1 00:00:02,040 --> 00:00:06,320 Speaker 1: Live from our nation's capital. This is Bloomberg Sound on. 2 00:00:07,440 --> 00:00:10,440 Speaker 1: We have to have this debate in conference about whether 3 00:00:10,480 --> 00:00:13,640 Speaker 1: we should be in places like Afghanic death. This towbent 4 00:00:13,720 --> 00:00:16,400 Speaker 1: has changed. We've got a hold of accountable will see 5 00:00:16,400 --> 00:00:20,720 Speaker 1: how they governed. Bloomberg Sound On, Politics, Policy and Perspective 6 00:00:20,880 --> 00:00:25,160 Speaker 1: from DC's top names. Stamfter structural bill or create jobs 7 00:00:25,320 --> 00:00:27,960 Speaker 1: that we desperately need in this country, good paying jobs. 8 00:00:28,080 --> 00:00:31,480 Speaker 1: We need to go all out through a green, renewableut 9 00:00:31,640 --> 00:00:35,040 Speaker 1: economy and all of the infrastructure to make that happen. 10 00:00:35,360 --> 00:00:41,160 Speaker 1: Bloomberg Sound On with Joe Matthew on Bloomberg Radio. Now 11 00:00:41,200 --> 00:00:44,479 Speaker 1: it gets real. For all the big ideas and happy 12 00:00:44,560 --> 00:00:49,440 Speaker 1: talk about infrastructure spending the Biden agenda, lawmakers begin the 13 00:00:49,479 --> 00:00:51,280 Speaker 1: debate over how to pay for it, or at least 14 00:00:51,280 --> 00:00:53,199 Speaker 1: well some of it through a proposed hike in the 15 00:00:53,240 --> 00:00:56,360 Speaker 1: capital gains tax that would be paired with a higher 16 00:00:56,400 --> 00:00:59,560 Speaker 1: corporate tax rate, but not if Corporate America has anything 17 00:00:59,600 --> 00:01:01,400 Speaker 1: to say of about it. We're gonna look at the 18 00:01:01,440 --> 00:01:04,720 Speaker 1: looming lobbying blitz coming up with Eric Newhouse, who handles 19 00:01:04,760 --> 00:01:08,920 Speaker 1: policy and government relations at the National Association of Manufacturers 20 00:01:09,480 --> 00:01:12,200 Speaker 1: and as the House also tackles annual defense spending. That's 21 00:01:12,200 --> 00:01:14,880 Speaker 1: starting today two Republicans try to use the withdrawal from 22 00:01:14,920 --> 00:01:18,720 Speaker 1: Afghanistan against President Biden through the form of legislation. We're 23 00:01:18,720 --> 00:01:21,720 Speaker 1: gonna talk about that with Bloomberg Government's Jack Fitzpatrick later 24 00:01:21,760 --> 00:01:24,720 Speaker 1: this hour and the panel today our sound On panel 25 00:01:24,720 --> 00:01:28,840 Speaker 1: with Democratic strategist Kevin Walling and Jen Kern's Republican strategist 26 00:01:28,840 --> 00:01:32,600 Speaker 1: former spokesperson for the California Republican Party. Welcome to the 27 00:01:32,600 --> 00:01:36,640 Speaker 1: Wednesday edition of Bloomberg sound On. Get ready for the ads. 28 00:01:37,800 --> 00:01:40,280 Speaker 1: After spending the last two weeks focused on Afghanistan, you 29 00:01:40,319 --> 00:01:44,639 Speaker 1: may have forgotten President Biden's economic agenda, which dominated the summer. 30 00:01:44,959 --> 00:01:49,240 Speaker 1: Infrastructure the Reconciliation Bill three and a half trillion dollars. 31 00:01:49,240 --> 00:01:51,400 Speaker 1: Of course, paying for all of it remains a big 32 00:01:51,440 --> 00:01:54,560 Speaker 1: issue around here. The House Ways and Means Committee, though, 33 00:01:54,600 --> 00:01:57,240 Speaker 1: is beginning debate on proposed tax hikes in the capital 34 00:01:57,280 --> 00:02:00,840 Speaker 1: gains tax along with the corporate tax rate. Republicans don't 35 00:02:00,880 --> 00:02:03,800 Speaker 1: want any part of it, promising an intense lobbying effort 36 00:02:03,840 --> 00:02:06,800 Speaker 1: and an ad blitz that will mean you hearing a 37 00:02:06,800 --> 00:02:11,639 Speaker 1: lot more of this. Where the state of our union 38 00:02:11,720 --> 00:02:17,040 Speaker 1: is watching a tragic foreign policy disaster unfold before our eyes. 39 00:02:17,120 --> 00:02:18,880 Speaker 1: Joe Biden is going to be the face of the 40 00:02:18,880 --> 00:02:22,440 Speaker 1: failure of the withdrawal. He is the president right now 41 00:02:22,520 --> 00:02:26,200 Speaker 1: as is happening. Look at how poorly planned this seems 42 00:02:26,240 --> 00:02:29,600 Speaker 1: to be. Right now. Political ads on TV and online 43 00:02:29,880 --> 00:02:33,799 Speaker 1: like that one from the National Republican Senatorial Committee to 44 00:02:33,840 --> 00:02:37,520 Speaker 1: pair with actual lobby and groups opposing this range from 45 00:02:37,520 --> 00:02:40,840 Speaker 1: the Chamber of Commerce, to the Business Roundtable to the 46 00:02:40,919 --> 00:02:44,400 Speaker 1: National Association of Manufacturers. And we're joined by the Association's 47 00:02:44,520 --> 00:02:47,360 Speaker 1: Eric Newhouse, now senior vice president of Policy and Government 48 00:02:47,360 --> 00:02:51,960 Speaker 1: Relations at the National Association of Manufacturers. Eric, welcome, You 49 00:02:52,080 --> 00:02:55,120 Speaker 1: represent some big names, some big companies, from Caterpillar to 50 00:02:55,200 --> 00:02:58,560 Speaker 1: ex On to Johnson and Johnson. How do you end 51 00:02:58,560 --> 00:03:00,880 Speaker 1: this whole group play and to make a dent in 52 00:03:00,880 --> 00:03:04,320 Speaker 1: this debate? Well, thank you for the opportunity to be 53 00:03:04,360 --> 00:03:07,040 Speaker 1: with you, and I appreciate your time. And let me 54 00:03:07,080 --> 00:03:10,480 Speaker 1: start with you know, yeah, we absolutely represent those companies 55 00:03:10,480 --> 00:03:12,280 Speaker 1: who are proud to do so. But the backbone of 56 00:03:12,280 --> 00:03:14,919 Speaker 1: our membership, our fourteen thousand members are small and medium 57 00:03:14,960 --> 00:03:18,600 Speaker 1: sized companies. These are you know, mom and pop shops 58 00:03:18,639 --> 00:03:20,799 Speaker 1: that make something that ends up on something that ends 59 00:03:20,840 --> 00:03:23,360 Speaker 1: up on a four one fifty or going seven thirty seven. 60 00:03:23,760 --> 00:03:26,800 Speaker 1: And those small medium manufacturers are really the backbone of 61 00:03:26,800 --> 00:03:32,400 Speaker 1: our sector and in their stories, their first hand experiences, 62 00:03:32,480 --> 00:03:35,600 Speaker 1: saying to policymakers on both sides of the aisle, look, 63 00:03:36,000 --> 00:03:40,440 Speaker 1: the two two thousand seventeen tax bill created jobs, drove 64 00:03:40,520 --> 00:03:44,720 Speaker 1: wage increases in the manufacturing sector, and drove capital investment 65 00:03:44,720 --> 00:03:47,600 Speaker 1: in the sector. We need to protect that. Now is 66 00:03:47,600 --> 00:03:49,680 Speaker 1: not the time to pull that away. Now is not 67 00:03:49,800 --> 00:03:52,720 Speaker 1: the time to to to basically gut the growth that 68 00:03:52,800 --> 00:03:56,720 Speaker 1: we're seeing in slow wage growth. And you know, again, 69 00:03:56,800 --> 00:03:58,600 Speaker 1: the story is very clear to us as we look 70 00:03:58,640 --> 00:04:02,160 Speaker 1: at this. This isn't about polity. Access is about straight policy. 71 00:04:02,280 --> 00:04:04,760 Speaker 1: There's a choice policy makers have in Washington. It's going 72 00:04:04,800 --> 00:04:06,240 Speaker 1: to come to a head in the coming days and 73 00:04:06,280 --> 00:04:09,600 Speaker 1: coming weeks. Are they four tax increases that are going 74 00:04:09,680 --> 00:04:12,440 Speaker 1: to put Americans out of work or not? And that's 75 00:04:12,440 --> 00:04:15,520 Speaker 1: going to be the debate. We recently spoke Eric with 76 00:04:15,600 --> 00:04:18,440 Speaker 1: the big boss at your association, J Timmins, president of 77 00:04:18,440 --> 00:04:21,919 Speaker 1: the National Association of Manufacturers, who made clear on this 78 00:04:22,040 --> 00:04:26,560 Speaker 1: program that manufacturers actually want to see infrastructure become law. 79 00:04:27,040 --> 00:04:30,560 Speaker 1: He said they support the bill, just not by hiking 80 00:04:30,560 --> 00:04:33,279 Speaker 1: taxes to pay for it. Here's what he said, the 81 00:04:33,360 --> 00:04:35,760 Speaker 1: reverse of what we just saw over the last three years, 82 00:04:35,800 --> 00:04:39,839 Speaker 1: where manufacturers invested and hired and and grew their wages. 