WEBVTT - Bloomberg Wall Street Week: Steyer, Sebelius, Summers 0:00:00.160 --> 0:00:03.360 This is Bloomberg Wall Street Week. What's the state of 0:00:03.400 --> 0:00:06.360 corporate governance? The deficit is a real issue. The US 0:00:06.400 --> 0:00:09.800 economy continues to send mixed signals to the financial stories 0:00:09.800 --> 0:00:12.680 that keep our world fed, action to con concerns over 0:00:12.760 --> 0:00:16.239 dollar liquidity, and encouraging China data. The five hundred wealthiest 0:00:16.239 --> 0:00:18.360 people in the world. Through the eyes of the most 0:00:18.480 --> 0:00:22.520 influential voices Larry Summers, the former Treasury Secretary, star Ward, CEO, 0:00:22.640 --> 0:00:26.360 Kevin Johnson, sec Chairman j Clayton, Bloomberg wool Street Week 0:00:26.480 --> 0:00:30.360 with David Weston from Bloomberg Radio Global. Wall Street spent 0:00:30.440 --> 0:00:34.000 at least part of this week focused on the presidential election, 0:00:34.479 --> 0:00:37.519 with the nomination of Joe Biden for president and Kamala 0:00:37.520 --> 0:00:40.239 Harris for vice president. As we all try to come 0:00:40.240 --> 0:00:43.519 to terms with what a Biden administration would mean for 0:00:43.560 --> 0:00:47.440 the economy, for business, and for the markets. So this 0:00:47.479 --> 0:00:49.960 week we have a special edition of Wall Street Week, 0:00:50.240 --> 0:00:52.400 one given over to the basic question of how a 0:00:52.440 --> 0:00:57.080 President Biden would handle the key issues the economy, taxes, 0:00:57.640 --> 0:01:02.120 climate and energy, healthcare, and foreign relations. This is our 0:01:02.280 --> 0:01:06.959 moment to make hope and history rhyme with passion and purpose. 0:01:07.480 --> 0:01:11.320 Let us begin, You and I together, one nation under God. 0:01:12.080 --> 0:01:14.600 You nine our love for America, united in our love 0:01:14.640 --> 0:01:18.480 for each other. Democratic nominee Joe Biden has big plans, 0:01:18.720 --> 0:01:21.520 and he's not afraid of paying for them with taxes. 0:01:21.880 --> 0:01:24.400 He plans to raise the top tax rate on individual 0:01:24.440 --> 0:01:28.600 income to just under for those earning over four dollars 0:01:28.600 --> 0:01:31.959 a year, with the top one percent of households bearing 0:01:32.120 --> 0:01:35.839 three quarters of that burden. Capital gains taxes would also 0:01:35.920 --> 0:01:38.319 go up to thirty nine point six percent for those 0:01:38.360 --> 0:01:40.839 with an income of over one million dollars a year. 0:01:41.240 --> 0:01:43.600 President Trump, on the other hand, says he is considering 0:01:43.760 --> 0:01:47.120 cutting that rate. The Democratic nominees plans also mean big 0:01:47.200 --> 0:01:50.880 changes for some of the most profitable companies. Biden plans 0:01:50.920 --> 0:01:54.080 to raise the corporate tax rate to percent and impose 0:01:54.120 --> 0:01:57.840 a fifteen percent minimum tax on profits reported to shareholders. 0:01:58.200 --> 0:02:00.680 I asked Ever Corps co chairman and co CEO Rolph 0:02:00.680 --> 0:02:03.920 Schlastein what the Biden Harris proposals would mean for the 0:02:04.000 --> 0:02:08.360 investment banking business. Look, I think, uh, we've had a 0:02:08.440 --> 0:02:15.760 pretty irresponsible fiscal policy prior to uh, the beginning of 0:02:15.880 --> 0:02:20.680 the COVID pandemic. We had it literally a trillion dollar 0:02:20.960 --> 0:02:26.000 budget deficit at three and a half percent unemployment, which 0:02:26.040 --> 0:02:30.359 I think is a truly irresponsible policy. If you look 0:02:30.400 --> 0:02:35.000 at the share of GDP that has gone to federal taxes, 0:02:35.080 --> 0:02:38.800 it's the client steadily from about nineteen and a half 0:02:38.800 --> 0:02:41.720 percent to sixteen and a half percent, which in my 0:02:41.840 --> 0:02:45.320 view is inadequate to take care of the basic needs 0:02:46.000 --> 0:02:48.160 that we have in government, which is why we were 0:02:48.240 --> 0:02:52.600 running larger deficits. So I think what we'll find in 0:02:52.639 --> 0:02:58.040 the Biden administration is uh, perhaps a commitment to a 0:02:58.080 --> 0:03:00.600 little more of a commitment to things like health care 0:03:00.639 --> 0:03:03.800 and