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think there are a couple of areas of opportunity for the White House to work with Congress. One is
some sort of budget deal. I don't think that a large scale budget deal is in the cards because
Republicans seem dead set against any new revenue, and I don't think the White House will go along
with any deal that reduces the deficit that doesn't also increase taxes in some way, even if it's
closing loopholes.
So I do think a smaller deal is possible, maybe some modest trims to social safety net programs
when it comes to wealthier recipients and also some spending cuts. And also, of course, there's
immigration reform which I think is an area where there can be serious movement. There is
momentum for it in the Senate and among the establishment Republicans in the House. The big
question is, will the conservatives, the Tea Party coalition in the house block it the way they did with
so much having to do with the government funding bill and the debt ceiling debate?
ROMANS: You know, Greg, you heard Jake's analysis is. I want to know your analysis and the
president and his ability to take on his own party on entitlements. Maybe he'll be able to scale back
the safety net for wealthier Americans. Will you get real entitlement reforms? Can the president take
that on?
GREGORY VALLIERE, CHIEF POLITICAL STRATEGIST, POTOMAC RESEARCH GROUP: That's
tough. Two things I'd say, Christine. Number one, I think you can't get a big entitlement deal
without some revenues, and the Republicans are not going to raise taxes, end of that discussion.
Number two, I think people probably have to get off this debate about maybe doing something to the
Social Security COLA, the cost of living adjustment. That's not going to happen. But there are other
entitlement savings, maybe some means testing, that I think could be part of this deal that Jake
talked about.
ROMANS: Even a small deal could be ugly, guys. We're talking about things that have been real and
tractable problems for several years now. Jake, has the tone shifted? I mean, the president changing
the subject to immigration reform, maybe that's, you know, a good sign, but has the tone shifted?
TAPPER: It's kind of like if you're in a bad relationship and you stay in that bad relationship hoping
that it will get better, and five years later all you have is five years worth of nasty memories and
things to bring up. That's kind of the relationship of President Obama.
ROMANS: Love advice from Jake Tapper on the program.
TAPPER: I'm talking about previous girlfriends not my current wife, or only wife.
(LAUGHTER)
TAPPER: But the idea that -- for instance, I've asked Republican congressmen what about a deal?
What about some sort new revenues? And the answer almost to a Republican is President Obama
already got that. Look at the Bush tax cuts and the deal at the end of 2012 and the fact that taxes did
go up on individuals earning more than, I think it landed at somewhere around $450,000 a year.
ROMANS: Right.
TAPPER: They say there it is. That's the Obama tax increase. He already got it and they don't want
to talk about anything beyond that. If you ask Democrats, some of them say, well, the Republicans
already got their spending cut, look at the sequester cuts, those built-in budget cuts. They already
got their spending cuts. So right now there's a lot of baggage that I think is impeding any sort of
attempt to come to the table and start dealing anew with new revenues or new changes to safety net
programs and spending cuts.
ROMANS: Well, we all can keep hoping for progress and try not to be mired to the negativity. Nice
to see both of you guys, have a great weekend.
TAPPER: Thank you.
ROMANS: There's more than just Washington that matters to your money. For other stories that
matter to your bottom line, give me 60 seconds on the clock. It's "Money Time."
(BEGIN VIDEOTAPE)
ROMANS: More young people are just saying no to work. In 2000, 83 percent of 20 to 34-year-olds
had jobs or were looking. Today, it's less than 78 percent. Men are doing more grocery shopping and
food makers are taking notice. Darker packages, buzz-words like "ultimate" and commercials like
this -UNIDENTIFIED MALE: Eat like that guy you know.
ROMANS: -- are designed to snag male customers.
From singles bar to search bar, according to a new survey, 38 percent of Americans who are single
and ready to mingle have used online dating. Almost 60 percent of Internet users say it's a good way
to meet people, a 15-point jump from 2005.
