1
00:00:00,280 --> 00:00:03,440
Speaker 1: Cable news is ripping us apart, dividing the nation, making

2
00:00:03,440 --> 00:00:05,880
Speaker 1: it impossible to function as a society and to know

3
00:00:05,920 --> 00:00:08,680
Speaker 1: what is true and what is false. The good news

4
00:00:08,800 --> 00:00:10,800
Speaker 1: is that they're failing and they know it. That is

5
00:00:10,840 --> 00:00:14,840
Speaker 1: why we're building something new. Be part of creating a new, better, healthier,

6
00:00:14,880 --> 00:00:17,920
Speaker 1: and more trustworthy mainstream by becoming a Breaking Points Premium

7
00:00:17,920 --> 00:00:21,520
Speaker 1: member today at breakingpoints dot com. Your hard earned money

8
00:00:21,560 --> 00:00:23,360
Speaker 1: is going to help us build for the midterms and

9
00:00:23,400 --> 00:00:27,360
Speaker 1: the upcoming presidential election so we can provide unparalleled coverage

10
00:00:27,360 --> 00:00:28,560
Speaker 1: of what is sure to be one of the most

11
00:00:28,600 --> 00:00:32,320
Speaker 1: pivotal moments in American history. So what are you waiting for?

12
00:00:32,479 --> 00:00:36,240
Speaker 1: Go to Breakingpoints dot com to help us out. First

13
00:00:36,320 --> 00:00:38,320
Speaker 1: Lady of the United States, Joe Biden in a little

14
00:00:38,320 --> 00:00:40,920
Speaker 1: bit of hot water. She was speaking yesterday and this

15
00:00:41,040 --> 00:00:42,680
Speaker 1: is not a joke. Let's put this up there on

16
00:00:42,720 --> 00:00:47,839
Speaker 1: the screen at a LATINX inclusion and Jen is spelled

17
00:00:47,840 --> 00:00:51,760
Speaker 1: with an X luncheon in San Antonio, Texas was sponsored

18
00:00:51,800 --> 00:00:56,680
Speaker 1: by Amazon, Google, Marriott, APS, and Wells Fargo. The First

19
00:00:56,760 --> 00:00:59,240
Speaker 1: Lady is speaking about equity and it's got like a

20
00:00:59,240 --> 00:01:02,160
Speaker 1: buzz for checkmor for everything, a foundation for equity in

21
00:01:02,200 --> 00:01:05,640
Speaker 1: every sector is a pandemic in Uvaldi all that speaking about.

22
00:01:06,120 --> 00:01:08,120
Speaker 1: What's also funny is they use the word latinx a

23
00:01:08,160 --> 00:01:10,840
Speaker 1: the top, but then they use Latino in the actual description. Cancel.

24
00:01:10,880 --> 00:01:13,200
Speaker 1: Make up your mind, people, and you've got to decide

25
00:01:13,280 --> 00:01:15,040
Speaker 1: what are we going to have? Come on, But it

26
00:01:15,080 --> 00:01:17,559
Speaker 1: couldn't be worse than just the description of the event

27
00:01:17,600 --> 00:01:20,120
Speaker 1: and its sponsors. While the first lady was there, she

28
00:01:20,280 --> 00:01:23,240
Speaker 1: made a fool out of herself mispronouncing the world bodega

29
00:01:23,319 --> 00:01:27,560
Speaker 1: and comparing Latino diversity to the diversity of tacos. Not

30
00:01:27,600 --> 00:01:30,640
Speaker 1: a joke. Let's take a listen. But we can't get

31
00:01:30,680 --> 00:01:35,720
Speaker 1: those things on our own. Raoul helped build this organization

32
00:01:36,440 --> 00:01:42,119
Speaker 1: with the understanding that the diversity of this community, as

33
00:01:42,200 --> 00:01:46,760
Speaker 1: distinct as the bogadas of the Bronx, as beautiful as

34
00:01:46,800 --> 00:01:51,640
Speaker 1: the blossoms of Miami, and as unique as the breakfast

35
00:01:51,720 --> 00:02:00,920
Speaker 1: tacos here in San Antonio, is your strength. Oh my god,

36
00:02:01,440 --> 00:02:03,800
Speaker 1: there's so much. It really is. I ever been to

37
00:02:03,840 --> 00:02:07,200
Speaker 1: New York City Like what is happening the perfect encapsulation

38
00:02:07,560 --> 00:02:11,280
Speaker 1: of the Democratic Democratic Party's issues with this demographic. Because

39
00:02:11,320 --> 00:02:13,680
Speaker 1: first of all, you're using the LATINX language that it's

40
00:02:13,720 --> 00:02:17,200
Speaker 1: like overwhelmingly rejective. They're like, we don't say this, Like

41
00:02:17,280 --> 00:02:19,320
Speaker 1: why are you insisting on calling us this when we

42
00:02:19,320 --> 00:02:21,959
Speaker 1: don't call ourselves this? That's number one, Number two sponsored

43
00:02:21,960 --> 00:02:24,840
Speaker 1: by banks and Google and amble whatever. And then number

44
00:02:24,880 --> 00:02:30,160
Speaker 1: three just like complete cultural cluelessness. You know what. The

45
00:02:30,200 --> 00:02:31,960
Speaker 1: Bodega thing I don't get. I mean, have you not

46
00:02:32,000 --> 00:02:34,959
Speaker 1: been Todea? She's like seventy years old? People staused on

47
00:02:35,080 --> 00:02:38,600
Speaker 1: the taco part. That part to me was more like,

48
00:02:38,639 --> 00:02:40,760
Speaker 1: wha wait, have you never been in New York City? Ever?

49
00:02:41,120 --> 00:02:43,720
Speaker 1: Like what you you're from Delaware, you obviously have to

50
00:02:43,760 --> 00:02:45,560
Speaker 1: have been. So when you go, like what do you

51
00:02:45,600 --> 00:02:47,880
Speaker 1: do just dining at like a five star restaurant? Like,

52
00:02:47,880 --> 00:02:51,000
Speaker 1: what's happened? Weren't you on the campaign trail at all? Ever?

53
00:02:51,440 --> 00:02:55,600
Speaker 1: In city? What's happening? Bota? I couldn't get over the

54
00:02:55,680 --> 00:02:59,760
Speaker 1: taco part two? I mean imagine saying that with straight face,

55
00:03:00,120 --> 00:03:04,120
Speaker 1: like being the being, the person who wrote that, the

56
00:03:04,160 --> 00:03:07,440
Speaker 1: person who reads it, deliver who deliver who I mean,

57
00:03:07,520 --> 00:03:11,280
Speaker 1: presumably I would hope checks her remarks ahead of time?

58
00:03:11,440 --> 00:03:12,760
Speaker 1: Is like, yeah, you know what we're going to compare

59
00:03:13,320 --> 00:03:15,359
Speaker 1: latinos to freaking breakfast. By the way, look, no, just

60
00:03:15,400 --> 00:03:18,760
Speaker 1: respect for breakfast tacos. Santonio's got some amazing sounds amazing.

61
00:03:19,320 --> 00:03:23,040
Speaker 1: I a a would eat right now at the idea tacos,

62
00:03:23,040 --> 00:03:26,040
Speaker 1: specifically breakfast tacos, which are amazing. Now, I would never

63
00:03:26,160 --> 00:03:29,320
Speaker 1: compare the city to them. And that's the thing I

64
00:03:29,400 --> 00:03:32,079
Speaker 1: just don't. I just don't get how this entire thing happened,

65
00:03:32,080 --> 00:03:35,440
Speaker 1: from top to bot mispronunciation, the tacos, the lines. To

66
00:03:35,480 --> 00:03:38,800
Speaker 1: be clear, she's apologized. The first lad. Yeah. The first

67
00:03:38,840 --> 00:03:41,360
Speaker 1: Lady's office put out a statement just saying, you know,

68
00:03:41,400 --> 00:03:43,760
Speaker 1: the first Lady did not mean to offend. She basically

69
00:03:43,840 --> 00:03:46,240
Speaker 1: was it was a version of I love latinos and

70
00:03:46,280 --> 00:03:48,640
Speaker 1: I didn't mean to compare them to tacos. Yeah. The

71
00:03:48,760 --> 00:03:53,880
Speaker 1: National Associative Association of Hispanic Journalists also said, we are

72
00:03:53,920 --> 00:03:57,520
Speaker 1: not tacos. Our heritage is Lato to shape various die

73
00:03:57,600 --> 00:03:59,880
Speaker 1: has for US cultures and food traditions. Don't reduce this

74
00:04:00,120 --> 00:04:03,560
Speaker 1: stereotypes fair. I will say, though it wrote, you know

75
00:04:03,600 --> 00:04:06,640
Speaker 1: what it reminded me actually was of that Trump the

76
00:04:06,720 --> 00:04:12,240
Speaker 1: Trump Taco bowl tweet. Yes, yeah, happy sinking Tomio, the

77
00:04:12,280 --> 00:04:15,800
Speaker 1: best taco bulls are made in Trump Tower, grill. I

78
00:04:15,880 --> 00:04:19,040
Speaker 1: love Hispanics. It kind of has those vibes to it.

79
00:04:19,279 --> 00:04:21,120
Speaker 1: I agree with you. But Democrats are supposed to be

80
00:04:21,200 --> 00:04:24,120
Speaker 1: the ones that are like super you know, culturally understanding.

81
00:04:24,279 --> 00:04:25,960
Speaker 1: I actually think part of the problem is something that

82
00:04:26,040 --> 00:04:28,280
Speaker 1: Chuck Roschi talks about all the time, which is that

83
00:04:29,320 --> 00:04:34,400
Speaker 1: they have almost no Latino's aid positions of power, even

84
00:04:34,440 --> 00:04:38,600
Speaker 1: either running campaigns or on staff. And certainly to the

85
00:04:38,640 --> 00:04:42,520
Speaker 1: extent that they do, they're people who are college educated. Yeah,

86
00:04:42,560 --> 00:04:44,919
Speaker 1: so they're not sort of in touch with, you know,

87
00:04:45,320 --> 00:04:50,479
Speaker 1: regular life among ordinary Hispanics. At this point, Chuck is

88
00:04:50,560 --> 00:04:53,279
Speaker 1: very unusual within the Democratic Party of having any of

89
00:04:53,279 --> 00:04:56,440
Speaker 1: that sort of tractive I'm not Latino, and I'm at

90
00:04:56,520 --> 00:04:58,599
Speaker 1: you know, I have a freaking graduate degree. Like, it

91
00:04:58,640 --> 00:05:00,719
Speaker 1: doesn't take a genius to you know what I'm saying, Like,

92
00:05:00,800 --> 00:05:03,240
Speaker 1: come on, I just grew up in Texas, and I'd

93
00:05:03,240 --> 00:05:06,360
Speaker 1: be like, I would never say it. That's why. Look,

94
00:05:06,640 --> 00:05:09,760
Speaker 1: you actually so far removed from whatever reality is in

95
00:05:09,839 --> 00:05:12,240
Speaker 1: order to use this that that's my only pushback is

96
00:05:12,279 --> 00:05:15,920
Speaker 1: I'm like, I you don't need yeah, okay, but I do.

97
00:05:16,200 --> 00:05:18,080
Speaker 1: I do also want to say that, but this is

98
00:05:18,120 --> 00:05:19,960
Speaker 1: the sort of thing go back to the Trump taco

99
00:05:20,000 --> 00:05:22,320
Speaker 1: bowl tweet that if Trump or somebody on the Republican

100
00:05:22,400 --> 00:05:25,159
Speaker 1: side said it, Democrats would freak ount about it, and

101
00:05:25,240 --> 00:05:28,680
Speaker 1: Republicans would be like, what's wrong, stop work, cancel culture,

102
00:05:28,839 --> 00:05:32,680
Speaker 1: and like woke the mob or whatever. So I do

103
00:05:32,760 --> 00:05:35,240
Speaker 1: want to say that is fine, this is problem. So

104
00:05:35,320 --> 00:05:37,760
Speaker 1: I guess what I've come around to is this is

105
00:05:37,800 --> 00:05:40,960
Speaker 1: far from the biggest problem the Democrats have. From Patatos,

106
00:05:41,000 --> 00:05:44,200
Speaker 1: they can probably get over the breakfast taco comparison. It's

107
00:05:44,279 --> 00:05:47,200
Speaker 1: you know, it's a lot of other things, the economy

108
00:05:47,200 --> 00:05:49,120
Speaker 1: and inflation and all kinds of other issues that are

109
00:05:49,120 --> 00:05:51,400
Speaker 1: the real problem here. Well, here we are, and we

110
00:05:51,520 --> 00:05:57,160
Speaker 1: have yet another key discrepancy in the timeline of what

111
00:05:57,360 --> 00:06:02,039
Speaker 1: exactly happened in Uvaldi, Texas, the day that that madman

112
00:06:02,440 --> 00:06:07,640
Speaker 1: massacred children and teachers while law enforcement stood by outside

113
00:06:07,680 --> 00:06:10,520
Speaker 1: the door for more than an hour before they go

114
00:06:10,640 --> 00:06:12,560
Speaker 1: in and ultimately take action. Go ahead and put this

115
00:06:12,560 --> 00:06:15,680
Speaker 1: tweet up on screens from CNN reporter Shamon Porcupaz, who

116
00:06:15,720 --> 00:06:18,800
Speaker 1: has been dogged in doing his best to try to

117
00:06:18,800 --> 00:06:22,440
Speaker 1: get whatever information there is to get his editorial here

118
00:06:22,520 --> 00:06:25,280
Speaker 1: is this is just beyond anything anything I've ever seen

119
00:06:25,400 --> 00:06:28,960
Speaker 1: in an investigation of this magnitude. Significant piece of information

120
00:06:29,400 --> 00:06:33,799
Speaker 1: released yesterday that the Yvaldi mayor says is not true.