education and we've seen in the current administration, but 0:03:03.960 --> 0:03:08.600 very importantly UH and certainly a big commitment to infrastructure, 0:03:08.639 --> 0:03:13.400 but very importantly UH, a willingness to pay for those 0:03:13.400 --> 0:03:16.320 commitments so that we're not saddling our children and our 0:03:16.360 --> 0:03:20.600 grandchildren with unacceptable debts. So so well, I think everyone 0:03:20.639 --> 0:03:23.040 pretty much agrees we have needed to spend money, and 0:03:23.080 --> 0:03:25.760 that means borrow money. Given the real crisis in the 0:03:25.800 --> 0:03:29.200 economy right now, we're taking a look at a cliffhanger 0:03:29.280 --> 0:03:32.040 here with fiscal stimulus. As we thought we were going 0:03:32.080 --> 0:03:34.440 to get something by August one, we now are looking 0:03:34.480 --> 0:03:37.160 at September. What is it kindom gonna look like by 0:03:37.280 --> 0:03:40.120 of every third whoever wins the election. Well, the economy 0:03:40.240 --> 0:03:45.440 is uh, it's gonna be in recovery, but unemployment is 0:03:45.480 --> 0:03:51.839 still gonna be by far unacceptably high, UH, probably one 0:03:51.920 --> 0:03:55.840 side or the other of nine or ten. UH. So 0:03:56.160 --> 0:04:00.320 we're gonna need to have a continued stimulus. Think the 0:04:00.400 --> 0:04:03.960 plan that is hopefully at some point will be compromised 0:04:04.000 --> 0:04:07.320 between the the Democrats and the White House and the 0:04:07.360 --> 0:04:12.640 Republicans in the Congress is needed for sure. But once 0:04:12.720 --> 0:04:16.720 we get on the path of recovery, and that will 0:04:16.720 --> 0:04:20.000 not be really fully done until we have a widely 0:04:20.040 --> 0:04:27.159 available vaccine UH and widely available therapeutics because until then 0:04:27.200 --> 0:04:31.000 people will be fearful of returning a hundred percent to 0:04:31.080 --> 0:04:34.040 their lives prior to this. But once we have that, 0:04:34.960 --> 0:04:39.240 we need to UH provide more resources through the government. 0:04:39.240 --> 0:04:44.760 And I think Biden has a very intelligent UH tax plan, 0:04:45.240 --> 0:04:49.479 part of which is simply reversing some of but not 0:04:49.720 --> 0:04:53.599 all of and certainly the most irresponsible parts of the 0:04:53.600 --> 0:04:58.200 Trump tax cuts UH. And also and and paying for 0:04:59.240 --> 0:05:02.920 the investment that we so strongly need in this country. 0:05:03.400 --> 0:05:05.080 So we'll pick up on that road and go to 0:05:05.160 --> 0:05:07.960 your business quite specifically. I mean, you guys are the 0:05:08.839 --> 0:05:12.640 investment bankers, park salons. Did you see an uptick in 0:05:12.760 --> 0:05:16.119 business when the rate went down so far for corporations 0:05:16.240 --> 0:05:17.960 and then on the flip side if it went back 0:05:18.040 --> 0:05:21.039 up to which is what Vice President finals talking about, 0:05:21.200 --> 0:05:26.120 would that hurt your business? Uh? I think really neither 0:05:26.279 --> 0:05:29.960 an uptick nor a downtick. And let me explain why 0:05:31.240 --> 0:05:36.440 all the corporate rate does uh? Is it? Uh? Basically 0:05:37.520 --> 0:05:41.760 redraws a little bit the line between of the pre 0:05:41.839 --> 0:05:46.200 tax earnings what goes to shareholders and what goes to 0:05:46.320 --> 0:05:50.279 the government. We had a policy that thirty five percent 0:05:50.400 --> 0:05:55.800 went to the government and went to shareholders. Uh. That 0:05:55.920 --> 0:05:59.560 was quite honestly out of step and non competitive with 0:05:59.600 --> 0:06:03.480 the rest to the world. I think the generally the 0:06:03.520 --> 0:06:11.159 majority of the world, the developed world, is in the 0:06:11.320 --> 0:06:15.960 range uh. You know, so where percent of the pre 0:06:16.080 --> 0:06:19.960 tax profits go to the government and the rest go 0:06:20.080 --> 0:06:24.279 to shareholders. That's important because we don't want to lose 0:06:24.960 --> 0:06:31.320 businesses domiciling in the United States because they perceived, relative 0:06:31.400 --> 0:06:34.640 to other countries that too much of their pretax earnings 0:06:34.640 --> 0:06:39.719 are being taken by government. We're probably out of step 0:06:39.720 --> 0:06:42.840 a little bit with all but the tax havens. UH. 0:06:43.000 --> 0:06:47.680 In the other direction, that was Ralph Slawstein of ever Corps. 