1 00:00:02,480 --> 00:00:07,360 Speaker 1: Bloomberg Audio Studios, podcasts, radio news. 2 00:00:07,760 --> 00:00:10,560 Speaker 2: Shoppers spent billions on Black Friday and could break Cyber 3 00:00:10,560 --> 00:00:14,520 Speaker 2: Monday records. Today, Luisy and a Senator Bill Cassidy joins 4 00:00:14,560 --> 00:00:16,560 Speaker 2: us now for more. Senator Cassidy, thank you so much 5 00:00:16,600 --> 00:00:20,200 Speaker 2: for being here. Could you square this idea of incredible 6 00:00:20,200 --> 00:00:24,599 Speaker 2: spending and the ongoing American consumer continuing to uphold the 7 00:00:24,720 --> 00:00:27,880 Speaker 2: underlying economy and this real feeling that cost of living 8 00:00:28,120 --> 00:00:29,480 Speaker 2: is becoming unsustainable. 9 00:00:29,600 --> 00:00:32,920 Speaker 1: Well, there's obviously segments within our society, and there's a 10 00:00:32,920 --> 00:00:34,960 Speaker 1: group of people who are still managing to do well. 11 00:00:35,120 --> 00:00:37,559 Speaker 1: There's another group of people who are really hurting. Now 12 00:00:37,560 --> 00:00:38,879 Speaker 1: they may have the money to go out and buy 13 00:00:38,880 --> 00:00:41,920 Speaker 1: their children the gift for Christmas. On the other hand, 14 00:00:41,920 --> 00:00:45,200 Speaker 1: there is an increasing cost of insurance, whether it's health, 15 00:00:45,240 --> 00:00:47,680 Speaker 1: property and casualty or flood insurance, as well as the 16 00:00:47,720 --> 00:00:52,040 Speaker 1: increasing costs of groceries. They have extra money but up here, 17 00:00:52,159 --> 00:00:53,920 Speaker 1: But there's a lot of folks down here who are hurting. 18 00:00:54,080 --> 00:00:55,840 Speaker 2: This is the reason why a lot of people are expecting, 19 00:00:55,920 --> 00:00:58,920 Speaker 2: even though we are seeing profits and companies continue to increase, 20 00:00:59,080 --> 00:01:01,400 Speaker 2: they're expecting the FED to cut rates to respond to 21 00:01:01,440 --> 00:01:04,880 Speaker 2: that case. Shaped economy or the massive people who really 22 00:01:04,920 --> 00:01:07,759 Speaker 2: aren't feeling the gains, and I'm just wondering how much 23 00:01:07,959 --> 00:01:10,280 Speaker 2: you're prepared to step in that you think that it's 24 00:01:10,400 --> 00:01:14,200 Speaker 2: government's job on the fiscal side to really support that 25 00:01:14,440 --> 00:01:17,479 Speaker 2: lower tier of consumers that are really feeling the pain. 26 00:01:17,640 --> 00:01:20,319 Speaker 1: I would argue that in the tax cut for workings, 27 00:01:20,360 --> 00:01:22,959 Speaker 1: families are the one big beautiful bill we attempted to 28 00:01:22,959 --> 00:01:25,880 Speaker 1: do that. We did it both by no tax on overtime, 29 00:01:26,120 --> 00:01:29,039 Speaker 1: no tax on tips for seniors, eliminating the tax that 30 00:01:29,080 --> 00:01:31,839 Speaker 1: most would pay on their Social Security, but also putting 31 00:01:31,880 --> 00:01:37,160 Speaker 1: in some some pro business efforts that would encourage business 32 00:01:37,200 --> 00:01:40,560 Speaker 1: to reshore to build out their manufacturing. Lastly, I will 33 00:01:40,560 --> 00:01:42,960 Speaker 1: say there's a lot of money taking place on infrastructure 34 00:01:43,000 --> 00:01:46,680 Speaker 1: right now, and that infrastructure creates jobs. AI cannot swing 35 00:01:46,680 --> 00:01:49,320 Speaker 1: a hammer, and so AI is not swinging in a hammer. 