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Speaker 1: Live from our nation's capital. This is Bloomberg sound On

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Speaker 1: talking about a huge issue here is investment in marginalized communities.

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Speaker 1: They want to deconstruct this package and cherry pick what

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Speaker 1: they like what they don't like. China is surgeon powered

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Speaker 1: with major investments. Bloomberg sound On, the insiders, the influencers,

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Speaker 1: the insides. Biden has Thomas again and again that he

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Speaker 1: will unite the country. Who do you think Biden has

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Speaker 1: to watch in terms of moderate defectors. Infrastructure has always

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Speaker 1: been by part of Fender Bloomberg sound On on Bloomberg Radio.

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Speaker 1: I'm Rick Davis coming up on the show. Today we

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Speaker 1: talked to Congressman french Hill and a special interview with

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Speaker 1: Bloomberg's David Wesson and Senator John Awsome. I'm Rick Davis,

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Speaker 1: along with my fellow Bloomberg Politics contributor Jennie shan Zano.

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Speaker 1: And today we have some news me out on infrastructure.

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Speaker 1: The President was busy lobbying for his plan UH Center UH.

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Speaker 1: President Biden met with a byparison group of lawmakers, saying

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Speaker 1: he's prepared to negotiate on infrastructure and but before making

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Speaker 1: a meeting with a byparison group of lawmakers at the

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Speaker 1: White House to discuss his America's Jobs plan. President Biden

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Speaker 1: had some comments. Here's sound on his quotes. I'm prepared

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Speaker 1: to negotiate as to how the extent of the minor

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Speaker 1: infrastructure project, as well as how we pay for it.

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Speaker 1: Democrats hope they'll pick up a few Republican votes backing

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Speaker 1: President Biden's big infrastructure package. Senate Majority Leader Chuck Summer,

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Speaker 1: at a briefing UH in New York on Sunday, was

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Speaker 1: making clear where he stands. Sound on we have to

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Speaker 1: get things done, and if we can't work with them,

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Speaker 1: we'll move forward on our own. But our choice would

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Speaker 1: be to work with him. Sounds though like the President

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Speaker 1: and the Democrats in the Senate might have some work

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Speaker 1: to do to get a Biparson support. Mississippi Republicans Senator

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Speaker 1: Roger Wicker on ABC this week opposing the President's two

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Speaker 1: point three trillion dollar infrastructure bill. Sound on where does

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Speaker 1: the spending end? Uh? And this is a massive social

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Speaker 1: welfare spending program combined with a massive tax increase. I'd

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Speaker 1: like to welcome to the program Congressman UH french Hill,

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Speaker 1: who has been regular on our program in the past

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Speaker 1: and Uh, Congressman, I'd like to uh see what your

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Speaker 1: reaction is to the back and forth today between the

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Speaker 1: President and some of the Republicans on Capitol Hill regarding

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Speaker 1: whether or not there's any by Parson support for this

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Speaker 1: to an point three trillion dollar bill. Well, Rick, Jenny,

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Speaker 1: good to be back with you today. I think the

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Speaker 1: key to receive bipartisan support is to be focused actually

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Speaker 1: on infrastructure, be post focused specifically on needs. It's time

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Speaker 1: for us to redo a surface transportation bill, which we

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Speaker 1: do every a few years. So there's biparson support for infrastructure.

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Speaker 1: But when you look at what Joe Biden outlined at

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Speaker 1: his White House brief, it's a two trillion dollar tax increase,

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Speaker 1: and as Senator Wicker said, a social welfare program combined

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Speaker 1: with the Green New Deal. And if you break down

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Speaker 1: the numbers, only about six percent of the bill was

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Speaker 1: actually connected to what we think of as roads and

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Speaker 1: transportation type issues. So I think there's work to be done.

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Speaker 1: But a big tax increase in a big social welfare

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Speaker 1: bill under the guise of infrastructure probably has a lot

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Speaker 1: of uphill work to do on the part of the president.

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Speaker 1: Thanks Congressman Jennie. I'm curious how do you think the

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Speaker 1: president will go about lobbying. Especially Senate Republicans too that

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Speaker 1: usually are in the category of swing voters. Uh, including UH.

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Speaker 1: Senator Murkowski weren't invited to the meeting today, and neither

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Speaker 1: was Joe Mansion from West Virginia, who may be the

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Speaker 1: biggest swinger in the Senate. I love that, the biggest

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Speaker 1: swinger in the Senate. That's a good one. Um. You know,

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Speaker 1: I was curious as to who wasn't at the meeting

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Speaker 1: as well. Um, they did, I think opted to go

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Speaker 1: with chairs and ranking members on these important committees. That

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Speaker 1: that makes sense. But to your point, Rick, you know,

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Speaker 1: missing Lisa Murkowski, Romney, Susan Collins, Joe Mansion, Um, some

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Speaker 1: of these other folks who would be critical to making

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Speaker 1: a deal and so Representative Hill. It's so good to

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Speaker 1: talk to you again, you know, just to follow up

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Speaker 1: on this, Um. You know, a lot of Republicans in

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Speaker 1: this moderate lane that Rick was just talking about seemed

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Speaker 1: a bit dismayed by President Biden's comment last week that

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Speaker 1: they hadn't been willing to strike a deal on the

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Speaker 1: COVID relief and I got the sense from some of

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Speaker 1: their comments that they do not feel like these are

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Speaker 1: more than just symbolic gestures. Is that what you're hearing

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Speaker 1: in Congress. That's my view. My view is based on

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Speaker 1: what I've heard and what I've witnessed, is these reaching

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Speaker 1: across the aisle is essentially just to be able to

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Speaker 1: say that they did it. There's no concrete evidence of

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Speaker 1: working together or focusing on a bipartisan list of attributes

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Speaker 1: of a successful bill. It's really, if you don't agree

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Speaker 1: with our two trillion dollar bill, we'll do it without you.

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Speaker 1: As you heard Majority Leader Schimmer Uh talk on the tape.

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Speaker 1: That's the attitude we're seeing in Congress. That's not bipartisanship. Congressman,

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Speaker 1: you've been hard at work on your own to try

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Speaker 1: and uh generate jobs, especially in the small business community.

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Speaker 1: I understand you've just announced a new piece of legislation

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Speaker 1: that that we're sort of takes it into your own

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Speaker 1: hands and makes it Arkansas centric. Well, I got a

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Speaker 1: great idea from one of my restaurant owners, Jim Keat

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Speaker 1: for are strengthening the paycheck Protection program. And Congress has

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Speaker 1: routinely on a bipartisan basis, strengthened the paycheck protection program

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Speaker 1: and better targeted it. It turns out, if you're a

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Speaker 1: restaurant operator and some retailers, you don't work on a

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Speaker 1: fixed quarter end like three thirty one or six thirty.

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Speaker 1: You work on a thirteen week rolling payroll and revenue process,

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Speaker 1: and that makes you not eligible for paycheck protection, really

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Speaker 1: hurting restaurants ability to demonstrate the difference between the business

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Speaker 1: for a second paycheck protection loan. So I'm introducing legislation

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Speaker 1: to correct that technical challenge, and I hope that we'll

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Speaker 1: get good bipartisan support for that, as we have with

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Speaker 1: other fine tuning of the paycheck protection program. Do you

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Speaker 1: think future projects like this UH Congressman, where you incorporate

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Speaker 1: jobs programs could be potentially a future part of the

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Speaker 1: UH the push by Joe Biden for his Americans Jobs Plan,

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Speaker 1: Or will these things all be done on a one

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Speaker 1: off basis? I think frequently it's one off, but there's agreement,

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Speaker 1: you know, in the area of workforce training, workforce skills development,

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Speaker 1: workforce education, how do we enhance people who are coming

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Speaker 1: into the workforce, how do we enhance care through twelve

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Speaker 1: education for people who are not college bound, and how

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Speaker 1: do we take folks at mid career who want to

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Speaker 1: shift focus and go into a new career area. This

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Speaker 1: is where the states, UH and the federal government have

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Speaker 1: a partnership with the private sector to do a good job.

