1 00:00:00,240 --> 00:00:00,600 Speaker 1: Michael. 2 00:00:01,000 --> 00:00:04,200 Speaker 2: One time I lost my wallet and found it behind 3 00:00:04,280 --> 00:00:05,400 Speaker 2: the toilet in my house. 4 00:00:06,240 --> 00:00:08,680 Speaker 3: How about if you find a wallet and you put 5 00:00:08,720 --> 00:00:11,360 Speaker 3: in twenty bucks before you give it back. 6 00:00:12,000 --> 00:00:18,480 Speaker 1: Is that shows you're a good person? Okay, not sure 7 00:00:18,720 --> 00:00:19,759 Speaker 1: why I would do that. 8 00:00:20,040 --> 00:00:24,479 Speaker 2: But back to CBS News, we're talking about Medicare and 9 00:00:24,600 --> 00:00:29,120 Speaker 2: medicaid fraud, particularly in the hospice, and we have the 10 00:00:29,120 --> 00:00:31,920 Speaker 2: same kind of fraud going on in Colorado. Let's go 11 00:00:32,040 --> 00:00:34,720 Speaker 2: back to California for a moment, and here's the rest 12 00:00:34,760 --> 00:00:36,280 Speaker 2: of the CBS report. 13 00:00:36,440 --> 00:00:39,559 Speaker 3: This has brought criminal cases for hospice fraud against one 14 00:00:39,640 --> 00:00:41,040 Speaker 3: hundred and nine defendants. 15 00:00:41,120 --> 00:00:44,400 Speaker 4: We will continue until hospice fraud in California is rooted out. 16 00:00:45,400 --> 00:00:48,280 Speaker 3: And Adam Yamagucci joins us now from Los Angeles. Adam, 17 00:00:48,720 --> 00:00:51,720 Speaker 3: we shouldn't lose the fact of the matter that there 18 00:00:51,720 --> 00:00:53,279 Speaker 3: are real people at the center here. 19 00:00:53,280 --> 00:00:56,520 Speaker 1: What can you tell us about the human impact? Yeah? 20 00:00:56,560 --> 00:00:59,680 Speaker 3: Absolutely, And that's really what drives the heart of this story. 21 00:00:59,720 --> 00:01:04,040 Speaker 3: There are real victims, real patients in need. Lynn the 22 00:01:04,080 --> 00:01:06,880 Speaker 3: woman who we spend time on the pickleball court with, 23 00:01:07,280 --> 00:01:10,480 Speaker 3: she's considered one of the lucky cases, and that she was, 24 00:01:10,600 --> 00:01:14,000 Speaker 3: you know, seeking physical therapy. This wasn't a life you know, 25 00:01:14,160 --> 00:01:16,800 Speaker 3: a sort of a life saving treatment that she was 26 00:01:16,840 --> 00:01:20,039 Speaker 3: in need of. There are real victims out there who 27 00:01:20,080 --> 00:01:24,479 Speaker 3: need cancer treatment, they need dialysis, and like Lynn, they 28 00:01:24,480 --> 00:01:26,560 Speaker 3: find out that they are not eligible for the care 29 00:01:26,640 --> 00:01:30,040 Speaker 3: because somebody has stolen their Medicare number, run up the bills, 30 00:01:30,240 --> 00:01:32,480 Speaker 3: and you know when when Medicare says that you are 31 00:01:32,480 --> 00:01:35,039 Speaker 3: in hospice, you are ineligible for any other treatment. 32 00:01:35,160 --> 00:01:36,959 Speaker 1: So there are real, real stakes here. 33 00:01:37,120 --> 00:01:39,080 Speaker 3: Why has this been so difficult for the state to 34 00:01:39,160 --> 00:01:43,600 Speaker 3: stop the One of the primary reasons seems to be 35 00:01:43,600 --> 00:01:47,360 Speaker 3: the sheer number of hospices that are licensed in the 36 00:01:47,360 --> 00:01:48,200 Speaker 3: state of California. 37 00:01:48,200 --> 00:01:49,080 Speaker 1: We saw on the piece that. 38 00:01:49,040 --> 00:01:53,040 Speaker 3: There are over eighteen hundred in La County alone, seven 39 00:01:53,160 --> 00:01:56,400 Speaker 3: hundred of them. This is four years after the state 40 00:01:56,520 --> 00:02:00,360 Speaker 3: audit issued a scathing report about in the rampant nature 41 00:02:00,400 --> 00:02:04,640 Speaker 3: of this hospice fraud, seven hundred still operating in La 42 00:02:04,720 --> 00:02:09,120 Speaker 3: County with multiple red flags. So the state says it 43 00:02:09,200 --> 00:02:12,200 Speaker 3: is doing what it can and is currently investigating a 44 00:02:12,320 --> 00:02:15,880 Speaker 3: number of cases and says that it will likely take 45 00:02:16,280 --> 00:02:18,840 Speaker 3: some kind of enforcement action in the near future. The 46 00:02:18,840 --> 00:02:21,720 Speaker 3: federal government is also saying and doing the same, but 47 00:02:22,120 --> 00:02:26,519 Speaker 3: again that sheer number volume of hospices remains the problem. 48 00:02:27,960 --> 00:02:32,280 Speaker 2: That's the bureaucratic inertia that we talked a little bit 49 00:02:32,639 --> 00:02:37,800 Speaker 2: yesterday about with the Uranian situation and the inability of 50 00:02:38,080 --> 00:02:42,120 Speaker 2: the FCC, the State Department, and the Treasury Department to 51 00:02:42,160 --> 00:02:44,239 Speaker 2: all to get together open the file drawer at the 52 00:02:44,280 --> 00:02:51,120 Speaker 2: same time give sanctions relief for direct to sell communications 53 00:02:51,600 --> 00:02:56,200 Speaker 2: so that we can allow the Iranian community, the diaspora, 54 00:02:56,280 --> 00:02:59,640 Speaker 2: and the people in country to communicate with one another 55 00:03:00,240 --> 00:03:04,120 Speaker 2: so that they can start organizing their uprising and taking 56 00:03:04,160 --> 00:03:04,960 Speaker 2: back their government. 57 00:03:06,320 --> 00:03:07,280 Speaker 1: We can't even do that. 58 00:03:08,840 --> 00:03:11,760 Speaker 2: Now, just take that, which is a huge international thing 59 00:03:11,800 --> 00:03:14,880 Speaker 2: that involves ninety million people. Now, let's just take the 60 00:03:14,919 --> 00:03:19,880 Speaker 2: inability of the Congress or the three government agencies, the FCC, 61 00:03:20,040 --> 00:03:30,519 Speaker 2: State Department, and the State Department. Oh, Treasury treasure is 62 00:03:30,520 --> 00:03:32,760 Speaker 2: the one. Yeah, Treasury Department. They're the ones that need 63 00:03:32,800 --> 00:03:35,320 Speaker 2: to do on the sanctions, and they can't even do 64 00:03:35,600 --> 00:03:40,120 Speaker 2: direct to sell licensings so that those people can communicate 65 00:03:40,440 --> 00:03:42,960 Speaker 2: and get around the gymming being done by the molas. 