36 00:01:49,440 --> 00:01:51,880 Speaker 1: Those folks are being employed. I would say that there 37 00:01:51,960 --> 00:01:56,200 Speaker 1: is a business strategy to help those folks who are 38 00:01:56,240 --> 00:01:58,800 Speaker 1: in the kind of struggling area of the economy centator. 39 00:01:58,840 --> 00:02:01,880 Speaker 3: There's one area, it comes to affordability that actually might 40 00:02:01,920 --> 00:02:04,640 Speaker 3: become a lot more expensive next year if Congress does 41 00:02:04,640 --> 00:02:07,360 Speaker 3: not act, and that's the enhanced premiums when it comes 42 00:02:07,360 --> 00:02:09,560 Speaker 3: to the Affordable Care Act. You have a hearing this 43 00:02:09,600 --> 00:02:12,040 Speaker 3: week regarding this. Do you think we can get to 44 00:02:12,080 --> 00:02:13,560 Speaker 3: a decision before the deadline? 45 00:02:13,800 --> 00:02:16,200 Speaker 1: Yeah, I think we can. I have a plan, but 46 00:02:16,240 --> 00:02:18,600 Speaker 1: it's one that other Republicans have reposed some form of, 47 00:02:19,000 --> 00:02:21,960 Speaker 1: and we take that enhanced premium tax credit and instead 48 00:02:21,960 --> 00:02:24,520 Speaker 1: of giving it to insurance companies where they take twenty 49 00:02:24,560 --> 00:02:27,200 Speaker 1: percent for a profit and overhead, we give one hundred 50 00:02:27,240 --> 00:02:29,800 Speaker 1: percent to the patient in the form of a deposit 51 00:02:29,880 --> 00:02:32,600 Speaker 1: within a health savings account. This allows her not to 52 00:02:32,639 --> 00:02:36,040 Speaker 1: buy the more expensive silver plan, but also get a 53 00:02:36,120 --> 00:02:39,399 Speaker 1: cheaper plan called the Bronze plan. Now did I say 54 00:02:39,400 --> 00:02:42,760 Speaker 1: it's cheaper. It's cheaper, and so we're helping her own 55 00:02:42,760 --> 00:02:45,200 Speaker 1: our affordability. By the way, the money in our health 56 00:02:45,200 --> 00:02:48,400 Speaker 1: savings account also gives her first dollar coverage for a 57 00:02:48,480 --> 00:02:50,680 Speaker 1: child's trip to the er. You know, I practiced for 58 00:02:50,720 --> 00:02:53,000 Speaker 1: twenty years as a doctor, caring for the uninsured and 59 00:02:53,040 --> 00:02:55,560 Speaker 1: the poorly insured. I learned that if you give power 60 00:02:55,600 --> 00:02:58,360 Speaker 1: to the patient, you can lower health care cost. So 61 00:02:58,400 --> 00:03:01,400 Speaker 1: we're giving power to the patient, profit to the insurance company. 62 00:03:01,440 --> 00:03:04,200 Speaker 3: Well, Democrats come on board with this plan. It doesn't 63 00:03:04,200 --> 00:03:06,040 Speaker 3: seem like they are interested in this. They want at 64 00:03:06,160 --> 00:03:08,840 Speaker 3: minimum and extension for a year or two of the 65 00:03:08,880 --> 00:03:09,880 Speaker 3: extended premiums. 66 00:03:09,960 --> 00:03:11,840 Speaker 1: So think about it. We are we would actually be 67 00:03:11,919 --> 00:03:16,079 Speaker 1: if you will, in one sense extending the enhanced premium 68 00:03:16,160 --> 00:03:18,720 Speaker 1: tax credit. But instead of giving one hundred percent to 69 00:03:18,760 --> 00:03:21,959 Speaker 1: insurance companies, they take twenty percent for profit and overhead. 