121
00:06:34,200 --> 00:06:36,279
Speaker 1: So what he's referring to here is there was a

122
00:06:36,360 --> 00:06:39,280
Speaker 1: report by staff at the Advanced Law Enforcement Rapid Response

123
00:06:39,320 --> 00:06:42,400
Speaker 1: Training Center at Texas State University in San Marcos that

124
00:06:42,600 --> 00:06:47,640
Speaker 1: said a Yvaldi police officer had a chance to fire

125
00:06:47,800 --> 00:06:51,440
Speaker 1: at the gunman before he entered the school. So again

126
00:06:51,760 --> 00:06:53,760
Speaker 1: one of the areas of the timeline that has been

127
00:06:53,800 --> 00:06:58,320
Speaker 1: the most confusing and the least clear has been exactly

128
00:06:58,360 --> 00:07:01,560
Speaker 1: when the resource officers were there, did they see the gunman,

129
00:07:01,640 --> 00:07:04,200
Speaker 1: did they have a chance to exchange fire. The original

130
00:07:04,240 --> 00:07:07,080
Speaker 1: story was, oh, they exchanged fire and then they were hit,

131
00:07:07,200 --> 00:07:10,680
Speaker 1: but the gunman went inside. That story has now changed

132
00:07:10,840 --> 00:07:14,880
Speaker 1: multiple times. So you had this written report saying, yes,

133
00:07:14,920 --> 00:07:16,800
Speaker 1: he had a chance, but he decided because there were

134
00:07:16,840 --> 00:07:18,920
Speaker 1: kids in the area, not to take the chance and

135
00:07:18,960 --> 00:07:23,480
Speaker 1: fire at the murdering gunman. And now the Uvaldi mayer

136
00:07:23,600 --> 00:07:26,400
Speaker 1: is coming out and saying this isn't true. There was

137
00:07:26,440 --> 00:07:30,480
Speaker 1: no chance to take a shot whatsoever. So once again

138
00:07:30,560 --> 00:07:33,640
Speaker 1: we are left with no idea of how this all

139
00:07:33,720 --> 00:07:37,520
Speaker 1: unfolded and a complete inability of anyone on the ground

140
00:07:37,680 --> 00:07:40,640
Speaker 1: to be able to lay out a clear and consistent

141
00:07:40,720 --> 00:07:44,240
Speaker 1: timeline of events, and then multiple people just I mean,

142
00:07:44,280 --> 00:07:46,880
Speaker 1: it's just total infighting and chaos, everybody trying to throw

143
00:07:46,920 --> 00:07:48,800
Speaker 1: each other under the well. It's hard because who this

144
00:07:49,080 --> 00:07:51,680
Speaker 1: The mayor Don McLaughlin has not covered himself in glory,

145
00:07:51,720 --> 00:07:53,800
Speaker 1: to be honest, he's kind of covering for his guys,

146
00:07:53,840 --> 00:07:56,240
Speaker 1: and they're going after Steve McCraw, who is the head

147
00:07:56,240 --> 00:07:58,720
Speaker 1: of Texas Departments Helper Safety. Here's a problem. Steve mcros

148
00:07:58,800 --> 00:08:00,400
Speaker 1: is also a liar. He lied to all of us

149
00:08:00,400 --> 00:08:03,000
Speaker 1: the day after the shooting. It gave us all false information,

150
00:08:03,080 --> 00:08:04,920
Speaker 1: and now he's like, oh this week, now he's trying

151
00:08:04,920 --> 00:08:07,560
Speaker 1: to shunt the blame off of him all onto UVALDPD.

152
00:08:07,880 --> 00:08:09,960
Speaker 1: There were Texas DPS people who were on the scene,

153
00:08:09,960 --> 00:08:12,080
Speaker 1: and there were people there who were initially lying about

154
00:08:12,240 --> 00:08:14,320
Speaker 1: what happened. I know a way that we could solve

155
00:08:14,360 --> 00:08:17,080
Speaker 1: all of this. There is a seventy seven minute video

156
00:08:17,360 --> 00:08:20,080
Speaker 1: of the school hallway which shows the entire thing and

157
00:08:20,160 --> 00:08:23,160
Speaker 1: all the surrounding footage. Guess who won't authorize the release.

158
00:08:23,480 --> 00:08:27,800
Speaker 1: Uvalde County District Attorney Christina Busby is not authorizing the

159
00:08:27,840 --> 00:08:31,160
Speaker 1: Texas Department of Public Safety to publicly release the seventy

160
00:08:31,200 --> 00:08:34,960
Speaker 1: seven minute unedited video. Release the video, then we can

161
00:08:35,000 --> 00:08:37,640
Speaker 1: all know. Well, let's all watch it. Let's see what happened.

162
00:08:37,720 --> 00:08:39,680
Speaker 1: Did he have a chance or not? Who ran in

163
00:08:39,800 --> 00:08:42,440
Speaker 1: with what we have the photo right of the guys

164
00:08:42,440 --> 00:08:45,360
Speaker 1: with R fifteens and ballistic shields who are standing outside

165
00:08:45,400 --> 00:08:49,000
Speaker 1: minutes after this entire thing even began. Well, let's watch

166
00:08:49,200 --> 00:08:52,240
Speaker 1: exactly all went down. Release the audio too. Apparently that

167
00:08:52,320 --> 00:08:55,640
Speaker 1: exists as well of radio transmission. So there's still a

168
00:08:55,679 --> 00:08:59,000
Speaker 1: cover up here of tremendous proportions where they're not revealing

169
00:08:59,040 --> 00:09:01,920
Speaker 1: what's happening. They can continue to blame cast each other,

170
00:09:02,120 --> 00:09:04,640
Speaker 1: Release the raw, un ended footage, and then we'll all know,

171
00:09:04,679 --> 00:09:06,679
Speaker 1: we'll know exactly what happened. But they're not doing that.

172
00:09:06,760 --> 00:09:09,560
Speaker 1: And I still am calling on the Attorney general and

173
00:09:09,600 --> 00:09:12,440
Speaker 1: the governor there in order to supersede whatever the heck

174
00:09:12,520 --> 00:09:15,600
Speaker 1: is happening down and just release as much goddamn information

175
00:09:15,800 --> 00:09:18,840
Speaker 1: to the public as possible, because what Shimon points out

176
00:09:18,880 --> 00:09:20,840
Speaker 1: is that the families are like, what is going on,

177
00:09:20,960 --> 00:09:23,280
Speaker 1: We're like, who is responsible? What you know, one of

178
00:09:23,320 --> 00:09:25,320
Speaker 1: those teachers. We played audio from him. He said, I'll

179
00:09:25,320 --> 00:09:27,480
Speaker 1: never forgive them, and we you know, we really should

180
00:09:27,520 --> 00:09:30,280
Speaker 1: listen to that guy. There was there was another longer interview.

181
00:09:30,320 --> 00:09:32,200
Speaker 1: He says, the more he thinks about it, the more

182
00:09:32,240 --> 00:09:34,280
Speaker 1: he sits with it, the more he thinks like, what

183
00:09:34,679 --> 00:09:39,480
Speaker 1: could have been different on that day and severely severely wounded.

184
00:09:39,520 --> 00:09:40,960
Speaker 1: He did not think he was going to make it

185
00:09:40,960 --> 00:09:44,480
Speaker 1: out alive, and every single kid in his classroom was murdered,

186
00:09:44,800 --> 00:09:48,000
Speaker 1: every single one of them. And he talks about how

187
00:09:48,040 --> 00:09:51,680
Speaker 1: he was laying there bleeding out and hearing the police

188
00:09:51,720 --> 00:09:54,199
Speaker 1: outside of the door and thinking like they're going to

189
00:09:54,240 --> 00:09:56,720
Speaker 1: burst in any second, any second, they're going to be

190
00:09:56,720 --> 00:09:58,640
Speaker 1: in here to rescue me, to take this guy out.

191
00:09:59,040 --> 00:10:02,120
Speaker 1: And then and it's tick by half an hour, ticks

192
00:10:02,160 --> 00:10:06,080
Speaker 1: by an hour, ticks by nothing, and he's just laying

193
00:10:06,120 --> 00:10:08,600
Speaker 1: there and he can hear one of the children in

194
00:10:08,640 --> 00:10:12,240
Speaker 1: the other classroom where the teacher had been killed, softly

195
00:10:12,280 --> 00:10:15,280
Speaker 1: calling out for help, trying to get the police to

196
00:10:15,400 --> 00:10:20,240
Speaker 1: come in and rescue them, and for minutes and minutes

197
00:10:20,360 --> 00:10:25,040
Speaker 1: and minutes over an hour, absolutely nothing. So yeah, I mean,

198
00:10:25,080 --> 00:10:28,080
Speaker 1: this looks like there's a good old boys network in

199
00:10:28,080 --> 00:10:30,880
Speaker 1: this town that is doing their damndest to cover up

200
00:10:31,000 --> 00:10:34,120
Speaker 1: exactly what happened here. I still have no confidence that

201
00:10:34,160 --> 00:10:37,160
Speaker 1: we know even close to what the real sequence of

202
00:10:37,200 --> 00:10:41,080
Speaker 1: events was. And it's incredibly disturbing. So once again on

203
00:10:41,120 --> 00:10:45,920
Speaker 1: a really key detail, cannot get the basic answers of

204
00:10:45,960 --> 00:10:48,920
Speaker 1: what happened in the moments before this mad men answers

205
00:10:48,920 --> 00:10:51,840
Speaker 1: to school. That's right. So an interesting idea floated in

206
00:10:52,000 --> 00:10:54,160
Speaker 1: the Washington Press. Let's go ahead and put this Politico

207
00:10:54,360 --> 00:10:57,560
Speaker 1: article up on the screen. This is political magazine. I'p

208
00:10:57,720 --> 00:11:01,800
Speaker 1: ed here if Tucker runs in twenty twenty four, here's

209
00:11:01,880 --> 00:11:07,079
Speaker 1: who the Democrats need. This was written by Julianna Glover,

210
00:11:07,120 --> 00:11:10,280
Speaker 1: who's a CEO of a public Faris firm here in

211
00:11:10,360 --> 00:11:14,960
Speaker 1: DC advised Cheney and Rudy Giuliani, Steve Forbes, John Ashcroft.

212
00:11:15,400 --> 00:11:19,520
Speaker 1: And the person that she floats here is John Stewart.

213
00:11:19,600 --> 00:11:23,120
Speaker 1: And here's the rational rationale, Sager. The twenty twenty four

214
00:11:23,160 --> 00:11:26,079
Speaker 1: presidential race is guaranteed to be a carnival waged eight

215
00:11:26,160 --> 00:11:28,440
Speaker 1: years after former President Donald Trump blew up the whole

216
00:11:28,440 --> 00:11:31,240
Speaker 1: idea of normal in four years after a COVID shadowed

217
00:11:31,280 --> 00:11:34,840
Speaker 1: conspiracy fest of a campaign. Stuart is not just one

218
00:11:34,880 --> 00:11:37,679
Speaker 1: of our most wildly popular comedians. His years hosting the

219
00:11:37,720 --> 00:11:40,359
Speaker 1: Comedy Central's Daily Show made him one of the effective

220
00:11:40,440 --> 00:11:44,040
Speaker 1: communicators in public life. That's true. He's living a fairly

221
00:11:44,080 --> 00:11:47,440
Speaker 1: low key existence and using his multi platform showbiz skills

222
00:11:47,480 --> 00:11:50,319
Speaker 1: to advocate for issues he cares about. So she's basically

223
00:11:50,360 --> 00:11:53,640
Speaker 1: like fight showbiz with showbiz. I mean that's an argument

224
00:11:53,760 --> 00:11:56,360
Speaker 1: you have kind of made hears sometimes. Yeah, yeah, I'm

225
00:11:56,440 --> 00:11:58,040
Speaker 1: a fan, although it's not working out with OZ. So

226
00:11:58,080 --> 00:12:00,400
Speaker 1: maybe you shouldn't listen to me. You know, I would

227
00:12:00,440 --> 00:12:02,599
Speaker 1: say John Stewart is much more effective than doctor. I

228
00:12:02,640 --> 00:12:04,680
Speaker 1: don't disagreat. Listen, I think John Stewart be a great

229
00:12:04,679 --> 00:12:06,880
Speaker 1: presidential candidate. I think him and Tucker would be both

230
00:12:06,960 --> 00:12:09,320
Speaker 1: much more dynamic than what we have actually right now.

231
00:12:09,320 --> 00:12:11,160
Speaker 1: He has no interest in actually doing this, right, What

232
00:12:11,200 --> 00:12:12,439
Speaker 1: do you think? I don't think so. I mean, look,

233
00:12:12,440 --> 00:12:14,080
Speaker 1: I haven't talked to him in a long time. As

234
00:12:14,160 --> 00:12:16,880
Speaker 1: far as I know, from what I know about him,

235
00:12:16,920 --> 00:12:18,920
Speaker 1: I don't think. I don't listen, who would want him

236
00:12:18,920 --> 00:12:22,080
Speaker 1: to get put? He already gets what maybe fifty percent

237
00:12:22,160 --> 00:12:24,480
Speaker 1: of what somebody would get if you were to be

238
00:12:24,600 --> 00:12:27,120
Speaker 1: in it, and it's pretty terrible, Like you can't really

239
00:12:27,120 --> 00:12:30,320
Speaker 1: go in public, you know, have to base. I don't know,

240
00:12:30,520 --> 00:12:32,800
Speaker 1: it's not a lifestyle that I have any desire to

241
00:12:33,040 --> 00:12:35,839
Speaker 1: be either that famous or that controversial. And when you're

242
00:12:35,840 --> 00:12:37,400
Speaker 1: in politics, it's basically I mean, look what happened to

243
00:12:37,400 --> 00:12:39,800
Speaker 1: shinz Aaba. He wasn't even the prime minister anymore, and

244
00:12:39,840 --> 00:12:41,880
Speaker 1: he's got killed because some freak thinks that he was

245
00:12:41,880 --> 00:12:45,800
Speaker 1: connected to some group or whatever. So I think that

246
00:12:46,440 --> 00:12:50,360
Speaker 1: John would definitely be a strong candidate. He The problem is,

247
00:12:50,360 --> 00:12:52,079
Speaker 1: I don't know if he would win a primary because

248
00:12:52,080 --> 00:12:54,600
Speaker 1: he's one of those people who the meet you know,

249
00:12:54,640 --> 00:12:57,520
Speaker 1: the Democratic base still trust the media, and I don't

250
00:12:57,520 --> 00:12:59,440
Speaker 1: know if they would have the same level of affinity

251
00:12:59,480 --> 00:13:02,240
Speaker 1: for somebody who is willing to call out so many

252
00:13:02,520 --> 00:13:05,840
Speaker 1: of like the politicians and most beloved characters. Because he

253
00:13:05,840 --> 00:13:08,440
Speaker 1: went after MSNBC plenty when he was on the air,

254
00:13:08,480 --> 00:13:10,600
Speaker 1: so that kind of contrariance steak streak. I don't know

255
00:13:10,600 --> 00:13:12,960
Speaker 1: if that would be enough in order to win the primary.

256
00:13:13,040 --> 00:13:15,920
Speaker 1: But I mean his answer was pretty simple. He's like, no, yeah,

257
00:13:16,320 --> 00:13:18,800
Speaker 1: we have an answer to keep you know, we won't

258
00:13:18,880 --> 00:13:21,600
Speaker 1: keep you in suspend here. John Stewart did respond, go

259
00:13:21,600 --> 00:13:23,959
Speaker 1: ahead and put this up on the screen. His response

260
00:13:24,040 --> 00:13:27,720
Speaker 1: was just no, thank you. So I don't think that

261
00:13:27,840 --> 00:13:31,960
Speaker 1: is I don't think the Stewart campaign is forthcoming. Also,

262
00:13:32,040 --> 00:13:34,240
Speaker 1: Tucker did that. He was asked that too at the

263
00:13:34,559 --> 00:13:37,120
Speaker 1: over the actually a couple of days ago, at Ben

264
00:13:37,160 --> 00:13:39,760
Speaker 1: Smith's conference Semaphore, They're like, would you ever run? He goes,

265
00:13:39,800 --> 00:13:41,240
Speaker 1: I have no plans to run, and I have no

266
00:13:41,320 --> 00:13:44,520
Speaker 1: desire to. So yeah, I think that's I don't know,

267
00:13:44,720 --> 00:13:47,000
Speaker 1: don't I don't see the Tucker. I just don't have

268
00:13:47,080 --> 00:13:49,960
Speaker 1: never gotten the vibes that he has that kind of ambition,

269
00:13:50,120 --> 00:13:52,360
Speaker 1: like he enjoys what he I mean, frankly more powerful

270
00:13:52,559 --> 00:13:56,120
Speaker 1: most GOP politicians. Not to mention, twenty twenty four is

271
00:13:56,200 --> 00:14:00,400
Speaker 1: going to be Trump. I mean, he's running again. So

272
00:14:00,640 --> 00:14:02,440
Speaker 1: I don't think that Tucker is going to come in

273
00:14:02,480 --> 00:14:04,880
Speaker 1: and like challenge Trump from the right. I don't see that.

