tv Forbes on FOX FOX Business June 2, 2013 9:00am-9:31am EDT
rest of the world know 0 it and buy thstock? >> because they're not as smart as charles. >> you're atching the place for all things business, fox so call it the summer of the sell. despite the masve premium hikes, the prident's health care laws is cause, the obama adminiration is kicking off a sirm long tour to push and promote it. maybe they should stop 0 at one doctor's office in maine. he has a great plan that avoids insurancealtogether. he posts his prices, specific prices, online so patients can actually see what they pay for out of pocket. and he says it's a free market fix to the nation's exploding medical costs. is heright, or is he wrong? hi, everybody, i'm david as man. welcome to forbes on fox. let's go in focus with mr. steve forbes, ricking unger, richard karl guard, elizabeth mcdonald and john tandy.
steve, first, is this the solution everybody's been looking for? >> absolutely. getting free markets in health care is the only way go, doing away with the disconnect between providers and consumers we don't have free markets today. if we did, you'd get productivity, turnery expensive procededures today in more common place things tomorrow. so this is it a good start. it can start with simple routine things an go rightup to the most sophisticated ssurgery. when pients are in charge, it's their money, by golly you get real bargains, including lasik surgery costs less today than it did ten years ag why? because the's not at disconnect between providers and consumers. >> it's not just the patients. when patients and doctors together go around looking for bargns, that's what brings down the pric, rick unger. i'm looking at some of s menu here, if you will, of what he offers, an office visit is 75 bucks, including a diabetes follow-up if you need one. a joint injection of court i sewn costs 50 bucks. rick, that usually costs liking
$2 en you do it through the insurance programs. and he goes onnd on. by the way, urinalysis is only 10 bucks, a lot cheaper than what my doctor spends the through the insurance companies. >> listen, this is terrific if you're talking about the lower chaing raings of expenditures. this guy happens to be a general practitioner. he's not doing the big stuff. the real money, unfortunately, in this country in health care is being spent on heart disease, trauma, cancer. these are the big three costs. unfortunately, when you're dealing with those kinds of problems, you don't go shopping. you're not going shopping for a better deal when it comes to chemotherapy. when you need your chest cracked open, you're notooking for the bargain ever the week. you're looking for the door who gives you the best chance of survival. >> rich, the fact is i just had a checkup and i have my bills. all the tests, diagnosticing bills d up to $1,200. now, my out of pocket is a couple hundred bucks but the insurance cost that go into pay forge this thing are enormous. these are big expenses.
maybe having catastrophic insurance program for if you need what rick was talking about. but for everything else, do what th doctor is doing. >> yeah. steve forbes likes to point out in his speeches that, imagine if restaurants didn't puish prices on their menu. everyby would order the most expensive meal and the most expensive bottle of win if they knew somebody else was payin for it. on lasik, i had lasik in the year 2000, it cost 5 grand. same doctor is operating at 2800. how do i know that? i can go on the weband find it. the competitive price p pressur has been very good. i recommend lasik to both steve and rick. they would become even more handsome than they are today, b the way. ittle of that, too. but morgan, the fact is it's true, the marking works even in medicine, whenou get competive prices out there, the prices come down. peop cmpete. >> that may be true for primary care physicians and specifically private practice priiary ca physicians but that's not where
