1 00:00:03,040 --> 00:00:09,520 Speaker 1: This is Bloomberg Sound On on Bloomberg Radio. I'm Emily Wilkins. 2 00:00:09,720 --> 00:00:12,119 Speaker 1: Coming up on today's show. We're talking to spin Warren 3 00:00:12,200 --> 00:00:14,720 Speaker 1: Davidson on his takeaways from a hearing with the heads 4 00:00:14,760 --> 00:00:17,840 Speaker 1: of major US banks. But first we are going to 5 00:00:17,880 --> 00:00:20,880 Speaker 1: be talking with going to our colleague Emily Chang, who 6 00:00:20,920 --> 00:00:24,560 Speaker 1: is now speaking with Commerce Secretary Gina Romundo on a 7 00:00:24,560 --> 00:00:28,360 Speaker 1: little bit more about President Biden's infrastructure plan that he 8 00:00:28,480 --> 00:00:31,520 Speaker 1: is currently rolling out across the country. He was in 9 00:00:31,560 --> 00:00:34,320 Speaker 1: Ohio today. We're going to go to Emily for a 10 00:00:34,320 --> 00:00:47,920 Speaker 1: little bit more. I'm Emily changes San Francisco, and this 11 00:00:48,000 --> 00:00:51,560 Speaker 1: day is Bloomberg Technology. President Biden chose Cleveland as the 12 00:00:51,600 --> 00:00:54,400 Speaker 1: city to deliver a speech on the economy and has 13 00:00:54,400 --> 00:00:58,840 Speaker 1: proposed one point nine trillion dollar infrastructure and investment plan 14 00:00:59,200 --> 00:01:02,240 Speaker 1: for more one up that plan entails Our audiences across 15 00:01:02,280 --> 00:01:06,560 Speaker 1: Bloomberg Television in Bloomberg Radio. Welcome Gina Ramondo, US Commerce 16 00:01:06,600 --> 00:01:10,200 Speaker 1: Secretary Secretary Ramondo, thank you so much for joining US. 17 00:01:10,720 --> 00:01:14,360 Speaker 1: President Biden today said his economic plan is working to 18 00:01:14,400 --> 00:01:16,640 Speaker 1: bring America out of the pandemic, but we need to 19 00:01:16,680 --> 00:01:21,280 Speaker 1: invest more in education in infrastructure to stay competitive. What 20 00:01:21,400 --> 00:01:27,039 Speaker 1: are the musts that you believe need to be included. Yes, 21 00:01:27,120 --> 00:01:29,960 Speaker 1: thank you. Well, this is about rebuilding for the future. 22 00:01:30,080 --> 00:01:32,600 Speaker 1: I mean, the President is, of course right. The rescue 23 00:01:32,640 --> 00:01:36,560 Speaker 1: package is working. It's it's pulling us out of the pandemic, 24 00:01:37,080 --> 00:01:39,440 Speaker 1: creating a half a million jobs a month, which is 25 00:01:39,480 --> 00:01:43,120 Speaker 1: a fantastic pace. But we need to prepare for the future. 26 00:01:43,280 --> 00:01:47,680 Speaker 1: We need to invest in child care so that people 27 00:01:47,720 --> 00:01:49,880 Speaker 1: can go back to work. We still have two million 28 00:01:49,920 --> 00:01:52,280 Speaker 1: women who have dropped out of the workforce. We have 29 00:01:52,360 --> 00:01:55,600 Speaker 1: to make sure every American has access to broadband. The 30 00:01:55,640 --> 00:02:00,600 Speaker 1: President's calling for historic investments in broadband. It's it's it's 31 00:02:00,640 --> 00:02:03,200 Speaker 1: not okay, it's not acceptable that we still have millions 32 00:02:03,200 --> 00:02:07,240 Speaker 1: of Americans without access to broadband. We need to invest 33 00:02:07,680 --> 00:02:12,160 Speaker 1: um in job training and apprenticeships so people can have 34 00:02:12,320 --> 00:02:14,400 Speaker 1: the skills they need to get the jobs of today 35 00:02:14,400 --> 00:02:17,799 Speaker 1: and tomorrow. And we need to invest in manufacturing so 36 00:02:17,840 --> 00:02:22,400 Speaker 1: that we make critical goods such as semiconductors in America. Again, 37 00:02:22,600 --> 00:02:26,880 Speaker 1: so you know, it's not enough to um pull ourselves 38 00:02:26,880 --> 00:02:31,240 Speaker 1: out of the pandemic. It's time to rebuild, rebuild our infrastructure, 39 00:02:31,320 --> 00:02:34,560 Speaker 1: rebuilds for the future so Americans can compete and our 40 00:02:34,680 --> 00:02:38,640 Speaker 1: and our children have a chance. And yet the counter 41 00:02:38,680 --> 00:02:42,000 Speaker 1: offer from Republicans doesn't seem much higher than the original. 42 00:02:42,080 --> 00:02:44,480 Speaker 1: Where's the progress that you see and how long is 43 00:02:44,480 --> 00:02:50,240 Speaker 1: it worth continuing the negotiation? Yes, well, I should say, 44 00:02:50,520 --> 00:02:52,480 Speaker 1: you know, we have to give them credit. I have 45 00:02:52,560 --> 00:02:56,120 Speaker 1: been involved in these discussions and in these negotiations. They're 46 00:02:56,160 --> 00:02:59,480 Speaker 1: operating in good faith, and they came back to us 47 00:03:00,160 --> 00:03:03,040 Speaker 1: with a higher number. It is progress, There's no doubt 48 00:03:03,080 --> 00:03:05,639 Speaker 1: about it. It's progress. I think if I had said 49 00:03:05,680 --> 00:03:08,160 Speaker 1: to you a few months ago that Republicans would be 50 00:03:08,160 --> 00:03:11,280 Speaker 1: coming back to the President with a nearly trillion dollar 51 00:03:11,440 --> 00:03:13,839 Speaker 1: counter offer, you you might not have believed it. So 52 00:03:14,280 --> 00:03:17,560 Speaker 1: we're still at the table. We are trying. It isn't enough, 53 00:03:17,720 --> 00:03:21,760 Speaker 1: as you say, Um, they're not very clear about how 54 00:03:21,800 --> 00:03:24,280 Speaker 1: they propose to pay for it, and of course the 55 00:03:24,280 --> 00:03:26,960 Speaker 1: President has been crystal clear we're not going to at 56 00:03:26,960 --> 00:03:31,639 Speaker 1: tax or burden middle America or middle class Americans. But 57 00:03:32,000 --> 00:03:34,840 Speaker 1: you know, our our job is to stay at the 58 00:03:34,880 --> 00:03:38,280 Speaker 1: table and to find some common ground, and so we 59 00:03:38,320 --> 00:03:42,480 Speaker 1: will continue to do that. The President talked about how 60 00:03:42,520 --> 00:03:46,480 Speaker 1: the administration is working to combat supply issues, combat issues 61 00:03:46,520 --> 00:03:49,440 Speaker 1: with computer chips. As you mentioned, in America can't innovate 62 00:03:49,720 --> 00:03:52,480 Speaker 1: without chips. You just held a summit with the companies 63 00:03:52,480 --> 00:03:55,760 Speaker 1: that supply chips and the companies that need chips, from 64 00:03:55,840 --> 00:03:59,560 Speaker 1: Google to Amazon to carmakers. What's the next step here? 65 00:04:01,720 --> 00:04:05,760 Speaker 1: So right now as we are talking to one another, uh, 66 00:04:06,000 --> 00:04:10,360 Speaker 1: the the the piece of legislation which would fund a 67 00:04:10,440 --> 00:04:14,280 Speaker 1: semiconductor fund at fifty two billion dollars is on the 68 00:04:14,320 --> 00:04:17,800 Speaker 1: Senate floor. In fact, I was talking to senators before 69 00:04:17,839 --> 00:04:20,599 Speaker 1: I came over here, and there is a sense of 70 00:04:20,720 --> 00:04:24,919 Speaker 1: optimism that this will get across the finish line, perhaps 71 00:04:25,000 --> 00:04:29,479 Speaker 1: as early as today or tonight, to fund a chips 72 00:04:29,720 --> 00:04:32,159 Speaker 1: fund at fifty two billion dollars, which would come to 73 00:04:32,200 --> 00:04:34,960 Speaker 1: the Department of Commerce. So of course it's not over 74 00:04:35,000 --> 00:04:36,640 Speaker 1: till it's over, and of course it has to get 75 00:04:36,640 --> 00:04:39,799 Speaker 1: through the House. But at this point I think there's 76 00:04:39,880 --> 00:04:44,320 Speaker 1: broad bipartisan recognition that we can't afford not to do this. 77 00:04:44,720 --> 00:04:47,799 Speaker 1: Think about your own life, everything you do relies upon chips. 