274
00:14:05,200 --> 00:14:09,920
Speaker 1: I don't see that happening. Yeah. On John Stewart, I

275
00:14:09,960 --> 00:14:13,680
Speaker 1: mean I do think he'd be a very effective candidate. Obviously,

276
00:14:13,720 --> 00:14:16,560
Speaker 1: he would know how to handle himself in a debate.

277
00:14:17,000 --> 00:14:19,600
Speaker 1: I think there are a lot of Democratic voters actually

278
00:14:19,600 --> 00:14:21,480
Speaker 1: that now would be more open to a critique of

279
00:14:21,480 --> 00:14:25,840
Speaker 1: the party that perhaps weren't before. You know, And I

280
00:14:25,880 --> 00:14:32,480
Speaker 1: think he while he himself downplays his level of knowledge,

281
00:14:32,480 --> 00:14:34,920
Speaker 1: he always did at the Daily Show. You know, I'm

282
00:14:34,920 --> 00:14:37,440
Speaker 1: just a comedian, what do I know? But you can see,

283
00:14:37,520 --> 00:14:39,440
Speaker 1: especially in his new show, and they actually point to

284
00:14:39,440 --> 00:14:42,080
Speaker 1: this in this piece, there is a level of depth

285
00:14:42,120 --> 00:14:46,400
Speaker 1: and engagement on a number of really substantive issues where

286
00:14:46,560 --> 00:14:48,680
Speaker 1: you know, I think he is he would be well

287
00:14:48,720 --> 00:14:51,000
Speaker 1: prepared to handle himself. And I think it is a

288
00:14:51,040 --> 00:14:53,320
Speaker 1: sign of the times that someone like him could be

289
00:14:53,760 --> 00:14:59,760
Speaker 1: seriously floated having obviously zero government experience, But that's just

290
00:14:59,840 --> 00:15:03,000
Speaker 1: been taken off the table as a disqualifier at this point.

291
00:15:03,240 --> 00:15:04,880
Speaker 1: I think that should be I mean, I don't think

292
00:15:04,920 --> 00:15:07,560
Speaker 1: you have to necessarily have a different experience. He's got

293
00:15:07,560 --> 00:15:09,960
Speaker 1: a requisite level of fame. The real question is, like

294
00:15:09,960 --> 00:15:12,080
Speaker 1: would be, what do you want to subject himself to

295
00:15:12,120 --> 00:15:14,360
Speaker 1: the problems with politics, given that he spent his whole

296
00:15:14,360 --> 00:15:17,720
Speaker 1: life talking and exposing exactly why it's all corrupt, And

297
00:15:17,960 --> 00:15:19,800
Speaker 1: I mean, having to put yourself in the gauntlet when

298
00:15:19,800 --> 00:15:22,440
Speaker 1: you've spent years pointing out how horrific the gauntlet is

299
00:15:22,800 --> 00:15:24,800
Speaker 1: that's a difficult choice for a lot of these people

300
00:15:24,840 --> 00:15:27,600
Speaker 1: to make. That's why I think personally the incentives never aligned.

301
00:15:27,600 --> 00:15:29,400
Speaker 1: But I mean, listen, I think you'd be a great candidate.

302
00:15:29,560 --> 00:15:31,800
Speaker 1: I would definitely. I would love to see it. Personally

303
00:15:31,880 --> 00:15:33,440
Speaker 1: for the country, I think it'd be very healthy. But

304
00:15:33,720 --> 00:15:36,080
Speaker 1: I just I don't think it would interpersonally line up

305
00:15:36,120 --> 00:15:38,480
Speaker 1: for him. Yeah. It's also an interesting dynamic on the

306
00:15:38,480 --> 00:15:42,840
Speaker 1: Democratic side where there's a lot of critique of Biden.

307
00:15:43,200 --> 00:15:46,400
Speaker 1: You have you know, ninety four percent of young people

308
00:15:46,440 --> 00:15:49,440
Speaker 1: saying we need young Democrats saying we need another nominee.

309
00:15:49,560 --> 00:15:52,120
Speaker 1: You have historic numbers saying we need a third party.

310
00:15:52,160 --> 00:15:54,840
Speaker 1: You have him sixty four percent of Democratic base saying

311
00:15:54,840 --> 00:15:58,640
Speaker 1: they'd rather have someone other than Biden. And yet in

312
00:15:58,720 --> 00:16:01,800
Speaker 1: terms of mainstream Democrats, I mean, they've all ruled it down,

313
00:16:02,160 --> 00:16:04,200
Speaker 1: Like all the you know, the Pritzker and the Feederman

314
00:16:04,280 --> 00:16:07,240
Speaker 1: and the Newsom and whatever, like the flirtations with the

315
00:16:07,320 --> 00:16:10,880
Speaker 1: sort of like establishment democratic politicians. They're all like, now

316
00:16:10,880 --> 00:16:15,280
Speaker 1: it would take a pass, we're going to defer. So yeah, anyway,

317
00:16:15,400 --> 00:16:18,840
Speaker 1: it's an interesting moment, John Stewart taking himself out of contention.

318
00:16:19,120 --> 00:16:20,640
Speaker 1: So I don't think it's going to happen. But I

319
00:16:20,720 --> 00:16:22,440
Speaker 1: do think it says a lot about our politics that's

320
00:16:22,480 --> 00:16:25,240
Speaker 1: something like that could be a feasible possibility, and I

321
00:16:25,280 --> 00:16:27,080
Speaker 1: think would be taken seriously, and I think he'd be

322
00:16:27,080 --> 00:16:30,400
Speaker 1: a very formidable candidate. I definitely think that's right. Can

323
00:16:30,440 --> 00:16:33,080
Speaker 1: you imagine the fourth largest economy on Earth rationing power.

324
00:16:33,160 --> 00:16:35,160
Speaker 1: I mean, that's crazy, right, And at the same time,

325
00:16:35,240 --> 00:16:38,240
Speaker 1: you're going to shut down nuclear power plants and surge coal.

326
00:16:38,560 --> 00:16:40,880
Speaker 1: By the way, this makes them completely non reliant on

327
00:16:40,920 --> 00:16:43,600
Speaker 1: their Paris targets, which they fought for and said was

328
00:16:43,640 --> 00:16:46,000
Speaker 1: such a sacred document. The moment they're hit with it,

329
00:16:46,000 --> 00:16:48,360
Speaker 1: they're like, oh, no, we're good. It's just I mean,

330
00:16:48,400 --> 00:16:51,040
Speaker 1: I can't even get over it. How stupid this is.

331
00:16:51,040 --> 00:16:52,560
Speaker 1: And the reason I wanted to tie it to us

332
00:16:52,760 --> 00:16:55,080
Speaker 1: at home is look at Texas. Texas has all the

333
00:16:55,120 --> 00:16:58,120
Speaker 1: fossil fuels on the goddamn planet, and yet they're still

334
00:16:58,120 --> 00:16:59,800
Speaker 1: warning about black So it's not like it's coming to

335
00:17:00,000 --> 00:17:02,120
Speaker 1: tuition that you could frack all you want. We don't

336
00:17:02,120 --> 00:17:04,720
Speaker 1: have the capacity in order to burn enough natural gas

337
00:17:04,760 --> 00:17:07,080
Speaker 1: to power the grid, like, we have got to have

338
00:17:07,200 --> 00:17:09,600
Speaker 1: something else. Yeah, and wind is not the answer, Yeah, obviously.

339
00:17:09,640 --> 00:17:13,120
Speaker 1: I mean I think that's just like undeniably true. I mean,

340
00:17:13,160 --> 00:17:14,639
Speaker 1: it really is one of those things where you're like,

341
00:17:14,640 --> 00:17:16,879
Speaker 1: you got to trust the science, right, you got to

342
00:17:16,880 --> 00:17:19,320
Speaker 1: look at the risks and the trade offs and what's

343
00:17:19,320 --> 00:17:21,880
Speaker 1: available right now and be realistic about where we are

344
00:17:21,920 --> 00:17:25,119
Speaker 1: in terms of technological development. And we've seen echoes of

345
00:17:25,160 --> 00:17:28,399
Speaker 1: this at home too, trying to decommission nuclear plants to

346
00:17:28,480 --> 00:17:32,040
Speaker 1: lean into direct sources of fuel, and this is just nonsensical,

347
00:17:32,160 --> 00:17:35,440
Speaker 1: it really is. And at the same time, energy is

348
00:17:35,480 --> 00:17:39,400
Speaker 1: becoming even more critical to just human health and safety

349
00:17:39,480 --> 00:17:41,920
Speaker 1: when you consider these massive heat waves. It's one hundred

350
00:17:41,960 --> 00:17:45,159
Speaker 1: and nineteen degrees in Texas, in Oklahoma, it was like

351
00:17:45,720 --> 00:17:48,639
Speaker 1: literally one hundred and twenty degrees in my mom's Oklahoma.

352
00:17:48,680 --> 00:17:51,120
Speaker 1: I'm your car, it's one hundred and fifteen. You have

353
00:17:51,200 --> 00:17:54,160
Speaker 1: to have. I mean, this is like it's getting now

354
00:17:54,240 --> 00:17:56,920
Speaker 1: in parts of this country, in parts places around the

355
00:17:56,960 --> 00:17:59,119
Speaker 1: world where air conditioning is like a human right, a

356
00:17:59,160 --> 00:18:03,000
Speaker 1: basic need for literal survival. And so if you don't

357
00:18:03,040 --> 00:18:07,840
Speaker 1: have a reliable, grand and reliable energy sources, it's a

358
00:18:07,960 --> 00:18:11,080
Speaker 1: very dangerous situation. So yeah, I mean, our policy with

359
00:18:11,160 --> 00:18:15,040
Speaker 1: regard to Russia is just it's backfired. It's completely fool hardy.

360
00:18:15,359 --> 00:18:17,959
Speaker 1: We were just actually looking before the segment about how

361
00:18:18,000 --> 00:18:20,159
Speaker 1: they have the highest current and Russia has the highest

362
00:18:20,160 --> 00:18:23,440
Speaker 1: current account surplus in history. And part of that, yes,

363
00:18:23,560 --> 00:18:25,719
Speaker 1: is imports collapse, but the other part is they have

364
00:18:25,760 --> 00:18:29,640
Speaker 1: record breaking oil profits thanks to our policy. We've talked

365
00:18:29,640 --> 00:18:32,760
Speaker 1: before about how the Indians are happy to buy Russian

366
00:18:32,800 --> 00:18:34,960
Speaker 1: oil at like a discount and then sell it back

367
00:18:34,960 --> 00:18:37,320
Speaker 1: to us at a premium. That's what our policy is doing.

368
00:18:37,400 --> 00:18:40,960
Speaker 1: So this is completely foolish. And actually in my monologue,

369
00:18:40,960 --> 00:18:43,760
Speaker 1: I'm going to talk about how the spillover effects around

370
00:18:43,840 --> 00:18:46,240
Speaker 1: the globe from Sri Lanka and what's happening there to

371
00:18:46,440 --> 00:18:49,760
Speaker 1: a bunch of developing world nations that are truly, truly

372
00:18:49,840 --> 00:18:52,280
Speaker 1: in crisis and on the brink. We are already seeing

373
00:18:52,280 --> 00:18:54,880
Speaker 1: that start to happen in part. Listen, it's Russia's fault.

374
00:18:54,880 --> 00:18:57,280
Speaker 1: They invaded, and I'm not taking a culpability away from them,

375
00:18:57,280 --> 00:18:59,920
Speaker 1: but we have responsibility for how we've responded. And it's

376
00:19:00,119 --> 00:19:02,560
Speaker 1: a disaster. Yeah, And that's the thing. If the Germans

377
00:19:02,560 --> 00:19:04,240
Speaker 1: are worried the Russians are going to cut it off,

378
00:19:04,359 --> 00:19:06,040
Speaker 1: you think the Russians wouldn't sell the gas if they

379
00:19:06,080 --> 00:19:08,959
Speaker 1: need the money. If you think they're like they're going

380
00:19:09,040 --> 00:19:12,040
Speaker 1: to willingly take one hundreds of billions of euro cut

381
00:19:12,240 --> 00:19:14,840
Speaker 1: a month just to stick it to the West. That's

382
00:19:14,840 --> 00:19:16,639
Speaker 1: not what you do from a position. That's when you're

383
00:19:16,680 --> 00:19:18,640
Speaker 1: not in a position of strength. If they desperately needed

384
00:19:18,640 --> 00:19:20,600
Speaker 1: the money for the war machine, they would take it,

385
00:19:20,680 --> 00:19:22,120
Speaker 1: and sure, maybe they could turn it on the feet.

386
00:19:22,160 --> 00:19:24,520
Speaker 1: But they're making such a killing on oil they don't care.

387
00:19:24,560 --> 00:19:26,720
Speaker 1: They're willing to weaponize it. And here's the thing. Their

388
00:19:26,760 --> 00:19:30,000
Speaker 1: strategy is already working. The Canadians buckled. They gave them

389
00:19:30,040 --> 00:19:32,840
Speaker 1: the turbines, so they've got the infrastructure. They know that

390
00:19:32,840 --> 00:19:34,800
Speaker 1: they're not actually going to get it cut off, and

391
00:19:34,840 --> 00:19:36,560
Speaker 1: the West won't really be a hit where it hurts.

392
00:19:36,600 --> 00:19:40,040
Speaker 1: So meanwhile, we're all paying more and the current program

393
00:19:40,119 --> 00:19:42,480
Speaker 1: is just such a nightmare. I mean, people really should

394
00:19:42,480 --> 00:19:44,840
Speaker 1: get ready for the winter. I really think prices are

395
00:19:44,880 --> 00:19:46,080
Speaker 1: going to be out of it. Like whatever happened in

396
00:19:46,080 --> 00:19:48,240
Speaker 1: twenty twenty one, it's going to be even worse after

397
00:19:48,280 --> 00:19:51,240
Speaker 1: the invasion. Listen again, some of the kid conditions in

398
00:19:51,240 --> 00:19:54,560
Speaker 1: Sri Lanka are specific to them. Bad decision making, the

399
00:19:54,640 --> 00:19:57,920
Speaker 1: hit to the fertilizer thing, the hit to the tourism industry,

400
00:19:58,119 --> 00:20:00,960
Speaker 1: all of that, the tax cut, all of that is true.

401
00:20:01,080 --> 00:20:03,280
Speaker 1: But it is also the case that they are not

402
00:20:03,440 --> 00:20:05,719
Speaker 1: the only nation that is on the brink like this,

403
00:20:06,040 --> 00:20:08,879
Speaker 1: that is already seeing protests, that is already in danger

404
00:20:08,960 --> 00:20:12,000
Speaker 1: of default, that has their debt rated as distressed. And

405
00:20:12,080 --> 00:20:15,520
Speaker 1: so you really could have a massive domino effect here.

