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Speaker 1: Hey, guys, ready or not, twenty twenty four is here,

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Speaker 1: and we here at Breaking Points, are already thinking of

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Speaker 1: ways we can up our game for this critical election.

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Speaker 1: We rely on our premium subs to expand coverage, upgrade

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Speaker 1: the studio ad staff give you, guys, the best independent

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Speaker 1: coverage that is possible. If you like what we're all about,

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Speaker 1: it means the absolute world to have your support. What

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Speaker 1: are you waiting for? Become a premium subscriber today at

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Speaker 1: Breakingpoints dot com. Good morning, everybody, Happy Thursday. We have

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Speaker 1: an amazing show for everybody today. What do we have

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Speaker 1: a crystal? Indeed, we do a lot of big stuff

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Speaker 1: actually happening here domestically. So first of all, we have

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Speaker 1: the very latest on that utter betrayal of President, big

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Speaker 1: union guy Joe Biden, who is now a union buster,

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Speaker 1: stripe breaker, all of the rest. So some legislative action

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Speaker 1: there break that down for you. We also have new

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Speaker 1: indications from the Fed on exactly what they are doing.

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Speaker 1: Markets are happy, but those who are in wages may

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Speaker 1: not be. We also have more moves with regards to Twitter,

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Speaker 1: European regulators indicating they may crack down, may block the

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Speaker 1: app if they don't change what they are doing and

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Speaker 1: how they are approaching things under Elon Musk. We also

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Speaker 1: have a gay marriage now codified passed through the Senate.

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Speaker 1: We've got the details of which Republicans voted for it

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Speaker 1: and which ones did not, so that's also very interesting.

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Speaker 1: And we have some new inside details about the now

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Speaker 1: infamous meeting with Trump and Kanye West and Milo unapolists

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Speaker 1: and Nick Fuenttes and questions over whether this may have

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Speaker 1: been all a setup, which is pretty interesting to get to.

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Speaker 1: And then we had to add this into the show.

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Speaker 1: This was crazy. Sam Bankman Freed sat for an hour

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Speaker 1: long interview with The New York Times Andre Ross Sorkin.

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Speaker 1: He got asked about everything. How much money do you

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Speaker 1: have left? Hey, what happened? Were you lying? How much

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Speaker 1: money did you steal? All of the rest, So we

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Speaker 1: have that for you as well, that we added into

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Speaker 1: the show last minute. We also have Ross Barkin back

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Speaker 1: to talk about moves that Mayor Eric Matt Adams is

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Speaker 1: making to have police involuntarily commit more mentally ill homeless people.

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Speaker 1: Obviously that is extraordinary controversial. So all of that is

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Speaker 1: in the show. But before we get to that live show,

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Speaker 1: live show. Put it up there on the screen, New

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Speaker 1: York and Boston next week, guys, December six wire December seventh.

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Speaker 1: Go ahead and buy tickets. Guys. It's going to be

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Speaker 1: a hell of a lot of fun. We've got a

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Speaker 1: fun show planned for all of you. We've got the

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Speaker 1: meet and greet with the VIPs for our lifetime members

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Speaker 1: who we will be reimbursing the tickets, just as a

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Speaker 1: reminder to all of them. And I just want to

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Speaker 1: say thank you again to everybody who's bought tickets so far.

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Speaker 1: If you can, we would really like to have a

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Speaker 1: sold out show and it'll be a hell of a

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Speaker 1: lot of fun. So links down there in the description.

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Speaker 1: With that, let's get to the rost. And by the way, guys,

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Speaker 1: these are the last dates we have on the calendar, yeah,

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Speaker 1: for a while, so you know, we're we've been excited.

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Speaker 1: It's been fun doing these live shows. Supercided, excited to

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Speaker 1: come back to New York and to come to Boston

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Speaker 1: for the first time. So if you're able to join us,

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Speaker 1: we would absolutely love that. All right, let's get to

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Speaker 1: the rail strike that the Biden administration is attempting to avert.

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Speaker 1: We've had legislative action now in the House. And there

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Speaker 1: were a couple of things that happened here. So I've

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Speaker 1: gone through the backstory here fifteen different times. But essentially,

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Speaker 1: railway labor relations are governed by a separate set of

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Speaker 1: law that enables Congress to intervene and cramm down whatever

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Speaker 1: deal they want on labor and on the rail industry.

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Speaker 1: So you had a tentative deal that was put forward

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Speaker 1: by the Biden administration, working with the railroad bosses and

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Speaker 1: also with the union leaders, and you had a significant

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Speaker 1: percentage of workers rank and file workers who looked at

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Speaker 1: that deal saw that they were only getting one paid,

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Speaker 1: paid day of sick leave, which is insane, and said, no,

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Speaker 1: this is not good enough. Well, the Biden administration, Joe

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Speaker 1: Biden himself came in and said, Okay, well we don't care.

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Speaker 1: I'm going to ask Congress to go ahead and force

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Speaker 1: this deal on you, even though many of you voted

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Speaker 1: this down. Nancy Pelosi jumping right in and going along

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Speaker 1: with it. But you had two things that were interesting

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Speaker 1: that happened that made things a little bit more complicated.

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Speaker 1: You had progressives, led by Jamal Bowman, saying this is

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Speaker 1: unacceptable we must also pass paid sickly Bernie Sanders leading

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Speaker 1: that side on the Senate. And you also, and I

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Speaker 1: think this mattered in terms of how this is all

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Speaker 1: going down. You also had a few Republicans, led by

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Speaker 1: Marco Rubio, also saying this is unfair to workers, so

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Speaker 1: sort of putting some pressure on Democrats to cut a

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Speaker 1: better deal for workers than what was in that original

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Speaker 1: tentative agreement. So instead of doing what would have made

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Speaker 1: all the sense in the world, which is to just

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Speaker 1: add some paid sick days into the tentative agreement, they

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Speaker 1: decided to do this complicated thing of having one vote

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Speaker 1: on the tentative agreement as it stands, and a separate

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Speaker 1: vote on adding seven paid sick days into the deal.

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Speaker 1: So that has now passed the House. Let's go ahead

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Speaker 1: and put this up on the screen the headline, here's

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Speaker 1: House votes to avert rail strike in deal on unions.

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Speaker 1: You have statements here from the Railroad, like the Corporate Association,

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Speaker 1: they say, unless Congress wants to become the de facto

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Speaker 1: endgame for future negotiations, any effort to put its thumb

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Speaker 1: on the bargaining scale to artificially advantage either party or

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Speaker 1: otherwise obstruct a swift resolution would be wholly irresponsible. So

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Speaker 1: they're pissed off about the paid sick leave vote that

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Speaker 1: occurred as well and also passed, although by a more

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Speaker 1: narrow margin. On the other hand, you have the labor Coalition.

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Speaker 1: They are also upset. They say that they praise the

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Speaker 1: vote to add sick time. They told lawmakers who voted

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Speaker 1: against it that they had quote abandoned your working class constituents.

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Speaker 1: Just as a reminder, here, as things stand right now,

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Speaker 1: most rail workers do not get any any paid sick time.

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Speaker 1: And this whole thing, just to put it in context

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Speaker 1: and step back for a second, this whole thing is

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Speaker 1: because the railroad bosses do not want to cut even

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Speaker 1: a percentage point into their extraordinary profit margins to make

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Speaker 1: sure that their workers, when they get sick, can take

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Speaker 1: a little bit of time off. That's it. That's what

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Speaker 1: the whole thing is about. And at this point Biden

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Speaker 1: is basically having his you know, pat Co moment air

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Speaker 1: traffic controllers famously back Reagan busted that strike, he is

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Speaker 1: having a very similar moment here and attempting to bust

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Speaker 1: this potential railroad worker strike taking away all of their

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Speaker 1: leverage after they've been through all of the paces and siding.

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Speaker 1: At the end of the dao, he wrings his hands

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Speaker 1: and he's reluctant, but at the end of the day

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Speaker 1: he is sided with the railroad bosses here in terms

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Speaker 1: of who voted what way. Let's go ahead and put

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Speaker 1: this more perfect union tweet up on the screen they

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Speaker 1: think breaking House passes legislation guaranteeing seven days of paid

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Speaker 1: sick leave as part of a mandated rail labor agreement.

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Speaker 1: The vote was two twenty one to two oh seven.

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Speaker 1: All of the Democrats back to the measure. Okay, that's good.

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Speaker 1: All Republicans opposed it except for three. The Senate is

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Speaker 1: expected to vote on the rail labor contract tomorrow. We

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Speaker 1: are actually not sure exactly when the Senate is expected

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Speaker 1: to take up these two pieces, but soccer, it seems

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Speaker 1: pretty clear here that you know, the bottom line is

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Speaker 1: the administration, Biden administration really didn't care about the paid

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Speaker 1: sick leave. All they really care about is cramming down

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Speaker 1: this core tentative agreement. And so by keeping these two

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Speaker 1: votes divided makes it very possible, if not likely, that

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Speaker 1: in the Senate you get the tentative agreement passed, and

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Speaker 1: the paid sick leave, which is the part that's really

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Speaker 1: important to workers, goes down flame. Yeah, ironically, And we'll

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Speaker 1: get to this and maybe the Republicans who sink the deal,

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Speaker 1: and I'll talk about more about their political motivations later on.

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Speaker 1: But I actually think it's very again important to understand

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Speaker 1: something that laid out before. The seven railway companies had

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Speaker 1: a combined net income of twenty seven billion dollars. That

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Speaker 1: is up from fifteen billion a decade earlier. Over the

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Speaker 1: past decade, six of the seven publicly traded railway stocks

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Speaker 1: have paid out one hundred and forty six billion in

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Speaker 1: stock buybacks and dividends, thirty billion dollars more in cash

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Speaker 1: than they invested in their own businesses. On top of that,

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Speaker 1: the stock is up by three hundred percent in the

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Speaker 1: last decade. On top of that, they've actually shrunk their workforce,

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Speaker 1: which is part of the reason why these guys are

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Speaker 1: being worked so hard on the railroads. And they did

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Speaker 1: not negotiate their deal in good faith with the government

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Speaker 1: because and I think it's becoming very clear, Crystal, the

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Speaker 1: rail companies basically told Biden, They're like, this is as

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Speaker 1: far as we're going to go and Biden was like, Okay, well,

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Speaker 1: if the unions don't go for it, I'll just force

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Speaker 1: Congress to ram it down their throats. And that appears

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Speaker 1: to be exactly what's happening. I also am seeing a

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Speaker 1: lot of media malpractice in this story. There is oh

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Speaker 1: absolutely from the beginning, there's really no coverage about the demands.

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Speaker 1: I've even spoken privately with some people and they're like,

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Speaker 1: why are these guys going on strike in the first place,

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Speaker 1: And I'll explain. I'll be like, they don't have any

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Speaker 1: paid sick time. They work like thirty days on when

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Speaker 1: if they get even a cold, like they can't take

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Speaker 1: any time off and they don't get paid. And they're like, oh,

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Speaker 1: that sounds kind of crazy. I was like, yeah, yeah,

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Speaker 1: fick right right, And this is their basically only shot

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Speaker 1: to improve that tale. I mean, I can tell you

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Speaker 1: what's going to happen, like this deal. If what we

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Speaker 1: excpt to happen ultimately happens and the tentative agreement is

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Speaker 1: crammed down their throat. There is some talk online of

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Speaker 1: a wildcat strike, of going ahead with the strike even

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Speaker 1: though you know we technically illegal. More likely what's going

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Speaker 1: to happen is you just have a mass exodus of

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Speaker 1: workers and the railroads. And this is where you know,

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Speaker 1: this is about so much more than just what these

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Speaker 1: individual workers deserve, even though that is such an important

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Speaker 1: part of it that we never want to lose sight of.

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Speaker 1: Because it also is kind of a seminal moment in

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Speaker 1: labor history. You have this burgeoning grassroots labor movement. These

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Speaker 1: things are very dependent on momentum, They're very dependent on

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Speaker 1: the mood and the tone that is struck from the

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Speaker 1: very top. We saw what happened with Ronald Reagan back

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Speaker 1: in the day when he broke that air traffic controller

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Speaker 1: strike that really put a chill through the labor movement

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Speaker 1: for decades, and especially because transit workers are so visible

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Speaker 1: and so central to the economy, these things can really

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Speaker 1: really set the tone. So you got this dude who

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Speaker 1: claims to be, oh, I'm going to be the most

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Speaker 1: pro union president in history, and listen, I have given

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Speaker 1: him a lot of credit for some of the personnel

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Speaker 1: he's put in place in particular that has in fact

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Speaker 1: enabled this grassroots labor movement. Now, on the other hand,

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Speaker 1: he the pro acts he floated, it, he dropped it

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Speaker 1: almost immediately, didn't really fight for it. He had workers

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Speaker 1: to the White House as this sort of like virtue

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Speaker 1: signal deal with Christian Swalls of Amazon Labor Union, but

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Speaker 1: he never actually used the power of his office to

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Speaker 1: do what he said he would do, which is to

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Speaker 1: deny federal contracts to any union busters. So he's fallen

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Speaker 1: short every step of the way. Let's be really clear,

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Speaker 1: but this is an extraordinary betrayal, and it's not just

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Speaker 1: railroad workers who are taking notice, and that's why this

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Speaker 1: is so extraordinarily significant. On that betrayal. Just to underscore

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Speaker 1: it here, joanah Furman, of course, has been a phenomenal

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Speaker 1: labor reporter and has been tracking this from the very beginning.

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Speaker 1: If you don't follow, and make sure that you do,

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Speaker 1: he says, after the House votes include seven paid six

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Speaker 1: days for rail workers, the White House comes out with

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Speaker 1: the statement that doesn't even mention those paid sick days.

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Speaker 1: So they were given another chance to support paid sick

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Speaker 1: days for rail workers, and Biden clearly chooses not to

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Speaker 1: let me read a little bit of Biden's statement because

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Speaker 1: this was kind of revealing. He said in part in

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Speaker 1: this latest statement without the certainty of a final vote

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Speaker 1: to avoid a shut down this week, railroads will begin

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Speaker 1: to halt the movement of critical materials like chemicals to

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Speaker 1: clean our drinking water as soon as this weekend. Let

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Speaker 1: me say that again. Without action this week, disruptions to

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Speaker 1: our auto supply chains, our ability to move food to tables,

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Speaker 1: and our ability to remove hazardous waste from gasoline refineries

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Speaker 1: will begin. So there's two things to note there. Number One,

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Speaker 1: he's not talking about the needs of the workers. He's

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Speaker 1: talking about the potential economic threat. So he's focused on like, oh,

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Speaker 1: you can't have this disruption of a potential strike. So

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Speaker 1: that is a very corporate friendly narrative that he's putting

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Speaker 1: up there. Number Two, as Jonah says, does it even

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Speaker 1: made mention the paid sicklyve that just passed through the House.

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Speaker 1: He could be urging the Senate to pass that as well.

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Speaker 1: And I said there were two things, there's actually a

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Speaker 1: third thing, which is that he says without the certainty

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Speaker 1: of the final vote, railroads will begin to halt the

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Speaker 1: movement of critical materials. So that's actually the way he

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Speaker 1: says that it's not actually a strike action he's worried

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Speaker 1: about he's worried about about a lockout, which is what

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Speaker 1: we saw last time around when before the deadline actually

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Speaker 1: came up, the railroad bosses decided to scale back their

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Speaker 1: activity as a sort of an economic threat to heighten

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Speaker 1: their own leverage. So a lot that's very revealing. Oh absolutely,

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Speaker 1: I mean I think this is about political motivation more

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Speaker 1: than anything, which is he doesn't believe that there is

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Speaker 1: any real benefit to standing with the workforce more so

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Speaker 1: than here. Look, let's also be honest, if this happens,

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Speaker 1: gas price would probably go up by two or three

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Speaker 1: dollars a gallon out West. An extraordinary amount of their

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Speaker 1: gas comes via railway. On top of goods, there's a

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Speaker 1: lot of other parishable goods and other things that also

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Speaker 1: move by rail, And so they're like, well, the economic

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Speaker 1: disruption that it would cause political press problems for us

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Speaker 1: is just simply not worth it. But look, you have

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Speaker 1: the authority to force a deal, like you can force

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Speaker 1: actually whatever deal you want. You could endorse that, and

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Speaker 1: they're just choosing not to do it. Crystal. I think

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Speaker 1: that is again, if the media had done a better

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Speaker 1: job of explaining this to people, I don't think that

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Speaker 1: they would really comprehend how like little the demand on

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Speaker 1: the railway workers actually are and the extent to which

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Speaker 1: the rail companies are willing to effectively crash the economy

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Speaker 1: if they want to just to keep on their grubby

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Speaker 1: profits and continue stock buybacks. There's not even any provision

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Speaker 1: in the deal which Congress would happily do, be like, okay,

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Speaker 1: we'll accept this deal, then you can't buy a bount

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Speaker 1: more stock an they don't even put that in there,

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Speaker 1: even put that in the COVID bailout, not even in

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Speaker 1: this one stop. Buybacks used to be illegal, and they

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Speaker 1: should be illegal again because it really is just like

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Speaker 1: financial fakery and rigging and more profits to the people

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Speaker 1: who don't need it, to the very very rich and

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Speaker 1: executive class. And this also, you know, if this deal

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Speaker 1: without the paid sick leave goes through, this is very

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Speaker 1: likely to have deley serious impact on the rail freight

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Speaker 1: industry because already, through the poor business decision making of

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Speaker 1: the rail bosses, already they are stretched extraordinarily, extraordinarily thin.

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Speaker 1: And this was a trend that started before the COVID pandemic.

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Speaker 1: Then the pandemic exacerbates everything they've lost, so much of

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Speaker 1: it they've laid off so much of their workforce, and

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Speaker 1: then when they say, hey, guys, come back, well, guess what.

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Speaker 1: People have moved on and they aren't too excited to

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Speaker 1: go back to an industry where they get zero paid

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Speaker 1: sick leaf. So you're likely to see a continued exodus.

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Speaker 1: They're very likely to continue to struggle to fill those holes.

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Speaker 1: And so ultimately, you know, what have we experienced in

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Speaker 1: terms of the inflation and the supply chain disruptions, Like

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Speaker 1: when we down the road a year from now are saying, geez,

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Speaker 1: why isn't this working? Well, remember this moment right here

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Speaker 1: where these bosses were so greedy that they wouldn't even

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Speaker 1: agree to give their workers a few days of paid

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Speaker 1: sick leaf. And you know, the workers, many of whom

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Speaker 1: voted for Joe Biden, some of whom didn't, but many

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Speaker 1: of whom did, feel extraordinarily betrayed. Credit to the New

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Speaker 1: York Times for actually talking to a few workers about this.

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Speaker 1: Let's go and put this up on the screen. They

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Speaker 1: highlight one legislative representative for his local union, guy named

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Speaker 1: Gabe Kristensen, a long time freight railroad conductor. He worked

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Speaker 1: hard to help elect Joe Biden for as president in

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Speaker 1: twenty twenty. He says, yeah, I have shirts from me

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Speaker 1: campaigning blue collar Biden shirts. I knocked on door doors

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Speaker 1: for him for weeks and weeks and weeks. But since Monday,

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Speaker 1: when President Biden urged Congress to impose a labor agreement

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Speaker 1: that his union had voted down, mister Kristensen has been

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Speaker 1: besieged by text from furious co workers, whom he had

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Speaker 1: encouraged to support the president. I am trying to calm

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Speaker 1: them down, he said. You know, it's just heartbreaking to

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Speaker 1: think of what sense of betrayal these workers are facing

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Speaker 1: right now. And they also quote someone else who works

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Speaker 1: for the railroads who says exactly what we were talking about,

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Speaker 1: you're likely to see in exodus. He says, it's going

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Speaker 1: to be like having a strike without having a strike,

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Speaker 1: because you're going to have so many workers ultimately leave

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Speaker 1: this industry. And you know, rail freight is incredibly critical

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Speaker 1: to everything we do in this country, so if you

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Speaker 1: have a massive labor shortage there, it's going to be

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Speaker 1: a big problem in socer. I think in a lot

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Speaker 1: of ways with Biden, the original sin was the presidential

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Speaker 1: board that he put together that was like the first

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Speaker 1: step in this process. So he gets together this group,

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Speaker 1: they negotiate amongst themselves. They come out with this potential

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Speaker 1: deal that did not that sided with the bosses, like

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Speaker 1: one hundred percent, did not even expand a single day

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Speaker 1: of paid sick leave. And so that was the starting point.

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Speaker 1: I mean, these workers have been saying the whole time,

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Speaker 1: this really isn't about wages. Of course, more wages are nice,

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Speaker 1: but this is about standard quality of living. This is

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Speaker 1: about standard of living concerns, and specifically around paid sick leave.

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Speaker 1: And so his original board doesn't even deal with that

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Speaker 1: issue at all. And I really think from there that

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Speaker 1: that's where things start going sideways in terms of these

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Speaker 1: workers demands. No, I think you're right, and I think

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Speaker 1: what's very important again to understand on this is that

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Speaker 1: these guys did not negotiating good faith. I just don't

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Speaker 1: think any of us could expect that this outcome would

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Speaker 1: have happened if the Railway Labor Act didn't exist. And

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Speaker 1: that's the point, which is actually I'll get to this

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Speaker 1: and I'm talking about the Republicans, but I think there's

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Speaker 1: an important, like almost quasi libertarian aspect to this. We're like,

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Speaker 1: hold on a second, Like you have a democratic, non

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Speaker 1: governmental institution, the union of the actual workers themselves, where

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Speaker 1: like this is not going to work for us, and

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Speaker 1: then the government just gets to come in and say no,

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Speaker 1: actually that's not it. Like since when do they get

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Speaker 1: to set the basic conditions of your employment? Like in

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Speaker 1: a free market capitalist system, at least the way we

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Speaker 1: have it, we're supposed to set the floor and then

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Speaker 1: everybody can go do whatever they want from there. Like

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Speaker 1: this takes freedom really out of the equation in terms

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Speaker 1: of the ability for you and collectively to determine the

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Speaker 1: conditions of your own working I think it's actually really crazy. Yeah, well,

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Speaker 1: and they kind of want to have it both ways

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Speaker 1: with the Railway Labor Act, and that's the you know,

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Speaker 1: the law that governs how all of this has ultimate

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Speaker 1: landfold and that gives Congress the authority to cram down

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Speaker 1: whatever deal on workers that they ultimately want, because that recognizes, yeah,

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Speaker 1: rail is really critical to our economy. So that's why

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Speaker 1: they put this in place ultimately to avoid the economic fallout.

