WEBVTT - AI, Critical Thinking,  Ultra-Processed Foods

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<v Speaker 1>You're listening to the Bloomberg Opinion podcast count US Saturdays

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<v Speaker 1>at one in seven pm Eastern on Bloomberg dot Com,

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<v Speaker 1>the iHeartRadio app, and the Bloomberg Business App, or listen

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<v Speaker 1>on demand wherever you get your podcasts.

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<v Speaker 2>Welcome to Bloomberg Opinion. I'm Amy Morris. This week we

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<v Speaker 2>look at the flu shot. Fewer kids are getting vaccinated

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<v Speaker 2>for flu season, and that might actually pose a bigger

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<v Speaker 2>problem for the older folks around them, like their grandparents. Also,

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<v Speaker 2>after some severe whiplash in recent months, it looks like

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<v Speaker 2>home buyers are about to catch a break, and the

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<v Speaker 2>USDA is releasing its food guidelines soon. But if you're

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<v Speaker 2>waiting for a warning against ultra processed foods, you might

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<v Speaker 2>be waiting a while. But first, let's begin with the

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<v Speaker 2>humanities and social sciences. Their popularity in the US has

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<v Speaker 2>been waiting in recent years. Bill Falls is dean of

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<v Speaker 2>the College of Arts and Sciences at the University of Vermont.

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<v Speaker 2>Earlier this year, he told a local television station that

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<v Speaker 2>the school has trimmed its budget, letting about five percent

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<v Speaker 2>of their full time professors go and transitioning others to

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<v Speaker 2>part time.

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<v Speaker 3>The concern that folks have had about taking away from

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<v Speaker 3>the humanities. Maybe gets confused to think that somehow we

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<v Speaker 3>don't value the humanities or don't want the humanities to thrive.

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<v Speaker 3>I think it's just because of this shift in student interest.

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<v Speaker 2>It is a shift, he says, that started to show

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<v Speaker 2>up back in twenty ten, as many students focus on

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<v Speaker 2>stem fields with skills more directly applicable to their careers.

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<v Speaker 2>But perhaps the humanities and social sciences have failed to

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<v Speaker 2>train students to be critical thinkers, and that may be

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<v Speaker 2>where artificial intelligence comes in. We get more on this

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<v Speaker 2>with Bloomberg opinion columnist Alison Schrager, who covers economics and

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<v Speaker 2>is a senior fellow at the Manhattan Institute. Alison, why

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<v Speaker 2>do you say in your column on the Bloomberg Terminal

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<v Speaker 2>that the arts are no longer teaching students to be

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<v Speaker 2>critical thinkers?

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<v Speaker 4>Well, I mean, traditionally, you know, you would read the

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<v Speaker 4>great books, you would get this very sort of like

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<v Speaker 4>great nuanced view of history. But it seems like more

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<v Speaker 4>and more that, I mean, at least we keep seeing

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<v Speaker 4>coming out of universities is a simple, more reductive view

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<v Speaker 4>of the world. And you know that also just doesn't

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<v Speaker 4>really sort of ask the big questions and come up

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<v Speaker 4>with a sort of a way of understanding very complex

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<v Speaker 4>issues or really a great understanding of history. It seems

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<v Speaker 4>like from definitely what we've been told or my friends

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<v Speaker 4>who teach in the humanities, people, you're getting people they've

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<v Speaker 4>sort of gone away from that, taken sort of a

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<v Speaker 4>different view. Some call it postmodern, and you know, I mean,

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<v Speaker 4>there's a lot of different viewpoints of history. That's certainly

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<v Speaker 4>a valid one, but the problem is when it takes over,

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<v Speaker 4>you don't really sort of get those critical thinking skills

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<v Speaker 4>of seeing different problems from different perspectives.

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<v Speaker 2>And it looks like that not only is enrollment in

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<v Speaker 2>humanity's dropping, but more Americans are actually questioning the value

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<v Speaker 2>of a college education.

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<v Speaker 4>Yeah, and everyone keeps saying that that's because students just

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<v Speaker 4>you know, college has got a lot more expensive, and

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<v Speaker 4>they want to get value for money. They want to go,

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<v Speaker 4>they want to study something that will give them a

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<v Speaker 4>job right out of school. And I think there's a

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<v Speaker 4>lot to that for the decline. But I think it's

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<v Speaker 4>also worth asking is are the communities also not doing

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<v Speaker 4>what they're supposed to do and students don't want to

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<v Speaker 4>show up for a class and be lectured about their

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<v Speaker 4>professor's political opinion. They actually do want to sort of

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<v Speaker 4>like have a better sense of knowledge and truth. And

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<v Speaker 4>you know, I think that's one of the reasons we've

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<v Speaker 4>lost sight of why the humanities is actually very valuable

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<v Speaker 4>and actually I think are going to be more valuable

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<v Speaker 4>than ever for the way the economy is changing.

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<v Speaker 2>Let's get into that. This is where AI comes in then,

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<v Speaker 2>and changing of the economy. How does that fit into

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<v Speaker 2>this puzzle and make humanities maybe more valuable.

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<v Speaker 4>Well, I mean, no one knows what AI is going

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<v Speaker 4>to mean for the labor market. There's a lot of

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<v Speaker 4>doom and gloom. So I'm just going to rely on

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<v Speaker 4>I think I mentioned to you I've not actually taken

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<v Speaker 4>a lot of humanities in my own education, but I

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<v Speaker 4>did take a lot of economic history, uh, just because

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<v Speaker 4>I went to college in Scotland where they make you

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<v Speaker 4>do that, and so I did study a lot of

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<v Speaker 4>the Industrial Revolution and what that did to labor. So

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<v Speaker 4>I'm going off my own history education of what I

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<v Speaker 4>think could happen with AI, and what we found in

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<v Speaker 4>the Industrial Revolution is labor did find a way, but

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<v Speaker 4>the found the way if you managed to work with

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<v Speaker 4>the new technology rather than be replaced by it. And

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<v Speaker 4>so when it comes to artificial intelligence and it can

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<v Speaker 4>do thinking, you know, you want to be someone who

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<v Speaker 4>can really think well, so you can compliment that, like

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<v Speaker 4>you know, you could I use AI right now, and

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<v Speaker 4>I'm sure in the future a w'll be more as

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<v Speaker 4>like almost like a research assistant for me myself. You know,

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<v Speaker 4>it sort of digs up stuff, but I still am

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<v Speaker 4>as a critical thinker then think, all right, give this

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<v Speaker 4>information AI has given me, I take it to that

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<v Speaker 4>next level. So critical thinking skills is a great compliment

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<v Speaker 4>to AI. And if you just sort of had this

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<v Speaker 4>very reductive simple view of the world, well then you know,

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<v Speaker 4>AI can do what you can do. So we really

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<v Speaker 4>need to be thoughtful thinkers and like just sort of

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<v Speaker 4>learning vocational skills in college, those are the skills they're

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<v Speaker 4>going to be replaced. So we really want to learn

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<v Speaker 4>how to think well, and how to think critically, and

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<v Speaker 4>how to especially people's skills, how to get along with

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<v Speaker 4>people different ideas, how to weigh different arguments. I mean,

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<v Speaker 4>this is really what you're going to learn. I have

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<v Speaker 4>to learn how to do to thrive in the New Economy.

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<v Speaker 2>And we are talking with Bloomberg opinion columnist Alison Schreeger

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<v Speaker 2>about how AI can help make humanities degrees more valuable.

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<v Speaker 2>And Alison, let me see if I can sum up

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<v Speaker 2>what you've just said. I want to make sure I'm

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<v Speaker 2>following you here. The student would eventually be competing in

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<v Speaker 2>a way with AI, so they'd have to be critical

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<v Speaker 2>thinkers in a way artificial intelligence cannot be, and that

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<v Speaker 2>gives them the skill that is more marketable, something that

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<v Speaker 2>AI doesn't offer.

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<v Speaker 4>Yeah, I mean everyone who is an AI enthusiast tells

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<v Speaker 4>me AO would be doing critical thinking. But from well,

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<v Speaker 4>I understand at least for large language models, and maybe

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<v Speaker 4>things will change. It's really good at taking a lot

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<v Speaker 4>of sort of existing information and sort of finding sort

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<v Speaker 4>of the most common argument with that, And so I

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<v Speaker 4>mean that's useful, that gives you a lot, But when

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<v Speaker 4>it comes to sort of coming up with novel information

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<v Speaker 4>or sort of being faced with new information, I know

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<v Speaker 4>for my own work with statistics, it's less good for that.

