updated 9/16/2013 1:25:34 PM ET 2013-09-16T17:25:34

THE ED SHOW
September 13, 2013

Guests: David Cay Johnston, Annette Taddeo, Stephanie Miller, Mike Papantonio, Virg Bernero


(START OF VIDEO CLIP)

MICHAEL J. FOX, CANADIAN AMERICAN ACTOR, AUTHOR, PRODUCER, ACTIVIST
AND VOICE-OVER ARTIST: Of the stock market crush in 1929.

GEORGE BUSH, FRM. U.S. PRESIDENT: And the federal government is
responding with decisive action.

FOX: In a minute, the crush comes, interest rates rise, and it has
really takes off.

(END OF VIDEO CLIP)

ED SCHULTZ, MSNBC HOST: If you`re a working American. And you
believe in recycled Bush economic theory.

(START OF VIDEO CLIP)

GEORGE H. W. BUSH: Read my lips.

REP. JOHN MCCAIN, (R) ARIZONA: Fundamentals of our economy are
strong.

(END OF VIDEO CLIP)

SCHULTZ: No offense, but I think you need your head examined.

(START OF VIDEO CLIP)

BARACK OBAMA, PRESIDENT OF THE UNITED STATES OF AMERICA: You`ve got
to stay focus on creating jobs and growth.

UNIDENTIFIED MALE: The Republican Congress in particular has blocked
him every step of the way.

UNIDENTIFIED MALE: You have such disdain for hardworking Americans.

UNIDENTIFIED MALE: It`s called abstractionism.

RONALD REAGAN: Government is not the solution to our problem.
Government is the problem.

(END VIDEO CLIP)

SCHULTZ: Good to have you with us tonight folks. Thanks for
watching. I want to start with a number and a poll tonight and I want to
talk about the economy because I just cannot believe this number.
Seriously, President Obama is handling the economy, only 45 percent of the
American people think he`s doing a good job on the economy, and 52 percent
disapprove.

You mean to tell me we`ve had 41 months of private sector job growth.
We got a stock market that is absolutely going through the roof. We got
record profits. People`s 401k`s are in the market and that`s best people
think, you know, what that is?

That is a lot of negative campaigning in the media. That is the
Republican conservative affect on how we think is a country. Here`s the
man. The Republicans always love the quote. Here`s the man they genuflect
to. Here`s the man they point to for direction, Mr. Trickle down economics
Ronald Reagan.

It was Ronald Reagan who brought us the philosophy that if the wealthy
people don`t pay much in taxes our job market`s going to go nuts. It was
Ronald Reagan who said that we`ve got to deregulate Wall Street. It was
Ronald Reagan back in the 60s who campaigned hard against Medicare and how
many lives has Medicare saved in the quality of life for people in their
later years has been just enhance automatically.

Reagan was against all of that, and we have put up with a set of
basics dealing with Reagan -- Reagan`s economic philosophy for the past 35
years. So, where are we right now? It amazes me, that people don`t love
Obama. It amazes me that the conservatives who are seeing the stock market
go through the roof in dealing with a President who is pretty much been
hands off on Wall Street. It just amazes me that he can`t get above 50
percent when it comes to a favorable view of the economy.

Well, you see, Reaganomics has hammered the work and thought of
America. Five years ago, this Sunday, reckless practices of greedy Wall
Street firms sent our nations to the worst financial crisis since the great
depression. It all started with Lehman brothers, remember them?

Lehman brothers. Lehman brothers, weren`t they around for a long
time? Gosh, they went through two world wars. They went through the Great
Depression, they go all the way back to the Civil War. Lehman brothers,
they couldn`t make it through the market crush of 2008, they couldn`t hang
in there.

The collapse of this firm panicked everybody on Wall Street to Main
Street across America. There was a ripple effect. And eventually it felt
around the world. Now the following months were devastating, 2.6 million
jobs were lost in 2008 alone, President Obama inherited an economy that was
tanking 750,000 jobs a month, the stock market hit record lows, record
lows, the housing market was in collapse, big bangs for getting bailed out
and begging for your tax money, and of course, we have to save the
automobile industry which all the Republicans were against, and we`re still
dealing with the lot of this aftermath and a lot of this mess on Wall
Street today because we don`t have the regulation that we need.

This could be why new polling shows only 14 percent of Americans have
a favorable view of Wall Street, the practices of Wall Street only worsened
the problem of income inequality in this country. Now in 2012, the top 1
percent of Americans earned one-fifth of the countries household income.
The rich were hurt by the 2008 collapse, no doubt it, but they weren`t
totally broke, and they have recovered more than ever. They have more that
recovered, huge profits from 2009 to 2012 income for the top 1 percent grew
by 31 percent.

No one else saw income rise. Everybody else saw income rise by only
0.4 percent. Now the numbers are staggering. This is the middle class
right here. These are the working folks of America. These are the wealthy
with the disposable income that when the market was down in 2009, you know
what they did? They invested, they believed but, you know, the key is they
had the money to do it.