0:06:47.680 --> 0:06:50.560 Coming off the cost of clean energy. We talked to 0:06:50.560 --> 0:06:55.000 a former presidential candidate, Tom Stire about Joe Biden's climate plans. 0:06:55.400 --> 0:07:03.159 That's next on Wall Street Week on Blueboad. This is 0:07:03.240 --> 0:07:07.599 Bloomberg Wall Street Week with David Weston from Bloomberg Radio. 0:07:07.800 --> 0:07:11.480 Democratic nominee Joe Biden plans to spend two trillion dollars 0:07:11.480 --> 0:07:14.320 over four years on clean energy and rejoined in the 0:07:14.360 --> 0:07:16.960 Paris Climate Agreement is at the top of his list. 0:07:17.400 --> 0:07:20.880 We can and we will deal with climate change. It's 0:07:20.880 --> 0:07:26.680 not only a crisis, it's an enormous opportunity, an opportunity 0:07:26.720 --> 0:07:29.240 for America to lead the world and clean energy. His 0:07:29.360 --> 0:07:32.880 extensive plan calls for the eliminating of all carbon emissions 0:07:32.920 --> 0:07:36.120 in the production of electricity for the power grid, by 0:07:36.200 --> 0:07:40.560 then pressing on to reach net zero emissions overall by 0:07:40.800 --> 0:07:43.520 The biggest emitters of c O two today are China, 0:07:43.760 --> 0:07:47.480 the United States, and the European Union, and presidential candidate 0:07:47.520 --> 0:07:51.640 Biden says clean energy policies will create jobs, including ten 0:07:51.760 --> 0:07:54.960 million union jobs and one million new jobs in the 0:07:55.040 --> 0:07:59.080 auto industry. The Biden plan does not ban tracking or 0:07:59.200 --> 0:08:02.760 rule out nuclear power and other technologies that have divided 0:08:02.960 --> 0:08:06.960 environmental advocates. Tom star Are, founder of next Gen America 0:08:07.080 --> 0:08:10.920 and former Democratic presidential candidate, put climate change at the 0:08:11.000 --> 0:08:14.640 heart of his policies during his candidacy. I asked him 0:08:14.680 --> 0:08:19.160 whether Democrats can unite behind Biden's climate plans. You know, 0:08:19.240 --> 0:08:23.520 it is a plan that deals very aggressively with our 0:08:23.600 --> 0:08:28.800 need to change our climate affecting energy policies, but it 0:08:28.960 --> 0:08:33.360 is also an environmental justice program at its heart, putting 0:08:33.679 --> 0:08:36.800 the clean air and clean water in underserved black and 0:08:36.840 --> 0:08:40.320 brown communities at the very heart of the program. And 0:08:40.360 --> 0:08:44.760 it is also a huge union jobs program across America 0:08:44.800 --> 0:08:48.079 because we need to rebuild this country in a sustainable 0:08:48.080 --> 0:08:51.040 and resilient fashion. So I think what they're talking about 0:08:51.040 --> 0:08:53.440 in healthcare, I think what they're talking about in terms 0:08:53.440 --> 0:08:58.120 of climate is a broad based change, a transformative change 0:08:58.120 --> 0:09:01.360 in America to get us back on track in every 0:09:01.400 --> 0:09:03.560 way and to pull us together. And that's why I 0:09:03.559 --> 0:09:05.880 think that's what you're gonna see over four days. You're 0:09:05.920 --> 0:09:08.199 gonna see the party come together, and you're going to 0:09:08.280 --> 0:09:12.439 see excitement around the idea that we can change and 0:09:12.520 --> 0:09:15.760 be effective and move forward together. I'm very excited about 0:09:15.760 --> 0:09:18.160 it myself. So Tom, you've been on the subject of 0:09:18.160 --> 0:09:20.040 climate for a good long time. I mean, you really 0:09:20.040 --> 0:09:22.280 are an expert in this area. And I take your 0:09:22.320 --> 0:09:24.840 point about the plan. How's it gonna plan in Pennsylvania? 0:09:24.880 --> 0:09:27.240 Just to pick a state which is a key battleground state, 0:09:27.280 --> 0:09:29.960 and there's a lot of concern, for example, about eliminating fracking. 0:09:30.280 --> 0:09:33.520 What this plan does is it's aggressive about a goal 0:09:33.640 --> 0:09:38.840 for creating clean energy, clean electricity generation by But what 0:09:38.880 --> 0:09:42.200 it's gonna do is it recognizes that's really aggressive and 0:09:42.240 --> 0:09:44.320 we're gonna have to get going on day one. But 0:09:44.360 --> 0:09:47.320 we're also look I said, Joe Biden leads with his heart. 