66 00:03:44,560 --> 00:03:50,240 Speaker 2: And then we wonder why in California you have seventeen 67 00:03:50,360 --> 00:03:55,320 Speaker 2: hundred they've known for four years and still nothing's been done. 68 00:03:56,000 --> 00:03:58,760 Speaker 2: And the fascinating thing and he admits it at. 69 00:03:58,640 --> 00:04:03,200 Speaker 3: The end and nature of this hospice fraud seven hundred 70 00:04:03,360 --> 00:04:07,280 Speaker 3: still operating in La County with multiple red flags. 71 00:04:07,320 --> 00:04:13,800 Speaker 2: So after four years, seven hundred, multiple red flags, still operating, 72 00:04:14,240 --> 00:04:16,520 Speaker 2: and what does he say, which the sheer number. 73 00:04:16,480 --> 00:04:19,560 Speaker 3: The state says it is doing what it can that 74 00:04:19,720 --> 00:04:20,600 Speaker 3: is currently. 75 00:04:20,400 --> 00:04:24,440 Speaker 2: Okay, Well that's not enough, so you need to do more, 76 00:04:25,600 --> 00:04:29,160 Speaker 2: but they won't. Do you think Newsom or the California 77 00:04:29,200 --> 00:04:31,520 Speaker 2: General Assembly. Do you think anybody's going to do anything 78 00:04:31,560 --> 00:04:32,000 Speaker 2: about it? 79 00:04:32,200 --> 00:04:33,400 Speaker 1: No? 80 00:04:33,400 --> 00:04:36,719 Speaker 2: Now, you have to give credit to CBS News for 81 00:04:36,839 --> 00:04:38,760 Speaker 2: at least bringing this to our attention. 82 00:04:40,000 --> 00:04:43,479 Speaker 1: That's actually the role of journalism. But that's all that 83 00:04:43,520 --> 00:04:44,120 Speaker 1: will happen. 84 00:04:45,560 --> 00:04:47,880 Speaker 2: I come here every day and bring things to your attention, 85 00:04:49,000 --> 00:04:53,720 Speaker 2: and nothing happens because we have as as my one 86 00:04:53,760 --> 00:04:57,040 Speaker 2: of my own political science professors and former administrators used 87 00:04:57,080 --> 00:05:02,159 Speaker 2: to tell me, sometimes government just gets too big. Bureaucracy's 88 00:05:02,360 --> 00:05:07,400 Speaker 2: organizations become too large, and they become unmanageable. And that's 89 00:05:07,440 --> 00:05:12,000 Speaker 2: what's happened here. And we're talking about one state, not 90 00:05:12,200 --> 00:05:15,440 Speaker 2: of all fifty seven states are involved in medicare. So 91 00:05:15,480 --> 00:05:19,640 Speaker 2: we know that the fraud probably exists everywhere throughout all 92 00:05:19,680 --> 00:05:24,440 Speaker 2: of the states, but at some point somebody has to 93 00:05:24,480 --> 00:05:32,400 Speaker 2: say enough is enough. You would think, go back to 94 00:05:32,440 --> 00:05:37,280 Speaker 2: the point that the California Department of Public Health does 95 00:05:37,320 --> 00:05:41,880 Speaker 2: both the licensing and the certification, so they're both doing 96 00:05:41,880 --> 00:05:45,599 Speaker 2: the same thing. And the CBS news story which you 97 00:05:45,839 --> 00:05:48,839 Speaker 2: just heard, it's a full five minute package. You heard 98 00:05:48,839 --> 00:05:51,440 Speaker 2: part of at the beginning. The rest of it just. 99 00:05:51,440 --> 00:05:53,479 Speaker 3: Now, and you can listen to it again at Michael 100 00:05:53,480 --> 00:05:55,800 Speaker 3: says go here dot com, along with the companion article. 101 00:05:56,160 --> 00:05:57,599 Speaker 1: Michael says, go here dot com. 102 00:05:57,600 --> 00:06:03,080 Speaker 2: Perfect and yes, And when we get back, I want 103 00:06:03,120 --> 00:06:08,279 Speaker 2: to explain to you how CBS found this information, because 104 00:06:08,320 --> 00:06:11,479 Speaker 2: if they can find it, why can't California. 105 00:06:11,560 --> 00:06:14,120 Speaker 5: If I'd have found your wallet, I would have just 106 00:06:14,160 --> 00:06:17,680 Speaker 5: put it in the donation box at DIA for the 107 00:06:17,720 --> 00:06:23,360 Speaker 5: TSA workers. You know, they're asking for gift cards and donations. 108 00:06:23,400 --> 00:06:25,000 Speaker 5: You know, if they got a hold of your wallet, 109 00:06:25,680 --> 00:06:29,120 Speaker 5: those TSA workers would be very happy. 110 00:06:30,720 --> 00:06:34,839 Speaker 1: For a really short period of time, maybe about fifteen seconds. 111 00:06:35,360 --> 00:06:37,160 Speaker 1: I find that odd. 112 00:06:39,000 --> 00:06:42,320 Speaker 2: Not that I'm opposed to helping out someone who is 113 00:06:42,440 --> 00:06:46,960 Speaker 2: struggling financially, No, dragon, I'm not going to help you. Well, 114 00:06:47,000 --> 00:06:51,640 Speaker 2: I find odd. What are the logistics of how they're 115 00:06:51,680 --> 00:06:52,200 Speaker 2: doing that? 116 00:06:54,680 --> 00:06:54,840 Speaker 1: Now? 117 00:06:54,839 --> 00:06:58,240 Speaker 2: I know when you buy a gift card that you 118 00:06:58,279 --> 00:07:02,039 Speaker 2: can get a gift receipt which will show how much 119 00:07:02,120 --> 00:07:03,800 Speaker 2: that gift card is worth. 120 00:07:05,400 --> 00:07:06,440 Speaker 1: But how many people go. 121 00:07:06,440 --> 00:07:10,960 Speaker 2: Buy a gift card and have a paper clip or 122 00:07:10,960 --> 00:07:13,880 Speaker 2: a piece of tape or something to attach to it, 123 00:07:14,560 --> 00:07:18,000 Speaker 2: and they have a bin or something where they're collecting 124 00:07:18,040 --> 00:07:22,280 Speaker 2: these cards, and then how do you make the distribution? 125 00:07:23,600 --> 00:07:30,440 Speaker 2: And do they put the bin as you're approaching the magnetometer, Hey, look, look, 126 00:07:30,600 --> 00:07:33,520 Speaker 2: I'm getting ready to put a gift card in. It's 127 00:07:33,600 --> 00:07:36,320 Speaker 2: kind of like, you know, it's like walking up to 128 00:07:36,440 --> 00:07:41,040 Speaker 2: a hamburger joint where you stand in line to place 129 00:07:41,080 --> 00:07:43,720 Speaker 2: your order, like a five guys. You go into a 130 00:07:43,760 --> 00:07:47,920 Speaker 2: five guys. Now you walk into a five guys. I'm 131 00:07:48,000 --> 00:07:49,920 Speaker 2: just picking on them because I just came to mind. 132 00:07:50,640 --> 00:07:54,600 Speaker 2: You walk into a five guys and you order standing up, 133 00:07:55,600 --> 00:07:58,600 Speaker 2: and then when they get your burger ready, you're over 134 00:07:58,640 --> 00:08:01,120 Speaker 2: priced burger. The you walk back up and you pick 135 00:08:01,160 --> 00:08:03,480 Speaker 2: up your burger, You fill your own drink up, You 136 00:08:03,520 --> 00:08:05,000 Speaker 2: do that, and then they even ask you to throw 137 00:08:05,040 --> 00:08:07,880 Speaker 2: your own trash away and yet they want a tip. 138 00:08:09,400 --> 00:08:11,520 Speaker 1: So what do we suppose if you don't give a tip, 139 00:08:11,560 --> 00:08:13,440 Speaker 1: you know, what are you gonna do? Spell on your burger? 