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Speaker 1: But if you're recognizing it's so credical critical to the economy,

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Speaker 1: you can't also then just leave it up to the

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Speaker 1: whims of whatever is going to make the most money

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Speaker 1: for this handful of railroad bosses. So I think that

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Speaker 1: is a really important piece of this. Let's get to

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Speaker 1: what's going to happen next in the Senate, which is

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Speaker 1: it's pretty up in the air as to how this

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Speaker 1: is all ultimately going to go down. Bernie Sanders has

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Speaker 1: been leading the charge to add paid sick days to

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Speaker 1: this in Senate. Let's take a listen to what he

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Speaker 1: had to say to Chris Hayes, put up or shut

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Speaker 1: up if you can't vote for this to give workers

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Speaker 1: today who really have hard jobs, dangerous jobs. If you

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Speaker 1: can't give them, you can't guarantee them paid sickly. Don't

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Speaker 1: tell anybody that you stand with working families. So again,

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Speaker 1: I think it really sucks that they separated these two

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Speaker 1: pieces down that you have separate votes on the tentative

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Speaker 1: agreement and then on the paid sick leave. It should

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Speaker 1: have been put into one, and you know, have that

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Speaker 1: put up or shut up moment. But you know, as

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Speaker 1: it stands, those two votes are separate. So it's pretty

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Speaker 1: clear the tentative agreement that peace will go through in

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Speaker 1: the House. Of course, you had you know almost all

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Speaker 1: the Democrats and some Republicans also voting for that. The

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Speaker 1: paid sick leave passed by a much more narrow margin.

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Speaker 1: Part of this story, though, is you had progressives agitating

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Speaker 1: from one side. Like I said, Jamal Bowman and Bernie

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Speaker 1: Sanders really leading the charge there. But I think also

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Speaker 1: what put Democrats put some pressure on them to at

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Speaker 1: least have this what may end up being a show

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Speaker 1: vote on paid sick leave, is that you did have

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Speaker 1: a few Republican senators in particular who made some noise

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Speaker 1: about this being unfair to work. So you have basically

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Speaker 1: Marco Rubio, I think was the first out to get

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Speaker 1: to the left of Joe Biden on labor relations, which

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Speaker 1: is just pathetic. He says here the railways and workers

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Speaker 1: should go back and negotiate a deal that the workers,

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Speaker 1: not just the union bosses, will accept. But if Congress

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Speaker 1: is forced to do it, I will not vote to

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Speaker 1: impose a deal that does not have the support of

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Speaker 1: rail workers. Okay, that's interesting. Then you have Politico reporter

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Speaker 1: Burgess Everett here reporting on what minority whip John Thune said.

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Speaker 1: This is just underscoring the uncertainty of how this wall

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Speaker 1: go he says, I don't know at this point where

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Speaker 1: the votes are on either the base agreement or the

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Speaker 1: paid leave piece. Josh Holly eventually came out and also

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Speaker 1: sort of getting to the left of Joe Biden on

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Speaker 1: this particular labor issue. Let's go and put this next

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Speaker 1: piece up on the screen. He says he will vote

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Speaker 1: in favor of the seven days of paid sick leave

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Speaker 1: for rail workers, but does not support the underlying bill,

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Speaker 1: and he put out his own tweetless going and put

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Speaker 1: this up on the screen. He says, mister pro worker,

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Speaker 1: Joe Biden wants to use the federal government to force

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Speaker 1: railroad workers in Missouri, which of course the state Josh

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Speaker 1: Holli represents, and around the nation to accept contract terms

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Speaker 1: they rejected, not with my support. And finally we also

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Speaker 1: had Ted Cruz making some noise here saying that Congress

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Speaker 1: should not crush unions with the railay deal. As he

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Speaker 1: makes the case the GOP should ditch the quote old

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Speaker 1: National Chamber of Commerce, Republican mindset that if you unions

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Speaker 1: want it, work against it. We are the Party of

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Speaker 1: working men and women. So you at least have three

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Speaker 1: here who seem to indicate they'll vote for the paid sickly,

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Speaker 1: I mean, Ted Cruz will see it's a lot more

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Speaker 1: ambiguous rising to me, I agree, but I've been thinking

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Speaker 1: about it. I really think there is like almost a

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Speaker 1: libertarian aspect of this, where we're like, how can you

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Speaker 1: have the government force you to accept a deal that

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Speaker 1: you don't want to which is not illegal? Like this

432
00:21:50,920 --> 00:21:54,119
Speaker 1: is outside of minimum you know, like a somebody's not

433
00:21:54,160 --> 00:21:57,280
Speaker 1: being paid wages, Like they're outright big footing you and

434
00:21:57,320 --> 00:22:01,040
Speaker 1: being like, no, what you want is trumped by national interest.

435
00:22:01,040 --> 00:22:03,840
Speaker 1: So it's like, okay, then pay us. If you want that,

436
00:22:03,920 --> 00:22:06,000
Speaker 1: then the okay, then the Fed should ponied up or

437
00:22:06,040 --> 00:22:09,800
Speaker 1: they should come to some agreement there. I really believe

438
00:22:09,880 --> 00:22:12,080
Speaker 1: that this is a potent and interesting one. I also

439
00:22:12,080 --> 00:22:13,920
Speaker 1: do want to say it's savvy move because you both

440
00:22:13,920 --> 00:22:16,000
Speaker 1: get to be pro labor and also of a dozen paths,

441
00:22:16,000 --> 00:22:17,360
Speaker 1: and the economy is bad and it's gonna be bad

442
00:22:17,359 --> 00:22:18,920
Speaker 1: for Joe Bob right, So I mean that's the other

443
00:22:19,080 --> 00:22:21,320
Speaker 1: that's the other part of this is there's clearly like

444
00:22:21,440 --> 00:22:23,960
Speaker 1: there's a partisan motivation here. There's no doubt about it.

445
00:22:24,640 --> 00:22:26,879
Speaker 1: I mean, I'm right, I'm of two minds about it.

446
00:22:26,880 --> 00:22:29,600
Speaker 1: First of all, we do have to note in the

447
00:22:29,640 --> 00:22:33,480
Speaker 1: modern era, in my entire life, to have a national

448
00:22:33,520 --> 00:22:37,760
Speaker 1: Republican figure saying anything that is remotely pro labor siding

449
00:22:37,800 --> 00:22:41,000
Speaker 1: with labor in any way is an extraordinary event. I mean,

450
00:22:41,119 --> 00:22:44,560
Speaker 1: it just hasn't happened. And even previously when Marco Rubio

451
00:22:44,600 --> 00:22:47,040
Speaker 1: put on that op ed about the Amazon down in

452
00:22:47,119 --> 00:22:49,199
Speaker 1: bestment of the union drive, and it was very like,

453
00:22:49,359 --> 00:22:52,320
Speaker 1: I thiss, one limited instance, maybe I support the workers

454
00:22:52,320 --> 00:22:54,239
Speaker 1: because of the wok HR department and made it very

455
00:22:54,240 --> 00:22:57,800
Speaker 1: specific to like the Amazon executives, But this is more broad.

456
00:22:58,560 --> 00:23:03,119
Speaker 1: And look there they have. These three have taken a

457
00:23:03,240 --> 00:23:06,560
Speaker 1: better position on this issue than Joe Biden, mister pro worker,

458
00:23:06,600 --> 00:23:09,160
Speaker 1: as Josh Holly says. And I do think the fact

459
00:23:09,160 --> 00:23:11,080
Speaker 1: that they came out so quickly is part of why

460
00:23:11,080 --> 00:23:13,760
Speaker 1: we're even having a vote on paid sick leaves, so

461
00:23:13,800 --> 00:23:16,840
Speaker 1: that matters. Just keep in mind though that in the

462
00:23:16,920 --> 00:23:20,639
Speaker 1: House every Democrat voted for the paid sick leave and

463
00:23:20,840 --> 00:23:23,720
Speaker 1: three Republicans voted for it. So before we get ahead

464
00:23:23,720 --> 00:23:25,760
Speaker 1: of ourselves in terms of like a new era and

465
00:23:25,800 --> 00:23:28,600
Speaker 1: the Republican Party or whatever, but you know, these these

466
00:23:28,600 --> 00:23:31,919
Speaker 1: little things do make a difference and help to shift

467
00:23:32,040 --> 00:23:35,240
Speaker 1: what is possible. If you had a bipartisan pro labor coalition,

468
00:23:35,320 --> 00:23:37,159
Speaker 1: My god, that would be an extraordinary thing in America.

469
00:23:37,200 --> 00:23:39,679
Speaker 1: If I was a Republican, like I said, politically savvy,

470
00:23:39,680 --> 00:23:41,359
Speaker 1: I would want the economy to be bad. Unter Biden,

471
00:23:41,359 --> 00:23:42,840
Speaker 1: I'm not saying this is moral, but I'm saying that

472
00:23:42,880 --> 00:23:44,600
Speaker 1: this is what politically that you would want to do. Yeah,

473
00:23:44,600 --> 00:23:46,879
Speaker 1: and also you get to say, like, well, I'm standing

474
00:23:46,880 --> 00:23:48,320
Speaker 1: with the workforce, what are you doing? We have to

475
00:23:48,320 --> 00:23:50,560
Speaker 1: put yourself on bad side of politics. Unions are more

476
00:23:50,600 --> 00:23:53,440
Speaker 1: popular than ever in the year twenty twenty two. So look,

477
00:23:53,600 --> 00:23:56,280
Speaker 1: I mean my thing is is you take cynicism and

478
00:23:56,320 --> 00:23:57,719
Speaker 1: you just take it where you can get it, and

479
00:23:57,760 --> 00:24:00,840
Speaker 1: it's it's a cynical move up in the right place.

480
00:24:00,840 --> 00:24:03,440
Speaker 1: So whatever, I'm hoping that they do crush the deal

481
00:24:03,480 --> 00:24:05,960
Speaker 1: because I mean, from what I have heard, there have

482
00:24:06,000 --> 00:24:09,360
Speaker 1: been ongoing discussions on the GOP caucus side, And part

483
00:24:09,359 --> 00:24:11,000
Speaker 1: of the reason that John Thune is out there is

484
00:24:11,040 --> 00:24:14,480
Speaker 1: because look, if they had only three people who were dissenting,

485
00:24:14,480 --> 00:24:15,600
Speaker 1: then they could come out and they would have had

486
00:24:15,600 --> 00:24:17,960
Speaker 1: the vote. Last night, they held the floor open, actually

487
00:24:18,000 --> 00:24:20,080
Speaker 1: quite late. They were not able to get to cloture.

488
00:24:20,280 --> 00:24:22,280
Speaker 1: Now there's a lot of bargaining and all that going

489
00:24:22,320 --> 00:24:25,879
Speaker 1: on right now. So maybe there is a secret not

490
00:24:25,920 --> 00:24:29,040
Speaker 1: even caucus. Maybe there is a sizable contingent of the

491
00:24:29,040 --> 00:24:31,080
Speaker 1: GOP which is coming out and be like, you know,

492
00:24:31,200 --> 00:24:33,600
Speaker 1: politically it is not so bad for us. Also, as

493
00:24:33,600 --> 00:24:35,439
Speaker 1: far as I know, have not seen McConnell make a

494
00:24:35,440 --> 00:24:38,520
Speaker 1: major statement on this yet. I also did reach out

495
00:24:38,520 --> 00:24:40,919
Speaker 1: to the Trump campaign to ask for a position on this.

496
00:24:41,240 --> 00:24:43,320
Speaker 1: We haven't heard anything yet. So I'm also curious, like,

497
00:24:43,359 --> 00:24:44,760
Speaker 1: if I were Trump, this is one of those things

498
00:24:44,800 --> 00:24:47,040
Speaker 1: that I would come out too and to try and

499
00:24:47,040 --> 00:24:51,639
Speaker 1: make it. He's too vests, street tweeting like QAnon nonsense.

500
00:24:51,840 --> 00:24:54,560
Speaker 1: But if he were in this would be a very

501
00:24:54,840 --> 00:24:57,919
Speaker 1: very savvy move on twenty sixteen. Trump, he would do it.

502
00:24:57,920 --> 00:25:01,520
Speaker 1: You would do it this dude today. Yeah, he's lost.

503
00:25:01,640 --> 00:25:04,080
Speaker 1: I don't know, he's lost the plot on basically everything.

504
00:25:04,160 --> 00:25:08,240
Speaker 1: But yeah, I mean it's an interesting moment. I guess.

505
00:25:08,240 --> 00:25:10,200
Speaker 1: The other thing that I just want to point out

506
00:25:10,400 --> 00:25:14,120
Speaker 1: is in terms of the House, I think the right

507
00:25:14,200 --> 00:25:18,240
Speaker 1: move for progressives who wanted to force the hand of

508
00:25:18,280 --> 00:25:20,520
Speaker 1: the White House and really make a statement here and

509
00:25:20,560 --> 00:25:23,119
Speaker 1: be as pro labor as possible would have been to

510
00:25:23,240 --> 00:25:27,359
Speaker 1: vote down to vote against the tentative agreement. Now I

511
00:25:27,359 --> 00:25:29,560
Speaker 1: think even without them it probably still would have passed.

512
00:25:29,600 --> 00:25:31,720
Speaker 1: But the correct move was to vote down that agreement

513
00:25:31,800 --> 00:25:35,760
Speaker 1: and vote for the paid sickly. If you had progressives

514
00:25:35,760 --> 00:25:38,639
Speaker 1: in the Senate who were staking out that position of like,

515
00:25:38,680 --> 00:25:40,479
Speaker 1: we are not going to vote for the tentative agreement,

516
00:25:40,480 --> 00:25:43,840
Speaker 1: we will vote for the paid sick leave, possibly you

517
00:25:43,880 --> 00:25:47,200
Speaker 1: could have enough votes against the tentative agreement to actually

518
00:25:47,320 --> 00:25:51,200
Speaker 1: vote it down. But since the Democrats have almost all

519
00:25:51,240 --> 00:25:53,720
Speaker 1: decided just to go along with the Biden administration on

520
00:25:53,760 --> 00:25:57,480
Speaker 1: the tentative agreement and then go for this separate vote

521
00:25:57,480 --> 00:26:00,280
Speaker 1: on the paid sick leave, which is probably doomed to fail, well,

522
00:26:00,440 --> 00:26:02,960
Speaker 1: I think that's very unlikely to happen. So the way

523
00:26:03,000 --> 00:26:05,840
Speaker 1: things stand this morning, it looks very much like these

524
00:26:05,880 --> 00:26:07,760
Speaker 1: workers are going to end up getting the short end

525
00:26:07,800 --> 00:26:10,280
Speaker 1: of the stick, getting screwed over, once again, betrayed by

526
00:26:10,280 --> 00:26:11,919
Speaker 1: the very man who claimed that he was going to

527
00:26:11,920 --> 00:26:14,960
Speaker 1: be their champion. It's a sad state of affairs. It

528
00:26:15,000 --> 00:26:18,360
Speaker 1: will have reverberating impacts across the labor movement. It will

529
00:26:18,400 --> 00:26:22,280
Speaker 1: have reverberating impacts across our supply chain and the rail

530
00:26:22,320 --> 00:26:26,280
Speaker 1: industry for years to come. And it's did not have

531
00:26:26,359 --> 00:26:28,600
Speaker 1: to be this way, did not have to be this

532
00:26:28,640 --> 00:26:31,879
Speaker 1: way whatsoever. Biden had many other choices. If he wanted

533
00:26:31,880 --> 00:26:33,719
Speaker 1: to take the moderate position, he could have, you know,

534
00:26:33,880 --> 00:26:36,080
Speaker 1: gone for the deal but added the paid sick leaven.

535
00:26:36,160 --> 00:26:38,520
Speaker 1: That would have been totally a much more better state,

536
00:26:38,600 --> 00:26:40,680
Speaker 1: a much better state of affairs than what we're ultimately

537
00:26:40,760 --> 00:26:43,960
Speaker 1: likely to end up with here. All right, more economic

538
00:26:44,000 --> 00:26:46,280
Speaker 1: news for you, because we did get some comments from

539
00:26:46,480 --> 00:26:49,080
Speaker 1: Jerome Pale about exactly what the Fed is likely to

540
00:26:49,160 --> 00:26:51,480
Speaker 1: do the next time that they meet. Let's go ahead

541
00:26:51,520 --> 00:26:54,399
Speaker 1: and put this up on the screen. Jerome Palll, Federal

542
00:26:54,440 --> 00:26:57,960
Speaker 1: Reserve Chair, says that they could slow rate hikes at

543
00:26:57,960 --> 00:27:00,679
Speaker 1: the next meeting. So we're looking then at a point

544
00:27:00,720 --> 00:27:04,040
Speaker 1: five percent increase versus the point seventy five percent increase

545
00:27:04,080 --> 00:27:07,840
Speaker 1: that we have been looking at in previous months. You know,

546
00:27:07,920 --> 00:27:11,960
Speaker 1: this has been an extraordinary period of fiscal tightening to

547
00:27:12,000 --> 00:27:15,199
Speaker 1: try to get inflation under control. And there are some

548
00:27:15,440 --> 00:27:18,000
Speaker 1: disturbing comments here for Powell that I will get into

549
00:27:18,200 --> 00:27:21,240
Speaker 1: for a moment, but basically what he says is the

550
00:27:21,280 --> 00:27:24,200
Speaker 1: time for moderating the pace of rate increases may come

551
00:27:24,359 --> 00:27:27,119
Speaker 1: as soon as the December, meaning that meeting happens December

552
00:27:27,160 --> 00:27:30,360
Speaker 1: thirteenth and fourteenth, so it's just around the corner. Still.

553
00:27:30,400 --> 00:27:34,040
Speaker 1: He said that ongoing increases will be appropriate, and that

554
00:27:34,119 --> 00:27:37,000
Speaker 1: what matters most is the level rates ultimately rise to

555
00:27:37,160 --> 00:27:40,360
Speaker 1: and how long they remain elevated, rather than the rate

556
00:27:40,440 --> 00:27:44,879
Speaker 1: of change. The stock market loved these comments. Exultant, you

557
00:27:44,960 --> 00:27:48,000
Speaker 1: might say, upon the news. Let's go and put this

558
00:27:48,080 --> 00:27:49,640
Speaker 1: up on the screen. This is from yesterday. The Dow

559
00:27:49,720 --> 00:27:55,520
Speaker 1: jumped seven hundred points after Powell signals smaller rate hikes,

560
00:27:55,920 --> 00:27:58,240
Speaker 1: so they are hoping that this will be the end

561
00:27:58,280 --> 00:28:01,480
Speaker 1: of the super of ross hikesoldo, you know, zero point

562
00:28:01,520 --> 00:28:05,440
Speaker 1: five percent is still significant. And what really bothered me, though,

563
00:28:05,560 --> 00:28:09,280
Speaker 1: Sagar about his comments yesterday is he continues to talk

564
00:28:09,320 --> 00:28:12,320
Speaker 1: about how we've basically got to crush workers' wages and

565
00:28:12,400 --> 00:28:15,600
Speaker 1: spike unemployment to get inflation under control. It's going to

566
00:28:15,640 --> 00:28:18,560
Speaker 1: put this up on the screen. As part of his comments,

567
00:28:19,040 --> 00:28:24,160
Speaker 1: he pal cites top barrier to taming inflation workers wages.

568
00:28:24,720 --> 00:28:27,440
Speaker 1: So he says, to be clear, strong wage growth is

569
00:28:27,480 --> 00:28:30,000
Speaker 1: a good thing, but for wage growth to be sustainable,

570
00:28:30,640 --> 00:28:34,960
Speaker 1: that will require reducing demand for labor by slowing the economy.

571
00:28:35,080 --> 00:28:38,239
Speaker 1: So that's FED speak for saying that we haven't done

572
00:28:38,360 --> 00:28:40,440
Speaker 1: enough to screw workers yet and we are going to

573
00:28:40,480 --> 00:28:43,520
Speaker 1: continue on that path until we see workers in more

574
00:28:43,560 --> 00:28:45,800
Speaker 1: pain and suffering than they're already in. Yeah, it is

575
00:28:46,280 --> 00:28:48,800
Speaker 1: a complicated one because on the one hand, we are

576
00:28:48,800 --> 00:28:51,480
Speaker 1: looking at this and we're very clearly seeing that a

577
00:28:51,560 --> 00:28:54,320
Speaker 1: major recession is very much possible. And even major business

578
00:28:54,360 --> 00:28:57,200
Speaker 1: leaders actually saw you on mus yesterday tweeting that he's like,

579
00:28:57,240 --> 00:28:58,760
Speaker 1: I don't understand what the FED is doing. He's like,

580
00:28:58,800 --> 00:29:01,080
Speaker 1: I think they're going to trigger a major recession. And

581
00:29:01,160 --> 00:29:03,360
Speaker 1: a lot of big business leaders, a lot of business

582
00:29:03,480 --> 00:29:06,160
Speaker 1: environmental decisions are all starting to make sense. You are

583
00:29:06,160 --> 00:29:08,680
Speaker 1: watching like Google cut jobs for the first time ever,

584
00:29:08,760 --> 00:29:11,400
Speaker 1: Amazon even not even going as big as normal in

585
00:29:11,440 --> 00:29:14,120
Speaker 1: the holiday season, Facebook Meta, you know, so at the

586
00:29:14,160 --> 00:29:17,240
Speaker 1: major tech company level, but also even in industry. So

587
00:29:17,360 --> 00:29:20,640
Speaker 1: while wages not necessarily have gone down as much as

588
00:29:20,640 --> 00:29:23,960
Speaker 1: mister Powell would like, like new hiring, new investment, and

589
00:29:24,040 --> 00:29:27,360
Speaker 1: all of that is really bad. Finally, we cannot ignore

590
00:29:27,400 --> 00:29:30,680
Speaker 1: the housing market. The housing market is such a catastrophe.