83 00:04:40,279 --> 00:04:43,720 Speaker 1: If the corporate texts is increased, then you're going to 84 00:04:43,760 --> 00:04:46,240 Speaker 1: see all that disappear. And I don't think that's what 85 00:04:46,279 --> 00:04:50,880 Speaker 1: the president wants. So we've been very clear that we 86 00:04:50,960 --> 00:04:54,320 Speaker 1: want to see some alternatives, and we think that converse 87 00:04:54,360 --> 00:04:56,919 Speaker 1: has listened to us and they don't want to risk 88 00:04:56,960 --> 00:05:00,000 Speaker 1: the manufacturing renaissance that's going on right now in this country. 89 00:05:00,480 --> 00:05:03,960 Speaker 1: So we're hopeful that whatever the final packages is not 90 00:05:04,000 --> 00:05:07,000 Speaker 1: going to raise taxes on business. So, Eric, will your 91 00:05:07,080 --> 00:05:09,279 Speaker 1: approach to this, Will the n a M approach to 92 00:05:09,320 --> 00:05:14,040 Speaker 1: this include providing alternatives? How do you get to it? Well, 93 00:05:14,080 --> 00:05:16,920 Speaker 1: you know, on the infrastructure side, we've said the policy makers, 94 00:05:16,960 --> 00:05:18,599 Speaker 1: you know, look, there's a bunch of different ways you 95 00:05:18,600 --> 00:05:22,080 Speaker 1: can you can look at paying for infrastructure spending, and 96 00:05:22,080 --> 00:05:25,920 Speaker 1: into Jay's comments, we're very happy that that, in a 97 00:05:26,000 --> 00:05:29,720 Speaker 1: bipartisan way, the Senate and hopefully quickly the House are 98 00:05:29,760 --> 00:05:32,000 Speaker 1: going to move forward with legislation that will provide that 99 00:05:32,040 --> 00:05:36,360 Speaker 1: infrastructure boost and do it without tax increases. When we 100 00:05:36,400 --> 00:05:39,760 Speaker 1: get into the reconciliation question three point five shillion dollars, 101 00:05:40,200 --> 00:05:43,320 Speaker 1: we begin the conversation in a very different way. We say, look, 102 00:05:44,040 --> 00:05:46,120 Speaker 1: there there's a lot in here. There's a lot that 103 00:05:46,200 --> 00:05:48,480 Speaker 1: both sides of the aisle want to address and advance 104 00:05:48,520 --> 00:05:52,880 Speaker 1: in order to make America a better place. Republicans have used, 105 00:05:53,000 --> 00:05:56,680 Speaker 1: Democrats have used. But where we're focused right now is, 106 00:05:57,400 --> 00:05:59,440 Speaker 1: you know, the heart of the conversation seems to be 107 00:05:59,440 --> 00:06:02,080 Speaker 1: about how they going to pay for it in and 108 00:06:02,160 --> 00:06:05,760 Speaker 1: our argument is very clear on this. You've got a choice. 109 00:06:06,360 --> 00:06:09,440 Speaker 1: You can raise taxes and put manufacturing workers out of work. 110 00:06:10,040 --> 00:06:12,320 Speaker 1: You can cut wages, and you can cut investment. That's 111 00:06:12,320 --> 00:06:15,320 Speaker 1: a mistake. So you know that's a conversation we're having 112 00:06:15,440 --> 00:06:17,839 Speaker 1: right now, and and and you know, at this point, 113 00:06:18,000 --> 00:06:19,960 Speaker 1: you know it's been a good conversation with both sides 114 00:06:20,000 --> 00:06:21,560 Speaker 1: of the aisle. People want to hear us and want 115 00:06:21,560 --> 00:06:24,000 Speaker 1: to hear our stories. I want to hear our views. So, 116 00:06:24,040 --> 00:06:26,480 Speaker 1: when you're the senior vice president of policy and government 117 00:06:26,520 --> 00:06:29,440 Speaker 1: relations at the National Association of Manufacturers, how do you 118 00:06:29,520 --> 00:06:33,400 Speaker 1: influence the outcome of this debate? Have you begun discussions 119 00:06:33,400 --> 00:06:35,760 Speaker 1: already with lawmakers. I know you were in the throes 120 00:06:35,839 --> 00:06:39,279 Speaker 1: of of of a large discussion about the bipart as 121 00:06:39,320 --> 00:06:42,800 Speaker 1: an infrastructure bill as we get into reconciliation, Now are 122 00:06:42,839 --> 00:06:46,200 Speaker 1: you hitting lawmakers on the phone? Are you making advertisements? 123 00:06:46,279 --> 00:06:50,040 Speaker 1: Are you lobbying? All of the above? All the above. 124 00:06:50,160 --> 00:06:51,960 Speaker 1: I mean, this is a conversation that we're going to 125 00:06:52,040 --> 00:06:55,560 Speaker 1: have in with anyone anywhere, any time we possibly can. 126 00:06:55,640 --> 00:06:59,320 Speaker 1: And that's going to be a mixture of grassroots grasstops, 127 00:07:00,120 --> 00:07:05,320 Speaker 1: digital advertisements, um traditional kind of you know, media plays 128 00:07:05,960 --> 00:07:09,240 Speaker 1: I'm anticipating will be involved with some advertising efforts, and 129 00:07:09,279 --> 00:07:11,480 Speaker 1: the traditional kind of shoe leather lobby and if you will, 130 00:07:11,960 --> 00:07:15,640 Speaker 1: and in in really driving that is really two different things. 131 00:07:15,840 --> 00:07:18,000 Speaker 1: One of the very clear story and facts that we 132 00:07:18,120 --> 00:07:21,760 Speaker 1: have that back up the argument that tax increases cost jobs. 133 00:07:21,880 --> 00:07:23,760 Speaker 1: And the other argument we're going to make is in 134 00:07:23,800 --> 00:07:25,920 Speaker 1: really going back to my earlier comments about the small 135 00:07:25,920 --> 00:07:30,520 Speaker 1: and meeting sized companies, their stories can move policymakers. You know, 136 00:07:30,600 --> 00:07:32,240 Speaker 1: you can break through a lot of a lot of 137 00:07:32,240 --> 00:07:38,120 Speaker 1: Washington nonsense and just buzz and get get to the 138 00:07:38,160 --> 00:07:41,240 Speaker 1: real heart of an issue. When the manufacturer with thirty 139 00:07:41,240 --> 00:07:44,080 Speaker 1: five employees comes to a policy maker and says book, 140 00:07:44,120 --> 00:07:46,120 Speaker 1: I live in your district, I live in your town, 141 00:07:46,160 --> 00:07:47,760 Speaker 1: I live in your state. Let me tell you what 142 00:07:47,800 --> 00:07:52,239 Speaker 1: this really means for our community. And and that story 143 00:07:52,320 --> 00:07:54,800 Speaker 1: you can really have an impact on policymakers because again 144 00:07:54,840 --> 00:07:56,880 Speaker 1: it breaks through a lot of the nonsense in town. 145 00:07:57,760 --> 00:08:03,360 Speaker 1: Does the association support child care funding and expansion of 146 00:08:03,400 --> 00:08:06,160 Speaker 1: medicare some of the other things that we've heard about 147 00:08:06,160 --> 00:08:11,840 Speaker 1: in this reconciliation bill, free community college, of universal pre k. 148 00:08:12,880 --> 00:08:15,720 Speaker 1: Are you cherry picking any of these items? Because the 149 00:08:15,760 --> 00:08:19,000 Speaker 1: lower these tax rates end up, the less will end 150 00:08:19,080 --> 00:08:21,200 Speaker 1: up in the bill, the fewer number of initiatives will 151 00:08:21,280 --> 00:08:24,360 Speaker 1: end up in that final bill. Well, I think that's 152 00:08:24,360 --> 00:08:26,400 Speaker 1: a it's a good question. I think that's a question 153 00:08:26,440 --> 00:08:28,400 Speaker 1: more for policymakers and for us. Mean we will get 154 00:08:28,440 --> 00:08:30,800 Speaker 1: it to the lens of the manufacturing agenda is about 155 00:08:30,840 --> 00:08:34,000 Speaker 1: competitiveness for manufacturing. There is about job broth for manufacturing 156 00:08:34,040 --> 00:08:37,920 Speaker 1: and job retention and wages for manufacturing. Policymakers can have 157 00:08:37,920 --> 00:08:40,199 Speaker 1: a debate around what they want to do on on 158 00:08:40,640 --> 00:08:44,000 Speaker 1: universal health care, what they want to do with expansion 159 00:08:44,000 --> 00:08:46,719 Speaker 1: of medicare, for for dental care and vision and all 160 00:08:46,720 --> 00:08:49,560 Speaker 1: the things are on the table here we're focused on 161 00:08:49,600 --> 00:08:51,560 Speaker 1: the main thing, and the main thing for us is 162 00:08:51,600 --> 00:08:55,480 Speaker 1: making sure manufacturers have the ability to be competitive in 163 00:08:55,520 --> 00:08:58,319 Speaker 1: a global environment. And I know that that that gets 164 00:08:58,320 --> 00:09:00,160 Speaker 1: thrown around a lot and doesn't mean a lot to 165 00:09:00,160 --> 00:09:01,439 Speaker 1: a lot of people. Let me try to kind of 166 00:09:01,440 --> 00:09:05,880 Speaker 1: clarify what I really mean by that. Competitive competitiveness internationally 167 00:09:05,920 --> 00:09:08,800 Speaker 1: is really a conversation of where the next dollar investment 168 00:09:08,920 --> 00:09:10,719 Speaker 1: is going to go. Is it going to go to 169 00:09:10,840 --> 00:09:12,760 Speaker 1: United States or is it going to go somewhere else. 170 00:09:13,160 --> 00:09:15,319 Speaker 1: And our mission is to make sure that we make 171 00:09:15,360 --> 00:09:17,880 Speaker 1: the United States as competitive as possible, to make sure 172 00:09:17,960 --> 00:09:20,640 Speaker 1: that the next dollar invested in manufacturing is invested here. 173 00:09:22,480 --> 00:09:24,520 Speaker 1: Democrats want to spend three and a half trillion. That's 174 00:09:24,520 --> 00:09:27,920 Speaker 1: what we hear on reconciliation. That's beyond the one point 175 00:09:27,960 --> 00:09:30,200 Speaker 1: two trillion of the BI part is an infrastructure ability, 176 00:09:30,200 --> 00:09:31,840 Speaker 1: even though that's not all new money. We don't need 177 00:09:31,880 --> 00:09:33,960 Speaker 1: to go through all of that. But we're in the 178 00:09:34,080 --> 00:09:37,880 Speaker 1: multi trillions of dollars here. The tax hikes that are 179 00:09:37,880 --> 00:09:41,440 Speaker 1: being proposed would pay for a little more than one trillion. 