Meanwhile, the stock market right now, is that all time highs. The
Dow Jones has been just sitting above that massive 15,000 mark for most of
the year, investment banks and mutual funds run a roll in this country.

In fact, let me take you back to 2009. March 6, 2009. The market was
6,443.27. If my memory serves me correctly Bank of America was trading it,
I think $3.48 cents to share and today, it`s at $14.49. Now think about
those numbers. That`s about four times what it was back then.

Do you think any rich people back in March of 2009 said, "Well, you
know, Bank of America is really down right now, but I believe in the system
and I`m going throw a $500,000 at it. They`ve got over $2 million profit
on that deal.

The key is they had the money to do it. But middle class Americans,
they didn`t have a chance to share in this economy, because disposable
income for middle class Americans has been dwindling over the last four,
five years. It`s a shame, the middle class is suffering.

We`ve shown you this vulture chart time and time again on the Ed Show.
When Reagan got after it back in the early 80s, he went after labor, he
went after organized labor, he went after the middle class, he thought if
you give the tax cuts to the wealthy, it`s all going to trickle down.

I watched a Josey Wales movie with Clint Eastwood he said, "Don`t
urinate down my back and tell me it`s raining." Although he used the other
word. Middle class wages have stayed the same for the past 30 years while
the top 1 percent have seen it go through the roof.

Maybe the polling that I showed you at the beginning of this, there`s
just too many folks down here that aren`t believing in it. And it`s not
Obama`s fault. No, this was all set and played long before Obama. He just
had to come in, this President United States and save a bunch of stuff.
But there is hope, if you look at the state of California.

(START OF VIDEO CLIP)

UNIDENTIFIED MALE: Right now for the next four years, we`re talking
about a balance budget, we`re talking about living within our means. This
is new, this is a breakthrough.

(END OF VIDEO CLIP)

SCHULTZ: Yes, this is new. This is a breakthrough. Let`s talk about
this big old liberal from yesteryear. Jerry Brown who wants to comeback
with some progressive policies in liberalism in finance. That`s right.
Jerry Brown, the Governor of California on a roll. When Brown took office,
you know what? He faced just like every other governor in American. A $25
billion budget shortfall because Arnold didn`t know how to run the budget.

So what did he do? He came in and did exactly the opposite of Ronald
Reagan. He decided to raise taxes on the wealthy, but wait a minute there
was this thing called proposition 30 that raise taxes on the people making
over $250,000 a year by 1 percent. People making between $300 and
$500,000, so it goes up 2 percent.

In income owners over $500,000 saw it go up 3 percent on the increase.
It was truly a progressive tax policy, proposition 30 in California that
the people voted on. Reaganomics, ironically from the state were Ronnie
came from is being rejected by its own residence. They`ve had enough of
that stuff.

Tax policy at it`s finest my friends. The governor plans to transfer
money to where? This is almost unheard of. He`s going to transfer money
to poor school districts? And he`s going to expand health care for the
poor with ObamaCare? Brown`s budget actually has a projected, what?
Surplus, nah. Yes. California has a projected surplus of $1 billion. And
just this week California`s legislature voted to raise the minimum wage $10
an hour by 2016. Think about that.

If we have this across the country, it would take half the people
living in poverty out of poverty, I think California is a microcosm for
what this country can do. We could pay down the deficit, we could increase
in education funding, we could increase health care spending, and we could
put this country back on track.

Raising the minimum wage bringing that chart closer together, given
the middle class wage earners of this country a break letting them share in
the stock market economy, oh, we`d be on a roll. We`d be paying debt down
big time, and we`d be creating services for people, and it would be a
better America and nobody would be left behind in Ronald Reagan`s economy.

This is a fight for the country. You either believe that everybody
needs a fair shake at a good economy or just a few. It`s about choosing
upsized politically. Unfortunately, that`s where we are. Doesn`t mean you
don`t like your next door neighbor, doesn`t mean you don`t root for a
certain thing, it doesn`t mean that you don`t want to see your best buddy
get a great job. But you know what, in the long haul over the next 30
years, show me that vulture chart again guys. What confidence do you have
that on that vulture chart that this line right here automatically is going
to start going this way? What`s the formula for that?

We got to start somewhere. You start with the living wage. That do
you think that 10 bucks an hour for wage earners this country is going to
hurt this vultures up here? Hell, no. Suck it, I heard of a bit. It`s
going to be a level of fairness. It`s finally into our economy. That`s
what not only 2014 is going to be about. That`s what 2016 is going to be
about. That`s what 2018`s going to be about. It`s going to take a number
of election cycles to turn that chart around.

Get your cellphones out. I want to know what you think. Tonight`s
question, "Does President Obama -- does he get enough credit for saving the
economy?" Text A for yes, text B for no to 67622. You can always go to
our blog at ed.msnbc.com. We`ll bring you the results later on in the
show.