140 00:08:14,440 --> 00:08:16,880 Speaker 2: So are you supposed to Is that like giving a 141 00:08:16,920 --> 00:08:22,360 Speaker 2: tip before you go through to get your rectal examination. Look, 142 00:08:22,840 --> 00:08:30,520 Speaker 2: I'm putting a gift guard in. I just seems what 143 00:08:30,560 --> 00:08:33,120 Speaker 2: we ought to do is we ought to take the 144 00:08:33,120 --> 00:08:36,160 Speaker 2: money we're paying the members of Congress while the government 145 00:08:36,200 --> 00:08:38,480 Speaker 2: shut down and say, you know what, we're going to 146 00:08:38,520 --> 00:08:39,600 Speaker 2: withhold your paycheck. 147 00:08:39,679 --> 00:08:39,800 Speaker 5: Now. 148 00:08:39,840 --> 00:08:40,360 Speaker 1: You can't. 149 00:08:40,600 --> 00:08:43,680 Speaker 2: You can't diminish the pay of a member of Congress 150 00:08:43,760 --> 00:08:47,400 Speaker 2: during their term, nor can you increase it during their term. 151 00:08:47,920 --> 00:08:51,480 Speaker 2: So you pay them, and you pay them, but you 152 00:08:51,520 --> 00:08:54,440 Speaker 2: could treat them the same. You could say, we're not 153 00:08:54,520 --> 00:08:58,360 Speaker 2: going to issue you a check until the government opens. 154 00:08:58,960 --> 00:09:03,199 Speaker 2: I think that would pass constitutional muster because they'll eventually 155 00:09:03,200 --> 00:09:06,679 Speaker 2: get paid. So you're not going to reduce their salary 156 00:09:06,920 --> 00:09:09,880 Speaker 2: and you're not going to increase their salary. You're just saying, 157 00:09:09,920 --> 00:09:11,880 Speaker 2: as long as the government said down, we're not going 158 00:09:11,920 --> 00:09:12,640 Speaker 2: to issue a check. 159 00:09:15,400 --> 00:09:17,720 Speaker 1: How about that. Let's do that. 160 00:09:18,679 --> 00:09:21,480 Speaker 2: Now, let's go back to the medicare because this fraud 161 00:09:22,040 --> 00:09:25,600 Speaker 2: is a great example of how government has grown so 162 00:09:25,800 --> 00:09:31,400 Speaker 2: big that it's just incapable of doing anything, with maybe 163 00:09:31,400 --> 00:09:34,920 Speaker 2: the exception, well with the exception of the military. That 164 00:09:35,120 --> 00:09:39,000 Speaker 2: CBS News story includes some really interesting details about one 165 00:09:39,040 --> 00:09:42,520 Speaker 2: particular company. It's identified in the story if you go 166 00:09:42,559 --> 00:09:44,640 Speaker 2: read it online at Michael Says go here dot com. 167 00:09:45,800 --> 00:09:47,720 Speaker 2: I assume that maybe in the story, I don't know, 168 00:09:49,360 --> 00:09:54,880 Speaker 2: the story that I listened to identifies one company, VML. 169 00:09:57,160 --> 00:10:01,079 Speaker 2: It had all six red flag indicators of fraud as 170 00:10:01,080 --> 00:10:05,600 Speaker 2: determined by the California State Auditor's Office. The average building 171 00:10:05,679 --> 00:10:10,280 Speaker 2: for patient for hospice services was forty nine thousand per 172 00:10:10,400 --> 00:10:17,000 Speaker 2: patient compared to a nationwide average of thirteen thousand. And 173 00:10:17,120 --> 00:10:20,800 Speaker 2: the business address was in a building that had multiple 174 00:10:20,840 --> 00:10:24,680 Speaker 2: other hospice care providers and it shared key personnel with 175 00:10:24,760 --> 00:10:28,520 Speaker 2: other companies in the same building. So CBS goes, they 176 00:10:28,600 --> 00:10:32,200 Speaker 2: visit the address, and in that video that's online at 177 00:10:32,240 --> 00:10:35,280 Speaker 2: Michael saysgire dot com, you can see the mail piled 178 00:10:35,360 --> 00:10:37,280 Speaker 2: up on the floor behind the lock door, including a 179 00:10:37,320 --> 00:10:38,400 Speaker 2: couple of FedEx. 180 00:10:38,080 --> 00:10:39,920 Speaker 1: Packages Faedex envelopes. 181 00:10:41,160 --> 00:10:46,040 Speaker 2: VML hasn't built medicare since twenty twenty four, but its 182 00:10:46,120 --> 00:10:50,920 Speaker 2: license remains valid. It continues to be a certified Medicare provider. 183 00:10:51,600 --> 00:10:55,640 Speaker 2: When it stopped building medicare, its patients all transitioned to 184 00:10:55,720 --> 00:10:58,479 Speaker 2: other providers in the same. 185 00:10:58,280 --> 00:11:00,400 Speaker 1: Building just next door. 186 00:11:01,559 --> 00:11:05,920 Speaker 2: That's typical staying one step ahead of the auditors and 187 00:11:05,960 --> 00:11:09,240 Speaker 2: one step ahead of the criminal investigators. You build for 188 00:11:09,320 --> 00:11:11,240 Speaker 2: a period of time, you shut down, you move on. 189 00:11:11,559 --> 00:11:14,960 Speaker 2: The patient's transferred to or the fake patients transfer on 190 00:11:15,000 --> 00:11:20,680 Speaker 2: to somebody else. Here's what's interesting about CBS news. The 191 00:11:20,760 --> 00:11:27,520 Speaker 2: story has zero reporting on investigations and prosecutions by federal 192 00:11:27,559 --> 00:11:28,280 Speaker 2: law enforcement. 193 00:11:29,559 --> 00:11:30,800 Speaker 1: I found that fascinating. 194 00:11:30,840 --> 00:11:34,360 Speaker 2: Because the Department of Health and Human Services has an 195 00:11:34,440 --> 00:11:38,760 Speaker 2: Office of Inspector General. They have more than sixteen hundred 196 00:11:39,520 --> 00:11:41,800 Speaker 2: armed special agents. 197 00:11:42,240 --> 00:11:43,000 Speaker 1: Their job is. 198 00:11:42,960 --> 00:11:48,079 Speaker 2: Simple conduct criminal investigations of fraud involving all the different 199 00:11:48,120 --> 00:11:51,360 Speaker 2: programs funded by money that goes through HHS. 200 00:11:53,360 --> 00:11:57,640 Speaker 1: Sixteen hundred armed agents. What are they. 201 00:11:57,559 --> 00:12:01,760 Speaker 4: Doing, Michael, You're forgetting one minor detail about you know, 202 00:12:01,920 --> 00:12:03,160 Speaker 4: holding their checks like that. 203 00:12:03,760 --> 00:12:05,320 Speaker 1: It would be great if we could. 