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<v Speaker 4>So while it's valuable and informs you really being able

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<v Speaker 4>to think critically, how to really sort of understand different

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<v Speaker 4>arguments and where they're coming at you and how to

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<v Speaker 4>synthesize them actually becomes really valuable. And AI is super

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<v Speaker 4>helpful but actually doesn't replace you.

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<v Speaker 2>Is critical thinking just too hard? I mean, how did

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<v Speaker 2>we get here to the point where critical thinking isn't

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<v Speaker 2>valued or isn't taught?

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<v Speaker 4>Well, it is hard, and it's really I got to say.

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<v Speaker 4>I mean, I did a PhD, so I got pretty

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<v Speaker 4>I guess advanced thinking skills, and I found the process

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<v Speaker 4>very unpleasant. It's terrible. I mean it's upsetting as well

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<v Speaker 4>for college students of all ages. It always has been,

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<v Speaker 4>and I mean, I think this is an issue. It's

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<v Speaker 4>not just that the curriculum gotten less critical. It's also

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<v Speaker 4>gotten less rigorous, because you know, most ideas you have

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<v Speaker 4>when you're young are kind of bad and stupid or derivative,

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<v Speaker 4>and you know you need professors to tell you that,

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<v Speaker 4>Like yeah, like a gazillion people said that about Plato

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<v Speaker 4>with the first time they read it, and they're wrong,

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<v Speaker 4>and here's why. And that's unpleasant to hear. I could tell,

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<v Speaker 4>I could mark of my own education how upsetting it

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<v Speaker 4>was to be told my ideas were derivative or not

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<v Speaker 4>very good. But that's how you get better. And I

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<v Speaker 4>feel like, you know, the humanities are supposed to be

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<v Speaker 4>the tough ones who are like, guess what, you're kind

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<v Speaker 4>of dumb. Here's how to think better. And I think

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<v Speaker 4>there's a reluctance I noticed when I've teached to sort

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<v Speaker 4>of be direct with students about that.

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<v Speaker 2>Now are reluctance to be more direct with students?

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<v Speaker 4>Yeah, as I said, because critical thinking skills are very

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<v Speaker 4>unpleasant to acquire. They're incredibly valuable, yes, but they're hard

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<v Speaker 4>to teach and they're even more unpleasant to acquire. And

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<v Speaker 4>I feel like, you know, humanities are uniquely positioned to

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<v Speaker 4>impart that, but just not really doing that work anymore.

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<v Speaker 2>Is this a US phenomenon or is this something we'll

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<v Speaker 2>see globally?

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<v Speaker 4>I think it's global. I mean, I'm I said, I

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<v Speaker 4>went to a university in Europe, and you know, from

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<v Speaker 4>what I observe, I think it's happening there too.

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<v Speaker 2>At the same time, when you have more Americans thinking

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<v Speaker 2>that perhaps higher education isn't worth it, do we run

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<v Speaker 2>the risk of going too far the other direction?

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<v Speaker 4>Yeah, I mean, it's definitely not as worth it as

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<v Speaker 4>it used to be, but it's still worth it. I mean,

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<v Speaker 4>all the evidence still suggests that if you do get

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<v Speaker 4>a good college degree, and by that I mean go

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<v Speaker 4>to a decent school, do a four year degree, it

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<v Speaker 4>does pay off. You will not only have higher wages,

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<v Speaker 4>but you have more stable wages, you have much less

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<v Speaker 4>of an incident of unemployment. So but I do think

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<v Speaker 4>that the education isn't maybe as good as it used

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<v Speaker 4>to be in a lot of ways depending on what

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<v Speaker 4>you study. And so I mean, I think we do

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<v Speaker 4>run the risk of you know, the US I think

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<v Speaker 4>is often succeeded more as an economy because we've also

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<v Speaker 4>had the best universities in the world. And you know,

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<v Speaker 4>if we don't really teach people how to be good

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<v Speaker 4>thinkers at our universities, then you know, we do run

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<v Speaker 4>the risk of people then not going to university, and

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<v Speaker 4>then it just becomes a vicious cycle.

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<v Speaker 2>I wonder where trade schools fall in here, because we've

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<v Speaker 2>talked before about the need for trade schools and how

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<v Speaker 2>we can't just write them off.

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<v Speaker 4>No, they're super important. And you know, I was reading

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<v Speaker 4>this article in The Economist about how the trades are

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<v Speaker 4>really sort of dominating now the labor market, and it

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<v Speaker 4>reminds me, have you seen a recent episode of South

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<v Speaker 4>Park where it's always so present, where they have like

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<v Speaker 4>this handyman who becomes effectively the Elon Musk of That's

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<v Speaker 4>economy because he's the only one who can fix things.

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<v Speaker 4>So reading this article in The Economists, it reminded me

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<v Speaker 4>of that. So I mean that is also going to

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<v Speaker 4>be an important part of the economy. Although, to be honest,

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<v Speaker 4>like when I talk to like if a plumber comes

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<v Speaker 4>to my apartment or I do have a contractor come, like,

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<v Speaker 4>have you've seen their work? Like even there, they're not

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<v Speaker 4>just like dirty work anymore. Like I mean, they also

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<v Speaker 4>have to use a lot of skills, incorporate technology into

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<v Speaker 4>what they do, and they also really have to be

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<v Speaker 4>very thoughtful about what they're doing. Their work's getting a

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<v Speaker 4>lot more complicated and technical too, So it's not just

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<v Speaker 4>a matter of like doing a plumbing apprenticeship and then

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<v Speaker 4>you're good to go. I mean they've got to really

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<v Speaker 4>engage in, stay current and keep learning too. I mean,

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<v Speaker 4>as I said, we've all got to learn how to

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<v Speaker 4>be good thinkers. And I mean doing a four year

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<v Speaker 4>Lobal Arts degree doesn't mean everyone should do it. I

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<v Speaker 4>don't think it's efficient that the entire popular labor force

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<v Speaker 4>go through that. But you know, if you are going

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<v Speaker 4>to go that route, that's really I think a valuable

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<v Speaker 4>path too, and I think we undersell it.

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<v Speaker 2>Alison, thank you for taking the time with me today,

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<v Speaker 2>Oh anytime. Alison s Trigger is a Bloomberg Opinion columnist

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<v Speaker 2>who covers economics and is a senior Fellow at the

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<v Speaker 2>Manhattan Institute. Coming up, we're going to look at the

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<v Speaker 2>cold and flu season and how some parents are not

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<v Speaker 2>getting flu shots for their kids, and why you're listening

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<v Speaker 2>the Bloomberg Opinion.

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<v Speaker 1>You're listening to the Bloomberg Opinion podcast count ut Saturdays

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<v Speaker 1>at one and seven pm Eastern on Bloomberg dot com,

0:11:19.320 --> 0:11:22.440
<v Speaker 1>the iHeartRadio app, and the Bloomberg Business app, or listen

0:11:22.480 --> 0:11:24.720
<v Speaker 1>on demand wherever you get your podcasts.

0:11:26.679 --> 0:11:29.400
<v Speaker 2>You're listening to Bloomberg Opinion. I'm Amy Morris, and we

0:11:29.440 --> 0:11:32.640
<v Speaker 2>are well into cold and flu season, not just for adults,

0:11:32.640 --> 0:11:35.720
<v Speaker 2>but for youngsters too. And while every parent knows the

0:11:35.720 --> 0:11:38.120
<v Speaker 2>feeling of helplessness when your little one has a nasty

0:11:38.160 --> 0:11:41.200
<v Speaker 2>cow or a fever, not every parent is making sure

0:11:41.280 --> 0:11:45.640
<v Speaker 2>their child is vaccinated. Westchester County Health Commissioner doctor Shirlita

0:11:45.679 --> 0:11:48.400
<v Speaker 2>Ambler in New York says people need to get those

0:11:48.400 --> 0:11:51.520
<v Speaker 2>flu shots, even if they're tired of hearing about vaccines.

0:11:51.760 --> 0:11:54.679
<v Speaker 5>I if anyone understands that there's a lot of vaccine

0:11:54.960 --> 0:11:58.000
<v Speaker 5>fatigue out there, but we still have to work to

0:11:58.080 --> 0:12:02.319
<v Speaker 5>protect ourselves and our family and everybody that we care about.

0:12:02.360 --> 0:12:05.839
<v Speaker 2>Let's get more on this with Bloomberg opinion columnist Lisa Jarvis.