For more, I`m joined tonight by David Cay Johnston, Pulitzer Prize
winning journalist and author of The Fine Print. David Cay, great to have
you with us tonight.

DAVID CAY JOHNSTON, PULITZER PRIZE WINNING JOURNALIST, AUTHOR OF THE
FINE PRINT: Glad to be here.

SCHULTZ: 45 percent of people approve of the way President Obama is
handling the economy compared to 52 percent who don`t. 14 percent have a
positive view of Wall Street compared to 42 percent with a negative view.
What`s your take on these numbers considering the fact the market was where
it was in March of 2009 and where it is right now?

JOHNSTON: Well, you got to hand it to the oligarchs. They`ve done a
very good job of selling us on the view they want to have and keeping us
focused away from the things they don`t want us to think about like a
decent wage, and 20 million people who don`t have full-time jobs, and a lot
of them not having those jobs.

SCHULTZ: It is absolutely staggering. Some of the numbers when you
see Wall Street, they have gone again unregulated. They have come back on
fire but it`s been an economy for the wealthy. Middle class families and
wage earners have not been able to share in the profit of Wall Street
because disposable income has not been there. Your take on that.

JOHNSTON: Well, let me give you a couple of numbers, Ed, from the
study that just came out from Professor Saysk (ph). In 2012, the average
income of the bottom 90 percent of us -- 90 percent fell back to the level
of 1966. It`s actually a little below 1966. But the top 1 percent of the
top 1 percent, that`s the Colt brothers, Nick Romney, Warren Buffet,
they`re up from 6 million a year to 31 million a year -- a gain of $25
million a year per household. All the gains are going to the top. And
unless we get a change of the Congress, it`s just going to continue that
way because it`s the rules that are doing this, it`s not the brilliant
economic activity of those at the top.

SCHULTZ: You know, my dad used to say, "It takes money to buy a
whisky." I mean what is happening in California. It is going to give wage
earners a chance to recycle money back into the economy and for them to
have at least a little bit better chance at life. Is the California model
going to work? Taxing the wealthy, raising the minimum wage to $10 an
hour?

JOHNSTON: Well, people who make their money in California are not
going to move to Wyoming or Texas. They`re going to stay in California,
that`s because they`re making the money there and they like living in
California, and the marginal cost of that change isn`t going to hurt them.
But further more, Ed, the year that the top 1 percent of the top 1 percent
have their peak was at the end of the Clinton administration when we were -
- poverty was going away quickly, it -- wages were rising overall, the
bottom 90 percent of Americans were making 20 percent more money than
they`re making now. The people at the top need to have consumers and if
their incomes are inadequate, then, the people of the top are going to have
less than the enormous amount they already have.

SCHULTZ: David Cay Johnston, great to have you with us tonight. I
appreciate your time. Thanks so much.

Remember to answer tonight`s question there at the bottom of the
screen. Share your thoughts with us on Tweeter at Ed Show and on Facebook.
We want to know what you think. And I just want to follow up with this
comment, "Elections have consequences". The Democrats have taken over the
assembly and the Senate in California and also with the liberal governor.
They have decided to do something about their economy, and they wiped up
this debt by raising the taxes on the wealthy and now they`re going to
raise the minimum wage. They`re going to invest in things that have been
cut.

Now if you look at some other places around the country where we talk
about these six radical governors quite often. What have they done?
They`ve going the opposite direction and they are running deficits and they
are running deficits on projected job creation, and they`re denying
ObamaCare in many places which is hurting a lot of people more on that
coming up.

Also, tonight Rush Limbaugh on the Red Skins, and later is God a
republican? That`s what Michele Bachmann thinks. Stay with us.

(COMMERCIAL BREAK)

SCHULTZ: Time now for the trenders. The Ed Show social media nation
we`re gathering a numbers aren`t we? You folks have decided and we are
reporting. Here are today`s top trenders voted on by you.

SCHULTZ: I`m going to give you a little bit too much information
tonight.

UNIDENTIFIED MALE: The number three trender, the Ed shoe.

SCHULTZ: I found this store down in SoHo, and I just love this shoes.
I can wear him they`re kind of dressy, they`re comfortable, and they`re
casual. It`s all rolled into one.

Yes, I bought about ten pairs of these things. I`m going to buy
another pair of shoes just like this.

I`ve bared my soul to make a point. It`s like an old shoe, it`s like
an old shoe to oppose Obama on the everything.

(START OF VIDEO CLIP)

UNIDENTIFIED MALE: Who throws a shoe? Honestly?

(END OF VIDEO CLIP)

SCHULTZ: Our number two trender, sensitive skin.

(START OF VIDEO CLIP)

UNIDENTIFIED MALE: And drive in upstate New York the United Nation,
is asking for the Red Skins to remove and change their name.

(END OF VIDEO CLIP)

SCHULTZ: The NFL looks into a name change.