204 00:12:05,960 --> 00:12:10,880 Speaker 4: But there is a bank establishment in place for the 205 00:12:10,960 --> 00:12:14,360 Speaker 4: congress critters where if they bounce, you know, they bounce 206 00:12:14,400 --> 00:12:18,640 Speaker 4: a check, it gets covered, so they can bounce checks 207 00:12:18,640 --> 00:12:21,839 Speaker 4: as much as they want. And just like their sexual 208 00:12:21,880 --> 00:12:23,720 Speaker 4: innuendos that never. 209 00:12:23,640 --> 00:12:30,960 Speaker 1: Get dealt with. These get covered by I. I need 210 00:12:30,960 --> 00:12:31,720 Speaker 1: the receipts from that. 211 00:12:33,000 --> 00:12:38,199 Speaker 2: Since the stamp controversy from decades ago, I'm not sure 212 00:12:38,280 --> 00:12:44,480 Speaker 2: that bank still operates the same way and it let's 213 00:12:44,480 --> 00:12:46,280 Speaker 2: just assume for a moment that it does. 214 00:12:46,640 --> 00:12:48,480 Speaker 1: What's the stamp controversy real quick? 215 00:12:48,559 --> 00:12:52,320 Speaker 2: Well, the stamp controversy was you could you could inflate 216 00:12:52,520 --> 00:12:59,560 Speaker 2: your income by buying stamps, you know, for the franking privilege. 217 00:12:59,600 --> 00:13:03,640 Speaker 2: You buy one thousand dollars worth of stamps and then 218 00:13:03,679 --> 00:13:06,600 Speaker 2: you wouldn't use them. I mean you would your office, 219 00:13:06,760 --> 00:13:10,000 Speaker 2: the taxpayers would buy the stamps, okay, and then you'd 220 00:13:10,000 --> 00:13:11,880 Speaker 2: take them down and you'd sell the stamps and get 221 00:13:11,880 --> 00:13:15,400 Speaker 2: the cash and you'd bocket the cash gotch Well, it 222 00:13:15,440 --> 00:13:17,880 Speaker 2: seems like one or two congressmen either went to jail 223 00:13:17,920 --> 00:13:20,280 Speaker 2: or had to resign or something over it. And it 224 00:13:20,360 --> 00:13:22,480 Speaker 2: was because there is like there's a barbershop and a 225 00:13:22,559 --> 00:13:24,839 Speaker 2: dry cleaning and everything else in the capitol. There is 226 00:13:24,920 --> 00:13:28,719 Speaker 2: also a little bank. But I don't know that they 227 00:13:28,760 --> 00:13:32,720 Speaker 2: can still go right. Checks that will bounce until they 228 00:13:32,760 --> 00:13:36,200 Speaker 2: get paid. I think that I'll have to double check, 229 00:13:36,240 --> 00:13:38,880 Speaker 2: but I'm thinking that may have stopped when that postage 230 00:13:38,920 --> 00:13:49,400 Speaker 2: stamp controversy occurred. But imagine the blowback if because their checks, 231 00:13:49,120 --> 00:13:54,160 Speaker 2: a senator's or congressman's check came from the same place 232 00:13:54,240 --> 00:13:58,120 Speaker 2: that my check came from. It was issued through the 233 00:13:58,200 --> 00:14:03,600 Speaker 2: Department of Treasury. So the Department of Treasury, just by code, 234 00:14:03,960 --> 00:14:08,200 Speaker 2: could simply say that all members of the United States 235 00:14:08,240 --> 00:14:12,000 Speaker 2: Senate and Congress, when the government closes, boom, you just 236 00:14:12,040 --> 00:14:14,960 Speaker 2: take that code out of the system, no checks get issued. 237 00:14:15,000 --> 00:14:17,480 Speaker 2: Now they would still account for how much they're owed, 238 00:14:17,520 --> 00:14:19,560 Speaker 2: how much they you know, the check was not issued for. 239 00:14:21,000 --> 00:14:23,520 Speaker 2: And then it let's just play along for a moment 240 00:14:23,760 --> 00:14:28,720 Speaker 2: and say that you still could bounce a check. Let's 241 00:14:28,760 --> 00:14:32,040 Speaker 2: let the American people see them do that. The same 242 00:14:32,080 --> 00:14:35,440 Speaker 2: people that won't pass the Save Act, the same people 243 00:14:35,480 --> 00:14:39,160 Speaker 2: that you know won't adjourn so that Trump can do 244 00:14:39,200 --> 00:14:42,520 Speaker 2: his recess appointments meanwhile holding back on the appointments of 245 00:14:42,560 --> 00:14:46,200 Speaker 2: lots of judges and under secretaries and others. Yeah, let 246 00:14:46,280 --> 00:14:49,800 Speaker 2: them start bouncing checks and still getting money from a 247 00:14:49,840 --> 00:14:54,400 Speaker 2: bounced check, which is a crime in most states, knowingly 248 00:14:54,480 --> 00:15:00,120 Speaker 2: passing a insufficient check. I don't think they go over 249 00:15:00,280 --> 00:15:03,080 Speaker 2: very well with the people who aren't getting paid or 250 00:15:03,080 --> 00:15:06,320 Speaker 2: the people who are living paycheck to paycheck. This is 251 00:15:06,360 --> 00:15:08,040 Speaker 2: the kind of crap we need to put an end to. 252 00:15:08,680 --> 00:15:13,360 Speaker 2: So I like the idea. I mean, I understand your argument, 253 00:15:13,440 --> 00:15:15,040 Speaker 2: but I need to check in and make sure it's 254 00:15:15,040 --> 00:15:20,240 Speaker 2: still really true or not. But let's talk about the waste, 255 00:15:20,320 --> 00:15:23,520 Speaker 2: fraud and abuse for a moment. That old saying about 256 00:15:23,520 --> 00:15:25,720 Speaker 2: you're going to cut the federal deficit by going after 257 00:15:25,760 --> 00:15:28,760 Speaker 2: waste fraud and abuse is probably nowhere more true than 258 00:15:28,800 --> 00:15:31,160 Speaker 2: it is with the Department of Health and Human Services, 259 00:15:31,800 --> 00:15:36,200 Speaker 2: because that whole place when you think about the federal 260 00:15:36,240 --> 00:15:41,600 Speaker 2: budget and you realize that transfer payments, social Security Medicare. 