0:12:06.000 --> 0:12:11.520
<v Speaker 2>Lisa covers biotech, healthcare, and the pharmaceutical industry. Lisa, does

0:12:11.559 --> 0:12:14.200
<v Speaker 2>that make sense to you that there's just this vaccination

0:12:14.360 --> 0:12:17.600
<v Speaker 2>slash shot fatigue and folks are tired of hearing about

0:12:17.600 --> 0:12:18.360
<v Speaker 2>it and don't want to deal.

0:12:18.800 --> 0:12:20.920
<v Speaker 6>Yeah, you know, I think that's certainly part of it.

0:12:21.360 --> 0:12:25.120
<v Speaker 6>I think there's a confluensive issues potentially happening related to

0:12:25.440 --> 0:12:29.160
<v Speaker 6>the rollout of the COVID vaccines, which might have made

0:12:29.160 --> 0:12:32.040
<v Speaker 6>it so that people were having a hard time finding

0:12:32.040 --> 0:12:33.880
<v Speaker 6>that vaccine and they were planning to get their flu

0:12:33.920 --> 0:12:36.400
<v Speaker 6>shot at the same time and didn't do either if

0:12:36.440 --> 0:12:40.040
<v Speaker 6>they couldn't find the COVID one. But certainly, you know,

0:12:40.320 --> 0:12:43.440
<v Speaker 6>we have heard a lot for a while, every six

0:12:43.480 --> 0:12:47.040
<v Speaker 6>months reminders to go get some sort of shot or another,

0:12:47.120 --> 0:12:49.480
<v Speaker 6>and you know, I think people are starting to tune

0:12:49.520 --> 0:12:51.120
<v Speaker 6>out a little bit. I think there's a number of

0:12:51.160 --> 0:12:53.040
<v Speaker 6>things good on and I'm happy to talk about all those.

0:12:53.120 --> 0:12:55.719
<v Speaker 2>Yeah, let's get into that. Why the hesitancy? What are

0:12:55.760 --> 0:12:57.080
<v Speaker 2>some of the things that are going on.

0:12:57.679 --> 0:13:01.679
<v Speaker 6>It's easy to kind of reflectively think, oh, it's COVID

0:13:01.800 --> 0:13:05.360
<v Speaker 6>vaccine driven hesitancy. That's the reason behind this flu shot

0:13:05.760 --> 0:13:08.520
<v Speaker 6>decline in kids. And it's a modest decline, but it

0:13:08.600 --> 0:13:11.480
<v Speaker 6>matters because kids already weren't getting vaccinated at the rate

0:13:11.520 --> 0:13:14.200
<v Speaker 6>that we'd like to see them at, because they're really

0:13:14.240 --> 0:13:18.280
<v Speaker 6>important part of protecting adults when it comes to the flu.

0:13:18.600 --> 0:13:20.920
<v Speaker 6>Older adults are the ones who are most vulnerable to

0:13:21.080 --> 0:13:24.000
<v Speaker 6>the worst outcomes. But you know, as I mentioned, the

0:13:24.000 --> 0:13:28.080
<v Speaker 6>commercial rollout of COVID shots really hit the pediatric vaccines

0:13:28.120 --> 0:13:32.079
<v Speaker 6>the hardest, and so parents were scrambling for weeks after

0:13:32.120 --> 0:13:35.080
<v Speaker 6>the vaccines were supposed to be initially available looking for

0:13:35.120 --> 0:13:38.160
<v Speaker 6>those shots. And any parent that's had their kids vaccinated

0:13:38.320 --> 0:13:41.400
<v Speaker 6>nose you only want to go once and get both

0:13:41.440 --> 0:13:44.600
<v Speaker 6>shots at the same time, so you don't have the

0:13:44.640 --> 0:13:47.880
<v Speaker 6>angst of two trips and more tears potentially, And so

0:13:48.280 --> 0:13:50.360
<v Speaker 6>you know, if someone couldn't find a shot, they might

0:13:50.400 --> 0:13:52.120
<v Speaker 6>not have gotten it at all. And there were some

0:13:52.520 --> 0:13:55.480
<v Speaker 6>wrinkles when it came to coverage of the COVID shot.

0:13:55.520 --> 0:13:58.360
<v Speaker 6>Initially not all insurers had the right coding in place,

0:13:58.440 --> 0:14:00.960
<v Speaker 6>and so if you went in you had an appointment

0:14:01.000 --> 0:14:02.319
<v Speaker 6>and then we're told you were going to have to

0:14:02.360 --> 0:14:04.160
<v Speaker 6>pay for it out of pocket, you might have decided

0:14:04.240 --> 0:14:08.240
<v Speaker 6>not to get either vaccine. And then anecdotally, you know,

0:14:08.280 --> 0:14:10.720
<v Speaker 6>I've heard from pediatricians and I've noticed this in my

0:14:10.760 --> 0:14:14.280
<v Speaker 6>own community that there have just been fewer vaccine clinics.

0:14:14.480 --> 0:14:17.720
<v Speaker 6>A lot of times pediatricians' offices will run, you know,

0:14:17.840 --> 0:14:20.240
<v Speaker 6>several weekends in a row of flu vaccine clinic and

0:14:20.240 --> 0:14:22.160
<v Speaker 6>it's just like a mill, bring your whole family in

0:14:22.200 --> 0:14:24.400
<v Speaker 6>and get the shots. And a lot of them didn't

0:14:24.400 --> 0:14:26.880
<v Speaker 6>do that this year. In part, it seems like because

0:14:27.680 --> 0:14:31.200
<v Speaker 6>there's just a shortage of healthcare workers, and so I

0:14:31.200 --> 0:14:33.560
<v Speaker 6>think it's a complience of things happening, but all of

0:14:33.560 --> 0:14:36.440
<v Speaker 6>it kind of translates into not a great situation.

0:14:37.000 --> 0:14:39.840
<v Speaker 2>Do we know how many kids so far have gotten

0:14:40.040 --> 0:14:42.840
<v Speaker 2>the flu shot percentage wise and what the goal is?

0:14:43.320 --> 0:14:46.640
<v Speaker 6>Yeah, so as of early November, because there's a little

0:14:46.680 --> 0:14:49.680
<v Speaker 6>lag in the data that we see from CDC the

0:14:49.840 --> 0:14:52.840
<v Speaker 6>national numbers where thirty six point five percent of kids

0:14:52.840 --> 0:14:56.040
<v Speaker 6>had gotten their shot last year and this year it

0:14:56.160 --> 0:14:59.040
<v Speaker 6>was thirty two point six percent. That's the lowest in

0:14:59.440 --> 0:15:04.320
<v Speaker 6>five years. Twenty nineteen, the trend had been overall kids

0:15:04.600 --> 0:15:07.400
<v Speaker 6>were starting to get more their flu shot more consistently,

0:15:07.480 --> 0:15:09.840
<v Speaker 6>and then we saw a little leap that first year

0:15:10.360 --> 0:15:13.560
<v Speaker 6>of COVID. I think parents feeling helpless without a COVID shot.

0:15:13.560 --> 0:15:16.080
<v Speaker 6>We're pretty good about getting their kids their flu vaccine,

0:15:16.160 --> 0:15:19.960
<v Speaker 6>and we've just seen a decline. Since the goal always

0:15:20.080 --> 0:15:23.600
<v Speaker 6>is to get seventy percent of the population vaccinated, we

0:15:24.120 --> 0:15:27.560
<v Speaker 6>never get to that place in the US, you know,

0:15:27.680 --> 0:15:30.080
<v Speaker 6>I think we do the best, which is good with

0:15:30.200 --> 0:15:33.240
<v Speaker 6>older folks, but older folks also have immune systems that

0:15:33.360 --> 0:15:36.280
<v Speaker 6>just don't aren't as robust even with vaccination, and so

0:15:36.520 --> 0:15:38.640
<v Speaker 6>they rely on the rest of us to kind of

0:15:38.640 --> 0:15:41.640
<v Speaker 6>help cocoon them from the worst outcomes of the flu.

0:15:41.960 --> 0:15:44.280
<v Speaker 2>You were just talking about the elderly. Let's talk about

0:15:44.280 --> 0:15:48.040
<v Speaker 2>that a little bit more. The risk isn't necessarily then,

0:15:48.120 --> 0:15:51.200
<v Speaker 2>from what I'm hearing you say, for children per se,

0:15:51.920 --> 0:15:55.040
<v Speaker 2>it's for the spread to make sure the kids don't

0:15:55.040 --> 0:15:56.479
<v Speaker 2>give it to grandma and grandpa.