70 00:03:22,160 --> 00:03:23,760 Speaker 1: We're given one hundred percent to the patient. 71 00:03:24,120 --> 00:03:26,720 Speaker 3: So you're getting the extension, but the pool shrinks that money. 72 00:03:26,800 --> 00:03:30,359 Speaker 3: So to shrink it does not shrink well for the insurance. 73 00:03:30,360 --> 00:03:32,200 Speaker 3: Are they're going to have to pay more? Are you 74 00:03:32,320 --> 00:03:35,040 Speaker 3: going to have to say you're on say the premium plan, 75 00:03:35,240 --> 00:03:37,880 Speaker 3: or is your plan going to be even more expensive? 76 00:03:38,360 --> 00:03:41,400 Speaker 3: It's not being subsidized by those in the lower end. 77 00:03:41,520 --> 00:03:44,720 Speaker 1: No, Again, going back to this, if you got this 78 00:03:44,800 --> 00:03:47,480 Speaker 1: amount of money and currently under the current plan, you 79 00:03:47,480 --> 00:03:49,680 Speaker 1: give one hundred percent to insurance companies and they take 80 00:03:49,720 --> 00:03:52,800 Speaker 1: twenty percent for overhead and profit. Instead, you give one 81 00:03:52,840 --> 00:03:55,320 Speaker 1: hundred percent to patients in terms of deposits within a 82 00:03:55,320 --> 00:03:59,520 Speaker 1: whole savings account. First, you're lowering their deductible and because 83 00:03:59,560 --> 00:04:02,520 Speaker 1: you have low they're deductible, they can take a cheaper 84 00:04:02,600 --> 00:04:06,080 Speaker 1: bronze plan. Now, normally you don't because your deductible is higher. 85 00:04:06,280 --> 00:04:09,640 Speaker 1: We just lowered their deductible. They're getting a cheaper bronze plan. 86 00:04:09,760 --> 00:04:12,120 Speaker 1: By the way, when you get power to the patient, 87 00:04:12,400 --> 00:04:14,360 Speaker 1: she gets the health care she chooses to have that 88 00:04:14,440 --> 00:04:16,960 Speaker 1: she knows she needs, as opposed to the healthcare the 89 00:04:16,960 --> 00:04:19,920 Speaker 1: insurance company permits her to have a lot of wins 90 00:04:19,920 --> 00:04:22,200 Speaker 1: in here for the patient who would not be for that. 91 00:04:22,240 --> 00:04:24,040 Speaker 1: Whether you're a Republican or a Democrat, do. 92 00:04:24,000 --> 00:04:26,000 Speaker 2: You think that this is enough to prevent the government 93 00:04:26,000 --> 00:04:30,000 Speaker 2: from shutting shutting down again in January when this comes 94 00:04:30,000 --> 00:04:30,400 Speaker 2: back up. 95 00:04:30,640 --> 00:04:35,280 Speaker 1: Absolutely, Why, Because we've actually addressed affordability in the exchanges, 96 00:04:35,720 --> 00:04:39,160 Speaker 1: I would argue, we also begin to address the overall 97 00:04:39,160 --> 00:04:41,679 Speaker 1: increase in health care cost. When you give that woman, 98 00:04:41,920 --> 00:04:44,880 Speaker 1: and women make all the decisions in healthcare. When you 99 00:04:44,880 --> 00:04:47,479 Speaker 1: give her the power of the purse and you say listen, 100 00:04:47,520 --> 00:04:49,440 Speaker 1: if you go here, you save money. If you go there, 101 00:04:49,480 --> 00:04:52,320 Speaker 1: you don't, everybody begins to lower their cost to where 102 00:04:52,320 --> 00:04:53,520 Speaker 1: they can attract her business. 103 00:04:53,800 --> 00:04:56,240 Speaker 2: You said something earlier that I think is really important. 