591
00:29:30,680 --> 00:29:33,040
Speaker 1: I was reading Annie Lowry at The Atlantic wrote a

592
00:29:33,040 --> 00:29:36,160
Speaker 1: piece yesterday which was like eight reasons why buying a

593
00:29:36,160 --> 00:29:38,040
Speaker 1: home right now is the worst time ever. It is

594
00:29:38,320 --> 00:29:41,760
Speaker 1: genuinely the worst time in almost forty years to buy

595
00:29:41,840 --> 00:29:44,480
Speaker 1: a new house. It's like eight percent interest rate. But

596
00:29:44,600 --> 00:29:47,760
Speaker 1: also nobody is willing to sell their house right now

597
00:29:47,800 --> 00:29:50,440
Speaker 1: and then buy a new one, so housing inventory is

598
00:29:50,520 --> 00:29:52,920
Speaker 1: at all time low. Then you also have the fact

599
00:29:52,960 --> 00:29:55,320
Speaker 1: that the price is not dropped commiserate to the rise

600
00:29:55,480 --> 00:29:57,720
Speaker 1: of interest rate and everything else. Everybody's staying in their homes.

601
00:29:57,720 --> 00:30:01,400
Speaker 1: Everybody's like, Oh, but it'll drop, will it. I'm not

602
00:30:01,440 --> 00:30:04,600
Speaker 1: so sure. I don't actually know if that's true. Even

603
00:30:04,600 --> 00:30:07,360
Speaker 1: if it does drop by let's say ten percent, that's

604
00:30:07,400 --> 00:30:10,400
Speaker 1: still not enough to make up for the increase in

605
00:30:10,440 --> 00:30:12,800
Speaker 1: your overall mortgage payment, which has gone up by let's

606
00:30:12,800 --> 00:30:15,840
Speaker 1: say one hundred percent, So you're still getting ninety percent

607
00:30:15,880 --> 00:30:19,080
Speaker 1: screwed on that transaction. Like, there is so much that

608
00:30:19,200 --> 00:30:23,240
Speaker 1: is happening at the housing level and turmoil for our

609
00:30:23,280 --> 00:30:27,080
Speaker 1: society that I don't see. It's like a mess of glue.

610
00:30:27,240 --> 00:30:29,440
Speaker 1: I don't know how we're going to get out of this. Yeah,

611
00:30:29,480 --> 00:30:32,160
Speaker 1: in the next decade or so. I really, I really don't,

612
00:30:32,200 --> 00:30:34,760
Speaker 1: and eventually like something will give, but that will be

613
00:30:34,880 --> 00:30:36,800
Speaker 1: a hell of I think it could be more chaotic

614
00:30:36,840 --> 00:30:39,160
Speaker 1: than two thousand and eight. I keep saying housing is

615
00:30:39,200 --> 00:30:42,040
Speaker 1: such a sleeper issue. It is. It is so central too.

616
00:30:42,320 --> 00:30:44,600
Speaker 1: I mean, it's so central to our economy. That's why

617
00:30:44,720 --> 00:30:47,280
Speaker 1: I mean that is explicitly targeted the housing market. They

618
00:30:47,320 --> 00:30:49,520
Speaker 1: wanted the mortgage race to come up, to go up,

619
00:30:49,560 --> 00:30:52,959
Speaker 1: They wanted the housing market to ultimately cool. But it

620
00:30:53,040 --> 00:30:56,520
Speaker 1: is a worst of all worlds because on the one hand,

621
00:30:56,720 --> 00:31:01,440
Speaker 1: you know, if you are a homeowner, you're you're you know,

622
00:31:01,480 --> 00:31:03,840
Speaker 1: you're not in a good situation because you can't leave

623
00:31:04,000 --> 00:31:07,000
Speaker 1: if you wanted to move. And meanwhile, if you want

624
00:31:07,040 --> 00:31:10,040
Speaker 1: to buy in, obviously it's a complete disaster because prices

625
00:31:10,080 --> 00:31:12,840
Speaker 1: haven't come down at all in mortgage rates going up

626
00:31:12,880 --> 00:31:16,520
Speaker 1: means it is wildly unaffordable. And it's also not so

627
00:31:17,000 --> 00:31:19,920
Speaker 1: not only so critical for the economy as a whole,

628
00:31:19,960 --> 00:31:22,600
Speaker 1: obviously it is for that, but it's also so critical

629
00:31:22,640 --> 00:31:27,000
Speaker 1: for people's sense of self, for our conception conception as

630
00:31:27,080 --> 00:31:30,560
Speaker 1: a nation. Home Ownership is the predominant way that people

631
00:31:30,600 --> 00:31:32,880
Speaker 1: build wealth in this country, and it has just put

632
00:31:33,080 --> 00:31:36,320
Speaker 1: put out of reach practically for two generations now. So

633
00:31:36,840 --> 00:31:39,080
Speaker 1: I really think this is going to be central to

634
00:31:39,280 --> 00:31:43,520
Speaker 1: our politics for the foreseeable future. But yeah, I mean,

635
00:31:43,640 --> 00:31:47,200
Speaker 1: you continue to have pal making these noises about basically

636
00:31:47,280 --> 00:31:49,640
Speaker 1: like workers have it too good, and I just want

637
00:31:49,680 --> 00:31:52,640
Speaker 1: to say this is completely bunked. Workers wages overall have

638
00:31:52,760 --> 00:31:55,960
Speaker 1: not kept up with inflation. The idea that it's workers

639
00:31:55,960 --> 00:31:58,360
Speaker 1: that are the problem here, that they're the ones that

640
00:31:58,480 --> 00:32:01,320
Speaker 1: are you know, they're getting high pay increases and that's

641
00:32:01,360 --> 00:32:06,600
Speaker 1: what's triggering inflation, that is just wildly, wildly incorrect. In fact,

642
00:32:07,120 --> 00:32:08,680
Speaker 1: we have a tear she I'm going to show you later.

643
00:32:08,800 --> 00:32:11,920
Speaker 1: Corporate profits are an all time high. So even as

644
00:32:12,000 --> 00:32:14,040
Speaker 1: you know, you've had the markets down and you've had

645
00:32:14,240 --> 00:32:17,560
Speaker 1: inflation and all of this, they continue to read more

646
00:32:17,640 --> 00:32:20,560
Speaker 1: and more profits. Why because they're taking advantage of their

647
00:32:20,600 --> 00:32:24,520
Speaker 1: oftentimes monopolistic position. They're taking advantage of the expectations that

648
00:32:24,560 --> 00:32:26,600
Speaker 1: consumers have. The prices are going to go up and

649
00:32:26,680 --> 00:32:30,280
Speaker 1: up to gouge consumers and to continue to contribute to inflation.

650
00:32:31,120 --> 00:32:33,360
Speaker 1: There are signs though that you know, we may have

651
00:32:33,480 --> 00:32:36,840
Speaker 1: seen the sort of peak in terms of inflation, not

652
00:32:36,880 --> 00:32:39,240
Speaker 1: just here, but there are actually some encouraging signs around

653
00:32:39,280 --> 00:32:41,720
Speaker 1: the world as well that I wanted to bring to

654
00:32:41,760 --> 00:32:43,880
Speaker 1: you guys. And it's a big question mark where we

655
00:32:44,000 --> 00:32:47,480
Speaker 1: ultimately go from here. The economists are saying, it's very,

656
00:32:47,560 --> 00:32:49,560
Speaker 1: very uncertain, and I think we should all be very

657
00:32:50,480 --> 00:32:54,040
Speaker 1: cautious in any kind of predictions. But Eurozone inflation actually

658
00:32:54,040 --> 00:32:56,160
Speaker 1: eased in November. Let's put this up on the screen.

659
00:32:56,760 --> 00:33:00,280
Speaker 1: They say, further rate rises are still likely. The annual

660
00:33:00,440 --> 00:33:03,080
Speaker 1: rate of inflation in the Eurozone fell in November for

661
00:33:03,120 --> 00:33:05,560
Speaker 1: the first time since mid twenty twenty one. Is energy

662
00:33:05,600 --> 00:33:09,080
Speaker 1: prices dropped, so that means that while prices continue to

663
00:33:09,200 --> 00:33:13,680
Speaker 1: rise rapidly, they are no longer rising as rapidly as

664
00:33:13,720 --> 00:33:16,440
Speaker 1: they were. That's a long way from inflation being under

665
00:33:16,440 --> 00:33:19,560
Speaker 1: control or price stabilizing. Doesn't guarantee the inflation rate won't

666
00:33:19,600 --> 00:33:22,400
Speaker 1: pick up again, but at least we're seeing an easing

667
00:33:22,480 --> 00:33:26,280
Speaker 1: of the pace of rising inflation. They also go on

668
00:33:26,360 --> 00:33:28,920
Speaker 1: to talk about this is really interesting to me and

669
00:33:29,000 --> 00:33:31,640
Speaker 1: gets to a point we've been making, which is that

670
00:33:31,840 --> 00:33:35,200
Speaker 1: the toolkit of the FED and other central banks is

671
00:33:35,240 --> 00:33:39,040
Speaker 1: not really well suited to deal with the economic problems

672
00:33:39,040 --> 00:33:41,959
Speaker 1: that we have right now. The reason they say inflation

673
00:33:42,080 --> 00:33:45,040
Speaker 1: rates around the Euros Zone have been coming down has

674
00:33:45,120 --> 00:33:48,000
Speaker 1: nothing to do with central bank activity. Instead, it's been

675
00:33:48,040 --> 00:33:51,719
Speaker 1: heavily influenced by government measures to protect households from surging

676
00:33:51,800 --> 00:33:55,320
Speaker 1: energy prices. So, for example, in November, the Netherlands saw

677
00:33:55,360 --> 00:33:57,680
Speaker 1: the largest fall in their annual rate of inflation, which

678
00:33:57,680 --> 00:34:01,200
Speaker 1: plummeted to eleven point two percent as government caps on

679
00:34:01,400 --> 00:34:05,560
Speaker 1: energy prices came into effect. So it's not their central

680
00:34:05,640 --> 00:34:09,680
Speaker 1: bank that is really causing the slowdown in inflation. It's

681
00:34:09,880 --> 00:34:13,879
Speaker 1: government legislative policy, which is what we have always said.

682
00:34:13,920 --> 00:34:17,160
Speaker 1: Here is the toolkit you really need to deploy if

683
00:34:17,160 --> 00:34:21,040
Speaker 1: you want to ease price pressures and make things easier

684
00:34:21,040 --> 00:34:24,040
Speaker 1: for consumers. Yeah, exactly. This is why even discussing inflation

685
00:34:24,320 --> 00:34:27,640
Speaker 1: is so important. What inflation's contributing to it and all

686
00:34:27,680 --> 00:34:29,200
Speaker 1: of that. Let's put this next one up there on

687
00:34:29,200 --> 00:34:31,319
Speaker 1: the screen, which is part of the reason why it

688
00:34:31,320 --> 00:34:33,600
Speaker 1: feels like things are getting better. Here is gas. So

689
00:34:33,760 --> 00:34:36,360
Speaker 1: much of inflation and the way that we experience it

690
00:34:36,400 --> 00:34:39,239
Speaker 1: and discuss it in America is gas prices. Right now,

691
00:34:39,280 --> 00:34:42,360
Speaker 1: gas prices are continuing to follows three dollars and forty

692
00:34:42,360 --> 00:34:45,799
Speaker 1: seven cents a gallon on the national and actually California,

693
00:34:45,880 --> 00:34:47,919
Speaker 1: for the very first time this morning in a long

694
00:34:47,960 --> 00:34:50,439
Speaker 1: time has dropped to four dollars and ninety cents a gallon.

695
00:34:50,480 --> 00:34:52,719
Speaker 1: I'm not going to cheer that it's better than six

696
00:34:52,800 --> 00:34:55,040
Speaker 1: dollars a gallon then what it was earlier. The reason

697
00:34:55,040 --> 00:34:58,720
Speaker 1: why that matters is just a year ago we are

698
00:34:58,760 --> 00:35:02,560
Speaker 1: almost normalizing to pre Russian invasion levels of Ukraine. A

699
00:35:02,640 --> 00:35:05,000
Speaker 1: year ago it was three dollars and thirty eight cents.

700
00:35:05,000 --> 00:35:07,919
Speaker 1: Now that was higher for the national average than when

701
00:35:07,960 --> 00:35:10,319
Speaker 1: Biden took office. It was actually a pretty precipitous rise.

702
00:35:10,520 --> 00:35:12,919
Speaker 1: But because of COVID and the boom and all of that,

703
00:35:13,080 --> 00:35:16,360
Speaker 1: getting back to three dollars gas would be a massive

704
00:35:16,400 --> 00:35:18,840
Speaker 1: achievement for the Biden Well not I would't say achievement,

705
00:35:18,840 --> 00:35:20,000
Speaker 1: because I don't think they have that much to do

706
00:35:20,080 --> 00:35:22,640
Speaker 1: with it, but it would be a massive league good

707
00:35:23,600 --> 00:35:27,480
Speaker 1: politically for them, because, especially on the heels of the

708
00:35:27,480 --> 00:35:30,440
Speaker 1: midterm elections, to get back to three can you imagine

709
00:35:30,440 --> 00:35:34,680
Speaker 1: if he's heading into the presidential election at three dollars

710
00:35:34,719 --> 00:35:37,400
Speaker 1: gas and maybe even lower, maybe two ninety something like

711
00:35:37,440 --> 00:35:40,240
Speaker 1: that You should consider with regional differences like that could

712
00:35:40,320 --> 00:35:43,239
Speaker 1: even mean almost two dollars gas in the state of Texas. Yeah,

713
00:35:43,320 --> 00:35:45,799
Speaker 1: three fifty or something in California. If you do that,

714
00:35:45,840 --> 00:35:49,319
Speaker 1: I mean, that's tremendously beneficial, especially because people in their

715
00:35:49,360 --> 00:35:52,120
Speaker 1: minds would remember where it all came to. So, look,

716
00:35:52,760 --> 00:35:55,520
Speaker 1: it's one of those things where actually, politically and for

717
00:35:55,800 --> 00:35:59,239
Speaker 1: normal consumers, leaning on the central bank not always the

718
00:35:59,280 --> 00:36:02,800
Speaker 1: best choice. You really can use legislation to effect change

719
00:36:02,840 --> 00:36:06,719
Speaker 1: and to stop the amount that people are paying, both

720
00:36:06,760 --> 00:36:08,600
Speaker 1: at the pump and even at the supply chain level.

721
00:36:08,600 --> 00:36:11,120
Speaker 1: There's a lot of stuff the Biden administration can and

722
00:36:11,160 --> 00:36:13,480
Speaker 1: should have done right and would have been. Look, look

723
00:36:13,480 --> 00:36:16,000
Speaker 1: at the midterms. Imagine if he had actually declared foots

724
00:36:16,040 --> 00:36:18,719
Speaker 1: full scale war on the supply chain crisis over a

725
00:36:18,760 --> 00:36:20,440
Speaker 1: year and a half ago. Yeah, he would have. You

726
00:36:20,440 --> 00:36:22,600
Speaker 1: could have kept the House. I have the House. Really, Yeah,

727
00:36:22,640 --> 00:36:24,640
Speaker 1: I mean that's the thing. I mean, we you know,

728
00:36:24,680 --> 00:36:28,120
Speaker 1: they obviously wildly outperformed, they buckd history all of that,

729
00:36:28,239 --> 00:36:30,359
Speaker 1: but it's still pathetic that you're like, this was a win,

730
00:36:30,400 --> 00:36:32,239
Speaker 1: and you're like, but you just lost the House, and

731
00:36:32,239 --> 00:36:34,279
Speaker 1: you lost a national and you lost the popular vote

732
00:36:34,280 --> 00:36:36,920
Speaker 1: by two percentage points. So you know, and it was

733
00:36:37,000 --> 00:36:39,839
Speaker 1: really based on the fact that they nominated a bunch

734
00:36:39,840 --> 00:36:42,360
Speaker 1: of really like out their people, and how long are

735
00:36:42,400 --> 00:36:44,240
Speaker 1: you going to be able to rely on that. Meanwhile,

736
00:36:44,280 --> 00:36:47,840
Speaker 1: any Republican who even had a semblance of normality, like

737
00:36:47,880 --> 00:36:51,440
Speaker 1: the Brian Kemps of the world, romped to re election.

738
00:36:51,520 --> 00:36:52,960
Speaker 1: And put that aside for a minute. I mean, as

739
00:36:53,000 --> 00:36:56,400
Speaker 1: one example of the type of action at the federal

740
00:36:56,440 --> 00:36:58,640
Speaker 1: government level that matters in terms of inflation in the

741
00:36:58,680 --> 00:37:01,080
Speaker 1: supply chain, Like go back to the strike, You're going

742
00:37:01,160 --> 00:37:03,719
Speaker 1: to have the freight rail industry hobbled by a loss

743
00:37:03,719 --> 00:37:06,400
Speaker 1: of workers if they ultimately force this deal through. So

744
00:37:07,120 --> 00:37:09,160
Speaker 1: it would be much better if we had a functioning

745
00:37:09,239 --> 00:37:12,160
Speaker 1: government that was actually tackling the supply chain issues that

746
00:37:12,200 --> 00:37:14,960
Speaker 1: have caused this situation, that we're actually going after the

747
00:37:15,000 --> 00:37:18,319
Speaker 1: price gouging corporations that have caused the situation rather than

748
00:37:18,400 --> 00:37:21,960
Speaker 1: just continuing to lead on the FED. But you know, economically,

749
00:37:21,960 --> 00:37:23,759
Speaker 1: it's a very mixed picture right now. I think we

750
00:37:23,840 --> 00:37:26,400
Speaker 1: are in a very very uncertain time. There was another

751
00:37:26,400 --> 00:37:28,080
Speaker 1: this is sort of a technical thing, but there was

752
00:37:28,160 --> 00:37:32,319
Speaker 1: another technical indication that inflation may be slowing as well.

753
00:37:32,400 --> 00:37:33,960
Speaker 1: It's go and put this up on the screen. They

754
00:37:33,960 --> 00:37:35,840
Speaker 1: say the FED is set to get some help in

755
00:37:35,960 --> 00:37:41,080
Speaker 1: pausing as inflation gauge gap shrinks. So the difference between

756
00:37:41,080 --> 00:37:45,279
Speaker 1: these two different price gauges, you can see there's a

757
00:37:45,320 --> 00:37:46,840
Speaker 1: chart here up on the screen. You've got like a

758
00:37:46,920 --> 00:37:50,719
Speaker 1: yellowish orange price gauge and you've got the black line

759
00:37:50,760 --> 00:37:53,400
Speaker 1: price gauge, and you see they mostly hang out together,

760
00:37:53,480 --> 00:37:56,600
Speaker 1: but they've kind of split. And the idea is that

761
00:37:56,640 --> 00:37:59,319
Speaker 1: the one that is continuing to be high is going

762
00:37:59,320 --> 00:38:02,120
Speaker 1: to revert back down to closer to where the one

763
00:38:02,120 --> 00:38:05,600
Speaker 1: that is lower the black line is ultimately going to be.

764
00:38:06,120 --> 00:38:09,280
Speaker 1: It's complicated the reasons for this. They say that healthcare,

765
00:38:09,400 --> 00:38:12,800
Speaker 1: housing weights and impact will shift and reduce the gap,

766
00:38:13,520 --> 00:38:16,480
Speaker 1: and the one that is set to sort of like

767
00:38:17,280 --> 00:38:20,160
Speaker 1: to lessen and paint a better picture of where we

768
00:38:20,200 --> 00:38:25,080
Speaker 1: are with regards to inflation is the preferred index of

769
00:38:25,280 --> 00:38:27,560
Speaker 1: the FED. So again it's a little bit technical, but

770
00:38:27,600 --> 00:38:29,880
Speaker 1: basically the ideas there are some signs on the horizon

771
00:38:29,920 --> 00:38:32,560
Speaker 1: that another one of the inflation gauges could be cooling

772
00:38:32,640 --> 00:38:36,280
Speaker 1: as well. And finally, just to underscore something I mentioned earlier.

773
00:38:36,760 --> 00:38:39,319
Speaker 1: While this is all going on, and supposedly you know

774
00:38:39,440 --> 00:38:41,799
Speaker 1: corporations are being squeezed and they're just having to pass

775
00:38:42,080 --> 00:38:45,080
Speaker 1: the cost, additional costs onto consumers. No, they're so sorry

776
00:38:45,080 --> 00:38:47,600
Speaker 1: about it. It's a bunch of nonsense. Their profits have

777
00:38:47,680 --> 00:38:49,239
Speaker 1: never been higher. Put this up on the screen from

778
00:38:49,239 --> 00:38:53,080
Speaker 1: the Hill. Corporate profits hit record high of two point

779
00:38:53,160 --> 00:38:56,080
Speaker 1: oh eight trillion in the ninth non financial sector in

780
00:38:56,120 --> 00:39:00,000
Speaker 1: the third quarter, even as forty year high inflation continue

781
00:39:00,160 --> 00:39:05,640
Speaker 1: used to squeeze American consumers. And you've got an economist

782
00:39:05,719 --> 00:39:08,040
Speaker 1: that they quote here, the chief economists of Global Wealth

783
00:39:08,080 --> 00:39:11,960
Speaker 1: Management at UBS. So no like anti establishment figure here

784
00:39:12,080 --> 00:39:16,000
Speaker 1: saying the Fed should make clear that rising profit margins

785
00:39:16,040 --> 00:39:20,280
Speaker 1: are spurring inflation. And you know, I think that's part

786
00:39:20,320 --> 00:39:23,160
Speaker 1: that a lot of mainstream economics have been trying to downplay.