180 00:09:41,480 --> 00:09:44,160 Speaker 1: Based on the number crunching here at Bloomberg, it was 181 00:09:44,200 --> 00:09:46,959 Speaker 1: a little more than one point one trillion dollars. How 182 00:09:47,040 --> 00:09:51,360 Speaker 1: much does the National Association of Manufacturers plan to spend 183 00:09:52,000 --> 00:09:56,160 Speaker 1: to slow this down or to lower those numbers. Well, 184 00:09:56,160 --> 00:09:57,840 Speaker 1: I'm obviously not in a position to give you a 185 00:09:57,840 --> 00:10:00,280 Speaker 1: specific number on that, but I will say this is 186 00:10:00,600 --> 00:10:02,960 Speaker 1: going to take our full focus, in our full way. 187 00:10:03,120 --> 00:10:05,480 Speaker 1: I mean, this is, you know, in addition to making 188 00:10:05,480 --> 00:10:10,240 Speaker 1: sure that bipartisan infrastructure bill is enacted, this is this 189 00:10:10,320 --> 00:10:13,000 Speaker 1: is the main thing, and this is going to have 190 00:10:13,080 --> 00:10:16,520 Speaker 1: our entire focus in order to make sure that our 191 00:10:16,520 --> 00:10:19,160 Speaker 1: members have the ability to continue to create and maintain 192 00:10:19,160 --> 00:10:23,240 Speaker 1: those jobs. And and you know, it's it's We've got 193 00:10:23,280 --> 00:10:26,160 Speaker 1: a lot of members that understand this and and want 194 00:10:26,200 --> 00:10:28,760 Speaker 1: to be involved and have been great partners so far 195 00:10:28,760 --> 00:10:30,880 Speaker 1: in this process, and I know they will moving forward. 196 00:10:31,480 --> 00:10:33,040 Speaker 1: You know, we're bloomberg. I had to ask you for 197 00:10:33,080 --> 00:10:35,720 Speaker 1: a number here, Eric, but I will point out the 198 00:10:35,760 --> 00:10:37,640 Speaker 1: fact that you've done a lot of research on this 199 00:10:38,080 --> 00:10:41,600 Speaker 1: that a percent corporate tax rate, as you pointed out, 200 00:10:41,640 --> 00:10:45,120 Speaker 1: would would cost the economy one billion one million. That's 201 00:10:45,160 --> 00:10:47,600 Speaker 1: with an m one million jobs in the first two years. 202 00:10:48,240 --> 00:10:51,000 Speaker 1: But even a lower rate, you say, would lead to 203 00:10:51,080 --> 00:10:56,680 Speaker 1: massive job loss. Is there a number you're comfortable with no, 204 00:10:57,360 --> 00:10:59,520 Speaker 1: so let me you know, let me. We began the 205 00:10:59,520 --> 00:11:03,040 Speaker 1: conversation in two thousands, fifteen, sixteen, and seventeen, leading into 206 00:11:03,120 --> 00:11:05,400 Speaker 1: what you know was enacted in the lawn two thousand 207 00:11:05,440 --> 00:11:10,080 Speaker 1: seventeen in the TASH Reform Bill, arguing for fift Now, look, 208 00:11:10,080 --> 00:11:13,240 Speaker 1: we came down from thirty five to one, making dance again. 209 00:11:13,320 --> 00:11:16,920 Speaker 1: Changes on the scorps side. So our view is, you know, 210 00:11:17,440 --> 00:11:21,760 Speaker 1: one gets us roughly on average with our competitors in 211 00:11:21,760 --> 00:11:24,640 Speaker 1: the O E C. D. We don't think negotiating with 212 00:11:24,679 --> 00:11:26,920 Speaker 1: ourselves to say, well, if you go to twenty two, 213 00:11:27,000 --> 00:11:29,520 Speaker 1: it's okay to lose this many manufacturing jobs and to 214 00:11:29,840 --> 00:11:32,520 Speaker 1: slow growth this far, but if you go to twenty three, 215 00:11:32,559 --> 00:11:37,320 Speaker 1: it's no, we're not We're not having that conversation. Yeah, 216 00:11:37,360 --> 00:11:39,720 Speaker 1: they in best case scenario, they go down. Now, I 217 00:11:39,720 --> 00:11:41,400 Speaker 1: know that's not part of the conversation right now, but 218 00:11:41,679 --> 00:11:44,800 Speaker 1: the conversation in Washington music be about lowering rates, not rapist. 219 00:11:45,559 --> 00:11:48,360 Speaker 1: Eric Newhouse, Senior vice president Policy government Relations at the 220 00:11:48,440 --> 00:11:51,800 Speaker 1: National Association of Manufacturers, Thanks for taking that walk with me. 221 00:11:51,840 --> 00:11:55,160 Speaker 1: We assemble the panel next. I'm Joe Matthew. Stay here. 222 00:11:55,240 --> 00:12:02,160 Speaker 1: This is Bloomer. You're listening to Bloomberg you Sound on 223 00:12:02,559 --> 00:12:07,960 Speaker 1: with Joe Matthew on Bloomberg Radio. We are watching the 224 00:12:08,000 --> 00:12:13,120 Speaker 1: calendar as lawmakers begin the work debating President Biden's economic 225 00:12:13,160 --> 00:12:16,640 Speaker 1: agenda and the proposed tax hikes that will help pay 226 00:12:16,679 --> 00:12:20,000 Speaker 1: for it. As we assemble our sound on panel to 227 00:12:20,000 --> 00:12:23,840 Speaker 1: talk about it now with Democratic strategists former Biden campaign 228 00:12:23,880 --> 00:12:27,280 Speaker 1: surrogate Kevin Walling now at h G Creative and Republican 229 00:12:27,320 --> 00:12:32,040 Speaker 1: strategist Jen Kerns, former spokesperson for the California Republican Party. 230 00:12:32,559 --> 00:12:35,000 Speaker 1: Welcome to both of you. Jen, you heard my talk 231 00:12:35,080 --> 00:12:37,400 Speaker 1: just now. I think with Eric Newhouse from the National 232 00:12:37,440 --> 00:12:41,400 Speaker 1: Association of Realtors, well, the lobbying and ad effort work 233 00:12:41,800 --> 00:12:45,400 Speaker 1: to slow this debate or even change the direction of 234 00:12:45,400 --> 00:12:48,680 Speaker 1: this debate on hiking taxes or as the horse already 235 00:12:48,720 --> 00:12:52,560 Speaker 1: left the barn, Well, I think it does. You know, 236 00:12:52,640 --> 00:12:56,680 Speaker 1: historically it shows, especially as we're approaching mid term election, 237 00:12:56,880 --> 00:13:00,480 Speaker 1: so where the Democratic Party in this election in season 238 00:13:00,640 --> 00:13:05,040 Speaker 1: is going to be very concerned about having a blood 239 00:13:05,040 --> 00:13:09,040 Speaker 1: bath at the polls as the current polling is showing 240 00:13:09,520 --> 00:13:13,080 Speaker 1: could very well happen. Uh, it will be a great 241 00:13:13,160 --> 00:13:16,880 Speaker 1: import to the White House, and to the Democratic Party, Uh, 242 00:13:16,920 --> 00:13:20,720 Speaker 1: to to pay attention to that fight. Um, and we 243 00:13:20,840 --> 00:13:25,480 Speaker 1: know that television ads and social media ads and lobby 244 00:13:25,520 --> 00:13:29,079 Speaker 1: and campaigns do bring that home to roost as people 245 00:13:29,120 --> 00:13:33,040 Speaker 1: look ahead to the mid terms. What's your thought on this, Kevin. 