78 00:04:48,400 --> 00:04:52,960 Speaker 1: Um you know, your your phone, your appliances, your computer, 79 00:04:53,120 --> 00:04:58,680 Speaker 1: your car, artificial intelligence, not to mention the national defense applications. 80 00:04:58,720 --> 00:05:01,000 Speaker 1: So we have to get it done, and I believe 81 00:05:01,040 --> 00:05:04,400 Speaker 1: we will get it done. Are you hearing what you 82 00:05:04,440 --> 00:05:06,320 Speaker 1: want to hear from the industry? Are you getting what 83 00:05:06,400 --> 00:05:11,000 Speaker 1: you need on that front? Yes? Yes, thank you. So, 84 00:05:11,200 --> 00:05:15,159 Speaker 1: as you mentioned, I convened over thirty five CEOs last week, 85 00:05:15,920 --> 00:05:19,680 Speaker 1: leaders in the semiconductor industry, and they have been very 86 00:05:19,720 --> 00:05:24,039 Speaker 1: collaborative and really leaning in with us to find a 87 00:05:24,120 --> 00:05:28,120 Speaker 1: solution to this problem. It's it's an economic security problem, 88 00:05:28,120 --> 00:05:31,120 Speaker 1: it's a national security problem. And I have to say 89 00:05:31,160 --> 00:05:34,120 Speaker 1: thank you to everyone that we have been engaged with. 90 00:05:34,200 --> 00:05:37,679 Speaker 1: They've they've been great partners. And this will require public 91 00:05:37,760 --> 00:05:42,120 Speaker 1: private partnership. Um, we can't do it. Government can't fix 92 00:05:42,160 --> 00:05:44,520 Speaker 1: this problem alone, and the private sector needs to be 93 00:05:44,600 --> 00:05:48,640 Speaker 1: there and I think they will be. GM just announced 94 00:05:48,640 --> 00:05:51,800 Speaker 1: its restarting production at several plants that had been idled 95 00:05:52,160 --> 00:05:55,520 Speaker 1: due to the chip shortage. Meantime, you've got COVID cases 96 00:05:55,640 --> 00:05:59,359 Speaker 1: rising in Taiwan, which is the heart of the semiconductor industry. 97 00:05:59,520 --> 00:06:02,919 Speaker 1: Could that impact supply and will the US do anything 98 00:06:02,960 --> 00:06:08,120 Speaker 1: to help? Well, you put your finger on a very 99 00:06:08,160 --> 00:06:13,080 Speaker 1: important problem, which is that we are heavily dependent on 100 00:06:13,160 --> 00:06:17,279 Speaker 1: a company called TSMC, which is based in Taiwan for 101 00:06:17,680 --> 00:06:20,640 Speaker 1: a high percentage of our semi conductors and which is 102 00:06:20,680 --> 00:06:25,640 Speaker 1: exactly why we need to make semiconductors in America. You know, 103 00:06:26,800 --> 00:06:30,159 Speaker 1: it would be our plan to build another six or 104 00:06:30,240 --> 00:06:35,520 Speaker 1: seven manufacturing operations in America over time, so that we 105 00:06:35,600 --> 00:06:40,880 Speaker 1: won't be so vulnerable um to you know, relying overly 106 00:06:41,080 --> 00:06:49,000 Speaker 1: on one company or one country. So speaking of countries, obviously, 107 00:06:49,040 --> 00:06:54,440 Speaker 1: improving infrastructure, improving supply chains helps to boost US competitiveness 108 00:06:54,480 --> 00:06:57,919 Speaker 1: against China. The administration has been reviewing its approach to China. 109 00:06:58,000 --> 00:06:59,920 Speaker 1: When are we going to hear more about the findings 110 00:07:00,080 --> 00:07:04,520 Speaker 1: and the strategy there. I would say that this is 111 00:07:04,520 --> 00:07:08,240 Speaker 1: an ongoing process more than a process with a you know, 112 00:07:08,400 --> 00:07:12,520 Speaker 1: particular big announcement or deadline. But we're doing it now. 113 00:07:12,840 --> 00:07:16,320 Speaker 1: You know, for example, uh, what we're talking about semiconductors, 114 00:07:16,360 --> 00:07:19,600 Speaker 1: that's core to our strategy as it relates to China. 115 00:07:19,760 --> 00:07:22,920 Speaker 1: We need to invest in America. The President's Jobs Plan 116 00:07:23,280 --> 00:07:27,200 Speaker 1: is all about competing with China. Improve our education system, 117 00:07:27,240 --> 00:07:31,160 Speaker 1: improve our infrastructure, invest in manufacturing. You know, the way 118 00:07:31,160 --> 00:07:33,920 Speaker 1: to compete with China is to run faster, to invest 119 00:07:33,960 --> 00:07:38,320 Speaker 1: in America. UM and then in terms of defense, we 120 00:07:38,360 --> 00:07:42,080 Speaker 1: haven't slowed down. You know, in my department, we've continued 121 00:07:42,120 --> 00:07:46,760 Speaker 1: to add Chinese companies to the entities list. We've subpoena 122 00:07:46,760 --> 00:07:51,400 Speaker 1: at a number of Chinese companies to extract information from them, 123 00:07:51,480 --> 00:07:52,680 Speaker 1: and we're going to do what we need to do 124 00:07:52,760 --> 00:07:58,360 Speaker 1: to protect American industry. Meantime, the Colonial pipeline hack has 125 00:07:58,440 --> 00:08:02,400 Speaker 1: raised awareness about the ulnerable ability of our infrastructure to 126 00:08:02,760 --> 00:08:05,760 Speaker 1: cyber attacks. What do you see as the biggest risks 127 00:08:05,800 --> 00:08:09,040 Speaker 1: to businesses here and what is your budget doe to 128 00:08:09,080 --> 00:08:15,240 Speaker 1: address this? Yeah. Unfortunately, this is a large and growing 129 00:08:15,520 --> 00:08:20,080 Speaker 1: risk to US businesses. And I think Colonial was a 130 00:08:20,160 --> 00:08:24,600 Speaker 1: wake up call to all American businesses that, uh, they 131 00:08:24,640 --> 00:08:27,400 Speaker 1: need they need to do more, and I think particularly 132 00:08:27,440 --> 00:08:31,280 Speaker 1: smaller businesses UH, for for whom it is difficult, need 133 00:08:31,360 --> 00:08:36,679 Speaker 1: to invest more. UM, we are investing heavily at the 134 00:08:36,720 --> 00:08:41,400 Speaker 1: Commerce Department in shoring up our own cybersecurity as well 135 00:08:41,440 --> 00:08:46,480 Speaker 1: as researching UH cyber and cyber technology so that we 136 00:08:46,480 --> 00:08:52,720 Speaker 1: could continue to make ourselves more secure now. The President 137 00:08:52,760 --> 00:08:57,280 Speaker 1: also today emphasize how the administration is working to protect 138 00:08:57,320 --> 00:09:01,840 Speaker 1: small businesses from anti competitive forces. The US obviously has 139 00:09:01,880 --> 00:09:05,760 Speaker 1: expressed concerns about big US tech companies and their power. 140 00:09:06,040 --> 00:09:10,600 Speaker 1: Europe also has expressed those concerns. Will big tech regulation 141 00:09:10,960 --> 00:09:17,400 Speaker 1: be on the agenda for the G seven. Uh. You 142 00:09:17,440 --> 00:09:22,280 Speaker 1: know that is a better question, uh for the Treasury 143 00:09:22,320 --> 00:09:26,199 Speaker 1: Secretary or others. I would say from my part, UM, 144 00:09:26,320 --> 00:09:33,880 Speaker 1: we are heavily engaged with the EU in discussions around privacy, privacy, 145 00:09:33,880 --> 00:09:42,000 Speaker 1: protection of data, tech regulation and the Our collaboration and 146 00:09:42,120 --> 00:09:46,679 Speaker 1: partnership with Europe is important. It's important for companies on 147 00:09:46,720 --> 00:09:50,760 Speaker 1: both sides of the Atlantic, and so we are working. 