0:09:47.480 --> 0:09:49.440 He leads with his heart. He cares about people, and 0:09:49.480 --> 0:09:53.160 he specifically has his heart and soul in the working 0:09:53.200 --> 0:09:56.000 people and working families of America. So he is going 0:09:56.040 --> 0:09:59.280 to make sure that he takes care of union members 0:09:59.320 --> 0:10:01.760 who are working in industries that can decline or are 0:10:01.760 --> 0:10:05.800 going to decline. And I think that's absolutely front and center. 0:10:05.840 --> 0:10:08.800 I've heard him talk about this numerous times, and he 0:10:09.040 --> 0:10:12.800 never doesn't say that and It's something that is absolutely 0:10:12.800 --> 0:10:16.079 front and center for him. And that's why the head 0:10:16.240 --> 0:10:20.480 of the International Brotherhood of Electrical Workers, Lonnie Stevenson, who 0:10:20.559 --> 0:10:24.800 heads the biggest energy union in the country, is strongly 0:10:24.880 --> 0:10:29.280 supporting the Biden Harris ticket because he knows that they 0:10:29.320 --> 0:10:32.920 are going to create millions of union jobs and are 0:10:32.960 --> 0:10:36.560 going to take care of union workers in declining industries. 0:10:36.600 --> 0:10:39.400 And that's not a promise, a you know, end of 0:10:39.440 --> 0:10:42.640 the story promise. Oh yeah, we'll do that too. That's 0:10:42.720 --> 0:10:45.400 front and center in who Joe Biden is and where 0:10:45.400 --> 0:10:47.960 his heart is, and people can believe it because it's true. 0:10:48.600 --> 0:10:51.480 Tom This election looks to be different from prior elections 0:10:51.480 --> 0:10:52.800 in all sorts of ways, but one of them just 0:10:52.840 --> 0:10:54.920 as the way we vote. And there's the dispute right 0:10:54.960 --> 0:10:57.720 now over the postal service. You've been very active at 0:10:57.720 --> 0:11:01.320 getting younger voters out with your Next Gen America project. 0:11:01.440 --> 0:11:02.960 At the same time, it's gonna be harder to do 0:11:03.000 --> 0:11:05.559 that on college campuses this time. How does it change 0:11:05.600 --> 0:11:10.280 your efforts? Well, David, next Gen America is the largest 0:11:10.440 --> 0:11:14.600 youth voter mobilization effort in American history. It's eight years old, 0:11:15.320 --> 0:11:18.240 and you're right in ten in the midterm elections. Next 0:11:18.280 --> 0:11:21.520 Gen was on over four hundred and twenty college campuses, 0:11:21.720 --> 0:11:26.320 including specifically community colleges and historically black colleges and universities. 0:11:27.200 --> 0:11:30.640 We're on zero today. We went a hundred percent virtual 0:11:31.080 --> 0:11:35.959 on March ten because of the coronavirus. We believe that 0:11:36.120 --> 0:11:39.720 our virtual organizing of people between eighteen and thirty five 0:11:40.000 --> 0:11:43.800 will be more effective than we've ever been. We believe 0:11:43.880 --> 0:11:46.559 and I personally believe, and that's why I started next Yet, 0:11:47.640 --> 0:11:50.640 young people voted at half the rate of other American citizens. 0:11:50.880 --> 0:11:54.320 It's the biggest generation in American history. It's the most 0:11:54.400 --> 0:11:58.480 diverse generation in American history. We believe they have the 0:11:58.559 --> 0:12:02.200 power to trans form this country with their voices and 0:12:02.240 --> 0:12:04.800 their votes, and we've been trying to give them the 0:12:04.880 --> 0:12:08.600 tools to do just that. And I believe is going 0:12:08.640 --> 0:12:10.480 to be the year when they show up in a 0:12:10.520 --> 0:12:15.080 way that nobody expects and absolutely we're gonna see a 0:12:15.160 --> 0:12:20.479 youth turnout that beats history, historical records, and absolutely transforms 0:12:20.480 --> 0:12:23.320 our politics. That's what I'm hoping for, That's what I 0:12:23.400 --> 0:12:27.240 believe in, That's what next Gen works for every single day, 0:12:27.280 --> 0:12:29.480 and I think that they're going to behind be behind 0:12:29.840 --> 0:12:33.160 the Biden Harris ticket in a huge way. And we're 0:12:33.160 --> 0:12:35.199 going to see something on November four that we've never 0:12:35.200 --> 0:12:38.440 seen before, which is a transformation of American society in 0:12:38.480 --> 0:12:40.920 a completely good way. Tom will those young voters are, 0:12:40.960 --> 0:12:43.800 for that matter, voters across the entire country. Will they 0:12:43.800 --> 0:12:46.520 turn out physically or will they mail on their ballots? 