ROGER GOODELL, COMMISSIONER OF THE NATIONAL FOOTBALL LEAGUE: The name
is part of their history and tradition. We have to listen, if one person
is offended. We have to listen.

SCHULTZ: But Rush doesn`t get all the fuss.

RUSH: ( Inaudible) bubbling up underneath the surface for a lot of
years. Never really been thinking, I believe it`s been out there. Who is
bothered by this? I mean every time they have a game, it`s full. Who`s
offended? This is a manufactured controversy. Manufactured by the left.

UNIDENTIFIED MALE: You jut don`t get it do you?

(END OF VIDEO CLIP)

SCHULTZ: In today`s top trender, the unbroken record.

(START OF VIDEO CLIP)

REP. MICHELE BACHMAN, (R), MINNESOTA: Let`s repeal this failure.

SENATOR TED CRUZ, TEXAS: To repeal every single word of ObamaCare.

UNIDENTIFIED MALE: We must continue to do everything we can to repeal
this mantle and defund ObamaCare.

UNIDENTIFIED MALE: It`s going to be a disaster for the country.

SCHULTZ: The far right continues its fight against ObamaCare.

UNIDENTIFIED MALE: The house has taking a stand numerous times on its
opinion of ObamaCare.

SCHULTZ: Republicans have already voted 40 times to prevent 30
million Americans from gaining health care.

UNIDENTIFIED MALE: As Republicans control the house, we should use
that leverage to try to make ObamaCare less bad.

SCHULTZ: (French) Republicans are running out of all kinds of options
to kill this landmark legislation.

UNIDENTIFIED MALE: I want to repeal the law of the land, is that
clear?

(END OF VIDEO CLIP)

SCHULTZ: Well, let`s tell you what`s going around the country,
joining me tonight is Annette Taddeo, Chair of the Miami Dade democratic
party in Florida. You won`t believe these folks Governor Rick Scott is
doing his very best to block ObamaCare at all cost. The Florida Department
of Health issued a directive to its employees this week, barring navigators
from Health Department buildings.

Now navigators, what they are is outreach workers who are sent to help
residence sign up for the insurance through the Affordable Care Act Health
Insurance marketplace which of course begins on October 1st. We`re just a
few weeks away. It`s ObamaCare. They`re actually shutting this people
out, these navigators out. This is a law that has been passed.

The Department says that the Navigator Programs raises privacy
concerns for consumers. That is hogwash, but this is something that Rick
Scott, Governor of Florida has also mentioned in his pushback program. Now
according to the United States Census Bureau, almost 4 million Floridians
lack health insurance. Annette good to have you with us tonight. What --
this is a is big battle on Florida isn`t it?

ANNETTE TADDEO, CHAIR OF THE MIAMI DADE DEMOCRATIC PARTY IN FLORIDA:
Unfortunately yes and earlier you were saying that elections have
consequences. Well, in Florida, we have a big consequence with Governor
"Loco" Rick Scott. He has decided that we cannot have healthcare at any
cost. He doesn`t care about us, the people who live here and who need this
health insurance. By the way of those 4 million that you mentioned that do
not have insurance, almost over a million are Hispanics. So, what is he
thinking? He is really truly, truly insane.

SCHULTZ: What is the reaction of the people in Florida on this? And
what`s the recourse to do something about it?

TADDEO: Well, first of all, the reaction is why? Why keep us for
doing this? You`ve been telling us, they`ve been telling us, the
Republicans that this is a terrible law. That this is terrible for you.
That it doesn`t do any good. And yet, now, that it`s about to be
implemented and we have all these people without insurance, they want to
keep you from getting it.

So, at any cost, they want to try to do this. We`re just trying to
educate the public, and let them know that you can actually get health
insurance. You can find out information and I -- the myth are all over the
place. And they`re doing that also on Spanish media trying to make sure
that people don`t understand what`s going on and don`t get it. And what`s
really upsetting is, they don`t have any replacement, it`s like OK. So
tell me what`s your plan, what`s your idea to cover all these people? You
didn`t get elected to just oppose everything. You got elected to work
together and to come up with solutions for the people.

SCHULTZ: Annette you touched on something. They are hitting
demographic radio, they are hitting all the different demographics to
knockdown ObamaCare, they`re working on Spanish radio in the Spanish
community, Hispanic community to bad mouth -- to bad mouth ObamaCare and
now the governor is holding out the navigators which of course are workers
that are going to come in to communities and help people sign up to make
sure that they have the proper information. Is that what`s happening?

TADDEO: That`s absolutely what`s happening. So, just stopping the
people at from getting the application with the navigators and from getting
the information, it`s not enough. They`re all .

SCHULTZ: We`ll turn it to a negative, and that`s their mission. If
they can turn it to a negative, if you can go back to people in a year from
now saying, "Well, I didn`t sign up for ObamaCare. I didn`t know anything
about it." It`s really limiting access to people to healthcare and they`re
using government resources to do it.