148 00:09:50,920 --> 00:09:54,720 Speaker 1: I am in constant contact with tech companies in America 149 00:09:54,960 --> 00:09:57,880 Speaker 1: to make big and small to make sure that their 150 00:09:57,920 --> 00:10:01,840 Speaker 1: interests are represented, but also with our counterparts in Europe 151 00:10:01,880 --> 00:10:04,640 Speaker 1: to make sure you know where allies we are. We 152 00:10:04,720 --> 00:10:08,600 Speaker 1: have the same same values. We believe in privacy, we 153 00:10:08,640 --> 00:10:12,920 Speaker 1: believe in openness, uh. And so we are working hard 154 00:10:13,000 --> 00:10:16,520 Speaker 1: with the Europeans to come to a common set of 155 00:10:16,800 --> 00:10:20,440 Speaker 1: UM values so that we can continue to operate across 156 00:10:20,480 --> 00:10:25,360 Speaker 1: the Atlantic. All right, Well on behalf of our Bloomberg 157 00:10:25,400 --> 00:10:28,160 Speaker 1: TV and radio audiences. Thank you so much US Commerce 158 00:10:28,160 --> 00:10:32,280 Speaker 1: Secretary Gina Ramondo, their Secretary Ramondo, appreciate you taking the time. 159 00:10:33,800 --> 00:10:36,600 Speaker 1: Thank you so much for to our radio audiences for listening. 160 00:10:36,800 --> 00:10:40,800 Speaker 1: That was Commerce Secretary Gina Romando talking with our my 161 00:10:40,840 --> 00:10:46,559 Speaker 1: colleague Emily Chang joining me now is Bloomberg contributor Rick Davis. 162 00:10:46,640 --> 00:10:49,679 Speaker 1: Rick always glad to have you with us. Just a 163 00:10:49,679 --> 00:10:52,560 Speaker 1: lot of topics that that they managed to touch on there. 164 00:10:52,600 --> 00:10:55,960 Speaker 1: I'm wondering sort of what your initial takeaway is from 165 00:10:56,000 --> 00:10:59,120 Speaker 1: what we heard from the secretary today. Yeah, Emily, I 166 00:10:59,160 --> 00:11:02,080 Speaker 1: think it's a wide ranging interview, but really focused on 167 00:11:02,320 --> 00:11:06,160 Speaker 1: reinforcing the advantages of the infrastructure bill that the President 168 00:11:06,360 --> 00:11:10,800 Speaker 1: is trying to push through Congress. Very positive reaction by 169 00:11:10,960 --> 00:11:14,920 Speaker 1: Secretary Raimundo about Republican bipartisan efforts to try and get 170 00:11:14,920 --> 00:11:18,080 Speaker 1: a deal done, so maybe there's some optimism there. And 171 00:11:18,120 --> 00:11:21,360 Speaker 1: then she really focused on the inadequate chip supply that 172 00:11:21,400 --> 00:11:23,200 Speaker 1: the U. S has and what are they doing about 173 00:11:23,240 --> 00:11:25,079 Speaker 1: it and the Biden administration, and I thought it was 174 00:11:25,160 --> 00:11:28,280 Speaker 1: really interesting, you know how she pointed out that t SMC, 175 00:11:29,120 --> 00:11:32,960 Speaker 1: one of the largest in the world Taiwanese chip manufacturer, 176 00:11:33,120 --> 00:11:35,160 Speaker 1: you know, poses a high risk for US because of 177 00:11:35,200 --> 00:11:37,160 Speaker 1: the amount of chips that we get. I would point 178 00:11:37,200 --> 00:11:41,320 Speaker 1: out that they're recently signed a deal in Arizona led 179 00:11:41,360 --> 00:11:44,120 Speaker 1: by Governor Doug Doocy, to put a twelve billion dollar 180 00:11:44,200 --> 00:11:47,559 Speaker 1: chip factory there is part of t SMC's expansion in 181 00:11:47,600 --> 00:11:50,440 Speaker 1: the United States, So there's there's a lot to talk 182 00:11:50,480 --> 00:11:54,280 Speaker 1: about there. Uh, it's a critical component of infrastructure. The 183 00:11:54,320 --> 00:11:57,040 Speaker 1: debate on Congress has been mostly focused on things like 184 00:11:57,120 --> 00:12:02,280 Speaker 1: Rhodes bridges, tunnels, airports, things like that, but our digital 185 00:12:02,320 --> 00:12:08,200 Speaker 1: infrastructure five G the tech capability around chips is critically 186 00:12:08,200 --> 00:12:11,640 Speaker 1: important to that competition with China. So I think that 187 00:12:11,800 --> 00:12:14,120 Speaker 1: it was really a good time in this debate to 188 00:12:14,160 --> 00:12:17,320 Speaker 1: hear from Secretary Raimundo. Well, you know, Rick, as you 189 00:12:17,440 --> 00:12:19,560 Speaker 1: as you point out, we do have the Senate right 190 00:12:19,559 --> 00:12:23,240 Speaker 1: now doing that debate on particularly a bill that could 191 00:12:23,280 --> 00:12:26,640 Speaker 1: get more funding, billions of more funding to those chip 192 00:12:26,720 --> 00:12:30,120 Speaker 1: shortages really quick and just ten seconds here, I know 193 00:12:30,160 --> 00:12:32,800 Speaker 1: that you mentioned the factory, we've mentioned this funding. How 194 00:12:32,800 --> 00:12:34,840 Speaker 1: long may it actually take, though, for the US to 195 00:12:34,880 --> 00:12:37,320 Speaker 1: be able to produce enough chips that we can be 196 00:12:37,360 --> 00:12:40,720 Speaker 1: self reliant. Yeah, well, there's so many component parts to this, right, 197 00:12:40,800 --> 00:12:43,480 Speaker 1: you know, the infrastructure is not just a chip factory, 198 00:12:43,520 --> 00:12:46,080 Speaker 1: but all the components and in the resources that go 199 00:12:46,120 --> 00:12:49,280 Speaker 1: into the manufacturing process. So it's gonna take some time. 200 00:12:49,320 --> 00:12:51,360 Speaker 1: I mean, it's kind of arbitrage, right, I mean, what 201 00:12:51,400 --> 00:12:53,120 Speaker 1: do you do first, what do you do? Or triage? 202 00:12:53,160 --> 00:12:55,439 Speaker 1: What do you do? For a second? And third? Um 203 00:12:55,440 --> 00:12:57,760 Speaker 1: extra fifty billion though will go a long way again. 204 00:12:57,880 --> 00:13:05,840 Speaker 1: It Yeah, this is Bloomberg Sound On on Bloomberg Radio. 205 00:13:06,640 --> 00:13:10,200 Speaker 1: I'm Emily Woke ins here with Bloomberg Politics contributor Brick 206 00:13:10,280 --> 00:13:13,679 Speaker 1: Davis and joined today by Adam Goodman, the Edward R. 207 00:13:13,760 --> 00:13:18,160 Speaker 1: Murrow Senior Fellow at Tufts University, a national GOP strategist, 208 00:13:18,240 --> 00:13:22,360 Speaker 1: and columnists. Got an a team here today well, which 209 00:13:22,400 --> 00:13:24,320 Speaker 1: is great because we have got lots and lots of 210 00:13:24,360 --> 00:13:28,480 Speaker 1: news to cover tomorrow. It's the Friday before three day weekend. 211 00:13:28,640 --> 00:13:31,960 Speaker 1: But the Biden administration is not letting anyone sneak out 212 00:13:31,960 --> 00:13:36,160 Speaker 1: of work early. They are releasing their six trillion dollar 213 00:13:36,400 --> 00:13:40,400 Speaker 1: budget proposal that will kick off the all important appropriations 214 00:13:40,440 --> 00:13:43,280 Speaker 1: process and Congress that will hopefully not lead to a 215 00:13:43,320 --> 00:13:46,720 Speaker 1: government shutdown. The proposal, from what we know at this point, 216 00:13:46,720 --> 00:13:51,280 Speaker 1: would reportedly run a near two trillion dollar deficit, even 217 00:13:51,320 --> 00:13:54,120 Speaker 1: with new taxes on corporations and high earners that the 218 00:13:54,160 --> 00:13:58,840 Speaker 1: President has proposed. Some Republicans say the president's programs already 219 00:13:58,880 --> 00:14:02,840 Speaker 1: are hurting the economy by inflating wages, driving up prices. 