787
00:39:23,360 --> 00:39:27,719
Speaker 1: The Biden administration has occasionally made some nods toward towards it,

788
00:39:27,800 --> 00:39:31,279
Speaker 1: but really done nothing about it. And it's it's disgraceful.

789
00:39:31,320 --> 00:39:35,920
Speaker 1: It's another sign of how much monopolistic pricing power so

790
00:39:36,000 --> 00:39:39,120
Speaker 1: many corporations have in our economy. Absolutely, yeah, the corporate

791
00:39:39,120 --> 00:39:42,560
Speaker 1: profit angle on that. It's it's weird, this whole economy.

792
00:39:42,600 --> 00:39:45,120
Speaker 1: I don't think there's another word other than weird, because

793
00:39:45,200 --> 00:39:47,680
Speaker 1: it's like you have high inflation, fake working rises are

794
00:39:47,680 --> 00:39:51,200
Speaker 1: going corbor profits are high, but the stock market is down,

795
00:39:51,360 --> 00:39:54,160
Speaker 1: but people are getting laid off. But also wages are decent,

796
00:39:54,200 --> 00:39:56,920
Speaker 1: so they're like, well, what's going on here? But also

797
00:39:56,960 --> 00:39:59,160
Speaker 1: you can't afford food, So is it good? Is it bad?

798
00:39:59,200 --> 00:40:01,359
Speaker 1: It's one of those where part of the reason that

799
00:40:01,920 --> 00:40:04,520
Speaker 1: the Fed is reaching for this is because in their toolkit,

800
00:40:04,560 --> 00:40:07,880
Speaker 1: in their very very narrow view of the economy, this

801
00:40:08,040 --> 00:40:10,000
Speaker 1: is why we should have interest rates. But when you

802
00:40:10,000 --> 00:40:12,560
Speaker 1: look at like quality of life, living and more, it's

803
00:40:12,680 --> 00:40:15,080
Speaker 1: very clear that that's not the instrument that you should

804
00:40:15,080 --> 00:40:17,560
Speaker 1: be reaching for. You should be reaching legislatively. I'm not

805
00:40:17,560 --> 00:40:19,640
Speaker 1: even ruling out some interest rates, but I'm saying, yeah,

806
00:40:19,680 --> 00:40:23,200
Speaker 1: the precipitous increase is clearly having a deleterious effect on

807
00:40:23,280 --> 00:40:26,640
Speaker 1: the overall economy, something that major business leaders and entrepreneurs

808
00:40:26,640 --> 00:40:29,000
Speaker 1: are also saying. So at that point, you know when

809
00:40:29,040 --> 00:40:31,759
Speaker 1: even like the high institutions of business are like, hey,

810
00:40:31,840 --> 00:40:33,560
Speaker 1: hold on a second, like what are you doing. It's

811
00:40:33,560 --> 00:40:36,319
Speaker 1: like a horseshoe really for workers and for the people

812
00:40:36,320 --> 00:40:43,200
Speaker 1: who actually do some of the employment. Very true, very true.

813
00:40:43,200 --> 00:40:46,520
Speaker 1: Twitter speaking of Elon and what we discuss. This is

814
00:40:46,560 --> 00:40:49,560
Speaker 1: probably one of the most significant actions that we've seen

815
00:40:49,600 --> 00:40:52,759
Speaker 1: against Twitter yet and actually sets the tone for how

816
00:40:52,800 --> 00:40:54,239
Speaker 1: a lot of this is going to go. Let's put

817
00:40:54,239 --> 00:40:56,600
Speaker 1: this up there on the screen. Something that we forget

818
00:40:56,640 --> 00:40:59,360
Speaker 1: is that our American social media companies are not really American.

819
00:40:59,600 --> 00:41:02,440
Speaker 1: They are global companies. A huge portion in some cases

820
00:41:02,520 --> 00:41:04,880
Speaker 1: the majority of their user base is not even American.

821
00:41:05,160 --> 00:41:07,840
Speaker 1: So the European Union is actually now turning up the

822
00:41:07,840 --> 00:41:11,600
Speaker 1: heat on Elon Musk over Twitter. The EU Commissioner actually

823
00:41:11,640 --> 00:41:14,719
Speaker 1: warned Elon in a meeting that he must adhere to

824
00:41:14,880 --> 00:41:19,759
Speaker 1: the rules of content moderation as consistent with their standards

825
00:41:19,840 --> 00:41:23,000
Speaker 1: as decided by the European Union, or they will risk

826
00:41:23,120 --> 00:41:27,880
Speaker 1: ban on the within the entire EU. So here's the details.

827
00:41:28,520 --> 00:41:31,359
Speaker 1: There was a conference call between Elon Musk and the

828
00:41:31,360 --> 00:41:34,480
Speaker 1: EU Commissioner in charge of digital rules. So they have

829
00:41:34,640 --> 00:41:37,719
Speaker 1: kind of a manifesto within the EU, which is and

830
00:41:37,800 --> 00:41:39,960
Speaker 1: I always say this here much of the chagrin of

831
00:41:39,960 --> 00:41:43,040
Speaker 1: the Europeans. They don't have freedom of speech, they don't

832
00:41:43,040 --> 00:41:47,680
Speaker 1: have constitutions. Everything there is based upon precedent that can

833
00:41:47,719 --> 00:41:50,360
Speaker 1: be easily taken away. It is not enshrined in the

834
00:41:50,400 --> 00:41:53,120
Speaker 1: beddrock of like the Bill of Rights like we have here.

835
00:41:53,400 --> 00:41:56,560
Speaker 1: They are very malleable as to what they go for,

836
00:41:56,920 --> 00:42:00,720
Speaker 1: even within their data privacy protections, which are some limited

837
00:42:00,760 --> 00:42:03,279
Speaker 1: way I do kind of support. But on the other hand,

838
00:42:03,719 --> 00:42:07,200
Speaker 1: their rules over content moderation, hate speech and all that

839
00:42:07,520 --> 00:42:10,040
Speaker 1: is not consistent with any understanding of free speech that

840
00:42:10,080 --> 00:42:13,399
Speaker 1: we would recognize here in the United States. Now, that

841
00:42:13,719 --> 00:42:17,279
Speaker 1: means that Twitter and their content moderation standards have to

842
00:42:17,320 --> 00:42:21,360
Speaker 1: abide by global, not just domestic regulation, or you'd have

843
00:42:21,440 --> 00:42:23,520
Speaker 1: to live in some very weird environment where there's like

844
00:42:23,560 --> 00:42:26,960
Speaker 1: a US Twitter and a European Twitter, which kind of

845
00:42:27,000 --> 00:42:30,120
Speaker 1: does exist, I guess on some social media platforms. The

846
00:42:30,160 --> 00:42:32,360
Speaker 1: point is, though, is that this is probably the most

847
00:42:32,360 --> 00:42:34,920
Speaker 1: serious threat that we have seen yet, and that actually

848
00:42:34,920 --> 00:42:37,600
Speaker 1: has been a long standing concern for free speech advocates

849
00:42:37,640 --> 00:42:40,759
Speaker 1: over US tech companies, is that the Europeans have very

850
00:42:40,760 --> 00:42:43,960
Speaker 1: different standards and wants of what they have in their

851
00:42:44,000 --> 00:42:46,759
Speaker 1: domestic society. So something that they are allowed to look,

852
00:42:46,840 --> 00:42:48,680
Speaker 1: you can do whatever you want. I don't really care,

853
00:42:48,840 --> 00:42:52,879
Speaker 1: like they actually like have legislation that regulates it in

854
00:42:53,000 --> 00:42:55,000
Speaker 1: the way that they want to regulate it. Just don't

855
00:42:55,040 --> 00:42:57,400
Speaker 1: like the way they regulate it. Yeah, for our customers,

856
00:42:58,320 --> 00:43:00,960
Speaker 1: like you know, they're alone to a different approach to

857
00:43:01,000 --> 00:43:03,200
Speaker 1: it than what we have or what we think is ideal,

858
00:43:03,239 --> 00:43:05,880
Speaker 1: et cetera. And so Musk came in. He said he

859
00:43:05,960 --> 00:43:08,719
Speaker 1: was going to abide by all relevant rules and in particular,

860
00:43:09,600 --> 00:43:14,640
Speaker 1: the problem that they're running into is your decisions over

861
00:43:14,800 --> 00:43:17,560
Speaker 1: who is going to be banned exactly are supposed to

862
00:43:17,640 --> 00:43:23,120
Speaker 1: be transparent and consistent and the like sort of chaotic,

863
00:43:23,360 --> 00:43:25,160
Speaker 1: like I'm going to unban this one, and I'm going

864
00:43:25,200 --> 00:43:27,200
Speaker 1: to ban this one, and let's take a Twitter poll

865
00:43:27,239 --> 00:43:29,640
Speaker 1: and see like what we're going to do with President Trump.

866
00:43:30,160 --> 00:43:34,120
Speaker 1: That hardly matches up with the standards and regulations that

867
00:43:34,800 --> 00:43:37,560
Speaker 1: you know, Europe has set for themselves. So I don't

868
00:43:37,560 --> 00:43:39,640
Speaker 1: blame them for looking at that and being like, this

869
00:43:39,680 --> 00:43:43,520
Speaker 1: does not this does not work with what we have

870
00:43:43,600 --> 00:43:45,920
Speaker 1: passed and with the consistent standards we're trying to apply

871
00:43:45,960 --> 00:43:49,120
Speaker 1: across social media spaces. Yeah. I we'll say, though, I mean,

872
00:43:49,160 --> 00:43:52,520
Speaker 1: the idea that the previous Twitter regime was consistently enforcing

873
00:43:52,600 --> 00:43:55,760
Speaker 1: sure regulation is sure. Let's just say yes, yes, indeed,

874
00:43:55,840 --> 00:43:57,960
Speaker 1: say it kindly. And the fact that is that the

875
00:43:58,040 --> 00:44:00,719
Speaker 1: Euros actually like that regime quite a bit. They had

876
00:44:00,760 --> 00:44:03,120
Speaker 1: a little bit more of this like under wraps though.

877
00:44:03,200 --> 00:44:06,359
Speaker 1: I mean, that's honestly why I'm sort of enjoying the

878
00:44:06,400 --> 00:44:10,440
Speaker 1: Elon regime is because it's really unmasked. How capricious all

879
00:44:10,480 --> 00:44:13,040
Speaker 1: this decision making are. I agree with it. Actually, that's true. Yeah,

880
00:44:13,080 --> 00:44:17,160
Speaker 1: and so you know, I mean making you're more polite

881
00:44:17,200 --> 00:44:19,480
Speaker 1: about it, Yeah, exactly. I sort of like the different

882
00:44:19,560 --> 00:44:21,800
Speaker 1: like Trump like rips the band aid of the decorum

883
00:44:21,800 --> 00:44:24,279
Speaker 1: off and you see like the brazen corruption whenever, and

884
00:44:24,320 --> 00:44:26,000
Speaker 1: you're like, well, this was a lot of it going

885
00:44:26,040 --> 00:44:28,799
Speaker 1: on before. It just had a layer of civility and

886
00:44:28,880 --> 00:44:32,160
Speaker 1: like niceness and sort of bureaucratic protocol around it. He

887
00:44:32,760 --> 00:44:35,480
Speaker 1: now is just out in the open that it's chaotic,

888
00:44:35,600 --> 00:44:38,239
Speaker 1: case by case based on the whims of one billionaire.

889
00:44:38,560 --> 00:44:41,960
Speaker 1: So they no longer have plausible deniability, I guess is

890
00:44:41,960 --> 00:44:44,040
Speaker 1: what I would ultimately say. Look, I still want them

891
00:44:44,040 --> 00:44:46,000
Speaker 1: to release those Twitter files. That also comes on the

892
00:44:46,040 --> 00:44:48,640
Speaker 1: heels of some important comments yesterday from Jennet Yellen. Let's

893
00:44:48,640 --> 00:44:50,880
Speaker 1: put this up there on the screen. The Treasury Secretary

894
00:44:50,920 --> 00:44:53,279
Speaker 1: actually said she quote misspoke when she said that there

895
00:44:53,320 --> 00:44:55,920
Speaker 1: was no basis for the government to review the Elon

896
00:44:56,000 --> 00:44:59,439
Speaker 1: Musk Twitter by because people, I've spoken about this before.

897
00:44:59,480 --> 00:45:01,879
Speaker 1: The Committee Foreign Investment in the United States, it's a

898
00:45:01,920 --> 00:45:04,799
Speaker 1: part of the Treasury Department. Scythius for short here in

899
00:45:04,960 --> 00:45:09,759
Speaker 1: Washington speak, has the ability to scrutinize deals over a

900
00:45:09,920 --> 00:45:14,160
Speaker 1: national security concern. Although I am going to reiterate if

901
00:45:14,200 --> 00:45:18,080
Speaker 1: they go after Elon on a Sifius complaint for Tesla's

902
00:45:18,080 --> 00:45:21,319
Speaker 1: business dealings in China, of which I have laid out

903
00:45:21,560 --> 00:45:24,800
Speaker 1: major concerns about on the show, but they still allow

904
00:45:25,000 --> 00:45:29,080
Speaker 1: TikTok Us to operate, I'm going to lose my mind, Crystal,

905
00:45:29,120 --> 00:45:32,399
Speaker 1: because that will be one of the most inconsistent and

906
00:45:33,080 --> 00:45:38,719
Speaker 1: obvious political retributions in modern history for the use of Sofius.

907
00:45:38,719 --> 00:45:41,120
Speaker 1: If they ban both, I'm good with it. Yeah, I'm

908
00:45:41,160 --> 00:45:43,120
Speaker 1: totally cool with it. Yeah. That said, I have not

909
00:45:43,200 --> 00:45:46,640
Speaker 1: seen any current indication that TikTok Us is being properly

910
00:45:46,680 --> 00:45:50,160
Speaker 1: scrutinized by Syphius, and if anything, the Biden administration is

911
00:45:50,200 --> 00:45:52,840
Speaker 1: currently working on a potential deal with TikTok to actually

912
00:45:52,840 --> 00:45:56,000
Speaker 1: circumvent Syfius and reach some sort of fake operating agreement

913
00:45:56,080 --> 00:45:59,160
Speaker 1: which allows Chinese control over the app. So look, anyway,

914
00:45:59,719 --> 00:46:02,359
Speaker 1: I think we have to say if it's used this way,

915
00:46:02,480 --> 00:46:05,800
Speaker 1: that's bullshit. Isn't the thing they're concerned about with Twitter

916
00:46:05,840 --> 00:46:08,400
Speaker 1: specifically though the Saudi ownership is not the part that

917
00:46:08,400 --> 00:46:10,560
Speaker 1: they're once again we don't really know right on the

918
00:46:10,600 --> 00:46:14,480
Speaker 1: Saudi ownership on this, then SIFIA should ban Uber. You know,

919
00:46:14,560 --> 00:46:17,480
Speaker 1: Uber has a larger Saudi steak in it than Twitter.

920
00:46:17,880 --> 00:46:20,919
Speaker 1: There I can list off five public companies that all

921
00:46:20,920 --> 00:46:24,239
Speaker 1: have massive Saudi investment from the Saudi Royal whatever group.

922
00:46:24,360 --> 00:46:28,319
Speaker 1: So I actually be consistent, very very stringent standards on

923
00:46:28,400 --> 00:46:31,200
Speaker 1: foreign investment in the United States, but it's not been

924
00:46:31,239 --> 00:46:34,800
Speaker 1: consistently applied. So then if it's politically used in this way,

925
00:46:35,040 --> 00:46:37,480
Speaker 1: I would have a major major problem with that, especially

926
00:46:37,480 --> 00:46:40,400
Speaker 1: given how many examples we can lift off. Actually, you know,

927
00:46:40,480 --> 00:46:43,239
Speaker 1: Ken Kippenstein just did an entire thing about Arizona water

928
00:46:43,320 --> 00:46:45,520
Speaker 1: rights being sold. Yeah, you guys should actually the type

929
00:46:45,520 --> 00:46:49,239
Speaker 1: of thing that should be that banned. On a crazy story.

930
00:46:49,280 --> 00:46:51,120
Speaker 1: Everyone go watch it. It's on our channel. We posted

931
00:46:51,120 --> 00:46:54,280
Speaker 1: it yesterday. The dude who is a lobbyist for Saudi

932
00:46:54,320 --> 00:46:57,759
Speaker 1: Arabia just got elected to like a critical board in

933
00:46:57,800 --> 00:47:02,440
Speaker 1: Maricopa County that oversees utter rights and already, yeah, the

934
00:47:02,480 --> 00:47:05,600
Speaker 1: Saudi government is basically like buying up the water rights

935
00:47:05,640 --> 00:47:08,279
Speaker 1: in the state of Arizona as a bad situation. So anyway, yeah,

936
00:47:08,360 --> 00:47:10,440
Speaker 1: definitely go check that out. But yeah, I mean, I

937
00:47:10,480 --> 00:47:15,440
Speaker 1: think asking for like across the board consistent treatment is

938
00:47:16,000 --> 00:47:18,680
Speaker 1: that's just like baseline what you should expect. Correct, Let's

939
00:47:18,680 --> 00:47:20,759
Speaker 1: go to the next part. Elon actually said something very

940
00:47:20,760 --> 00:47:22,680
Speaker 1: interesting of which I will personally be paying a lot

941
00:47:22,680 --> 00:47:25,560
Speaker 1: of attention to. He was replying to a tweet where

942
00:47:25,560 --> 00:47:28,440
Speaker 1: he says, the obvious reality, as longtime users know, is

943
00:47:28,480 --> 00:47:30,880
Speaker 1: that Twitter has failed in trust and safety for a

944
00:47:30,960 --> 00:47:36,480
Speaker 1: very long time and has quote interfered in elections. Twitter

945
00:47:36,520 --> 00:47:39,000
Speaker 1: two point zero will be far more effective, transparent, and

946
00:47:39,000 --> 00:47:41,040
Speaker 1: even handed. Now I have a lot of questions about

947
00:47:41,560 --> 00:47:43,760
Speaker 1: what interfered in election means. There's a lot of different

948
00:47:43,760 --> 00:47:45,800
Speaker 1: ways to read that. You could read it as colloaquill

949
00:47:46,120 --> 00:47:50,560
Speaker 1: as panning the Hunter Biden laptop story as implications under elections.

950
00:47:50,960 --> 00:47:54,640
Speaker 1: Most likely that's what he means. However, what I'm really

951
00:47:54,640 --> 00:47:59,200
Speaker 1: interested in is DHS and specifically state government of state

952
00:47:59,200 --> 00:48:01,680
Speaker 1: government cooperation and with Twitter's teams that we may not

953
00:48:01,719 --> 00:48:04,160
Speaker 1: even know. Yeah, what is banned, what is not? What

954
00:48:04,239 --> 00:48:07,520
Speaker 1: is considered misinformation? After Ken's great scoop, which he broke

955
00:48:07,560 --> 00:48:09,279
Speaker 1: and talked about here on our show the day of

956
00:48:09,800 --> 00:48:12,759
Speaker 1: the amount of cooperation happening between the national security agencies

957
00:48:12,960 --> 00:48:15,719
Speaker 1: and the major social media companies on what's considered misinformation

958
00:48:15,760 --> 00:48:18,840
Speaker 1: are not is far deeper than any of us even know. So,

959
00:48:19,920 --> 00:48:22,400
Speaker 1: while I am very sympathetic to the argument about banning

960
00:48:22,680 --> 00:48:25,240
Speaker 1: the Hunter Biden laptop story is election interference, I actually

961
00:48:25,440 --> 00:48:27,840
Speaker 1: do think that's true. How you regulate and all of

962
00:48:27,840 --> 00:48:30,600
Speaker 1: that is a much bigger question. It could go a

963
00:48:30,600 --> 00:48:32,399
Speaker 1: lot deeper than that in terms of what the Twitter

964
00:48:32,440 --> 00:48:36,440
Speaker 1: files could show us. Look, it's probably hopium on my part,

965
00:48:36,480 --> 00:48:39,759
Speaker 1: but I would really like to see what exactly that entails.

966
00:48:40,560 --> 00:48:43,080
Speaker 1: It also comes on the heels of a new blog

967
00:48:43,120 --> 00:48:45,800
Speaker 1: post published by Twitter, which I think is very interesting

968
00:48:45,840 --> 00:48:48,160
Speaker 1: because this has to remain consistent again what we talked

969
00:48:48,160 --> 00:48:51,839
Speaker 1: about with both European, US and other country standards. Put

970
00:48:51,840 --> 00:48:54,160
Speaker 1: it up there, he says, Twitter two point zero our

971
00:48:54,280 --> 00:48:57,800
Speaker 1: public continued commitment to the public conversation. Twitter's mission is

972
00:48:57,840 --> 00:49:00,360
Speaker 1: to promote and protect the public conversation to be the

973
00:49:00,360 --> 00:49:02,759
Speaker 1: town square of the Internet. We have always understood to

974
00:49:02,800 --> 00:49:04,680
Speaker 1: reach this goal, we must give everyone the power to

975
00:49:04,680 --> 00:49:09,160
Speaker 1: create and share ideas and informations instantly without barriers. Today

976
00:49:09,200 --> 00:49:11,400
Speaker 1: we are a new company embarking on a new chapter.

977
00:49:11,440 --> 00:49:13,800
Speaker 1: Our said fast commitment to that mission has not changed.