Good news for gas prices, they could fall to three-year lows if the current trend holds. But watch out
for airfares. You can expect to pay nine percent more this year for Thanksgiving travel.
Tax season will be delayed thanks to the government shutdown. The IRS will start processing
returns around the end of January, a week or two later than planned. But that won't push back the
April 15th deadline to file.
And Lionel Trains chugging into cyber space. The 113-year-old brand is going digital with a new iPad
app and a new iPad game.
(END VIDEOTAPE)
ROMANS: Coming up, McDonald's caught advising full-time employees to apply for food stamps.
We'll tell you the high price we all pay for low fast food wages and fast food prices next.
(COMMERCIAL BREAK)
ROMANS: As if the "Do you want fries with that?" economy was bad enough, but now workers are
left to ask, do you want food stamps with that? This week an advocacy group called Low Pay is Not
OK posted a recording of a McDonald's employee calling the McResource help line. During the call
the operator advises the worker to apply for food- stamps and Medicaid.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: Do you have kids?
what people go to a Wendy's for. And McDonald's is, you know, trying to do all things to all people.
ROMANS: So does McDonald's need to keep its eyes on the fries?
PENNEY: To grow again they actually need to shrink. If they take their menu and eliminate those
items that aren't selling, then people will gravitate to the items that are more popular.
ROMANS: Tell that to Starbucks. After conquering coffee, the Seattle house of high-priced hot
liquids is opening tea houses.
HOWARD SCHULTZ, CEO, STARBUCKS: The acquisition of juice, the acquisition of food, all of that
is enhancing the experience of Starbucks creating different need states for our customers and
recognizing that these things are about creating complementary experiences for our coffee
customer.
TAPPER: But back in burger land, customers would rather keep it simple.
PENNEY: McDonald's is the biggest restaurant company on the planet for a reason. It's done one
thing well for 50 years, sells burger, fries, and coke.
ROMANS: Mess with the menu and you may get grimaced.
(END VIDEOTAPE)
ROMANS: You have to appeal to a younger audience too, so a lot of work ahead for McDonald's.
All right, up next, housing market hot or cold? I'm going to show you the only three numbers that
matter in housing.
Plus, imagine your home ravaged by hurricane Katrina, you rebuild, and now your house is taken
away from you again eight years later.
(BEGIN VIDEO CLIP)
GAYNELLE SORINA: You could digest tragedy from Mother Nature, I can, me personally. But when
you have this kind of storm to take place, I can't digest that.
(END VIDEO CLIP)
ROMANS: These families are not battling a storm, they are battling the banks.
(COMMERCIAL BREAK)
ROMANS: All right, I have the real story of what's going on in the housing market in three simple
numbers to explain. First, falling mortgage rates, 4.13 percent, the average for a 30-year fixed rate
mortgage, that is the lowest now in four months. And those rates are likely to drop even more. Why?
Because of this little number, the yield on a ten-year treasury note dipped below 2.5 percent this
week. A blah jobs report likely means Ben Bernanke and his Fed will keep the extraordinary bond
buying for a while longer, at least until Janet Yellen takes over next year. The Fed's bond buying
keeps rates low, and that's great news for first-time home buyers or anyone looking to refinance.
But my third number shows that low interest rates often don't matter in housing. Cash, baby, cash -49 percent of all home purchases in September were 100 percent cash, no mortgage, more evidence
people with money are still making money.
And then there's this -- it's been more than eight years since an active nature devastated New
Orleans. Hurricane Katrina killed hundreds and left thousands homeless. Rosa Flores here with
more. Rosa, families that live to tell the tale now victimized again.
ROSA FLORES, CNN CORRESPONDENT: Believe it or not, Christine, many of them homeless again
due to a perfect storm they didn't see coming that left middle class families like the one you're about
to meet in foreclosure.
(BEGIN VIDEOTAPE)
FLORES: Gaynelle and Adolf Sorina celebrated when they finished repairing their home after it was
destroyed by hurricane Katrina.
ADOLF SORINA: You had to do what you had to do.