220 00:14:03,200 --> 00:14:05,760 Speaker 1: But in a speech today in Ohio, the President says 221 00:14:05,960 --> 00:14:09,160 Speaker 1: his plan supports working families, which he said is the 222 00:14:09,160 --> 00:14:12,280 Speaker 1: true backbone of the economy. Here's the sound on that. 223 00:14:13,440 --> 00:14:16,679 Speaker 1: I believe this is our moment to rebuild an economy 224 00:14:16,720 --> 00:14:19,280 Speaker 1: from the bottom up, in the middle out, not a 225 00:14:19,320 --> 00:14:23,440 Speaker 1: trickle down economy from the very wealthy that has never 226 00:14:23,960 --> 00:14:27,680 Speaker 1: benefited people who are at this college or any other 227 00:14:28,200 --> 00:14:31,280 Speaker 1: place where they're worth trying to make a living. You know, 228 00:14:31,360 --> 00:14:34,520 Speaker 1: Adam Rick, every time the President comes out with a budget, 229 00:14:34,720 --> 00:14:37,480 Speaker 1: I feel the need to like add the disclaimer that 230 00:14:37,560 --> 00:14:40,920 Speaker 1: the budget is it's part suggestion, part wish list from 231 00:14:40,960 --> 00:14:43,360 Speaker 1: the White House. The power of the purse still rests 232 00:14:43,360 --> 00:14:46,080 Speaker 1: in Congress and members of Congress, you know, they pay 233 00:14:46,080 --> 00:14:49,040 Speaker 1: attention to the president's budget, but they have all got 234 00:14:49,040 --> 00:14:52,320 Speaker 1: their own agendas. That said, the beauty of the budget 235 00:14:52,640 --> 00:14:54,560 Speaker 1: is to kind of get a sense of what the 236 00:14:54,560 --> 00:14:57,360 Speaker 1: president is thinking, of what his priorities are where the 237 00:14:57,360 --> 00:15:00,120 Speaker 1: wind is blowing. Adam, I know that we're going going 238 00:15:00,160 --> 00:15:03,040 Speaker 1: to see this budget in total when it comes out tomorrow. 239 00:15:03,080 --> 00:15:06,720 Speaker 1: But from what you've seen reported on today, is anything 240 00:15:06,880 --> 00:15:11,680 Speaker 1: standing out to you about what Biden suggesting here? Yes, 241 00:15:11,760 --> 00:15:15,960 Speaker 1: the number, right, that's a big, big number, the six trillion, 242 00:15:16,080 --> 00:15:19,880 Speaker 1: and you know you're moving into the biggest, potentially the 243 00:15:19,880 --> 00:15:23,880 Speaker 1: biggest government expansion in the history of mankind here and 244 00:15:24,600 --> 00:15:26,720 Speaker 1: based on the idea of giving more stuff to more 245 00:15:26,800 --> 00:15:31,080 Speaker 1: people of mind by boggling cost. And uh, what has 246 00:15:31,120 --> 00:15:34,040 Speaker 1: not been explained, of course, are the details. This is 247 00:15:34,080 --> 00:15:38,280 Speaker 1: like a giveaway, uh, of a lot of tax dollars 248 00:15:38,280 --> 00:15:40,400 Speaker 1: in a lot of different directions. And you know what 249 00:15:40,480 --> 00:15:43,240 Speaker 1: it really goes into, Emily, this is the thing that 250 00:15:43,600 --> 00:15:47,640 Speaker 1: is going to probably determine whether or not most all 251 00:15:48,080 --> 00:15:52,440 Speaker 1: or some gets through. It's really a referendum on government. 252 00:15:53,080 --> 00:15:55,520 Speaker 1: Government right now. You look at Pew Pew research or 253 00:15:55,560 --> 00:15:58,680 Speaker 1: latest ranking show governments at an all time low, practically 254 00:15:58,720 --> 00:16:03,720 Speaker 1: a trust in Congress their minds right, wrong direction of 255 00:16:03,760 --> 00:16:08,640 Speaker 1: the country up to mindus fifteen. So what President Buying 256 00:16:08,800 --> 00:16:11,880 Speaker 1: is asking is for the people of America to trust 257 00:16:12,160 --> 00:16:15,320 Speaker 1: that this budget is all going to good stuff that's 258 00:16:15,360 --> 00:16:18,080 Speaker 1: going to be well spent, is going to be efficiently spent, 259 00:16:18,480 --> 00:16:22,160 Speaker 1: and it's all going to be controlled by politicians and bureaucrats. 260 00:16:22,200 --> 00:16:24,840 Speaker 1: At a time when the ratings on both of those 261 00:16:24,960 --> 00:16:28,680 Speaker 1: and on government or at at or near all time loads. 262 00:16:28,720 --> 00:16:31,600 Speaker 1: That is what we're going to be watching in slow 263 00:16:31,680 --> 00:16:35,320 Speaker 1: motion here. But six trillion is a lot of money 264 00:16:35,920 --> 00:16:39,240 Speaker 1: with a lot of questions being asked about truly how 265 00:16:39,280 --> 00:16:41,360 Speaker 1: we're gonna be able to report it. So, Adam, it 266 00:16:41,440 --> 00:16:43,720 Speaker 1: definitely is. I think I saw somewhere today that this 267 00:16:43,880 --> 00:16:47,360 Speaker 1: is the larger budget request since World War Two. It 268 00:16:47,440 --> 00:16:51,120 Speaker 1: definitely follows what we've already seen with President Biden and 269 00:16:51,200 --> 00:16:55,080 Speaker 1: sort of his reshaping of what role the government plays, 270 00:16:55,360 --> 00:16:58,240 Speaker 1: trying to really make sure that they are doing, um, 271 00:16:58,280 --> 00:17:01,840 Speaker 1: you know, supporting the middle uh and low income families 272 00:17:01,840 --> 00:17:04,280 Speaker 1: and individuals in a way that we really haven't seen 273 00:17:04,359 --> 00:17:08,160 Speaker 1: from from previous administrations, I mean, Rick Davis. The other 274 00:17:08,240 --> 00:17:11,080 Speaker 1: thing that this could potentially run into that everyone is 275 00:17:11,080 --> 00:17:14,320 Speaker 1: watching right now is inflation. Uh. Today we heard Treasury 276 00:17:14,320 --> 00:17:17,359 Speaker 1: Secretary Janet Yellen say that inflation is actually likely to 277 00:17:17,400 --> 00:17:19,440 Speaker 1: go up in the next few months. Then she said 278 00:17:19,480 --> 00:17:22,119 Speaker 1: that it would be coming down, it would stabilize. But 279 00:17:22,200 --> 00:17:24,439 Speaker 1: the next few months are when these negotiations are going 280 00:17:24,480 --> 00:17:27,840 Speaker 1: to happen. How likely is this to impact this budget 281 00:17:27,880 --> 00:17:30,800 Speaker 1: process we're about to see. Yeah, it's a rough start. 282 00:17:31,240 --> 00:17:34,359 Speaker 1: April inflation number four point two percent, the largest and 283 00:17:34,400 --> 00:17:39,200 Speaker 1: thirteen years, and he releases a budget that, as Adam says, uh, 284 00:17:39,320 --> 00:17:41,840 Speaker 1: blows your socks off. He said he was going big, nobody, 285 00:17:42,080 --> 00:17:45,399 Speaker 1: He's going this big uh and and so um. I 286 00:17:45,440 --> 00:17:47,159 Speaker 1: think I think that is going to be central to 287 00:17:47,240 --> 00:17:50,480 Speaker 1: debate because even in this budget, according to the reports 288 00:17:50,520 --> 00:17:53,240 Speaker 1: I've read, is he's predicting a pretty slow growth rate 289 00:17:53,280 --> 00:17:55,760 Speaker 1: for the United States, and so all of that adds 290 00:17:55,800 --> 00:17:58,960 Speaker 1: to the overall deficit, and all of that is going 291 00:17:59,040 --> 00:18:00,919 Speaker 1: to put pressure on how you pay for it. And 292 00:18:00,960 --> 00:18:03,360 Speaker 1: I think he'll have his moment and a son tomorrow 293 00:18:03,359 --> 00:18:05,200 Speaker 1: when he presents this thing. You'll talk about all these 294 00:18:05,200 --> 00:18:07,560 Speaker 1: great bells and whistles he's got chucked into a six 295 00:18:07,640 --> 00:18:11,320 Speaker 1: trillion dollar budget. But at the end of the day, 296 00:18:11,440 --> 00:18:14,840 Speaker 1: the debate is going to quickly pivot to revenue and 297 00:18:14,920 --> 00:18:16,760 Speaker 1: where do you find the money for this? And at 298 00:18:16,800 --> 00:18:19,359 Speaker 1: a time when you're just on the verge of inking 299 00:18:19,359 --> 00:18:23,080 Speaker 1: a deal on infrastructure, I think you're gonna be really 300 00:18:23,119 --> 00:18:26,080 Speaker 1: set back with this big number being out there. I 301 00:18:26,119 --> 00:18:29,080 Speaker 1: think that the fear I would have in the Biden 302 00:18:29,160 --> 00:18:33,920 Speaker 1: White House is that this dislodges the progress they've made 303 00:18:33,960 --> 00:18:37,480 Speaker 1: this week on a bipartisan infrastructure bill. I'm Emily Wilkins 304 00:18:37,640 --> 00:18:40,400 Speaker 1: here as I so frequently am with our wonderful Bloomberg 305 00:18:40,440 --> 00:18:43,400 Speaker 1: Politics contributor Rick Davis, and joined today as well by 306 00:18:43,480 --> 00:18:47,639 Speaker 1: Adam Goldman. Edward Armrow, Senior fellow at Tufts University and 307 00:18:47,760 --> 00:18:51,120 Speaker 1: national GOP strategist and a columnist. I love it. We're 308 00:18:51,119 --> 00:18:53,640 Speaker 1: just like we're getting all of Adam's accolades in here 309 00:18:53,720 --> 00:18:56,600 Speaker 1: right now. Well, today, one of the biggest news is 310 00:18:56,640 --> 00:18:58,919 Speaker 1: broke this morning. We're going to continue to follow this, 311 00:18:59,040 --> 00:19:02,040 Speaker 1: but set it. Republic have come back with their latest 312 00:19:02,080 --> 00:19:06,639 Speaker 1: counter offer to President Biden's infrastructure plan. The Republicans have 313 00:19:06,800 --> 00:19:11,000 Speaker 1: up the price tag to nine hundred twenty eight billion dollars. 