978
00:49:13,960 --> 00:49:16,080
Speaker 1: We have always understood that our business and revenue are

979
00:49:16,120 --> 00:49:19,640
Speaker 1: interconnected with our mission. Brand safety is only possible when

980
00:49:19,760 --> 00:49:22,800
Speaker 1: human safety is the top priority. All of this remains

981
00:49:22,840 --> 00:49:26,160
Speaker 1: true today. This is the interesting part. What has changed, however,

982
00:49:26,239 --> 00:49:29,320
Speaker 1: is our approach to experimentation. As you have seen, Twitter

983
00:49:29,360 --> 00:49:32,040
Speaker 1: is embracing public testing. We believe this will open and

984
00:49:32,080 --> 00:49:34,799
Speaker 1: transparent approach to innovation is healthy. We believe that as

985
00:49:34,800 --> 00:49:37,200
Speaker 1: a service of this importance, we will benefit from feedback

986
00:49:37,239 --> 00:49:39,960
Speaker 1: at scale. We do this work to improve Twitter for

987
00:49:40,000 --> 00:49:42,760
Speaker 1: our customers, partners, and the people who use it across

988
00:49:42,840 --> 00:49:45,880
Speaker 1: the world. So the reason why this is important is

989
00:49:45,920 --> 00:49:48,640
Speaker 1: it's trying to balance crystal the free speech element. But

990
00:49:48,719 --> 00:49:51,000
Speaker 1: when you continue to read, it's actually more of a read.

991
00:49:51,360 --> 00:49:53,600
Speaker 1: It's more of a message to advertisers. It says, we

992
00:49:53,640 --> 00:49:56,280
Speaker 1: want to assure you. None of our policies have changed.

993
00:49:56,560 --> 00:49:59,239
Speaker 1: Our Truft and Safety team continues this diligent work to

994
00:49:59,280 --> 00:50:02,240
Speaker 1: keep a platform sit from hateful conduct. When urgence events

995
00:50:02,239 --> 00:50:05,400
Speaker 1: manifests on the platform, we ensure all ten content moderators

996
00:50:05,400 --> 00:50:09,120
Speaker 1: have the guidance they need to address violative content. As

997
00:50:09,160 --> 00:50:12,160
Speaker 1: we improve, bad actors will also develop new methods. They're like,

998
00:50:12,200 --> 00:50:14,799
Speaker 1: we're working on this. Finally, we will make mistakes, we

999
00:50:14,840 --> 00:50:16,920
Speaker 1: will learn. So I think this is both trying to

1000
00:50:16,960 --> 00:50:20,720
Speaker 1: balance the as an official statement of company policy free speech,

1001
00:50:20,800 --> 00:50:23,200
Speaker 1: but also to the advertisers being like, no, we do

1002
00:50:23,280 --> 00:50:25,400
Speaker 1: have some of this under control. I read the fundamental tension.

1003
00:50:25,480 --> 00:50:28,480
Speaker 1: I read this also some memos of European regulators, because,

1004
00:50:28,880 --> 00:50:31,000
Speaker 1: like we were saying before, one of the things that

1005
00:50:31,160 --> 00:50:34,239
Speaker 1: the European regulators are apparently concerned about is a sort

1006
00:50:34,280 --> 00:50:37,600
Speaker 1: of haphazard approach to who's banned and who's unbanned. And

1007
00:50:37,640 --> 00:50:40,200
Speaker 1: so what he's trying to say here is like, nothing's

1008
00:50:40,239 --> 00:50:42,879
Speaker 1: really changed. They do throw in this line. I thought

1009
00:50:42,880 --> 00:50:45,200
Speaker 1: this was the most significant line, where they say, what

1010
00:50:45,360 --> 00:50:48,680
Speaker 1: has changed is our approach to experimentation. As you've seen

1011
00:50:49,000 --> 00:50:52,160
Speaker 1: George's embracing public testing. We believe this open and transparent

1012
00:50:52,280 --> 00:50:55,120
Speaker 1: approach to innovation is healthy. Blah blah blah. So they're

1013
00:50:55,120 --> 00:50:57,160
Speaker 1: trying to say, like, oh, the Twitter polls and the

1014
00:50:57,239 --> 00:50:58,680
Speaker 1: various things that we try this it is just a

1015
00:50:58,680 --> 00:51:02,400
Speaker 1: little bit of experimentation, but overall our policies are consistent

1016
00:51:02,480 --> 00:51:05,080
Speaker 1: with what you have allowed in the past European regulators.

1017
00:51:05,120 --> 00:51:07,080
Speaker 1: Was how I read that anyway? Yeah, I think you're

1018
00:51:07,080 --> 00:51:10,000
Speaker 1: probably correct. There's also another interesting point that came out

1019
00:51:10,120 --> 00:51:11,840
Speaker 1: last night. Let's put it up there on the screen.

1020
00:51:12,160 --> 00:51:16,680
Speaker 1: There was a meeting between Tim Cook and Elon yesterday.

1021
00:51:16,680 --> 00:51:18,959
Speaker 1: Elon actually tweeted out a video of getting a tour

1022
00:51:19,040 --> 00:51:22,200
Speaker 1: of the Apple campus. He says, quote good conversation. Amongst

1023
00:51:22,200 --> 00:51:26,239
Speaker 1: other things, we resolved the misunderstanding about Twitter potentially being

1024
00:51:26,320 --> 00:51:30,080
Speaker 1: removed from the app store. Tim was very clear Apple

1025
00:51:30,400 --> 00:51:34,200
Speaker 1: never considered doing so, so a little personal diplomacy on

1026
00:51:35,239 --> 00:51:37,840
Speaker 1: the part of Tim Cook. It's kind of interesting. I

1027
00:51:37,920 --> 00:51:40,600
Speaker 1: talked previously about that book Super Pumped that I read

1028
00:51:40,800 --> 00:51:43,400
Speaker 1: Tim was actually very involved and does actually get involved

1029
00:51:43,440 --> 00:51:46,600
Speaker 1: at the app store level when major companies. He actually

1030
00:51:46,680 --> 00:51:49,080
Speaker 1: called Travis kalanick in when he was the CEO of Uber.

1031
00:51:49,120 --> 00:51:52,680
Speaker 1: Tom explained himself on how Uber could remain on the platform.

1032
00:51:52,880 --> 00:51:55,960
Speaker 1: But clearly Tim Cook saw it as one of those

1033
00:51:55,960 --> 00:51:57,799
Speaker 1: things that has to be really nipped in the bud.

1034
00:51:58,360 --> 00:52:01,040
Speaker 1: I would say this about Tim Cook a diplomat, he

1035
00:52:01,160 --> 00:52:03,640
Speaker 1: is one of the best ever. Really. Oh absolutely. There's

1036
00:52:03,680 --> 00:52:06,279
Speaker 1: a book I read blanking on the name Spy, a

1037
00:52:06,320 --> 00:52:08,640
Speaker 1: guy from the New York Times called like Apple after

1038
00:52:08,680 --> 00:52:10,960
Speaker 1: Steve Jobs and talks. It's kind of a sad story

1039
00:52:11,000 --> 00:52:14,239
Speaker 1: because the point is that Apple really stopped innovating at

1040
00:52:14,239 --> 00:52:17,759
Speaker 1: the very highest level with new products, but they quadrupled

1041
00:52:17,800 --> 00:52:20,319
Speaker 1: their stock price and revenue because they started looking at

1042
00:52:20,320 --> 00:52:22,560
Speaker 1: it as a platform, as a service on which you

1043
00:52:22,560 --> 00:52:25,879
Speaker 1: can continue to upsell customers and lock people into the ecosystem.

1044
00:52:26,120 --> 00:52:29,319
Speaker 1: Tim Cook is like that business manager, like squeezing value

1045
00:52:29,440 --> 00:52:32,000
Speaker 1: out of the value that's been created, but also as

1046
00:52:32,040 --> 00:52:35,959
Speaker 1: a diplomat, like his personal diplomacy with Shishinping. With Trump,

1047
00:52:36,040 --> 00:52:38,279
Speaker 1: he played Trump like a complete fiddle to make sure

1048
00:52:38,280 --> 00:52:42,320
Speaker 1: that Apple was not impacted by any Chinese tariffs. And also,

1049
00:52:42,520 --> 00:52:45,359
Speaker 1: you know, at a business level, anytime he sees a

1050
00:52:45,400 --> 00:52:49,000
Speaker 1: potential threat to the brand about being censorship and all that,

1051
00:52:49,200 --> 00:52:52,400
Speaker 1: he always skates in. Well, I'm disappointed by this outcome

1052
00:52:52,440 --> 00:52:55,520
Speaker 1: because personally, again I found it useful. It is on

1053
00:52:55,760 --> 00:52:58,319
Speaker 1: being at at war with Apple because remember we had

1054
00:52:58,320 --> 00:53:01,160
Speaker 1: a great conversation about like this the monopoly, and that's

1055
00:53:01,160 --> 00:53:03,560
Speaker 1: why a monopoly is bad. And here's the exorbitant fees

1056
00:53:03,600 --> 00:53:06,280
Speaker 1: that they're charging, and like the sort of capricious decision

1057
00:53:06,320 --> 00:53:09,480
Speaker 1: making that's totally non transparent. They put these companies through

1058
00:53:09,480 --> 00:53:11,719
Speaker 1: the paces and nobody should have this much control. So

1059
00:53:12,000 --> 00:53:14,680
Speaker 1: little disappointed at this resolution. Personally, I liked the two

1060
00:53:14,680 --> 00:53:16,480
Speaker 1: of them being more. At the point is is that

1061
00:53:16,520 --> 00:53:18,480
Speaker 1: he's a good diplomat because he doesn't want anybody he

1062
00:53:18,520 --> 00:53:20,839
Speaker 1: doesn't want. He doesn't want to have that conversation, does

1063
00:53:20,880 --> 00:53:23,439
Speaker 1: he He He didn't liked those news stories, so he's found

1064
00:53:23,440 --> 00:53:25,480
Speaker 1: a way to move beyond it. Correct. All right, let's

1065
00:53:25,520 --> 00:53:27,520
Speaker 1: move on now to the gay marriage vote, of which

1066
00:53:27,560 --> 00:53:30,640
Speaker 1: we previewed and talked about a lot here on breaking points.

1067
00:53:30,840 --> 00:53:32,520
Speaker 1: It actually happened, So let's put this up there on

1068
00:53:32,560 --> 00:53:36,040
Speaker 1: the screen. On Tuesday night, twelve Senate Republicans joined the

1069
00:53:36,160 --> 00:53:39,319
Speaker 1: entire Democratic Caucus to pass the Respect for Marriage Act,

1070
00:53:39,360 --> 00:53:42,839
Speaker 1: offering federal protections for same sex and interracial marriages. So

1071
00:53:42,920 --> 00:53:44,879
Speaker 1: I actually wanted to make sure that we showed that

1072
00:53:44,880 --> 00:53:47,520
Speaker 1: that the interracial part was included in the Respect for

1073
00:53:47,600 --> 00:53:50,279
Speaker 1: Marriage Act. The twelve Republicans who joined. We have their

1074
00:53:50,360 --> 00:53:53,479
Speaker 1: names there up on the right, Roy Blunt, Richard Burr,

1075
00:53:53,520 --> 00:53:57,920
Speaker 1: Shelley Moore, Capito, Susan Collins, Jony Earnst, Cynthia Loomis, Lisa mccowski,

1076
00:53:58,080 --> 00:54:02,200
Speaker 1: Rob Portman, Mitt Romney, Dan Sullivan, Tom Tillis, and Todd

1077
00:54:02,280 --> 00:54:05,640
Speaker 1: Young from Indiana. What I find so interesting is how

1078
00:54:05,680 --> 00:54:08,440
Speaker 1: this is a real amalgam of a lot of different people.

1079
00:54:08,800 --> 00:54:13,200
Speaker 1: Indiana actually a very conservative Catholic and Protestant population there.

1080
00:54:13,560 --> 00:54:17,360
Speaker 1: Jony Ernst also from Iowa, big Catholic population in Iowa.

1081
00:54:17,440 --> 00:54:20,040
Speaker 1: But also Cynthia Loomis, I mean, she has absolutely nothing

1082
00:54:20,080 --> 00:54:23,600
Speaker 1: to gain from this vote. Mitt Romney representing the state

1083
00:54:23,600 --> 00:54:26,440
Speaker 1: of Utah, I mean the Mormon Church had there are

1084
00:54:26,440 --> 00:54:29,520
Speaker 1: a kind of interesting size on this issue. Also Dan

1085
00:54:29,600 --> 00:54:33,319
Speaker 1: Sullivan from Alaska. Both the Utah though is arguably the

1086
00:54:33,320 --> 00:54:36,239
Speaker 1: most conservative state in the entire country. Yeah, by some metrics, Yeah,

1087
00:54:36,239 --> 00:54:38,000
Speaker 1: it is the most conservative state in the entire country.

1088
00:54:38,040 --> 00:54:40,560
Speaker 1: And also Shelley Moore Capito, and well, Richard Burr is

1089
00:54:40,600 --> 00:54:42,080
Speaker 1: retiring and so it's Roy Blood, so I think it

1090
00:54:42,160 --> 00:54:44,040
Speaker 1: might be a little bit different on their ends. It's

1091
00:54:44,080 --> 00:54:46,520
Speaker 1: not a surprise to see Susan Collins and Murkowski. But

1092
00:54:46,560 --> 00:54:48,920
Speaker 1: I do think some of the names on here do

1093
00:54:49,080 --> 00:54:51,080
Speaker 1: kind of surprise me in terms of what they are

1094
00:54:51,080 --> 00:54:55,080
Speaker 1: going for and whatnot. So I think, look in general,

1095
00:54:55,440 --> 00:54:57,960
Speaker 1: part of the reason why a lot of it matters

1096
00:54:58,120 --> 00:55:00,680
Speaker 1: is it shows you how much the the country has changed.

1097
00:55:00,719 --> 00:55:04,400
Speaker 1: Let's put this on the screen about US approval. Even

1098
00:55:05,440 --> 00:55:08,239
Speaker 1: I can't even believe that this graph actually exists, but

1099
00:55:08,600 --> 00:55:12,040
Speaker 1: this does. It does show you just how much social

1100
00:55:12,120 --> 00:55:14,439
Speaker 1: change can happen in a relatively short period of time.

1101
00:55:14,719 --> 00:55:18,000
Speaker 1: This is US approval of marriage between black and whites

1102
00:55:18,239 --> 00:55:21,200
Speaker 1: from nineteen fifty eight to twenty twenty one. So in

1103
00:55:21,320 --> 00:55:25,960
Speaker 1: nineteen fifty eight, the overall wording on the question was

1104
00:55:26,239 --> 00:55:30,480
Speaker 1: four percent. Approval is now ninety four percent today in

1105
00:55:30,560 --> 00:55:32,839
Speaker 1: twenty twenty one, or it's in twenty twenty one when

1106
00:55:32,880 --> 00:55:35,160
Speaker 1: the last time that this was called on gay marriage.

1107
00:55:35,160 --> 00:55:39,040
Speaker 1: Actually you're now at overall nearly seventy percent approval, even

1108
00:55:39,080 --> 00:55:43,799
Speaker 1: with a majority of Republicans, including actually even boomer Republicans

1109
00:55:43,840 --> 00:55:47,480
Speaker 1: who support gay marriage. So it's a landmark moment for

1110
00:55:47,480 --> 00:55:49,600
Speaker 1: the country, which we're all kind of moving past because

1111
00:55:49,600 --> 00:55:51,839
Speaker 1: it does feel so far gone. But it just got

1112
00:55:51,840 --> 00:55:55,680
Speaker 1: passed through the US Senate with almost no consternation, like

1113
00:55:55,760 --> 00:56:00,320
Speaker 1: no what like demonstrations or anything. Everyone just kind of okay,

1114
00:56:00,320 --> 00:56:02,520
Speaker 1: great and then they moved on, which, in and of itself,

1115
00:56:02,680 --> 00:56:04,920
Speaker 1: if you had told me that nineteen ninety five, you know,

1116
00:56:04,960 --> 00:56:06,680
Speaker 1: if I'd been an adult, then I would have been like, wow,

1117
00:56:06,719 --> 00:56:08,400
Speaker 1: that's crazy. I would not have expected that. I mean,

1118
00:56:08,440 --> 00:56:11,239
Speaker 1: Ben Shapiro had some consternation, so there was there was

1119
00:56:11,280 --> 00:56:14,840
Speaker 1: some consternation out there. But yeah, looking at that graph

1120
00:56:15,320 --> 00:56:18,000
Speaker 1: of approval of marriage between black people and white people

1121
00:56:18,440 --> 00:56:22,120
Speaker 1: when I was born, only forty percent of Americans, that's

1122
00:56:22,120 --> 00:56:26,160
Speaker 1: pretty wild. That is crazy. That is crazy to me.

1123
00:56:26,719 --> 00:56:30,439
Speaker 1: And now, I mean, you know, six percent say no

1124
00:56:31,000 --> 00:56:34,680
Speaker 1: some like racist friend freaks out there, but it is

1125
00:56:34,880 --> 00:56:37,680
Speaker 1: it is in a way a like disconcerting graph but

1126
00:56:37,719 --> 00:56:40,600
Speaker 1: also hopeful in the pace of social change there. It

1127
00:56:40,680 --> 00:56:44,680
Speaker 1: is incredible to think back President Obama not supporting gay marriage.

1128
00:56:44,719 --> 00:56:47,160
Speaker 1: I mean, actually Biden kind of forcing his hand there

1129
00:56:47,160 --> 00:56:49,680
Speaker 1: in the second in the second term, that was a

1130
00:56:49,680 --> 00:56:51,759
Speaker 1: big deal. He won the sort of like you know,

1131
00:56:51,840 --> 00:56:55,960
Speaker 1: lifetime loyalty of a good chunk of the LGBTQ community,

1132
00:56:56,000 --> 00:56:59,560
Speaker 1: at least like the activist leaders for forcing Obama's hand

1133
00:56:59,560 --> 00:57:02,480
Speaker 1: on that. So it has been a remarkable pace of change.

1134
00:57:02,680 --> 00:57:04,719
Speaker 1: On the other hand, you know, you look at Okay,

1135
00:57:04,760 --> 00:57:07,000
Speaker 1: you got twelve Republicans. They're able to get it through.

1136
00:57:07,320 --> 00:57:09,359
Speaker 1: That is extraordinary. On the other hand, you're like, what

1137
00:57:09,400 --> 00:57:11,719
Speaker 1: are you other people doing? Because you're now out of

1138
00:57:11,760 --> 00:57:14,920
Speaker 1: step with your own base on this issue. And that's

1139
00:57:14,960 --> 00:57:18,520
Speaker 1: a testament to the power that the religious organized religious

1140
00:57:18,600 --> 00:57:22,040
Speaker 1: right still has within the Republican Party. And so it'll

1141
00:57:22,080 --> 00:57:24,160
Speaker 1: be interesting to see if this ends up being a

1142
00:57:24,240 --> 00:57:26,520
Speaker 1: kind of a litmus test issue going forward in terms

1143
00:57:26,560 --> 00:57:29,680
Speaker 1: of primaries, or do they just kind of like realize

1144
00:57:29,680 --> 00:57:32,240
Speaker 1: they're on loosing ground here once again and drop it

1145
00:57:32,280 --> 00:57:35,080
Speaker 1: and move on. Yeah. I really don't know how it

1146
00:57:35,120 --> 00:57:37,640
Speaker 1: will go. I think, like I said, the only person

1147
00:57:37,720 --> 00:57:41,520
Speaker 1: who politically it would make sense for was Ted Cruz

1148
00:57:41,720 --> 00:57:44,640
Speaker 1: because he is the bastion of the evangelicals in the

1149
00:57:44,720 --> 00:57:47,600
Speaker 1: Republican primary or what was at that time. You know,

1150
00:57:47,840 --> 00:57:51,120
Speaker 1: if you think about Rubio's positioning on this, I don't know. Yeah,

1151
00:57:51,120 --> 00:57:53,240
Speaker 1: that's an interesting one. I mean, he is still Catholic,

1152
00:57:53,320 --> 00:57:56,680
Speaker 1: so well. I mean, but his excuse was just like, oh,

1153
00:57:56,720 --> 00:57:58,320
Speaker 1: this is a waste of time. There is this stupid.

1154
00:57:58,400 --> 00:58:00,160
Speaker 1: Well we talked about that here. Yeah, but yeah, but

1155
00:58:00,200 --> 00:58:01,640
Speaker 1: when you have to vote, like how are you going

1156
00:58:01,680 --> 00:58:03,680
Speaker 1: to vote? That's why I actually found it interesting what

1157
00:58:03,680 --> 00:58:05,600
Speaker 1: they're all saying, and again I don't actually know if

1158
00:58:05,600 --> 00:58:07,400
Speaker 1: it's true or not. What they're saying is that there's

1159
00:58:07,440 --> 00:58:10,080
Speaker 1: not enough protections for like Catholic charities, and that it

1160
00:58:10,160 --> 00:58:12,960
Speaker 1: institutes like some sort of legal regime under which like

1161
00:58:13,680 --> 00:58:16,920
Speaker 1: the Catholic charities and other Christian organizations could be sued.

1162
00:58:17,640 --> 00:58:21,120
Speaker 1: Maybe that's possible. I did see Senator Romney and the

1163
00:58:21,160 --> 00:58:23,080
Speaker 1: other Republicans who did vote for it say that they

1164
00:58:23,080 --> 00:58:25,240
Speaker 1: are concerns about that because there were some initial ones

1165
00:58:25,240 --> 00:58:28,000
Speaker 1: that weren't getting get sixty. They got modifications to the

1166
00:58:28,000 --> 00:58:30,800
Speaker 1: bill to reflect whatever their religious liberty can exactly. So

1167
00:58:30,880 --> 00:58:33,200
Speaker 1: I don't know, you know what their exact concern is

1168
00:58:33,280 --> 00:58:34,600
Speaker 1: or not. I think it's one of those where maybe

1169
00:58:34,640 --> 00:58:36,560
Speaker 1: they just voted how they believe and don't believe that

1170
00:58:36,600 --> 00:58:38,600
Speaker 1: they'll pay any cost. Because he also just won reelection

1171
00:58:38,680 --> 00:58:40,000
Speaker 1: and he's going to be the Senate for the next

1172
00:58:40,120 --> 00:58:42,800
Speaker 1: six years, and he won by twenty points. I think

1173
00:58:42,920 --> 00:58:45,720
Speaker 1: I read it more. Apparently there was news he's like

1174
00:58:45,720 --> 00:58:47,919
Speaker 1: putting out a book, and it looks like he may

1175
00:58:47,960 --> 00:58:51,360
Speaker 1: also be thinking about being like number, you know, twenty four.