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Speaker 1: And I've seen great success here in my home state

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Speaker 1: of Arkansas, and also with my co chair of the

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Speaker 1: Skilled American Workforce Caucus, Brenda Lawrence up in Michigan, have

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Speaker 1: seen that same emphasis in that state, Jennie. These kinds

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Speaker 1: of programs have their funding source in the Paycheck Protection Program,

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Speaker 1: but a lot of debate over President Biden's jobs plan

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Speaker 1: in the Senator especially, and a number of Democrats objecting

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Speaker 1: to the way he's raised in revenue with the corporate

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Speaker 1: tax plan. Um any senses to where there's some common

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Speaker 1: ground there, well, to your point, Joe Mansion came out

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Speaker 1: not that long ago and said, you know, he wouldn't

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Speaker 1: go beyond much beyond cent and I think the Biden

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Speaker 1: administration signaled that they could, you know, they could negotiate

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Speaker 1: on that, but I don't think we're going to get

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Speaker 1: much beyond because, of course, as you mentioned, Joe Mansion

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Speaker 1: is all powerful. Unless he's willing to go up, that's

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Speaker 1: where it's going to end. Or, of course if they

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Speaker 1: could bring any Republicans up, which which I doubt it,

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Speaker 1: and and and representative on that point. Um, as we

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Speaker 1: talk about the job's plan, another meeting the President had

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Speaker 1: today had to do with the chips summit and the

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Speaker 1: chip shortage and trying to secure the US supply chain.

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Speaker 1: And one of the things that um, you know I've

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Speaker 1: been talking to people about is what can be done

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Speaker 1: from a policy perspective. We know the infrastructure the jobs

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Speaker 1: bill that we've been talking about contains a good mound

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Speaker 1: money for the semiconductor business. It also contains, as we

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Speaker 1: just mentioned, a potentially a big increase in corporate taxes.

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Speaker 1: What would you like to see the administration do or

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Speaker 1: Congress do on the semiconductor chips issue, Well, two issues, Jenny. First,

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Speaker 1: you're not going to encourage more domestic chip manufacturing in

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Speaker 1: the United States by raising corporate taxes and by increasing

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Speaker 1: a minimum tax on foreign earnings. These are both in

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Speaker 1: the President's tax proposal. These are anti job in the US.

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Speaker 1: They also are really undoing the key part of the

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Speaker 1: Trump tax reform, which was to not double tax foreign

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Speaker 1: income by corporations and encourage money to come back to

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Speaker 1: the US by lowering the rate, making it the most

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Speaker 1: competitive in the world, and over a trillion dollars came

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Speaker 1: back and we saw wages and jobs expand as a

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Speaker 1: result of it. So key point is I would not

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Speaker 1: raise taxes on the corporate sector if you want to

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Speaker 1: encourage more chip production in the US. Secondly, we are

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Speaker 1: evaluating our supply chain. I think individual corporations and their

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Speaker 1: boards of directors are doing that, and the Pentagon is

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Speaker 1: doing that on key components like battery elements, chips, electronic

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Speaker 1: vehicle components, energy, and of course all the health supplies

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Speaker 1: and pharmaceutical elements that we saw at risk during the pandemic.

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Speaker 1: So I think you'll see bipartisan support for reforms of

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Speaker 1: the Pentagon and the Defense Production Act to encourage these

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Speaker 1: strategic areas. But again I have to start with the

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Speaker 1: fact that if you want to get more production to

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Speaker 1: the US, you shouldn't raise the corporate tax and penalize

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Speaker 1: corporation to invest here. Well, thank you very much, Congressman.

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Speaker 1: We appreciate you being on the show today and adding

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Speaker 1: your insights to this important debate. We look forward to

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Speaker 1: a future discussion with you, because these issues aren't going away.

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Speaker 1: Anytime soon. And uh, and your expertise is really helpful

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Speaker 1: to our listeners. So thank you very much for being

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Speaker 1: with us today. Genye Um. I must say it really

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Speaker 1: is interesting that the Biden administration and President Biden himself

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Speaker 1: continues to to talk openly even today about how hard

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Speaker 1: he wants to work to try and get a bipartisan

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Speaker 1: uh passage of this infrastructure bill. But you you you

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Speaker 1: talk to people like Congressman french Hill and uh and

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Speaker 1: he doesn't seem to agree with you. Real quick. Yeah, no,

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Speaker 1: I I think it's very very difficult, but I know

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Speaker 1: you have something. Ye yep, we got something coming up.

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Speaker 1: And uh, I have the distinct pleasure to be able

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Speaker 1: to uh uh say that our friend David Weston from

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Speaker 1: Bloomberg has done an interview with Democratic Georgia Senator John

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Speaker 1: Assaf And here's the interview I did to welcome h

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Speaker 1: down to Bloomberg. So first of all, Senator, I think

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Speaker 1: I have to congratulate you because there were a lot,

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Speaker 1: there was a lot at stake in this wasn't clear

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Speaker 1: what happened. Give us this as of how you got

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Speaker 1: it done. As I understand, President Biden asked you to intervene. Well,

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Speaker 1: David Vank, you for having me. And it was an

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Speaker 1: extra ordinary team effort. I want to commend in particular

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Speaker 1: the United States Trade Representative Ambassador Katherine tie her staff,

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Speaker 1: and she did an extraordinary job bringing this to a

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Speaker 1: successful conclusion. And I got involved because this is a

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Speaker 1: matter of Georgia's economic interest. Twenty hundred skilled jobs at

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Speaker 1: this sk innovation facility that's being built in Commerce, Georgia,

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Speaker 1: billions of dollars of investment in Georgia's economy, and this

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Speaker 1: is a strategic investment because we're talking about electric vehicle

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Speaker 1: battery technology. The United States needs a diversified supply chain

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Speaker 1: so that our auto manufacturers can access this technology, so

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Speaker 1: they have a choice of vendors, and we don't want

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Speaker 1: to rely exclusively upon uh imports in order to provide

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Speaker 1: our automotive industry with this electric vehicle battery technology. But

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Speaker 1: there was a significant intellectual property dispute between s K

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Speaker 1: and LG. The options that were apparent were for President

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Speaker 1: Biden to consider a veto of the ruling by the

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Speaker 1: International Trade Commission. That veto would have allowed SK to

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Speaker 1: continue construction of this plant in Georgia, but at the

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Speaker 1: cost of the integrity of our intellectual property legal regime.

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Speaker 1: So I stepped in. The parties were at an impasse.