0:15:56.560 --> 0:15:58.880
<v Speaker 6>That's right. I mean, just like we've all come to

0:15:58.960 --> 0:16:02.160
<v Speaker 6>learn very well with the COVID shots, the flu shot

0:16:02.200 --> 0:16:04.400
<v Speaker 6>isn't necessarily going to prevent you from getting the flu,

0:16:04.480 --> 0:16:07.840
<v Speaker 6>but but like it does actually help lower the spread

0:16:08.080 --> 0:16:12.200
<v Speaker 6>of the virus. And kids are vulnerable to you know,

0:16:12.360 --> 0:16:15.120
<v Speaker 6>hospitalizations from the flu, just like they are from COVID.

0:16:15.600 --> 0:16:19.200
<v Speaker 6>But really the biggest threat here is to you know,

0:16:19.320 --> 0:16:21.760
<v Speaker 6>grandma and grandpa, and so, you know, folks over the

0:16:21.760 --> 0:16:23.640
<v Speaker 6>age of sixty five are the ones who end up

0:16:23.640 --> 0:16:26.560
<v Speaker 6>with the most hospitalizations and are responsible for, you know,

0:16:26.640 --> 0:16:30.720
<v Speaker 6>the majority of deaths. One thing that I always keep

0:16:30.720 --> 0:16:32.840
<v Speaker 6>in mind is that there was a study that people

0:16:33.200 --> 0:16:37.160
<v Speaker 6>still cite kind of Japan that showed that when you

0:16:37.240 --> 0:16:40.920
<v Speaker 6>had a high percentage of school age children vaccinated, you

0:16:40.960 --> 0:16:44.720
<v Speaker 6>actually saw fewer deaths among older the older population. And so,

0:16:45.280 --> 0:16:47.960
<v Speaker 6>you know, it just is it's I try to think

0:16:47.960 --> 0:16:50.000
<v Speaker 6>about that when I think about why it is that,

0:16:50.160 --> 0:16:51.600
<v Speaker 6>you know, I take my own kid in to get

0:16:51.640 --> 0:16:53.480
<v Speaker 6>her flu shot. It's for her, but it's also for

0:16:53.560 --> 0:16:54.480
<v Speaker 6>the people around her.

0:16:54.760 --> 0:16:57.800
<v Speaker 2>Are there efforts being made on the government level, on

0:16:57.880 --> 0:17:01.720
<v Speaker 2>the school level, the local level, to get more kids vaccinated.

0:17:01.800 --> 0:17:02.640
<v Speaker 2>Is there a push there.

0:17:03.120 --> 0:17:05.760
<v Speaker 6>I think there's always been a push, and the CDC

0:17:05.840 --> 0:17:09.600
<v Speaker 6>had a different blue vaccine campaign. They try to change

0:17:09.640 --> 0:17:13.159
<v Speaker 6>their messaging up a little bit this year, essentially to

0:17:13.280 --> 0:17:16.280
<v Speaker 6>try to get at this idea that it's not gonna

0:17:16.840 --> 0:17:19.280
<v Speaker 6>prevent you necessarily from getting the flu, but when you

0:17:19.320 --> 0:17:21.200
<v Speaker 6>get the flu, it's not going to be a severe

0:17:21.400 --> 0:17:26.600
<v Speaker 6>and they I think, you know, we're seeing mixed success

0:17:26.680 --> 0:17:29.920
<v Speaker 6>with that. It's a complicated season, you know, to be fair,

0:17:30.119 --> 0:17:34.160
<v Speaker 6>We've got COVID shots that we're rolling out, the flu vaccine,

0:17:34.200 --> 0:17:37.440
<v Speaker 6>and then there's new RSV shots for older folks and

0:17:37.520 --> 0:17:42.359
<v Speaker 6>in RSV preventive therapy for infants, and so I think

0:17:42.920 --> 0:17:47.760
<v Speaker 6>just the messaging has been really muddled because people are

0:17:47.760 --> 0:17:49.440
<v Speaker 6>trying to keep track of a lot of things. And

0:17:49.560 --> 0:17:51.720
<v Speaker 6>as you know, you pointed out the very beginning, this

0:17:51.840 --> 0:17:56.400
<v Speaker 6>is coming amid some fatigue around getting shots in general.

0:17:57.280 --> 0:18:00.400
<v Speaker 2>Are there certain areas of the country that are are

0:18:00.440 --> 0:18:03.520
<v Speaker 2>not getting vaccinated? Is it demographically divided?

0:18:03.880 --> 0:18:06.960
<v Speaker 6>Yeah? I mean so, I think one of the reasons

0:18:06.960 --> 0:18:10.520
<v Speaker 6>that there's you know, concern around hesitancy is because when

0:18:10.520 --> 0:18:12.560
<v Speaker 6>you look at the map of the places that have

0:18:13.080 --> 0:18:15.720
<v Speaker 6>dropped the most in terms of kids in flu vaccines.

0:18:16.040 --> 0:18:17.720
<v Speaker 6>You know, many of them are in red states, some

0:18:17.800 --> 0:18:20.280
<v Speaker 6>of them are in states where the political rhetoric around

0:18:20.359 --> 0:18:24.119
<v Speaker 6>vaccination of COVID has been the hottest. And so you

0:18:24.160 --> 0:18:28.920
<v Speaker 6>know Florida, for example, which has been in the bottom

0:18:29.640 --> 0:18:32.520
<v Speaker 6>kind of twelve states in general in the past when

0:18:32.560 --> 0:18:35.639
<v Speaker 6>it comes to vaccinations for the flu for kids, but

0:18:35.720 --> 0:18:39.119
<v Speaker 6>this year they saw another drop in their vaccinations. And

0:18:39.160 --> 0:18:42.160
<v Speaker 6>you know, we know we've heard that Governor Ronda Santis

0:18:42.160 --> 0:18:45.679
<v Speaker 6>in his presidential campaign has really been kind of hitting

0:18:45.720 --> 0:18:48.920
<v Speaker 6>on COVID vaccines and initially wasn't even going to participate

0:18:48.960 --> 0:18:51.159
<v Speaker 6>in some of the booster rollouts for that, and so

0:18:51.359 --> 0:18:54.120
<v Speaker 6>you know there's a worry that that's bleeding over into

0:18:54.160 --> 0:18:56.080
<v Speaker 6>other childhood vaccinations.

0:18:56.359 --> 0:18:59.840
<v Speaker 2>I want to talk about that just briefly, because you know, COVID,

0:19:00.080 --> 0:19:04.200
<v Speaker 2>a rather vaccination hesitancy or anti vax if you will,

0:19:04.480 --> 0:19:07.400
<v Speaker 2>is not new. That's been going on since before COVID.

0:19:07.720 --> 0:19:11.720
<v Speaker 2>I'm wondering though, if now that we're seeing parents more

0:19:11.760 --> 0:19:14.760
<v Speaker 2>hesitant to get the flu shot for their kids, is

0:19:14.800 --> 0:19:18.080
<v Speaker 2>it becoming more mainstream. It used to be such an outlier.

0:19:18.640 --> 0:19:20.959
<v Speaker 2>Now are more parents sort of jumping on the anti

0:19:21.040 --> 0:19:23.200
<v Speaker 2>vax bandwagon. Where could this wind up?

0:19:23.720 --> 0:19:26.840
<v Speaker 6>Yeah, it's really worrisome, to be honest with you. This

0:19:26.920 --> 0:19:28.679
<v Speaker 6>is a thing that I've been trying to watch closely,

0:19:28.760 --> 0:19:31.320
<v Speaker 6>and I think everyone is trying to see with every

0:19:31.400 --> 0:19:33.920
<v Speaker 6>new scrap of data comes out, you know what it means.

0:19:34.480 --> 0:19:38.560
<v Speaker 6>We saw that there was a drop in childhood vaccinations

0:19:38.560 --> 0:19:40.960
<v Speaker 6>for kindergarteners. You know, when you go into school for

0:19:41.000 --> 0:19:43.000
<v Speaker 6>the first time, there's a series of shots that you

0:19:43.040 --> 0:19:45.840
<v Speaker 6>need to have. And fewer kids in January when the

0:19:45.920 --> 0:19:47.919
<v Speaker 6>data came out, were up to date in twenty twenty

0:19:47.920 --> 0:19:51.359
<v Speaker 6>two than had been in the past, which is concerning.