246 00:13:33,200 --> 00:13:36,400 Speaker 1: The Reconciliation Bill, as it has been described, is essentially 247 00:13:36,720 --> 00:13:39,760 Speaker 1: beyond the bipart as an infrastructure bill already passed the Senate, 248 00:13:39,840 --> 00:13:44,480 Speaker 1: is essentially Joe Biden's campaign promises all rolled up into 249 00:13:44,480 --> 00:13:46,600 Speaker 1: one when it comes to social spending, when it comes 250 00:13:46,600 --> 00:13:50,560 Speaker 1: to childcare, when it comes to human infrastructure, as we 251 00:13:50,640 --> 00:13:54,040 Speaker 1: have come to call it. How much of an interference 252 00:13:54,080 --> 00:13:58,280 Speaker 1: will this new effort be in making that law. Well, 253 00:13:58,320 --> 00:13:59,800 Speaker 1: so it's a good question. It's good to join you, 254 00:14:00,080 --> 00:14:01,960 Speaker 1: uh and Jen. Obviously, this is going to be the 255 00:14:01,960 --> 00:14:04,360 Speaker 1: most intense September, and you've covered a lot of Congress 256 00:14:04,360 --> 00:14:07,680 Speaker 1: at Joe that we've probably ever seen in recent memory. Obviously, 257 00:14:07,720 --> 00:14:11,880 Speaker 1: with the backdrop of this Reconciliation bill, as you rightly 258 00:14:11,880 --> 00:14:15,400 Speaker 1: point out, the presidents main focus in terms of human infrastructure, 259 00:14:15,520 --> 00:14:18,600 Speaker 1: childhood tax credits, funding for schools, all of the kind 260 00:14:18,600 --> 00:14:23,200 Speaker 1: of humanity aspects of that work. Obviously, the leadership of 261 00:14:23,240 --> 00:14:26,480 Speaker 1: the House and the Senate Democratic leadership has set September fifteen, 262 00:14:26,560 --> 00:14:30,640 Speaker 1: halfway through the month as UH, the deadline for their 263 00:14:30,720 --> 00:14:35,440 Speaker 1: chairs to finish working up that bill, that reconciliation bill. UH. 264 00:14:35,520 --> 00:14:37,840 Speaker 1: And then obviously you have the backdrop of the Senate 265 00:14:37,880 --> 00:14:41,000 Speaker 1: past by partisan infrastructure bill with it, that kind of 266 00:14:41,360 --> 00:14:45,080 Speaker 1: temporary but but somewhat concrete deadline in September seven, and 267 00:14:45,080 --> 00:14:49,400 Speaker 1: that was obviously the deal negotiated or announced by Speaker 268 00:14:49,440 --> 00:14:52,680 Speaker 1: Pelosi and those moderate holdouts. Again, all this with the 269 00:14:52,680 --> 00:14:56,000 Speaker 1: backdrop of the death ceiling. Now the complications of Afghanistan. 270 00:14:56,080 --> 00:14:58,520 Speaker 1: You saw the Chairman of the Armed Services Community the 271 00:14:58,520 --> 00:15:01,440 Speaker 1: House of Smith kind of going pretty strongly against as 272 00:15:01,440 --> 00:15:05,440 Speaker 1: a Democratic, pretty strongly against the administration, calling for some transparency, 273 00:15:05,480 --> 00:15:08,320 Speaker 1: likely some hearings. UM. So obviously there's there's a lot 274 00:15:08,360 --> 00:15:11,360 Speaker 1: going on, a lot of shifting dynamics with all this happening, 275 00:15:11,520 --> 00:15:14,160 Speaker 1: and with the hurricane, with the remnants that we're dealing 276 00:15:14,240 --> 00:15:16,360 Speaker 1: with now, the President's announced trip that he will be 277 00:15:16,400 --> 00:15:19,240 Speaker 1: there later in the week. Yeah, it's a madhouse, Kevin. 278 00:15:19,280 --> 00:15:22,240 Speaker 1: But what's the Democratic pushback on this whole thing. We've 279 00:15:22,280 --> 00:15:26,480 Speaker 1: We've got the industry just now telling us that corporate 280 00:15:26,480 --> 00:15:30,480 Speaker 1: tax rate means the loss of a million jobs. That's 281 00:15:30,480 --> 00:15:34,320 Speaker 1: a pretty tough argument. Well, sure, And the longer that 282 00:15:34,440 --> 00:15:37,160 Speaker 1: the bill goes on in terms of negotiations, obviously, the 283 00:15:37,160 --> 00:15:39,720 Speaker 1: President has said he wants it's fully paid for. He 284 00:15:39,760 --> 00:15:41,960 Speaker 1: doesn't want to add to the debts. So that complicates 285 00:15:42,000 --> 00:15:44,440 Speaker 1: things obviously when you have to have those paid force 286 00:15:44,520 --> 00:15:47,720 Speaker 1: and running into the headwinds of UH the industry, whether 287 00:15:47,760 --> 00:15:50,120 Speaker 1: it be the interview that you just conducted or other 288 00:15:50,600 --> 00:15:53,040 Speaker 1: UH corporate interests like the Chamber and things like that. 289 00:15:53,160 --> 00:15:55,280 Speaker 1: So the longer this goes on, the more complicated it 290 00:15:55,280 --> 00:15:59,280 Speaker 1: becomes in terms of that specific reconciliation package. For sure. 291 00:15:59,520 --> 00:16:02,640 Speaker 1: So Jen hearns, what's the answer, less spending or different 292 00:16:02,680 --> 00:16:08,280 Speaker 1: pay force. Well, look, I think you just categorized that 293 00:16:08,400 --> 00:16:12,120 Speaker 1: this is a very complicated, uphill battle for the Democratic 294 00:16:12,160 --> 00:16:15,320 Speaker 1: Party and for the White House. UM, speed kills and 295 00:16:15,400 --> 00:16:19,280 Speaker 1: these sort of things. As the administration UH looks to 296 00:16:19,600 --> 00:16:23,480 Speaker 1: try to draw the attention away from the crisis in Afghanistan, UM, 297 00:16:23,760 --> 00:16:26,720 Speaker 1: I think it would be complicated to get Americans attentions 298 00:16:26,760 --> 00:16:30,600 Speaker 1: focused on this. The jobs loss UH numbers will be 299 00:16:30,640 --> 00:16:33,440 Speaker 1: the most compelling to bring to the attention of the 300 00:16:33,480 --> 00:16:36,560 Speaker 1: American people. Uh. You know, the American people are still 301 00:16:36,640 --> 00:16:41,240 Speaker 1: reeling from the COVID nineteen crisis, and most importantly the 302 00:16:41,560 --> 00:16:44,840 Speaker 1: you know in Democrat led states and the Democrat led cities, 303 00:16:44,880 --> 00:16:48,080 Speaker 1: those big blue cities like New York City, Los Angeles 304 00:16:48,120 --> 00:16:52,160 Speaker 1: where people were harder hit because of the Democrat policies 305 00:16:52,160 --> 00:16:55,760 Speaker 1: on closures. Um, we had a significant number, we had 306 00:16:55,800 --> 00:16:58,480 Speaker 1: millions of people impacted. In fact, one of the numbers 307 00:16:58,520 --> 00:17:02,080 Speaker 1: I'm watching, uh, in relation to jobs, where it would 308 00:17:02,120 --> 00:17:06,080 Speaker 1: really staying further is two million women left the workforce 309 00:17:06,119 --> 00:17:09,760 Speaker 1: over the last twelve months due to the COVID nineteen 310 00:17:09,800 --> 00:17:13,800 Speaker 1: crisis and in doing lockdown. So certainly, uh, those who 311 00:17:13,840 --> 00:17:17,600 Speaker 1: are fighting this tax hike, I think the argument of 312 00:17:17,720 --> 00:17:20,360 Speaker 1: more jobs loss would be the most compelling one at 313 00:17:20,359 --> 00:17:24,280 Speaker 1: the ballot box. Speed kills, says Jen Kerns. Jen, you're 314 00:17:24,359 --> 00:17:27,200 Speaker 1: not the first person who said that to me today. 315 00:17:27,240 --> 00:17:29,440 Speaker 1: What's your answer to that? In our last minute here, 316 00:17:30,160 --> 00:17:33,840 Speaker 1: Kevin Walling, I remember, uh, just a couple of weeks ago, 317 00:17:34,000 --> 00:17:37,160 Speaker 1: Josh Gottheimer, who was holding up this whole thing. Moderate 318 00:17:37,200 --> 00:17:40,440 Speaker 1: Democrat in the House with an op ed the top 319 00:17:40,520 --> 00:17:45,960 Speaker 1: line said time kills deals it's a good question, Joe. 320 00:17:46,000 --> 00:17:48,160 Speaker 1: I mean, I think Jen partly is making the case 321 00:17:48,240 --> 00:17:51,000 Speaker 1: for this Human Infrastructure bill. You know, she talks about 322 00:17:51,000 --> 00:17:53,600 Speaker 1: the two million women that have lost but we're left 323 00:17:53,640 --> 00:17:56,040 Speaker 1: in the workplace because of COVID. The vast majority of 324 00:17:56,040 --> 00:17:59,200 Speaker 1: that is because they don't have adequate childhood care and 325 00:17:59,320 --> 00:18:02,320 Speaker 1: coverage for their their kids at home because of whatever 326 00:18:02,400 --> 00:18:06,800 Speaker 1: dynamics are at home. So putting more resources in terms 327 00:18:06,840 --> 00:18:10,159 Speaker 1: of billions of dollars in terms of childhood care and 328 00:18:10,200 --> 00:18:12,600 Speaker 1: early childhood education is one of the reasons to push 329 00:18:12,680 --> 00:18:15,760 Speaker 1: push that the administration will push forward and hopefully pass 330 00:18:15,760 --> 00:18:19,480 Speaker 1: this Human Infrastructure bill. Kens get me back with us. 331 00:18:19,480 --> 00:18:22,960 Speaker 1: I agree with Kevin, except on the solution. Women don't 332 00:18:22,960 --> 00:18:25,040 Speaker 1: want government funded programs. They just want to be able 333 00:18:25,040 --> 00:18:27,359 Speaker 1: to get out there. All right, I'm glad you got that, Engen. 334 00:18:27,440 --> 00:18:29,000 Speaker 1: They'll be back there with us for the full hour. 335 00:18:29,040 --> 00:18:31,000 Speaker 1: We're gonna talk again with the panel a bit later on. 336 00:18:31,160 --> 00:18:34,320 Speaker 1: Up next though, the House tackles the annual defense budget. 337 00:18:34,320 --> 00:18:37,439 Speaker 1: We'll talk about it with Bloomberg Government's Jack Fitzpatrick. How 338 00:18:37,600 --> 00:18:48,919 Speaker 1: Joe Matthew, This is Bloomberg Broadcasting live from our nation's capital. 