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Speaker 1: I urged them back to the table. We got a

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Speaker 1: negotiated settlement. L G has withdrawn its complaint at the

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Speaker 1: i t C against SK. SK can continue with construction

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Speaker 1: of this two point six billion dollar facility in Commerce, Georgia,

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Speaker 1: and twenty hundred Georgians will be employed in skilled jobs

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Speaker 1: producing electric vehicle battery technology and center. That is where

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Speaker 1: the high drama comes from. I mean it's in the

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Speaker 1: area of climate. That is a priority for the Biden

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Speaker 1: administration is electric vehicles, which are terribly important. At the

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Speaker 1: same time protection intellectual property is as well. Can you

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Speaker 1: give us some sense of how you reconcile this, because

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Speaker 1: these two parties have been in dispute for some time

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Speaker 1: and as I under then, you're right up against the

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Speaker 1: deadline from the International Trade Commission about banning imports from

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Speaker 1: s K. That's right. The President had sixty days from

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Speaker 1: the International Trade Commission's judgment to determine whether or not

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Speaker 1: he was going to veto the I t c S ruling,

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Speaker 1: and that put the administration in the unenviable position of

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Speaker 1: having to make a choice between the production of strategic

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Speaker 1: technology in the United States electric vehicle batteries, which are

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Speaker 1: a vital part of our transition to a clean energy future,

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Speaker 1: a geostrategic technology where we face substantial competition with China,

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Speaker 1: and on the other hand, potentially eroding confidence in intellectual

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Speaker 1: property law in the United States, because in order for

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Speaker 1: major industries to undertake significant research and development, in order

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Speaker 1: to attract foreign direct investment, there needs to be confidence

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Speaker 1: that intellectual property long United States is robust and enforced.

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Speaker 1: That's why a settlement was a vital and necessary solution.

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Speaker 1: The parties are no longer at odds. A payment has

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Speaker 1: been made from SK to l G, so a LG

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Speaker 1: with Drewid's complaint at the i t C. The intellectual

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Speaker 1: property law regime is intact, and George is gonna get

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Speaker 1: these twenty skilled jobs. The United States will have a

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Speaker 1: diversified electric vehicle battery supply chain. Senator, Can you give

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Speaker 1: us some sense of how long this settlement will last for,

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Speaker 1: because obviously SK is investing a lot of money in

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Speaker 1: that plane at Georgia. We wouldn't want to have this

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Speaker 1: come up again another three or four years. No. And look,

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Speaker 1: they would have faced only two years in the case

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Speaker 1: of production of one battery component or four years in

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Speaker 1: the case of production of another before they had to

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Speaker 1: shut this plant completely. Now this dispute is behind us.

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Speaker 1: The I t C matter has been fully withdrawn. The

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Speaker 1: parties are no longer fighting it out over this intellectual

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Speaker 1: property dispute. SK is continuing with this two point six

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Speaker 1: billion dollar investment in Georgia. I believe it's the largest

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Speaker 1: foreign direct investment ever made in the state of Georgia

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Speaker 1: for this plant that will employ so many people producing

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Speaker 1: technology vital to our queen energy transition. What took it

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Speaker 1: over the top a lot of hard work and relentless

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Speaker 1: pressure on both companies to come to a deal. Look,

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Speaker 1: these are two South Korean industrial titans, both of whom

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Speaker 1: have invested many billions of dollars in electric vehicle battery technology.

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Speaker 1: And it took a lot of hard work by a

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Speaker 1: lot of people. And I want to again commend the

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Speaker 1: United States Trade Representative Ambassador Catherine Tie for her extraordinary

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Speaker 1: contributions to the efforts to bring these companies to the table,

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Speaker 1: settle the dispute, allow the I t C matter to

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Speaker 1: be put to rest. We've just hours left on the clock.

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Speaker 1: President Biden called me on Saturday afternoon to confirm that

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Speaker 1: the deal had indeed been reached in construction of the

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Speaker 1: facility in Georgia could therefore continue so Saturday. This is

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Speaker 1: not to suggesting at all, but why the President pick you?

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Speaker 1: What in your background prepared you to get this done? Well,

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Speaker 1: I don't think the President picked me like I stepped

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Speaker 1: in here because Georgia jobs and Georgia's economic growth were

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Speaker 1: at stake. Again, two thousand, six hundred skilled jobs in

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Speaker 1: and around commerce Georgia. This will be vital employment, generating wealth,

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Speaker 1: generating opportunity for Northeast Georgia and statewide for decades to come.

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Speaker 1: And David, this is going to attract other firms in

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Speaker 1: the clean energy space to build and locate facilities in

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Speaker 1: Georgia and create more jobs. These supply chains that are

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Speaker 1: becoming increasingly integrated. The fact that we have electric vehicle

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Speaker 1: battery production one of the most significant production capacities now

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Speaker 1: moving into Georgia means that other firms involved in the

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Speaker 1: electric vehicle space and the clin energy space are gonna

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Speaker 1: come to Georgia. I welcomed them to Georgia and look

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Speaker 1: forward to working with them to create more jobs in

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Speaker 1: Georgia Centator. It was widely reported beforehand that LG was

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Speaker 1: saying insisting that the deal total three billion dollars. I

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Speaker 1: don't know how much is confidential, how much is not,

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Speaker 1: but it did basically get what it wanted. So the

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Speaker 1: agreed settlement was a one point eight billion dollar payment

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Speaker 1: from s K to l G, and the matter before

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Speaker 1: the International Trade Commission has been resolved. And as your

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Speaker 1: viewers who have been involved in complex, high stakes negotiations note,

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Speaker 1: moving those numbers over time takes a lot of work.

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Speaker 1: It takes a lot of pressure. Both parties need to

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Speaker 1: understand that their incentives are aligned so that they need

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Speaker 1: a deal, and it takes a deadline. And it was

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Speaker 1: with the clock ticking just less than twenty four hours

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Speaker 1: to go until that plant might have been shuttered, that

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Speaker 1: we were able to get a favorable resolution, save the

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Speaker 1: plant in Commerce, Georgia and the intellectual property dispute, and

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Speaker 1: make a huge step forward for clean energy technology electric

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Speaker 1: vehicle production in the United States. Senata, I want to

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Speaker 1: leave it where I started. Was just congratulations. It seems

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Speaker 1: like a wonderful deal. For the State of Georgia. Thank

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Speaker 1: you so much to Senator John Auso of the State

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Speaker 1: of Georgia. He is, of course a Democrat. There's got

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Speaker 1: much more coming up on Bloomberg Television and Radio. That

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Speaker 1: was Bloomberg's David Weston with Democratic Senator John Austin. I'm

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Speaker 1: Rick Davis, along with my fellow Bloomberg Politics contributor Jeanie

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Speaker 1: Shawn Zano. And enjoining us now on the panel is

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Speaker 1: Kevin Walling, Democratic strategist at HD Creative Media. What a

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Speaker 1: fascinating transaction to have in the middle of a conversation

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Speaker 1: about bipartisanship and politics. This is all about the commerce.

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Speaker 1: In fact, this deal was located in commerce, Georgia, and

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Speaker 1: so maybe Gina, uh, you could talk a little bit about, um,

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Speaker 1: what you're seeing here. I mean, at one point eight

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Speaker 1: billion dollar transaction, unlocking billions of dollars of investment in

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Speaker 1: Georgia and hundreds of thousands of potentially good new UH

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Speaker 1: energy jobs. As I was listening to David and Senator

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Speaker 1: Rossof speak, I was thinking, this is a lesson for

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Speaker 1: Congress in terms of negotiating out this job's deal. Um,

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Speaker 1: the fact that they did this at the last minute. Um.

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Speaker 1: I thought David asked a really great question about how

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Speaker 1: long this is in place. Senator also said it's not

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Speaker 1: going to expire in two years. Um. It's the largest

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Speaker 1: foreign investment ever made in Georgia, and as you mentioned,

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Speaker 1: twenty six hundred skilled jobs in Northeast Georgia and statewide

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Speaker 1: in an area of clean energy, you know, may spur

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Speaker 1: other businesses, the hope and a last minute deal in

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Speaker 1: the aptly named commerce Georgia. So it is. I think

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Speaker 1: David was right at the end when he said congratulations

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Speaker 1: to Senator as Off for getting this deal done and

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Speaker 1: at one point a billion, not the three billion that

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Speaker 1: that was being sought initially. Kevin brand new Senator John Assaf,

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Speaker 1: what do you think this says for his political prospects

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Speaker 1: at home? Yeah, Jenny Rick, great to be with you.