the ballooning health ce costs are taking place. you need to look at hospitals, medical devices and you need to look at insurae but not just insurance administrative costs. actually malpractice, the amount of tha >> which president obama didn't want to touch obama care. >> because of all his lawyer friends. >> i think this is a great idea on a base level when you're gointo see the family doctor if you can afford out of pocket. but at the end of the day it doesn't get toto the larger issues. hospitals and i think rich will appreciate this, you need to see disruption there. clayton christiansen has put out theories andou need to look at malpractice insurance. >> you talk about exploding costs. anybody who boths to look at their bills beforeheyend them off to insurance companies on these diagnostic tests,the tests are exploding,he office visits are exploding. by the way, this guy actually does house call as well for 200 bucks. >> oh, my god, i want his number. listen, i totally agree with steve and rich carlguard. i've talked tobrain surgeons,
doctors s who deliver babies. they routinely say that we've got too much government filler in hospital costs,and they could bring t charge to our viewers down if they're allowed to have more free mark practices in their health system. withealth reform there's a lot of government filler in the ricking unger-style system. 22,000 diagnostic codes now that hospitals have to report, injuries to the government under those 22,000 different items. and that is crazy. >> yeah. but hold on. john, the fact issthat, while the government wants insurance to pay for everything, whether it's private -- government-controlled private insurance or straight government insurance, via mecare or medicaid, this guy 0 is refusing all insurance saishgs pay cast. a lot of times my out-of-pocket pay is more than what this guy is charging. >> i think the doctor clearly
understands human nature. when we're spending money not our own, we're naturally less careful. when is our money wre more careful. it would be interesting to have more businesses do exactly what steve and rick described have catastroph insurance for the unthinkable, forhen u're getting yourhest cracked open, for the basic, utine visits, people should pay for tha out of pocket or through a medical savings account where it's your money paying for it. you'll be far more careful what you do. >> steve? >> that's absolutely true. when you get real free markets you'll see much more innovation in medical devices and how tse procedures are done. they've made some progress but i think in free market they'd make more. so it's not settling for less. it's gting moreor less, just as we do everywhere else in the economy. >> morgan, doesn't that make sense? >> i think there's a presumption that everybody will be able to afford to pay out of pocket to see that physician . >>ell, we have to pay out of pocket aer the insance coverage ow. >> you know what? that's why those costs are still
more expensive fo theerson who goes to that rtland physician right now and pays out of pocket. but the supposition is that people are going to be able to pay and they'll go in and daik care of that preventive medicine. the people who can't afford to aren't going to. >> hold on, hold on, whoa,whoa, whoa! >> at the end of the day, that is much more expensive. >> t people who can't afford are covered mediid, are they not? >> lten, yes, they are. this idea is not coming from mars or the moon. this is the way the united states was through the ' dz, 50s, 60s, 70s. back when we had rotary phones. i looked at my mother's hospital bills to have a baby. was $20 overnight hospital paid out of pocket. >> hold on, rick. you're telling me that somebody who's paying 200 bucks aonth for their cell phone can't afford a $10 urinalysiurinalysi? >> i didn't say that at all. >> wait, wait. >> you say people can't afford it. they cannot afford $10 costs on tests? >> first of all, aside from
liking the idea of undercare, a couple of things to get straight here. for starters, you're not lking about a free market system. you're talking about a free market system up to a certain point. when you start talking abo catastroph insurance, you still have the sa costs. >> steve, isthat true? >> no. because when y focus on things like catastrophic insurance, when you focus on tngs that cost $20,000, $40,000, $100,000 today, again, the virtue of free markets, whether it's cell phones or anhielse, lasik surgery, is when you have free rkets you turn tng that's are expensive and rre today into commonplace tomorrow. >> doctor, great experiment. we le your experiment. keep it up. coming up next, bringing home the bacon. a record number of moms are now thereadwinners in their hou households. sounds like great news so why are some women here saying not so fast?