TADDEO: Absolutely, and that`s why I call him Governor "Loco." I
mean we are stuck with this man and we have got to get rid of Rick Scott in
Florida because the consequences are huge, and its costing us those of us
who have insurance, those of us .

SCHULTZ: Yes.

TADDEO: . who pay taxes. Everybody who doesn`t have insurance, guess
where they end up? At the emergency room.

SCHULTZ: All right.

TADDEO: So we cannot continue this way.

SCHULTZ: What`s the congressional reaction? I mean Debbie Wasserman
Schultz on there, Alan Grayson he`s not afraid to tell it like it is.
What`s the congressional reaction?

TADDEO: Well, unfortunately, the Republicans are still talking that
they`re going to vote, once again like 40 times was not enough they want to
vote to repeal ObamaCare and shut down the government if they have to.

That`s insane. They cannot do that because we all know that nothing`s
going to happen if they vote one more time to repeal ObamaCare. But if
they shut down the government, then they`re really hurting the people.

So, I don`t understand this mentality of the Republicans, but the
Democrats are fighting to the nail trying to make sure that people
understand what the real ObamaCare means .

SCHULTZ: Yes.

TADDEO: . and how much it means to all of us.

SCHULTZ: Well I .

TADDEO: And you know it makes you wonder if the Republicans are
trying so hard to stop you from getting it, it must be because they`re
afraid.

SCHULTZ: There`s no question about that. Annette Taddeo, great to
have you on the Ed Show. Thank you so much.

Coming up. Would God side with the Republican Party? Michelle
Bachmann seems to think so. We`ll break it down with our Rapid Response
Panel.

Still ahead, we did a fun farewell to our favorite Fox & Friends
friend Gretchen Carlson.

But next, I`m taking your questions, Ask Ed Live just ahead here on
MSNBC. Stay with us.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to the Ed Show. We love hearing from our
viewers, love this segment, love your questions.

Tonight, in our Ask Ed Live segment. Our first question comes from
Larry Coleman. Is it possible to unbrainwash a Fox propaganda channel
viewer?

Ooh. I`ll tell you what. This is almost an exact science. It takes
hours and hours of truth counseling and a hell of a lot of beer and
sometimes that doesn`t even work.

Our next question is from a man who goes by the real WulfDawg. He
says, "Hey, Big Ed. Pooty considers himself an outdoors man like you. Do
you think you can take him in a fishing contest?

Well, let me just tell you this here real dawg. Show him the picture.
I catch fish bigger than Pooty.

Stick around, Rapid Response Panel is next.

(COMMERCIAL BREAK)

SCHULTZ: Welcome back to the Ed Show. This is a story I just can`t
get away from this week. It happened a few days ago, but I got to do it.
Now, apparently the idea of Hillary Clinton running for President in 2016
is so daunting that Congresswoman Michele Bachmann is looking for some help
from a higher power.

UNIDENTIFIED FEMALE: Fast forwarding to 2016 for a minute, Michelle.
Are you one of those who just assumes that Secretary Hillary Clinton will
be coronated?

REP. MICHELLE BACHMANN (R), MINESSOTA: I don`t at all because I look
at the story of David and Goliath. All David needed was one smooth stone
to fell the giant. It wasn`t the stone. It wasn`t David. It was the
strong right arm of a Holy God, and again I believe that it`s in some ways
up to us if we repent, if we cry out to God. We have no idea what the Lord
God will do for us in 2016.

SCHULTZ: The old cry out and repent strategy? Forget fund raise and
embrace better policies?

Let me tell you. This isn`t the first time that Michelle Bachmann has
taken the big guy upstairs to be on her side.

You see, according to Michelle. God called on her to run for
Congress. When she got there, God told Bachmann to introduce a
Constitutional Amendment banning same-sex marriage in Minnesota. By the
way, Minnesota recently became the 13th state to recognize same-sex
marriages and indiscrimination.

According to Bachmann, God was going to perform a miracle to repeal
ObamaCare; 41 attempts by the House of Republicans to repeal or defend the
fund ObamaCare. Well, it has failed. God told Bachmann to run for higher
office, and then God told her to retire. So thank God to Republican.

Joining me now for our Rapid Response Panel, Stephanie Miller host of
the Stephanie Miller Show, and Mike Papantonio host of the Ring of Fire
Radio Show. I have to tell you on a serious note, this is a gross
misinterpretation of the Christian faith. Let`s just get that out there.
Now, let`s talk about Stephanie, how crazy she actually is to think this
stuff.

STEPHANIE MILLER, STEPHANIE MILLER SHOW HOST: Well, you know, Ed, I
don`t know if God`s a Republican but I know if God was a comedienne,
Michelle Bachmann would be president that`s for sure. Just -- when you
think back in just one of those campaign appearances, Ed, just "Hi, thanks
for meeting me here at Plymouth Rock in South Carolina. We took courses
where John Wayne Gacy killed Elvis on the toilet." Oh, it`s just comedy
goal the entire campaign.