104 00:04:56,279 --> 00:04:59,880 Speaker 2: You said that businesses have a role in creating jobs 105 00:05:00,080 --> 00:05:03,839 Speaker 2: and creating a better landscape. For the lower core tiles 106 00:05:03,880 --> 00:05:07,320 Speaker 2: and de siles of the US economy and the US earners. 107 00:05:07,680 --> 00:05:10,279 Speaker 2: I just wonder what policies you think need to be 108 00:05:10,320 --> 00:05:13,000 Speaker 2: implemented to do that, because right now it doesn't seem 109 00:05:13,040 --> 00:05:13,640 Speaker 2: to be working. 110 00:05:13,880 --> 00:05:16,520 Speaker 1: Are you talking about in terms of overall business the business? Yeah, yeah, 111 00:05:16,520 --> 00:05:18,440 Speaker 1: So I think that the tax policy that we put 112 00:05:18,480 --> 00:05:22,280 Speaker 1: in and frankly with President Trump's tariffs, there's an incentive 113 00:05:22,360 --> 00:05:25,680 Speaker 1: for people to begin to reshore that's certainly nearshore, and 114 00:05:25,720 --> 00:05:28,320 Speaker 1: so when you reshore, you're going to create jobs. Now 115 00:05:28,360 --> 00:05:30,560 Speaker 1: that doesn't happen like that, think how long you need 116 00:05:30,600 --> 00:05:33,599 Speaker 1: to put together your financing stack. But that's going to happen, 117 00:05:34,000 --> 00:05:36,000 Speaker 1: and so as it happens, we'll see that kind of 118 00:05:36,080 --> 00:05:40,440 Speaker 1: upswing in jobs for construction, for service, all those jobs 119 00:05:40,480 --> 00:05:44,360 Speaker 1: that are related to that reshoring of manufacturing activity, and 120 00:05:44,400 --> 00:05:48,159 Speaker 1: that'll cause a general boom. So that is long that 121 00:05:48,240 --> 00:05:51,160 Speaker 1: is a sustainable strategy to create prosperity for folks. 122 00:05:51,880 --> 00:05:53,960 Speaker 2: A lot of people are saying that the reason why 123 00:05:54,000 --> 00:05:57,240 Speaker 2: companies haven't created more jobs is because they're using artificial 124 00:05:57,240 --> 00:05:59,880 Speaker 2: intelligence for efficiencies, and you're seeing that in terms of 125 00:06:00,440 --> 00:06:03,040 Speaker 2: Amazon coming out and saying they're laying people off because 126 00:06:03,040 --> 00:06:06,679 Speaker 2: of some of the efficiencies they're getting from algorithmic learning. 127 00:06:06,800 --> 00:06:11,120 Speaker 2: I'm just wondering, from a legislation standpoint, what you think 128 00:06:11,240 --> 00:06:14,080 Speaker 2: that the government's role is and trying to make sure 129 00:06:14,440 --> 00:06:17,960 Speaker 2: that people aren't left behind in this transition, given that 130 00:06:18,000 --> 00:06:20,680 Speaker 2: a lot of these new programs can take on roles 131 00:06:20,760 --> 00:06:22,719 Speaker 2: previously done by humans. 132 00:06:22,720 --> 00:06:25,480 Speaker 1: I'm a techno optimist. If you've got something that's going 133 00:06:25,520 --> 00:06:28,880 Speaker 1: to increase the productivity of our nation, we'll increase tax revenue, 134 00:06:28,880 --> 00:06:32,279 Speaker 1: not by increasing rates, but by increasing the overall growth 135 00:06:32,279 --> 00:06:34,720 Speaker 1: of the economy. When you increase that overall growth of 136 00:06:34,760 --> 00:06:37,039 Speaker 1: the economy and you have more money, We've got like 137 00:06:37,160 --> 00:06:40,800 Speaker 1: trillions of dollars of backlog in infrastructure. Let's just focus 138 00:06:40,839 --> 00:06:43,400 Speaker 1: once we're there. If you begin to invest that money 139 00:06:43,440 --> 00:06:46,720 Speaker 1: in infrastructure, AI does not swing a hammer, You're going 140 00:06:46,760 --> 00:06:48,400 Speaker 1: to create a lot of jobs for folks who right 141 00:06:48,400 --> 00:06:50,719 Speaker 1: now are struggling to get better jobs. By the way, 142 00:06:50,760 --> 00:06:53,120 Speaker 1: we're also building out our oil and gas industry, our 143 00:06:53,240 --> 00:06:55,880 Speaker 1: energy industry. That creates a heck of a lot of jobs. 144 00:06:56,200 --> 00:06:58,360 Speaker 1: And so everybody looks at the negative, Oh we're going 145 00:06:58,440 --> 00:07:00,880 Speaker 1: to downside, we need to look at the positive that 146 00:07:00,920 --> 00:07:03,440 Speaker 1: will just shift investment to a more productive area of 147 00:07:03,480 --> 00:07:06,200 Speaker 1: the economy. As we grow at the expense of other nations, 148 00:07:06,279 --> 00:07:08,880 Speaker 1: or maybe we all grow together, we'll create that employment. 149 00:07:09,160 --> 00:07:12,480 Speaker 3: Lisa started out this conversation talking about affordability. Americans are 150 00:07:12,520 --> 00:07:15,560 Speaker 3: still struggling. You're also looking at trying to address healthcare 151 00:07:15,600 --> 00:07:19,120 Speaker 3: affordability by actually having this health savings account proposal. The 152 00:07:19,160 --> 00:07:22,240 Speaker 3: President talked about two thousand dollars tariff checks. You're on 153 00:07:22,280 --> 00:07:24,400 Speaker 3: the Finance Committee, you're on the help you lead the 154 00:07:24,160 --> 00:07:27,320 Speaker 3: Health Committee. Do you think that that is a good 155 00:07:27,320 --> 00:07:31,200 Speaker 3: way to address affordability right now? Putting money directly into 156 00:07:31,200 --> 00:07:32,520 Speaker 3: consumer's pockets. 157 00:07:32,640 --> 00:07:34,440 Speaker 1: So I'd like to see what the President's going to propose. 158 00:07:34,520 --> 00:07:37,240 Speaker 1: We do know that the debt and deficit eventually takes 159 00:07:37,240 --> 00:07:39,880 Speaker 1: money out of our pockets, and so we absolutely know that. 160 00:07:40,120 --> 00:07:42,720 Speaker 1: So the question is better to pay down our nation's debt. 161 00:07:42,920 --> 00:07:44,720 Speaker 1: And as you've paid down our nation's debt, then it 162 00:07:44,760 --> 00:07:47,680 Speaker 1: makes it easier to lower interest rates for the FED 163 00:07:47,680 --> 00:07:50,440 Speaker 1: to lower interest rates, which then lowers a mortgage payment, 164 00:07:50,560 --> 00:07:53,440 Speaker 1: which then maybe lower other credit forms of credit. As 165 00:07:53,440 --> 00:07:56,320 Speaker 1: you do that, you make life more affordable that way. 166 00:07:56,600 --> 00:07:58,160 Speaker 1: The other thing you have to worry about is if 167 00:07:58,200 --> 00:08:00,480 Speaker 1: you give everybody a two thousand dollars check, does that 168 00:08:00,560 --> 00:08:03,520 Speaker 1: bump up inflation? And therefore the Fed is inhibited on 169 00:08:03,560 --> 00:08:06,240 Speaker 1: lowering their rates. So it can't be taken in kind 170 00:08:06,280 --> 00:08:09,000 Speaker 1: of isolation. It has to be taken in context