261 00:15:41,720 --> 00:15:45,760 Speaker 2: Now social Security is separate, but Medicare, Medicaid, all of 262 00:15:45,760 --> 00:15:51,160 Speaker 2: those transfer payments or the snap benefits, that's the Department 263 00:15:51,160 --> 00:15:55,160 Speaker 2: of BAG. But if you started trying to truly eliminate waste, 264 00:15:55,200 --> 00:15:58,600 Speaker 2: fraud and abuse, I would start with HHS because it's 265 00:15:58,600 --> 00:16:01,720 Speaker 2: a fire hose oft to pay our dollars. That's just 266 00:16:01,840 --> 00:16:04,800 Speaker 2: like being sprayed out the front door. Not sprayed in 267 00:16:04,880 --> 00:16:07,200 Speaker 2: the door to put the fire out, but be sprayed 268 00:16:07,240 --> 00:16:11,240 Speaker 2: out the door just for people to collect Medicare. Fraud 269 00:16:12,480 --> 00:16:15,840 Speaker 2: is probably the easiest form of fraud to prosecute within 270 00:16:16,200 --> 00:16:20,800 Speaker 2: the Department of Justice, and they have sent those prosecutions 271 00:16:20,880 --> 00:16:25,960 Speaker 2: as an enforcement priority now. 272 00:16:26,400 --> 00:16:28,640 Speaker 1: But never under Democrat administrations. 273 00:16:29,480 --> 00:16:33,720 Speaker 2: The CBS news story does have some information about some 274 00:16:33,800 --> 00:16:36,840 Speaker 2: efforts made through the justice system to address the problem, 275 00:16:37,080 --> 00:16:39,600 Speaker 2: but the focus is entirely on the state of California 276 00:16:39,840 --> 00:16:43,720 Speaker 2: and its Attorney General, Rob Bonta. He claims in that 277 00:16:43,880 --> 00:16:46,240 Speaker 2: interview that we played that his office has brought criminal 278 00:16:46,320 --> 00:16:51,120 Speaker 2: charges against more than one hundred people, but there's no 279 00:16:51,200 --> 00:16:56,240 Speaker 2: supporting evidence. There's no time frame when those prosecutions took place, 280 00:16:56,880 --> 00:16:59,760 Speaker 2: there's no information about the amounts involved, there's no information 281 00:16:59,760 --> 00:17:04,520 Speaker 2: about the status or the outcome. So while CBS is 282 00:17:04,560 --> 00:17:10,159 Speaker 2: able to collect information from open sources, when you actually 283 00:17:10,160 --> 00:17:13,680 Speaker 2: go to the Attorney General and say, okay, so give 284 00:17:13,760 --> 00:17:16,440 Speaker 2: us the receipts, he just says, well, you know, we've 285 00:17:16,440 --> 00:17:20,960 Speaker 2: prosecuted more than one hundred people. That number is meaningless 286 00:17:22,040 --> 00:17:25,359 Speaker 2: out of how many thousands of people. If you have 287 00:17:26,320 --> 00:17:29,720 Speaker 2: sent in four years, if you started out with more 288 00:17:29,760 --> 00:17:36,840 Speaker 2: than a thousand, thousands of hospice providers that had all 289 00:17:36,880 --> 00:17:42,679 Speaker 2: six red flags and now you're down to seven hundred, well, 290 00:17:43,200 --> 00:17:48,520 Speaker 2: one hundred is a nominal number. And then CBS says 291 00:17:48,560 --> 00:17:52,320 Speaker 2: that since the state auditor issued its report now four 292 00:17:52,400 --> 00:17:55,600 Speaker 2: years ago, pointing out the likely fraud in the industry, 293 00:17:56,600 --> 00:18:00,000 Speaker 2: the California Department of Public Health has brought only seven 294 00:18:00,400 --> 00:18:06,920 Speaker 2: enforcement actions against the licensees that those entities in La 295 00:18:07,080 --> 00:18:12,200 Speaker 2: County that CBS examined for their news story. I find 296 00:18:12,240 --> 00:18:14,720 Speaker 2: it hard to imagine more than one hundred individuals being 297 00:18:15,080 --> 00:18:19,440 Speaker 2: firmly prosecuted since twenty twenty two if the state licensing 298 00:18:19,440 --> 00:18:25,119 Speaker 2: authority found only seven offending companies that warranted an enforcement action, 299 00:18:25,760 --> 00:18:29,119 Speaker 2: and that would assume that all those actions involved allegations 300 00:18:29,119 --> 00:18:35,639 Speaker 2: of fraudulent activity. So since twenty twenty two, the California 301 00:18:35,680 --> 00:18:40,119 Speaker 2: Department of Public Health has brought only seven enforcement actions. 302 00:18:41,080 --> 00:18:44,119 Speaker 2: So wait a minute, who's telling the truth, Because that 303 00:18:44,280 --> 00:18:47,640 Speaker 2: again that CBS news from public records and then when 304 00:18:47,640 --> 00:18:50,800 Speaker 2: they asked the Attorney General about it on air, we've 305 00:18:50,840 --> 00:18:54,919 Speaker 2: prosecuted one hundred individuals but no supporting evidence whatsoever. And 306 00:18:55,000 --> 00:18:57,760 Speaker 2: while I think that CBS has done good work in 307 00:18:57,840 --> 00:19:01,240 Speaker 2: reporting the problem, once again, and I don't know what 308 00:19:01,320 --> 00:19:03,960 Speaker 2: they have and what hit the editing room for I 309 00:19:04,000 --> 00:19:08,200 Speaker 2: don't know, but did they ask the question, Uh, can 310 00:19:08,240 --> 00:19:11,040 Speaker 2: you give us the case number? Can you can you 311 00:19:11,080 --> 00:19:14,040 Speaker 2: give us the names of those individuals? And why only 312 00:19:14,080 --> 00:19:17,439 Speaker 2: one hundred? How many open investigations do you have? I mean, 313 00:19:17,480 --> 00:19:20,320 Speaker 2: there's so many follow up questions that CBS News did 314 00:19:20,359 --> 00:19:23,560 Speaker 2: not ask that you have to think that, Well, okay, 315 00:19:23,600 --> 00:19:26,520 Speaker 2: you identified a big problem. But then when you were 316 00:19:26,560 --> 00:19:29,040 Speaker 2: you intimidated by the Attorney General, did you not want 317 00:19:29,080 --> 00:19:30,919 Speaker 2: to cross you know, paths with them? Did you not 318 00:19:30,960 --> 00:19:33,960 Speaker 2: want to you know, cause any waves with him? They 319 00:19:34,000 --> 00:19:38,560 Speaker 2: did get a statement from Governor Gavin Newsom. Satan says, 320 00:19:39,160 --> 00:19:43,480 Speaker 2: under Governor Newsom's administration, California has cracked down on hospice fraud, 321 00:19:43,920 --> 00:19:47,879 Speaker 2: launched partnerships across state agencies, and the California Department of 322 00:19:48,040 --> 00:19:55,520 Speaker 2: Justice has arrested criminals to hold them accountable. Did you 323 00:19:55,560 --> 00:19:59,720 Speaker 2: did you hear the absence, the silence, the deafening silence 324 00:20:00,400 --> 00:20:04,440 Speaker 2: of any reference to cooperative efforts with federal law enforcement 325 00:20:05,080 --> 00:20:09,880 Speaker 2: even during the Biden administration. In fact, Oh, you cracked down. 326 00:20:10,320 --> 00:20:14,320 Speaker 2: What does that mean? You launched a partnership across state agencies? 