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Speaker 1: I thought it was a great interview with David uh

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Speaker 1: and not just for Senator as prospects, but certainly his

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Speaker 1: colleague in the Senate, Senator Warnock, who faces Georgia voters

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Speaker 1: in just two years. Of course, he filled a shorter

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Speaker 1: seat in the Senate, so I think that is not

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Speaker 1: just going to be critical for John Ausuff as a

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Speaker 1: brand new center of the youngest Senator h currently serving,

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Speaker 1: but certainly more so for his colleague who can also

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Speaker 1: taut the benefits of that facing voters in two years,

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Speaker 1: and particularly Stecy Abrahams too, who can now run on

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Speaker 1: helping to flip those two Georgia's Senate seats when she

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Speaker 1: likely runs for governor against the incumbent Brian Kemp. So

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Speaker 1: there's a lot of politics I think involved. It was

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Speaker 1: certainly all the eyes back on Georgia just two years

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Speaker 1: from now, Kevin. Uh, you know, just staying on that

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Speaker 1: topic for one second real quick, is uh. One of

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Speaker 1: the things we didn't talk much about is the economic

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Speaker 1: and political fallout from the Georgia voting changes and and

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Speaker 1: and Senator ass off Is basically told the President United States, Hey,

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Speaker 1: stay at our business. We want MLB to keep their

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Speaker 1: their All Star game in uh in Atlanta. What what

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Speaker 1: do you think of that development? Yeah, Rick, I think

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Speaker 1: you know, it's a delicate dance that both the sentators

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Speaker 1: have to play now. They've got to protect their their

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Speaker 1: home flank, right, and these businesses Coca Cola, Delta, others

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Speaker 1: that have come out against sp two oh to the

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Speaker 1: Senate bill that was signed by a governor Camp about

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Speaker 1: voting restrictions and some voter access components as part of that.

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Speaker 1: It's certainly, I think problematic for some of the politics

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Speaker 1: UM at home. I think it rests squarely likely on

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Speaker 1: on Governor Camp and the Republican legislature. But certainly you

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Speaker 1: have the two re the two Democratic Centers News centators

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Speaker 1: coming out against that boycott because it will hurt Georgia businesses. UM.

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Speaker 1: So certainly a delicate dance for these two new members.

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Speaker 1: Genie was Mitch McConn right when he told the corporations

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Speaker 1: like Delta and uh In Coca Cola to stay out

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Speaker 1: of politics or has has has used. Is this going

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Speaker 1: to resolve itself in a way that's positive, you know,

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Speaker 1: Mitch McConnell, I think his call fell on deaf ears.

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Speaker 1: Over the weekend, as we know, there were over a

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Speaker 1: hundred CEOs from some of the biggest corporations in the country,

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Speaker 1: if not the world, on a call talking about this

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Speaker 1: very issue, and by reports of people who were on

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Speaker 1: the call, many of them agreed to sign on to

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Speaker 1: fight some of these changes, the next one coming up

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Speaker 1: in Texas and of course as we talked about we

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Speaker 1: should just say John, you know, Senator ofs Off, what

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Speaker 1: a difference between President Trump Joe Biden not taking credit

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Speaker 1: for this deal but letting this junior senator from Georgia

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Speaker 1: do it. So I was quite struck by that difference

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Speaker 1: as well. Thanks Jenny, and uh, thanks Kevin. I mean

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Speaker 1: we're gonna have more on this interview, and uh, we're

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Speaker 1: also going to take up some topics related to Chairman

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Speaker 1: Pale's interview on sixty Minutes over the weekend, and uh,

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Speaker 1: and we're gonna be hearing from a number of other topics.

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Speaker 1: There's there's a lot going up on Capitol Hill right now,

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Speaker 1: and we're gonna explore it in depth. I'm Rick Davis,

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Speaker 1: along with my fellow Bloomberg political contributor Jeanie shn Zano,

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Speaker 1: and also with us as Kevin Walling, democratic strategist at

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Speaker 1: h G Creative Media. You know, we've been talking a

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Speaker 1: little bit about, uh, the investment going on in Georgia

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Speaker 1: that David Wesson just had an interview with Senator us

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Speaker 1: Off in an immense amount of infrastructure that's going in

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Speaker 1: there and to some degree impacting our relationship with China.

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Speaker 1: A manufacturing facility that might otherwise would have gone there.

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Speaker 1: And so I wanted to UH play a little bit

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Speaker 1: of sound right now on what President Biden has been

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Speaker 1: saying about strong bipartisans support for fixing the chip shortage

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Speaker 1: and securing US supply chain um He said that China

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Speaker 1: is not waiting to address this issue, and there's no

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Speaker 1: reason why the U s should be either the President

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Speaker 1: spoked or a virtual CEO summit on the semiconductor and

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Speaker 1: supply chain resiliency. Here's the sound. This an issue that

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Speaker 1: has broad support in the United States Congress. We talked

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Speaker 1: about whether or not we're doing anything in terms of bipartisanally,

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Speaker 1: where we are both sides of the aisle are strongly supportable,

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Speaker 1: were proposing and I and where I think we can

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Speaker 1: really get things done for the American people. China and

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Speaker 1: the rest of the world is not waiting, and there's

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Speaker 1: no reason why Americans should wait. Kevin, I I wanted

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Speaker 1: to ask you. It seems to me we're the ones

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Speaker 1: who are waiting. Uh. China has kept us from being

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Speaker 1: able to get a supply of chips. It's the cause

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Speaker 1: of a lot of disruption in the auto industry. UH

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Speaker 1: do you see anything coming out of the Biden administration

433
00:25:45,440 --> 00:25:48,520
Speaker 1: right now that would look like a more aggressive approach

434
00:25:48,600 --> 00:25:52,400
Speaker 1: like sanctions. Yeah. Rick, it's a good question. I think

435
00:25:52,440 --> 00:25:55,600
Speaker 1: there is you know, some semblance of action coming out

436
00:25:55,640 --> 00:25:57,919
Speaker 1: not just from the administration but also the Senate. And

437
00:25:57,960 --> 00:26:01,119
Speaker 1: this actually you're talking about infrastruct and I love the

438
00:26:01,160 --> 00:26:04,000
Speaker 1: interview that he had with Congressman Hill and the potential

439
00:26:04,119 --> 00:26:07,040
Speaker 1: all be a more difficult road for bipartisanship on the

440
00:26:07,040 --> 00:26:10,600
Speaker 1: infrastructure front. But there is a bipartisan bill with regards

441
00:26:10,600 --> 00:26:13,600
Speaker 1: to China that's making its way through the Senate, actually

442
00:26:13,640 --> 00:26:17,080
Speaker 1: shepherd by the majority leader, Chuch schumer Um. And that

443
00:26:17,119 --> 00:26:20,800
Speaker 1: will come obviously on the heels of the first Currency Report.

