Gerri hello, everybody. I am gerri willis. It is a war of words over the fiscal cliff in washington. The president blasting republics today for their refusal to take his latest offer, calling it puzzling. Republicans are doubling down on the plan b. He called the veto thrt bizarre and irrational. 500 billion in tax hikes closer to every amerin. There has to be a recognition onhe part of my republican friends that take the deal. But they keep on finding ways to say no. I dont know how much of that just has to do with this. It is very hard for them to say yes to me. Gerri what he stated that . It is incredibly sad and frustrating, thats what that is. The president , through the entire campaign, says wants a balanced aproach. We have increased spending from 2007 to 2012. 1 trillion. Year over year. A trillion dollars. Revenues at record highs. Lets talk for a second about the republican response. Gerri white house is opposition for the backup plan. It is growing more bizarre and irrational by today. Is this the kind of conversation that is going to get something done in washington . Or is it only going to make people angry or . The speaker is never the one who is happy in theeetings with the president. Lots of bendthescenes stuff. What we want to do. Gerri Speaker Boehner said that over and over again. There is a war of words. People are yellingt each other and calling each other nasty names. Meanwhile, one of the big rating agencies that reads this countrys debt, heres what they said today. Failure to avoid the fiscal cliff would exacerbate rather than dinish the uncertainty of the fiscal policy and to the u. S. Into an unavoidable and unnecessary recession. The u. S. Could lose its aaa status. This is from fitchatings. Wait until you see what we are going to have to spend for our debt if we lose the aaa status. Because it will cost us more to float our bonds. What is being done right now . Not to escalate the war of words, but to find some common ground. The houses focused opassing a tax policy. Senate and have them respond. What is now a look at is the sequestration pice. The president refuses to deal with the side and we have to do this. Last summer we were talking about the same issues were the bomb folks were saying that if there is not real spending reductns, if we dont get a plan, the automatic spending cuts kick in. The president is asking to turn those off, that sends a signal as well that we are not serious about reducing spending. This is the absolute worst way to reduce spending. It is the only optionthatwe have. Gerri thank you for coming on the show tonight. Meanwhile, tensions escalate during the fiscal cliff talks and i am joined by jake tapper, chief white house correspdent. The author of the brands making new book, the outpost, and untold story of american valor. Lets talk about the book in a minute, but i have toask you about the thing that everyone is talking about. And that s the very tough question to the president. Here it is. This is not the first issue of gun violence. Where have you been . United states dealing with the worst economic depression since the great deprsion. Two wars, i dont think ve been on vacation. Gerri he got der the pridents skin is that the problem . Or i media generally to easier on the president . Im not going to address that, as i think you know. [laughter] but heres where here is where i was coming from. I covered columbine. I know jim and sarah brady. I was sitting about the fact that this room had been named after jim brady, who was severely wounded in the assassination attempt on president reagan. This is not the first one of these horrific heartbreaking massacres that i have cvered om the white house perspective. Whether youre talking about aurora colorado or quote of the. There have been a number of these. And they are awful. Whether it is law eforcement pushing for a ban on certain types of my automatic rifles. Or in the guncontrol community, like sarah brady, who has been very critical of the president. It seems that this is new for him toe talking about action like this. His policy is to be proactive. He hasnt really done that. So i just thought it was time to ask them how come he hasnt done anything until now. Gerri incher was direct. We are looking at the rhetoric. The democratic party, you know, the Publican Party using the phrase bizarre. It seems like the rhetorics are ratcheting it up a notch. It is tough to tell right now if this is the rhetoric that you hear before a deal was cut or if this is actual animosity. I think it is probably the latter. President obama had a lot of his officials, including treasury secretary geiger and others meeting with some Business Leaders today. Including the chamber of commerce and the National Association of gun control. They feel that it undercuts the whole compromise that they have been working on. Keeping fingers crossed. Gerri i do want to talk to you about your book, the outpost. Just two years in the making, how d you ever find time to write this book . Well, it became something of a mission for me to tell the stories of these troops. As i told you once privately, i was in the hospital with my newborn son, jack. I looked up in the Recovery Room and saw this report about an attack on the outpost. [inaudible] it was a devastating attack. A u. S. Troops were killed that day. I thought perhaps we need some light shine upon them. Gerri blame both sides of the coin. You find fault with bush and obama. Its not like youre telling the tale from one point of view. I try not to. Needing the assets and needing the manpower that they need to do. We see the direct result of that. You also see the result of president obama. Obviously, it sure came a wild to surge more. Then there was this situation that took place in afghastan. But i did try to draw a line between some of these decisions and these privates and sergeants and lieutenants on the ground there. Welcome the book is fascinating. Getting great reviews. Thank you so