327 00:20:14,400 --> 00:20:17,720 Speaker 2: What does that mean? And the California Department Justice has 328 00:20:17,800 --> 00:20:19,760 Speaker 2: arrested criminals what does that mean? 329 00:20:21,160 --> 00:20:23,840 Speaker 1: Who WoT we're when? And why? 330 00:20:24,640 --> 00:20:29,240 Speaker 2: A complete absence of any reference to cooperative cooperation with 331 00:20:29,440 --> 00:20:34,680 Speaker 2: those sixteen hundred armed agents in the Office of Inspector 332 00:20:34,800 --> 00:20:37,280 Speaker 2: General in the Department of Health and Human Services and 333 00:20:37,320 --> 00:20:42,000 Speaker 2: not one i out of it, no information whatsoever. You 334 00:20:42,040 --> 00:20:45,320 Speaker 2: know what the problem is, California does not want to 335 00:20:45,359 --> 00:20:49,119 Speaker 2: crack down on fraud that brings more federal dollars into 336 00:20:49,160 --> 00:20:54,080 Speaker 2: the state. California does not want to crack down on 337 00:20:54,200 --> 00:20:58,520 Speaker 2: fraud because it brings more federal dollars into California. I 338 00:20:58,560 --> 00:21:01,679 Speaker 2: think the same thing is true in Minnesota, and federal 339 00:21:01,720 --> 00:21:06,960 Speaker 2: investigators there obtained admissions from state employees to that being true, 340 00:21:07,640 --> 00:21:11,240 Speaker 2: that they actually looked the other way. They ignored obvious 341 00:21:11,280 --> 00:21:14,720 Speaker 2: signs of fraud in the Minnesota programs that were funded 342 00:21:14,720 --> 00:21:19,119 Speaker 2: with federal dollars because why that would reduce the amount 343 00:21:19,119 --> 00:21:24,000 Speaker 2: of benefits being paid out. Now, this is almost comical, 344 00:21:24,840 --> 00:21:28,920 Speaker 2: but CBA cites a twenty twenty three report from the 345 00:21:29,000 --> 00:21:32,760 Speaker 2: US Department of Health and Human Services estimating fraud and 346 00:21:32,800 --> 00:21:39,720 Speaker 2: hospice services totaling approximately two hundred million dollars. Now, two 347 00:21:39,800 --> 00:21:42,439 Speaker 2: hundred million dollars is a lot of money. It's not 348 00:21:42,560 --> 00:21:44,640 Speaker 2: the nine million in Minnesota, but it's still a lot 349 00:21:44,640 --> 00:21:51,040 Speaker 2: of money. But that's a twenty twenty three report. Oh, 350 00:21:52,560 --> 00:21:57,080 Speaker 2: it was president in twenty twenty three. That report is 351 00:21:57,160 --> 00:22:00,639 Speaker 2: right in the middle of the Biden administration. Fraud and 352 00:22:00,680 --> 00:22:04,480 Speaker 2: social service programs was a problem that shined a light 353 00:22:04,520 --> 00:22:07,480 Speaker 2: on blue states and one party blue cities such as 354 00:22:07,520 --> 00:22:12,160 Speaker 2: happened in Minneapolis. The estimate of two hundred million dollars, 355 00:22:12,680 --> 00:22:16,920 Speaker 2: I think is ridiculously low, and the number in California 356 00:22:17,040 --> 00:22:20,160 Speaker 2: Loan is going to be exponentially higher once the full 357 00:22:20,200 --> 00:22:24,840 Speaker 2: scope of the fraud is revealed. So as the home 358 00:22:24,840 --> 00:22:27,840 Speaker 2: state of Kamala Harris, who herself was the Attorney General 359 00:22:27,840 --> 00:22:31,600 Speaker 2: for six years and fresh off the discovery of billions 360 00:22:31,600 --> 00:22:35,280 Speaker 2: of dollars in fraud connected to various COVID relief programs 361 00:22:35,280 --> 00:22:40,280 Speaker 2: in California, the Biden Department of Justice indeed wanted nothing 362 00:22:40,280 --> 00:22:44,119 Speaker 2: to do with exposing even more fraud that would embarrass 363 00:22:44,400 --> 00:22:49,800 Speaker 2: the Biden administration itself, California Vice President Harris at the time, 364 00:22:50,400 --> 00:22:55,159 Speaker 2: and Gavin Newsom, who what the presumptive nominee for twenty 365 00:22:55,240 --> 00:22:59,840 Speaker 2: twenty eight And then think back to everything that I've 366 00:22:59,840 --> 00:23:03,840 Speaker 2: done told you not, it will be absent from the 367 00:23:03,880 --> 00:23:09,840 Speaker 2: CBS news story. Is any reference whatsoever to there being 368 00:23:09,920 --> 00:23:14,159 Speaker 2: an ethnic through line connecting any any of this fraud? 369 00:23:15,119 --> 00:23:17,359 Speaker 2: Now I'm adred percent, I'm one hundred percent of certain 370 00:23:17,359 --> 00:23:20,960 Speaker 2: it's probably there. But I would bet the CBS made 371 00:23:20,960 --> 00:23:26,320 Speaker 2: an editorial decision not to mention any sort of ethnic 372 00:23:26,600 --> 00:23:30,320 Speaker 2: through line in their reporting in the same way that 373 00:23:30,359 --> 00:23:35,159 Speaker 2: the fraud in Minneapolis was so overtly connected to some 374 00:23:35,320 --> 00:23:40,480 Speaker 2: all the immigrants who have formed this insular community in Minneapolis. 375 00:23:40,640 --> 00:23:44,480 Speaker 2: In fact, what I should say in Minnesota, there's probably 376 00:23:44,560 --> 00:23:48,200 Speaker 2: more than one ethnic connection among the various hundreds of 377 00:23:48,280 --> 00:23:52,560 Speaker 2: thousands of individuals involved in the hospice care fraud. Over 378 00:23:52,600 --> 00:23:55,919 Speaker 2: the past thirty plus years, Los Angeles County has devolved 379 00:23:55,960 --> 00:24:00,520 Speaker 2: into a series of ethnic enclaves throughout the entire region. 