0:12:46.520 --> 0:12:49.240 And what does the Democratic Party do in a situation 0:12:49.240 --> 0:12:52.880 where apparently there's increased confusion not clarity over the way 0:12:52.880 --> 0:12:55.800 our votes will be counted. I think that's overwhelmingly it's 0:12:55.800 --> 0:12:57.640 going to be vote by mail, David. I don't think 0:12:57.640 --> 0:13:00.440 there's any question about that. I think that we're gonna 0:13:00.800 --> 0:13:02.520 people are gonna have to make sure they do it. 0:13:02.520 --> 0:13:04.920 They're gonna have to be careful about it. A lot 0:13:04.960 --> 0:13:07.000 of this is going to be making sure that you 0:13:07.040 --> 0:13:10.680 put your vote in a position where it for sure 0:13:10.800 --> 0:13:12.560 is going to get counted. And I know the President 0:13:12.800 --> 0:13:15.800 is muddying the water and is trying to do things 0:13:15.800 --> 0:13:19.760 to suppress the vote, obviously, but I believe the American 0:13:19.840 --> 0:13:23.840 people are smart. I believe will be organized amongst ourselves. 0:13:24.000 --> 0:13:26.640 The Democratic Party, for sure, we'll be trying to make 0:13:26.640 --> 0:13:30.400 sure that we have a democracy. A democracy, the first 0:13:30.920 --> 0:13:33.800 right in a democracy is for every citizen's equal right 0:13:33.840 --> 0:13:36.480 to vote. To take that away is shameful and it's 0:13:36.520 --> 0:13:38.760 not gonna happen. The American people are going to be 0:13:38.840 --> 0:13:41.360 organized and we're gonna show up. We're going to take 0:13:41.360 --> 0:13:43.800 back the country, and our votes are going to get counted. 0:13:43.880 --> 0:13:47.679 That was Tom Steyer, former Democratic presidential candidate, coming up 0:13:48.080 --> 0:13:51.680 settling the healthcare debate within the Democratic Party. We talked 0:13:51.679 --> 0:13:55.480 to former HHS Secretary Kathleen Civilius about the evolution of 0:13:55.520 --> 0:13:59.920 Biden's healthcare plan. That's next on Wall Street Week on Blindoing. 0:14:04.600 --> 0:14:08.600 This is Bloomberg Wall Street Week with David Weston from 0:14:08.720 --> 0:14:12.920 Bloomberg Radio. Healthcare policy has long been a centerpiece for Democrats, 0:14:13.000 --> 0:14:15.280 even if they don't always agree on what to do 0:14:15.400 --> 0:14:18.959 about it. Joe Biden was central to former President Obama's 0:14:19.000 --> 0:14:23.840 Affordable Care Acts, signed into law on March. If elected 0:14:23.880 --> 0:14:27.600 Democratic nominee, Biden plans to build on the A c A. 0:14:27.720 --> 0:14:30.480 The assault on the Affordable Care Act will continue until 0:14:30.560 --> 0:14:35.120 it's destroyed, taking the insurance away from more than twenty 0:14:35.200 --> 0:14:39.320 million people, including more than fifteen million people on Medicaid. 0:14:39.600 --> 0:14:43.440 During the primary season, Progressive Democrats like Senator Bernie Sanders 0:14:43.600 --> 0:14:47.320 pushed for an alternative Medicare for all. Joe Biden's plan 0:14:47.480 --> 0:14:50.480 stopped short of that, while protecting those with pre existing 0:14:50.520 --> 0:14:55.240 conditions and providing a Medicare like public insurance option. In 0:14:55.240 --> 0:14:58.560 an effort to lower drug prices, Biden's plan would repeal 0:14:58.600 --> 0:15:01.080 the current law that bands met to Care from negotiating 0:15:01.120 --> 0:15:04.920 lower prices with drug manufacturers and would limit price increases 0:15:04.960 --> 0:15:08.480 for brand and generic drugs. Kathleen Sebelius served as the 0:15:08.600 --> 0:15:12.760 HHS Secretary under President Obama and implemented the Affordable Care Act. 0:15:13.360 --> 0:15:15.880 I asked her about the approach the Democratic Party is 0:15:15.920 --> 0:15:19.640 taking toward health care policy. Well, David, it's good to 0:15:19.760 --> 0:15:22.840 be with you, and I think that