much for coming on tonight. Really appreciate it. Gerri there is even greater anxiety growing in farm country. Congress hasnt completed work on the farm bill. That expired in september. Here is why it is a problem. If the farm bill is not centered, farmers will be forced to return to oldfashioned system for pricing milk. The translation is higher prices for consumers. It contains basic provisions for setting prices. Guaranteed a minnmum price of producer costs and farmers costs. Armor is on the consumer market, even at a lower pric because they sell more products. In other words, farmers selling their Dairy Products to the government instead of the private market, and of course, prices will skyrocket. Some farmers say that that would send milk prices to 6per gallon. Can you imagine the . Blog is superseded every time a new farm bill is passed. But no new bill goes ack into effect if any extension is passed. How likely is it that the situation will get resolved . Heres what tom vilsack said. There is a very serious risk that we manot get farm bill this year. Imagine Congress Acting quickly on something important for the american people. Well, maybe when pigs fly, or callous, in that case. Coming up after the break, more on the fiscal cliff folly in washington. Lawmakers and the president on their policy to compromise. Is that even possible . And what i think about that choice in 15 minutes the one president obama saying that he is hopeful for a fiscal cliff deal before christmas. The only thing washington thinks they agree on is political posturing. This compromise too far out of reach . With oneness, we have the director of the wall street editorial page and editor of reason. Com. Dam, letstart with you. How likely is it that we get some kind of deal . You said maybe not. I dont think so, gerri. The republicans and the president are really far apart. They have been far apart sice summer of 2011 will cut the deficit superhuman i couldnt agree on anything. That is why we are getting a situation that with the sequester. What is becoming clear to people is that for the republicans, it is in part to the tax increases, but the house, it is the fact that the democrats wont commit on sunday. So they are being asked to make a hard commitment on tax increases that ar real. The one we know exactly how that goes because we have seen a before. Yes, that song and dance has been heard before. But i would argue that if there is a pn in place by december 31, it wont matter. When you look 10 years now, according to the republican plan, there will be x amount of debt. This isnt solving anything. I would question dan to say, hes right that obama wont commit on spending, but the republicans also what about details. If they really believe that spending is the problem, they ought to lay out what they are going to do. What are they talking about . A trillion dollars . I think they are committed to making adjustments to medicare and to medicaid and Social Security. But the democrats have made it clear that Social Security is off the table. They dont want to touch medicaid. Ey are really not going to do much of anything about medicare. They really dont want to reform the entitlement commitments that are being de into the vast. I dont necessarily disagree about that, buu what the republicans are offering is so puny compared to the scope of the problem. If they want to sell themselves out, as a true alternative, one which would have a lot of popular suppt, where they woulactually make the case. We need to radically retrench on government spending. Gerri we took a look at the two plants on the table right now. The impact on the debt, f either of them go into effect, they are virtually the same size. 21 trillion in debt. Let me finh. 21 trillion. Your kids, it is unconscionable. You know, i agree with the pox on both your houses idea. I want to see tax reform. I want to see big changes. Its what he wants he can get more Economic Growth. We need close to4 Economic Growth to begin to address these problems. From day one, the president s proposal to raise taxes on people, it adds up to only 7. 5 of the annual deficit. It is a flyspeck. Gerri dont think it has bee so busy, the n york delegation, saying that it will affect 90 of people in metropolitan areas . If youre not paying a next year, thank the new york delegation. They are the ones leaving it. Gerri big news, g by 40 stake in the compa. Castillo is about 50 billion. The prices of stock have to get up to 69 its down around 24 right now. Im not going to hold my breath on that one. But i think that gm understood that it had to do something. Because its own internal polling and focus groups suggest there was a stigma as public attached a stigma that they had taken this public money, which is very inresting to me. It may have helped rocco, when michigan and ohio, but it didnt help gm. Gm is giving the stock at a bargain. The ipo is 10 more per share. The one thats just terrible. I think that the government should get out of this quickly as possible. Obviously you want to do it in an orderly fashion. The were never going to happen again. Who president of the government actually taking over, taking a controlling share, calling shots, who is going to be the ceo and stuff like that. The sooner we get past that, the better. Gerri it has to be a new day. Dan and neck, thank you both for comingn today. Great conversation. If you are fired up about this, drop me an email at gerri foxbussiness. Com. Coming up on the willis report, do you want another four years . Gerri breaks it down next. And the many deceptions of obamacare. If you like your doctor, you will be able to keep your doctor. It turns out that this is not the only lie when it comes to the president S Health Care law. Our panel of experts weighin. Also, this photo sring service causing major mayhem in the social networking world. We will tell you why you might want to think twice before you post your next picture. We are on the case on the