our weak economy than it does about equality. how so? solutely. we're all for, here at fox, women working. that's not the issue. the issue is really bad government policies that have really undercut and hurthe american economy. listen, fact, in 1958, eight out of ten men work. now less than two-thirds of men who can work are working. households headed by adults younger than 35, one out of four in poverty, that a's a record. we haven't seen that before. that why more women need to work and i thi that's why more women are the breadwinners. it's unfortunately. >> so, john, for all the wwmen saying this is great news about equality, that's not necessarily so. this could be just bad news about our economy. >> but i thinhat you ve to ok for is just how bad the economy would be if women ren't working. adam smith always made the point about the pin factory, the more hands. and fact that women roe participating in the economy means we're much much better off today. i think it also has positive social implications. 50 years ago a woman was stuck
in a marriage if the man treeted her badly because she had no economic way out. the fact that women can support themselves now means they're probably treated better andhey obously don't have to stay in bad situatioos. >> after the show you're going to have to explain the pin factory. i didn't quite get that. morgan, the fact is some feminist web sites ke the double x faor says this a great victory, they say the male breadwinner is a dying breed, study out this week confirms his slow march toward extinction. >> wow. >> you point out some of the b news about the economy, but generally they see this as a positive what say you? >> you know, i love the idea there's more women that are breadwinners out there. i think that's grea but i'm going to build upon what e mack lls. this is a larger reflection of the economy. all you have to look at where in the recessi were the most jobs lost, male centric secretatorse. that led women to be the breadwinners. now you see the economy
rightsize itself and job growth return, it's those male-centric industry that's are welcoming the most job growth. women are a smaer point of the growth. >> sabrina, is this good or bad news? >> i think helen ready would think it's good news. some portion of that 40% is beg the breadwinner because of their achievements. more women are out-earning men in terms of phds, masters degrees. the problem is, if this is happening at the expense of men. we obviously don't live in a vacuum. men and women are too often pitted against each other. we don wan to see women becoming the breadwinners because men can't. >> mike, the fact is there are fewer americans working now who are employable than in the past 40 years. so we do have a desperate unemployment situation in this country. >> david, the economy is not a zero sum game. r more important than the sexual makeup of the labor force
are hinthings like the participation te, which right now is only 63%. >> thas awful. >> that's a recession level. upward mobility which is extremely difficult. real ges which are stagnant. all thkey indicators of the economy in terms of the labor forc are poor right now. that far more important than our 51% male and 52% female whatever. >> right. >> steve, we should just get away with which sex has more in employment. just focus on employment in general. >> that's right. this is not aboutequality or opportunity. the fact of the matter is, for middle cla families today, you need two incomes rather than one because of inflation, because of taxes, not just income taxes but payroll taxes, sales taxes have doubled in recent years. everywhere you go. two incomes have o the job of one incom that's the problem. that has to be corrected. >> in fact, morga most americans,ore now than 20 years ago, in fact, which is kind of interesting, object to this trend, the trend of women
becoming more the breadwinners. is that a problem for you? >> no. i think behind -- you know, my husband loves tat i'm a breadwinner. so i'm justoing to leave it there on that topic. but going back to what steve said, i 100% agree. it's more than just 40% women are brdwinners. you have to look at there's two different groups of women here. one are the women who are married and who have dual incomes coming into the household making a median salary of $80,000 ayear. then you look at the single mothers and that median salary is $23,000 a year. th aefs the big issue. >> morgan is getting at something veryimportant, which is whether or not women actually want this, right? i sat at dinner with steve rhodes, sort of the king of gender differences. we were talking about a study that found out only 23% of married women actual want to be working full time. so i think if we are seeing this number of women who are breadwinners, this is good for women who won't it. but as some have ggested, i suect alot of these women actually would likto be
working in some other capacity maybe part time. >> we're just getting warmed up, t we have to go. well, the irs scandal is heing up, is a plan by senator ted cruz to save taxpayers from the agency's wrath for good. and he's only sharing it with our own eric bowling. first, supermodel heidi km paying her kidso eat good foods. foods. but do bribes for [ male announcer ] summer is here. and so too is the summer event w get an incdie offer on the powerful, efficient c250 sport sedan with an agility control sport-tuned suspension. but hurry before this opportunity...