406
00:20:15,840 --> 00:20:17,840
Speaker 1: And even if you're you know, here in the US

407
00:20:17,960 --> 00:20:19,639
Speaker 1: or in other parts of the rich world, if you

408
00:20:19,680 --> 00:20:22,520
Speaker 1: think you're going to be effected and unaffected, you're fooling yourself.

409
00:20:22,640 --> 00:20:24,639
Speaker 1: Oh absolutely, I mean, this is just the connection of

410
00:20:24,680 --> 00:20:26,200
Speaker 1: all of this, And this is what people don't get.

411
00:20:26,280 --> 00:20:29,480
Speaker 1: The natural gas crisis. It doesn't hit for the Germans. Yeah,

412
00:20:29,560 --> 00:20:30,800
Speaker 1: they can afford it. At the end of the day,

413
00:20:30,800 --> 00:20:33,919
Speaker 1: they'll be poor. The pakistanis they can't afford it. They

414
00:20:34,000 --> 00:20:36,159
Speaker 1: just have straight up blackouts for twelve hours. And I

415
00:20:36,160 --> 00:20:37,879
Speaker 1: don't know if you know, Pakistan is hot as hell

416
00:20:38,000 --> 00:20:40,879
Speaker 1: at this They almost defaulted as well, and entirely avoided

417
00:20:40,920 --> 00:20:44,840
Speaker 1: to default recar Sri Lanka. What happened Africa, these nations

418
00:20:44,880 --> 00:20:47,520
Speaker 1: which relied a lot on this oil. I mean or

419
00:20:47,560 --> 00:20:50,479
Speaker 1: on gas, or Russian trade or Russian visitors. We were

420
00:20:50,480 --> 00:20:54,879
Speaker 1: talking Egypt fertilizer, shamel shake and Egypt that place is

421
00:20:54,920 --> 00:20:57,359
Speaker 1: basically run by the Russians. Well, you know, if visitors

422
00:20:57,400 --> 00:20:59,800
Speaker 1: can't come, well they're screwed. And so there's going to

423
00:20:59,800 --> 00:21:02,480
Speaker 1: be all sorts of insane, crazy effects. This is what

424
00:21:02,520 --> 00:21:05,119
Speaker 1: we saw in Iraq. There are fortieth order consequences, and

425
00:21:05,119 --> 00:21:07,440
Speaker 1: we could have fortieth order consequences which are way worse

426
00:21:07,480 --> 00:21:10,000
Speaker 1: than the initial invasion of Ukraine. Who knows. I mean,

427
00:21:10,000 --> 00:21:13,359
Speaker 1: it could lead to complete global instability and the rise

428
00:21:13,400 --> 00:21:16,359
Speaker 1: of some insane dictator in some part of the world

429
00:21:16,400 --> 00:21:19,040
Speaker 1: which we have no idea of predicting. And the longer

430
00:21:19,080 --> 00:21:22,359
Speaker 1: that it goes, the more likely that outcome is going

431
00:21:22,400 --> 00:21:24,560
Speaker 1: to happen. I mean, the longer that it happens the

432
00:21:24,600 --> 00:21:27,840
Speaker 1: fortieth order, the chaos and ejected into the system and

433
00:21:27,920 --> 00:21:29,840
Speaker 1: people have to try and balance. Is the chaos worth

434
00:21:29,880 --> 00:21:32,280
Speaker 1: it relative to the political goal which we're accomplishing. I

435
00:21:32,320 --> 00:21:34,760
Speaker 1: dont think we're accomplishing our political and that's exactly right.

436
00:21:34,800 --> 00:21:37,440
Speaker 1: And these countries, I think it's really important to underscore

437
00:21:37,640 --> 00:21:41,080
Speaker 1: were already pushed to the edge because of the COVID crisis,

438
00:21:41,320 --> 00:21:44,720
Speaker 1: and because of the fact that you had mass illness

439
00:21:45,040 --> 00:21:48,320
Speaker 1: and sickness and death, and you had huge economic impacts,

440
00:21:48,400 --> 00:21:51,239
Speaker 1: especially countries that are really dependent on tourism, as Sri

441
00:21:51,359 --> 00:21:55,480
Speaker 1: Lanka is. So you already had these huge debt burdens,

442
00:21:55,880 --> 00:21:58,560
Speaker 1: and then when it becomes more difficult to pay that debt,

443
00:21:58,880 --> 00:22:02,440
Speaker 1: and when you have higher food prices, higher fuel prices,

444
00:22:02,680 --> 00:22:06,359
Speaker 1: inability even in certain instances to be able to obtain fertilizer,

445
00:22:06,400 --> 00:22:08,159
Speaker 1: even if you're allowing it, even if you want it,

446
00:22:08,200 --> 00:22:11,840
Speaker 1: because so much of that comes from Russia. You have

447
00:22:12,280 --> 00:22:15,919
Speaker 1: a very very precarious and very dangerous situation in a

448
00:22:15,960 --> 00:22:18,480
Speaker 1: lot of nations around the globe. So this is but

449
00:22:19,000 --> 00:22:21,639
Speaker 1: the first of many that I think would happen. I

450
00:22:21,680 --> 00:22:25,680
Speaker 1: think you're right. So we wanted to give you guys

451
00:22:25,720 --> 00:22:27,840
Speaker 1: a little update on a case that we had made

452
00:22:27,920 --> 00:22:30,280
Speaker 1: mention of here. I think specifically I made mention of

453
00:22:30,320 --> 00:22:32,920
Speaker 1: it in a monologue that I delivered, but it has

454
00:22:33,000 --> 00:22:35,280
Speaker 1: been cited by the President of the United States, has

455
00:22:35,320 --> 00:22:37,919
Speaker 1: gotten a lot of national attention. In the wake of

456
00:22:38,040 --> 00:22:42,119
Speaker 1: roe versus Wade being overturned, a local newspaper reported on

457
00:22:42,280 --> 00:22:46,240
Speaker 1: a ten year old girl in Ohio who had been raped,

458
00:22:46,680 --> 00:22:50,040
Speaker 1: and because she was three days past that state's six

459
00:22:50,080 --> 00:22:54,000
Speaker 1: week abortion ban, she had to actually go to Indiana

460
00:22:54,200 --> 00:22:57,200
Speaker 1: in order to get an abortion, to have someone who

461
00:22:57,200 --> 00:22:59,840
Speaker 1: would provide an abortion, and it is still right now

462
00:23:00,320 --> 00:23:04,000
Speaker 1: legal in Indiana, although that seems very set to change.

463
00:23:04,240 --> 00:23:06,800
Speaker 1: So there are a lot of questions raised about this

464
00:23:06,920 --> 00:23:11,240
Speaker 1: specific case. There were, you know, people especially on the right.

465
00:23:11,720 --> 00:23:14,520
Speaker 1: There's a lot of questioning of it on Fox News.

466
00:23:14,840 --> 00:23:18,160
Speaker 1: Where's the corroboration, where are the reports that are supposed

467
00:23:18,200 --> 00:23:21,719
Speaker 1: to be filed. Well, now we have more confirmation that

468
00:23:21,960 --> 00:23:27,520
Speaker 1: this story was, this horrible, horrible situation did in fact unfold.

469
00:23:27,560 --> 00:23:29,600
Speaker 1: Let's go ahead and put this tear sheet up on

470
00:23:29,640 --> 00:23:33,280
Speaker 1: the screen. So an arrest was made in the rape

471
00:23:33,359 --> 00:23:36,359
Speaker 1: of that Ohio girl that led to Indiana abortion drawing

472
00:23:36,440 --> 00:23:41,320
Speaker 1: international attention. Here's some of the details. Goshan Fuentes, whose

473
00:23:41,359 --> 00:23:44,919
Speaker 1: last known address was an apartment in Columbus, Ohio, was

474
00:23:45,000 --> 00:23:49,320
Speaker 1: arrested Tuesday after police say he confessed to raping this

475
00:23:49,520 --> 00:23:53,560
Speaker 1: child on at least two occasions. He's since been charged

476
00:23:53,560 --> 00:23:55,919
Speaker 1: with rape of felony and first degree in Ohio. Columbus

477
00:23:55,960 --> 00:23:58,240
Speaker 1: police were made aware of the girl's pregnancy through a

478
00:23:58,240 --> 00:24:01,080
Speaker 1: referral by Franklin County Children Services that was made by

479
00:24:01,080 --> 00:24:04,080
Speaker 1: her mother in June. This is just I mean, as

480
00:24:04,119 --> 00:24:08,080
Speaker 1: if it's not already horrific enough, the girl is barely ten,

481
00:24:08,359 --> 00:24:11,119
Speaker 1: so when she was actually raped and impregnated, she was

482
00:24:11,200 --> 00:24:16,840
Speaker 1: actually likely nine. It's sickening, and I mean, I want

483
00:24:16,880 --> 00:24:21,080
Speaker 1: to say, you know, listen, these instances where you have

484
00:24:21,800 --> 00:24:25,240
Speaker 1: young girls who get abortions because they have been raped.

485
00:24:25,280 --> 00:24:30,040
Speaker 1: They're not extremely common, but they do happen. In twenty twenty,

486
00:24:30,400 --> 00:24:33,520
Speaker 1: there were fifty two abortions in children fifteen or younger

487
00:24:33,560 --> 00:24:38,040
Speaker 1: in Ohio. In twenty nineteen, there were sixty three. In

488
00:24:38,080 --> 00:24:41,280
Speaker 1: twenty eighteen there were fifty four. So this is the

489
00:24:41,320 --> 00:24:44,280
Speaker 1: new reality. And actually the landscape is set to get

490
00:24:44,280 --> 00:24:49,160
Speaker 1: worse in Ohio and in Indiana. In Ohio they are

491
00:24:49,200 --> 00:24:54,440
Speaker 1: planning a ban on nearly all abortions starting at fertilization.

492
00:24:55,080 --> 00:24:57,679
Speaker 1: So then you know, it wouldn't matter if she was

493
00:24:57,720 --> 00:24:59,560
Speaker 1: six weeks in or ten, we were three weeks in,

494
00:24:59,680 --> 00:25:02,480
Speaker 1: or it wouldn't matter. It would be illegal. And as

495
00:25:02,480 --> 00:25:05,120
Speaker 1: I referenced before, Indiana is set to call a special

496
00:25:05,160 --> 00:25:10,000
Speaker 1: session to impose their own bands and the governor there

497
00:25:10,119 --> 00:25:13,280
Speaker 1: very cagy, you know, asked specifically about this case, very

498
00:25:13,320 --> 00:25:16,840
Speaker 1: cagey about whether this would still be permitted in the state.

499
00:25:17,080 --> 00:25:19,520
Speaker 1: Just be prepared because these are the types of horror

500
00:25:19,560 --> 00:25:21,680
Speaker 1: stories that we're going to start seeing more and more. Yeah,

501
00:25:21,680 --> 00:25:24,680
Speaker 1: it's a terrible situation. Something for everybody here. The other guy,

502
00:25:24,880 --> 00:25:27,400
Speaker 1: the guy who committed this apparently was an illegal immigrant,

503
00:25:27,440 --> 00:25:29,080
Speaker 1: So that's what a lot of people are talking about

504
00:25:29,440 --> 00:25:31,520
Speaker 1: as well. I mean, it just it highlights a lot

505
00:25:31,880 --> 00:25:35,480
Speaker 1: grime and then the tragedy of a lot of these cases. Also,

506
00:25:36,080 --> 00:25:38,320
Speaker 1: this is one where I just have to come back

507
00:25:38,359 --> 00:25:42,560
Speaker 1: to this is you can, no matter what you believe politically,

508
00:25:42,760 --> 00:25:46,320
Speaker 1: this is really unpopular like this you don't like no

509
00:25:46,400 --> 00:25:49,240
Speaker 1: matter what side, or you could be the most evangelical

510
00:25:49,240 --> 00:25:51,399
Speaker 1: person on earth, you can't look at this and say

511
00:25:51,600 --> 00:25:54,000
Speaker 1: that a lot of people aren't going to be outraged

512
00:25:54,000 --> 00:25:57,159
Speaker 1: at situations like this. And we're only a couple of

513
00:25:57,240 --> 00:25:59,760
Speaker 1: weeks in. Yeah, so you know, so this could stack up.

514
00:26:00,359 --> 00:26:02,359
Speaker 1: This is exactly we're talking about politically, which is that

515
00:26:02,400 --> 00:26:06,359
Speaker 1: it creates a hell of a lot of uncertainty whenever

516
00:26:06,560 --> 00:26:08,640
Speaker 1: you have situations like this, which of course are rare,

517
00:26:08,680 --> 00:26:10,480
Speaker 1: but they are going to pop up from time to time.

518
00:26:10,520 --> 00:26:13,800
Speaker 1: I mean, we don't you have to always plan for

519
00:26:13,800 --> 00:26:16,880
Speaker 1: the worst case scenario because we literally know that it happens.

520
00:26:16,920 --> 00:26:20,240
Speaker 1: And you know, I think it's very disingenuous for people

521
00:26:20,320 --> 00:26:23,520
Speaker 1: to say and not acknowledge that these cases aren't going

522
00:26:23,600 --> 00:26:25,679
Speaker 1: to happen, and to try and turn this into a

523
00:26:25,720 --> 00:26:27,720
Speaker 1: bigger thing. And I do think it will be a

524
00:26:27,720 --> 00:26:30,880
Speaker 1: big political problem. And if again it may not manifest

525
00:26:30,960 --> 00:26:33,879
Speaker 1: itself today, it may not mend itself itself in twenty

526
00:26:33,880 --> 00:26:36,360
Speaker 1: twenty two or maybe even twenty twenty four, but at

527
00:26:36,359 --> 00:26:38,879
Speaker 1: a state level, at a national level, it will rewrite

528
00:26:38,920 --> 00:26:41,080
Speaker 1: some of the conversation. And I think that's a problem

529
00:26:41,119 --> 00:26:44,280
Speaker 1: if you end up on the other side again politically,

530
00:26:44,320 --> 00:26:47,480
Speaker 1: purely through political Well, it was interesting because the response,

531
00:26:47,640 --> 00:26:50,359
Speaker 1: I think this is very revealing. The response from a

532
00:26:50,400 --> 00:26:53,159
Speaker 1: lot of corners of the right wasn't to defend the

533
00:26:53,320 --> 00:26:58,360
Speaker 1: law or defend this horrific situation unfolding. It was to say,

534
00:26:58,359 --> 00:27:02,520
Speaker 1: this didn't really happen, even though, let's say, even if

535
00:27:02,520 --> 00:27:04,919
Speaker 1: this story had turned out to be untrue, or the

536
00:27:04,920 --> 00:27:07,560
Speaker 1: girl had been older, whatever, let's say it had turned

537
00:27:07,600 --> 00:27:09,560
Speaker 1: out to be untrue, even though it did turn out

538
00:27:09,560 --> 00:27:12,560
Speaker 1: to be true. The implications of the law are that

539
00:27:12,600 --> 00:27:14,840
Speaker 1: this is going to happen, whether it was this instance

540
00:27:15,000 --> 00:27:17,520
Speaker 1: or another instance. Like I just said, roughly fifty to

541
00:27:17,600 --> 00:27:19,840
Speaker 1: sixty times a year, just in the state of Ohio,

542
00:27:20,160 --> 00:27:24,400
Speaker 1: you have situations of children fifteen or younger having that

543
00:27:24,440 --> 00:27:30,320
Speaker 1: common to seek abortions. I mean, it's horrific. It's absolutely horrific.