0:19:51.920 --> 0:19:54.159
<v Speaker 6>I think it's hard to unravel if it has to

0:19:54.200 --> 0:19:57.120
<v Speaker 6>do with vaccine hesitancy, if it has to do with

0:19:57.359 --> 0:20:01.600
<v Speaker 6>fewer people having access to healthcare. You know, I probably

0:20:01.680 --> 0:20:04.680
<v Speaker 6>is a number of factors. What does seem to be happening.

0:20:04.920 --> 0:20:07.720
<v Speaker 6>They're kind of hardening into you know, I feel really

0:20:07.760 --> 0:20:10.159
<v Speaker 6>good about vaccines or I really don't feel good about it,

0:20:10.160 --> 0:20:13.800
<v Speaker 6>instead of there's less folks living in that grey area,

0:20:14.760 --> 0:20:18.000
<v Speaker 6>and so that's worrisome, and I think, you know, certainly

0:20:18.000 --> 0:20:20.040
<v Speaker 6>there's things that we need to be doing to understand

0:20:20.080 --> 0:20:23.760
<v Speaker 6>where the demographics and where that's happening, and to be

0:20:23.800 --> 0:20:25.840
<v Speaker 6>thinking about how to better target those folks.

0:20:25.880 --> 0:20:29.919
<v Speaker 2>Bloomberg Opinion columnist Lisa Jarvis covers biotech, healthcare, and the

0:20:29.920 --> 0:20:32.760
<v Speaker 2>pharmaceutical industry. This is Bloomberg Opinion.

0:20:42.800 --> 0:20:46.800
<v Speaker 1>You're listening to the Bloomberg Opinion podcast Countess Saturdays at

0:20:46.800 --> 0:20:49.919
<v Speaker 1>one and seven pm Eastern on Bloomberg dot com, the

0:20:50.000 --> 0:20:53.119
<v Speaker 1>iHeartRadio app, and the Bloomberg Business App, or listen on

0:20:53.200 --> 0:20:55.240
<v Speaker 1>demand wherever you get your podcasts.

0:20:57.440 --> 0:21:01.119
<v Speaker 2>This is Bloomberg Opinion. I'm Amy Morris. Home Buyers have

0:21:01.200 --> 0:21:05.000
<v Speaker 2>been suffering through some pretty severe whiplash in recent months.

0:21:05.040 --> 0:21:08.880
<v Speaker 2>After hitting eight percent in October, mortgage rates are now

0:21:09.119 --> 0:21:11.959
<v Speaker 2>kind of flirting with seven percent. There's some signs that

0:21:12.359 --> 0:21:15.679
<v Speaker 2>sales and inventory are picking up. Let's learn more about

0:21:15.720 --> 0:21:19.280
<v Speaker 2>this where this could be headed. Bloomberg Opinion columnist Connor

0:21:19.359 --> 0:21:21.440
<v Speaker 2>Sen joins me now. He is a founder of Peach

0:21:21.480 --> 0:21:24.720
<v Speaker 2>Tree Creek Investments and has been following the housing market

0:21:24.880 --> 0:21:28.880
<v Speaker 2>very closely. Obviously, now, Connor, what has changed.

0:21:29.880 --> 0:21:33.000
<v Speaker 7>It's really mortgage rates. That's the show stopping story. Where

0:21:33.119 --> 0:21:35.159
<v Speaker 7>when rates hit eight in October, I think a lot

0:21:35.200 --> 0:21:37.200
<v Speaker 7>of people said this is ridiculous. I'm not going to

0:21:37.640 --> 0:21:38.920
<v Speaker 7>try to buy a house. I'm not going to try

0:21:38.920 --> 0:21:42.280
<v Speaker 7>to sell a house. It's just it's broken. And then

0:21:42.320 --> 0:21:45.160
<v Speaker 7>mortgage rates just have basically crashed over the past month

0:21:45.280 --> 0:21:48.080
<v Speaker 7>due to a decline in inflation to some extent, some

0:21:48.119 --> 0:21:50.480
<v Speaker 7>softening in the economy, and a belief that the FED

0:21:50.520 --> 0:21:52.960
<v Speaker 7>will cut rates perhaps in the first half of next year,

0:21:52.960 --> 0:21:55.239
<v Speaker 7>maybe as soon as March. And so rates have come

0:21:55.280 --> 0:21:57.760
<v Speaker 7>down a lot, and it happening at a time of

0:21:57.800 --> 0:22:00.840
<v Speaker 7>the year when people typically aren't buying houses. Maybe hasn't

0:22:00.880 --> 0:22:02.840
<v Speaker 7>led people to appreciate that, but I think it sets

0:22:02.880 --> 0:22:04.960
<v Speaker 7>the housing market up for a really interesting January.

0:22:06.040 --> 0:22:09.680
<v Speaker 2>The US housing market, though, has been defying expectations. When

0:22:09.720 --> 0:22:12.160
<v Speaker 2>you think it's going to zig its zags. Is that

0:22:12.200 --> 0:22:13.159
<v Speaker 2>going to continue?

0:22:14.040 --> 0:22:14.439
<v Speaker 8>I think so.

0:22:14.760 --> 0:22:17.040
<v Speaker 7>And the same thing happened a year ago. If you're

0:22:17.040 --> 0:22:20.560
<v Speaker 7>a call, where rates hit seven in October twenty twenty two,

0:22:20.720 --> 0:22:23.040
<v Speaker 7>and that was at the time sort of unheard of,

0:22:23.520 --> 0:22:25.480
<v Speaker 7>and people gave up on the housing market for the year,

0:22:25.960 --> 0:22:27.920
<v Speaker 7>and then people came back in January and a lot

0:22:27.920 --> 0:22:29.920
<v Speaker 7>of people who felt like they had to buy a house,

0:22:30.000 --> 0:22:32.600
<v Speaker 7>they just went out there and tried to look and

0:22:33.080 --> 0:22:34.720
<v Speaker 7>at the time it was the new home market that

0:22:34.840 --> 0:22:38.920
<v Speaker 7>had supplied because builders had built up these big inventory

0:22:38.960 --> 0:22:41.200
<v Speaker 7>levels when rates were lower and they had to sell them.

0:22:41.240 --> 0:22:43.919
<v Speaker 7>So builders were in a position to sell homes to

0:22:43.920 --> 0:22:46.359
<v Speaker 7>people who suddenly needed to buy them, in some cases

0:22:46.440 --> 0:22:49.040
<v Speaker 7>using mortgage rate buydowns to make the rate more affordable.

0:22:49.400 --> 0:22:50.960
<v Speaker 7>And that led to the first quarter of the year

0:22:51.000 --> 0:22:53.960
<v Speaker 7>being surprisingly strong for the new home market. And I

0:22:54.000 --> 0:22:56.639
<v Speaker 7>think now that we're seeing some signs of loosening in

0:22:56.960 --> 0:22:59.720
<v Speaker 7>the resale market on the inventory side. We could see

0:22:59.720 --> 0:23:01.960
<v Speaker 7>the same for existing home sales in the first quarter

0:23:01.960 --> 0:23:02.720
<v Speaker 7>of twenty twenty.

0:23:02.560 --> 0:23:05.560
<v Speaker 2>Four, so we have seen this pattern before then as

0:23:05.600 --> 0:23:07.320
<v Speaker 2>recently as this time last year.

0:23:07.960 --> 0:23:10.200
<v Speaker 7>Exactly. It really is kind of an eerie groundhog day

0:23:10.240 --> 0:23:13.720
<v Speaker 7>where you see mortgage purchase applications pick up in November,

0:23:14.119 --> 0:23:16.560
<v Speaker 7>but people are busy with the holidays, maybe not paying attention,

0:23:17.119 --> 0:23:19.320
<v Speaker 7>but you see signs in the weekly data that people

0:23:19.359 --> 0:23:21.919
<v Speaker 7>are responsive to rates, and now that there's more supply,

0:23:22.480 --> 0:23:25.360
<v Speaker 7>there's more choice for buyers, and I think again we're

0:23:25.359 --> 0:23:27.560
<v Speaker 7>going to get past Christmas in the new year. First

0:23:27.600 --> 0:23:29.560
<v Speaker 7>couple weeks of January, people went out there and you

0:23:29.560 --> 0:23:31.480
<v Speaker 7>could see a lot more activity than people think.

0:23:31.960 --> 0:23:33.919
<v Speaker 2>So that's when home buyers are going to start to

0:23:34.000 --> 0:23:37.480
<v Speaker 2>see or feel that break and that pressure that you've

0:23:37.520 --> 0:23:40.440
<v Speaker 2>been talking about coming up in January, the first quarter

0:23:40.480 --> 0:23:41.400
<v Speaker 2>of twenty twenty four.