380 00:24:01,560 --> 00:24:05,880 Speaker 2: There's a diaspora of numerous countries ethnic regions from around 381 00:24:05,920 --> 00:24:09,119 Speaker 2: the world that are setting up their own insular communities 382 00:24:09,160 --> 00:24:11,000 Speaker 2: throughout the southern California area. 383 00:24:12,560 --> 00:24:14,159 Speaker 1: Now, as. 384 00:24:15,480 --> 00:24:20,480 Speaker 2: An intensive effort at federal prosecutions really should follow the 385 00:24:20,520 --> 00:24:24,320 Speaker 2: exposure of this problem. There are four federal judicial districts 386 00:24:24,320 --> 00:24:26,399 Speaker 2: in California that I think are well equipped to go 387 00:24:26,440 --> 00:24:29,240 Speaker 2: after this type of criminal conduct on behalf of the 388 00:24:29,320 --> 00:24:35,000 Speaker 2: US taxpayer, and I suspect, maybe even expect that we'll 389 00:24:35,040 --> 00:24:37,119 Speaker 2: begin to see reporting those kinds of efforts in the 390 00:24:37,119 --> 00:24:39,720 Speaker 2: weeks and months ahead, similar to what is happening now 391 00:24:39,800 --> 00:24:46,840 Speaker 2: in Minnesota. But then there's another CBS news story reporting 392 00:24:46,880 --> 00:24:50,680 Speaker 2: on the arrest in July twenty twenty five of two 393 00:24:50,760 --> 00:24:55,600 Speaker 2: women in southern California who were federally indicted in connection 394 00:24:55,760 --> 00:24:59,960 Speaker 2: with four point eight million dollars in false hospice care claim. 395 00:25:01,400 --> 00:25:04,159 Speaker 2: One of the women, one of the two women, was 396 00:25:04,160 --> 00:25:08,200 Speaker 2: the owner of two hospice hospice care companies in West Covina. 397 00:25:08,680 --> 00:25:11,880 Speaker 2: That's in La County, but it is outside the geographic 398 00:25:12,000 --> 00:25:15,359 Speaker 2: region that was the focus of the CBS news story 399 00:25:15,359 --> 00:25:19,199 Speaker 2: that I played for you earlier. The allegations involved buildings 400 00:25:19,240 --> 00:25:22,920 Speaker 2: between twenty eighteen and two and twenty twenty two, showing 401 00:25:23,000 --> 00:25:27,439 Speaker 2: this that fraud in that industry extends farther back than 402 00:25:27,480 --> 00:25:31,120 Speaker 2: the CBS story above, the one that I just told 403 00:25:31,119 --> 00:25:34,960 Speaker 2: you about. The story notes that that case was investigated. 404 00:25:35,320 --> 00:25:40,520 Speaker 2: Oh here, we finally got HHS offices, Inspector General, and 405 00:25:40,600 --> 00:25:45,679 Speaker 2: the FBI. So if they're going to go somewhere in 406 00:25:45,760 --> 00:25:49,560 Speaker 2: La County. Why don't they go everywhere in La County? 407 00:25:50,040 --> 00:25:53,240 Speaker 2: What is it that we don't want to know about 408 00:25:53,359 --> 00:25:56,920 Speaker 2: La County? Is this the deep state operating again? 409 00:25:57,520 --> 00:25:58,080 Speaker 1: I don't know. 410 00:25:59,680 --> 00:26:03,439 Speaker 2: Then I want to end on this. Here's a question, 411 00:26:03,800 --> 00:26:06,520 Speaker 2: are you better off than your grandparents? And I know 412 00:26:06,600 --> 00:26:09,439 Speaker 2: that most people's gut says no, because I know and 413 00:26:09,480 --> 00:26:13,360 Speaker 2: indeed I understand. Groceries are expensive. Gas is expensive when 414 00:26:13,400 --> 00:26:16,600 Speaker 2: I filled up yesterday at Costco Premium unleaded three ninety. 415 00:26:16,440 --> 00:26:18,399 Speaker 1: Nine little by four dollars a gallon. 416 00:26:19,560 --> 00:26:22,280 Speaker 2: But what if I told you that the government's own 417 00:26:22,359 --> 00:26:24,720 Speaker 2: price data, going all the way back to nineteen thirteen 418 00:26:25,440 --> 00:26:28,680 Speaker 2: actually makes the case that free markets have dramatically improved 419 00:26:28,680 --> 00:26:31,800 Speaker 2: our standard of living, and the way Washington presents that 420 00:26:31,920 --> 00:26:37,080 Speaker 2: data is actually hiding it from you. An economist by 421 00:26:37,080 --> 00:26:40,000 Speaker 2: the name of Tim Kaine just published what I think 422 00:26:40,080 --> 00:26:41,719 Speaker 2: is one of the most important charts that you're not 423 00:26:41,760 --> 00:26:44,080 Speaker 2: looking at. He went into the Bureau of Labor Statistics. 424 00:26:44,480 --> 00:26:48,440 Speaker 2: That database pulled one hundred twelve years of price data. 425 00:26:48,760 --> 00:26:51,800 Speaker 2: He mapped out how the pieces of the prices of 426 00:26:51,920 --> 00:26:56,560 Speaker 2: specific goods have changed relative to overall inflation since nineteen thirteen. 427 00:26:56,600 --> 00:26:57,359 Speaker 1: Here's what he found. 428 00:26:57,520 --> 00:27:01,639 Speaker 2: Food and gasoline they track inflation almost perfectly, meaning yes, 429 00:27:01,960 --> 00:27:04,080 Speaker 2: what you spent at the grocery store and the pump 430 00:27:04,160 --> 00:27:07,439 Speaker 2: as kept pace with rising prices across the board. So 431 00:27:07,480 --> 00:27:13,520 Speaker 2: your frustration there is completely legitimate. But electricity, household appliances 432 00:27:13,720 --> 00:27:17,840 Speaker 2: rent in the long arc of history. Televisions they've gotten cheaper, 433 00:27:18,000 --> 00:27:22,399 Speaker 2: dramatically cheaper relative to everything else. The television is almost 434 00:27:22,440 --> 00:27:25,640 Speaker 2: off the charts. What would have been an unthinkable luxury 435 00:27:25,680 --> 00:27:28,879 Speaker 2: purchase a generation to go, you can buy today for 436 00:27:28,960 --> 00:27:30,880 Speaker 2: a rounding era in your monthly budget. 437 00:27:31,560 --> 00:27:32,680 Speaker 1: Now, why don't we see this? 438 00:27:33,520 --> 00:27:36,359 Speaker 2: Because the Bureau of Labor Stats presents all of this 439 00:27:36,480 --> 00:27:40,240 Speaker 2: data using a reference point of nineteen eighty two to 440 00:27:40,320 --> 00:27:46,240 Speaker 2: nineteen eighty four. Everything gets benchmarked to that time period. 441 00:27:46,520 --> 00:27:48,840 Speaker 2: It's like trying to understand a football game by only 442 00:27:48,880 --> 00:27:51,639 Speaker 2: watching the fourth quarter. So the professor argues, and I 443 00:27:51,640 --> 00:27:54,360 Speaker 2: think he's right, that if you reset the base year 444 00:27:54,480 --> 00:27:58,600 Speaker 2: back to nineteen thirteen, what you'd actually see is massive 445 00:27:59,320 --> 00:28:04,320 Speaker 2: deflation in most consumable goods over the course of American history. 