544
00:27:30,440 --> 00:27:32,840
Speaker 1: And so the Dodge and the Cope was, Oh, we

545
00:27:32,840 --> 00:27:34,680
Speaker 1: don't believe that this really happened. We just want to

546
00:27:34,720 --> 00:27:37,639
Speaker 1: cover our eyes and pretend that this isn't a real situation.

547
00:27:38,040 --> 00:27:42,480
Speaker 1: Whether rather than reckoning with the direct implications of the

548
00:27:42,560 --> 00:27:45,240
Speaker 1: laws that they continue to try to implement. And now

549
00:27:45,280 --> 00:27:48,520
Speaker 1: that we have direct confirmation that it is true, the

550
00:27:48,600 --> 00:27:52,000
Speaker 1: new cope, this is from the Attorney General of Indiana.

551
00:27:52,560 --> 00:27:57,080
Speaker 1: Rather than focusing on the horrific crime committed to this

552
00:27:57,160 --> 00:28:01,240
Speaker 1: young girl, he wants to go after the doctor who

553
00:28:01,359 --> 00:28:05,399
Speaker 1: actually performed the abortion in Indiana. Let's go ahead and

554
00:28:05,480 --> 00:28:09,160
Speaker 1: take a listen to this. So what's going on? Todd Jesse?

555
00:28:09,280 --> 00:28:12,640
Speaker 1: Thanks for having me on, But I shouldn't be here right.

556
00:28:13,080 --> 00:28:15,879
Speaker 1: I mean, first of all, this is an illegal immigration

557
00:28:16,680 --> 00:28:21,119
Speaker 1: issue because likely of Biden's lawlessness at the border and

558
00:28:21,160 --> 00:28:23,919
Speaker 1: everything going on down there. That's why Indiana, as a

559
00:28:23,960 --> 00:28:26,919
Speaker 1: non border state, has actually filed several independent lawsuits on that.

560
00:28:27,280 --> 00:28:29,520
Speaker 1: Then we have the rape, and then we have this

561
00:28:30,040 --> 00:28:34,520
Speaker 1: abortion activist acting as a doctor with a history of

562
00:28:34,560 --> 00:28:38,320
Speaker 1: failing to report. So we're gathering the information, we're gathering

563
00:28:38,360 --> 00:28:41,440
Speaker 1: the evidence as we speak, and we're going to fight

564
00:28:41,520 --> 00:28:46,240
Speaker 1: this to the end, including looking at her licenser. If

565
00:28:46,240 --> 00:28:50,760
Speaker 1: she failed to report in Indiana, it's a crime to

566
00:28:50,800 --> 00:28:54,200
Speaker 1: not report HNT. So he's upset about her not filing

567
00:28:54,240 --> 00:28:57,040
Speaker 1: some government paper. That's what he's exercised about. I mean,

568
00:28:57,120 --> 00:28:59,120
Speaker 1: it's just you couldn't make it up. You couldn't miss

569
00:28:59,240 --> 00:29:00,720
Speaker 1: make it up. I mean, look, I do think the

570
00:29:00,760 --> 00:29:03,400
Speaker 1: immigration point is fair. I mean it's also also not

571
00:29:03,400 --> 00:29:05,920
Speaker 1: sure because this guy has been here for like longer

572
00:29:05,960 --> 00:29:08,520
Speaker 1: than the Biden administration, so has nothing to do with

573
00:29:08,560 --> 00:29:11,560
Speaker 1: the current border policy. I mean, it's it's clearly a continuation.

574
00:29:11,720 --> 00:29:14,040
Speaker 1: It's still a continuation of something which is BS. And

575
00:29:14,080 --> 00:29:15,720
Speaker 1: I do think it's crazy that, you know, people like

576
00:29:15,760 --> 00:29:18,600
Speaker 1: this don't even get deported until they commit like a

577
00:29:18,640 --> 00:29:21,960
Speaker 1: horrific crime. But look, that's a conversation. I think also

578
00:29:22,040 --> 00:29:25,280
Speaker 1: for another day. And in general, I would look at

579
00:29:25,280 --> 00:29:28,280
Speaker 1: this situation politically and I would say it's a nightmare.

580
00:29:28,360 --> 00:29:30,800
Speaker 1: And while there is some there for the GOP to

581
00:29:30,920 --> 00:29:33,320
Speaker 1: talk about immigration, like, most people are going to look

582
00:29:33,320 --> 00:29:35,160
Speaker 1: at this objectively and be like, dude, you're going after

583
00:29:35,200 --> 00:29:38,400
Speaker 1: the doctor, Like, look, this isn't even late term abortion, right, Like,

584
00:29:38,440 --> 00:29:40,760
Speaker 1: this is a ten year old girl who was raped

585
00:29:40,800 --> 00:29:43,160
Speaker 1: when she was nine years old. Yeah, Also it's six weeks.

586
00:29:43,200 --> 00:29:45,080
Speaker 1: So the fact that it was outright ban I mean,

587
00:29:45,360 --> 00:29:48,040
Speaker 1: is a fact of what law is now in Ohio.

588
00:29:48,160 --> 00:29:50,640
Speaker 1: And Ohio was also a swing state not that long ago.

589
00:29:50,800 --> 00:29:52,800
Speaker 1: So is this going to change the thing? No, I

590
00:29:52,800 --> 00:29:55,920
Speaker 1: don't think so. But you know, again in the future,

591
00:29:56,000 --> 00:29:57,360
Speaker 1: who knows how many more of these k if you

592
00:29:57,360 --> 00:30:00,960
Speaker 1: said fifty or sixty, fifty sixty headlines per year, Oh hi,

593
00:30:01,040 --> 00:30:02,880
Speaker 1: I'm the stat of a lot, I mean, And I

594
00:30:02,880 --> 00:30:04,600
Speaker 1: don't even know what the population of Ohio, so I'm

595
00:30:04,600 --> 00:30:06,360
Speaker 1: trying to think about what that would mean. So we're

596
00:30:06,360 --> 00:30:09,280
Speaker 1: talking about what at least thousands at the lower level,

597
00:30:09,480 --> 00:30:13,000
Speaker 1: like across the country every single year. So let's say

598
00:30:13,000 --> 00:30:15,600
Speaker 1: half the country. You know, that's you're looking at several

599
00:30:15,680 --> 00:30:17,880
Speaker 1: hundred of these cases per year where this could all

600
00:30:17,880 --> 00:30:19,240
Speaker 1: be happening, and I think it's going to be a

601
00:30:19,280 --> 00:30:22,200
Speaker 1: serious issue. So anyway, indeed is terrible. All right, update

602
00:30:22,240 --> 00:30:23,760
Speaker 1: for you guys there. We'll have more for you later.

603
00:30:23,960 --> 00:30:26,600
Speaker 1: All right, guys, time again for our weekly partnership segment

604
00:30:26,720 --> 00:30:28,560
Speaker 1: with the Lever. And joining us this week to talk

605
00:30:28,560 --> 00:30:31,120
Speaker 1: about his latest reporting is Andrew Perez. Great to see you,

606
00:30:31,880 --> 00:30:33,920
Speaker 1: Thanks for having me. I'm go ahead and put this

607
00:30:34,000 --> 00:30:36,200
Speaker 1: tear sheet up there on the screen so you have

608
00:30:36,320 --> 00:30:39,800
Speaker 1: some new data inside. Just what has happened to the

609
00:30:39,800 --> 00:30:43,160
Speaker 1: American people after Pandemic Aid ended. You say ending Pandemic

610
00:30:43,240 --> 00:30:45,480
Speaker 1: Aid created a disaster. New data shows the end of

611
00:30:45,480 --> 00:30:49,040
Speaker 1: that relief coincided with a forty nine percent increase in

612
00:30:49,080 --> 00:30:51,920
Speaker 1: the number of families struggling to survive. So just lay

613
00:30:51,960 --> 00:30:55,320
Speaker 1: this out for us, Andrew sure, so you know this

614
00:30:55,480 --> 00:30:59,960
Speaker 1: data is from the Census, the their survey data from June,

615
00:31:00,120 --> 00:31:03,920
Speaker 1: and yeah, it shows that the percentage of people who

616
00:31:03,960 --> 00:31:07,280
Speaker 1: can't afford to pay their typical household expenses is just

617
00:31:07,440 --> 00:31:11,320
Speaker 1: sort of exploding, and it really has since the end

618
00:31:11,360 --> 00:31:14,520
Speaker 1: of Pandemic Aid. It's really been ticking up though it

619
00:31:14,600 --> 00:31:19,320
Speaker 1: has increased sharp pretty sharply lately between May and June,

620
00:31:19,320 --> 00:31:24,040
Speaker 1: and actually, like this percentage increased thirteen percent, so you know,

621
00:31:24,080 --> 00:31:26,840
Speaker 1: it went from we now have thirty nine percent of

622
00:31:26,880 --> 00:31:30,320
Speaker 1: Americans who say that it's either somewhat or very difficult

623
00:31:30,360 --> 00:31:32,880
Speaker 1: to pay their typical expenses. And you know, this is

624
00:31:32,960 --> 00:31:35,920
Speaker 1: higher than we've seen actually at any point since the

625
00:31:35,960 --> 00:31:39,400
Speaker 1: ser since the Sense has started asking this question in

626
00:31:39,440 --> 00:31:42,960
Speaker 1: August twenty twenty. Connect us a little bit to the politics,

627
00:31:43,000 --> 00:31:45,120
Speaker 1: because at the same time, as you have more and

628
00:31:45,120 --> 00:31:48,640
Speaker 1: more families struggling, we covered here another story about the

629
00:31:48,720 --> 00:31:50,600
Speaker 1: number of families that are struggling to put food on

630
00:31:50,640 --> 00:31:55,200
Speaker 1: the table after the child tax credit ended. The economy

631
00:31:55,240 --> 00:31:59,560
Speaker 1: and inflation are top concerns for voters going into the midterms.

632
00:31:59,800 --> 00:32:03,640
Speaker 1: So how has this suffering hurt the Democratic Party's chances

633
00:32:03,760 --> 00:32:07,560
Speaker 1: of maintaining control? Sure, well, I mean, I think you

634
00:32:07,600 --> 00:32:11,479
Speaker 1: can probably track this pretty closely with Joe Biden's approval ratings.

635
00:32:11,520 --> 00:32:14,440
Speaker 1: To be honest, you know, for a while, when right

636
00:32:14,880 --> 00:32:18,280
Speaker 1: when he took office and when Democrats passed their COVID

637
00:32:18,320 --> 00:32:22,080
Speaker 1: relief bill, you know, Biden's numbers were increasing, and then

638
00:32:22,440 --> 00:32:25,440
Speaker 1: they've they've decreased steadily since right and they're you know,

639
00:32:25,520 --> 00:32:28,720
Speaker 1: the lowest what he's at like a historic low right now.

640
00:32:30,200 --> 00:32:33,320
Speaker 1: In his numbers with Democrats aren't good either, you know,

641
00:32:33,440 --> 00:32:37,320
Speaker 1: especially young people's. He's in big trouble. And you know

642
00:32:37,440 --> 00:32:40,520
Speaker 1: if in bye him being in big trouble, it's going

643
00:32:40,600 --> 00:32:42,840
Speaker 1: to have big repercussions for the rest of the party,

644
00:32:42,920 --> 00:32:47,760
Speaker 1: right Yeah, I mean absolutely, presidential approval rating very closely

645
00:32:47,800 --> 00:32:50,920
Speaker 1: tied to midterm results. And you have this very perplexing

646
00:32:51,280 --> 00:32:54,560
Speaker 1: situation where, of course Americans are very concerned with inflation,

647
00:32:55,040 --> 00:32:57,840
Speaker 1: and essentially the right use that as a way to say, see,

648
00:32:58,360 --> 00:33:01,480
Speaker 1: you got you gave people some money in these COVID checks,

649
00:33:01,560 --> 00:33:03,280
Speaker 1: you helped them out a little bit, and now this

650
00:33:03,360 --> 00:33:05,560
Speaker 1: is what you get for in this inflation as a disaster,

651
00:33:06,120 --> 00:33:08,360
Speaker 1: as if that was the major cause of what we're

652
00:33:08,400 --> 00:33:11,520
Speaker 1: experiencing now. But that has created a sort of reactionary

653
00:33:11,640 --> 00:33:14,840
Speaker 1: environment in Washington where the Democrats and Joe Biden in particular,

654
00:33:15,040 --> 00:33:18,000
Speaker 1: basically bought into that argument, at least as far as

655
00:33:18,000 --> 00:33:21,840
Speaker 1: their actions are concerned. Yeah. Yeah, there's no real talk

656
00:33:21,920 --> 00:33:26,480
Speaker 1: right now of any kind of stimulus. Yeah, really at all.