314 00:19:11,040 --> 00:19:15,800 Speaker 1: That's still well below President Biden's one point seven trillion dollars, 315 00:19:15,800 --> 00:19:18,840 Speaker 1: but that's not the only gap in where Republicans and 316 00:19:18,880 --> 00:19:23,000 Speaker 1: Democrats are. Republicans refused to budge on their opposition to 317 00:19:23,080 --> 00:19:27,359 Speaker 1: tax increases for wealthy individuals and large corporations at a 318 00:19:27,400 --> 00:19:31,359 Speaker 1: Capitol Hill news conference this morning. Republican Senator Shelleymore, Capital 319 00:19:31,400 --> 00:19:34,920 Speaker 1: of West Virginia, when the leave Republican negotiators on this 320 00:19:35,320 --> 00:19:38,320 Speaker 1: said the plan calls for using unspent COVID relief funding 321 00:19:38,440 --> 00:19:42,040 Speaker 1: to pay for traditional infrastructure projects. Here's the sound on 322 00:19:42,119 --> 00:19:46,240 Speaker 1: that we have stayed within the boundaries of our original plan. 323 00:19:46,720 --> 00:19:48,920 Speaker 1: I think that's what the American people think of when 324 00:19:48,920 --> 00:19:51,480 Speaker 1: they think of of infrastructure, and that's certainly what we 325 00:19:51,520 --> 00:19:54,840 Speaker 1: do to President Joe Biden said that he will meet 326 00:19:54,920 --> 00:19:57,520 Speaker 1: next week with the group of Senate Republicans, but he 327 00:19:57,600 --> 00:19:59,960 Speaker 1: told reporters today that a decision would need to be 328 00:20:00,000 --> 00:20:02,640 Speaker 1: he made soon, and he said the exact same thing 329 00:20:02,720 --> 00:20:06,119 Speaker 1: to Senator Capital. Capital told reporters that after a brief 330 00:20:06,119 --> 00:20:08,640 Speaker 1: call with Biden, he told her to keep moving forward, 331 00:20:08,680 --> 00:20:12,480 Speaker 1: but cautioned that he doesn't want this to drag on 332 00:20:12,840 --> 00:20:18,320 Speaker 1: for forever. Rick Davis, Forever is a very long time. Initially, 333 00:20:18,640 --> 00:20:21,880 Speaker 1: we had heard a deadline of Memorial Day, which if 334 00:20:21,920 --> 00:20:24,639 Speaker 1: Biden's meeting with these senators next week, they're they're not 335 00:20:24,680 --> 00:20:27,920 Speaker 1: going to make that deadline. What is the timeline here? 336 00:20:27,960 --> 00:20:30,840 Speaker 1: How much pressure is on Biden to come to a 337 00:20:30,920 --> 00:20:33,680 Speaker 1: negotiation in the next week, in the next month, I mean, 338 00:20:33,760 --> 00:20:36,840 Speaker 1: how much longer can can Democrats try to get to 339 00:20:37,119 --> 00:20:40,160 Speaker 1: yes with Republicans for yea family as we know, I mean, 340 00:20:40,520 --> 00:20:43,160 Speaker 1: Democrats are putting a lot of pressure Democrats on the Hill, 341 00:20:43,200 --> 00:20:45,879 Speaker 1: a lot of pressure on the Biden administration to not 342 00:20:46,040 --> 00:20:48,960 Speaker 1: let Republicans do what they claim we did hit in 343 00:20:48,960 --> 00:20:51,400 Speaker 1: in the Biden or in the Obama administration, where we 344 00:20:51,920 --> 00:20:55,800 Speaker 1: negotiated and negotiate, negotiated, and then ultimately wouldn't agree to anything. 345 00:20:56,240 --> 00:20:59,680 Speaker 1: I think this is a different dynamic. Obviously, the White 346 00:20:59,680 --> 00:21:02,879 Speaker 1: House is putting some pressure on Republicans, telling them they 347 00:21:02,880 --> 00:21:07,040 Speaker 1: want to deal by Memorial Day. Um, there's been progress. 348 00:21:07,119 --> 00:21:08,880 Speaker 1: I mean, I spent a really good week I think 349 00:21:08,960 --> 00:21:14,640 Speaker 1: for the infrastructure negotiations. Biden has been flexible the Republicans 350 00:21:14,640 --> 00:21:17,560 Speaker 1: and keep adding money to their bill. Uh, there's a 351 00:21:17,560 --> 00:21:21,800 Speaker 1: lot of progress on other uh competitiveness bills that worth 352 00:21:21,880 --> 00:21:25,159 Speaker 1: hundreds of billions of dollars. So if I'm Biden, I 353 00:21:25,200 --> 00:21:27,199 Speaker 1: think I'd look at the White House and say, by 354 00:21:27,280 --> 00:21:29,800 Speaker 1: Parson deals a huge coup. So why not stick to 355 00:21:29,840 --> 00:21:32,400 Speaker 1: it until we get one and until we see these 356 00:21:32,400 --> 00:21:35,360 Speaker 1: things actually start to go in the opposite direction. Don't 357 00:21:35,359 --> 00:21:37,679 Speaker 1: worry about it. Press for a deal. Yeah, you know 358 00:21:37,720 --> 00:21:40,600 Speaker 1: the White House, you know, they actually were very welcoming 359 00:21:40,680 --> 00:21:44,560 Speaker 1: so far of this Republican plan. Uh, you know, despite 360 00:21:44,560 --> 00:21:48,840 Speaker 1: these disagreements, we have Press Secretary Jensaki today on Air 361 00:21:48,920 --> 00:21:53,040 Speaker 1: Force one sounding very very optimistic about things going forward. 362 00:21:53,440 --> 00:21:55,880 Speaker 1: Here's the sound on that. We have a counter offer 363 00:21:55,880 --> 00:21:58,880 Speaker 1: on the table where the number came up significantly from 364 00:21:58,960 --> 00:22:01,920 Speaker 1: the prior offer, where there was an increase in proposed 365 00:22:01,920 --> 00:22:04,840 Speaker 1: funding and roads, rails and bridges. There are some areas 366 00:22:05,320 --> 00:22:07,720 Speaker 1: that we would like to see more funding it that 367 00:22:07,760 --> 00:22:12,719 Speaker 1: we think are essential to the American workforce. Now, you 368 00:22:12,880 --> 00:22:15,199 Speaker 1: we have seen, as Rick pointed out, sort of you know, 369 00:22:15,240 --> 00:22:18,080 Speaker 1: the two sides come together, You've seen them negotiate on numbers. 370 00:22:18,119 --> 00:22:21,040 Speaker 1: But I'm thinking here, you know, if if Biden Republicans 371 00:22:21,200 --> 00:22:23,919 Speaker 1: keep inching forward, maybe they come to an agreement around 372 00:22:23,960 --> 00:22:25,960 Speaker 1: let's say one point three trillion, because that's kind of 373 00:22:26,000 --> 00:22:28,440 Speaker 1: in the middle of where they are. It's roads, it's bridges, 374 00:22:28,520 --> 00:22:33,879 Speaker 1: it's public transit, broadband. I'm wondering, Adam, is there a 375 00:22:34,000 --> 00:22:38,639 Speaker 1: risk then that some Democrats might look at that agreement 376 00:22:38,800 --> 00:22:42,719 Speaker 1: and say, absolutely not. We've got fifty votes in the Senate, 377 00:22:42,840 --> 00:22:45,040 Speaker 1: we have the majority in the House, we have the 378 00:22:45,040 --> 00:22:48,560 Speaker 1: White House. Why are we going so low when we 379 00:22:48,600 --> 00:22:52,120 Speaker 1: could be passing much more through budget reconciliation? Is there 380 00:22:52,280 --> 00:22:55,040 Speaker 1: is there a big danger there that this negotiation might 381 00:22:55,080 --> 00:22:57,800 Speaker 1: not work because not all Democrats will be on board. 