GAYNELLE SORINA: Yes. It was survival.
FLORES: They look forward to sewing these suits in their family home, a tradition for four
generations among members of the black feather Mardi Gras Indian tribe. But today they're without
their historic home once again, lost not to a hurricane but to foreclosure.
After losing your home during Katrina, you weren't expecting something like this to happen again.
GAYNELLE SORINA: You could digest tragedy from Mother Nature. I can, me personally, but when
you have this kind of storm to take place, I can't digest that.
FLORES: Their troubles began when their son became very ill, all while they were rebuilding after
another hurricane. Fearful of falling behind on their mortgage, they asked their bank to renegotiate
their loan.
ADOLF SORINA: "Notice the date is July 11th, 2009. We are pleased to advise you your loan
modification has been approved."
FLORES: Yet each month, Bank of America kept billing them the higher amount from the old
mortgage. Ada Serena kept paying on time as bank reps assured him it was just a mistake.
And did you make all of those payments?
ADOLF SORINA: Made all of those payments.
FLORES: On time.
ADOLF SORINA: On time.
FLORES: A year later, the bank foreclosed anyway, taking the home where he grew up, where his
son was born. The bank sold off their home for $48,000, less than half of what they owed.
JAMES PERRY, GREATER NEW ORLEANS HOUSING ACTION CENTER: These are some of the files
of people that we've helped over the years since Katrina.
FLORES: James Perry leads an organization that fights foreclosures.
PERRY: They're so proud of what they accomplished because they worked so hard to get there. And
it didn't matter how many hurricanes came, it didn't matter what happened, those families rebuilt
because they were there to stay.
FLORES: In a statement, Bank of America said "We apologize to the Sarinas for the events that
clearly should not have happened the way they did. While we did not provide the service they
expected from us, we're confident this is a unique case."
The federal government accused 13 banks, including Bank of America with unsound foreclosure
practices in 2009 and 10. The bank's admitted no wrong doing but paid $3.6 billion in settlement
money. The Sorinas' cut, $2,000.
(END VIDEOTAPE)
FLORES: Now hear this, Bank of America made the Sorinas made a verbal offer of $100,000 in an
effort to make things right in a fair way they say. But the Sorinas tell CNN that $100,000 is not a fair
settlement. And, Christine, here's their wish list -- or the majority of their wish list -- a mortgage-free
five bedroom, three bathroom new home in the Pontchartrain Park subdivision in New Orleans,
which is where they live, and also a monetary stipend for $750,000 for the five members of their
household.
ROMANS: Sounds to me like a reasonable way for Bank of America to get out of a bad and sticky
situation that obviously Bank of America made a terrible mistake and hurt this family. We'll keep up
to date with what they're doing and what happens in the very end. Thank you so much. Thank you
for bringing that story and we'll follow up.
Coming up, finding a voice, there's an app for that.
(BEGIN VIDEO CLIP)
JACQUELINE CEONZO, MOTHER OF 18-YEAR-OLD WITH AUTISM: To watch a video of my son go
into a subway and order lunch and use a credit card and pay for it, I mean, can you imagine?
(END VIDEO CLIP)
ROMANS: You're going to meet an 18-year-old with autism who has never spoken to his parents
until now.
(COMMERCIAL BREAK)
ROMANS: It was a week of tablet showdowns and soaring tech stocks, but it's important to
remember profound ways technology is changing lives. You probably know a child or a parent
affected by autism. The Centers for Disease Control and Prevention says the number of children on
the autism spectrum in the U.S. has increased tenfold in the past 40 years. In some cases those with
the disorder are nonverbal. They struggle to communicate even with their parents. Finding a voice,
there's an app for that. CNN Money's Laurie Seagall introduces us to a teen named Joey. Hi, Laurie.
LAURIE SEAGALL, CNN MONEY CORRESPONDENT: Hey, Christine. We were lucky enough to
spend a day with Joey. He's got supportive parents and teachers. And they helped us understand
how technology has changed his life. Take a look.