657
00:33:26,520 --> 00:33:28,560
Speaker 1: And you know, you got to give corporate media a

658
00:33:28,600 --> 00:33:30,760
Speaker 1: lot of credit for that. There was a big narrative

659
00:33:31,080 --> 00:33:33,120
Speaker 1: and you know what it what it looked like a

660
00:33:33,200 --> 00:33:35,280
Speaker 1: year ago was that there was a labor shortage, right,

661
00:33:35,320 --> 00:33:38,840
Speaker 1: That's that's what the conversation really was centered around. And

662
00:33:38,880 --> 00:33:43,400
Speaker 1: that having you know, giving people unemployment was was making

663
00:33:43,640 --> 00:33:45,640
Speaker 1: you know, terribly hard to find workers. And you know,

664
00:33:45,720 --> 00:33:49,840
Speaker 1: obviously states started cutting off the the expanded unemployment and

665
00:33:49,880 --> 00:33:52,080
Speaker 1: then and then it expired nationally and you know, we

666
00:33:52,280 --> 00:33:55,320
Speaker 1: still see that, you know, places are still having trouble

667
00:33:55,320 --> 00:33:59,280
Speaker 1: finding workers. So you know, the net impact of that,

668
00:33:59,360 --> 00:34:01,880
Speaker 1: it's not it's not really clear that that solved any

669
00:34:02,000 --> 00:34:05,040
Speaker 1: kind of you know, shortage it, but it did. You know,

670
00:34:05,080 --> 00:34:09,520
Speaker 1: it's clearly had taking an economic toll on people. Now. Yeah,

671
00:34:09,560 --> 00:34:12,719
Speaker 1: and then because you have that analysis that it was

672
00:34:12,880 --> 00:34:14,960
Speaker 1: you know, all on the demand side, Oh, people had

673
00:34:15,000 --> 00:34:17,279
Speaker 1: too much money, they were doing too well. That's why

674
00:34:17,280 --> 00:34:20,560
Speaker 1: we have this inflation. That means that their response is

675
00:34:20,600 --> 00:34:22,080
Speaker 1: to go to the FED and say, hey, you guys

676
00:34:22,160 --> 00:34:24,000
Speaker 1: got to get this under control. You got to make

677
00:34:24,000 --> 00:34:26,080
Speaker 1: sure that nobody has any money in their bank accounts

678
00:34:26,120 --> 00:34:28,640
Speaker 1: to spend on anything. I mean, what is the potential

679
00:34:28,680 --> 00:34:30,920
Speaker 1: impact I just saw this week that now the Fed

680
00:34:31,000 --> 00:34:34,200
Speaker 1: because of the latest inflation report could hike interest rates

681
00:34:34,200 --> 00:34:36,080
Speaker 1: by as much as one hundred basis points as a

682
00:34:36,120 --> 00:34:40,120
Speaker 1: full percentage point increase at their next meeting. What kind

683
00:34:40,120 --> 00:34:44,120
Speaker 1: of an impact could that have on people as well? Yeah,

684
00:34:44,160 --> 00:34:45,759
Speaker 1: I mean you got to assume that it's going to

685
00:34:46,160 --> 00:34:50,400
Speaker 1: continue to erode workers power right now. You know, we

686
00:34:50,440 --> 00:34:54,000
Speaker 1: had seen that workers had been seeing wage increases and

687
00:34:54,040 --> 00:34:57,640
Speaker 1: you know those have slowed already, but you know, the

688
00:34:57,680 --> 00:35:01,239
Speaker 1: people's actual like real hourly earning things are going down, down,

689
00:35:01,320 --> 00:35:05,000
Speaker 1: down because of because of this environment. You know, with

690
00:35:05,560 --> 00:35:09,400
Speaker 1: cost increasing everywhere, and you know, cutting rates isn't really

691
00:35:09,520 --> 00:35:12,680
Speaker 1: likely to help all that much to drive these costs

692
00:35:12,760 --> 00:35:17,720
Speaker 1: down that what it really will do is probably increase

693
00:35:17,840 --> 00:35:22,640
Speaker 1: unemployment and continue to hurt to affect workers' wages. Yeah,

694
00:35:22,719 --> 00:35:25,560
Speaker 1: I mean, they're openly talking about how they may need

695
00:35:25,560 --> 00:35:29,239
Speaker 1: to spark a recession to deal with inflation. You've got

696
00:35:29,280 --> 00:35:31,920
Speaker 1: people like Larry Summers saying, hey, we need ten percent

697
00:35:32,000 --> 00:35:36,040
Speaker 1: unemployment for a year. We have fed Charter Ownpal out

698
00:35:36,040 --> 00:35:39,840
Speaker 1: there actively admitting, hey, we need to get people's wages down.

699
00:35:40,360 --> 00:35:42,360
Speaker 1: That's their response to the problems, rather than dealing with

700
00:35:42,400 --> 00:35:45,120
Speaker 1: these underlying issues in terms of supply chains, and also

701
00:35:45,280 --> 00:35:48,200
Speaker 1: certainly in terms of corporate price gouging. Andrew, thank you

702
00:35:48,239 --> 00:35:50,720
Speaker 1: so much for laying out this data, which so important

703
00:35:50,719 --> 00:35:53,080
Speaker 1: for people to understand that as we potentially head into

704
00:35:53,080 --> 00:35:55,719
Speaker 1: a recession, so many American families are already so close

705
00:35:55,760 --> 00:36:01,960
Speaker 1: to the edge. Absolutely, thank you. John Bolton really got

706
00:36:01,960 --> 00:36:05,920
Speaker 1: me thinking here, Sager, about accepted coups, unaccepted coups, what

707
00:36:05,960 --> 00:36:09,000
Speaker 1: the rules are, what type of corruption is acceptable, what's not,

708
00:36:09,239 --> 00:36:10,879
Speaker 1: and where we all go from here. I always said

709
00:36:10,880 --> 00:36:13,239
Speaker 1: about Trump is he's a liar, but he tells fundamental

710
00:36:13,239 --> 00:36:15,600
Speaker 1: truths if that makes sense, you know, like he'll lie

711
00:36:15,600 --> 00:36:19,720
Speaker 1: about specifics, but directionally he was correct about corruption about

712
00:36:19,960 --> 00:36:22,800
Speaker 1: calling up well, it's yeah, I mean, but then the

713
00:36:23,160 --> 00:36:25,920
Speaker 1: thing is not that he said the things that were true.

714
00:36:26,280 --> 00:36:29,720
Speaker 1: It's that his behavior was so undeniable, like the worst,

715
00:36:29,920 --> 00:36:35,399
Speaker 1: most glaring, most obvious, borish version of the typical behavior here,

716
00:36:35,960 --> 00:36:38,360
Speaker 1: and so it's just all out there on display. You

717
00:36:38,360 --> 00:36:40,920
Speaker 1: can't mask it and hide it behind this sort of

718
00:36:41,040 --> 00:36:45,120
Speaker 1: like don't ask, don't tell Washington decorum behavior. So you know,

719
00:36:45,239 --> 00:36:48,719
Speaker 1: instead of just the I'll take the campaign contribution, we'll

720
00:36:48,719 --> 00:36:50,840
Speaker 1: have a wink and a nod, about the post public

721
00:36:50,880 --> 00:36:53,399
Speaker 1: service quote unquote gig I'm gonna get It's like I'm

722
00:36:53,440 --> 00:36:55,839
Speaker 1: literally going to have a hotel and you're literally going

723
00:36:55,880 --> 00:36:58,040
Speaker 1: to pay me directly if you want to get my

724
00:36:58,080 --> 00:37:00,640
Speaker 1: time and get my fair. That's his borishness. It's just

725
00:37:00,680 --> 00:37:02,600
Speaker 1: straight up and actually that's what I think a lot

726
00:37:02,600 --> 00:37:04,680
Speaker 1: of people appreciated about him, which is why it's kind

727
00:37:04,680 --> 00:37:07,200
Speaker 1: of hilarious, because he just set it out in the open,

728
00:37:07,239 --> 00:37:11,360
Speaker 1: and people hiding behind norms and you know, mealy mouthed

729
00:37:11,480 --> 00:37:14,560
Speaker 1: like they'll just use code language for what we all

730
00:37:14,680 --> 00:37:17,399
Speaker 1: know is true. And it's like people were just sick

731
00:37:17,440 --> 00:37:20,160
Speaker 1: of that. They knew what it meant when Hillary Clinton

732
00:37:20,480 --> 00:37:23,720
Speaker 1: would use euphemisms and talk and like no real person,

733
00:37:24,239 --> 00:37:26,200
Speaker 1: especially on trade or many of these issues, because they

734
00:37:26,200 --> 00:37:28,360
Speaker 1: could feel the real effects of it. And Trump was

735
00:37:28,360 --> 00:37:30,279
Speaker 1: willing to just give voice to some of that. Now,

736
00:37:30,360 --> 00:37:31,840
Speaker 1: I just said, I didn't do anything about it, but

737
00:37:32,040 --> 00:37:33,879
Speaker 1: you know, for a lot of people, that's enough. I mean,

738
00:37:33,920 --> 00:37:36,960
Speaker 1: because listen, when other people are doing the same thing

739
00:37:37,400 --> 00:37:40,040
Speaker 1: and nobody Trump seems like he's the only one who's

740
00:37:40,040 --> 00:37:42,399
Speaker 1: even willing to do it. So yeah, look, if people

741
00:37:42,440 --> 00:37:44,759
Speaker 1: wanted a highbrow version of Trump, they would have voted

742
00:37:44,800 --> 00:37:46,920
Speaker 1: for him, but they didn't. They too, It's like, I

743
00:37:47,280 --> 00:37:49,520
Speaker 1: don't know why this is so difficult to COMPREHENDI yeah,

744
00:37:49,600 --> 00:37:52,879
Speaker 1: the garish and the abortionists that they like just right

745
00:37:53,160 --> 00:37:56,640
Speaker 1: like in your face behavior. That's part of what the

746
00:37:56,719 --> 00:37:59,480
Speaker 1: deal was with him, And so yeah, I mean it

747
00:37:59,520 --> 00:38:04,160
Speaker 1: does like it's such a conundrum because obviously he didn't

748
00:38:04,200 --> 00:38:06,520
Speaker 1: drain the swamp. Obviously he just like put the swamp

749
00:38:06,600 --> 00:38:08,759
Speaker 1: on display and made it his and was much more

750
00:38:08,840 --> 00:38:12,960
Speaker 1: brazen about it. But it is that difference of Okay,

751
00:38:13,360 --> 00:38:15,880
Speaker 1: is it better when you have the politicians like pretend

752
00:38:16,000 --> 00:38:18,640
Speaker 1: that they're not doing this but they actually are, or

753
00:38:18,640 --> 00:38:20,920
Speaker 1: when they're just down in the open, and if your

754
00:38:21,000 --> 00:38:23,960
Speaker 1: choices are if those are your only choices, you don't

755
00:38:24,000 --> 00:38:26,840
Speaker 1: actually have an option of people who are going to

756
00:38:27,200 --> 00:38:30,920
Speaker 1: really tackle corruption, really move the country in another direction,

757
00:38:31,400 --> 00:38:35,000
Speaker 1: really do something different. Then you know, I can't say

758
00:38:35,040 --> 00:38:37,319
Speaker 1: that he's he didn't come out of nowhere in the

759
00:38:37,320 --> 00:38:39,239
Speaker 1: Republican Party. That's what I'm trying to say. It's not

760
00:38:39,280 --> 00:38:41,600
Speaker 1: this singular evil. Getting rid of him is not going

761
00:38:41,640 --> 00:38:44,520
Speaker 1: to be a cure all for the problems. Maybe Liz

762
00:38:44,600 --> 00:38:47,120
Speaker 1: Cheney will feel better if some of it's put back

763
00:38:47,200 --> 00:38:49,560
Speaker 1: under wraps. Is the country going to be on any better?

764
00:38:49,760 --> 00:38:51,880
Speaker 1: Hard to say that that's the case. I completely agree.

765
00:38:52,239 --> 00:38:56,479
Speaker 1: It's fascinating of the non college the college degree. And again,

766
00:38:56,560 --> 00:38:58,400
Speaker 1: I know people get upset about this, but it's like

767
00:38:58,600 --> 00:39:00,839
Speaker 1: it's not about income, and I know I wish it was.

768
00:39:00,960 --> 00:39:04,520
Speaker 1: It probably easier, but it really is worldview versus non

769
00:39:04,560 --> 00:39:09,520
Speaker 1: worldview and cultural experience especially well. I personally think that

770
00:39:09,600 --> 00:39:14,920
Speaker 1: because so little of our politics centers around economics at

771
00:39:14,920 --> 00:39:19,120
Speaker 1: this point, because neither party really delivers on economics, that

772
00:39:19,200 --> 00:39:25,879
Speaker 1: means that cultural considerations become incredibly potent in terms of

773
00:39:26,360 --> 00:39:30,040
Speaker 1: how people align and associate with the parties. So, I mean,

774
00:39:30,080 --> 00:39:32,000
Speaker 1: you have a lot of complex factors going on, because

775
00:39:32,000 --> 00:39:34,839
Speaker 1: we've looked at the Starbucks labor movement, you know, where

776
00:39:34,920 --> 00:39:38,080
Speaker 1: clearly like this is about economics and being able to

777
00:39:38,120 --> 00:39:40,040
Speaker 1: have a say in your workplace, democracy in your workplace,

778
00:39:40,080 --> 00:39:42,839
Speaker 1: and all those things, and there are plenty of non

779
00:39:42,880 --> 00:39:45,560
Speaker 1: college workers at Starbucks, but there are also, in fact,

780
00:39:45,600 --> 00:39:48,920
Speaker 1: some of the leaders of the movement highly educated, and

781
00:39:49,000 --> 00:39:51,680
Speaker 1: so you have these sort of complex factors and these

782
00:39:51,760 --> 00:39:54,879
Speaker 1: other things that are bubbling. But yeah, because the state

783
00:39:54,920 --> 00:39:57,520
Speaker 1: of our current politics is that neither party is likely

784
00:39:57,560 --> 00:39:59,760
Speaker 1: to really deliver for you in terms of your material

785
00:39:59,840 --> 00:40:02,239
Speaker 1: can or inside argued Democrats are like marginaling better but

786
00:40:02,560 --> 00:40:07,520
Speaker 1: the big deal. So what you ultimately have these cultural

787
00:40:07,560 --> 00:40:12,520
Speaker 1: flashpoint issues serving as the primary identification point for each

788
00:40:12,560 --> 00:40:15,080
Speaker 1: of the parties. I mean, it is really interesting. You

789
00:40:15,080 --> 00:40:17,720
Speaker 1: can see this al sort of shaking out right now

790
00:40:17,920 --> 00:40:20,920
Speaker 1: with the shift in the footing of the cultural debates.

791
00:40:21,280 --> 00:40:24,279
Speaker 1: So now that we're focused on sort of you know,

792
00:40:24,360 --> 00:40:28,360
Speaker 1: abortion and gun rights, and Democrats are leaning into that

793
00:40:28,400 --> 00:40:32,080
Speaker 1: for the midterms, and the voters are who are focused

794
00:40:32,120 --> 00:40:35,680
Speaker 1: on cultural issues, those are becoming top concerns. You also

795
00:40:35,800 --> 00:40:38,640
Speaker 1: see some of these sort of like suburban college edu

796
00:40:39,120 --> 00:40:41,279
Speaker 1: educated voters that have been flirting with the GOP coming

797
00:40:41,320 --> 00:40:44,200
Speaker 1: back to the Democratic Party. And it's also remarkable that

798
00:40:44,200 --> 00:40:46,360
Speaker 1: within the Democratic Party, even if you're just looking at

799
00:40:46,360 --> 00:40:50,680
Speaker 1: the Democratic Party base, that class divide really determines whether

800
00:40:50,719 --> 00:40:54,200
Speaker 1: you're focused on economics are focused on cultural issues. So

801
00:40:55,400 --> 00:40:57,640
Speaker 1: it's I mean, I guess it's kind of predictable if

802
00:40:57,640 --> 00:41:00,120
Speaker 1: you're more or less good from an income perspective, and

803
00:41:00,320 --> 00:41:02,480
Speaker 1: that's you're going to care more about abortion than you

804
00:41:02,520 --> 00:41:05,319
Speaker 1: do about inflation. That's just why they're probably going to lose.

805
00:41:05,360 --> 00:41:07,080
Speaker 1: I mean, but this is always if you care more

806
00:41:07,120 --> 00:41:10,520
Speaker 1: about cultural touchstone than you know actual events, then of

807
00:41:10,520 --> 00:41:12,720
Speaker 1: course that you're going to lose. But it's a serious

808
00:41:12,800 --> 00:41:14,799
Speaker 1: yo yo effect because it also sets it up if

809
00:41:14,800 --> 00:41:17,480
Speaker 1: the GOP doesn't move on anything, then three years from now,

810
00:41:17,480 --> 00:41:21,600
Speaker 1: there are going to lose. I think true, a large

811
00:41:21,680 --> 00:41:24,799
Speaker 1: swath of the Latino vote is a true swing voter.