339 00:18:49,000 --> 00:18:54,399 Speaker 1: Bloomberg to New York, Bloomberg eleven, Frio to San Francisco, 340 00:18:54,520 --> 00:18:59,280 Speaker 1: Bloomberg nine sixty to the country, Sirius XM General one 341 00:18:59,520 --> 00:19:02,720 Speaker 1: and around the globe, the Bloomberg Business app. Then Bloomberg 342 00:19:02,800 --> 00:19:07,880 Speaker 1: Radio dot Com. This is Bloomberg sond On with Joe Matthew. 343 00:19:09,680 --> 00:19:11,840 Speaker 1: It's time to pay for our defense. We do this 344 00:19:11,920 --> 00:19:15,280 Speaker 1: every year through the Defense Authorization Acts, and the House 345 00:19:15,359 --> 00:19:18,399 Speaker 1: Arm Services Committee is in that debate right now with 346 00:19:18,560 --> 00:19:22,560 Speaker 1: a pile of Republican amendments aimed at hanging the Afghanistan 347 00:19:22,640 --> 00:19:26,000 Speaker 1: withdrawal around Joe Biden's neck straight through the mid terms. 348 00:19:26,000 --> 00:19:29,640 Speaker 1: We'll talk about it ahead with Bloomberg Government's Jack Fitzpatrick 349 00:19:30,000 --> 00:19:33,639 Speaker 1: and the broader effort by Republicans to make this a 350 00:19:33,800 --> 00:19:37,960 Speaker 1: painful mid term election season. The minds at Bloomberg Government 351 00:19:38,160 --> 00:19:40,520 Speaker 1: with a great peace on the terminal today the headline 352 00:19:40,560 --> 00:19:46,640 Speaker 1: Republicans seek mid term advantage from Afghanistan withdrawal. Indeed, as 353 00:19:46,680 --> 00:19:50,159 Speaker 1: I read, America's withdrawal from Afghanistan is already playing a 354 00:19:50,240 --> 00:19:52,679 Speaker 1: role in Republican efforts to win back control of the 355 00:19:52,720 --> 00:19:56,480 Speaker 1: House and the Senate, with the GOP campaign committees highlighting 356 00:19:56,480 --> 00:19:59,000 Speaker 1: news coverage of the chaotic scenes of the Kabbal airport 357 00:19:59,040 --> 00:20:02,480 Speaker 1: and videos and other passaging. We got quite a dose 358 00:20:02,600 --> 00:20:06,000 Speaker 1: of this from the House Republican Leader Kevin McCarthy, who 359 00:20:06,080 --> 00:20:10,080 Speaker 1: spoke yesterday here. He is never in my lifetime would 360 00:20:10,080 --> 00:20:15,120 Speaker 1: I ever believe America would have an administration knowingly make 361 00:20:15,160 --> 00:20:19,600 Speaker 1: a decision to leave Americans behind, whereas just two weeks 362 00:20:19,600 --> 00:20:23,280 Speaker 1: ago the President promised this nation that he would not 363 00:20:23,480 --> 00:20:27,800 Speaker 1: leave until every single American was out. And here we 364 00:20:27,840 --> 00:20:31,800 Speaker 1: are with a debate beginning around the Defense Authorization Act, 365 00:20:31,800 --> 00:20:35,400 Speaker 1: the how the House Armed Services Committee starting that markup today, 366 00:20:35,520 --> 00:20:38,720 Speaker 1: and we're joined by Jack Fitzpatrick of Bloomberg Government and 367 00:20:38,800 --> 00:20:41,399 Speaker 1: this very program Bloomberg Sound On. It's great to have 368 00:20:41,520 --> 00:20:44,600 Speaker 1: you here. Jack. I'd like to ask you just to 369 00:20:44,680 --> 00:20:47,840 Speaker 1: start about the Defense Authorization Act, and we can go 370 00:20:47,880 --> 00:20:50,440 Speaker 1: a little bit more broadly in what Republican efforts are here. 371 00:20:50,480 --> 00:20:54,200 Speaker 1: But this is an important exercise annually to set spending 372 00:20:54,240 --> 00:20:56,840 Speaker 1: for the Pentagon, and President Biden proposing a little over 373 00:20:56,880 --> 00:21:00,679 Speaker 1: seven hundred billion dollars. Republicans and even some Democrats in 374 00:21:00,680 --> 00:21:04,119 Speaker 1: that committee say they want more, adding another twenty five billion, 375 00:21:04,160 --> 00:21:08,280 Speaker 1: which I understand is likely to pass. But Republican lawmakers 376 00:21:08,320 --> 00:21:12,600 Speaker 1: are adding dozens of amendments that are specific to Afghanistan, 377 00:21:13,320 --> 00:21:16,960 Speaker 1: including a requirement, for instance, to detail the decision to 378 00:21:17,040 --> 00:21:19,080 Speaker 1: leave Bogram Air Base. How is this all going to 379 00:21:19,160 --> 00:21:23,080 Speaker 1: come together? They get all this done tonight early tomorrow morning. Yeah, this, uh, 380 00:21:23,160 --> 00:21:25,640 Speaker 1: this kind of markup takes a very long time. There 381 00:21:25,640 --> 00:21:28,800 Speaker 1: were more than seven hundred amendments filed. A bunch of 382 00:21:28,840 --> 00:21:31,960 Speaker 1: those will get winnowed out because they're they're out of 383 00:21:32,040 --> 00:21:35,280 Speaker 1: order for one reason or another. I will say overall, 384 00:21:35,359 --> 00:21:39,000 Speaker 1: there has been discussion about Afghanistan, but I'm a little 385 00:21:39,080 --> 00:21:43,639 Speaker 1: surprised that it hasn't dominated the debate and turned it 386 00:21:43,760 --> 00:21:46,960 Speaker 1: quite as partisan as you might imagine in this kind 387 00:21:46,960 --> 00:21:49,320 Speaker 1: of mark up. As you noted, there was the push 388 00:21:49,640 --> 00:21:54,000 Speaker 1: for more defense money twenty four billion above what the 389 00:21:54,000 --> 00:21:58,320 Speaker 1: president wanted. There actually were seventeen Democrats who signed on too, 390 00:21:58,760 --> 00:22:01,720 Speaker 1: ended up voting were that along with the Republicans on 391 00:22:01,760 --> 00:22:03,960 Speaker 1: the committee. So we actually saw a little bit of 392 00:22:04,359 --> 00:22:10,359 Speaker 1: bipartisan agreement on defense policy. But yes, in a broader sense, 393 00:22:10,920 --> 00:22:15,640 Speaker 1: as we look towards the campaign trail, the statements you're 394 00:22:15,640 --> 00:22:19,920 Speaker 1: hearing from Republican leadership, Afghanistan is the the number one 395 00:22:19,960 --> 00:22:23,919 Speaker 1: thing they're they're looking to hit Democrats with uh and 396 00:22:23,960 --> 00:22:26,679 Speaker 1: I don't really see necessarily an end to that at 397 00:22:26,720 --> 00:22:29,000 Speaker 1: the topic of conversation in this markup, and it's going 398 00:22:29,080 --> 00:22:31,879 Speaker 1: to be significant as they go forward with other bills 399 00:22:32,080 --> 00:22:36,600 Speaker 1: relating to the military. How come the partisan Afghanistan stuff, 400 00:22:36,640 --> 00:22:39,400 Speaker 1: as you point out, isn't isn't dominating this debate. I mean, 401 00:22:39,440 --> 00:22:42,240 Speaker 1: we've got fifty amendments in a Republican leadership that wants 402 00:22:42,280 --> 00:22:46,040 Speaker 1: to drive this home, probably because there's so much in 403 00:22:46,040 --> 00:22:48,639 Speaker 1: this bill. I hate to be anticlimactic, but there are 404 00:22:48,680 --> 00:22:51,840 Speaker 1: so many different things they're they're working on, and they 405 00:22:51,880 --> 00:22:56,359 Speaker 1: had disagreed for months over exactly how much just what 406 00:22:56,440 --> 00:23:00,600 Speaker 1: the basic top line spending figures should be or defend issues. 407 00:23:01,400 --> 00:23:03,720 Speaker 1: That is a significant fight. It's going to continue to 408 00:23:03,760 --> 00:23:06,520 Speaker 1: be a significant fight. There are other issues they're working on, 409 00:23:06,720 --> 00:23:11,720 Speaker 1: just on contracts, on contract transparency. It's hard to even 410 00:23:11,760 --> 00:23:13,959 Speaker 1: sum up the number of things they're working on. So 411 00:23:14,320 --> 00:23:18,560 Speaker 1: there's no one thing that is dominating this bill other 412 00:23:18,600 --> 00:23:21,960 Speaker 1: than when you get into the Defense Authorization and later 413 00:23:22,000 --> 00:23:25,600 Speaker 1: into defense appropriations, just the idea of how much are 414 00:23:25,600 --> 00:23:28,200 Speaker 1: we going to spend on the military and that ties 415 00:23:28,240 --> 00:23:32,480 Speaker 1: into the Afghanistan issue, the broader history of the US 416 00:23:32,560 --> 00:23:35,560 Speaker 1: in the Middle East and and our our issues with that. 417 00:23:35,640 --> 00:23:37,960 Speaker 1: That's a huge question. Uh. And that's going to be 418 00:23:38,000 --> 00:23:41,360 Speaker 1: a very very difficult one to for them to sort out. 419 00:23:41,359 --> 00:23:44,840 Speaker 1: And yes, Afghanistan has sort of worked its way into 420 00:23:44,920 --> 00:23:48,639 Speaker 1: being one of the central parts of that