(BEGIN VIDEOTAPE)
SEAGALL: Ordering a sandwich has always been tough for Joe. He's 18 years old and he has autism.
CEONZO: Joe doesn't talk. Joe has never spoken to us.
SEAGALL: For his entire life Joe expressed himself by pointing.
CEONZO: Do you want yogurt or grapes?
SEAGALL: That's what he could eat and where he could go, even the bathroom. He could get
agitated at times, even violent.
CEONZO: He was biting himself, which a lot of kids on the spectrum will do. And I think that comes
out of frustration from not being able to communicate.
UNIDENTIFIED MALE: Put paper plates on the table.
SEAGALL: But a year ago, his communication skills improved. For the first time, he was able to get
through to his mother. He's using an iPad app called Autismate. Joe's still pointing, but his
communication abilities have improved.
UNIDENTIFIED FEMALE: You want strawberries.
SEAGALL: His interaction less frustrating.
UNIDENTIFIED MALE: Put the silverware on the table.
SEAGALL: Using the technology, Autismate it combines a child's physical surroundings with videos
of the child in those surroundings.
CEONZO: It's Joe in the pictures, which all the other things are those symbols of things which Joe
doesn't have an imagination, so trying to figure out what the picture meant just made things more
complicated.
SEAGALL: He's learning, and he's much, much calmer.
MARK KANTER, SUPERVISOR, SPEECH AND LANGUAGE, THE MCCARTON SCHOOL: When Joe
came to us at 15, really the extent of his communication was he was pushing us away if we were
stopping him from something or grabbing what he wanted. But there was no real attempts at verbal
language.
SEAGALL: Autismate has become a common teaching tool for kids in his school.
UNIDENTIFIED MALE: Get the putty, Joe. Nice work, bud. That is the putty. You drink with a -- cup.
Nice job, bud.
UNIDENTIFIED FEMALE: Show me something that goes with seat belts. Car goes with seat belts,
you're so good.
KANTER: We're trying to give that correspondence where this magazine or this putty is represented
by this picture here, literally what you're seeing in front of you. So if you touch what you want here,
we'll give it to you.
SEAGALL: Subway is a block away from Joe's school. For the first time, he can order on his own.
UNIDENTIFIED MALE: A 12-inch Italian bread, Italian BMT, provolone cheese, pickles and chips
please.
CEONZO: To watch a video of my son go into a subway and order lunch and use a credit card and
pay for it. I mean, can you imagine?
(END VIDEOTAPE)
SEAGALL: The progress he's made is really unbelievable. I should mention, Christine, Autismate is
not cheap. It costs $150 in the app store. But I'll say this, it's comparable to a lot of other therapy
apps out there, and it's still a lot less than some of the older tech out there, which costs thousands of
dollars. And, you know, when it comes down to it, it's an investment a lot of families are willing to
make and also a reminder that technology can change lives.
ROMANS: Really finding his voice for the first time, what a wonderful story. Laurie Seagall, thanks.
For more on the stories that matter to your money this week, visit our blog at CNN.com/yourmoney.
I'm going to take you through everything you need to know about J.P. Morgan's record $13 billion
settlement and what the future holds for Jamie Dimon, the CEO. Have a great weekend.
FREDRICKA WHITFIELD, CNN ANCHOR: Hello, everyone, I'm Fredericka Whitfield. Here are the
top stories we're following in the CNN Newsroom.
Right now protesters are gathering in D.C. showing their anger over the U.S. spying on international
allies and U.S. citizens.
And 17 years after her murder, what happened to Jonbenet Ramsey remains a mystery. Straight
ahead the former lead investigator in the case reveals his thoughts about a possible new lead in the
case.
And two people are suing Barney's department store in New York, claiming store clerks racially
profiled them. And now fans of rapper and media mogul Jay-Z want him to reconsider his business
ties to the store.