812
00:41:24,960 --> 00:41:27,120
Speaker 1: I mean, that's that's what it really looks like. Here.

813
00:41:27,160 --> 00:41:30,520
Speaker 1: You have increasingly white college educated voters becoming a pretty

814
00:41:30,560 --> 00:41:33,440
Speaker 1: hard base for the Democratic Party. Black voters continue to

815
00:41:33,440 --> 00:41:36,840
Speaker 1: be pretty hard based for the Democratic Party, Republican Party,

816
00:41:36,960 --> 00:41:39,600
Speaker 1: white working class voters very hard based there. And then

817
00:41:39,600 --> 00:41:41,799
Speaker 1: I think that, you know, Latino voters right now in

818
00:41:41,800 --> 00:41:45,240
Speaker 1: this era are the true swing and seem to vote

819
00:41:45,840 --> 00:41:49,719
Speaker 1: overwhelmingly on economic concerns more so than some of the

820
00:41:49,760 --> 00:41:52,920
Speaker 1: other demographic groups in the country. And so it's all

821
00:41:52,920 --> 00:41:54,960
Speaker 1: about what have you done for me lately? Yeah? There

822
00:41:55,000 --> 00:41:59,360
Speaker 1: you go, All right, guys. Representative Rocana was on Fox

823
00:41:59,400 --> 00:42:04,640
Speaker 1: News here and he said something about Biden that it's

824
00:42:04,680 --> 00:42:06,760
Speaker 1: not going over well to say the least. Let's listen,

825
00:42:08,560 --> 00:42:10,839
Speaker 1: I have confidence of the president. I just said that

826
00:42:10,880 --> 00:42:13,279
Speaker 1: to the New York Times. I respect him. I still

827
00:42:13,280 --> 00:42:15,480
Speaker 1: think he's our best bet to defeat Donald Trump. I

828
00:42:15,560 --> 00:42:17,759
Speaker 1: believe Donald Trump's going to be the nominee. I think

829
00:42:17,760 --> 00:42:20,640
Speaker 1: he'll destroy the sensus. We can get into that at

830
00:42:20,680 --> 00:42:22,560
Speaker 1: a later time. And I think Biden is the best

831
00:42:22,560 --> 00:42:25,680
Speaker 1: bet to carry the Midwest. But there are places where

832
00:42:25,680 --> 00:42:29,319
Speaker 1: I disagree, obviously with the administration on Saudi policy is

833
00:42:29,320 --> 00:42:35,920
Speaker 1: one of them. Yeah, I mean, is it an excusable

834
00:42:36,000 --> 00:42:40,640
Speaker 1: right forget about the conversation about like the horse race

835
00:42:40,680 --> 00:42:43,600
Speaker 1: angle of like who can beat who? Who's our best

836
00:42:43,600 --> 00:42:47,200
Speaker 1: bet to beat who. Let's talk about Biden from a

837
00:42:47,239 --> 00:42:51,799
Speaker 1: policy perspective. How have you been governing? Like what are

838
00:42:51,840 --> 00:42:56,759
Speaker 1: you doing? And the answer is not much. He ain't

839
00:42:56,800 --> 00:43:00,839
Speaker 1: doing much. And so you look at a guy who

840
00:43:00,880 --> 00:43:02,759
Speaker 1: in some polls has as low as a thirty three

841
00:43:02,800 --> 00:43:06,279
Speaker 1: percent approval rating. There's one pole that is seventy one

842
00:43:06,320 --> 00:43:09,080
Speaker 1: percent of the country says he shouldn't run again. You

843
00:43:09,160 --> 00:43:14,120
Speaker 1: have the high gas prices, you have inflation, you have

844
00:43:14,160 --> 00:43:20,040
Speaker 1: all these issues. And he's not breaking out his executive

845
00:43:20,120 --> 00:43:24,320
Speaker 1: order pen. He's not applying pressure to the obstructionist Democratic senators.

846
00:43:24,920 --> 00:43:29,440
Speaker 1: He is a defeated man, a defeated man who can't

847
00:43:29,440 --> 00:43:34,080
Speaker 1: even control his own staffers who look at him like

848
00:43:34,160 --> 00:43:38,000
Speaker 1: he ain't matching the moment right now, and you, Rocanna

849
00:43:38,040 --> 00:43:40,640
Speaker 1: are gonna support him, You're gonna say, oh, yeah, him

850
00:43:40,680 --> 00:43:45,319
Speaker 1: against Trump in twenty twenty four. I mean, look, that

851
00:43:45,440 --> 00:43:50,320
Speaker 1: is tantamount to saying that the status quo that Biden

852
00:43:50,360 --> 00:43:53,520
Speaker 1: has currently given us is acceptable, right because you're saying, hey,

853
00:43:53,600 --> 00:43:55,480
Speaker 1: let's have four more years of that twenty twenty four

854
00:43:55,520 --> 00:43:58,959
Speaker 1: and on. That's what you're saying, is that status quo

855
00:43:59,600 --> 00:44:05,000
Speaker 1: is is preferable. But it's not. It's just not. It

856
00:44:05,040 --> 00:44:08,399
Speaker 1: is not at all. You're talking about somebody who has

857
00:44:08,440 --> 00:44:12,759
Speaker 1: the authority to abolish student loan debt right now if

858
00:44:12,800 --> 00:44:14,440
Speaker 1: he wants to, He's not doing it. He has the

859
00:44:14,440 --> 00:44:16,840
Speaker 1: authority to legalize recreational marijuana right now if he wants to,

860
00:44:16,880 --> 00:44:19,279
Speaker 1: He's not doing it. He has the authority to free

861
00:44:19,320 --> 00:44:21,080
Speaker 1: all the non violent drug offenders right now if he

862
00:44:21,120 --> 00:44:23,480
Speaker 1: wants to, He's not doing it. He has the authority

863
00:44:23,880 --> 00:44:27,840
Speaker 1: to take our jack boot off the throat of the

864
00:44:27,840 --> 00:44:32,960
Speaker 1: country of Afghanistan, which is now experiencing famine because we're

865
00:44:33,000 --> 00:44:36,160
Speaker 1: not releasing their own money back to them. He's not

866
00:44:36,200 --> 00:44:38,719
Speaker 1: doing it. I mean, the list goes on and on,

867
00:44:39,320 --> 00:44:42,319
Speaker 1: and so you look at that situation and you say, yeah,

868
00:44:42,360 --> 00:44:46,040
Speaker 1: because Trump is worse, we have to have more than

869
00:44:46,160 --> 00:44:51,200
Speaker 1: just basically like a neo fascist in Donald Trump who's

870
00:44:51,200 --> 00:44:52,880
Speaker 1: opening about the fact that he wishes he did a

871
00:44:52,920 --> 00:44:57,920
Speaker 1: coup right and followed through on that, versus the ultimate

872
00:44:58,040 --> 00:45:03,120
Speaker 1: of status quo defense, which is Joe Biden. This is

873
00:45:03,160 --> 00:45:06,239
Speaker 1: not this is not this is not it man. This

874
00:45:06,400 --> 00:45:12,160
Speaker 1: is like, it's just the lowest bar ever. Now you

875
00:45:12,200 --> 00:45:13,800
Speaker 1: want to have the conversation about twenty twenty four, we

876
00:45:13,800 --> 00:45:16,719
Speaker 1: could have the conversation about twenty twenty four. I would

877
00:45:16,800 --> 00:45:22,400
Speaker 1: far prefer Mariann Williamson or Raphael Warnock or John Fetterman, like,

878
00:45:22,480 --> 00:45:26,600
Speaker 1: there are names that are in the conversation that would

879
00:45:26,640 --> 00:45:31,080
Speaker 1: I think, I think would make far superior candidates. But

880
00:45:31,320 --> 00:45:35,840
Speaker 1: to just look at the current landscape and say, yeah,

881
00:45:36,080 --> 00:45:40,279
Speaker 1: even look, I would much prefer ro Conna said, well,

882
00:45:40,280 --> 00:45:42,680
Speaker 1: I think Bernie should take another crack at it. I'd

883
00:45:42,760 --> 00:45:44,840
Speaker 1: much prefer that, even though I have issues with Bernie

884
00:45:45,200 --> 00:45:48,480
Speaker 1: and I you know, there are issues there that we've

885
00:45:48,520 --> 00:45:50,799
Speaker 1: talked about and we can talk more about but I

886
00:45:50,800 --> 00:45:53,839
Speaker 1: would have much preferred that, because at least you're aspiring

887
00:45:53,920 --> 00:45:57,200
Speaker 1: to something. To say this, it's like you're aspiring to

888
00:45:58,200 --> 00:46:01,600
Speaker 1: perpetual failure and the status quot. Oh that's what you're doing.

889
00:46:01,800 --> 00:46:05,280
Speaker 1: That's what this is. Let me aspire to continued failure

890
00:46:05,320 --> 00:46:08,759
Speaker 1: and the status quo. I hate it. I hate that.

891
00:46:09,280 --> 00:46:12,440
Speaker 1: I hate it with a burying passion. I think it's uh.

892
00:46:14,040 --> 00:46:16,279
Speaker 1: I think it's insufferable. And by the way, I don't

893
00:46:16,320 --> 00:46:19,680
Speaker 1: know when you look at the Poles, I don't know

894
00:46:19,719 --> 00:46:22,359
Speaker 1: how he can make the argument he's making. You know,

895
00:46:22,719 --> 00:46:24,520
Speaker 1: it was like sixty one percent said they don't want

896
00:46:24,520 --> 00:46:26,120
Speaker 1: Trump to a run again, but seventy one percent they

897
00:46:26,120 --> 00:46:28,200
Speaker 1: don't want Biden to run again. The polls now with

898
00:46:28,280 --> 00:46:31,040
Speaker 1: young people fully abandoning Joe Biden because they feel like

899
00:46:31,080 --> 00:46:34,480
Speaker 1: Joe Biden's abandoned them. So how can you say, yeah, him,

900
00:46:34,520 --> 00:46:38,600
Speaker 1: he's the guy, the guy who everybody hates, who is

901
00:46:38,640 --> 00:46:42,960
Speaker 1: even shitting on the base institutions that propped him up,

902
00:46:43,440 --> 00:46:45,600
Speaker 1: like the pro choice groups that he's now given the

903
00:46:45,600 --> 00:46:48,960
Speaker 1: finger to. I don't I don't know where this comes from. Man,

904
00:46:49,680 --> 00:46:55,000
Speaker 1: this is super disappointing from Rocana. It really is you

905
00:46:55,080 --> 00:46:57,640
Speaker 1: just sometimes you're in Washington a little too long, you

906
00:46:57,680 --> 00:47:00,800
Speaker 1: get that Washington DC brain, and you just lose touch.

907
00:47:01,160 --> 00:47:04,319
Speaker 1: You lose touch with the people. And that's exactly what

908
00:47:04,320 --> 00:47:06,360
Speaker 1: this is. I mean, there's no other way around it.

909
00:47:07,360 --> 00:47:10,000
Speaker 1: You cannot get your finger more off the pulse than this.

910
00:47:10,480 --> 00:47:13,560
Speaker 1: And I don't know. Maybe he's angling because he stays

911
00:47:13,600 --> 00:47:16,360
Speaker 1: in good graces with Biden and then their political favors

912
00:47:16,400 --> 00:47:20,920
Speaker 1: in return to him down the road or whatever. But dog,

913
00:47:21,000 --> 00:47:23,719
Speaker 1: you are chaining yourself to a sinking ship, is what

914
00:47:23,760 --> 00:47:30,320
Speaker 1: this is. Hi, I'm Matt Stoler, author of monopoly focused

915
00:47:30,320 --> 00:47:34,400
Speaker 1: newsletter Big and an antitrust policy analyst. For today's Big Breakdown,

916
00:47:34,440 --> 00:47:37,120
Speaker 1: I want to talk about the current crisis with airlines,

917
00:47:37,360 --> 00:47:41,000
Speaker 1: not just what's going wrong, but also how to fix it. Okay,

918
00:47:40,840 --> 00:47:43,799
Speaker 1: so we're all aware of the problems this summer with

919
00:47:43,880 --> 00:47:47,719
Speaker 1: travel cancelations, bad service, lost bags. If you hadn't had

920
00:47:47,719 --> 00:47:49,880
Speaker 1: a haven't had a flight canceled, I'm sure someone you

921
00:47:49,920 --> 00:47:52,200
Speaker 1: know has or you've you've seen the news about it,

922
00:47:52,920 --> 00:47:55,600
Speaker 1: and the crisis is real. So complaints to the Department

923
00:47:55,600 --> 00:47:57,960
Speaker 1: of Transportation are up three hundred and twenty one percent

924
00:47:58,000 --> 00:48:00,760
Speaker 1: from where they were in a similar period tooy nineteen.

925
00:48:01,400 --> 00:48:03,680
Speaker 1: Now I want to go into why the industry is

926
00:48:03,719 --> 00:48:06,560
Speaker 1: in trouble. And while it looks like it's just kind

927
00:48:06,560 --> 00:48:11,319
Speaker 1: of a temporary thing this summer, it isn't. It's been

928
00:48:11,320 --> 00:48:14,040
Speaker 1: a huge It's been a disaster for years and the

929
00:48:14,120 --> 00:48:17,200
Speaker 1: roots of it go back decades. So want to ask

930
00:48:17,280 --> 00:48:20,000
Speaker 1: and answer a couple of questions. Why are airlines unable

931
00:48:20,080 --> 00:48:23,880
Speaker 1: to deliver reliable service? Who is regulating them in the government?

932
00:48:24,320 --> 00:48:25,799
Speaker 1: And I want to go over the actions of the

933
00:48:25,840 --> 00:48:29,680
Speaker 1: current Secretary of Transportation, Pete boodhage Edge, but also delve

934
00:48:29,680 --> 00:48:32,839
Speaker 1: a bit deeper into why the airline industry is structurally

935
00:48:32,840 --> 00:48:36,600
Speaker 1: designed to go into crisis and what to do about it. Okay,

936
00:48:36,640 --> 00:48:39,759
Speaker 1: so let's start with what happened this summer. Here it

937
00:48:39,840 --> 00:48:46,960
Speaker 1: is in a headline. Okay, it's bad, unprecedented, And here's

938
00:48:47,000 --> 00:48:53,880
Speaker 1: how the airlines actually explained the problem. Weather and a

939
00:48:53,960 --> 00:48:58,359
Speaker 1: staff shortage. Now the airlines aren't lying there are weather

940
00:48:58,400 --> 00:49:02,799
Speaker 1: problems and there are staff short but airlines are being deceptive.

941
00:49:03,040 --> 00:49:06,640
Speaker 1: There are always weather problems and staff needs. Why did

942
00:49:06,640 --> 00:49:09,480
Speaker 1: things get bad so bad this year when they weren't

943
00:49:09,480 --> 00:49:12,359
Speaker 1: as bad as they were in previous years? So here's

944
00:49:12,400 --> 00:49:15,200
Speaker 1: what happened in twenty twenty. When airlines got a fifty

945
00:49:15,239 --> 00:49:17,800
Speaker 1: four billion dollars bailout from the federal government during COVID,

946
00:49:18,000 --> 00:49:20,920
Speaker 1: they promised to maintain staff. That was the point of

947
00:49:20,960 --> 00:49:23,440
Speaker 1: the bailout. They had to maintain the capacity that they

948
00:49:23,480 --> 00:49:27,480
Speaker 1: had then at the depths of the pandemic, airlines encouraged

949
00:49:27,520 --> 00:49:32,160
Speaker 1: their employees to take early retirement. Wasn't a crazy notion.