444
00:26:20,840 --> 00:26:24,000
Speaker 1: Obviously that is a key concern coming out of China

445
00:26:24,040 --> 00:26:26,960
Speaker 1: in terms of how they value their currency, and I

446
00:26:26,960 --> 00:26:28,879
Speaker 1: think that will be also a key component of this

447
00:26:29,160 --> 00:26:33,119
Speaker 1: China bill that by all indications will kind of unite

448
00:26:33,119 --> 00:26:37,040
Speaker 1: both Republicans and Democrats at least in the upper Chamber. Hey, Genie,

449
00:26:37,080 --> 00:26:39,000
Speaker 1: I was wondering, Uh, you know, we talk a lot

450
00:26:39,040 --> 00:26:43,399
Speaker 1: about geopolitics on this show, and uh, And and I

451
00:26:43,480 --> 00:26:45,840
Speaker 1: think Kevin makes a good point, is is China the

452
00:26:45,880 --> 00:26:51,040
Speaker 1: one sort of rallying cry around bipartisanship in in the

453
00:26:51,119 --> 00:26:53,840
Speaker 1: House and Senate right now, and and if so, is

454
00:26:53,880 --> 00:26:56,800
Speaker 1: there a bill that um that is going to be

455
00:26:57,280 --> 00:27:00,760
Speaker 1: I think propagated by the administration, that that that both

456
00:27:00,800 --> 00:27:04,320
Speaker 1: Republicans and Democrats can get around dealing with issues like

457
00:27:04,640 --> 00:27:08,240
Speaker 1: supply chain. It does seem that China is the one

458
00:27:08,359 --> 00:27:12,160
Speaker 1: issue that unites Republicans and Democrats across the United States.

459
00:27:12,200 --> 00:27:16,000
Speaker 1: I think the difficulty, of course, is always in how

460
00:27:16,040 --> 00:27:18,320
Speaker 1: these bills are written and what they proposed to do.

461
00:27:18,359 --> 00:27:20,640
Speaker 1: And I think when we just talked to Representative Hill,

462
00:27:21,080 --> 00:27:24,760
Speaker 1: he made very clear what is the dividing line here.

463
00:27:25,520 --> 00:27:27,800
Speaker 1: The President deserves a lot of credit for hosting the

464
00:27:27,920 --> 00:27:30,879
Speaker 1: summit today, bringing these people together to have a really

465
00:27:30,880 --> 00:27:35,800
Speaker 1: important discussion. The problem is what do you do about it?

466
00:27:35,840 --> 00:27:40,200
Speaker 1: And is a corporate tax increase going to work against

467
00:27:40,280 --> 00:27:42,960
Speaker 1: us as we not just And I understand the and

468
00:27:43,040 --> 00:27:46,080
Speaker 1: the sort of idea of sanctioning, but it's in long

469
00:27:46,200 --> 00:27:48,760
Speaker 1: term we can't just sanction China. We need to be

470
00:27:48,840 --> 00:27:51,639
Speaker 1: developing these technologies here at home. And how do you

471
00:27:51,680 --> 00:27:54,840
Speaker 1: incentivize business to do that? That I think is going

472
00:27:54,880 --> 00:27:57,040
Speaker 1: to be the rub And I do think they could

473
00:27:57,080 --> 00:27:59,720
Speaker 1: come together to do that. But of course, right now

474
00:27:59,720 --> 00:28:03,320
Speaker 1: we're looking at an infrastructure jobs bill, which, even though

475
00:28:03,359 --> 00:28:08,160
Speaker 1: it invests in the semiconductor space, also includes this enormous

476
00:28:08,160 --> 00:28:10,560
Speaker 1: tax increase to pay for it, and they seem to

477
00:28:10,560 --> 00:28:13,240
Speaker 1: be something that won't bring the two sides together. Kevin

478
00:28:13,320 --> 00:28:15,280
Speaker 1: is that the log jam we're in is that we've

479
00:28:15,280 --> 00:28:18,280
Speaker 1: got a bill that can spur our domestic manufacturing in

480
00:28:18,280 --> 00:28:22,200
Speaker 1: this area to create jobs, high paying, you know, technology jobs,

481
00:28:22,840 --> 00:28:24,639
Speaker 1: but the way we want to pay for it is

482
00:28:24,760 --> 00:28:28,880
Speaker 1: so uh, i'd say negative by the Republicans that we're

483
00:28:28,880 --> 00:28:31,440
Speaker 1: gonna we're gonna sty me our opportunities to take advantage

484
00:28:31,440 --> 00:28:34,440
Speaker 1: of this opening. Yeah, Rick, I think you know, gd

485
00:28:34,560 --> 00:28:36,680
Speaker 1: is absolutely right in terms of the trade offs behind

486
00:28:36,720 --> 00:28:40,520
Speaker 1: the price tag of this legislation and now kind of

487
00:28:40,560 --> 00:28:43,880
Speaker 1: new willingness coming out of this Oval Office meeting with

488
00:28:44,000 --> 00:28:47,640
Speaker 1: some of the Republican members with President Biden today where

489
00:28:47,680 --> 00:28:51,000
Speaker 1: he is indicated he wants potentially some changes in terms

490
00:28:51,000 --> 00:28:53,480
Speaker 1: of how we pay for this and maybe the overall

491
00:28:53,520 --> 00:28:56,080
Speaker 1: total number. But the Genie point, I think it's a

492
00:28:56,160 --> 00:28:58,520
Speaker 1: very good one. Any kind of solution in the short

493
00:28:58,640 --> 00:29:01,000
Speaker 1: term is not going to the crisis that we have

494
00:29:01,120 --> 00:29:04,280
Speaker 1: when it comes to supply chain management UM that's going

495
00:29:04,280 --> 00:29:07,480
Speaker 1: on right now in terms of domestic supply I think

496
00:29:07,560 --> 00:29:10,040
Speaker 1: the Biden administration can hopefully take a queue from what

497
00:29:10,080 --> 00:29:13,240
Speaker 1: it's doing on the COVID front with supply chain. They've

498
00:29:13,280 --> 00:29:15,760
Speaker 1: really hit the ground running, focusing like a laser on

499
00:29:15,800 --> 00:29:20,120
Speaker 1: supply chain specifically UM in terms of domestic vaccine distribution

500
00:29:20,680 --> 00:29:23,520
Speaker 1: UM and we'll hapfly likely have to do that now

501
00:29:23,640 --> 00:29:27,480
Speaker 1: with these different sectors when it comes to material and

502
00:29:27,680 --> 00:29:31,280
Speaker 1: manufacturing with regards to chips, when it comes to electric

503
00:29:31,360 --> 00:29:34,719
Speaker 1: vehicles that has a huge market in Asia and overseas.

504
00:29:35,080 --> 00:29:37,560
Speaker 1: You know, how do we adapt some of these industries

505
00:29:37,800 --> 00:29:39,800
Speaker 1: to take the best of what they're seeing in terms

506
00:29:39,800 --> 00:29:42,440
Speaker 1: of the COVID supply chain and apply to other sectors.