An intelligence team from Germany is preparing to come to the U.S. after claims the NSA spied on
foreign leaders. Those claims have sparked sharp criticism from abroad and also at home. There's a
protest right now going on right in the nation's capital, and we'll get to that in a minute. But first,
let's start in London. Jim Bolduen is there live. So Jim, what is the latest from Germany and other
countries who have learned that the U.S. has spied on them?
JIM BOLDUEN, CNN INTERNATIONAL CORRESPONDENT: Yes, well Germany seems to be taking
the lead on this here in Europe because Angela Merkel, the chancellor, the allegations are that her
phone was snooped on by the U.S., and this is a phone she uses and we see her using in many
meetings, et cetera. So she seems to have taken the lead on this. And the Germanys have told CNN
that the head of the domestic intelligence unit and the international intelligence unit from Germany
will be heading to the U.S. in a couple of weeks.
he of course is that whistleblower who brought this big controversy out into the open this summer.
And I want to read part of that statement to you. "We are here to remind our government officials
that they are public servants, not private investigators. This is about the unconstitutional, unethical,
and amoral actions of a modern day surveillance state and how we all must work together to remind
the government to stop them."
So, again, Fred, like I said, this is just about the domestic side of it. But last night, Hillary Clinton
was speaking at Colgate University and she addressed this controversy in a broad context and
basically said we need to explain why the government has to use these techniques for surveillance.
It's been an important thing since September 11th. But she understands why there's some
frustration, Fred.
WHITFIELD: All right, Erin McPike, thanks so much for that from Washington.
So the White House said this week that the healthcare.gov Web site should be running smoothly by
the end of November. Republicans responded today in their weekly radio address. Congressman
Fred Upton saying Americans should expect reliable service from the website. He also said the
deadline for individuals to sign up should be pushed back because the site is still, quote, "not ready
for primetime."
Friends and family will gather this weekend to say goodbye to a teacher police say was killed by one
of her students. Colleen Ritzer's viewing will be Sunday in Andover, Massachusetts. Officers say the
teacher at Danvers High was killed Tuesday, her body dumped in the woods behind the school.
Police arrested one of her algebra students, Phillip Chism, for the murder. Sources say the 14-yea-old used a box cutter in the killing, and after the murder, officers say Chism changed clothes,
grabbed fast food, and then took in a movie. Prosecutors haven't decided whether to charge him
with first or second degree murder.
Grand jury documents have been unsealed in the Jonbenet Ramsey case nearly 17 years after the
six-year-old's death. But it's not likely to help solve her murder. Here's Ana Cabrera.
ANA CABRERA, CNN CORRESPONDENT: Fred, the newly released documents show that a grand
jury in 1999 voted to indict John and Patsy Ramsey in the death of their six-year-old daughter. That
never happen and DNA evidence eventually exonerated the family.
But the new information raises even more questions about what really happened the night Jonbenet
died.
(BEGIN VIDEOTAPE)
CABRERA: It's a murder mystery that remains unsolved after 17 years, who killed Jonbenet Ramsey.
Apparently a jury in 1999 believed her parents had something to do with the six-year-old's death. A
Colorado judge just released previously sealed documents, four pages from a 1999 grand jury
indictment. The documents show the grand jury voted to indict John and Patsy Ramsey on two
counts, child abuse resulting in death, and being an accessory to the murder. Yet charges were
never filed. At the time, then district attorney Alex Hunter said there just wasn't enough evidence.
DANNY CEVALLOS, LEGAL ANALYST: Although the grand jury concluded there's probable cause,
that is not anywhere close to the same standard as beyond a reasonable doubt.
CABRERA: All along, the Ramseys claimed an intruder killed their daughter.
three of them.
PAUL: OK. Do you think -- boy, at this point, do you think this case is ever going to be solved? That
we're ever going to know?
KOLAR: It's very unlikely unless there's a confession or someone else comes forward that has
information that's been shared with them. There is one other possible lead that I proposed to the
Boulder Police Department and the D.A.'s office over the course of writing "Foreign Faction," and
that was another grand jury inquiry and calling Burke Ramsey to the stand in that event.