what you're seeing 0:15:22.960 --> 0:15:27.560 is sort of an evolving approach that's likely to continue 0:15:27.600 --> 0:15:33.320 to evolve, which is good news. Um, there is a 0:15:33.480 --> 0:15:37.440 unifying principle of the Democratic Party that we saw in 0:15:37.520 --> 0:15:41.120 the last fifty years, which is a belief that all 0:15:41.480 --> 0:15:45.840 Americans deserve a right to healthcare. And so medicate and 0:15:45.920 --> 0:15:50.000 Medicare were passed, the Children's Health Insurance was passed, the 0:15:50.040 --> 0:15:55.200 Affordable Care Act was pasted, all with Democratic presidents putting 0:15:55.280 --> 0:15:57.600 a stake in the ground to move further and further 0:15:57.680 --> 0:16:03.880 towards universal coverage. I think we're continuing that journey. The 0:16:03.920 --> 0:16:10.000 campaign basically the primaries halted with covid in in March, 0:16:10.400 --> 0:16:15.640 and the Biden campaign had staked out a improvement of 0:16:15.680 --> 0:16:19.400 the Affordable Care Act of solidifying a lot of the 0:16:19.480 --> 0:16:23.160 issues that the Trump administration has eroded in the last 0:16:23.160 --> 0:16:26.680 three years. Even though they couldn't uh managed to repeal 0:16:26.960 --> 0:16:29.800 the Affordable Care Act, which was one of Trump's promises, 0:16:29.960 --> 0:16:33.520 they have definitely cut it with a thousand knives um 0:16:33.760 --> 0:16:37.920 and he also I think staked out a very robust 0:16:38.040 --> 0:16:44.800 public option plan, lower priced, lower administrative cost option for 0:16:44.840 --> 0:16:47.720 people to choose in the marketplaces, and a lower age 0:16:47.760 --> 0:16:52.480 for Medicare recipients to be able to sign onto Medicare, 0:16:52.600 --> 0:16:56.680 moving the age from sixty five to sixty. So that 0:16:56.800 --> 0:17:00.080 was the position in March. Um As you say, for me, 0:17:00.200 --> 0:17:03.680 Sanders had a Medicare for All war and supported that. 0:17:03.800 --> 0:17:08.399 Kamala Harris was longer transition but eventually ending up with 0:17:08.600 --> 0:17:13.480 Medicare for All. Now what we have is a pretty 0:17:13.600 --> 0:17:18.480 robust Biden plan. On the website, you have a unity document, 0:17:18.600 --> 0:17:24.600 which is the Sanders delegates and representatives of Joe Biden's 0:17:24.680 --> 0:17:28.400 health policy team meeting over a series of times. I'm 0:17:28.440 --> 0:17:33.480 putting out some proposals that I would say move even 0:17:33.520 --> 0:17:38.840 further um down the road on a plan for universal 0:17:38.880 --> 0:17:42.680 coverage and particularly pay attention to the millions of people 0:17:42.680 --> 0:17:45.920 who have lost coverage because of COVID nineteen. People lose 0:17:45.960 --> 0:17:49.080 their jobs and they've lost health care. There are states 0:17:49.119 --> 0:17:53.320 that still have refused to expand Medicaid and they are 0:17:53.400 --> 0:17:56.040 still not in huddle to any benefits. So there are 0:17:56.800 --> 0:18:01.720 plans to again take their careful look at at where 0:18:01.760 --> 0:18:04.080 we are at the time that the new president has 0:18:04.160 --> 0:18:07.760 worn in and move as quickly as possible toward not 0:18:07.880 --> 0:18:10.800 only filling in those gaps, but I think having a 0:18:10.880 --> 0:18:15.360 robust public option and looking at ways that the individuals 0:18:15.359 --> 0:18:20.280 who live in states where the politics are preventing people 0:18:20.400 --> 0:18:24.520 from getting affordable healthcare, they would have a very affordable options. 0:18:24.720 --> 0:18:26.600 Do we know how much this will all cost to 0:18:26.720 --> 0:18:29.840 really buttress Obamacare and move towards make care for all? 0:18:30.000 --> 0:18:32.520 Are we putting any costs against that and how we're 0:18:32.520 --> 0:18:34.040 gonna pay for it? Well, I think there are a 0:18:34.080 --> 0:18:38.159 whole variety of proposals again that we're during the course 0:18:38.200 --> 0:18:41.240 of the primary that talk about closing some of the 0:18:41.320 --> 0:18:48.480 tax loopholes, moving UM some of the financial issues that 0:18:48.640 --> 0:18:51.320 are currently in the private sector into the public sector. 