bennic ans how do you stan up to the headwinds . I cant control the wind but i can adjust my sail, we have learned despite the administration and mandates. It would be great we were providing jobs for people out there. Contributing to the max and contributing to the our case. Training the next generation of restaurateurs. How much more could you be doing were not for some headwinds. We would be building more restaurants, and providing more jobs not just me but the restaurant industry, as well as franchise side. We have premier brand in casual dining stake and steal and ale, and bennigans. We provide the Great Service food and atmosphere, but here struggling daytoday to to be compliant. Which hurt the most . It is the cummulative effect. Looking at it, you were talking about smaller entrepreneurial businesses like the cleaners, the very Small Business person, every one of my franchisees is a business person, their margin continues to shrink because of the compliance issues, and mandates that come from this administration you mentioned some of them, you know it is amazing we talk about the minimum wage debate. And, of course, you know the its interesting this were addressing some of the symptoms. At least the administration but not dealing with the issues. If it is to address poverty 6 of the people in poverty do not have jobs, so raising the minimum wage is not going to help. And in terms of what is it going to do . When i was first starting out in this business and washing dishes i worked for minimum wage. I think we all did that in restaurants. We all grew up in some kind of a restaurant, where we were busboys or dishwashers or servers or bartenders and worked for minimum wage that was the apprentice ship, they taught us skills whether we grew into that industry and where is that apprentice ship today. You just mentioned is dis disguarded when you talk about people who talk about minimum wage. I remember learning skill sets, i use to this day. Right. And we want to do, by you know my wife and i buying this company, were going to fight these headwinds and navigate around them and deal with them as best we can as a industry, and as the franchising piece. But i have to tell you the other piece of that, we will do our best to contribute to learning and training of next generation of restaurateurs. And people like me who go outside of the Restaurant Business to find a job paul, we wish yous best, bennigans ceo. Thank you. To hear investor tell it there is one good thing about a bad earns seen, Federal Reserve may think twice about hiking rates and keep them low for longer. Are they ever getting off of the fed addiction. We talk about how bad it ise can to be have 0 Interest Rates for as ron as we had them. A lot of people on wall street do not know how to deal with it. They will cry. Politicians liz also will not know how to deal with low Interest Rates they have been able to spend and borrow like crazy because the Interest Rates are so low there is no penalty for borrowing and spending, they also are benefiting while were suffering. Right no surprise that Federal ReserveBalance Sheet as it doubled so did Government Spending since 2008. David coincidence . I know we were looking back. Talking about the fed addiction and stock market adig addiction to the fed starting back in 2010. Weve been talking about this for 5 years. A lot of people in the market and the government will not know what it means to have a Interest Rate hike. David i am going to show you something that may make you mad. Ben bernankes book, the courage to act. Courage . Does that word come to mind when you think of what ben bernanke did. The cowardice do not let companies fail. That said he does not believe in capitalism. Liz, i think of courage in Federal Reserve, i think of paul volcker, my job is to keep the currency stable, even if that leads to a recession. We had a two year recession. True. That is courage. And in middle what volcker did. In middle of a deep recession in mid elf 80s citigroup experienced first of 3 collapses. But bernanke was saying raising Interest Rates like taking a elephant gun to a mosquito. I am not sure he picked this title, this is an inept title. I understand their psychology, but, were dealing with now is we tried everything. We tried triples of fed balance sleet attacks hikes and Government Spending what about tax cuts, we have yet to do that. Simon and liz. One time all 3 of us were at wall street journal. I am still there. Thank you very much. So is the white house about to give thetic smek the economy some juice by squeezing the middle class some more. But first Grover Norquest is revved up, and he is here, that is next. The pursuit of healthier. It begins from the second were born. After all, healthier doesnt happen all by itself. It needs to be earned. Every day. Using wellness to keep away illness. And believing that a single life can be made better by millions of others. Healthier takes somebody who can power modern health care. By connecting every single part of it. For as the world keeps on searching for healthier. Were here to make healthier happen. Optum. Healthier is here. New york state is reinventing how we do business by leading the way on tax cuts. We cut the rates on personal income taxes. We enacted the lowest Corporate Tax rate since 1968. We eliminated the income tax on manufacturers altogether. With startupny, qualified businesses that start, expand or relocate to new york state pay no taxes for 10 years. All to grow our economy and create jobs. See how new york can give your business the opportunity to grow at ny. Gov business david if the irs ever visited tea party would never have been elected. Grover norquest a charge make the case. A wonderful study putting together it looked at where they had tea party rallies and where they planned to have them but they were rained out. We have a rally where people are getting together, what affect that had. They looked forward and in 2010 that increased the number of republican votes between 3. 5 and 6 million voters, then when it happened you had lois lerner and irs go out and although groups that might have started up state groups and raise a few thousand get a office gone from a bunch of friends throwing 20 bucks in a hat for a rally they never developed in to state wide organizations as the Taxpayer Movement did in 1978, and 79, and 80. David leading up to the election of ronald reagan. We should remind folks reelect of president obama was not a jfk nixon thing where is was so close a little bit of fraud probably moved that election, it was 4. 