lewis gerri time ma the one drumroll, please. Time magazine has named person of the year barack obama. Its not so surprising. Its the president. The editors commend the president for building what they call a coalition that spells the definition of american politics. Is that i think we meant i thought that was a good thing . Craziness, right . And there are things that Time Magazine didnt even mention their stories. The most astonishing one in roanoke, virginia. It is about how the government is part of all that is good. F you have a businessyo can build out. Somebody else made that happen. Gerri no, it wasnt just a onetime plan. The president had shown just how out of touch he was with the private sector when he had skyhigh unemployment and Economic Growth that was anemic. He said this. The private sector is doing fine. Gerri okay, not only does the president not seem to have respect for the private sector and fails to grasp economic essentials, but he also h a novel approach to international relations. Striking special deals and hushed conversation with the russian presiden the president said this. After my election i will helpful flex ability. Gerri a president that doesnt understand the private sector. The backbone of this country, and trying to get his arms around the nuances of diplomatic relations. Do you want to know my recommendation for the person of your . It is this young pakistani teenager. She is 15 years old. She stood up for her rigts to obtain an education and was, as a result, brtally attacked by the taliban on a bus on the way home in pakistan. She was shot in th head. She was shot for being female and wanting to get an education. It didnt square with islamic extremists. She was recovering in england. She continues to assert basic rights for women. The editors at time mazine didnt see that as a firstplace finish. But heres our question tonight. Is president obama deserve to be the person of the year in timemagazine . Log into gerriwillis. Com, vote on the righthand side of the screen and i will show you the results at the end of tonights show. When we come back, the fiscal cliff capturing theheadlines. In many forgetting that obamacare will start rolling out next year. Many are dreaming of a White Christmas and they are dreaming of a profitable one. In a shocking supporting Holiday Season still to come. You know how painful heartburn can be. For fast, long lasting relief, use doctor recommended gaviscon®. Only gaviscon® forms a protective barrier that helps block stomach acid from splashing up relieving the pain quickly. Try fast, lonlasting gaviscon®. Relieving the pain quickly. Progressive direct and other Car Insurance companies . Yes. But youre progressive, and theyre them. Yes. But theyre here. Yes. Are you. . There . Yes. No. Are you them . Im me. But those rates are for. Them. So them are here. Yes you want to run through it again . No, im good. You got it . Yes. Rates for us and them now thats progressive. Call or click today. Gerri breaking newsonight. Impossible combination between Intercontinental Exchange in the and the nyse. This isnt a done deal, but it will definitely be announced on the New York Stock Exchange is going to enter into a definitive merger talk. Or is the thing, they got e deal, they need regulatory approval. As you recall, when the New York Stock Exchange was trying to team up, regulators put a clamp on that. This is a little different. Its not transcontinental. It is united statesbased. The ice is an electric exchange. It is not quite the same. It doesnt do the same sort of stuff that the New York Stock Exchange does, which trade enlists equities. A lot of other derivatives and things of that nature. It looks like this deal could be passed on the tion that or get regulatory approval. On the notion that it doesnt necessarily form a monopoly. In the morning you will see a press release that says that they plan to merge. It will be a fairly lengthy process from what we understand in terms of getting the deal done. How much of this is worth . I cannot tell you. Honestly, the New York Stock Exchange would be buying the Intercontinental Exchange. You know, interesting enough, as the other deal, which i think he believes can be an enhancement. We should also point out, and here is the strange bedfellows rt of thing. Last year on the New York Stock Exchange was in the middle of its merger negotiations, the nasdaq teamed up on a potentially hostile bid for the New York Stock Exchange. Select you can see, all of these guys are enemies, but then they become friends if they could smell a business deal. This is a pretty big story. It is breaking down. I dontexactly know the terms and conditions. I dont know how much it would cost. We are talking clearly in the billions. It is somewhat transformative or the New York Stock Exchange. Not as transformative as the other one. The ice is its basically a commodities oriented exchange. It is a big sort of competitor it does add a wrinkle into the exchanges. Exchanges are lik utilities. They were partnerships. Owned by the guys that traded on the floor of the New York Stock Exchange. They were known as the holders. All these exchanges are shares of the New York Stock Exchange they are trying to do deals and create synergies. You agree synergies where you can cross market sales. This is more than just in the weeds wall street. These are all public cmpanies. It would be great to show a stock chart. Shares are up fairly significantly right now. Gerri great call on this story. I love your analogy. Good stuff. Thank you, charlie, tnk you for coming on tonight. We appreciate it. Well, obamacare regulations are starting to hit the fan. And obamas signature law s riddled a slew of deadlines. Former Health Care Advisor to mitt romney, doctor scott gottlieb. You have worked with mitt romney, is that correct . Yes. Gerri i want to start with sothing that came out from the American Action form. That was a study that found the Obama Admnistration