1176
00:58:51,640 --> 00:58:56,080
Speaker 1: Everybody give it up a running for president's So anyway,

1177
00:58:56,240 --> 00:58:58,760
Speaker 1: I read it more as he's concerned that it could

1178
00:58:58,760 --> 00:59:02,080
Speaker 1: be a vulnerability in a Republican primary, which it may

1179
00:59:02,120 --> 00:59:05,240
Speaker 1: well be very may well be very possible. Yes, all right,

1180
00:59:05,280 --> 00:59:09,120
Speaker 1: final one, let's go to Trump. This is a hilarious story.

1181
00:59:09,240 --> 00:59:13,280
Speaker 1: So this is an NBC News article which forgive the source,

1182
00:59:13,360 --> 00:59:16,200
Speaker 1: but this journalist did a good job. Mark Caputo, he

1183
00:59:16,200 --> 00:59:19,000
Speaker 1: previously worked over Politico and followed him for a long time.

1184
00:59:19,320 --> 00:59:25,000
Speaker 1: He reconstructed the Trump Kanye Fuentes Milo dinner by just talking,

1185
00:59:25,160 --> 00:59:28,760
Speaker 1: imagine this to Nick Quentes and to Milo and to

1186
00:59:28,840 --> 00:59:31,960
Speaker 1: Kanye about what happened. Put this up there on the screen.

1187
00:59:32,360 --> 00:59:35,560
Speaker 1: Mark says, it's the inside story of the Trump's explosive

1188
00:59:35,560 --> 00:59:39,440
Speaker 1: dinner with Yay and with Nick Fuentes. But one of

1189
00:59:39,520 --> 00:59:43,640
Speaker 1: the things that he points is that effectively the entire

1190
00:59:43,800 --> 00:59:49,440
Speaker 1: dinner was choreographed and stage managed by Milo, and Milo

1191
00:59:49,560 --> 00:59:52,200
Speaker 1: has long felt that Trump threw him under the bus,

1192
00:59:52,240 --> 00:59:57,720
Speaker 1: and for various reasons, has beefs and grievances with Milo.

1193
00:59:58,080 --> 01:00:03,960
Speaker 1: He effectively tricked toenty sixteen former Trump operative to drive

1194
01:00:04,080 --> 01:00:06,280
Speaker 1: the three of them from the airport to mar A

1195
01:00:06,360 --> 01:00:10,080
Speaker 1: Lago as some sort of quasi advisor, and orchestrated the

1196
01:00:10,120 --> 01:00:14,120
Speaker 1: dinner in broad public view between Nick, Fuentes and with Kanye,

1197
01:00:14,560 --> 01:00:17,800
Speaker 1: knowing Crystal that it was going to leak, the dinner

1198
01:00:17,880 --> 01:00:21,280
Speaker 1: was going to leak, and did so specifically to actually

1199
01:00:21,360 --> 01:00:25,600
Speaker 1: wound to wound the Trump campaign. So it does seem

1200
01:00:25,640 --> 01:00:29,640
Speaker 1: to be that there were several useful idiots throughout this

1201
01:00:29,880 --> 01:00:33,800
Speaker 1: entire process, of which Milo himself appears to have known

1202
01:00:33,880 --> 01:00:36,800
Speaker 1: exactly what was going to happen, got Fuentes at the dinner,

1203
01:00:37,040 --> 01:00:40,840
Speaker 1: brought Fuentes with Kanye, then using some Trump operatives that

1204
01:00:40,880 --> 01:00:43,360
Speaker 1: he knew, getting hit them all into mar A Lago,

1205
01:00:43,720 --> 01:00:46,960
Speaker 1: forcing the dinner in itself, and then getting Fuentes there,

1206
01:00:47,160 --> 01:00:49,720
Speaker 1: also having the dinner in public view, knowing that the

1207
01:00:49,800 --> 01:00:53,439
Speaker 1: dinner the dinner guests themselves were going to leak, all

1208
01:00:53,480 --> 01:00:56,000
Speaker 1: as part of a process to damage Trump, which just

1209
01:00:56,040 --> 01:00:59,600
Speaker 1: shows you that's how easy Trump is to fool, which

1210
01:00:59,600 --> 01:01:02,840
Speaker 1: is Hilaire. I'd buy the conspirators by yeah, it seems

1211
01:01:02,840 --> 01:01:04,520
Speaker 1: like I mean, I'm not that I know my love

1212
01:01:04,720 --> 01:01:06,400
Speaker 1: like have really followed him even that closely, but it

1213
01:01:06,400 --> 01:01:08,840
Speaker 1: seems like the sort of as an underhanded plot that

1214
01:01:08,880 --> 01:01:12,560
Speaker 1: he might be able to pull off. And this is

1215
01:01:12,760 --> 01:01:14,800
Speaker 1: this is not to let Trump off a hook here,

1216
01:01:14,880 --> 01:01:18,640
Speaker 1: because ultimately it relied on Trump taking a look at

1217
01:01:18,680 --> 01:01:20,400
Speaker 1: this group and being like, yes, I want to have

1218
01:01:20,440 --> 01:01:22,080
Speaker 1: dinner with you, and yes I want to have dinner.

1219
01:01:22,080 --> 01:01:25,080
Speaker 1: Apparently he intentionally sat them in like a very prominent

1220
01:01:25,240 --> 01:01:28,080
Speaker 1: place because he is very proud to be there with

1221
01:01:28,320 --> 01:01:30,800
Speaker 1: Kanye and thought that it'd be fun for the guests

1222
01:01:30,800 --> 01:01:34,760
Speaker 1: of mar A Lago to see Kanye there. And so yeah,

1223
01:01:34,760 --> 01:01:37,480
Speaker 1: there's this kind of like, I mean, it's it's interesting

1224
01:01:37,520 --> 01:01:40,959
Speaker 1: to who knows how accurate this reporting ultimately is because

1225
01:01:41,000 --> 01:01:43,960
Speaker 1: it's based on the account of like, you know, three

1226
01:01:44,000 --> 01:01:47,400
Speaker 1: people I know, but they're very untrustworthy people, right, so

1227
01:01:47,440 --> 01:01:49,480
Speaker 1: you can't really take their word for it. But anyway,

1228
01:01:50,000 --> 01:01:53,200
Speaker 1: there's this sort of fateful moment where they're standing there

1229
01:01:53,720 --> 01:01:58,040
Speaker 1: and the former Trump aid lady is like, mister President,

1230
01:01:58,080 --> 01:02:00,160
Speaker 1: I understand you. We're supposed to have dinner just you

1231
01:02:00,360 --> 01:02:02,959
Speaker 1: and mister West. You know, we're happy to go over

1232
01:02:03,000 --> 01:02:04,760
Speaker 1: to the bar and like hang out until you guys

1233
01:02:04,760 --> 01:02:06,880
Speaker 1: are done and he's like, well, I'll let I'll let

1234
01:02:06,960 --> 01:02:09,320
Speaker 1: Kanye decide what he wants to do, and Kanye's like,

1235
01:02:09,480 --> 01:02:14,280
Speaker 1: let's alas alia. So they all sit down and ultimately eat.

1236
01:02:14,360 --> 01:02:16,560
Speaker 1: So looks like he was looks like he may have

1237
01:02:16,560 --> 01:02:19,400
Speaker 1: been set up here, but he's also walked right into

1238
01:02:19,440 --> 01:02:23,440
Speaker 1: the trap. They exploited exactly his like weaknesses for attention

1239
01:02:23,560 --> 01:02:26,320
Speaker 1: and flattery and carelessness and all that stuff. And yeah,

1240
01:02:26,480 --> 01:02:28,360
Speaker 1: I just sat in there. It was funny too, because

1241
01:02:28,480 --> 01:02:30,440
Speaker 1: this shows the other angle of it, Like outside of

1242
01:02:30,480 --> 01:02:32,880
Speaker 1: the outrage about the dinner and all that, just how

1243
01:02:32,920 --> 01:02:35,800
Speaker 1: easy it was to play. And also, you know Milo's

1244
01:02:35,800 --> 01:02:40,720
Speaker 1: deliciousness orchestrating this entire thing. Anybody really talk about it.

1245
01:02:40,720 --> 01:02:43,040
Speaker 1: Apparently he's been saying for a while that he wanted

1246
01:02:43,040 --> 01:02:45,600
Speaker 1: to get revenge on Trump. You know, we didn't cover

1247
01:02:45,680 --> 01:02:47,400
Speaker 1: it here, but I'm sure you guys saw like the

1248
01:02:47,440 --> 01:02:50,560
Speaker 1: whole Timpoole has the three of them on and then

1249
01:02:50,840 --> 01:02:53,760
Speaker 1: within like ten minutes, Kanye gets up and storms out

1250
01:02:53,760 --> 01:02:56,880
Speaker 1: the slightest bit of pushback on his anti Sepphinic nonsense.

1251
01:02:57,720 --> 01:03:00,880
Speaker 1: They in the after discussion, we're talk we're sort of

1252
01:03:00,880 --> 01:03:02,720
Speaker 1: floating this, and I don't really know what they were

1253
01:03:02,800 --> 01:03:05,120
Speaker 1: referring to, but I think Tim said something about like

1254
01:03:05,200 --> 01:03:07,920
Speaker 1: Milo Head said that he wanted to get revenge on Trump,

1255
01:03:07,960 --> 01:03:10,160
Speaker 1: so they kind of had it in mind that maybe

1256
01:03:10,160 --> 01:03:13,880
Speaker 1: this was what ultimately unfolded. So yeah, what a weird situation. Okay,

1257
01:03:14,000 --> 01:03:16,320
Speaker 1: let's move on to SBF. We had to add this

1258
01:03:16,400 --> 01:03:18,960
Speaker 1: in later on in the show after it was all

1259
01:03:19,000 --> 01:03:26,240
Speaker 1: happening last night, an extraordinary interview one hour SBF possible

1260
01:03:26,240 --> 01:03:29,480
Speaker 1: criminal sitting down against the advice of his own lawyers,

1261
01:03:29,480 --> 01:03:33,200
Speaker 1: as he owned admitted during that interview in which he

1262
01:03:33,720 --> 01:03:36,720
Speaker 1: was faced with probing and very difficult questions. I want

1263
01:03:36,760 --> 01:03:38,720
Speaker 1: to say prohps Andrew ross Sork, and I actually didn't

1264
01:03:38,760 --> 01:03:41,560
Speaker 1: think he did a fantastic job throughout, very good job.

1265
01:03:41,720 --> 01:03:43,880
Speaker 1: SBF is going to have some real problems should he

1266
01:03:43,920 --> 01:03:46,280
Speaker 1: ever go on trial, either in a sibil or a

1267
01:03:46,280 --> 01:03:50,360
Speaker 1: criminal setting, because he put himself in some in a

1268
01:03:50,400 --> 01:03:54,480
Speaker 1: timeline denying specific knowledge of certain things. But my personal

1269
01:03:54,560 --> 01:03:57,479
Speaker 1: favorite moment came near the beginning. I watched the entire

1270
01:03:57,480 --> 01:04:01,000
Speaker 1: thing when Andrew ross Sork reads him a letter from

1271
01:04:01,040 --> 01:04:05,800
Speaker 1: somebody who lost their life savings on FTX and SBF,

1272
01:04:05,880 --> 01:04:09,240
Speaker 1: all he can really say is Yeah, I guess I'm

1273
01:04:09,280 --> 01:04:12,520
Speaker 1: sorry that happened. On top of denying that he ever

1274
01:04:12,560 --> 01:04:16,440
Speaker 1: committed any criminal fraud. Let's take a listen one of

1275
01:04:16,160 --> 01:04:20,880
Speaker 1: the letters I got I want to read to you Sam,

1276
01:04:21,200 --> 01:04:23,080
Speaker 1: because it's from a gentleman who said that he lost

1277
01:04:23,080 --> 01:04:27,240
Speaker 1: his life savings and the subject line is Sam bankmin

1278
01:04:27,280 --> 01:04:32,000
Speaker 1: freed stole two million dollars from me, says Andrew. Can

1279
01:04:32,040 --> 01:04:35,520
Speaker 1: you please ask SBF why he decided to steal my

1280
01:04:35,600 --> 01:04:40,080
Speaker 1: life savings and the ten billion dollars more from customers

1281
01:04:40,080 --> 01:04:44,560
Speaker 1: to give to his hedge fund Alameda. Please ask him

1282
01:04:44,560 --> 01:04:49,320
Speaker 1: if he thinks the thinks what happened was fraud. These

1283
01:04:49,320 --> 01:04:51,600
Speaker 1: are the kinds of letters that I've been getting repeatedly

1284
01:04:52,080 --> 01:04:54,440
Speaker 1: over the past several days. What do you tell this

1285
01:04:54,440 --> 01:05:02,200
Speaker 1: this man? Yeah, I mean, I'm deeply sorry about what happened. Sorry,

1286
01:05:02,240 --> 01:05:06,080
Speaker 1: I'm sorry. Oopsie, I stole billions of dollars. The rest

1287
01:05:06,080 --> 01:05:09,040
Speaker 1: of the interview is also nuts on several levels. At

1288
01:05:09,040 --> 01:05:12,960
Speaker 1: one point, he's like offering financial advice about how and

1289
01:05:13,000 --> 01:05:16,560
Speaker 1: what to know which crypto exchange is a fraud. He

1290
01:05:16,640 --> 01:05:21,600
Speaker 1: also basically downplays any chance that he had any criminal liability,

1291
01:05:21,680 --> 01:05:23,600
Speaker 1: but one of the ones that actually bothered me the

1292
01:05:23,600 --> 01:05:26,880
Speaker 1: most is whenever he was asked about his own criminal liability,

1293
01:05:27,040 --> 01:05:29,240
Speaker 1: and he was basically saying that he wasn't thinking about

1294
01:05:29,240 --> 01:05:31,680
Speaker 1: that because all he wants to do is help right now.

1295
01:05:31,720 --> 01:05:34,160
Speaker 1: But he's really trying to cast himself. We've had enough

1296
01:05:34,200 --> 01:05:35,640
Speaker 1: of your help, thank you. He's trying to cast the

1297
01:05:35,720 --> 01:05:37,400
Speaker 1: sort as hero figure. So we have some of that

1298
01:05:37,400 --> 01:05:39,880
Speaker 1: that our producers caught. Let's take a listen. How could

1299
01:05:39,880 --> 01:05:42,880
Speaker 1: turn to a criminal liability at this point? So I

1300
01:05:42,920 --> 01:05:45,000
Speaker 1: don't think that. I mean, obviously I I don't personally

1301
01:05:45,040 --> 01:05:49,520
Speaker 1: think that I have, uh, you know, but I think

1302
01:05:49,760 --> 01:05:52,320
Speaker 1: the real answer is that's not It sounds weird to say,

1303
01:05:52,360 --> 01:05:54,400
Speaker 1: but but I think the real answers That's not what

1304
01:05:54,440 --> 01:05:58,760
Speaker 1: I'm focusing on. It's, uh, there's going to be a

1305
01:05:58,760 --> 01:06:01,120
Speaker 1: time and a place for me to sort of think

1306
01:06:01,120 --> 01:06:04,800
Speaker 1: about myself and my own future. But I don't think

1307
01:06:04,960 --> 01:06:08,760
Speaker 1: this is it like right now. I mean, look, I've

1308
01:06:08,800 --> 01:06:11,200
Speaker 1: had a bad mouth, this has not been any plenty

1309
01:06:11,440 --> 01:06:14,560
Speaker 1: for me, But that's not what matters here. Like what

1310
01:06:14,600 --> 01:06:17,840
Speaker 1: matters here is the millions of customers. What matters here

1311
01:06:18,360 --> 01:06:21,880
Speaker 1: is all the stakeholders and FTX who got hurt given

1312
01:06:21,920 --> 01:06:23,960
Speaker 1: what you know about compliance or the lack of it

1313
01:06:24,080 --> 01:06:26,160
Speaker 1: in this business, in this industry, I think there are

1314
01:06:26,160 --> 01:06:28,560
Speaker 1: a lot of people who are holding crypto today, perhaps

1315
01:06:28,600 --> 01:06:32,560
Speaker 1: on exchanges like finance and other places. Yep, what should

1316
01:06:32,600 --> 01:06:34,720
Speaker 1: they think? Given what you do know and to the

1317
01:06:34,720 --> 01:06:37,240
Speaker 1: extent that you can tell us the truth about what

1318
01:06:37,320 --> 01:06:41,120
Speaker 1: you know? What should they think? And I presume you're

1319
01:06:41,120 --> 01:06:42,800
Speaker 1: asking what should they think about the safety of their

1320
01:06:42,840 --> 01:06:46,520
Speaker 1: assets going forward? And correct? Yeah, So look, I don't

1321
01:06:47,360 --> 01:06:49,600
Speaker 1: I obviously don't know exactly what's going on at other exchanges.

1322
01:06:50,400 --> 01:06:52,560
Speaker 1: I can tell you what I would think as a customer,

1323
01:06:52,600 --> 01:06:54,760
Speaker 1: you know, if I were a customer here, which is,

1324
01:06:56,160 --> 01:06:58,040
Speaker 1: look for the things that I wish FTFS had been

1325
01:06:58,080 --> 01:07:00,800
Speaker 1: able to supply, things like you know, proof of reserves

1326
01:07:01,040 --> 01:07:04,320
Speaker 1: is helpful. Look for as rigorous of that as you can.

1327
01:07:04,520 --> 01:07:06,840
Speaker 1: Look for regulatory reporting, right you look at what the

1328
01:07:06,960 --> 01:07:09,560
Speaker 1: JFSA had in place in Japan. You look at what

1329
01:07:09,680 --> 01:07:13,560
Speaker 1: FGXUS derivatives had with you know, so frequent reporting to

1330
01:07:13,600 --> 01:07:17,080
Speaker 1: regulators of exactly what you know, customer assets, balances, liabilities,

1331
01:07:17,280 --> 01:07:19,840
Speaker 1: distributions are I feel like I was going to lose

1332
01:07:19,880 --> 01:07:22,680
Speaker 1: my mind whenever he's like telling people where what they

1333
01:07:22,720 --> 01:07:25,680
Speaker 1: should be with their money. But on the criminal liability question,

1334
01:07:25,960 --> 01:07:29,320
Speaker 1: just again, he's trying to set himself up like some hero.

1335
01:07:29,520 --> 01:07:32,640
Speaker 1: I actually thought so selfless. I know, I'm not even

1336
01:07:32,680 --> 01:07:34,640
Speaker 1: worried about myself. I just want to help. If that's true,

1337
01:07:34,680 --> 01:07:36,200
Speaker 1: get on a plane, Get on a plane and come

1338
01:07:36,240 --> 01:07:38,480
Speaker 1: to the United States and we'll see how true that is.

1339
01:07:39,000 --> 01:07:42,480
Speaker 1: I look, the whole thing, it's extraordinary. I encourage you

1340
01:07:42,520 --> 01:07:44,920
Speaker 1: all to go watch it. Yeah. I think that where

1341
01:07:45,000 --> 01:07:47,960
Speaker 1: Andre russ Orkin really nailed him is that on November seventh,

1342
01:07:48,160 --> 01:07:50,160
Speaker 1: Sam sent out a tweet basically saying that they were

1343
01:07:50,160 --> 01:07:52,720
Speaker 1: going to be I'll be able to cover all customer withdrawals.

1344
01:07:52,880 --> 01:07:55,920
Speaker 1: Eventually deleted it and per his own mind and thinking

1345
01:07:56,240 --> 01:07:58,600
Speaker 1: he claimed to know sometime on November seventh that the

1346
01:07:58,720 --> 01:08:02,000
Speaker 1: entire thing was going to craft. Yeah, look, we'll see.

1347
01:08:02,000 --> 01:08:05,840
Speaker 1: He eventually deleted that tweet. That was the timeline right

1348
01:08:05,880 --> 01:08:08,800
Speaker 1: that maybe very may come back to bite him in

1349
01:08:08,920 --> 01:08:11,800
Speaker 1: terms of any criminal liability. I mean, listen, the guy

1350
01:08:11,920 --> 01:08:15,520
Speaker 1: is in some deep, deep issues here, and he claimed

1351
01:08:15,560 --> 01:08:18,080
Speaker 1: not to know all sorts of things, so he didn't

1352
01:08:18,080 --> 01:08:20,160
Speaker 1: really know what was going on. He was unaware of

1353
01:08:20,200 --> 01:08:22,080
Speaker 1: how exposed they were. He didn't know what a big

1354
01:08:22,120 --> 01:08:24,800
Speaker 1: position they had all of this stuff. I mean, it

1355
01:08:24,880 --> 01:08:27,519
Speaker 1: was like, come on to the point that there was

1356
01:08:27,640 --> 01:08:31,320
Speaker 1: reporting that Andrew Rossorkan asked him about that he had

1357
01:08:31,360 --> 01:08:33,639
Speaker 1: they had paid FDx had paid for like a beach

1358
01:08:33,680 --> 01:08:38,600
Speaker 1: house for his parents, and he's like, I don't really know.

1359
01:08:38,920 --> 01:08:42,960
Speaker 1: Come on, dude, obviously you know if your parents have

1360
01:08:43,000 --> 01:08:45,040
Speaker 1: a beach house in the country where you were also

1361
01:08:45,160 --> 01:08:47,599
Speaker 1: fifty million dollars, it wasn't just it wasn't just like

1362
01:08:47,640 --> 01:08:49,639
Speaker 1: a little, you know, a little shack up the beach

1363
01:08:49,880 --> 01:08:52,439
Speaker 1: in the Bahamas. This is yeah, fifty million dollar. Oh

1364
01:08:52,479 --> 01:08:54,559
Speaker 1: and you don't have any idea what's going on there?