of 171 00:08:09,120 --> 00:08:12,080 Speaker 1: everything we can do to benefit that person sitting at 172 00:08:12,120 --> 00:08:13,360 Speaker 1: home struggling a little bit. 173 00:08:13,440 --> 00:08:14,920 Speaker 3: It sounds like you would be a no. Then on 174 00:08:14,960 --> 00:08:16,400 Speaker 3: the two thousand zero sounds like. 175 00:08:16,320 --> 00:08:17,440 Speaker 1: I'm going to investigate so. 176 00:08:17,400 --> 00:08:21,520 Speaker 3: That I know, okay, while you investigate, there's also potentially 177 00:08:21,520 --> 00:08:24,640 Speaker 3: going to be another big Senate first to hearing and 178 00:08:24,680 --> 00:08:27,280 Speaker 3: then a vote when it comes to the president's FED peck. 179 00:08:27,640 --> 00:08:31,320 Speaker 3: Right now, the front runner is his counsel and Economic 180 00:08:31,360 --> 00:08:35,440 Speaker 3: Advisor's chair, Kevin Hassett. Do you think you would say 181 00:08:35,520 --> 00:08:36,800 Speaker 3: yes to him being the FED chair. 182 00:08:37,559 --> 00:08:40,360 Speaker 1: I've been impressed with Kevin. This is the second time 183 00:08:40,400 --> 00:08:43,800 Speaker 1: around Servant and Trump's administration. I think he's done a 184 00:08:43,840 --> 00:08:46,680 Speaker 1: good job. Of course, our reserve judgment until we actually 185 00:08:46,679 --> 00:08:49,079 Speaker 1: begin to look at him as FED chair. We are 186 00:08:49,160 --> 00:08:52,120 Speaker 1: having this problem of inflation which just is a little 187 00:08:52,120 --> 00:08:55,040 Speaker 1: bit sticky, and yet we want to decrease rates. How 188 00:08:55,040 --> 00:08:58,280 Speaker 1: you're going to navigate that, but I'm certainly predisposed to 189 00:08:58,320 --> 00:09:02,280 Speaker 1: support him. Are you worried about FED? And FED independence 190 00:09:02,360 --> 00:09:04,520 Speaker 1: is critical, you just have to have it. But I 191 00:09:04,600 --> 00:09:07,360 Speaker 1: also think that Kevin would step up and be as 192 00:09:07,400 --> 00:09:10,280 Speaker 1: aware of the importance of FED independence as anybody. 193 00:09:10,520 --> 00:09:12,640 Speaker 2: Louis Yana Senator, thank you so much for being with us, 194 00:09:12,640 --> 00:09:16,240 Speaker 2: Louisiana Senator Bill Cassidy here in the New York Studio. 195 00:09:16,400 --> 00:09:19,559 Speaker 2: Very much cost of living on the docket, especially given 196 00:09:19,840 --> 00:09:22,599 Speaker 2: how much healthcare has dominated the conversation, and potentially and 197 00:09:22,720 --> 00:09:26,000 Speaker 2: Marie could be the reason why the government could shut 198 00:09:26,040 --> 00:09:26,840 Speaker 2: down yet again. 199 00:09:27,120 --> 00:09:29,600 Speaker 3: Right, there's this going to the debate. It's happening all 200 00:09:29,640 --> 00:09:31,800 Speaker 3: of December. The Senator is going to be leading a 201 00:09:31,800 --> 00:09:33,960 Speaker 3: hearing on it. What do you do in the sense 202 00:09:34,000 --> 00:09:39,760 Speaker 3: that you have these enhanced Obamacare credits that are going 203 00:09:39,800 --> 00:09:43,400 Speaker 3: to be ending. And for Democrats this is really important 204 00:09:43,400 --> 00:09:45,800 Speaker 3: for them to have this fight because this is what 205 00:09:45,840 --> 00:09:48,760 Speaker 3: the entire shutdown, longest shutdown history was based around.