0:23:42.800 --> 0:23:45.200
<v Speaker 7>Right, the seasonality in the housing market's really gotten weird

0:23:45.200 --> 0:23:47.000
<v Speaker 7>since COVID, and I think maybe a part of it

0:23:47.040 --> 0:23:49.560
<v Speaker 7>was COVID. Part of it just mortgage rates are so

0:23:49.720 --> 0:23:52.200
<v Speaker 7>high that or went from so low to so high

0:23:52.200 --> 0:23:54.400
<v Speaker 7>that it's a scrambled things. And then just the general

0:23:54.480 --> 0:23:56.439
<v Speaker 7>lack of inventory has made it so that if you

0:23:56.480 --> 0:23:58.879
<v Speaker 7>want to sell home, you can almost always sell it,

0:23:58.880 --> 0:24:00.720
<v Speaker 7>no matter what time of the year you want. And

0:24:00.720 --> 0:24:03.280
<v Speaker 7>then there are so many people looking to buy that

0:24:03.359 --> 0:24:05.400
<v Speaker 7>you do have people looking to buy in November December

0:24:05.800 --> 0:24:08.560
<v Speaker 7>just because they didn't they weren't able to in May, June, July.

0:24:09.560 --> 0:24:11.760
<v Speaker 2>You know, let me clarify something with you, or get

0:24:11.760 --> 0:24:14.080
<v Speaker 2>you to help me clarify it. You know, we started

0:24:14.080 --> 0:24:18.040
<v Speaker 2>this by talking about home buyer suffering through the whiplash,

0:24:18.119 --> 0:24:20.359
<v Speaker 2>and now they're about to get a break. What's that

0:24:20.520 --> 0:24:23.919
<v Speaker 2>break going to look like exactly? Will it be stability,

0:24:23.960 --> 0:24:27.200
<v Speaker 2>will it be affordability? What's the break they're waiting for?

0:24:28.800 --> 0:24:31.600
<v Speaker 7>I think mortgage rates being lower all else EQL makes

0:24:31.640 --> 0:24:35.399
<v Speaker 7>affordability better. I think the home price conversation is tricky,

0:24:35.440 --> 0:24:36.760
<v Speaker 7>and we can get into that a little bit later,

0:24:37.119 --> 0:24:39.000
<v Speaker 7>but I think the real one is just that there

0:24:39.040 --> 0:24:41.639
<v Speaker 7>will be more inventory, and so if you've been feeling

0:24:41.720 --> 0:24:43.359
<v Speaker 7>like there's nothing to buy, there'll be a little bit

0:24:43.400 --> 0:24:45.840
<v Speaker 7>more choice. And that goes for first time buyers as

0:24:45.880 --> 0:24:47.920
<v Speaker 7>well as people who have a home to sell before

0:24:47.960 --> 0:24:50.040
<v Speaker 7>they can buy. So if maybe you haven't been selling

0:24:50.119 --> 0:24:52.639
<v Speaker 7>your home because you haven't found the one you like,

0:24:52.760 --> 0:24:54.240
<v Speaker 7>and now if you do find one you like, you

0:24:54.240 --> 0:24:56.800
<v Speaker 7>can sell your own home, which then creates inventory for

0:24:56.840 --> 0:24:58.960
<v Speaker 7>somebody else. So it kind of just unfreezes the market

0:24:59.040 --> 0:24:59.560
<v Speaker 7>a little bit.

0:25:00.119 --> 0:25:03.080
<v Speaker 2>And we are talking with Bloomberg opinion columnist Connor Sen

0:25:03.520 --> 0:25:06.359
<v Speaker 2>about home buyers finally starting to see a little bit

0:25:06.400 --> 0:25:08.600
<v Speaker 2>of light at the end of the tunnel. However, Connor,

0:25:08.680 --> 0:25:11.320
<v Speaker 2>you just said that the outlook for prices is tricky.

0:25:11.359 --> 0:25:15.440
<v Speaker 7>How so I think you're rising inventory all SEQUL should

0:25:15.440 --> 0:25:17.720
<v Speaker 7>put a little bit of downward pressure on prices because

0:25:17.760 --> 0:25:19.760
<v Speaker 7>maybe price is held up this year just because there

0:25:19.800 --> 0:25:22.320
<v Speaker 7>was nothing to buy and so there just wasn't an

0:25:22.359 --> 0:25:25.200
<v Speaker 7>ability for prices to fall when there's always a buyer

0:25:25.200 --> 0:25:28.760
<v Speaker 7>to step in whenever anything went for sale. So like Redfin,

0:25:29.000 --> 0:25:31.800
<v Speaker 7>the online brokerage site, predicts that home prices will fall

0:25:31.840 --> 0:25:34.680
<v Speaker 7>one percent twenty twenty four. And my view is that

0:25:35.040 --> 0:25:37.200
<v Speaker 7>could they fall a little bit, sure, could they rise

0:25:37.200 --> 0:25:40.320
<v Speaker 7>a little bit if mortgage rates fall, definitely, But it's

0:25:40.359 --> 0:25:43.000
<v Speaker 7>really I think people have been looking for shelter. Think

0:25:43.000 --> 0:25:45.800
<v Speaker 7>of it as are you looking for shelter and shelter

0:25:45.920 --> 0:25:47.679
<v Speaker 7>that you own? And if so, then you should be

0:25:47.680 --> 0:25:50.680
<v Speaker 7>focused on can I just secure the house I want?

0:25:50.800 --> 0:25:53.440
<v Speaker 7>And am I going to pay two percent too much

0:25:53.520 --> 0:25:55.120
<v Speaker 7>or too little? I don't know. I don't think you're

0:25:55.119 --> 0:25:57.720
<v Speaker 7>looking at a big decline or big rise in either case.

0:25:57.720 --> 0:25:59.880
<v Speaker 7>It's really just about it should be easier to find

0:25:59.880 --> 0:26:01.440
<v Speaker 7>the home you want in twenty twenty four.

0:26:02.080 --> 0:26:04.600
<v Speaker 2>Let's get a little more granular with this. There was

0:26:04.640 --> 0:26:09.439
<v Speaker 2>a time, particularly during and just after COVID, when people

0:26:09.480 --> 0:26:15.040
<v Speaker 2>were just throwing money at realtors and throwing money at sellers.

0:26:15.320 --> 0:26:18.080
<v Speaker 2>Whatever you're asking price is, I'll top it by another

0:26:18.160 --> 0:26:22.760
<v Speaker 2>twenty grand, and they were selling houses. We're not seeing that.

0:26:22.800 --> 0:26:25.399
<v Speaker 2>You don't anticipate that, do you?

0:26:25.440 --> 0:26:25.560
<v Speaker 8>No?

0:26:25.680 --> 0:26:27.439
<v Speaker 7>I don't think we're going to see big price booms

0:26:27.480 --> 0:26:30.040
<v Speaker 7>like that. You might see bidding wars again, but that

0:26:30.119 --> 0:26:33.200
<v Speaker 7>will be more about four people competing for one house

0:26:33.280 --> 0:26:35.199
<v Speaker 7>and only one person can get it, even if I

0:26:35.200 --> 0:26:37.240
<v Speaker 7>don't know if it'll be somebody will pay ten percent

0:26:37.280 --> 0:26:39.879
<v Speaker 7>over just that, There's still are only so many houses

0:26:39.920 --> 0:26:42.000
<v Speaker 7>to go around, and I think you will see more

0:26:42.040 --> 0:26:45.359
<v Speaker 7>inventory next year, more more sellers, more new listings, but

0:26:45.480 --> 0:26:48.600
<v Speaker 7>buyer demand could come in strong, just sort of people

0:26:48.640 --> 0:26:51.560
<v Speaker 7>coming off the sidelines in response to not just rate stability,

0:26:51.560 --> 0:26:52.400
<v Speaker 7>but rates declining.

0:26:52.920 --> 0:26:55.040
<v Speaker 2>And are we seeing more of the flip side of that,

0:26:55.119 --> 0:26:59.560
<v Speaker 2>coin sellers who are basically cleaning out a house, not

0:26:59.680 --> 0:27:03.800
<v Speaker 2>really doing much with it cosmetically, not worrying about an inspection,

0:27:03.880 --> 0:27:05.880
<v Speaker 2>and just selling it as is and getting it off

0:27:05.920 --> 0:27:06.359
<v Speaker 2>their plate.

0:27:07.080 --> 0:27:07.560
<v Speaker 1>I think so.