0:18:51.400 --> 0:18:53.680 But I think one of the things David, that I 0:18:53.720 --> 0:18:56.719 would love to see us do as a country, and 0:18:56.800 --> 0:19:00.640 certainly some of the actuaries do. We all we talk 0:19:00.720 --> 0:19:04.240 about cost as if it's a net zero game, that 0:19:04.440 --> 0:19:09.040 if we ensure more people in America, it will cost 0:19:09.240 --> 0:19:11.640 x amount. What we don't ever do is say how 0:19:11.760 --> 0:19:15.560 much it costs if we don't move in that direction, 0:19:15.680 --> 0:19:21.520 if we leave large portions of our population uninsured or underinsured, 0:19:21.640 --> 0:19:23.840 what is the cost of that. I think what we're 0:19:23.840 --> 0:19:28.439 seeing with COVID nineteen and the miserable way this administration 0:19:28.600 --> 0:19:35.560 has handled this response is there is an enormous cost 0:19:36.440 --> 0:19:42.240 UH in productivity of our communities in um the opportunity 0:19:42.359 --> 0:19:45.520 for our economy need to move forward if we don't 0:19:45.560 --> 0:19:49.200 get health care right. That was former HHS Secretary Kathleen 0:19:49.240 --> 0:19:53.440 Sibilius coming up dealing with an economy hit by COVID nineteen. 0:19:54.040 --> 0:19:56.920 Former Treasury secretary and Wall Street. We contributed to Larry 0:19:56.960 --> 0:20:00.240 Summers talks about what the economy might look like under 0:20:00.240 --> 0:20:04.000 a Biden Harris administration. That's next on Wall Street Week 0:20:04.400 --> 0:20:13.160 on Bloomberg. This is Bloomberg Wall Street Week with David 0:20:13.200 --> 0:20:17.200 Weston from Bloomberg Radio. More than fifty million people of 0:20:17.320 --> 0:20:21.040 file for unemployment this year. More than ten million people 0:20:21.560 --> 0:20:25.480 are gonna lose their health insurance this year. Nearly one 0:20:25.640 --> 0:20:29.400 in six small businesses have closed this year. This election year, 0:20:29.440 --> 0:20:32.320 the economy is taking on new importance as the country 0:20:32.359 --> 0:20:36.280 struggles to return to work and reopen schools. Former Treasury 0:20:36.280 --> 0:20:39.320 secretary in Wall Street Week contributed Larry Summers has made 0:20:39.320 --> 0:20:42.960 no secret of his support for Joe Biden's proposals. We'd 0:20:42.960 --> 0:20:48.000 be competent again, and we'd care again. We'd have a 0:20:48.040 --> 0:20:52.600 government that could carry out basic functions based on expertise 0:20:53.280 --> 0:20:57.440 like all other countries do. We'd have tests that came 0:20:57.480 --> 0:21:02.240 back in less than two weeks. We'd have masks for 0:21:02.320 --> 0:21:08.760 everyone who needed them. We'd have federal government helping uh 0:21:08.920 --> 0:21:15.639 the States. We'd have um a system that worked. We 0:21:15.720 --> 0:21:22.720 wouldn't insult um and alienate our allies around the world. 0:21:23.119 --> 0:21:27.080 We'd be basically competent in the work of government. Whether 0:21:27.119 --> 0:21:30.960 you had a conservative or whether you had a progressive ideology, 0:21:31.119 --> 0:21:35.520 and we'd care. We would care about a country that 0:21:35.640 --> 0:21:40.159 was still divided by race. We would care about middle 0:21:40.200 --> 0:21:44.119 class people who literally weren't able to feed their kids 0:21:44.200 --> 0:21:48.560 because they lost their jobs because of pandemic. We would 0:21:48.560 --> 0:21:53.360 be fighting to protect people who were unemployed rather than 0:21:53.400 --> 0:21:57.240 to slash their benefits. We would be fighting to protect 0:21:57.480 --> 0:22:02.520 the ability of teachers to go a school in safe ways, 0:22:02.640 --> 0:22:07.480 rather than slashing the budget for UH schools. It's really 0:22:07.480 --> 0:22:12.880 not very complicated, and fundamentally it's about values that are 0:22:12.920 --> 0:22:20.719 pretty universal. Nobody's against being competent, nobody's against caring for 0:22:20.840 --> 0:22:24.480 all Americans, and those are the things we've lost, and 0:22:24.880 --> 0:22:27.280 those are the things that Joe Biden has been fighting 0:22:27.320 --> 0:22:32.399 for for forty some years in public life. Hilarious. Some 0:22:32.520 --> 0:22:34.840 people you know and I know who are investors, who 0:22:34.880 --> 0:22:37.280 are on Wall