SCHULTZ: But this plays to a commentary. I think I gave several
weeks ago, Mike, about phony Christians. They use their faith where they
can, when they can, and they just throw it out there. I don`t know. Does
she want to stone Hillary Clinton? I don`t know what the message was in
that sound, Mike.

MIKE PAPANTONIO, RING OF FIRE RADIO SHOW HOST: One thing we could be
sure of Jesus did raise Lazarus from the dead, but it`s not likely that
he`d be able to raise Michelle Bachmann stone cold, dead political career.
There are way too many demons kicking around in there. Conservative
Christians like these frauds that we see emerging from the fringe of the
Republican Party with leaders like Bachmann. They do huge damage to
decency and to the simple pure idea about how we got to treat other. It
was simple. I mean, you know, if you really want to extrapolate what she`s
saying. She`s saying, "If you`re not Republican, God is not on your side .

SCHULTZ: Exactly.

PAPANTONIO: . if you don`t agree with me, God is no on your side."
What Jesus had to say was simple, "Feed the hungry. Take care of the ill,
your neighbors who are sick. Don`t judge your neighbors. Give shelter to
the homeless." These are easy things to understand and they`ve turned all
that in their head to make it look -- in some way she really might believe,
Ed, that she is talking to God because most of the time she`s just a little
bit delusional.

MILLER: Mike, you know what? I`m curious because you`re a lawyer is
I wonder if God had anything to do with the ethics committee investigating
her presidential run. You think God has anything to do with that or no?

PAPANTONIO: When you know the facts of that story, she`s going to
need a lot of prayer I can assure you. This is going to get real, really
ugly before it`s over.

SCHULTZ: And Stephanie, what is this God told me strategy? And how
does it work so well for Bachmann in the past? Why did she keep going
there?

MILLER: Well, and as we recall, the last president that said, "God
wanted him to be President." was George Bush. And actually if you counted
the votes, God wanted Al Gore to be President as it actually turned out.
But, Ed, you know this, you`re a sportsman. God is way too busy for
politics. He cares more about who wins football games or Grammy`s.

SCHULTZ: Exactly. I don`t know what happened last Sunday, but it
did.

MILLER: Yes.

SCHULTZ: You know, there are some people there that are going to
think that God is a Republican, that means some of these folks out there
absolutely worship the words that some of these lawmakers say. And I think
that`s why she keeps going there, but it`s such a gross misinterpretation.
I think it really has stained the Republican Party in the mainstream. Your
thoughts, Mike.

PAPANTONIO: Well what happened with the Republican Southern strategy.
The whole idea was to somehow make Southerners believe that the Republicans
are the party of God. The Bible belt was the place that Lee Atwater built
his strength Ed. And it hasn`t really changed much since.

There was a time where -- there`s kind of been an add and flow that
we`ve had people with really a little bit of rational insight into what
mixing politics and religion does to both politics and religion.

They understand that if you have a political party that is associated
with the religious party as each one rises, it rises but as each one falls,
it falls as well. Lee Atwater thought he could dry the heart through the
Democratic Party in the South by doing that and, you know, what he
accomplished it but the fringe is still spinning off and Michelle Bachmann
represents that fringe and there is a kickback taking place somewhat even
in the South today.

SCHULTZ: I find it amazing Stephanie that she quotes a biblical
story, David and Goliath and equates it to Hillary Clinton, your thoughts
on that.

MILLER: Yes, they`re very selective, aren`t they? With their Bible
quoting, I mean, the thing that Jesus talked most about Ed, of course, was
helping the poor which is the thing that Republican Party is the least
interested in of anything.

They spent a lot of time as you mentioned on things that Jesus never
said anything about like homosexuality. I mean, it really is -- it`s
incredible. They`re very, very like -- it`s like a Chinese menu the way
they pick and choose the Bible phrases, right?

SCHULTZ: All right, let`s turn to Syria if we can. How has the
President handled this? Has he gained favor with the American people going
to Congress just Mike the whole scenario that we`ve seen played out in
recent days? Has this been a foreign policy upside for the President?

PAPANTONIO: I don`t think it has -- I think Kerry`s causing more harm
to Obama, than Obama is causing to himself. Kerry, his big words, his big
action, his need to move so quickly during a time when Putin has set him up
in a very smart kind of way -- Putin set him up and now he has Kerry
reacting too quickly and trying to avoid diplomacy, that`s what`s coming
through here.

Kerry is just signaling we`re not interested in further diplomacy. I
think Kerry is doing him harm as this whole serious story unfold.

SCHULTZ: You don`t think Kerry is really an honest broker looking for
diplomatic solution?