0:27:07.640 --> 0:27:09.679
<v Speaker 7>And when inventory is low, they have the ability to

0:27:09.720 --> 0:27:12.000
<v Speaker 7>do that, to just wave inspections and not do a

0:27:12.000 --> 0:27:13.359
<v Speaker 7>whole lot of work because they know there is a

0:27:13.400 --> 0:27:15.640
<v Speaker 7>buyer for the home, even in the shape it's in.

0:27:16.119 --> 0:27:18.840
<v Speaker 7>And so again we'll see more inventory next year. I

0:27:18.840 --> 0:27:21.159
<v Speaker 7>don't think it's going to be just a deluge, but

0:27:21.200 --> 0:27:23.440
<v Speaker 7>it should be better than twenty twenty three, and sort

0:27:23.440 --> 0:27:26.600
<v Speaker 7>of in my business. Just the direction and the change

0:27:26.640 --> 0:27:27.919
<v Speaker 7>is more important than the levels.

0:27:28.280 --> 0:27:30.880
<v Speaker 2>So the problem had been that people weren't selling. Why

0:27:30.920 --> 0:27:33.159
<v Speaker 2>are they more motivated to sell now? I mean, is

0:27:33.200 --> 0:27:35.280
<v Speaker 2>it beyond just the interest rates?

0:27:36.640 --> 0:27:39.879
<v Speaker 7>It's time. So yeah, rates were low until about April

0:27:40.200 --> 0:27:42.320
<v Speaker 7>May of twenty twenty two, and then rates shoot up.

0:27:42.640 --> 0:27:44.240
<v Speaker 7>If you're a seller, you think, I don't want to

0:27:44.280 --> 0:27:46.640
<v Speaker 7>get in there, I'll just wait until rates come down

0:27:47.440 --> 0:27:50.439
<v Speaker 7>or whatever, and then time passes and eventually you just

0:27:50.680 --> 0:27:53.800
<v Speaker 7>have to sell in a lot of cases, and sort

0:27:53.840 --> 0:27:55.800
<v Speaker 7>of the interesting thing is one of the places where

0:27:55.840 --> 0:27:58.200
<v Speaker 7>inventory is rising the most right now is Florida as

0:27:58.240 --> 0:28:00.600
<v Speaker 7>well as Arizona, and I want or if it's because

0:28:00.640 --> 0:28:02.960
<v Speaker 7>there are more retirees there, and so you do have

0:28:03.000 --> 0:28:05.200
<v Speaker 7>more people just you know, dying or having to move

0:28:05.240 --> 0:28:08.400
<v Speaker 7>into assisted living, and just you have people who sort

0:28:08.440 --> 0:28:10.679
<v Speaker 7>of physically can't afford to wait and they're putting their

0:28:10.680 --> 0:28:12.720
<v Speaker 7>homes in the market or they're a status putting their

0:28:12.760 --> 0:28:13.760
<v Speaker 7>homes in the market.

0:28:14.040 --> 0:28:16.680
<v Speaker 2>Now, you had said earlier in this interview that we've

0:28:16.720 --> 0:28:21.399
<v Speaker 2>seen this before. Is this now the new pattern? Is

0:28:21.440 --> 0:28:24.399
<v Speaker 2>this what we need to start anticipating in the next

0:28:24.560 --> 0:28:27.640
<v Speaker 2>few years? Is this sustainable?

0:28:29.119 --> 0:28:31.400
<v Speaker 7>I think twenty twenty three was peak mortgage rate lock

0:28:31.480 --> 0:28:33.879
<v Speaker 7>in because you had sort of the most number of

0:28:33.880 --> 0:28:36.320
<v Speaker 7>people with three percent mortgage rates that you'll ever see,

0:28:36.920 --> 0:28:39.680
<v Speaker 7>and they also had had them for a very little

0:28:39.720 --> 0:28:41.560
<v Speaker 7>amount of time. They hadn't been in their homes that long,

0:28:41.920 --> 0:28:43.440
<v Speaker 7>so they could afford to wait a year and just

0:28:43.480 --> 0:28:45.960
<v Speaker 7>not sell their home and wait for things to settle out.

0:28:46.440 --> 0:28:48.600
<v Speaker 7>And now every year that passes there'll be fewer people

0:28:48.680 --> 0:28:51.840
<v Speaker 7>with those pandemic error mortgages and more people who, whether

0:28:51.880 --> 0:28:54.840
<v Speaker 7>it's for marriage or kids or death or divorce, whatever,

0:28:55.200 --> 0:28:57.080
<v Speaker 7>feel they need to sell. And so I think from

0:28:57.160 --> 0:29:00.479
<v Speaker 7>here inventories likely tick up, not rapid, but I think

0:29:00.520 --> 0:29:02.800
<v Speaker 7>you'll see more supply in twenty twenty four than you

0:29:02.800 --> 0:29:05.320
<v Speaker 7>did in twenty three, probably more in twenty five than

0:29:05.360 --> 0:29:07.000
<v Speaker 7>you will in twenty four, and so it should get

0:29:07.080 --> 0:29:08.040
<v Speaker 7>largely better from here.

0:29:08.240 --> 0:29:11.560
<v Speaker 2>So more supply in the coming year, more supply possibly

0:29:11.640 --> 0:29:15.760
<v Speaker 2>the year after that. If I were looking to buy

0:29:15.840 --> 0:29:19.440
<v Speaker 2>a home, maybe hustle and strike while the iron is hot.

0:29:20.160 --> 0:29:22.680
<v Speaker 7>There are a ton of buyers out there who want

0:29:22.720 --> 0:29:25.560
<v Speaker 7>to come in, want to find a home. And again

0:29:25.600 --> 0:29:27.160
<v Speaker 7>we saw in the new home market this year where

0:29:27.160 --> 0:29:29.000
<v Speaker 7>I think if you bought that home in January when

0:29:29.040 --> 0:29:31.280
<v Speaker 7>builders were still looking to sell and there were still

0:29:31.320 --> 0:29:34.200
<v Speaker 7>options out there, they're pretty happy versus people who waited

0:29:34.200 --> 0:29:37.240
<v Speaker 7>maybe thought mortgage ridge come down, thought prices would come down.

0:29:37.880 --> 0:29:39.880
<v Speaker 7>And I think you want to get out there before

0:29:40.040 --> 0:29:43.160
<v Speaker 7>spring and there's more of awareness that, oh, rates have

0:29:43.200 --> 0:29:46.120
<v Speaker 7>come down, people are looking to buy. Beat the crowd

0:29:46.240 --> 0:29:47.640
<v Speaker 7>would be my advice to people.

0:29:47.600 --> 0:29:49.960
<v Speaker 2>When you are doing these types of analyzes, how long

0:29:50.000 --> 0:29:51.760
<v Speaker 2>does it take for the market to sort of catch

0:29:51.840 --> 0:29:53.200
<v Speaker 2>up with what it is you're saying.

0:29:53.960 --> 0:29:56.360
<v Speaker 7>Well, the nice thing about housing is that there's pretty

0:29:56.560 --> 0:29:58.400
<v Speaker 7>like certainly around this time of the year, there's pretty

0:29:58.400 --> 0:30:00.480
<v Speaker 7>predictable seasonality. Even if you I wanted to buy a

0:30:00.520 --> 0:30:03.880
<v Speaker 7>home today, it's not like maybe your wilter's on vacation,

0:30:04.160 --> 0:30:07.680
<v Speaker 7>maybe the appraiser or some part of that chain that

0:30:07.720 --> 0:30:10.360
<v Speaker 7>you need to actually secure that home can't be reached,

0:30:10.720 --> 0:30:12.240
<v Speaker 7>and so you're kind of forced to wait until the

0:30:12.240 --> 0:30:14.440
<v Speaker 7>new year. So I think the next three to four

0:30:14.440 --> 0:30:16.520
<v Speaker 7>weeks it's going to be quiet just because you can't

0:30:16.520 --> 0:30:20.240
<v Speaker 7>get people and so, but I think you will see

0:30:20.280 --> 0:30:21.680
<v Speaker 7>signs of this by mid January.

0:30:21.760 --> 0:30:23.000
<v Speaker 6>If I'm right, all.

0:30:22.960 --> 0:30:25.120
<v Speaker 2>Right, Connor, We're going to wait and see if you

0:30:25.240 --> 0:30:27.240
<v Speaker 2>are right. Thank you so much for joining us.

0:30:27.720 --> 0:30:28.320
<v Speaker 7>Thanks Amy.