debate. But 421 00:23:48,720 --> 00:23:51,000 Speaker 1: there are so many difficult things for them to get 422 00:23:51,000 --> 00:23:55,040 Speaker 1: through on defense authorization and actually funding the military. Uh, 423 00:23:55,080 --> 00:23:57,080 Speaker 1: that it's it's hard to pin it down even on 424 00:23:57,080 --> 00:24:00,720 Speaker 1: one major issue that is becoming a huge campaign too. Yeah, 425 00:24:00,720 --> 00:24:03,720 Speaker 1: there's real work to be done here. More broadly though, Jack, 426 00:24:03,760 --> 00:24:07,080 Speaker 1: And to the point of the Bloomberg government story, seeking 427 00:24:07,119 --> 00:24:11,840 Speaker 1: mid term advantage from Afghanistan withdraw Republicans of course, Uh. 428 00:24:11,920 --> 00:24:16,960 Speaker 1: The National Republican Senatorial Committee calls it Joe Biden's agenda 429 00:24:17,280 --> 00:24:22,200 Speaker 1: of abandonment. We're going to hear that a lot, aren't we. Yes. Uh. 430 00:24:22,240 --> 00:24:25,120 Speaker 1: If it's not that slogan, it'll be something else. As 431 00:24:25,160 --> 00:24:30,000 Speaker 1: long as there are probably any people, certainly any Americans 432 00:24:30,040 --> 00:24:32,080 Speaker 1: in the last we've heard was it was around one 433 00:24:32,160 --> 00:24:35,480 Speaker 1: or two hundred American citizens left in the US who 434 00:24:35,520 --> 00:24:38,080 Speaker 1: wanted to leave. As long as there's anybody there who 435 00:24:38,080 --> 00:24:40,199 Speaker 1: wants to leave. This is not going to be a 436 00:24:40,240 --> 00:24:45,120 Speaker 1: story that goes away for President Biden or any congressional 437 00:24:45,160 --> 00:24:48,600 Speaker 1: Democrats on the campaign trail. The public polling, of course, 438 00:24:48,760 --> 00:24:51,080 Speaker 1: is a little mixed that he has not gotten good 439 00:24:51,080 --> 00:24:54,920 Speaker 1: grades for how he's handled this, but it's we're still 440 00:24:54,960 --> 00:24:57,000 Speaker 1: at a majority. If you look at the Pew Research 441 00:24:57,000 --> 00:25:00,000 Speaker 1: poll that just came out yesterday, a majority still agree 442 00:25:00,119 --> 00:25:03,760 Speaker 1: is generally with the idea of leaving Afghanistan. So how 443 00:25:03,800 --> 00:25:06,400 Speaker 1: does this play out a year plus from now. It's 444 00:25:06,440 --> 00:25:09,600 Speaker 1: difficult to tell, but it's negative enough right now. So 445 00:25:09,680 --> 00:25:13,600 Speaker 1: it's it's an albatross for Democrats currently well as usually 446 00:25:13,640 --> 00:25:15,320 Speaker 1: you're pointing me right to the place I want to 447 00:25:15,320 --> 00:25:19,840 Speaker 1: go here, Jack, That's that's interesting to me. So basically, Republicans, 448 00:25:20,359 --> 00:25:24,359 Speaker 1: knowing Americans have a short memory, knowing Americans wanted to 449 00:25:24,359 --> 00:25:27,720 Speaker 1: get out of Afghanistan, have decided to remind Americans for 450 00:25:27,760 --> 00:25:31,359 Speaker 1: the next year about the way this withdrawal went. Yeah, 451 00:25:31,400 --> 00:25:35,160 Speaker 1: because really there are two issues here. One, you can 452 00:25:35,280 --> 00:25:38,600 Speaker 1: agree with the majority of Americans who say it's the 453 00:25:38,720 --> 00:25:41,680 Speaker 1: right idea to pull out of Afghanistan, but you can 454 00:25:41,720 --> 00:25:46,480 Speaker 1: still blame President Biden and his administration for the really 455 00:25:46,560 --> 00:25:49,960 Speaker 1: messy way they did it and the apparent lack of 456 00:25:50,040 --> 00:25:52,280 Speaker 1: information on the ground about how this was gonna go. 457 00:25:52,359 --> 00:25:54,560 Speaker 1: We heard from the President, we were from the Secretary 458 00:25:54,600 --> 00:25:56,399 Speaker 1: of State, We heard from a number of people saying 459 00:25:56,880 --> 00:25:59,520 Speaker 1: it does not appear that the Taliban is going to 460 00:25:59,680 --> 00:26:03,480 Speaker 1: in idiately take over, which they then did. Uh So, 461 00:26:04,000 --> 00:26:06,160 Speaker 1: the question then is how much of a long term 462 00:26:06,240 --> 00:26:08,480 Speaker 1: issue politically? The question is how much of a long 463 00:26:08,600 --> 00:26:12,040 Speaker 1: term issue is that? Does that stick with Democrats for 464 00:26:12,119 --> 00:26:14,680 Speaker 1: a year plus or does that fade away and the 465 00:26:14,880 --> 00:26:18,520 Speaker 1: broader issue of pulling out of the Middle East become 466 00:26:18,600 --> 00:26:21,800 Speaker 1: four front on voters mind find the story Bloomberg dot 467 00:26:21,880 --> 00:26:25,880 Speaker 1: com or on the terminal Bloomberg Government's Jack Fitzpatrick part 468 00:26:25,880 --> 00:26:28,240 Speaker 1: of the family here at sound On. We appreciate it. 469 00:26:28,280 --> 00:26:30,760 Speaker 1: As always. Let's get back to the panel. Next, we'll 470 00:26:30,840 --> 00:26:33,359 Speaker 1: check traffic and the markets along the way. Kevin Walling 471 00:26:33,359 --> 00:26:36,639 Speaker 1: and Jen Kerns are coming up. I'm Joe Matthew. This 472 00:26:36,680 --> 00:26:42,440 Speaker 1: is Bloomberg. You're listening to Bloomberg you Sound On with 473 00:26:42,560 --> 00:26:48,200 Speaker 1: Joe Matthew on Bloomberg Radio. You know they say members 474 00:26:48,240 --> 00:26:51,040 Speaker 1: of Congress never stop planting after all, Well, in the House. 475 00:26:51,080 --> 00:26:53,400 Speaker 1: At least they have to face voters every two years. 476 00:26:54,040 --> 00:26:56,720 Speaker 1: Republicans planned to use the next fourteen months, as we 477 00:26:56,880 --> 00:27:00,880 Speaker 1: just discussed with Bloomberg Government's Jack Fitzpatrick, to hit President 478 00:27:00,920 --> 00:27:05,960 Speaker 1: Biden and Democrats at large over the Afghanistan withdrawal, something 479 00:27:06,000 --> 00:27:08,800 Speaker 1: we heard more about today by General Mark Milley, the 480 00:27:08,880 --> 00:27:12,679 Speaker 1: chairman of the Joint Chiefs of Staff be in the 481 00:27:12,720 --> 00:27:17,200 Speaker 1: military will approach this with humility, transparency, and candor. There 482 00:27:17,200 --> 00:27:20,520 Speaker 1: are many tactical, operational, and strategic lessons to be learned. 483 00:27:22,440 --> 00:27:26,200 Speaker 1: As the National Republican Senatorial Committee calls it Joe Biden's 484 00:27:26,240 --> 00:27:29,720 Speaker 1: Agenda of Abandonment. We bring back the panel with Democratic 485 00:27:29,760 --> 00:27:32,919 Speaker 1: strategists and former Biden campaign surrogate Kevin Walling now at 486 00:27:33,080 --> 00:27:37,120 Speaker 1: h G Creative and Republican strategist Jen Kurrn's former spokesperson 487 00:27:37,520 --> 00:27:40,320 Speaker 1: for the California Republican Party. Kevin, I'll start with you 488 00:27:40,359 --> 00:27:42,720 Speaker 1: this time. Does the Democratic Party have an equally strong 489 00:27:42,800 --> 00:27:45,920 Speaker 1: message to push back on this the next year? Yeah? 490 00:27:45,960 --> 00:27:48,240 Speaker 1: I think we do. Uh. You know, obviously with the 491 00:27:48,280 --> 00:27:51,440 Speaker 1: rescue package that the Democrats single handily passed in Congress, 492 00:27:51,920 --> 00:27:54,440 Speaker 1: delivering all those benefits in terms of the childhood tax 493 00:27:54,440 --> 00:27:58,000 Speaker 1: credit from middle class families. Obviously hopefully passage of the 494 00:27:58,160 --> 00:28:02,120 Speaker 1: by Person Infrastructure Bill as Human Infrastructure Bill. Uh. And 495 00:28:02,240 --> 00:28:05,159 Speaker 1: we know in midterm elections, like most elections, people care 496 00:28:05,160 --> 00:28:08,359 Speaker 1: about domestic issues more than they care about international issues 497 00:28:08,440 --> 00:28:11,840 Speaker 1: aside from you know, the election following nine eleven. So 498 00:28:12,000 --> 00:28:13,760 Speaker 1: you know, I think Democrats have a strong message in 499 00:28:13,880 --> 00:28:18,240 Speaker 1: terms of the domestic focus on combating COVID, economic relief, 500 00:28:18,320 --> 00:28:20,800 Speaker 1: middle class tax cuts that they can run on. Now 501 00:28:21,000 --> 00:28:23,159 Speaker 1: you know, the cards are set against Democrats. Gonna be 502 00:28:23,160 --> 00:28:26,080 Speaker 1: an uphill battle. You know, Republicans just need five seats 503 00:28:26,080 --> 00:28:28,240 Speaker 1: in the House. We have a fifty fifties flot in 504 00:28:28,240 --> 00:28:31,720 Speaker 