PAPANTONIO: Hey maybe he`s not doing it the right way, Ed. He is
being out maneuvered, by the way Putin has set this entire thing up. It
wasn`t smart of Kerry to be up front of stage saying, "We have to do this
now. We have to do this immediately. We want your chemical weapons now".
The truth is, diplomacy is going to take more time and I just think this
whole rush to action is not helping Obama. I maybe wrong but I think as it
plays itself out. I think we`re going to see it was a mistake .

SCHULTZ: Stephanie how you feel?

MILLER: I could not disagree more, Ed, I mean just to think that this
kind of high level diplomacy, it was like, you know, there are bunch of,
you know, Mr. McGoo`s bumbling their way through it. Obviously the
President talked to Putin at the G20. He scheduled this press conference
right after he talked to Putin, interesting timing, right?

I mean do you really think this was some gaff by John Kerry. I think
the President has played this brilliantly and I think that, you know, to
pretend that they somehow at this level stumbled into this. If you read
what they`ve been doing on this for two years, I think it`s ridiculous and
I love that it -- making it demands now like he wants Israel to give up
their nuclear weapons, really you think you`re in a position?

We have a template Ed for making for peace through strength and guess
where it was -- in Iraq that`s why Saddam had no weapons of mass
destruction because it worked. They disarmed him through sanctions,
through threat of military forces back in 1991.

SCHULTZ: All right, we`ll see how it plays out. Stephanie Miller and
Mike Papantonio, great to have you on the Ed Show, I appreciate it so much.

Republican policies rocked the city of Detroit. Up next, what the
motor city really needs to get its engine started again.

(COMMERCIAL BREAK)

SCHULTZ: And in our Pretenders tonight -- usually, I talk about my
favorite pretender about this time. But today, well, it`s special. Today
we bid farewell to Gretchen Carlson last day on the Curvy Couch.

(BEGIN VIDEO CLIP)

GRETCHEN CARLSON, FOX & FRIENDS CO-HOST: I would just want to see how
much of an insult it was to be called an ignoramus. Since I didn`t know
what it meant, I just Googled it.

If an ignorant lawyer we all know Barack Obama is a lawyer.

UNIDENTIFIED MALE: And now, you push it. You -- that`s kind of
twerking. Well go forward.

CARLSON: And it all comes down to that three-letter word called jobs
which is actually a four-letter word.

I was wondering to myself why we`re having so many czars/kings now in
America.

I am tolerant. I`m also free speech and free rights just not on
December 25th.

That`s why our show is so successful though. I mean I don`t know.
You guys tell me what you think because a lot of it, we just sort of make
up.

Wi-Fi or Wi-Fi?

UNIDENTIFIED MALE: Wi-Fi.

CARLSON: In the time of crisis making these executive decisions, it`s
just like our job. It`s the same thing as being the president of United
States.

UNIDENTIFIED MALE: Well.

(END VIDEO CLIP)

SCHULTZ: No. They don`t make stuff up thanks, Gretchen Carlson. You
didn`t make our mornings brighter but you sure made them interesting.

(COMMERCIAL BREAK)

SCHULTZ: Liberals, let`s get back to work. America needs to pay
attention and stay vocal. So here`s a look at the top three stories ahead
next week in fast FORWARD.

UNIDENTIFIED MALE: Coming in at number three, salsa at the White
House.

MICHELLE OBAMA, FIRST LADEY OF THE UNITED STATES: That`s what I`ve
been telling him.

ELLEN DEGENERES, AMERICAN STAND-UP COMEDIAN, TELEVISION HOST, AND
ACTRESS: Yes.

M. OBAMA: All these years I`m a better dancer.

DEGENERES: Yes.

SCHULTZ: On Monday the First Lady will host a celebration of Latin
music for Hispanic Heritage month.

GEORGE W. BUSH, FRM. U.S. PRESIDENT: The way I see it is Mi casa and
su casa.

WILL FERRELL, AMERICAN COMEDIAN, IMPRESSIONIST, ACTOR AND WRITER: And
you won`t be invited.

SCHULTZ: Fast forward to number two, Canal Cruise.

UNIDENTIFIED MALE: I wish you could travel around the world with me.
600,000 miles so far, just since Vice President.

SCHULTZ: The VP had south to the border to discuss expansion plans
for the Panama Canal.

UNIDENTIFIED MALE: You boys like Mexico?

SCHULTZ: And our number one story to watch. Detroit`s dead talks.

UNIDENTIFIED MALE: We need to resolve the station with City
Government in Detroit because that`s the last obstacle in my view to
saying, now we can grow Detroit.

SCHULTZ: On Tuesday, a federal judge will begin to mediate
negotiations between the City of Detroit and its labor unions.

UNIDENTIFIED MALE: Everybody in this city shares the same dream of
the Detroit we want.

SCHULTZ: Joining me tonight Mayor of Lansing, Michigan Virg Bernero.
Virg, good to have you with us tonight. You run against Governors
Schneider. You`re still the mayor of Lansing, Michigan and an interview
earlier this week with Reuters. Governor Schneider admitted that the
Detroit bankruptcy has had a ripple effect and it is affected other cities
in the State of Michigan when it comes to the municipal band market. What
are you seeing and is this just a ripple effect because of what has
unfolded in Detroit? What is been thrown on these folks?