0:30:28.520 --> 0:30:32.160
<v Speaker 2>The US government's next set of dietary guidelines for twenty

0:30:32.200 --> 0:30:36.800
<v Speaker 2>twenty five may include warnings against ultra processed foods, but

0:30:36.960 --> 0:30:39.840
<v Speaker 2>nonprofits say, don't bet on that. There are just too

0:30:39.920 --> 0:30:43.840
<v Speaker 2>many committee members with conflicts of interest. Bloomberg opinion columnist

0:30:43.920 --> 0:30:47.920
<v Speaker 2>Bobby Ghost joins US. Now, Bobby first, set us straight.

0:30:48.280 --> 0:30:51.320
<v Speaker 2>What's the difference between a processed food and an ultra

0:30:51.440 --> 0:30:52.240
<v Speaker 2>processed food?

0:30:52.640 --> 0:30:56.640
<v Speaker 8>Just cooking food makes it processed, right, But ultra process

0:30:56.680 --> 0:30:59.479
<v Speaker 8>food is food that is that essentially comes out of

0:30:59.840 --> 0:31:02.880
<v Speaker 8>a substantial degree comes out of a laboratory. I mean

0:31:02.880 --> 0:31:06.920
<v Speaker 8>they come out of factories, but they're designed in laboratory.

0:31:07.040 --> 0:31:13.280
<v Speaker 8>They're designed using the science of chemistry, and they're brought

0:31:13.320 --> 0:31:16.200
<v Speaker 8>together and you know the way the US federal government

0:31:16.240 --> 0:31:22.280
<v Speaker 8>defines that. It can be quite confusing. If you have

0:31:22.360 --> 0:31:27.040
<v Speaker 8>a is bacon a ultra processed food or a processed food?

0:31:27.440 --> 0:31:32.560
<v Speaker 8>If you have is bread processed or ultra process Take

0:31:32.600 --> 0:31:36.120
<v Speaker 8>a guess. Most breads are ultra processed foods. You and

0:31:36.120 --> 0:31:38.480
<v Speaker 8>I most people don't really think of bread like that,

0:31:38.520 --> 0:31:42.360
<v Speaker 8>but particularly bread that is designed to survive for several days,

0:31:42.360 --> 0:31:45.520
<v Speaker 8>which is not a natural thing. In bread, long life

0:31:45.520 --> 0:31:49.040
<v Speaker 8>breads a certainly ultra process long like milk is ultra processed.

0:31:49.040 --> 0:31:51.440
<v Speaker 8>All kinds of things are ultra processed.

0:31:51.680 --> 0:31:53.880
<v Speaker 2>With so much evidence though that all these foods are

0:31:53.920 --> 0:31:56.760
<v Speaker 2>bad for you, certainly the Committee would be mentioning them

0:31:56.760 --> 0:31:58.440
<v Speaker 2>in these guidelines, you would.

0:31:58.160 --> 0:32:02.640
<v Speaker 8>Think, except, of course, the Committee for decades has been

0:32:03.840 --> 0:32:08.720
<v Speaker 8>under scrutiny, to put it politely, for pressured by or

0:32:08.840 --> 0:32:13.920
<v Speaker 8>influenced by big food, the food industry through lobbyists. Many

0:32:14.000 --> 0:32:18.560
<v Speaker 8>members of the Committee have been shown to have conflicts

0:32:18.560 --> 0:32:23.520
<v Speaker 8>of interest, to have received money from big food to

0:32:23.560 --> 0:32:29.400
<v Speaker 8>conduct research, let's say, and that has made its guidelines

0:32:29.680 --> 0:32:32.360
<v Speaker 8>suspect in the eyes of a lot of people, and

0:32:32.400 --> 0:32:35.480
<v Speaker 8>a lot of people who've been on the committee before

0:32:35.760 --> 0:32:37.960
<v Speaker 8>say that they come under a lot of this pressure.

0:32:38.400 --> 0:32:41.880
<v Speaker 8>Part of the problem is that the USDA, the Department

0:32:41.920 --> 0:32:45.680
<v Speaker 8>of Agriculture. These guidelines come out from the USDA and

0:32:45.720 --> 0:32:49.040
<v Speaker 8>the Health and Human Services, But the USDA's primary function

0:32:49.840 --> 0:32:53.520
<v Speaker 8>is to try and promote the product of American agriculture,

0:32:54.080 --> 0:32:58.000
<v Speaker 8>you know, to promote the kinds of foods that are

0:32:58.120 --> 0:33:03.200
<v Speaker 8>produced by American farmers, and quite often American farmers are

0:33:03.240 --> 0:33:08.120
<v Speaker 8>producing foods for the food industry, which then takes this

0:33:08.240 --> 0:33:12.080
<v Speaker 8>stuff and processes it and ultra process it, if you like,

0:33:12.120 --> 0:33:15.720
<v Speaker 8>and puts it on our shelves and in our restaurants

0:33:15.760 --> 0:33:18.720
<v Speaker 8>and our fast food joints. And so there is a

0:33:18.760 --> 0:33:22.959
<v Speaker 8>direct conflict of interest for the USDA itself.

0:33:23.480 --> 0:33:26.360
<v Speaker 2>So then what's the point of having these food guidelines

0:33:26.440 --> 0:33:27.280
<v Speaker 2>every few years?

0:33:27.600 --> 0:33:32.479
<v Speaker 8>Therefore, nutrition is they are for policymakers. They're not for

0:33:32.560 --> 0:33:35.160
<v Speaker 8>you and me. They're not really for consumers. There's a

0:33:35.160 --> 0:33:38.480
<v Speaker 8>whole separate thing that is designed for consumers, and that

0:33:38.640 --> 0:33:42.120
<v Speaker 8>is called my plate. You'll remember the food pyramid. You'll

0:33:42.160 --> 0:33:45.520
<v Speaker 8>have seen it in your school, right. My plate replaced

0:33:45.520 --> 0:33:47.960
<v Speaker 8>the food pyramid. Instead of a pyramid, it's the shape

0:33:47.960 --> 0:33:50.320
<v Speaker 8>of a plate. It's like a pie chart that shows

0:33:50.360 --> 0:33:53.920
<v Speaker 8>you what proportions of different things you should eat. But

0:33:53.960 --> 0:33:56.640
<v Speaker 8>here's the thing that too, is produced by the government,

0:33:57.080 --> 0:34:00.520
<v Speaker 8>the Obama administration, particularly Michelle Obama, the first Lady, put

0:34:00.640 --> 0:34:04.440
<v Speaker 8>quite a lot of her personal energy into it. But

0:34:04.520 --> 0:34:06.760
<v Speaker 8>that's kind of fallen by the wayside. Even those who

0:34:06.800 --> 0:34:10.160
<v Speaker 8>have heard of it. A tiny, tiny fraction of people

0:34:10.480 --> 0:34:14.239
<v Speaker 8>say they've tried to live by the prescriptions of my play.

0:34:14.440 --> 0:34:18.080
<v Speaker 8>The larger point is that most people know that processed

0:34:18.120 --> 0:34:22.080
<v Speaker 8>foods aren't good. If the government is serious about getting

0:34:22.080 --> 0:34:26.400
<v Speaker 8>people to eat fewer processed foods, the solution is not

0:34:26.680 --> 0:34:31.960
<v Speaker 8>that difficult. You tax these foods, you subsidize the more

0:34:32.000 --> 0:34:36.640
<v Speaker 8>wholesome foods. But of course that would involve going against

0:34:37.400 --> 0:34:42.120
<v Speaker 8>very powerful lobbyists, and the political climate just simply does

0:34:42.160 --> 0:34:44.360
<v Speaker 8>not exist at the moment for that sort of action.

0:34:44.640 --> 0:34:47.520
<v Speaker 2>Bobby goes. She is a Bloomberg Opinion columnist covering culture,

0:34:47.719 --> 0:34:49.799
<v Speaker 2>and that does it for this week's Bloomberg Opinion. We're

0:34:49.840 --> 0:34:52.719
<v Speaker 2>produced by Eric Mallow. Find all of these columns on

0:34:52.760 --> 0:34:55.960
<v Speaker 2>the Bloomberg terminal, and we're available as a podcast on Apple,

0:34:56.040 --> 0:34:59.800
<v Speaker 2>Spotify or your favorite podcast platform. Stay with us. Today's

0:35:00.080 --> 0:35:03.520
<v Speaker 2>stories and global business headlines are coming up. I'm Amy Morris,

0:35:03.640 --> 0:35:04.680
<v Speaker 2>and this is Bloomberg.