2 million votes that decided the election that is a huge number of votes that obama won with that puts oh, us in on you onus to prove on you which was a massive consequence what lois lerner did to the irs. From previous, they jumped up 3 to 6 million for republicans in 12 they went up less than a million, democrats down about 3 million, that difference between the two was less than what if it continued the growth. Of republican turn out from what happened with the tea party if that had continued going, you had people hauled up for a Congressional Committee and explaining they have been asked what they prayed about they were threatened, donors were threats ended. Obama as a grassroots activist in chicago knew the danger of the tea party movement, he pushed it down the stairs. David he saw ha happened in 2010 it led to changing in congress. He stopped it. David we have to move it. We know about lois lerners involvement. And allegations and what she suspected of having done. We dont know perhaps your book as investigated this, whether there was any can particular with the whether there was any contact with the white house and what lois lerner was doing did you investigate that. We did it was in public, president said things publicly, and senator there are probably emails she destroyed by we see public letter, and statements, she gave a speech on my birthday on the university saying they are all screaming at me to fix this, i cant fix it legally, but they all want me to do something about this tea party movement. She said they were telling her what to do, we saw president talk about to the state of the union. David he just said that it of your birthday. That is why i remember it. David i am interested in how the irs, i dont know many people that like what it does or has done. But, in what way is this an issue in 2016, we saw rand paul focus on it yesterday, to a large extent when he announced. Will getting rid of the irss Campaign Platform for one of the republicans . The irs is not answering 60 of their phone calls this is the first year that mess of obamacare, and mess of ire Internal Revenue service get put together. They put that until the day after the president got elected and they got mushed into 2015. Did not quite work to save the house and senate. So this is the year of the mess with irs and overpaying people with subsidies trying to pull it back, it will be messier than usual, and hiding and destroying emails with Hillary Clinton doing it, with state department doing it. David everyone is doing it. The irs. David the russians will know what happened they hacked into the white house email system, they have it all for us. They are pushing ni quit, but i have to ask who is in best position to challenge the irs . Which republican potential . A number of them, yesterday rand paul, led with this issue. He is going to run on it. David thank you very much grover norquist, en the irs before it the book, end the irs before it ends us. David coal gone cold, coal stocks making a huge hit under president obamas watch, but something that president just said should make all energy visitor watch out. And 10 trillion later do you feel better . Later on a taxpayer funded spending push that could push middle class off of a cliff. David are you feeling under the weather, nose starts to run. President obama said it could be because of Climate Change if we can make sure that our respond to the environment are reducing those incidents that is something that i think that every parent would wish for. David request Obama Administration already piling on Energy Companies in name of fixing Climate Change. Mercedes fears that president will use scare tactics like that, but joe trippi said a climate crackdown is needed, joe, the president is dealing with subposition. He thinks that it may have given his daughter allergies lets deal with something we know, the abysmal jobs numbers, a lot of jobs lost were in energy area because of the lowering of oil prices and obama wants to hit carbon producers more inspite of this . We know that people are getting hurt by this. Well we also know that fossil fuel powered plants are increasing asthma attacks. There was a plant in massachusets when governor romney was governor, that he wanted to put controls on because it was yeah. It was linked you would get more colds if you done have the heat, that is for sure. Mercedes not just democrats mayor bloomberg from new york, also believing in this he gave 30 million to sierra club, with both democrats and republicans on the attack, can coal survive . I think it will be tough for the coal industry, were seeing right now is president s approach in trying to basically extinct the coal industry, he is no friend of coal. The mere fact that coal investor invested over 120 billion in Clean Coal Technology in Carbon Capture technology, and various others has been something that coal industry is trying to do keep that graphic up on the screen. Joe we are looking at coal stocks under president obama. Walter energy, cash coal down 93 . It goes on. Even if i am to give you credit, i am not willing to, buhypothetically. If i said okay coal leads to allergies and et cetera, dont you have to take the blame for the demise of the coal industry . And all those jobs that are lost because of that demise . I dont think that anyone should take the blame for it. David wait a minute, somebody the regulations that have been imposed by the ape under president obama by the openna epa under president obama. That led to loss of thousands of jobs. There my have been lost jobs, but what about lives of people that are affected, children affected about by asthma attacks, you have to okay, you are willing to take the blame for loss of those jobs then . Yeah, coal industry is not responsible for them, come on. Hold on, epa is responsible for pulling plug specifically, who stock are down over 90 come on even if you say to credit of children who are living more healthy lives it is a discredie to people without jobs in west virginia. If people want to vist in coal they are free to do that, they will lose money. They are losing money because the epa is trying to kill coal industry mercedes. We need to remember that what is happening here circumstance these regulations are basically impacting, low income families, and seniors that have to pay higher electricity prices, that is a big situation that were dealing with, by attacking coal industry and going after them at the end it impacts the low income family. They should payless and get sick. Oh, come on, joe. David joe trippi thank you. Mercedes. Thank you. David middle class is getting squeezed but whyure wall street and washington benefiting, what is worse . Inheriting 5,000 dolls or being nicknamed doll boy because of it . One man cries all the way to the bank on tonights strange inheritance, you dont want to miss it, right here on fbn. Looking below the surface, researching a hunch. And making a decision you are type e. Time for a change of menu. Research and invest from any website. With e trades browser trading. E trade. Opportunity is everywhere. I am totally blind. And sometimes i struggle to sleep at night, and stay awake during the day. This is called non24. Learn more by calling 8448242424. Or visit your24info. Com. People ship all kinds of things. But what if that thing is a few hundred thousand doses of flu vaccine. That need to be kept at 41 degrees. While being shipped to a country where its 90 degrees. In the shade. Sound hard . Yeah. Does that mean peop