Street, who are in business, might say 0:22:37.400 --> 0:22:39.800 competence is great, caring is great. At the same time, 0:22:39.840 --> 0:22:42.679 we need real growth and the priorities are wrong for 0:22:42.760 --> 0:22:45.320 Joe Biden because at least Donald Trump put as a 0:22:45.400 --> 0:22:48.560 priorities growth of the economy. We need that growth. Can 0:22:48.640 --> 0:22:52.000 Joe Biden bring that back with his competence and his caring. Well, 0:22:52.040 --> 0:22:55.680 I think we should start with this. If you look 0:22:56.359 --> 0:23:03.800 consistently for fifty years, sixty years, actually, democratic administrations produced 0:23:03.840 --> 0:23:08.520 more rapid growth in media and family incomes. Democratic administrations 0:23:08.560 --> 0:23:13.280 produced more rapid growth in real wages. Democratic administrations produced 0:23:13.280 --> 0:23:16.920 lower unemployment. Now you might say that's because they don't 0:23:16.920 --> 0:23:23.440 care about business, But here's the thing, because building from 0:23:23.480 --> 0:23:28.840 the middle out is the economic strategy that works. Democratic 0:23:28.840 --> 0:23:34.560 administrations produced more rapid growth in corporate profits. Democratic administrations 0:23:34.640 --> 0:23:40.399 produced better returns for stock market investors. That pattern was 0:23:40.480 --> 0:23:45.240 first pointed out three decades ago, and it's continued to 0:23:45.320 --> 0:23:52.199 be true over the subsequent uh three decades, and that 0:23:52.280 --> 0:23:57.880 will be true with a Biden presidency. Certainly, we're not 0:23:58.000 --> 0:24:04.080 looking at a strong period for American business with the 0:24:04.119 --> 0:24:08.040 profit figures we're seeing right now, or a strong period 0:24:08.200 --> 0:24:14.639 for American labor with the unemployment figures that uh we're 0:24:14.760 --> 0:24:21.400 seeing uh right now. So we're gonna see an economic 0:24:21.520 --> 0:24:26.480 strategy that enables the United States to compete when we 0:24:26.760 --> 0:24:31.479 alienate every other country in the world. Talking about steel 0:24:31.600 --> 0:24:37.880 tariffs on Canada, for national security reasons, we are putting 0:24:37.880 --> 0:24:45.080 it to American exports and putting it to American business. 0:24:45.200 --> 0:24:50.160 And so the way to help the economy, the way 0:24:50.160 --> 0:24:54.320 to rescue from problems that have been made by the 0:24:54.359 --> 0:25:00.160 other administration is George Bill Clinton turned around the mass 0:25:00.160 --> 0:25:04.680 that he had inherited. Barack Obama turned around a mess 0:25:04.960 --> 0:25:12.040 that he inherited. Jimmy Carter inherited a recession. John Kennedy 0:25:12.240 --> 0:25:19.879 inherited a recession. A commitment to policies that expand the 0:25:19.960 --> 0:25:25.280 economy from the middle out, going back to f DR 0:25:25.880 --> 0:25:30.840 that has been uh the commitment of Democratic presidents, and 0:25:30.960 --> 0:25:35.560 Joe Biden will be in that tradition, and the historical 0:25:35.640 --> 0:25:39.960 evidence is that it works. And the historical evidence is 0:25:40.080 --> 0:25:46.000 that the trickle down short status short effort to reduce 0:25:46.119 --> 0:25:52.600 the taxes of big donors doesn't work. It produces stock 0:25:52.680 --> 0:25:58.120 market bubbles that ultimately implode and lead to grave recessions. 0:25:58.400 --> 0:26:02.800 And that's not the right econom strategy for our country. Larry, 0:26:02.880 --> 0:26:06.240 help us understand if you can one aspect about Joe 0:26:06.280 --> 0:26:08.679 Biden's plans. He has some very robust plans where it 0:26:08.680 --> 0:26:12.240 comes to the climate, infrastructure, education, which will cost the 0:26:12.240 --> 0:26:14.600 fair amount of money which he owns up to and 0:26:14.640 --> 0:26:18.199 he talks about taxes the Texas on corporations, Texas on 0:26:18.280 --> 0:26:20.880 some wealthy individuals to pay for that. At the same time, 0:26:20.880 --> 0:26:22.760 he says that we have to be careful at taxes 0:26:22.800 --> 0:26:24.720 depending on where the economy is. Give us a sense 0:26:24.720 --> 0:26:27.240 of the sequencing here. Is this gonna be borrowing money 0:26:27.320 --> 0:26:30.439