507
00:29:42,640 --> 00:29:44,680
Speaker 1: Kevin is a really good point. I mean, we've used

508
00:29:44,720 --> 00:29:49,160
Speaker 1: the Federal Production Act to manufacture everything from face mask

509
00:29:49,240 --> 00:29:52,400
Speaker 1: to ppe and UH and and I wonder is there

510
00:29:52,440 --> 00:29:57,320
Speaker 1: an argument to be made for the manufacturing of more

511
00:29:57,400 --> 00:30:00,280
Speaker 1: high tech items. Does the government the federal governments step

512
00:30:00,320 --> 00:30:04,040
Speaker 1: in and either finance or use some of their infrastructure

513
00:30:04,160 --> 00:30:07,920
Speaker 1: to create opportunities for the private sector to fill the

514
00:30:08,000 --> 00:30:11,080
Speaker 1: vacuum that that China has filled it. It seems to

515
00:30:11,120 --> 00:30:14,320
Speaker 1: me a perfect chess piece play for China. Who's withholding

516
00:30:14,400 --> 00:30:19,320
Speaker 1: these uh, these very necessary um uh chips and uh

517
00:30:19,440 --> 00:30:21,880
Speaker 1: and and would actually help create new jobs at a

518
00:30:21,880 --> 00:30:25,160
Speaker 1: time when we're trying to promote uh, you know, us

519
00:30:25,240 --> 00:30:28,280
Speaker 1: job growth. Uh. We're gonna hear more about that job

520
00:30:28,320 --> 00:30:32,800
Speaker 1: growth coming up in a discussion about Chairman Palell's sixty

521
00:30:32,800 --> 00:30:36,960
Speaker 1: minutes interview. Um uh more on that when we come

522
00:30:37,000 --> 00:30:40,719
Speaker 1: back from the break. I'm Rick Davis, and this is Bloomberg.

523
00:30:44,080 --> 00:30:50,720
Speaker 1: This is Bloomberg sound on on Bloomberg Radio. I'm Rick Davis,

524
00:30:50,800 --> 00:30:54,640
Speaker 1: along with my fellow Bloomberg political contributor Jeanie Shawn's you know,

525
00:30:54,920 --> 00:30:58,040
Speaker 1: and also with us is Kevin Walling, Democratic strategist at

526
00:30:58,160 --> 00:31:03,040
Speaker 1: h G Creative Media. You know. This Sunday, uh, Chairman

527
00:31:03,080 --> 00:31:07,480
Speaker 1: pal Federal Reserve Board was on sixty minutes and he

528
00:31:07,560 --> 00:31:11,440
Speaker 1: talked about why the economy is poised for stronger growth

529
00:31:11,720 --> 00:31:15,000
Speaker 1: he said. The Federal Chairman said that the US economy

530
00:31:15,200 --> 00:31:18,720
Speaker 1: isn't it at an inflection point with stronger growth and

531
00:31:18,800 --> 00:31:24,640
Speaker 1: hiring ahead, thank you to rising vaccinations and powerful policy

532
00:31:24,720 --> 00:31:29,320
Speaker 1: support Biden administration. But COVID nineteen remains the threat we

533
00:31:29,400 --> 00:31:33,080
Speaker 1: have Sound on his interview, what we're seeing now is

534
00:31:33,120 --> 00:31:35,760
Speaker 1: really an economy that seems to be at an inflection point,

535
00:31:35,800 --> 00:31:38,960
Speaker 1: and that's because of you know, widespread vaccination and strong

536
00:31:39,040 --> 00:31:42,800
Speaker 1: fiscal support, strong monetary policy support. We feel like we're

537
00:31:42,840 --> 00:31:44,680
Speaker 1: at a place where the economy is about to start

538
00:31:44,680 --> 00:31:47,800
Speaker 1: growing much more quickly and job creation coming in much

539
00:31:47,800 --> 00:31:50,560
Speaker 1: more quickly. So the principal risk to our economy right

540
00:31:50,600 --> 00:31:56,240
Speaker 1: now really is that the disease would spread again. That

541
00:31:56,400 --> 00:31:59,120
Speaker 1: was Chairman Pal. I'd like to talk a little bit

542
00:31:59,160 --> 00:32:02,239
Speaker 1: first about, uh, the jobs issue, Kevin, and we just

543
00:32:02,320 --> 00:32:06,280
Speaker 1: had a conversation between David Weston and Center us Off

544
00:32:06,400 --> 00:32:10,480
Speaker 1: over bringing thousands of jobs to Georgia in high tech

545
00:32:10,600 --> 00:32:15,760
Speaker 1: battery technology. Um. You know, we've been debating all during

546
00:32:15,800 --> 00:32:20,840
Speaker 1: this show today the bipartisan lack of bipartisanship related to

547
00:32:20,880 --> 00:32:24,200
Speaker 1: the infrastructure bill, and it sounds like the Chairman of

548
00:32:24,200 --> 00:32:28,160
Speaker 1: the Federal Reserve, regardless of where we are today, seems

549
00:32:28,200 --> 00:32:29,840
Speaker 1: to think the economy is on the men and that

550
00:32:29,920 --> 00:32:32,400
Speaker 1: these jobs may be coming back. Do we really need

551
00:32:32,440 --> 00:32:35,640
Speaker 1: a big congressional bill in order to achieve job growth

552
00:32:36,160 --> 00:32:39,959
Speaker 1: like we had before the pandemic. Yeah, Rick, it's an

553
00:32:39,960 --> 00:32:43,120
Speaker 1: excellent question, you know, and I think what you pointed

554
00:32:43,120 --> 00:32:47,160
Speaker 1: out rightly at the outside of this conversation was Pal's

555
00:32:47,360 --> 00:32:49,920
Speaker 1: words saying that we're at an inflection point. Those two

556
00:32:49,920 --> 00:32:53,000
Speaker 1: words were the key takeaway from UM that sixteen minutes

557
00:32:53,240 --> 00:32:55,480
Speaker 1: interview that I saw, because he does talk about the

558
00:32:55,560 --> 00:32:57,640
Speaker 1: you know, the nine hundred thousand new workers that were

559
00:32:57,640 --> 00:33:01,720
Speaker 1: added to payrolls last month. UM. But at the same time,

560
00:33:01,760 --> 00:33:05,239
Speaker 1: we're seeing a new stage jobles claims climbing in just

561
00:33:05,280 --> 00:33:08,360
Speaker 1: the latest weekly report of last week. So we are

562
00:33:08,400 --> 00:33:12,000
Speaker 1: at that inflection point. Uh. The Biden administrations, as you

563
00:33:12,040 --> 00:33:13,960
Speaker 1: point out in the question, is really banking on this

564
00:33:14,040 --> 00:33:18,120
Speaker 1: American Jobs UH package. They're not calling it the infrastructure bill.

565
00:33:18,120 --> 00:33:19,880
Speaker 1: We're talking about it in cadence in terms of it

566
00:33:20,080 --> 00:33:22,960
Speaker 1: being an infrastructure bill. But they're really hammering as you saw,

567
00:33:23,000 --> 00:33:26,000
Speaker 1: the five kind of lieutenants in the Cabinet that are

568
00:33:26,040 --> 00:33:29,880
Speaker 1: responsible for the American Jobs Cabinet out there making the

569
00:33:29,920 --> 00:33:33,400
Speaker 1: case of the jobs numbers UM including in that package.

570
00:33:33,480 --> 00:33:35,400
Speaker 1: Now they got a little brush back, you know, the

571
00:33:35,960 --> 00:33:38,920
Speaker 1: pole of baseball tournament now that we're in baseball season, UM,

572
00:33:38,920 --> 00:33:41,560
Speaker 1: from some of these numbers that have been kind of

573
00:33:41,600 --> 00:33:43,800
Speaker 1: bandied about UM in terms of what the bill will

574
00:33:43,800 --> 00:33:46,479
Speaker 1: actually do in terms of creating jobs. But that's certainly

575
00:33:46,480 --> 00:33:49,680
Speaker 1: going to be the inflection point for the Biden administration,

576
00:33:50,240 --> 00:33:52,920
Speaker 1: is the job's component of this bill. Any part of

577
00:33:52,920 --> 00:33:55,560
Speaker 1: the inflection point that the Chairman is referring to too

578
00:33:55,720 --> 00:33:58,320
Speaker 1: is the pandemic UM. He does point out in the

579
00:33:58,360 --> 00:34:01,480
Speaker 1: interview very clearly the the one thing that could disrupt

580
00:34:02,080 --> 00:34:04,560
Speaker 1: a economy that seems to be on the men and

581
00:34:04,640 --> 00:34:09,880
Speaker 1: marching forward is a resurgence of coronavirus. And we've seen

582
00:34:10,360 --> 00:34:15,600
Speaker 1: uh significantly more travel. Airports are full again. Part of

583
00:34:15,600 --> 00:34:17,799
Speaker 1: the reason why you see some of the economy coming

584
00:34:17,800 --> 00:34:22,040
Speaker 1: back is is the risk we're taking with reopening UM

585
00:34:22,320 --> 00:34:25,680
Speaker 1: offset by the risk we have for potentially having to

586
00:34:25,680 --> 00:34:28,920
Speaker 1: shut down again due to a spread of the coronavirus.