VIRG BERNERO, MAYOR OF LANSING, MICHIGAN: Well, here`s a shocker Ed.
Wall Street being unfair to Main Street. Amazing, isn`t it? Oh, wait.
We`ve heard the story before. This is what Wall Street is doing in
punishing all cities throughout Michigan, is a keen to your insurance
company raising your rates if your neighbors house catches on fire. Well
it had nothing to do with what you did and it isn`t going to affect to your
future. So it is an issue it`s a dire it`s an -- it`s an issue of dire
concern for all cities, all municipalities in Michigan and perhaps around
the country. Of course, you know, these are the same folks that left
Michigan for dead awhile ago, Ed. These are the folks that said
manufacturing is dead. These are the folks that moved manufacturing
overseas try and left us for dead, moved out of the state, dried up our
credit but we came roaring back.

The auto-industry is back. Michigan is back. Hopefully Detroit will
be back. Right now, they`re going through this terrible situation but the
reality is it does affect other cities. It shouldn`t affect other cities
but that`s how Wall Street -- in the heads I win, tails you lose world of
Wall Street. They always make out and they`ll make out in Detroit, Ed
because the vultures will swoop in the turnaround management experts and
the consultants and they`ll suck millions out of Detroit. Even while
trying to get them back on their feet.

SCHULTZ: You know when you take a look at the automobile industry,
obviously it turned around but it did it with government help. Do you
think government help should have come in to Detroit to give them a chance
to turn it around instead of letting the privatized vultures come in there
and takeover?

BERNERO: Well -- you know that`s a very good question, Ed because,
you know, of course when people hear the word bailout, you know, government
help, they think bailout and oh, we don`t want that. Well, you know what?
This is just bailout of Wall Street what this is. You think everybody is
going to get a haircut? Wall Street is lining up and putting themselves
ahead of the pensioners. You know, the hardworking policemen and firemen
that have a modest pension, they want -- oh, they want those folks to
suffer but Wall Street doesn`t intend to suffer. They intend to take it
out of our hides and so the public is paying one way or the other.

The fact is there are public investments that are necessary in our
cities. It`s not just in Detroit. I can tell you, Ed all around Michigan.
I don`t know about the United States but our roads are crumbling, our
bridges are failing, our sewers are crumbling, our schools -- our school
buildings need investment. We need public investment in the state and it
hasn`t happened yet. We`ve got a tea party dominated legislature. We`ve
got problems here in Michigan and they`re beyond the city of Detroit.

Now, I`ve got a double A credit rating in Lansing and we`re bringing
jobs, we`re growing jobs. I`m proud of that in Lansing but the entire
state and my residence too are getting sick of the roads and I don`t have
enough money to fix the roads. The state has got to act. There has to be
public investment and the fact is, when there`s public investment, private
investment always follows.

SCHULTZ: Virg how is this going to turn out in Michigan? Is the
state watching this because Detroit is considering ending city-paid health
insurance for city employees and pushing them right in to the exchanges and
giving them nowhere near the guarantee that they have before and then of
course reducing their pension and they don`t know what that`s going to be.
That`s going to be up to a judge as well as whether he is going to let a
city financial manager who is not elected makes some pretty crucial
decisions which affects people`s lives?

BERNERO: Well, we can only hope that there`s a good fair judge that
looks out for the regular guy, the regular man and woman who has worked
hard, who has toiled in the field and earned that pension and put them
first ahead of the Wall Street vultures. But, you know, maybe the governor
underestimated the impact of this, you know, the -- it`s a big issue as far
as how it`s going to end up. You know, who knows but again the government
role, we`ve talked about before, you know, our cities in Michigan, too many
of them are the hole in the donut instead of the half of the wheel and
folks know, the cities are where the jobs are that`s where most of the
commerce takes place.

When our cities are thriving, our states can not thrive. We have got
to go back to investing in people putting people first and that means
investing in our cities.

SCHULTZ: Well, we are seeing two different states operate oppositely.
You`ve seen California, what they have done, Michigan going the opposite
direction but in your city two rundown buildings in the old town area of
Lansing, Michigan are going to undergo $3 million renovation in October,
how are you getting this done quickly?

BERNERO: Well, I tell you, one way is we`re using incentives, you
know, there`s a brown field program when you got an old building, there are
historic credits available. You got to incentivize some of these projects,
you got to have private sector dollars but some of these would be under
water and so there has to be public investment, there has to be creative
strategy.

SCHULTZ: OK, Virg Bernero, great to have you with us on the Ed Show.
I appreciate it so much, keep up the fight. That is the Ed Show. I`m Ed
Schultz. Politics Nation with Reverend. Al Sharpton starts right now.
Rev?

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY
BE UPDATED.
END

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