382 00:22:59,680 --> 00:23:02,680 Speaker 1: A laughing a little bit, because you're assuming that all 383 00:23:02,760 --> 00:23:07,159 Speaker 1: Democrats always rode together. You can see the same about Republicans. 384 00:23:07,320 --> 00:23:10,440 Speaker 1: I agree with what Rick was talking about in terms 385 00:23:10,480 --> 00:23:13,480 Speaker 1: of the infrastructure of the politics and the infrastructure. Frankly, 386 00:23:13,520 --> 00:23:16,200 Speaker 1: I think this was the biggest miss by the former 387 00:23:16,240 --> 00:23:19,560 Speaker 1: president Donald Trump, you know, the master builder. Just getting 388 00:23:19,560 --> 00:23:22,640 Speaker 1: an infrastructure program should have been something that he would 389 00:23:22,640 --> 00:23:25,560 Speaker 1: have accomplished. But let's be real about it. Uh, we're 390 00:23:25,560 --> 00:23:28,560 Speaker 1: talking about a little over a trillion dollars. The civil 391 00:23:28,560 --> 00:23:30,679 Speaker 1: engineers of America say it's gonna take two to four 392 00:23:30,760 --> 00:23:33,480 Speaker 1: trillion just to fix what's broken. The easy part of 393 00:23:33,520 --> 00:23:37,879 Speaker 1: this is twofold. One is that there is a demonstrated 394 00:23:38,160 --> 00:23:40,440 Speaker 1: and uh and public need for it in a public 395 00:23:40,480 --> 00:23:43,399 Speaker 1: thirst point right. And the second thing is this should 396 00:23:43,400 --> 00:23:46,520 Speaker 1: be the easiest thing where Republicans Democrats to come around 397 00:23:46,600 --> 00:23:50,520 Speaker 1: and agree on. Uh. It's compelling. You have these visuals. 398 00:23:50,520 --> 00:23:52,199 Speaker 1: By the way you talked about the infrastructure. You can 399 00:23:52,320 --> 00:23:56,960 Speaker 1: visualize the improvements in infrastructure literally in every local community 400 00:23:57,040 --> 00:23:59,840 Speaker 1: in America. You could actually show pictures of that. That's 401 00:23:59,840 --> 00:24:03,240 Speaker 1: a great people way to sell an idea. I think 402 00:24:03,280 --> 00:24:06,480 Speaker 1: people can rally around that. The Republicans are saying this, 403 00:24:06,680 --> 00:24:09,159 Speaker 1: make it, make sure we start with hard infrastructure that 404 00:24:09,320 --> 00:24:12,080 Speaker 1: get there first. Um. And I think that's a win 405 00:24:12,440 --> 00:24:16,840 Speaker 1: that the President and Democrats should trying to grab and 406 00:24:16,920 --> 00:24:20,160 Speaker 1: run with because the other stuff under this six dreen 407 00:24:20,320 --> 00:24:22,920 Speaker 1: dollars we've been talking about is going to be far 408 00:24:22,960 --> 00:24:26,639 Speaker 1: more difficult. If there's anything to get bipartisan kind of 409 00:24:26,760 --> 00:24:29,920 Speaker 1: agreement on and to make people feel okay, so Washington 410 00:24:29,920 --> 00:24:33,680 Speaker 1: isn't completely at loger's heads with each other. This is 411 00:24:33,720 --> 00:24:36,159 Speaker 1: the place to do it. This is the opportunity for it. 412 00:24:36,359 --> 00:24:38,720 Speaker 1: And despite all that, there's certainly there will be some 413 00:24:38,840 --> 00:24:42,560 Speaker 1: Democrats who won't like it, and uh and one thing 414 00:24:42,600 --> 00:24:45,720 Speaker 1: we've seen recently is they will not be silent about 415 00:24:45,760 --> 00:24:49,640 Speaker 1: their disagreements. Absolutely. So, Adam, I'm gonna do something fun 416 00:24:49,640 --> 00:24:52,360 Speaker 1: and put you on the spot real quick. In ten seconds, 417 00:24:52,400 --> 00:24:57,680 Speaker 1: what should be the new deadline for a negotiation? Tonight? 418 00:25:01,040 --> 00:25:07,119 Speaker 1: He's Bloomberg Sound On on Bloomberg Radio. I'm Emily Wilkins 419 00:25:07,160 --> 00:25:10,560 Speaker 1: here with Bloomberg Politics contributor Rick Davis, and we are 420 00:25:10,680 --> 00:25:16,359 Speaker 1: now joined by Congressman Warren Davidson, a Republican representing Ohio's 421 00:25:16,400 --> 00:25:22,240 Speaker 1: eighth congressional district and Congress's residency cryptocurrency guru. He is 422 00:25:22,240 --> 00:25:25,560 Speaker 1: a member of the House Financial Services Committee. To today 423 00:25:25,600 --> 00:25:28,399 Speaker 1: had a big hearing where they heard testimony from the 424 00:25:28,480 --> 00:25:33,760 Speaker 1: CEOs of six of the largest US banks. Congressman, thank 425 00:25:33,760 --> 00:25:36,280 Speaker 1: you so much for taking the time to joining us today. 426 00:25:37,040 --> 00:25:42,240 Speaker 1: Big hearing, big names, lots of pretty heated questions. What 427 00:25:42,359 --> 00:25:47,560 Speaker 1: was your takeaway from the hearing today? Well, look, you 428 00:25:47,680 --> 00:25:49,640 Speaker 1: keep it up on the crypto elane and so one 429 00:25:49,640 --> 00:25:52,520 Speaker 1: of the questions I asked Jamie Diamond, what's about that 430 00:25:52,640 --> 00:25:56,840 Speaker 1: about his changing views on tipto Any kind of said, well, 431 00:25:56,920 --> 00:25:59,240 Speaker 1: you know, my own have changed that much, but at 432 00:25:59,320 --> 00:26:02,320 Speaker 1: least I think that the market wants to be able 433 00:26:02,359 --> 00:26:05,560 Speaker 1: to have access to these products. Uh yeah, he kind 434 00:26:05,560 --> 00:26:07,560 Speaker 1: of said, well, I personally still don't think things that 435 00:26:07,600 --> 00:26:10,919 Speaker 1: aren't bapped by an asset. So he's like, okay, stable 436 00:26:10,960 --> 00:26:16,200 Speaker 1: coins are fine, but other things he had concerns about personally. Nevertheless, 437 00:26:16,200 --> 00:26:19,400 Speaker 1: they're going to offer the product for their private wealth clients. 438 00:26:19,400 --> 00:26:21,159 Speaker 1: But that he didn't get to that I'd like to 439 00:26:21,160 --> 00:26:23,400 Speaker 1: have as a follow up is what would it take 440 00:26:23,440 --> 00:26:27,480 Speaker 1: to have regulatory clarity for the regular investors, retail investors, 441 00:26:27,720 --> 00:26:30,280 Speaker 1: because the reality is people with the retirement savings I 442 00:26:30,440 --> 00:26:32,919 Speaker 1: raised more one case, I haven't been able to invest 443 00:26:32,960 --> 00:26:37,400 Speaker 1: directly into crypto with those because Congress and the SEC 444 00:26:37,640 --> 00:26:40,880 Speaker 1: have not provided that clarity. I mean, it does more 445 00:26:40,920 --> 00:26:43,639 Speaker 1: clarity than need to be provided on crypto. Do we 446 00:26:43,680 --> 00:26:47,280 Speaker 1: need to see some regulations either from Congress or from 447 00:26:47,320 --> 00:26:50,440 Speaker 1: the SEC that really sort of lay out the standards 448 00:26:50,440 --> 00:26:54,600 Speaker 1: and maybe make crypto something that more investors are interested 449 00:26:54,640 --> 00:26:58,000 Speaker 1: in getting into. Yeah, I mean, look, it's already grown 450 00:26:58,080 --> 00:26:59,920 Speaker 1: to you know what to two and a half truly 451 00:27:00,000 --> 00:27:03,040 Speaker 1: in dollar market cap, so over the past fiber six years, 452 00:27:03,040 --> 00:27:06,240 Speaker 1: the growth is being tremendous. It's been overall over the 453 00:27:06,320 --> 00:27:09,840 Speaker 1: last decade the best performing asset class um with a 454 00:27:09,880 --> 00:27:11,920 Speaker 1: lot of volatility and frank mea for a bit of 455 00:27:11,960 --> 00:27:17,080 Speaker 1: fraud with seen in the I C O market. Uh, 456 00:27:17,160 --> 00:27:19,520 Speaker 1: you know, regulatory arbitrage is one of the things that 457 00:27:19,640 --> 00:27:22,080 Speaker 1: companies have tried to do and say, you know, we're 458 00:27:22,080 --> 00:27:25,200 Speaker 1: not really in security when reality they're just skirting regulations. 