Would anything come of that? I couldn't say for certain. But he turned efforts away from
investigators to interview him back in 2009, and a grand jury might be another opportunity to see if
they can get that interview.
PAUL: And again, who is it that you would like to hear them interview?
KOLAR: Burke Ramsey.
PAUL: And Burke is?
KOLAR: Burke is the son who was in the home at the time of the homicide.
PAUL: The 13-year-old. Did you interview Burke yourself?
KOLAR: No, I did not interview him. Boulder police attempted to interview him after the chief called
the cold case task force meeting to review all the circumstances before he took the case back from
the D.A.'s office. Those efforts to speak to him, he is now an adult, were not granted. So that's one
additional possible lead I think could be followed up on.
PAUL: OK.
(END VIDEOTAPE)
WHITFIELD: All right, coming up in the 3:00 eastern hour, the journalist who pushed for these court
documents to be unsealed, why he fought so hard to get the information and what he thinks about
the grand jury's recommendation to indict the parents many years ago.
All right, shopping while black, that's the crime that two more people say they were accused of at a
high-end New York store. Now Jay-Z has found himself caught right in the controversy.
(COMMERCIAL BREAK)
WHITFIELD: Racist comments cost a Republican leader in North Carolina his job. Don Yelton was
interviewed by the "Daily Show" about North Carolina's new voter I.D. law. His comments, well,
they're enraging people.
(BEGIN VIDEO CLIP)
DON YELTON, FORMER NORTH CAROLINA COUNTY GOP CHAIRMAN: If it hurts a bunch of
college kids that's too lazy to get up and go get a photo I.D., so be it. If it hurts the whites, so be it. If
it hurts a bunch of lazy blacks that wants the government to give them everything, so be it.
JEANNE MOOS, CNN CORRESPONDENT: Have you seen the mystery girl? She's not missing but
she Is impossible to miss.
UNIDENTIFIED MALE: The troubled launch President Obama's health care law.
UNIDENTIFIED MALE: The botched rollout of health care has not only embarrassed the White
House.
MOOS: She's been floating across our TV screens, smiling out at us from our computers, online, at
least. This isn't the face of Obamacare. This is. And critics are having a field day tweeting congrats
vapidly smiling healthcare.gov splash page photo girl. You're now the most despised face on planet
earth. How would you like having your face associated with phrases like "problem plagued." Watch
your back newscasters, she's behind you.
UNIDENTIFIED MALE: Takes the heat for the Obama Web site glitches.
MOOS: Screen right.
UNIDENTIFIED MALE: The problems.
MOOS: When we asked about her identity, the company responsible for building much of the website
didn't call us back nor did health and human services. A small company that originally worked in the
homepage told us she was part of the mock-up from the design folks. We checked stock photo files
but couldn't find her. Her face is even being defaced. "Does she have Obamacare?" someone
tweeted. Obamacare girl isn't getting the love the original Obama girl got back in 2008.
(SINGING) MOOS: Some are crushing Obamacare girl by comparing her to Joey on friends.
UNIDENTIFIED MALE: As of today, I'm officially Joey Tribiani actor/model.
MOOS: But Joey's dream modeling job became a nightmare when he saw his photo plastered all over
New York in a poster warning "VD, You never know who might have it." Are Obamacare girls
snickering like Joey's?
UNIDENTIFIED FEMALE: You know how laughter can be infectious.
(LAUGHTER)
MOOS: But Obamacare is the treatment, not the disease, and while the original Obama girl sang of
healthcare reform.
UNIDENTIFIED FEMALE: Universal healthcare reform.
MOOS: Poor Obamacare girl gets the cold shoulder and all she does is smile, the enigmatic Mona
Lisa of health care.
Jeanne Moos, CNN -If this is you, call me.
New York.
(END VIDEOTAPE)