446 00:28:05,160 --> 00:28:10,919 Speaker 2: And that's the story that free markets tell. Competition drives 447 00:28:10,960 --> 00:28:18,520 Speaker 2: prices down, technology drives prices down. American ingenuity drives prices down, 448 00:28:19,160 --> 00:28:22,639 Speaker 2: and the government's own methodology, not by design maybe, but 449 00:28:22,680 --> 00:28:28,000 Speaker 2: certainly an effect, obscures you from hearing that story. So, yes, 450 00:28:28,320 --> 00:28:32,280 Speaker 2: inflation under Biden was real, and it was painful. And 451 00:28:32,320 --> 00:28:35,240 Speaker 2: the pain that's the pump and the checkout line is real, 452 00:28:35,359 --> 00:28:39,120 Speaker 2: and it is painful. But don't let the short term 453 00:28:39,240 --> 00:28:44,000 Speaker 2: story vary the long term truth. Over more than a 454 00:28:44,120 --> 00:28:50,160 Speaker 2: century now, a century of relatively free markets, we as 455 00:28:50,200 --> 00:28:54,440 Speaker 2: consumers have one. We have dramatically won. And the data 456 00:28:54,600 --> 00:29:00,560 Speaker 2: proves it if you know how to read it. The 457 00:29:00,640 --> 00:29:03,960 Speaker 2: Bureau of Labor Statistics. Every time I look up here 458 00:29:03,960 --> 00:29:07,320 Speaker 2: because we, for whatever reason, we keep se CNBC on. 459 00:29:07,520 --> 00:29:09,719 Speaker 2: I don't know who's talking about CNBC, but we keep 460 00:29:09,760 --> 00:29:14,520 Speaker 2: it on. So believe it at that they're constantly talking 461 00:29:14,560 --> 00:29:18,080 Speaker 2: about inflation. Inflation is pretty steady. Numbers came out what 462 00:29:18,240 --> 00:29:21,200 Speaker 2: this week or last week, around two point four percent, 463 00:29:22,760 --> 00:29:26,760 Speaker 2: and that's probably I buy that number. But if you 464 00:29:26,800 --> 00:29:30,280 Speaker 2: take it all the way back to nineteen thirteen, yes, 465 00:29:31,040 --> 00:29:34,400 Speaker 2: a lot of goods keep pace with inflation, and inflation 466 00:29:34,560 --> 00:29:38,120 Speaker 2: establishes a new baseline. So when we had nine percent inflation, 467 00:29:38,600 --> 00:29:41,000 Speaker 2: that moved everything up to whatever that new price is. 468 00:29:41,160 --> 00:29:43,160 Speaker 2: Let's just say ten percent, just to round it up. 469 00:29:43,400 --> 00:29:45,760 Speaker 2: So something that cost one hundred dollars cost one hundred 470 00:29:45,800 --> 00:29:49,560 Speaker 2: and ten dollars. But when inflation dropped to two point 471 00:29:49,560 --> 00:29:53,120 Speaker 2: four percent, that doesn't mean that the price came all 472 00:29:53,120 --> 00:29:54,920 Speaker 2: the way back down to what it was before. It 473 00:29:54,960 --> 00:29:57,840 Speaker 2: went up to one hundred and ten percent one hundred 474 00:29:57,840 --> 00:30:03,480 Speaker 2: and ten dollars. It's stayed up there and continue to increase. 475 00:30:04,320 --> 00:30:07,000 Speaker 2: So at two point four percent, what it let's just say, 476 00:30:07,200 --> 00:30:09,480 Speaker 2: what's from one hundred and ten dollars to one hundred 477 00:30:09,520 --> 00:30:11,880 Speaker 2: and twelve dollars and forty cents doesn't work out, but 478 00:30:11,960 --> 00:30:17,960 Speaker 2: let's just use those as numbers. Things are more expensive, 479 00:30:19,360 --> 00:30:22,840 Speaker 2: but that's the short term version. And I know that 480 00:30:22,880 --> 00:30:26,640 Speaker 2: the cause is pain for people today. But when you 481 00:30:26,720 --> 00:30:30,720 Speaker 2: compare where we are to our grandparents, we're one thousand 482 00:30:30,760 --> 00:30:33,880 Speaker 2: percent better off. And when you compare where we are 483 00:30:34,000 --> 00:30:37,800 Speaker 2: to other developed countries, we're even better than those other countries. 484 00:30:38,520 --> 00:30:41,760 Speaker 2: So every time you hear these numbers, I want you 485 00:30:41,840 --> 00:30:44,440 Speaker 2: to think, yeah, I know it's painful today, and I 486 00:30:44,520 --> 00:30:47,200 Speaker 2: know that gas going up is painful, and gas is 487 00:30:47,200 --> 00:30:50,920 Speaker 2: the is the is the cudgel that Democrats and Republicans 488 00:30:50,960 --> 00:30:54,120 Speaker 2: both will use so whoever's in the presidency, which I 489 00:30:54,160 --> 00:30:58,880 Speaker 2: find fascinating because Trump has indeed reduced and made us 490 00:30:58,920 --> 00:31:04,080 Speaker 2: more energy independent, which will over time make gasoline much 491 00:31:04,120 --> 00:31:07,640 Speaker 2: more affordable for everyone. But in the meantime it'll spike 492 00:31:08,320 --> 00:31:11,720 Speaker 2: and then it'll drop back down again. We forget the 493 00:31:11,800 --> 00:31:15,840 Speaker 2: history that we've experienced over the past eight years. It 494 00:31:15,920 --> 00:31:17,920 Speaker 2: goes up and it comes down, it goes up and 495 00:31:18,000 --> 00:31:20,920 Speaker 2: it comes down. I just think that the bottom line 496 00:31:20,960 --> 00:31:24,960 Speaker 2: is simply this, we ought to quit using gasoline as 497 00:31:25,040 --> 00:31:29,520 Speaker 2: the measure of the health of the economy because it's 498 00:31:29,520 --> 00:31:35,040 Speaker 2: an international commodity traded on an international market, and people 499 00:31:35,120 --> 00:31:38,000 Speaker 2: are in China, for example, they're going to be willing 500 00:31:38,040 --> 00:31:40,160 Speaker 2: to pay because I think they have I may be 501 00:31:40,240 --> 00:31:42,200 Speaker 2: wrong about this. I think it's like one hundred and 502 00:31:42,240 --> 00:31:47,120 Speaker 2: seventy days of supply in their reserves, so that's what 503 00:31:47,360 --> 00:31:51,600 Speaker 2: that's four months, five months or so five six months 504 00:31:52,720 --> 00:31:56,480 Speaker 2: in reserve. So they're going to pay a premium, and 505 00:31:56,520 --> 00:31:59,200 Speaker 2: they're going to pay that premium when they go to 506 00:31:59,360 --> 00:32:02,200 Speaker 2: market and they bid on a barrel of oil, they're 507 00:32:02,240 --> 00:32:05,080 Speaker 2: going to pay a premium because well, we cut off 508 00:32:05,080 --> 00:32:07,840 Speaker 2: their cheap oil, so that's going to drive prices up, 509 00:32:08,640 --> 00:32:11,560 Speaker 2: which is going to make their economy suffer even more. 510 00:32:11,840 --> 00:32:14,640 Speaker 2: And in the grand scheme of things, that's good for everybody.