DOLLAR VALUE. IT’S CERTAINLY UP NICELY TODAY. AND WORTH $960 BILLION.>>>OUR NEXT GUEST HAS A GREAT HEADLINE FOR US. HERE IT IS: CONNECTICUT IS DROWNING IN DEBT. SHOULD THE REST OF US HAVE TO PAY? MITCH DANIELS IS HERE, FORMER GOVERNOR OF INDIANA. HE WROTE THAT HEADLINE IN “THE WASHINGTON POST.” GOVERNOR, IT’S GREAT TO SEE YOU AGAIN, SIR. WELCOME BACK. REAL CRISIS IN THE PAYMENT OF PENSIONS TO RETIRED GOVERNMENT WORKERS IN CALIFORNIA, ILLINOIS, NEW JERSEY, NEW YORK AND, YES, CONNECTICUT. I READ YOUR ARTICLE. THERE’S NO SOLUTION HERE, IS THERE? WE CAN’T PAY.>>FIRST OF ALL, I’M NOT PICKING ON CONNECTICUT UNIQUELY. I WAS OBSERVING THE HISTORICAL SENATE, ULTIMATELY, IF THERE’S AN ATTEMPT TO NATIONALIZE THESE DEBTS AS I THINK THERE MAY BE, THEIR DELEGATES TO THE CONVENTION CREATED IT. BUT THEY’RE JUST ONE OF, AS YOU ANTICIPATED, A NUMBER OF STATES INCLUDING SOME OF THE BIGGEST STATES THAT ARE IN DEEP WATER. I THINK IT IS IRRETRIEVABLE. PENSIONS IS THE CORE OF IT. IT’S NOT THE ONLY FISCAL RECKLESSNESS THAT THEY HAVE PRACTICED. BUT IT IS, IN SOME OF THOSE CASES THE BILLS ARE GENUINELY UNPAYABLE. STUART: WHAT’S THE END GAME? IF THE BILLS ARE UNPAYABLE — THING END?>>SOMEONE’S GOING TO THE BARBERSHOP. SOME OF THESE STATES. ENOUGH TO COME CLOSE TO THE DEBTS THEY ALREADY HAVE AND THE UNFUNDED PROMISES THAT THEY HAVE MADE. SO THERE MAY BE A WAY MANY SOME STATES — IN SOME STATES TO HAVE SOME PLACES THEY’VE ACTUALLY BEEN CONSTITUTIONALLY PROTECTED. SO THAT’S NOT AVAILABLE. STUART: THEY CAN’T DECLARE BANKRUPTCY, CAN THEY?>>THEREFORE, IF YOU’RE A BONDHOLDER, BE CAREFUL. STUART: WELL SAID. MADE THAT DEAL WITH THE EUROPEANS YESTERDAY. THAT TRADE WITH THE EUROPEANS. SORRY, I DON’T HAVE THAT SOUND BITE AVAILABLE. BUT, ESSENTIALLY, GOVERNOR, I BELIEVE YOU WERE ORIGINAL HI CRITICAL OF — ORIGINALLY CRITICAL OF THE WHOLE IDEA OF TRADE TARIFFS. NOW WHAT DO YOU SAY AFTER THE AGREEMENT BETWEEN U.S. AND THE EUROPEANS — US AND THE EUROPEANS REACHED YESTERDAY? UNIVERSITY PRESIDENT ON THE TOPICAL MATTERS OR POLITICAL MATTERS. I WILL SAY THAT AS A GENERAL RULE IT’S ALWAYS BEEN A GOOD AND WE OUGHT TO BE TRYING, AS MANY HAVE FOR A LONG TIME, TO GET OUT OF THE BUSINESS OF CREATING SURPLUSES AND THEN BUYING THEM UP FOR SUBSIDIZING THEM. SO I THINK WE PLAY A DANGEROUS GAME. I LIVE HERE IN A STATE WHICH IS ONE OF THE BIGGEST SOYBEAN AND CORN PRODUCERS OR AND EXPORTERS, AND I KNOW A LOT OF FARMERS. AND THE VAST, VAST MAJORITY WOULD GREATLY PREFER TO BE ALLOWED TO COMPETE SUCCESSFULLY BASED ON THEIR SKILL AND TECHNOLOGIES LIKE WE PRODUCE AT PURDUE. STUART: BUT IF YOU GET A TRADE DEAL WITH CHINA AND YOU’VE GOT ONE THE EUROPEANS, YOUR FARMERS IN INDIANA, THEY’RE GOING TO LOOK PRETTY GOOD, AREN’T THEY?>>THAT’S WHY I DON’T WANT TO PREJUDGE OR COMMENT ON THE WISDOM OF THIS OR THAT IMMEDIATE POLICY. IT COULD ALL WORK OUT WELL, AND LET’S HOPE IT DOES. 1930s PROGRAMS IN A BIG WAY AS WAS, AS WAS SUGGESTED RECENTLY FUTURE. STUART: ALL RIGHT, GOVERNOR, WE’LL BE WATCHING IT.