587
00:34:29,640 --> 00:34:31,920
Speaker 1: I wish I could come up with good baseball metaphors

588
00:34:31,960 --> 00:34:35,719
Speaker 1: like Kevin cann I'm horrible with sports metaphors, but I

589
00:34:35,840 --> 00:34:40,000
Speaker 1: really had several reactions to this interview. Number One, it

590
00:34:40,080 --> 00:34:43,280
Speaker 1: wasn't that long ago that when Chairman Powell was interviewed,

591
00:34:43,320 --> 00:34:45,680
Speaker 1: one of the first things he would be asked was

592
00:34:45,760 --> 00:34:48,960
Speaker 1: about the attacks coming from the president then President Trump,

593
00:34:49,320 --> 00:34:51,719
Speaker 1: as we all recall, and of course it was striking

594
00:34:51,719 --> 00:34:54,120
Speaker 1: to hear him in an interview where there was none

595
00:34:54,120 --> 00:34:57,240
Speaker 1: of that discussed. And then to your point, I think

596
00:34:57,480 --> 00:35:00,320
Speaker 1: how bullish he is on the economy and the fact

597
00:35:00,400 --> 00:35:04,560
Speaker 1: that he described the key risk that we face now

598
00:35:05,120 --> 00:35:09,040
Speaker 1: is from the pandemic and some kind of resurgence of that.

599
00:35:09,320 --> 00:35:12,480
Speaker 1: What I was struck by no mention as far as

600
00:35:12,520 --> 00:35:16,040
Speaker 1: I heard of the risk of a massive investment that

601
00:35:16,160 --> 00:35:19,600
Speaker 1: overheats the economy, and that was very, very striking to me.

602
00:35:20,080 --> 00:35:23,560
Speaker 1: And to this point about jobs, of course, and you

603
00:35:23,680 --> 00:35:26,879
Speaker 1: just mentioned David's great interview with Senator ass Off about this,

604
00:35:27,080 --> 00:35:30,680
Speaker 1: you know, really important deal that was just struck. Does

605
00:35:30,760 --> 00:35:34,320
Speaker 1: this ability to bring back jobs and the good jobs

606
00:35:34,400 --> 00:35:38,279
Speaker 1: numbers we're hearing actually work against the administration as they

607
00:35:38,320 --> 00:35:41,480
Speaker 1: go to make this massive investment. I didn't hear much

608
00:35:41,560 --> 00:35:44,120
Speaker 1: on that from him, and I haven't heard much on

609
00:35:44,160 --> 00:35:47,000
Speaker 1: that from other members of the administration who have been

610
00:35:47,000 --> 00:35:50,319
Speaker 1: out touting this bill for the last couple of weeks. Yeah,

611
00:35:50,360 --> 00:35:52,560
Speaker 1: it's a really good point. And uh, and I think

612
00:35:52,640 --> 00:35:56,239
Speaker 1: you didn't foul off that pitch. Appreciate I know you'd

613
00:35:56,280 --> 00:36:00,279
Speaker 1: have a good one, Rick Davis. Oh, I'm angry, but

614
00:36:00,440 --> 00:36:02,879
Speaker 1: I got nothing you need just to follow up though,

615
00:36:02,920 --> 00:36:05,640
Speaker 1: I mean, it is interesting in the interview he uh,

616
00:36:05,719 --> 00:36:08,880
Speaker 1: the Chairman did indicate that he felt the economy was

617
00:36:08,920 --> 00:36:13,080
Speaker 1: not at risk of inflation and at the federal funds

618
00:36:13,120 --> 00:36:17,040
Speaker 1: rate would not increase in the near term. Uh. I

619
00:36:17,120 --> 00:36:20,120
Speaker 1: guess the question I would have is, shouldn't this bolster

620
00:36:20,560 --> 00:36:24,759
Speaker 1: the confidence that the Congress has, especially the debate that's

621
00:36:24,760 --> 00:36:26,279
Speaker 1: going on in the Senate on how to pay for

622
00:36:26,360 --> 00:36:29,560
Speaker 1: things like the infrastructure bill, that the economy is going

623
00:36:29,640 --> 00:36:32,200
Speaker 1: to grow and be able to absorb some of the

624
00:36:32,280 --> 00:36:36,880
Speaker 1: increase in revenue that the Biden administration is talking about. Well,

625
00:36:36,920 --> 00:36:40,080
Speaker 1: that's what the Chairman keeps saying, That's what Jennet Yellen

626
00:36:40,200 --> 00:36:43,080
Speaker 1: keeps saying. You listen to our other colleague, Glary Summers.

627
00:36:43,080 --> 00:36:45,120
Speaker 1: He had a really interesting interview I read in the

628
00:36:45,160 --> 00:36:49,080
Speaker 1: Financial Times today. Um, you know that there is there

629
00:36:49,080 --> 00:36:52,120
Speaker 1: are other risks or dangers out there, and and that

630
00:36:52,239 --> 00:36:55,799
Speaker 1: to me is something that I'm curious doesn't get. I mean,

631
00:36:55,840 --> 00:36:59,359
Speaker 1: I understand politically why, but from the Fed chairman, I

632
00:36:59,360 --> 00:37:01,560
Speaker 1: thought he would at least give that more of a nod.

633
00:37:01,600 --> 00:37:04,279
Speaker 1: Than I heard in the interview. I understand yelling, of

634
00:37:04,360 --> 00:37:07,680
Speaker 1: course and other members of the administration, but the chairman

635
00:37:07,719 --> 00:37:11,400
Speaker 1: of the Fed I found that curious. Uh. Yeah, And Kevin.

636
00:37:11,640 --> 00:37:15,080
Speaker 1: Another issue that Chairman pal brought up in that interview

637
00:37:15,200 --> 00:37:18,240
Speaker 1: was something that we don't talk much about, uh related

638
00:37:18,280 --> 00:37:21,000
Speaker 1: to Capitol Hill, but it's a burning issue in Wall Street,

639
00:37:21,040 --> 00:37:24,480
Speaker 1: and that is, uh, the digital dollar, the digital economy,

640
00:37:24,840 --> 00:37:28,839
Speaker 1: um bitcoin Uh. And he said he was studying the

641
00:37:28,840 --> 00:37:32,640
Speaker 1: digital dollar and yet expected Congress to really take the

642
00:37:32,719 --> 00:37:36,600
Speaker 1: lead on any kind of legislation that would be needed

643
00:37:36,640 --> 00:37:40,399
Speaker 1: to incorporate the digital dollars part of the Federal reserve. Uh.