1365
01:08:54,840 --> 01:08:58,120
Speaker 1: Come on? I mean there were so many moments here

1366
01:08:58,360 --> 01:09:01,400
Speaker 1: too where he was just so of like backed into

1367
01:09:01,520 --> 01:09:04,360
Speaker 1: a corner and just trying to commn his way out

1368
01:09:04,360 --> 01:09:06,360
Speaker 1: of it. Like that's really what it seemed like. The

1369
01:09:06,400 --> 01:09:08,360
Speaker 1: go to move was just to say, oh, I don't know,

1370
01:09:08,479 --> 01:09:10,800
Speaker 1: I didn't know what was going on, you know, to

1371
01:09:10,840 --> 01:09:13,960
Speaker 1: try to appear like selfless and noble. And as to

1372
01:09:14,000 --> 01:09:18,240
Speaker 1: why he even did this interview, which was really ill advised,

1373
01:09:18,280 --> 01:09:21,240
Speaker 1: his lawyers are clearly correct about that this is a

1374
01:09:21,280 --> 01:09:23,599
Speaker 1: guy who clearly is used to like talking his way

1375
01:09:23,600 --> 01:09:26,960
Speaker 1: on anything and thinks, you know, he's classic narcissist, thinks

1376
01:09:26,960 --> 01:09:28,559
Speaker 1: he can get in front of a camera and charm

1377
01:09:28,600 --> 01:09:31,120
Speaker 1: everyone and make them think like, oh, it's just all

1378
01:09:31,160 --> 01:09:34,200
Speaker 1: a big misunderstanding and just a like unfortunate circumstance and

1379
01:09:34,240 --> 01:09:38,080
Speaker 1: he's really sorry, bunch of nonsense, bunch of nonsense. It

1380
01:09:38,200 --> 01:09:41,519
Speaker 1: was pretty remarkable. And he'd say things like like, Oh,

1381
01:09:41,760 --> 01:09:43,920
Speaker 1: I wish we'd had that person who was like just

1382
01:09:43,960 --> 01:09:46,720
Speaker 1: focused on the risk and the downside. It's like, you

1383
01:09:47,320 --> 01:09:50,360
Speaker 1: were supposed to be that person, Like I just wish

1384
01:09:50,400 --> 01:09:52,719
Speaker 1: we had that got you were supposed to be that guy.

1385
01:09:53,439 --> 01:09:56,800
Speaker 1: And you know, Andrew rosserk and asked him about, Okay,

1386
01:09:56,800 --> 01:09:58,519
Speaker 1: what's your what do you think your future is? Like?

1387
01:09:58,680 --> 01:10:00,840
Speaker 1: Future is a prison cell, dude, that's what you're staring

1388
01:10:00,920 --> 01:10:02,599
Speaker 1: down right now. Yeah, I mean, and I think he's

1389
01:10:02,600 --> 01:10:04,559
Speaker 1: still in denial about that. I think you might be right.

1390
01:10:04,600 --> 01:10:06,400
Speaker 1: I mean, look, I was actually talking with some of

1391
01:10:06,400 --> 01:10:09,120
Speaker 1: my friends this morning. Wirefraud is like the equivalent of

1392
01:10:09,120 --> 01:10:10,760
Speaker 1: mail fraud. It's one of those things where if the

1393
01:10:10,840 --> 01:10:12,719
Speaker 1: Feds want to get you on wire fraud, they pretty

1394
01:10:12,720 --> 01:10:15,559
Speaker 1: easily can't They just got Elizabeth Holmes on seven counts

1395
01:10:15,760 --> 01:10:18,600
Speaker 1: of wirefraud at trial, So all they really have to

1396
01:10:18,600 --> 01:10:21,120
Speaker 1: prove is that he committed fraud in at least like

1397
01:10:21,120 --> 01:10:23,639
Speaker 1: one instance, and they've got you, or at least knew

1398
01:10:23,680 --> 01:10:26,879
Speaker 1: about something. He caught himself in a lot of problems

1399
01:10:26,920 --> 01:10:29,840
Speaker 1: about his knowledge of Alameda, the Sister Hedge Fund, and

1400
01:10:30,120 --> 01:10:32,080
Speaker 1: also what I think is going to really complicate things

1401
01:10:32,120 --> 01:10:35,680
Speaker 1: is we shouldn't forget he had enriched himself extraordinarily. He

1402
01:10:35,760 --> 01:10:38,559
Speaker 1: was pulling hundreds of millions of dollars out of the company.

1403
01:10:38,600 --> 01:10:40,320
Speaker 1: He claimed in that interview to what have only one

1404
01:10:40,360 --> 01:10:43,519
Speaker 1: hundred thousand dollars? Yeah, I have one credit card that's

1405
01:10:43,520 --> 01:10:47,120
Speaker 1: still working, right, he said, he has one? Okay, we'll see.

1406
01:10:47,280 --> 01:10:49,640
Speaker 1: I've got a lot of questions also about that. To me,

1407
01:10:49,720 --> 01:10:51,679
Speaker 1: so how much money does your parents have, because clearly

1408
01:10:51,760 --> 01:10:55,280
Speaker 1: you were transferring it over to them too. Yeah. To me,

1409
01:10:55,479 --> 01:10:58,759
Speaker 1: the most telling part was at the end and russwork

1410
01:10:58,800 --> 01:11:00,960
Speaker 1: and asked him like, are you telling? Did you tell

1411
01:11:00,960 --> 01:11:03,680
Speaker 1: the truth? And he can't give a direct answer. Well,

1412
01:11:03,680 --> 01:11:06,439
Speaker 1: he's like to to the best of my knowledge as

1413
01:11:06,479 --> 01:11:09,720
Speaker 1: I know it, yes, But it's like if you were

1414
01:11:09,920 --> 01:11:12,439
Speaker 1: really being upfront. Here, a simple yes or no would do,

1415
01:11:12,520 --> 01:11:15,000
Speaker 1: And he gets confronted to with like those text messages

1416
01:11:15,560 --> 01:11:17,920
Speaker 1: with the box report and has a real hard time

1417
01:11:17,960 --> 01:11:20,240
Speaker 1: wiggling out of that one too. He's like, well, you know,

1418
01:11:20,360 --> 01:11:22,840
Speaker 1: I was just talking about what I was doing when

1419
01:11:22,880 --> 01:11:26,919
Speaker 1: I was in promotional mode for FTX. It's like classic,

1420
01:11:27,200 --> 01:11:29,560
Speaker 1: classic cod Man. There's still a lot to say. I

1421
01:11:29,600 --> 01:11:31,920
Speaker 1: actually saw an interesting analysis from a guy who ran

1422
01:11:32,560 --> 01:11:34,360
Speaker 1: who covered made Off, and he was like, you know,

1423
01:11:34,680 --> 01:11:37,240
Speaker 1: there's so many similarities like made Off. He was a

1424
01:11:37,240 --> 01:11:39,680
Speaker 1: genius up until the end. And really what doomed the

1425
01:11:39,680 --> 01:11:41,680
Speaker 1: two of them is they thought they could trade their

1426
01:11:41,720 --> 01:11:43,120
Speaker 1: way out of it. They're like, well, we can do

1427
01:11:43,160 --> 01:11:44,960
Speaker 1: this or you know, like get this bailout and maybe

1428
01:11:44,960 --> 01:11:46,599
Speaker 1: we can make a trade, and based on that trade,

1429
01:11:46,600 --> 01:11:48,120
Speaker 1: like we could be able to cover all over, which

1430
01:11:48,160 --> 01:11:51,519
Speaker 1: it's a classic like narcissist like post scheme mindset. Well,

1431
01:11:51,560 --> 01:11:54,879
Speaker 1: I also want people to understand that the ball bounces

1432
01:11:54,920 --> 01:11:57,439
Speaker 1: a little bit differently. And this guy continues to be oh,

1433
01:11:57,760 --> 01:12:03,200
Speaker 1: you know, billionaire, esteemed global renowned figure holding his cryptoconference

1434
01:12:03,320 --> 01:12:06,880
Speaker 1: with Tony Blair and Bill Clinton there and all of

1435
01:12:06,920 --> 01:12:10,000
Speaker 1: this stuff. So I mean the line between you're a

1436
01:12:10,000 --> 01:12:14,040
Speaker 1: criminal and you're in prison and you're a world renowned philanthropist,

1437
01:12:14,880 --> 01:12:19,880
Speaker 1: very narrow. Ultimately, Ben all right, Chrystal, what are you

1438
01:12:19,920 --> 01:12:22,599
Speaker 1: taking a look at well? Our America cities in a

1439
01:12:22,680 --> 01:12:25,640
Speaker 1: deadly doom loop? That is the provocative question asked a

1440
01:12:25,680 --> 01:12:27,960
Speaker 1: New York Times op ed by Thomas Edsel, And it's

1441
01:12:28,000 --> 01:12:30,879
Speaker 1: based on a groundbreaking analysis of research that was compiled

1442
01:12:30,880 --> 01:12:34,200
Speaker 1: by the National Bureau of Economic Research. So the theory

1443
01:12:34,200 --> 01:12:36,760
Speaker 1: here it's pretty simple to understand. After years of an

1444
01:12:36,840 --> 01:12:40,639
Speaker 1: urban renaissance in which superstar cities generated high paying jobs,

1445
01:12:40,720 --> 01:12:45,400
Speaker 1: which attracted affluent professionals, which attracted appealing amenities, which attracted

1446
01:12:45,439 --> 01:12:49,360
Speaker 1: even more affluent professionals in a virtuous circle, the pandemic

1447
01:12:49,360 --> 01:12:53,120
Speaker 1: triggered a spiral in the opposite direction. Those affluent professionals

1448
01:12:53,160 --> 01:12:55,439
Speaker 1: were sent home to work remotely, and many with the

1449
01:12:55,439 --> 01:12:57,559
Speaker 1: means to do so, fled the confines of their city

1450
01:12:57,600 --> 01:13:02,200
Speaker 1: dwellings entirely temporary rentals the suburbs turned into home purchases

1451
01:13:02,240 --> 01:13:05,919
Speaker 1: in the suburbs, temporary remote work schedules turned into permanent

1452
01:13:06,000 --> 01:13:09,040
Speaker 1: remote work schedules, or more often, hybrid work schedules, which

1453
01:13:09,080 --> 01:13:12,120
Speaker 1: still ease the burden of a long suburban commute. So

1454
01:13:12,120 --> 01:13:15,320
Speaker 1: those affluent professionals fleeing to the burbs took their tax

1455
01:13:15,360 --> 01:13:17,920
Speaker 1: revenue and their shopping dollars with them and tanked the

1456
01:13:17,920 --> 01:13:20,639
Speaker 1: commercial real estate market while they were at it. Let

1457
01:13:20,640 --> 01:13:22,000
Speaker 1: me give you a little bit of data to back

1458
01:13:22,040 --> 01:13:24,320
Speaker 1: all of this up. First, on the big migration. According

1459
01:13:24,360 --> 01:13:27,840
Speaker 1: to that National Bureau of Economic Research working paper, Manhattan

1460
01:13:28,120 --> 01:13:32,360
Speaker 1: alone lost two hundred thousand households since the pandemic began.

1461
01:13:32,800 --> 01:13:36,719
Speaker 1: Chicago lost seventy five thousand, San Francisco lost sixty seven thousand,

1462
01:13:36,800 --> 01:13:39,320
Speaker 1: and DC lost thirty three thousand, just to give a

1463
01:13:39,360 --> 01:13:42,959
Speaker 1: few examples. Here a wide variety of small cities and suburbs.

1464
01:13:43,080 --> 01:13:46,080
Speaker 1: They were the beneficiaries of these net migration flows as

1465
01:13:46,120 --> 01:13:50,080
Speaker 1: places like Naples, Florida, Sun City, Arizona, and Colin, Texas

1466
01:13:50,120 --> 01:13:53,320
Speaker 1: gained population. Now, as far as the permanence of remote

1467
01:13:53,360 --> 01:13:55,880
Speaker 1: work goes, according to the most recent data from September

1468
01:13:55,880 --> 01:13:59,960
Speaker 1: of this year, only nine percent of Manhattan office workers

1469
01:14:00,040 --> 01:14:02,000
Speaker 1: are actually at their desk five days a week. Now.

1470
01:14:02,200 --> 01:14:04,639
Speaker 1: Most of these workers are actually on a hybrid schedule,

1471
01:14:04,840 --> 01:14:07,640
Speaker 1: and on any given day only forty nine percent of

1472
01:14:07,720 --> 01:14:11,360
Speaker 1: workers are in the office. This migration and new work

1473
01:14:11,400 --> 01:14:15,360
Speaker 1: patterns has had a predictable impact on retail and on restaurants.

1474
01:14:15,600 --> 01:14:18,759
Speaker 1: The restaurant sector in New York City has lost seventy

1475
01:14:18,880 --> 01:14:22,880
Speaker 1: eight thousand workers as of August. Restaurant visits are down

1476
01:14:23,040 --> 01:14:25,559
Speaker 1: thirty seven percent in New York City and forty one

1477
01:14:25,560 --> 01:14:28,839
Speaker 1: percent in San Francisco as compared to the pre pandemic period.

1478
01:14:29,280 --> 01:14:32,040
Speaker 1: At the same time, as affluent professionals have fled to

1479
01:14:32,080 --> 01:14:35,160
Speaker 1: their home zoom offices in their new suburban homes, crime

1480
01:14:35,280 --> 01:14:38,799
Speaker 1: and visible homelessness in cities has spiked, lowering the quality

1481
01:14:38,880 --> 01:14:41,519
Speaker 1: of urban life. Now, this is a challenging issue that

1482
01:14:41,560 --> 01:14:44,759
Speaker 1: politicians of all ideologies are really struggling to handle without

1483
01:14:44,800 --> 01:14:47,519
Speaker 1: the social safety nets that other developed nations can rely on.

1484
01:14:47,800 --> 01:14:50,800
Speaker 1: It also bodes poorly for the future because as ill

1485
01:14:50,800 --> 01:14:53,559
Speaker 1: equipped as major cities are to deal with these issues today,

1486
01:14:54,120 --> 01:14:57,519
Speaker 1: their situation is only going to become tougher as pandemic

1487
01:14:57,560 --> 01:14:59,600
Speaker 1: programs dry up, as the new and fusion from the

1488
01:14:59,640 --> 01:15:03,520
Speaker 1: Inflation Reduction Act goes away, and as tax revenue continues

1489
01:15:03,560 --> 01:15:08,320
Speaker 1: to decline, and that brings us to the aforementioned doom loop.

1490
01:15:08,640 --> 01:15:11,559
Speaker 1: The affluent professionals move out, the tax revenue drops, the

1491
01:15:11,560 --> 01:15:14,919
Speaker 1: amenities and quality of city government declines, causing more affluent

1492
01:15:14,960 --> 01:15:17,920
Speaker 1: professionals to move out. A cycle of decline and decay

1493
01:15:17,920 --> 01:15:19,879
Speaker 1: sets in, much like what we saw in the seventies

1494
01:15:19,880 --> 01:15:21,880
Speaker 1: and the eighties, until it can be reversed by some

1495
01:15:22,040 --> 01:15:25,640
Speaker 1: new as of unseen social phenomenon. Now, fears of this

1496
01:15:25,720 --> 01:15:27,840
Speaker 1: death spiral can be seen in the policy choices of

1497
01:15:27,880 --> 01:15:30,200
Speaker 1: New York Mayor Eric Adams. You see an attempt to

1498
01:15:30,320 --> 01:15:32,559
Speaker 1: arrest the decline in urban quality of living in his

1499
01:15:32,640 --> 01:15:35,719
Speaker 1: decision to abruptly clear out homeless camps and to instruct

1500
01:15:35,720 --> 01:15:38,000
Speaker 1: police to take people who appear too mentally ill to

1501
01:15:38,040 --> 01:15:41,519
Speaker 1: care for themselves to mental hospitals for involuntary commitment. You

1502
01:15:41,560 --> 01:15:43,879
Speaker 1: see an attempt to staunch the bleeding of the commercial

1503
01:15:43,920 --> 01:15:47,120
Speaker 1: real estate sector, retail and restaurant industries in his push

1504
01:15:47,160 --> 01:15:50,280
Speaker 1: to force workers back into the office. Just take a

1505
01:15:50,280 --> 01:15:52,960
Speaker 1: listen to oppress or that he gave last January. There's

1506
01:15:53,040 --> 01:15:55,280
Speaker 1: a large number of businesses. You should speak to some

1507
01:15:55,360 --> 01:15:58,640
Speaker 1: of the businesses that the employees are saying, we no

1508
01:15:58,640 --> 01:16:02,599
Speaker 1: longer want to come back in office. Now, that's fine

1509
01:16:02,640 --> 01:16:08,280
Speaker 1: if we weren't connected. But as I said, earlier that accountant.

1510
01:16:08,840 --> 01:16:10,840
Speaker 1: I need him to go to the cleaners. I need

1511
01:16:10,880 --> 01:16:12,599
Speaker 1: him to go down to dunkin Donuts, I need him

1512
01:16:12,600 --> 01:16:14,519
Speaker 1: to go to the restaurant. I need him to bring

1513
01:16:14,560 --> 01:16:18,800
Speaker 1: in a business traveler. And if we say that, well,

1514
01:16:18,800 --> 01:16:21,160
Speaker 1: I don't have to come in. I'm still getting my salary,

1515
01:16:21,400 --> 01:16:24,439
Speaker 1: then you are not helping those New Yorkers that need

1516
01:16:24,520 --> 01:16:27,000
Speaker 1: us to come in. So I want my businesses in

1517
01:16:27,040 --> 01:16:31,760
Speaker 1: this city to come up with a closer deadline and

1518
01:16:31,840 --> 01:16:34,880
Speaker 1: say we're going to start placing our toe back in

1519
01:16:34,920 --> 01:16:37,960
Speaker 1: the water. Come in for two days, for three days,

1520
01:16:38,320 --> 01:16:41,040
Speaker 1: and then let's get this city back up and operating.

1521
01:16:43,160 --> 01:16:45,439
Speaker 1: Whatever you think of these policy choices, and by the way,

1522
01:16:45,439 --> 01:16:47,799
Speaker 1: we're talking to Ross Barkin about some of this today,

1523
01:16:48,240 --> 01:16:51,599
Speaker 1: they are unlikely to halt a mass social phenomenon which

1524
01:16:51,640 --> 01:16:54,639
Speaker 1: is already well underway. Just consider the attempts to get

1525
01:16:54,640 --> 01:16:57,200
Speaker 1: workers back in the office. As one example, white color

1526
01:16:57,240 --> 01:16:59,760
Speaker 1: workers tell surveyors they are willing to take a pay

1527
01:16:59,760 --> 01:17:02,920
Speaker 1: cut to keep their remote and hybrid work schedules. So

1528
01:17:02,960 --> 01:17:05,200
Speaker 1: if their company says, get your bub back in the office,

1529
01:17:05,280 --> 01:17:07,240
Speaker 1: they will likely do what a large chunk of the

1530
01:17:07,240 --> 01:17:09,760
Speaker 1: Twitter workforce did when Elon made similar demands of them

1531
01:17:09,800 --> 01:17:12,360
Speaker 1: and say, Okay, good luck, I'm out of here. Now.

1532
01:17:12,400 --> 01:17:14,360
Speaker 1: The national impact of all of this is going to

1533
01:17:14,400 --> 01:17:16,720
Speaker 1: be far reaching, and it's going to be very unpredictable.

1534
01:17:17,040 --> 01:17:19,800
Speaker 1: One element is already showing up though, in our politics.

1535
01:17:20,000 --> 01:17:23,320
Speaker 1: One of the fascinating aspects of these midterms was how Republicans,

1536
01:17:23,439 --> 01:17:27,200
Speaker 1: seemingly in one cycle, went from having a structural advantage

1537
01:17:27,240 --> 01:17:30,360
Speaker 1: in the House to a structural disadvantage. So let me

1538
01:17:30,400 --> 01:17:34,080
Speaker 1: explain this. It used to be that, thanks to jerrymandering

1539
01:17:34,120 --> 01:17:38,080
Speaker 1: and heavy concentration of Democratic voters in cities, Republicans could

1540
01:17:38,080 --> 01:17:40,599
Speaker 1: actually win control of the House even as they lost

1541
01:17:40,640 --> 01:17:43,880
Speaker 1: the overall popular vote for the House. That dynamic is

1542
01:17:43,920 --> 01:17:47,000
Speaker 1: now flipped. Republicans actually did win the popular vote for

1543
01:17:47,040 --> 01:17:49,800
Speaker 1: the House by about two points, but they underperformed in

1544
01:17:49,880 --> 01:17:52,520
Speaker 1: terms of the net number of seats that they ultimately

1545
01:17:52,520 --> 01:17:55,640
Speaker 1: picked up. Decision Desk gys Q has an analysis of

1546
01:17:55,960 --> 01:17:59,120
Speaker 1: this dynamic, which has everything to do with the COVID

1547
01:17:59,160 --> 01:18:02,839
Speaker 1: migration trends of blue voters out to the suburbs, along

1548
01:18:02,920 --> 01:18:06,800
Speaker 1: with Democrats increasing dominance with this group. So essentially, they

1549
01:18:06,840 --> 01:18:09,240
Speaker 1: show that most of the nation's swing districts are in

1550
01:18:09,320 --> 01:18:12,400
Speaker 1: the suburbs. So as democratic city dwellers have moved out

1551
01:18:12,439 --> 01:18:15,960
Speaker 1: to the burbs, they have brought democratic political power to

1552
01:18:16,080 --> 01:18:18,920
Speaker 1: the most important districts in the entire country. At the

1553
01:18:18,960 --> 01:18:22,120
Speaker 1: same time, Republicans are gaining ground in two areas that

1554
01:18:22,160 --> 01:18:24,280
Speaker 1: really don't help them all that much. They are racking

1555
01:18:24,400 --> 01:18:27,439
Speaker 1: up giant margins in rural areas, but look, if you

1556
01:18:27,520 --> 01:18:30,360
Speaker 1: go from winning by sixty points to winning by seventy

1557
01:18:30,400 --> 01:18:32,519
Speaker 1: points in a deep red district, that really doesn't help

1558
01:18:32,560 --> 01:18:34,240
Speaker 1: you all that much in terms of the House. And

1559
01:18:34,280 --> 01:18:37,479
Speaker 1: they are actually gaining ground in the urban areas with

1560
01:18:37,520 --> 01:18:40,720
Speaker 1: black and brown working class voters, but these areas are

1561
01:18:40,720 --> 01:18:42,960
Speaker 1: already so blue it doesn't really help them to go

1562
01:18:43,000 --> 01:18:45,719
Speaker 1: from losing by forty to now only losing by thirty.