1: the Senate. We know that the majority of key districts 505 00:28:31,760 --> 00:28:35,440 Speaker 1: are that will be you know drawn, are in Republican 506 00:28:35,520 --> 00:28:39,760 Speaker 1: hands in terms of states like Florida and Texas and uh, 507 00:28:39,800 --> 00:28:42,720 Speaker 1: you know, North Carolina and Georgia and others. So uh, 508 00:28:42,760 --> 00:28:46,200 Speaker 1: you know, the stacks are you know, fairly well stacked 509 00:28:46,200 --> 00:28:48,000 Speaker 1: against the Democrats. But I think they have a core 510 00:28:48,040 --> 00:28:51,480 Speaker 1: message that will resonate with voters in in less than 511 00:28:51,600 --> 00:28:54,920 Speaker 1: four and thirty or so days. And Republicans have history 512 00:28:55,000 --> 00:28:58,240 Speaker 1: on their side as well. Here as the Minority Party, 513 00:28:58,600 --> 00:29:01,880 Speaker 1: Jen Kerns talk to us about the strategy though to 514 00:29:02,120 --> 00:29:05,040 Speaker 1: be hammering on Afghanistan for the next fourteen months, knowing 515 00:29:05,040 --> 00:29:09,280 Speaker 1: that Americans wanted to end the war in Afghanistan. Does 516 00:29:09,320 --> 00:29:14,400 Speaker 1: this have staying power? Well, that is the five hundred 517 00:29:14,480 --> 00:29:17,400 Speaker 1: million dollar question We're we're going to find out next year. 518 00:29:17,600 --> 00:29:20,480 Speaker 1: Of the look, it depends on how long this day 519 00:29:20,520 --> 00:29:22,760 Speaker 1: is in the news cycle. And as you mentioned there 520 00:29:22,800 --> 00:29:26,880 Speaker 1: before the break, how how many people in America are 521 00:29:26,920 --> 00:29:29,920 Speaker 1: still stranded in Afghanistan who want to get out. How 522 00:29:29,960 --> 00:29:32,840 Speaker 1: long does that stay in the news cycle. UM. There 523 00:29:32,840 --> 00:29:35,560 Speaker 1: are some other contributing factors we know for mid terms, 524 00:29:35,800 --> 00:29:39,360 Speaker 1: as you mentioned there, the opposition party usually wins in 525 00:29:39,440 --> 00:29:43,480 Speaker 1: the first term. UH, in the mid term contest of 526 00:29:43,480 --> 00:29:45,760 Speaker 1: the first term of a White House UM, with the 527 00:29:45,840 --> 00:29:50,040 Speaker 1: exception of George W. Bush, where foreign policy did play 528 00:29:50,080 --> 00:29:53,760 Speaker 1: a role in that. George W. Bush actually benefited from 529 00:29:53,880 --> 00:29:57,000 Speaker 1: his management of the war on Terror UM. Just one 530 00:29:57,080 --> 00:30:00,640 Speaker 1: year after the nine eleven attacks. UM, the first mid 531 00:30:00,720 --> 00:30:04,360 Speaker 1: term elections for W. Bush actually produced games of about 532 00:30:04,360 --> 00:30:07,920 Speaker 1: eight Republicans in the House and two in the Senate, 533 00:30:08,280 --> 00:30:12,400 Speaker 1: enough to take back control of Congress. But that is 534 00:30:12,560 --> 00:30:16,640 Speaker 1: very rare. Um, you look at some other examples through history. UM, 535 00:30:17,240 --> 00:30:20,520 Speaker 1: George H. W. Bush was flying high on his foreign 536 00:30:20,600 --> 00:30:24,560 Speaker 1: policy success. Uh. The the foreign policy was ranked about 537 00:30:24,560 --> 00:30:28,800 Speaker 1: six times more important than his economic policy performance after 538 00:30:28,840 --> 00:30:33,640 Speaker 1: the go for But then that economic news snuck in 539 00:30:34,000 --> 00:30:37,120 Speaker 1: and is at now no new tax pledges and was 540 00:30:37,680 --> 00:30:40,440 Speaker 1: thrown back in his space, and that was flipped on 541 00:30:40,480 --> 00:30:43,080 Speaker 1: its head. There certainly is enough time for this to 542 00:30:43,120 --> 00:30:45,360 Speaker 1: get flipped on its head. I think there are three 543 00:30:45,360 --> 00:30:49,400 Speaker 1: factors that played for the mid terms quickly, Uh, the economy, 544 00:30:49,840 --> 00:30:53,400 Speaker 1: foreign policies we've just discussed, and domestic policy. And by 545 00:30:53,440 --> 00:30:57,320 Speaker 1: domestic policy, I'm not even referring to the infrastructure bill 546 00:30:57,400 --> 00:31:01,000 Speaker 1: and taxes and jobs, although that place a role. Um. 547 00:31:01,200 --> 00:31:03,320 Speaker 1: I travel the country a lot, and I hear from 548 00:31:03,360 --> 00:31:07,040 Speaker 1: people they are upset about the social domestic policy that 549 00:31:07,120 --> 00:31:10,280 Speaker 1: the progressive Biden White House is put into play, a 550 00:31:10,400 --> 00:31:15,040 Speaker 1: critical race theory, transgenders in in girl blocker rooms, that 551 00:31:15,160 --> 00:31:17,600 Speaker 1: competing against girls for scholarships, and all of the things 552 00:31:17,600 --> 00:31:20,320 Speaker 1: you're probably very glad you don't have to talk about 553 00:31:20,400 --> 00:31:23,720 Speaker 1: on business radio, but those are going to be about 554 00:31:23,720 --> 00:31:27,000 Speaker 1: a third of the conversation. So the foreign policy goes 555 00:31:27,040 --> 00:31:30,720 Speaker 1: against Biden at this point, the domestic social policies go 556 00:31:30,800 --> 00:31:34,800 Speaker 1: against Biden. So I think it's really that magic card. Uh, 557 00:31:34,840 --> 00:31:37,760 Speaker 1: that that magic card really is the economic news over 558 00:31:37,760 --> 00:31:40,120 Speaker 1: the next fourteen months. You'd be surprised that we talk 559 00:31:40,160 --> 00:31:42,720 Speaker 1: about around here sometimes, Jen, But how do you connect 560 00:31:42,760 --> 00:31:45,560 Speaker 1: the dots if they hang, if we're focusing on Afghanistan 561 00:31:46,000 --> 00:31:48,040 Speaker 1: with regard to that approach, how do you connect the 562 00:31:48,080 --> 00:31:51,200 Speaker 1: dots to members of the House. It's not like they 563 00:31:51,200 --> 00:31:54,880 Speaker 1: were legislating around that withdrawal, or is there a suggestion 564 00:31:54,920 --> 00:31:59,880 Speaker 1: that they were absent in not legislating it. Well, look, 565 00:32:00,040 --> 00:32:03,479 Speaker 1: you you could certainly use the absentia. You could certainly 566 00:32:03,600 --> 00:32:07,240 Speaker 1: use their endorsement of Joe Biden in the presidential election. 567 00:32:07,360 --> 00:32:10,440 Speaker 1: You know, in some regards, uh, you know, people are saying, well, 568 00:32:10,480 --> 00:32:14,360 Speaker 1: we never knew that this would happen. Well, you kind 569 00:32:14,400 --> 00:32:17,240 Speaker 1: of did. You were electing a man who was vice 570 00:32:17,360 --> 00:32:21,120 Speaker 1: president during the Obama administration when they had a dismal 571 00:32:21,160 --> 00:32:25,280 Speaker 1: Arab spring. So um. In some terms of foreign policy, 572 00:32:25,680 --> 00:32:28,360 Speaker 1: you do know what their record is in draw downs 573 00:32:28,400 --> 00:32:32,520 Speaker 1: in the Middle East. Happened in Tripoli, Uh, it happened 574 00:32:32,600 --> 00:32:35,720 Speaker 1: in ben Gasby, it happened. Uh. You know when yeomen 575 00:32:35,880 --> 00:32:39,000 Speaker 1: fell and became a rogue state. So, um, there are 576 00:32:39,120 --> 00:32:42,200 Speaker 1: some some little points in history where we can refer 577 00:32:42,280 --> 00:32:45,640 Speaker 1: back to. But again that that number, I think that 578 00:32:45,640 --> 00:32:49,840 Speaker 1: that is a very precious needle to thread. Right. The 579 00:32:50,160 --> 00:32:54,840 Speaker 1: American people majority supported leaving Afghanistan. I don't think anyone 580 00:32:54,920 --> 00:32:56,640 Speaker 1: thought that we should be there for the next fourty 581 00:32:56,720 --> 00:32:59,480 Speaker 1: or fifty years. But the real key was how it 582 00:32:59,680 --> 00:33:02,280 Speaker 1: was done. And I think, um, as we'll see some 583 00:33:02,400 --> 00:33:05,880 Speaker 1: congressional hearings come out over the next fourteen months, that 584 00:33:06,000 --> 00:33:09,880 Speaker 1: could truly impact the way that Biden is seen in 585 00:33:09,920 --> 00:33:12,520 Speaker 1: the two mid terms and the way that those who 586 00:33:12,600 --> 00:33:15,920 Speaker 1: supported him in the last presidential election might have that 587 00:33:16,000 --> 00:33:18,920 Speaker 1: hung around their next for two terms. Well to hear 588 00:33:18,960 --> 00:33:22,040 Speaker 1: your reaction to all of that, Kevin Walling, are our 589 00:33:22,160 --> 00:33:25,600 Speaker 1: Republicans really going to be voting on on transgender bathrooms 590 00:33:25,600 --> 00:33:29,320 Speaker 1: and critical race theory in another year? Yeah, it's a 591 00:33:29,360 --> 00:33:31,560 Speaker 1: good question, you know, if that's what Jen saying about 592 00:33:31,560 --> 00:33:33,880 Speaker 1: when she is trying around the country's critical race theory 593 00:33:33,920 --> 00:33:36,880 Speaker 1: and transgender youth sports, we got to show her better 594 00:33:36,920 --> 00:33:41,080 Speaker 1: time out there in America because you know, I think Americans, 595 00:33:41,120 --> 00:33:44,120 Speaker 1: as I said before, vote on domestic issues pocketbook issues, 596 00:33:44,200 --> 00:33:46,880 Speaker 1: especially in midterms elections. They could give a crap about 597 00:33:46,880 --> 00:33:49,040 Speaker 1: critical race theory for the most part. They could give 598 00:33:49,040 --> 00:33:52,240 Speaker 1: a crap about transgender youth when it really isn't an issue. 