644
00:37:41,120 --> 00:37:43,640
Speaker 1: Is there any appetite right now in Congress with all

645
00:37:43,680 --> 00:37:46,680
Speaker 1: the other issues that we're dealing with, the dive into

646
00:37:46,840 --> 00:37:51,560
Speaker 1: bitcoin and and and the digital dollar. You know, I'm

647
00:37:51,640 --> 00:37:53,800
Speaker 1: kind of laughing a little bit just in thinking about

648
00:37:53,880 --> 00:37:56,280
Speaker 1: the previous kind of tech hearing that we've seen about

649
00:37:56,280 --> 00:37:58,680
Speaker 1: Facebook and Twitter and things like that, and some of

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00:37:58,680 --> 00:38:01,239
Speaker 1: these older members that just have no idea what these

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00:38:01,239 --> 00:38:03,839
Speaker 1: platforms are or what they do, and they're being handed by,

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00:38:04,080 --> 00:38:05,719
Speaker 1: you know, notes from their staff and stuff like that.

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00:38:05,920 --> 00:38:09,000
Speaker 1: I think that will he a really interesting hearing and certainly.

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00:38:09,000 --> 00:38:11,000
Speaker 1: I think, you know, Sherman pala is right that Congress

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00:38:11,000 --> 00:38:12,640
Speaker 1: needs to step in and do something about this, whether

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00:38:12,640 --> 00:38:16,400
Speaker 1: it be Chuer, woman Waters who led those hearings that

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00:38:16,440 --> 00:38:20,040
Speaker 1: we remember just a few weeks ago about Game Stop, right, um, so,

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00:38:20,080 --> 00:38:22,719
Speaker 1: I think, you know, financial services would likely take the

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00:38:22,800 --> 00:38:24,160
Speaker 1: lead on that in the House. But it would be

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00:38:24,200 --> 00:38:26,840
Speaker 1: really interesting, I think, to see a Congress step in

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00:38:26,920 --> 00:38:30,000
Speaker 1: with you know, so many members over seventy over eighty.

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00:38:30,080 --> 00:38:32,359
Speaker 1: I'm not an agist, but you know, dealing with things

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00:38:32,360 --> 00:38:36,040
Speaker 1: like bitcoin and the future kind of digital economy would

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00:38:36,040 --> 00:38:39,520
Speaker 1: be I think certainly an interesting hearing for sure. Yeah.

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00:38:39,520 --> 00:38:41,480
Speaker 1: We we've seen quite a bit of debate, as you

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00:38:41,520 --> 00:38:45,879
Speaker 1: point out on in the House, especially on the big

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00:38:45,920 --> 00:38:49,200
Speaker 1: tech and and their role in everything from privacy to

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00:38:50,120 --> 00:38:55,200
Speaker 1: UH to competition to um uh you know, the fake

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00:38:55,280 --> 00:38:57,960
Speaker 1: news and and so it's kind of hard to believe

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00:38:58,040 --> 00:39:00,439
Speaker 1: that there's a lot of appetite to think that that

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00:39:00,640 --> 00:39:04,680
Speaker 1: digital economy is translatable into currency. But we've also seen

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00:39:04,760 --> 00:39:08,640
Speaker 1: massive increases in value of things like bitcoin in the

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00:39:08,640 --> 00:39:12,359
Speaker 1: digital economy and UH and and my impression is that

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00:39:12,480 --> 00:39:14,640
Speaker 1: it's really Wall Street that's taking the lead on it.

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00:39:14,960 --> 00:39:20,160
Speaker 1: Groups like UH, you know, JP Morgan and and and

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00:39:20,160 --> 00:39:26,520
Speaker 1: and and others are really looking into facilitating more dependable transactions.

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00:39:26,600 --> 00:39:29,440
Speaker 1: So it'll be interesting to see how much Congress starts

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00:39:29,440 --> 00:39:31,600
Speaker 1: to feel the heat around this, you know, to create

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00:39:31,600 --> 00:39:35,839
Speaker 1: some rules of the road, Uh, so that these bigger institutions, uh,

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00:39:35,920 --> 00:39:39,360
Speaker 1: including the FED, can get some direction from them. I'm

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00:39:39,400 --> 00:39:42,239
Speaker 1: curious now, maybe, Jeanie, what do you see this week

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00:39:42,320 --> 00:39:45,080
Speaker 1: coming about? You know, we've started off with a big

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00:39:45,080 --> 00:39:51,239
Speaker 1: push by the administration for bipartisanship around their legislative proposals.

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00:39:51,680 --> 00:39:55,239
Speaker 1: But uh, but you know, UH tampered a little bit

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00:39:55,320 --> 00:39:59,760
Speaker 1: by the fight with China on on on on supply.

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00:40:00,400 --> 00:40:03,080
Speaker 1: Uh you see anything on the horizon that is going

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00:40:03,120 --> 00:40:06,240
Speaker 1: to change that narrative? I don't you know. I'm looking

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00:40:06,239 --> 00:40:09,799
Speaker 1: and I see obviously Congress back in session early this week,

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00:40:09,960 --> 00:40:14,120
Speaker 1: so today and tomorrow, UM, and you know, it's very

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00:40:14,200 --> 00:40:18,560
Speaker 1: seems to be very little appetite for bipartisanship on this

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00:40:18,840 --> 00:40:22,080
Speaker 1: massive issue. UM. You know, I of course have to

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Speaker 1: tell you that I have been waiting patiently. Tomorrow is

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00:40:25,000 --> 00:40:28,200
Speaker 1: the release, speaking of Congress, of John Bayner, uh, former

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00:40:28,239 --> 00:40:31,200
Speaker 1: Speaker of the House's book where he dishes an awful

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00:40:31,239 --> 00:40:33,840
Speaker 1: lot um, and I think there are lessons there for

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00:40:33,880 --> 00:40:37,560
Speaker 1: the Republican Party to pay attention to as they tried

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00:40:37,600 --> 00:40:40,360
Speaker 1: to negotiate. Something we didn't talk about, but Donald Trump's

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00:40:40,640 --> 00:40:44,200
Speaker 1: comments in Florida over the weekend. So I think an

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00:40:44,200 --> 00:40:46,520
Speaker 1: awful lot coming up this week on that front, not

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00:40:46,560 --> 00:40:49,640
Speaker 1: to mention, as you said, supply chain China and of

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00:40:49,680 --> 00:40:53,359
Speaker 1: course what's happened in Iran and the what's happening with

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00:40:53,440 --> 00:40:57,239
Speaker 1: Iran visa vie their comments on Israel. Yeah, I think

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00:40:57,280 --> 00:41:00,759
Speaker 1: that your point about the sleeping giant in UH in

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00:41:01,040 --> 00:41:04,120
Speaker 1: UH in Florida, the former President Donald Trump and some

705
00:41:04,160 --> 00:41:06,160
Speaker 1: of the comments he's making to try and get back

706
00:41:06,200 --> 00:41:10,040
Speaker 1: into the game have been pretty revealing. I went back

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00:41:10,080 --> 00:41:15,279
Speaker 1: on the attack against UH centator Mitch McConnell basically told

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00:41:15,320 --> 00:41:17,759
Speaker 1: him he didn't know what he was doing. Uh, and

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00:41:17,840 --> 00:41:23,200
Speaker 1: that echoed in the interviews that that uh uh the

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00:41:23,360 --> 00:41:26,719
Speaker 1: former speaker has been talking about with his book. So

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Speaker 1: I think we've got a lot to look forward to

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00:41:29,200 --> 00:41:32,839
Speaker 1: this week. It will be both interesting and entertaining. That's

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Speaker 1: it for today's show. I'm Rick Davis, this is Bloomberg.

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Speaker 1: I want to thank our guests and UH have a

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Speaker 1: good Monday night