1563
01:18:46,080 --> 01:18:48,320
Speaker 1: So you are now facing a political dynamic where the

1564
01:18:48,360 --> 01:18:51,320
Speaker 1: Senate is structurally tilted towards the Republicans, while the House

1565
01:18:51,439 --> 01:18:55,120
Speaker 1: is increasingly structurally tilted towards the Democrats. Now, this is

1566
01:18:55,200 --> 01:18:57,920
Speaker 1: just one example of the massive national changes we are in.

1567
01:18:57,960 --> 01:19:01,000
Speaker 1: For as our migration work in shopping habits all shift,

1568
01:19:01,360 --> 01:19:04,000
Speaker 1: the housing and rental markets are seeing massive swings and

1569
01:19:04,000 --> 01:19:07,160
Speaker 1: shifts as well, and an era of incredible urban affluence

1570
01:19:07,160 --> 01:19:10,640
Speaker 1: and inequality may be coming to a close. And I

1571
01:19:10,640 --> 01:19:12,479
Speaker 1: thought it was really interesting to think about, Sager. I mean,

1572
01:19:12,479 --> 01:19:14,240
Speaker 1: we've sort of taken for granted. And if you want

1573
01:19:14,240 --> 01:19:17,160
Speaker 1: to hear my reaction to Crystal's monologue, become a premium

1574
01:19:17,160 --> 01:19:23,160
Speaker 1: subscriber today at Breakingpoints dot Com. All right, Sago, what

1575
01:19:23,160 --> 01:19:25,000
Speaker 1: are you looking at? Well? I know it can seem

1576
01:19:25,080 --> 01:19:27,679
Speaker 1: obnoxious and preachy when someone gets into health and fitness

1577
01:19:27,680 --> 01:19:29,800
Speaker 1: and never shuts up about it, So I genuinely do

1578
01:19:29,880 --> 01:19:32,400
Speaker 1: try not to inundate everyone here. That said, it is

1579
01:19:32,479 --> 01:19:35,360
Speaker 1: probably my number one primary interest outside of work that

1580
01:19:35,400 --> 01:19:37,400
Speaker 1: I do here on the show. I follow the world

1581
01:19:37,680 --> 01:19:39,559
Speaker 1: very closely to try and stay up to date as

1582
01:19:39,600 --> 01:19:44,880
Speaker 1: possible on the latest scientific consensus around hormones, hypertrophes, sleep quality, diet, exercise,

1583
01:19:44,960 --> 01:19:48,200
Speaker 1: how to live a full, energetic and a healthy life. So,

1584
01:19:48,400 --> 01:19:50,240
Speaker 1: like anyone in twenty twenty two, what do you do?

1585
01:19:50,360 --> 01:19:52,720
Speaker 1: You follow a bunch of podcasters, You have influencers, you

1586
01:19:52,800 --> 01:19:55,040
Speaker 1: others to figure out how can you become healthy? And

1587
01:19:55,080 --> 01:19:57,640
Speaker 1: of course, inevitably, like millions of other men interested in

1588
01:19:57,640 --> 01:20:00,800
Speaker 1: improving their lives, you eventually come across the liver king

1589
01:20:01,200 --> 01:20:03,719
Speaker 1: If you're not familiar with Liver King, it's almost comical

1590
01:20:03,760 --> 01:20:05,760
Speaker 1: to try and describe to you who he is. He

1591
01:20:05,840 --> 01:20:08,320
Speaker 1: is a freakishly looking, ripped man with a beard who

1592
01:20:08,360 --> 01:20:11,479
Speaker 1: eats raw meat, especially liver, hence the name. He performs

1593
01:20:11,479 --> 01:20:15,240
Speaker 1: outlandish stunts and TikTok on Instagram and preaches a doctrine

1594
01:20:15,280 --> 01:20:17,599
Speaker 1: which we'll get to if you don't know who he is.

1595
01:20:17,840 --> 01:20:24,200
Speaker 1: Here's just a small taste. But let's see what this is.

1596
01:20:29,880 --> 01:20:34,320
Speaker 1: This one tastes like strength, courage, mastery, honor. There's some

1597
01:20:34,439 --> 01:20:39,840
Speaker 1: kingship right here. This is liver because liver is king. Yeah,

1598
01:20:40,080 --> 01:20:43,880
Speaker 1: it's basically you're brethinking, okay, Sager, so what why should

1599
01:20:43,920 --> 01:20:46,840
Speaker 1: we care? Well? Liver King, to me, for more than

1600
01:20:46,880 --> 01:20:49,479
Speaker 1: a year, has not represented everything that is wrong with

1601
01:20:49,520 --> 01:20:53,120
Speaker 1: our current fitness influence their culture, which is ensnaring millions

1602
01:20:53,120 --> 01:20:56,479
Speaker 1: of vulnerable young men, including and especially teenagers, who are

1603
01:20:56,520 --> 01:20:58,880
Speaker 1: genuinely seeking to better their lives but are taken in

1604
01:20:58,960 --> 01:21:01,439
Speaker 1: by outright Charlatan's. If you listen to the Liver King,

1605
01:21:01,520 --> 01:21:04,160
Speaker 1: beyond his outland as short tiktoks or Instagram videos, his

1606
01:21:04,240 --> 01:21:07,200
Speaker 1: foss is actually very simple. He teaches something called the

1607
01:21:07,320 --> 01:21:13,160
Speaker 1: Nine ancestral tenants, sleep, eat, move, shield, connect, cold, sun, fight,

1608
01:21:13,280 --> 01:21:15,599
Speaker 1: and bond. Now there's nothing wrong with any of these,

1609
01:21:15,640 --> 01:21:18,760
Speaker 1: per se, But the problem comes in the preaching per

1610
01:21:18,800 --> 01:21:20,960
Speaker 1: liver King and the copious amounts of raw liver that

1611
01:21:21,000 --> 01:21:23,640
Speaker 1: he eats. He has preached his dogmatic dietary view that

1612
01:21:23,680 --> 01:21:26,080
Speaker 1: if one desires a top tier physique like he has,

1613
01:21:26,280 --> 01:21:29,160
Speaker 1: you should eat only raw meat, no vegetables. You should

1614
01:21:29,200 --> 01:21:31,760
Speaker 1: live exactly as he does. Of course, to live as

1615
01:21:31,760 --> 01:21:34,719
Speaker 1: he does, it's not just about the meat. It's about

1616
01:21:34,760 --> 01:21:39,479
Speaker 1: buying his supplements, which he hawks relentlessly, including desticated animal

1617
01:21:39,640 --> 01:21:43,040
Speaker 1: organ supplements, protein shakes, and a hell of a lot more. This,

1618
01:21:43,080 --> 01:21:45,360
Speaker 1: in and of itself, again, is not bad. Much of

1619
01:21:45,400 --> 01:21:48,200
Speaker 1: the liver King message I actually agree with completely. You

1620
01:21:48,240 --> 01:21:51,360
Speaker 1: should avoid processed foods, you should prior tourus your sleep,

1621
01:21:51,520 --> 01:21:53,160
Speaker 1: you should go for a walk, you should spend a

1622
01:21:53,160 --> 01:21:55,040
Speaker 1: lot of time in the sun. You should desire to

1623
01:21:55,040 --> 01:21:57,439
Speaker 1: look and to feel better. The issue has now been

1624
01:21:57,479 --> 01:22:00,479
Speaker 1: though over the last year that liver King tells millions

1625
01:22:00,520 --> 01:22:02,519
Speaker 1: of people that all you need to do is take

1626
01:22:02,560 --> 01:22:05,800
Speaker 1: his supplements and eat and live as he does, and

1627
01:22:05,880 --> 01:22:08,719
Speaker 1: you two can look exactly like him. When it doesn't

1628
01:22:08,720 --> 01:22:10,560
Speaker 1: take a genius to see that he is using a

1629
01:22:10,680 --> 01:22:13,519
Speaker 1: copious amounts of peds. Now, I don't even have a

1630
01:22:13,560 --> 01:22:16,840
Speaker 1: problem with steroid use. It doesn't negate his obvious rigid

1631
01:22:16,880 --> 01:22:20,200
Speaker 1: dietary adherents or his hard work. It still takes a

1632
01:22:20,320 --> 01:22:22,760
Speaker 1: lot of work to grow that type of muscle. The

1633
01:22:22,880 --> 01:22:27,000
Speaker 1: problem is his denial. Over and over and over again,

1634
01:22:27,200 --> 01:22:30,160
Speaker 1: he denies taking steroids, reiterating that you can look exactly

1635
01:22:30,200 --> 01:22:32,479
Speaker 1: like he does if you just buy his supplements. It's

1636
01:22:32,479 --> 01:22:34,640
Speaker 1: not an exaggeration to say he has lied about this

1637
01:22:34,720 --> 01:22:37,880
Speaker 1: now repeatedly. Let's take a listen to a montage which

1638
01:22:37,920 --> 01:22:40,360
Speaker 1: was put together from Derek from More Plasmore Dates, who's

1639
01:22:40,400 --> 01:22:42,760
Speaker 1: broader expois of him that we will spend some time

1640
01:22:42,800 --> 01:22:44,960
Speaker 1: on later in the show. Let's get to it. If

1641
01:22:44,960 --> 01:22:47,519
Speaker 1: I'm not going to do this though, what stuff the

1642
01:22:48,040 --> 01:22:50,320
Speaker 1: ass full of steroids that he talks about. You've never

1643
01:22:50,360 --> 01:22:53,439
Speaker 1: taken steroids, never taking steroids. I've never done peds other

1644
01:22:53,520 --> 01:22:57,040
Speaker 1: than prioritize, execute, and dominate in life. A bunch of

1645
01:22:57,040 --> 01:22:59,280
Speaker 1: primals keep asking as liver King is natty or not

1646
01:23:00,000 --> 01:23:02,000
Speaker 1: decided to really face his head on and show you

1647
01:23:02,040 --> 01:23:05,840
Speaker 1: my stack. I stack liver and bone marrow every day.

1648
01:23:06,200 --> 01:23:09,000
Speaker 1: I stack the sun in the earth every day. I

1649
01:23:09,040 --> 01:23:12,960
Speaker 1: stack blood burning workouts twice a day every day. And

1650
01:23:13,000 --> 01:23:16,200
Speaker 1: if you stack the nine ancestral tenants, you two can

1651
01:23:16,240 --> 01:23:19,720
Speaker 1: express your most dominant form. And by the way, this

1652
01:23:19,840 --> 01:23:21,880
Speaker 1: was my cameras man idea, so tip of the hat

1653
01:23:21,920 --> 01:23:23,759
Speaker 1: to him. I don't even know where to get this stuff,

1654
01:23:23,840 --> 01:23:26,800
Speaker 1: but I will tell you this. This is filled with

1655
01:23:26,840 --> 01:23:29,880
Speaker 1: maple syrup. There's nothing better than that. Let everything out.

1656
01:23:30,400 --> 01:23:33,439
Speaker 1: It's unambiguous. Again and again and again. He says he

1657
01:23:33,439 --> 01:23:36,800
Speaker 1: doesn't take steroids despite his freakish physique. He says all

1658
01:23:36,800 --> 01:23:39,040
Speaker 1: people need to do is follow the nine accessral tenants

1659
01:23:39,080 --> 01:23:40,800
Speaker 1: and take his supplements and they can look like he

1660
01:23:41,280 --> 01:23:43,519
Speaker 1: well has now leaked emails to Derek for more Place,

1661
01:23:43,560 --> 01:23:47,000
Speaker 1: More date show that is all a complete farce. Liver King,

1662
01:23:47,200 --> 01:23:50,040
Speaker 1: by his own admission, is taking a drug stack that

1663
01:23:50,160 --> 01:23:55,800
Speaker 1: puts professional bodybuilders to shame, including steroids, testosterone, IGF one peptides,

1664
01:23:55,960 --> 01:23:59,760
Speaker 1: and several other substances, spending some twelve thousand dollars a

1665
01:23:59,800 --> 01:24:03,519
Speaker 1: month on peds. It's not a surprise look at the guy.

1666
01:24:03,880 --> 01:24:06,400
Speaker 1: But I come back to the lies he has told

1667
01:24:06,479 --> 01:24:09,839
Speaker 1: now over and over again on some of the biggest

1668
01:24:09,880 --> 01:24:13,439
Speaker 1: podcasts in the world, included, but not limited to Logan

1669
01:24:13,479 --> 01:24:17,880
Speaker 1: Paul's show Barstool, so many self help and fitness podcasts,

1670
01:24:17,960 --> 01:24:20,479
Speaker 1: all of which reveled in his antics and his diet

1671
01:24:20,640 --> 01:24:24,200
Speaker 1: for views shock value while promoting a lie which was

1672
01:24:24,240 --> 01:24:28,880
Speaker 1: making him millions of dollars. By his own admission, he

1673
01:24:29,040 --> 01:24:32,880
Speaker 1: made one hundred million dollars last year on various supplement brands,

1674
01:24:33,040 --> 01:24:35,960
Speaker 1: making him perhaps one of the single most influential people

1675
01:24:36,200 --> 01:24:39,479
Speaker 1: in the entire world of online health and fitness. All

1676
01:24:39,520 --> 01:24:42,040
Speaker 1: of it was built on a deceitful lie. I want

1677
01:24:42,040 --> 01:24:44,559
Speaker 1: to say again why I care, because if Liverking had

1678
01:24:44,600 --> 01:24:47,479
Speaker 1: been around, honestly, I don't. If he had been honest,

1679
01:24:47,600 --> 01:24:49,439
Speaker 1: I really don't think it would have hurt him. He

1680
01:24:49,479 --> 01:24:51,720
Speaker 1: could have said he lives this way, and yes, he

1681
01:24:51,760 --> 01:24:54,679
Speaker 1: also takes pedes to enhance his experience. Take the supplements.

1682
01:24:54,720 --> 01:24:56,759
Speaker 1: You can get a dose of what the liver King does.

1683
01:24:57,160 --> 01:24:58,800
Speaker 1: Very few would have held it against him. He can

1684
01:24:58,840 --> 01:25:01,040
Speaker 1: do whatever he wants. After all, his message still would

1685
01:25:01,040 --> 01:25:04,360
Speaker 1: have resonated. But it's the lies, the denials pushed specifically

1686
01:25:04,439 --> 01:25:06,960
Speaker 1: to sell his supplements, that's what bothers me. I'm a guy.

1687
01:25:07,000 --> 01:25:09,040
Speaker 1: A decade ago, I might have fallen for it. I

1688
01:25:09,120 --> 01:25:11,559
Speaker 1: was fat, I was pudgy, was inactive, I was miserable.

1689
01:25:11,720 --> 01:25:13,640
Speaker 1: Like all Americans, I want an easy way out. I

1690
01:25:13,640 --> 01:25:15,519
Speaker 1: didn't want to count my macros or drag my ass

1691
01:25:15,520 --> 01:25:17,679
Speaker 1: to the gym to pursue progressive overload and get results

1692
01:25:17,680 --> 01:25:20,920
Speaker 1: over time. I wanted instant gratification, and something a lot

1693
01:25:20,960 --> 01:25:22,880
Speaker 1: of people want. I probably would have bought some liver

1694
01:25:22,960 --> 01:25:25,439
Speaker 1: King supplements about was eighteen years old. Today, clearly a

1695
01:25:25,439 --> 01:25:27,360
Speaker 1: lot of people were doing it too. Maybe that's an

1696
01:25:27,400 --> 01:25:29,599
Speaker 1: indictment of me, but it's also symptom of how deep

1697
01:25:29,640 --> 01:25:31,960
Speaker 1: the problem is. A lot of people today, especially men,

1698
01:25:32,000 --> 01:25:35,200
Speaker 1: are miserable. They're more obestan Ever, testoscore levels are dropping

1699
01:25:35,200 --> 01:25:38,320
Speaker 1: precipitously from where they were just thirty years ago. Masculinity

1700
01:25:38,360 --> 01:25:41,599
Speaker 1: itself has been relegated to discussions on YouTube, discarded by

1701
01:25:41,600 --> 01:25:45,080
Speaker 1: mainstream culture as something to be actively discouraged. In that

1702
01:25:45,160 --> 01:25:48,080
Speaker 1: vacuum arises the liver King. He's a liar, but he's

1703
01:25:48,080 --> 01:25:50,959
Speaker 1: a mirror to our own broader failings. In a society

1704
01:25:51,000 --> 01:25:54,320
Speaker 1: where proper discussion about health, fitness, masculinity diet and more

1705
01:25:54,360 --> 01:25:57,639
Speaker 1: are not properly celebrated. Charlatan's like him arise to fill

1706
01:25:57,640 --> 01:26:00,000
Speaker 1: the vacuum. It is not a surprise that he became

1707
01:26:00,160 --> 01:26:02,599
Speaker 1: popular when he did, and that he was venerated, especially

1708
01:26:02,640 --> 01:26:05,160
Speaker 1: today by teenage boys who feel completely lost in our

1709
01:26:05,200 --> 01:26:07,680
Speaker 1: society and who have not yet learned the rewards of

1710
01:26:07,720 --> 01:26:09,600
Speaker 1: discipline and hard work that can give you in the

1711
01:26:09,640 --> 01:26:11,920
Speaker 1: long term in life. In my opinion, we should look

1712
01:26:11,920 --> 01:26:14,200
Speaker 1: at the Liver King story as a very cautionary tale.

1713
01:26:14,280 --> 01:26:16,160
Speaker 1: We can look at it as an opportunity to have

1714
01:26:16,200 --> 01:26:18,519
Speaker 1: more conversations, at least on a mass level, about what

1715
01:26:18,600 --> 01:26:20,840
Speaker 1: it actually means to be healthy and how to get

1716
01:26:20,840 --> 01:26:23,920
Speaker 1: there and what can someone can realistically look like what

1717
01:26:23,960 --> 01:26:26,280
Speaker 1: does it mean to be a man? As Richard Reeves

1718
01:26:26,360 --> 01:26:29,080
Speaker 1: laid out so eloquently on our show Before, boys and

1719
01:26:29,160 --> 01:26:31,960
Speaker 1: men are in crisis across America and in the broader West.

1720
01:26:32,120 --> 01:26:34,719
Speaker 1: Their attraction to people like Liver Crain is a cry

1721
01:26:34,880 --> 01:26:38,120
Speaker 1: for help that we must and need to fill otherwise

1722
01:26:38,280 --> 01:26:40,479
Speaker 1: there will just be another person to take his place.

1723
01:26:40,800 --> 01:26:42,720
Speaker 1: So I mean, I want a little meta there, but

1724
01:26:44,120 --> 01:26:45,920
Speaker 1: he's one of the most popular and if you want

1725
01:26:45,920 --> 01:26:49,040
Speaker 1: to hear my reaction to Sagre's monologue. Become a premium

1726
01:26:49,040 --> 01:26:54,680
Speaker 1: subscriber today at Breakingpoints dot Com. Hey guys, were having

1727
01:26:54,720 --> 01:26:56,800
Speaker 1: some technical difficulties. We're going to connect with Ross. We'll

1728
01:26:56,800 --> 01:26:59,160
Speaker 1: post the interview later on on the channel. Just want

1729
01:26:59,160 --> 01:27:00,760
Speaker 1: to say thank you once again to all of our

1730
01:27:00,800 --> 01:27:03,479
Speaker 1: premium subscribers and others. And also, don't forget live show.

1731
01:27:03,520 --> 01:27:06,080
Speaker 1: We are coming New York Boston. Put them up there

1732
01:27:06,120 --> 01:27:08,559
Speaker 1: on the screen there, people, We've got December sixth and

1733
01:27:08,600 --> 01:27:11,720
Speaker 1: December seventh. It's gonna be a fantastic show. As you said,

1734
01:27:11,760 --> 01:27:14,320
Speaker 1: it's also probably the last chance to see us for

1735
01:27:14,400 --> 01:27:16,400
Speaker 1: quite a while, just a way that the calendar and

1736
01:27:16,439 --> 01:27:18,519
Speaker 1: all of that is shaking out. So if you're on

1737
01:27:18,560 --> 01:27:21,200
Speaker 1: the fence, this is one reason to come. It's gonna

1738
01:27:21,200 --> 01:27:23,479
Speaker 1: be a fun holiday environment. We're gonna have a great

1739
01:27:23,479 --> 01:27:25,720
Speaker 1: time with all of our friends, and we hope see

1740
01:27:25,760 --> 01:27:28,320
Speaker 1: you there. We will humiliate ourselves by like singing Christmas

1741
01:27:28,320 --> 01:27:30,679
Speaker 1: carols or something. God you won't know until the show.

1742
01:27:31,920 --> 01:27:34,160
Speaker 1: Assure you that is not ever getting out to the

1743
01:27:34,200 --> 01:27:36,519
Speaker 1: rest of the world, but for the people on stage.

1744
01:27:36,640 --> 01:27:40,720
Speaker 1: Maybe all right, love y'all enjoy Counterpoints tomorrow. We'll see

1745
01:27:40,720 --> 01:27:41,639
Speaker 1: you next week, see you later.