459 00:27:25,640 --> 00:27:27,280 Speaker 1: They've been able to get away with that and just 460 00:27:27,280 --> 00:27:30,639 Speaker 1: count on enforcement. But yes, he seems because Congress hasn't done, 461 00:27:31,119 --> 00:27:34,080 Speaker 1: you know, our job and passed a law. So darn 462 00:27:34,160 --> 00:27:37,080 Speaker 1: Soto from Orlando, a Democrat, and I are proposed to 463 00:27:37,119 --> 00:27:40,400 Speaker 1: sevening Autonomy Act. That's one solution. We'd love to get 464 00:27:40,400 --> 00:27:42,199 Speaker 1: it into a hearing and have a debate about that, 465 00:27:42,840 --> 00:27:45,800 Speaker 1: do amendments and get something across the finish line. In 466 00:27:45,840 --> 00:27:48,600 Speaker 1: the meantime, I'm really encouraged by Chairman Gainsler. He's really 467 00:27:48,640 --> 00:27:51,719 Speaker 1: taking a fresh approach and he clearly understands the topic. 468 00:27:52,440 --> 00:27:54,600 Speaker 1: I also want to ask you about another thing that 469 00:27:54,720 --> 00:27:59,159 Speaker 1: Jamie Diamond said. He said that he doesn't think that 470 00:27:59,160 --> 00:28:04,560 Speaker 1: that the US has done public policy particularly well uh infrastructure, immigration, 471 00:28:04,840 --> 00:28:09,600 Speaker 1: health care, taxation, regulation, US stifled the formation of small businesses, 472 00:28:09,840 --> 00:28:13,080 Speaker 1: and that American leadership really matters, and if we don't 473 00:28:13,080 --> 00:28:16,200 Speaker 1: get our economic act together, we won't be a leader 474 00:28:16,560 --> 00:28:20,600 Speaker 1: in twenty years. What is your response to that? Look, 475 00:28:20,640 --> 00:28:23,280 Speaker 1: he identified some really important issues. I mean, I agree 476 00:28:23,280 --> 00:28:26,640 Speaker 1: with a number of his public policy statements there. I mean, frankly, 477 00:28:26,640 --> 00:28:28,640 Speaker 1: one of the things that he had in exchange with 478 00:28:28,880 --> 00:28:32,719 Speaker 1: my colleague Brian Style from Wisconsin was, you know, fundamentally, 479 00:28:32,760 --> 00:28:38,080 Speaker 1: the fiscal policy as proposed by President Biden and the 480 00:28:38,120 --> 00:28:43,200 Speaker 1: monetary policy reinforced by set actions are jucing inflation, and 481 00:28:43,480 --> 00:28:48,840 Speaker 1: average wagers are at risk of being harmed significantly by 482 00:28:49,080 --> 00:28:52,480 Speaker 1: by by the growing inflation. Point it wasn't mentioned that's 483 00:28:52,520 --> 00:28:56,440 Speaker 1: really true is fixed income folk, seniors and people retirees 484 00:28:57,000 --> 00:28:59,840 Speaker 1: are really gonna get tripled off of this inflation. So 485 00:29:00,360 --> 00:29:02,400 Speaker 1: it makes sense to get all over our policies right. 486 00:29:02,480 --> 00:29:05,320 Speaker 1: And while infrastructure is important, it needs to be focused 487 00:29:05,320 --> 00:29:08,600 Speaker 1: on infrastructure, not the pockets that's currently on the table. 488 00:29:09,800 --> 00:29:11,320 Speaker 1: I do want to ask you a little bit more 489 00:29:11,400 --> 00:29:15,400 Speaker 1: about infrastructure because today we saw your Senate colleagues move 490 00:29:15,480 --> 00:29:18,280 Speaker 1: closer to an agreement with President Biden. It seems like 491 00:29:18,360 --> 00:29:21,760 Speaker 1: negotiations are now going to continue into next week, and 492 00:29:21,880 --> 00:29:24,520 Speaker 1: we've seen the two sides get closer. I'm just wondering 493 00:29:24,520 --> 00:29:29,080 Speaker 1: what you think about these negotiations between Senate Republicans and 494 00:29:29,160 --> 00:29:32,560 Speaker 1: President Biden. Are are you optimistic that there's going to 495 00:29:32,600 --> 00:29:35,480 Speaker 1: be legislation from this that you and your colleagues in 496 00:29:35,480 --> 00:29:39,600 Speaker 1: the House can support. Well, think about how crazy it 497 00:29:39,640 --> 00:29:43,760 Speaker 1: would be to hear a proposal for a nine plus 498 00:29:43,960 --> 00:29:47,959 Speaker 1: billion dollar infrastructure proposal just a few years ago. At 499 00:29:48,000 --> 00:29:50,240 Speaker 1: any point in time. If that was proposed, it would 500 00:29:50,240 --> 00:29:53,600 Speaker 1: have said, well, that's a pretty audacious proposal, right, I mean, 501 00:29:53,640 --> 00:29:55,720 Speaker 1: we couldn't get a vote on a proposal that was 502 00:29:55,800 --> 00:29:58,840 Speaker 1: bipartisan in the House. There was for an eighty billion 503 00:29:58,880 --> 00:30:02,680 Speaker 1: dollar infrastructure bill, mostly those because many Closi didn't want 504 00:30:02,680 --> 00:30:05,280 Speaker 1: to let Congress vote on an infrastructure bill that Donald 505 00:30:05,320 --> 00:30:09,000 Speaker 1: Trump could take credit for going into an election. Um, 506 00:30:09,120 --> 00:30:11,840 Speaker 1: what the reality is, it was viewed as contentious to 507 00:30:11,920 --> 00:30:16,280 Speaker 1: have eight billion dollar proposal. So this is more than 508 00:30:16,320 --> 00:30:19,240 Speaker 1: ten times that bill that we couldn't vote on last Congress, 509 00:30:20,080 --> 00:30:24,280 Speaker 1: and it's it's basically dismissed out of hand by by 510 00:30:24,360 --> 00:30:27,440 Speaker 1: Joe Biden. And frankly, even Joe Biden's proposals for two 511 00:30:27,480 --> 00:30:30,880 Speaker 1: trillion has met with frustration from the Green Neal, Green 512 00:30:30,960 --> 00:30:33,920 Speaker 1: New Deal folks on the squad and other others that 513 00:30:34,080 --> 00:30:38,280 Speaker 1: want seven trillion in infrastructure. So, you know, the idea 514 00:30:38,280 --> 00:30:40,760 Speaker 1: that we could just print this money with no consequences, 515 00:30:40,840 --> 00:30:44,160 Speaker 1: let's go back to the inflation. You're fundamentally undermining the 516 00:30:44,240 --> 00:30:47,400 Speaker 1: value of the dollar, which will hurt our ability and 517 00:30:47,440 --> 00:30:50,720 Speaker 1: our standing globally because we're depending on the US dollar 518 00:30:50,800 --> 00:30:53,480 Speaker 1: to be the world's reserve currency. If we keep doing 519 00:30:53,520 --> 00:30:56,440 Speaker 1: these things, we're really going to impair that standing for 520 00:30:56,480 --> 00:30:59,440 Speaker 1: the U. S. Dollart. So it sounds like then you're 521 00:30:59,480 --> 00:31:04,720 Speaker 1: not clearly optimistic in Senate Republicans and President Biden getting 522 00:31:04,760 --> 00:31:07,120 Speaker 1: some sort of infrastructure deal that that is going to 523 00:31:07,160 --> 00:31:10,880 Speaker 1: be welcomed by by the wider Democratic caucus or even 524 00:31:10,960 --> 00:31:13,200 Speaker 1: within Congress as a whole. Is that fair to say? 525 00:31:14,680 --> 00:31:16,280 Speaker 1: We just seems so far apart that a lot of 526 00:31:16,280 --> 00:31:18,840 Speaker 1: things it means can be you know, nine billions still 527 00:31:18,840 --> 00:31:22,160 Speaker 1: seems pretty crazy. But it was not even met with 528 00:31:22,480 --> 00:31:27,120 Speaker 1: receptive uh dialogue from you know, any corner that I've 529 00:31:27,120 --> 00:31:29,760 Speaker 1: seen so far today. And you know, maybe that's early 530 00:31:29,880 --> 00:31:33,320 Speaker 1: stage posturing and eventually that get to something that enough 531 00:31:33,360 --> 00:31:36,720 Speaker 1: senators can agree with in any house. I mean, philosophy 532 00:31:36,800 --> 