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eating right deserves a reward, accoing to heidi klum. the supermodel rertedly hands out cash to her fo ltle ones toat heth obviously it's not easyo get kids to eat their vegegetables. but on the flip side, mike, you say bribing them is not the way to do that. why not? >> david, sooner or later these children are going to figure out theiparents are going to pay for their education anyway or contribute. ibes are very short rm. kids need to learn to do things because their parents are telling them to. >> sabrina, bribing is bad. >> i think parents are criticized far too much these days. let's remember, all kids, it would be great i ty liked their broccoli, but sometimes it takes a little extra butter, an extra quarter to get them to do it. i ththinn the bottom line is th is aut parental involvement, which i give heidi klum two umbs up for. weave over 32 million american kids getting government-provided
school lunches. i'd raer have kids being paid to eat their broccoli. >> steve, have you ever paid your kids -- you have five children -- to eat well? >> i'm of scottish descent so you know the answer to that. but david, parenting is an art, and people want to do different approaes let them try and see what works and what doesn't work. and in terms of paying, i did consider paying them to clean their rooms. i knew that would be a lost cause. i think that's a bigger cause for parents than eing broccoli >> rich, you take this one step further. you give rewards for exerse, rite? >> well, yeah. first of all, ihink heidi klum, she has the right to exercise her choice, butfor 95% of kids the main problem is not the calories they take it. it's the lack of calories that they put out they'rnot exercising the way they used to. that's where you're going to create healthier children. >> of course, i remember fat
albert, bill cosby talking about him inthe '60s. what about bribing kids to eat well, for or against? >> heidi and i have a good understanding. i don't tell her how to raise her kids,he doesn't tell me how to raise mine. i'm sitting at a table who rekwoil r recoil in horror it takes a village. u want to tell heidi what t do. >> ke, i don't think you're in favor of the nanny ate. you don't want the nay state to come in and foe people. >> i justhink back to wheny dad used to give me 50 cents to ta out the garbage. i didn't really do it fothe 50 cents xs. i did it because whether he paid me or not, he was going to make me do it anyway. >> steve brings up a good pnt. in a way, an allowance is kind of bbe to get your kids to pick up their room, right? >> absolutely. i do it with my threlittle kids. the bottom line is, we want to talk about creatie ing healthy habits. if she's doingis through
incentive, that's a great opportunity, whether it's th the trash, when wl it's exercise. you want to get them into a habit of eing well and habit of exercising and habit of helping out around the house. these are good things but please don't judge me in how i raise my kids. >> that has to be the last word. we're not judging you, sabrina. thank you very muc coming up, luxury brands are making big money these days. now it's your turn with our informer's luxury stocks you don't want to miss. they're coming right up. with the spark cash card om capital one... boris earns unlimited rewards for his small business. can i get the smith contract, ease? thank you. that's three new par shredders. [ boris ] put 'em on my spark card. [ garth ] boris' small busines earns 2% cash back on every pchase every day.
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lots of luxury companies. morgan restoration hardware. >> this is a high-end home remodeler. this is a way toplay the housing wave. they've been seeing major sales owth and have expansion plans. >> emac? >> gre idea. keep an eye on sts. this company has been operating on losses in recent quarters. >> you like cooper tires. why? >> cooper tires is so undervalued. thistock wall street will say is a stale, it makes tires for luxury and other vehicles xs i like this stock. >> mike? >>ood company, be careful though. revenue has gotten flat. >> encore capita >> they collect money from deadbeats. a lot of deadbeats. ed economy is very d and it's only trading for twice book value. >> sounds great, morgan. >> it does. i think this great potential long term. keep an eye out because dodd/frank financial regulations are a threat here. >> by the way, does everybody thk the market will continue
to go up? >> yes. >> no. >> yes. >> i'lgoith the yeses. thanks for watching. the numb one busiss block continues with eric bowling and cash me ply. ♪ash me ply. ♪ irs cruise foorg bruising after picking a fight withonservatives, texas senator ted cruze is here. leading the chae to abolish the irs altogether. you don't have to be a reporter for this administration to size you up. now thanks to obamacare if you weigh too much or smoke, you'll be slapped with a fine. is had a fine with you? and teacher is in hot water, is this what is wrong with the american education system. "cashin' in" looking for your rights starts right now. >> welcome to "cashin' in."