599 00:33:52,240 --> 00:33:54,840 Speaker 1: And again that's all good for party politics and based 600 00:33:54,840 --> 00:33:58,840 Speaker 1: support for hardcore Republicans, but that's not what wins elections 601 00:33:58,880 --> 00:34:01,520 Speaker 1: in November at all. About stoking fears and all that 602 00:34:01,560 --> 00:34:03,720 Speaker 1: kind of stuff. And that's if that's the campaign Republicans 603 00:34:03,720 --> 00:34:06,239 Speaker 1: have to to run to win. They're pretty effective at 604 00:34:06,280 --> 00:34:08,880 Speaker 1: doing that. But I think you're gonna see Democrats campaigning 605 00:34:08,880 --> 00:34:12,239 Speaker 1: on cutting middle class taxes. If you've got kids under 606 00:34:12,280 --> 00:34:14,520 Speaker 1: the age of eighteen, you had more cash in your pockets. 607 00:34:14,600 --> 00:34:17,800 Speaker 1: Democrats want to make that a permanent fixture in Washington, 608 00:34:17,880 --> 00:34:20,080 Speaker 1: d c. And Yeah, there will be questions obviously in 609 00:34:20,120 --> 00:34:23,719 Speaker 1: transparency with regards to Afghanistan, and should we have hearings, absolutely, 610 00:34:23,719 --> 00:34:27,399 Speaker 1: Should we call into question the intelligence military leadership, Absolutely, 611 00:34:27,680 --> 00:34:30,439 Speaker 1: But again focus on domestic issues. Coming out of COVID 612 00:34:30,520 --> 00:34:32,200 Speaker 1: knocked on wood and we're not out of the woods 613 00:34:32,239 --> 00:34:35,359 Speaker 1: there yet. A hundred and sixty thousand new infections every day, 614 00:34:35,719 --> 00:34:38,920 Speaker 1: over thirteen hundred or so Americans dying. Nine of the 615 00:34:38,960 --> 00:34:42,400 Speaker 1: ten states that we're seeing this largest increase our states 616 00:34:42,400 --> 00:34:44,800 Speaker 1: that voted for Donald Trump. Not to put party politics 617 00:34:45,200 --> 00:34:47,560 Speaker 1: on the COVID case, but I think there's a real 618 00:34:47,600 --> 00:34:51,240 Speaker 1: strong case that Democrats will make, especially during this crisis 619 00:34:51,239 --> 00:34:53,000 Speaker 1: that's still ongoing with COVID. We're not out of the 620 00:34:53,000 --> 00:34:55,280 Speaker 1: woods yet. It's not every day. I have the former 621 00:34:55,280 --> 00:34:58,279 Speaker 1: spokesperson for the California Republican Party on the line, and 622 00:34:58,360 --> 00:35:00,840 Speaker 1: again that is Jen Kern's our republ we can strategist 623 00:35:00,840 --> 00:35:02,600 Speaker 1: on the panel today. I'd like to ask you both 624 00:35:02,640 --> 00:35:05,720 Speaker 1: about the recall election in California because it is looming 625 00:35:06,200 --> 00:35:09,600 Speaker 1: and we understand that Gavin Newsom, of course, Governor Gavin Newsom, 626 00:35:09,680 --> 00:35:13,520 Speaker 1: who's career could be in jeopardy right now, is looking 627 00:35:13,560 --> 00:35:16,879 Speaker 1: at polling numbers and finding out that not everyone even 628 00:35:16,960 --> 00:35:19,839 Speaker 1: knows there is a recall election coming. And so there's 629 00:35:19,880 --> 00:35:23,239 Speaker 1: another ad spending blitz that's going to be hitting California 630 00:35:23,320 --> 00:35:25,400 Speaker 1: in just a moment. Vote to Latino has a million 631 00:35:25,400 --> 00:35:29,400 Speaker 1: dollar add by coming here, Jen Kerns, what's your take 632 00:35:29,440 --> 00:35:32,760 Speaker 1: on this? Do people actually know there's a special election 633 00:35:32,880 --> 00:35:37,600 Speaker 1: on the fourteenth of September. Well, most California is like 634 00:35:37,640 --> 00:35:40,360 Speaker 1: Most Americans are just trying to survive at this point, 635 00:35:40,440 --> 00:35:44,279 Speaker 1: having suffered through the COVID lockdowns at the hands of 636 00:35:44,480 --> 00:35:48,200 Speaker 1: Gavin Newsom. But those who do have a strong voter 637 00:35:48,360 --> 00:35:51,040 Speaker 1: intend to be they have strong feelings about it, and 638 00:35:51,400 --> 00:35:54,320 Speaker 1: those were the over one point for a million people 639 00:35:54,320 --> 00:35:57,880 Speaker 1: who signed the petition for recall. Um, if that level 640 00:35:57,920 --> 00:36:01,479 Speaker 1: of intensity per sit through Uptumber fourteenth, which I think 641 00:36:01,520 --> 00:36:04,040 Speaker 1: that it will, Uh, Gavinuson is going to have a 642 00:36:04,160 --> 00:36:06,719 Speaker 1: very difficult time at the ballot box. Um. You know, 643 00:36:06,800 --> 00:36:10,400 Speaker 1: Gavin is one of those politicians who has done a 644 00:36:10,400 --> 00:36:14,359 Speaker 1: lot of things over the decades to serve himself. Um. 645 00:36:14,400 --> 00:36:17,520 Speaker 1: He has not really been a party builder so to speak. 646 00:36:17,560 --> 00:36:19,840 Speaker 1: You know, he had to step aside for example in 647 00:36:19,880 --> 00:36:22,640 Speaker 1: two and let Jerry Brown, who was very beloved in 648 00:36:22,680 --> 00:36:25,600 Speaker 1: the Democratic Party runs. He also sort of stepped aside 649 00:36:25,600 --> 00:36:28,040 Speaker 1: and let Kamala Harris run for U S. Senate. So 650 00:36:28,239 --> 00:36:31,600 Speaker 1: Gavin isn't really this like died in the world democratic 651 00:36:31,800 --> 00:36:34,880 Speaker 1: hero out there in a way that you know, Jerry 652 00:36:34,880 --> 00:36:37,880 Speaker 1: Brown and Kamala Harris were in the state of California. However, 653 00:36:38,239 --> 00:36:41,279 Speaker 1: it is very tough to beat Gavin Newsom. Um, I 654 00:36:41,320 --> 00:36:44,879 Speaker 1: think I'm the only press secretary Republican or Democrat who 655 00:36:44,920 --> 00:36:47,640 Speaker 1: has ever beaten Gavin Newsom as the ballot box in 656 00:36:47,680 --> 00:36:51,920 Speaker 1: his twenty eight years of political career. It's very difficult 657 00:36:51,960 --> 00:36:54,800 Speaker 1: to do. He is a political Houdini. He always pulls 658 00:36:54,840 --> 00:36:57,640 Speaker 1: out at victory at the last minute. But I think 659 00:36:57,760 --> 00:37:00,560 Speaker 1: the fact that this is the only the sect recall 660 00:37:00,640 --> 00:37:05,440 Speaker 1: in California state history. The first one was Gray Davis 661 00:37:05,480 --> 00:37:08,760 Speaker 1: being taken on by Governor Arnold Schwarzenegger. We have another 662 00:37:08,840 --> 00:37:12,480 Speaker 1: personality in this race, Um Larry Elder, who has sort 663 00:37:12,480 --> 00:37:16,640 Speaker 1: of a Schwarzenegger bomb throwing personality that people like. Um. 664 00:37:16,680 --> 00:37:19,800 Speaker 1: The grassroots know him for twenty years. Since they're popular 665 00:37:19,840 --> 00:37:22,439 Speaker 1: talk radio books in Los Angeles, they have a very 666 00:37:22,480 --> 00:37:27,400 Speaker 1: good shot at doing that. Typically, historically speaking, when Californians 667 00:37:27,600 --> 00:37:30,200 Speaker 1: signed on the dotted line to put a ballot initiative 668 00:37:30,840 --> 00:37:34,600 Speaker 1: on the on the ballot, it typically does succeed. To 669 00:37:34,760 --> 00:37:37,080 Speaker 1: my odds for the recall is it's more likely to 670 00:37:37,120 --> 00:37:39,920 Speaker 1: succeed than not. All right? Does you take from Jen Karns, 671 00:37:39,920 --> 00:37:43,080 Speaker 1: who was once press secretary for the California Republican Party 672 00:37:43,080 --> 00:37:46,480 Speaker 1: thinks as well to Kevin Walling, HD creative Democratic strategist 673 00:37:46,960 --> 00:37:49,520 Speaker 1: on the panel. This is Bloomberg sound on. I'm Joe, 674 00:37:49,600 --> 00:37:50,000 Speaker 1: Matthew