00:31:39,240 Speaker 1: doesn't care whether it gets one Republican vote. She's gonna 533 00:31:39,720 --> 00:31:41,600 Speaker 1: call the votes and get it across the finish line, 534 00:31:41,720 --> 00:31:44,600 Speaker 1: which highlight sound important. The filibuster rule is how the 535 00:31:44,640 --> 00:31:46,560 Speaker 1: Senate works. I mean, if they can peel off ten 536 00:31:47,160 --> 00:31:50,400 Speaker 1: ten Republican senators, then they've got the sixty votes they 537 00:31:50,400 --> 00:31:53,920 Speaker 1: need to move a bipartisan package across the finish line. 538 00:31:54,880 --> 00:31:58,000 Speaker 1: Speaking of by partisanship. We're seeing the Senate today take 539 00:31:58,040 --> 00:32:01,000 Speaker 1: a number of votes on legisla shin that's supposed to 540 00:32:01,040 --> 00:32:06,560 Speaker 1: bolster the US is economic competitiveness with China. We've seen 541 00:32:06,680 --> 00:32:09,719 Speaker 1: a number of amendments come Obviously there there's still plenty 542 00:32:09,800 --> 00:32:13,080 Speaker 1: of debate going on, but it seems like it could 543 00:32:13,120 --> 00:32:15,520 Speaker 1: be potentially poised to pass. It's cleared one of the 544 00:32:15,560 --> 00:32:18,880 Speaker 1: first procedural hurdles. Of course, this bill has not yet 545 00:32:18,920 --> 00:32:21,560 Speaker 1: been taken up in the House. Uh. And it would 546 00:32:21,600 --> 00:32:24,080 Speaker 1: be headed there next if it passes the Senate. What 547 00:32:24,120 --> 00:32:27,240 Speaker 1: are your thoughts in regards to this legislation? What are 548 00:32:27,240 --> 00:32:29,880 Speaker 1: you thinking about as it as it moves through the Senate? 549 00:32:30,040 --> 00:32:33,120 Speaker 1: Is this something that that you think can be passed 550 00:32:33,200 --> 00:32:36,720 Speaker 1: in the House at this point? Uh? You know, it 551 00:32:36,840 --> 00:32:40,360 Speaker 1: probably can. We'll see, you know what, what kind of things? Uh, 552 00:32:40,560 --> 00:32:44,320 Speaker 1: super Pelosius to give it to the floor. Uh. And look, 553 00:32:44,360 --> 00:32:47,320 Speaker 1: we'd like to find something that Republicans and Democrats can 554 00:32:47,360 --> 00:32:50,600 Speaker 1: agree on. But it's been painful this past year to 555 00:32:50,640 --> 00:32:55,720 Speaker 1: watch how politicized literally everything has become. Uh. And with 556 00:32:55,880 --> 00:32:59,560 Speaker 1: respect to China, you saw people side with China over 557 00:33:00,240 --> 00:33:03,800 Speaker 1: you know, any any logic about what's going on and 558 00:33:03,840 --> 00:33:07,640 Speaker 1: move on uh side with China overwhell we can just 559 00:33:07,680 --> 00:33:10,960 Speaker 1: ignore what's going on with the years. Yeah, we can 560 00:33:11,000 --> 00:33:13,920 Speaker 1: have this discussion about all the sins of America's past, 561 00:33:14,320 --> 00:33:17,400 Speaker 1: we can't even deal with the present in China. And 562 00:33:17,400 --> 00:33:19,800 Speaker 1: and let's not forget the importance of our trade deals, 563 00:33:20,520 --> 00:33:23,400 Speaker 1: because you know, trade is still broken with China. China 564 00:33:23,480 --> 00:33:26,400 Speaker 1: is still stealing and only from property. There's still blocking 565 00:33:26,440 --> 00:33:29,920 Speaker 1: market access, and they're still subsidizing and dumping products in 566 00:33:29,960 --> 00:33:33,000 Speaker 1: the shape markets and steel market share from American and 567 00:33:33,040 --> 00:33:36,880 Speaker 1: global companies. Strinkly, our trading partners around the world would 568 00:33:36,880 --> 00:33:39,200 Speaker 1: agree China treats them the same way they knew us. 569 00:33:39,400 --> 00:33:41,239 Speaker 1: And so we should really be using all of these 570 00:33:41,320 --> 00:33:44,360 Speaker 1: kind of relationships with China to make them honor their 571 00:33:44,440 --> 00:33:47,080 Speaker 1: existing commitments to be a market economy as part of 572 00:33:47,080 --> 00:33:50,200 Speaker 1: the World Trade Organization. Well, one of the things, Congressmen 573 00:33:50,240 --> 00:33:52,400 Speaker 1: that does seem to have gotten some bipartisan support is 574 00:33:52,400 --> 00:33:54,920 Speaker 1: the endless frontier approach that's been going on in the 575 00:33:54,920 --> 00:33:58,760 Speaker 1: Senate recently. And I assume you'll see equal amount of 576 00:33:58,760 --> 00:34:02,480 Speaker 1: bipartisan support for were that competitiveness bill in China. We 577 00:34:02,600 --> 00:34:05,760 Speaker 1: heard from Secretary Raimunda earlier about some of the money 578 00:34:05,760 --> 00:34:09,799 Speaker 1: in there for creating a more vibrant chip economy here 579 00:34:09,840 --> 00:34:13,719 Speaker 1: in the United States. Uh, is China the common denominator 580 00:34:13,760 --> 00:34:18,040 Speaker 1: to getting bipartisan support these days? Well, I certainly hope to. 581 00:34:18,160 --> 00:34:20,319 Speaker 1: I mean, it's definitely something that's going to resonate with 582 00:34:20,400 --> 00:34:23,680 Speaker 1: Republicans and uh, and we certainly hope that it stays 583 00:34:23,680 --> 00:34:27,719 Speaker 1: strong with Democrats. I mean, maybe something that unites us, 584 00:34:27,800 --> 00:34:30,239 Speaker 1: and you know, we're all hopeful that China honors their 585 00:34:30,280 --> 00:34:33,279 Speaker 1: commitments and we trade together. But you know, should you 586 00:34:33,360 --> 00:34:35,880 Speaker 1: things really a pretty big departure from the way China 587 00:34:35,920 --> 00:34:38,680 Speaker 1: was trying to engage just with the United States of America, 588 00:34:38,760 --> 00:34:41,400 Speaker 1: but with the West broadly, and the way they're treating, 589 00:34:41,640 --> 00:34:44,200 Speaker 1: you know, developing autonomy is kind of a dew fime 590 00:34:44,280 --> 00:34:47,520 Speaker 1: of imperialism. So hopefully, you know, I'm encouraged when I 591 00:34:47,520 --> 00:34:52,040 Speaker 1: hear Secretary Lincoln talking about um China refusing to engage 592 00:34:52,080 --> 00:34:55,600 Speaker 1: in the rules based order, and by that he's referring, 593 00:34:55,680 --> 00:34:58,720 Speaker 1: China is not honoring their commitments, they break their deals. 594 00:34:58,800 --> 00:35:06,120 Speaker 1: So I hope that all of this works. Department. You know, Congressman, 595 00:35:06,480 --> 00:35:08,960 Speaker 1: You're absolutely right. I mean, we heard yesterday sort of. 596 00:35:09,000 --> 00:35:11,960 Speaker 1: The White House is top advisor in Asia. Say that 597 00:35:12,000 --> 00:35:15,360 Speaker 1: we're going from being to a level of engagement with 598 00:35:15,480 --> 00:35:17,480 Speaker 1: China to a level where we're just going to be 599 00:35:17,560 --> 00:35:20,880 Speaker 1: more competitive with them. Congressman, forgive me. There's one question 600 00:35:21,040 --> 00:35:22,759 Speaker 1: that I'm just dying to ask. We only have ten 601 00:35:22,760 --> 00:35:27,600 Speaker 1: seconds left. Doge coin yes or no. I wouldn't buy 602 00:35:27,640 --> 00:35:29,719 Speaker 1: it personally, but we've all missed out if we have 603 00:35:29,960 --> 00:35:34,120 Speaker 1: been trading it. Congressman, we're dudes, and thank you again 604 00:35:34,239 --> 00:35:36,880 Speaker 1: so much for taking the time and joining us today. 605 00:35:37,280 --> 00:35:39,640 Speaker 1: That isn't for today's show. Thank you so much to 606 00:35:39,880 --> 00:35:43,919 Speaker 1: politics contributor Rick Davis as well as Adam Goodman. I'm 607 00:35:43,960 --> 00:36:01,480 Speaker 1: Emily Wilkins. This is Bloomberg in four