950
00:49:32,239 --> 00:49:34,560
Speaker 1: I mean, it was sort of bad faith, but you know,

951
00:49:34,840 --> 00:49:38,399
Speaker 1: flying planes when it's entirely empty and imagining that it's

952
00:49:38,440 --> 00:49:42,279
Speaker 1: going to take years before before airline demand rebounds, I mean,

953
00:49:42,280 --> 00:49:45,239
Speaker 1: that was something that almost everybody believed. But the thing

954
00:49:45,320 --> 00:49:48,040
Speaker 1: is demand came back much more quickly than anyone expected.

955
00:49:48,320 --> 00:49:54,040
Speaker 1: So airlines have been understaffed for this resurgent demand. Okay,

956
00:49:55,120 --> 00:49:57,960
Speaker 1: that sort of explained some things, but not everything. Airlines

957
00:49:58,000 --> 00:50:00,640
Speaker 1: scheduled their flights eleven months in advance, so they know

958
00:50:00,760 --> 00:50:04,040
Speaker 1: when they can or can't staff flights, but they scheduled

959
00:50:04,040 --> 00:50:07,319
Speaker 1: flights anyway that they couldn't staff because they wanted to

960
00:50:07,320 --> 00:50:10,640
Speaker 1: get customer money, and that led to a huge number

961
00:50:10,640 --> 00:50:14,640
Speaker 1: of cancelations. What airlines are doing is trying to maximize

962
00:50:14,640 --> 00:50:16,880
Speaker 1: the amount of seats they can sell. So they are

963
00:50:16,880 --> 00:50:20,359
Speaker 1: assuming is they didn't used to assume that everything will

964
00:50:20,360 --> 00:50:24,120
Speaker 1: go perfectly on schedule. With no reserves, they have nothing

965
00:50:24,160 --> 00:50:27,280
Speaker 1: in reserve to account for bad weather, pilots being sick, delays,

966
00:50:27,320 --> 00:50:32,760
Speaker 1: mechanical problems and things. When things go perfectly, they capture

967
00:50:32,840 --> 00:50:36,800
Speaker 1: large amounts of revenue. But when anything goes wrong, anything

968
00:50:36,840 --> 00:50:39,240
Speaker 1: at all, and stuff always goes wrong, that's just life,

969
00:50:39,760 --> 00:50:43,920
Speaker 1: airlines have to cancel flights. Now. Normally this kind of

970
00:50:43,960 --> 00:50:47,759
Speaker 1: behavior mistreating customers would anger the people who pay you

971
00:50:47,840 --> 00:50:51,040
Speaker 1: money to customers, and then they could choose a different firm.

972
00:50:51,160 --> 00:50:54,160
Speaker 1: Like if you don't like someone's ice cream, you know,

973
00:50:54,360 --> 00:50:57,480
Speaker 1: you get sick or whatever, you buy a different firms

974
00:50:57,480 --> 00:50:59,720
Speaker 1: ice cream. But that that doesn't happen in the airline

975
00:51:00,200 --> 00:51:04,359
Speaker 1: because these days customers really have very few choices. If

976
00:51:04,360 --> 00:51:07,879
Speaker 1: there are dozens of mergers over the last twenty years

977
00:51:07,960 --> 00:51:12,000
Speaker 1: or so, there are only a few airlines left. United, Delta,

978
00:51:12,000 --> 00:51:14,280
Speaker 1: and American Airlines are the three what are called trunk

979
00:51:14,320 --> 00:51:17,239
Speaker 1: airlines in the US, and if you add in Southwest,

980
00:51:17,480 --> 00:51:21,120
Speaker 1: those four airlines control most of the market eighty percent

981
00:51:21,239 --> 00:51:24,680
Speaker 1: or so. And it's worse if you look at individual routes,

982
00:51:25,360 --> 00:51:27,759
Speaker 1: so you know, in a lot of routes, there's really

983
00:51:27,800 --> 00:51:31,640
Speaker 1: only one choice or maybe two. Now, there hasn't been

984
00:51:31,640 --> 00:51:34,000
Speaker 1: a new entrant into the airline industry for more than

985
00:51:34,000 --> 00:51:37,240
Speaker 1: ten years. It's actually the largest stretch of time without

986
00:51:37,280 --> 00:51:39,239
Speaker 1: a new entrant. There were a couple of small ones

987
00:51:39,320 --> 00:51:43,040
Speaker 1: last year, but essentially this is the longest stretch of

988
00:51:43,239 --> 00:51:45,840
Speaker 1: not having a new entrant into the airline industry ever

989
00:51:46,600 --> 00:51:49,799
Speaker 1: since back in the nineteen twenties. So if you're unhappy

990
00:51:50,000 --> 00:51:52,640
Speaker 1: with service, you really have very few choices. And that's

991
00:51:52,680 --> 00:51:55,040
Speaker 1: especially true if you're flying out of a regional city.

992
00:51:55,080 --> 00:51:57,520
Speaker 1: This doesn't as bad if you live like I do

993
00:51:57,600 --> 00:52:00,680
Speaker 1: in DC, or in New York or some sort of

994
00:52:01,520 --> 00:52:04,200
Speaker 1: popular city, which I'll get into a big city. I'm

995
00:52:04,200 --> 00:52:06,000
Speaker 1: going to get into that in a second. But it's

996
00:52:06,080 --> 00:52:09,120
Speaker 1: especially bad for people who don't live in near centers

997
00:52:09,160 --> 00:52:14,440
Speaker 1: of power. Now, another reason that airlines are overscheduling and

998
00:52:14,480 --> 00:52:17,000
Speaker 1: canceling flights is because they don't always have to return

999
00:52:17,080 --> 00:52:20,799
Speaker 1: money for canceled flights. Now, it's actually illegal to not

1000
00:52:20,880 --> 00:52:23,360
Speaker 1: give you your money back on it canceled flights, but

1001
00:52:23,840 --> 00:52:27,799
Speaker 1: during COVID, airlines, mostly domestic ones you know, the big

1002
00:52:27,840 --> 00:52:33,680
Speaker 1: trunk ones refuse to offer refunds and between inaggregate five

1003
00:52:33,760 --> 00:52:37,279
Speaker 1: and ten billion dollars. They often do things like they'll

1004
00:52:37,280 --> 00:52:38,879
Speaker 1: try to give you vouchers, or they'll try to give

1005
00:52:38,880 --> 00:52:41,560
Speaker 1: you miles or something like that. They actually owe you cash,

1006
00:52:41,760 --> 00:52:44,239
Speaker 1: but they will they try not to refine you for

1007
00:52:44,320 --> 00:52:47,319
Speaker 1: something that they didn't deliver. And the problem is that

1008
00:52:47,360 --> 00:52:50,439
Speaker 1: the regulator in charge, the Department of Transportation, did very

1009
00:52:50,440 --> 00:52:55,080
Speaker 1: little about it. Now, in June, the situation with cancelations

1010
00:52:55,120 --> 00:52:58,720
Speaker 1: and refusal to do engage in refunds got so bad

1011
00:52:59,080 --> 00:53:02,520
Speaker 1: that Secretary of Trends Inspetation Peepe Footage Edge, and this

1012
00:53:02,560 --> 00:53:05,000
Speaker 1: is the guy with regulatory power over the industry, had

1013
00:53:05,040 --> 00:53:08,520
Speaker 1: to actually explain itself, explain himself. And here's what he

1014
00:53:08,600 --> 00:53:11,479
Speaker 1: told Fox the other day. Here's what we're doing about it.

1015
00:53:11,520 --> 00:53:14,360
Speaker 1: We'll collaborate with airlines when they're ready to take steps

1016
00:53:14,360 --> 00:53:18,319
Speaker 1: that are positive and proactive, whether that's improvements in pay

1017
00:53:18,360 --> 00:53:21,800
Speaker 1: that are helping with hiring or flexibility in customer service.

1018
00:53:22,120 --> 00:53:26,279
Speaker 1: We're also going to enforce passenger and consumer rights. And

1019
00:53:26,480 --> 00:53:28,319
Speaker 1: this is not new for us. Matter of fact, it

1020
00:53:28,400 --> 00:53:31,960
Speaker 1: was last year that I announced the stiffest fines ever

1021
00:53:32,040 --> 00:53:35,879
Speaker 1: imposed under our consumer protection program for airlines that we're

1022
00:53:35,920 --> 00:53:39,440
Speaker 1: failing to provide refunds to passengers after they got stuck

1023
00:53:39,760 --> 00:53:43,120
Speaker 1: with cancelations. Matter of fact, we have just concluded another

1024
00:53:43,320 --> 00:53:47,840
Speaker 1: ten investigations on airlines on these issues and have launched

1025
00:53:48,160 --> 00:53:51,080
Speaker 1: another ten or so that we're going to pursue to

1026
00:53:51,120 --> 00:53:55,120
Speaker 1: make sure that consumers and passengers are protected. Okay, so

1027
00:53:55,239 --> 00:53:59,040
Speaker 1: that all sounds really reasonable, and there are some indications

1028
00:53:59,080 --> 00:54:03,000
Speaker 1: that airlines, after just a complete disaster over the last

1029
00:54:03,040 --> 00:54:05,480
Speaker 1: couple of months, are just paying lots and lots and

1030
00:54:05,480 --> 00:54:08,360
Speaker 1: lots of overtime. Although there will probably be an elevated

1031
00:54:08,440 --> 00:54:10,920
Speaker 1: level of cancelations for the rest of the summer. It's

1032
00:54:10,920 --> 00:54:14,400
Speaker 1: still a total mess. But you look at the regulator,

1033
00:54:14,400 --> 00:54:17,319
Speaker 1: Pete Baget, he sounds like, you know, he's doing a

1034
00:54:17,320 --> 00:54:20,799
Speaker 1: good reasonable job with he with what tools they have,

1035
00:54:20,840 --> 00:54:24,040
Speaker 1: i mean, a record fine, you know, and investigations like

1036
00:54:24,080 --> 00:54:27,400
Speaker 1: he sounds tough but also wants to collaborate. The problem

1037
00:54:27,480 --> 00:54:32,520
Speaker 1: is that there is a lot of, to put it politely,

1038
00:54:32,600 --> 00:54:36,240
Speaker 1: a sort of disingenuous rhetoric that he's offering to the public.

1039
00:54:36,640 --> 00:54:39,160
Speaker 1: And it kind of makes me mad when a regulator

1040
00:54:39,200 --> 00:54:42,000
Speaker 1: deceives the public, and that is what I think unfortunately

1041
00:54:42,040 --> 00:54:45,520
Speaker 1: Secretary Boudhajedge is doing here. So let's go through what

1042
00:54:45,560 --> 00:54:49,040
Speaker 1: the secretary said. So Budajeg says that the regulators issued

1043
00:54:49,080 --> 00:54:54,440
Speaker 1: a record fine against multiple airlines for refusing to refund tickets. Well,

1044
00:54:54,480 --> 00:54:56,600
Speaker 1: there was only one fine that I could find for

1045
00:54:56,719 --> 00:54:59,120
Speaker 1: not offering refunds, so that right there is a bit

1046
00:54:59,200 --> 00:55:03,480
Speaker 1: misleading multiple just one. But okay, maybe he just misspoke

1047
00:55:03,520 --> 00:55:06,759
Speaker 1: a little bit, not a big deal. But let's go

1048
00:55:06,840 --> 00:55:10,880
Speaker 1: to the record fine, which is true but also misleading.

1049
00:55:10,960 --> 00:55:14,000
Speaker 1: So he's pointing to this penalty of twenty five million

1050
00:55:14,040 --> 00:55:16,879
Speaker 1: dollars against Aeric Canada. Now, the find got a lot

1051
00:55:16,880 --> 00:55:18,799
Speaker 1: of headlines when it was announced in June of twenty

1052
00:55:18,840 --> 00:55:21,479
Speaker 1: twenty one, and it sounds like a big number, twenty

1053
00:55:21,480 --> 00:55:24,560
Speaker 1: five million dollars, a lot of money. But the thing

1054
00:55:24,640 --> 00:55:27,920
Speaker 1: is is after negotiations between Secretary Boodhagage and the company

1055
00:55:28,000 --> 00:55:30,640
Speaker 1: or the Department Transportation of the company, the fine ended

1056
00:55:30,719 --> 00:55:33,480
Speaker 1: up being just four point five million dollars and then

1057
00:55:33,560 --> 00:55:36,680
Speaker 1: two point five million dollars of that was just credited

1058
00:55:36,680 --> 00:55:39,480
Speaker 1: to Air Canada for refunds they had given to passengers.

1059
00:55:39,560 --> 00:55:43,359
Speaker 1: So in terms of cash that the DOT says that

1060
00:55:43,400 --> 00:55:46,640
Speaker 1: Air Canada needed to pay. It was just two million

1061
00:55:46,640 --> 00:55:49,040
Speaker 1: dollars and we don't even know if they've paid it.

1062
00:55:49,200 --> 00:55:51,960
Speaker 1: And the number is so small that Air Canada didn't

1063
00:55:52,000 --> 00:55:54,720
Speaker 1: even have to report it to investors as a material event.

1064
00:55:54,800 --> 00:56:00,560
Speaker 1: It was just irrelevant to their financial outcomes. Also, the

1065
00:56:00,600 --> 00:56:05,400
Speaker 1: company didn't even have to admit wrongdoing, right, so they

1066
00:56:05,440 --> 00:56:08,200
Speaker 1: didn't even say we did something wrong. We didn't refund passengers.

1067
00:56:08,840 --> 00:56:11,400
Speaker 1: The only reason in fact that the Department of Transportation

1068
00:56:11,560 --> 00:56:15,160
Speaker 1: cracked down on Air Canada is because the airline simply

1069
00:56:15,200 --> 00:56:18,360
Speaker 1: announced that it would not follow the law and refund passengers.

1070
00:56:18,400 --> 00:56:20,040
Speaker 1: It said, no, we're not going to follow a law,

1071
00:56:20,280 --> 00:56:22,200
Speaker 1: and that is kind of like a middle finger to

1072
00:56:22,239 --> 00:56:27,560
Speaker 1: the regulators. That's the only fine by DOT from refunds

1073
00:56:27,640 --> 00:56:31,080
Speaker 1: due to COVID is when an airline just openly announced

1074
00:56:31,120 --> 00:56:33,200
Speaker 1: that they are just not going to follow the law. Now,

1075
00:56:33,400 --> 00:56:35,080
Speaker 1: a lot of the others didn't follow a law either,

1076
00:56:35,120 --> 00:56:37,120
Speaker 1: they just didn't say it out right, and so they're fine.

1077
00:56:37,840 --> 00:56:40,600
Speaker 1: So Secreary Boudage also says that the Department of Transportation

1078
00:56:40,680 --> 00:56:44,440
Speaker 1: has concluded ten investigations. That sounds really impressive, but The

1079
00:56:44,480 --> 00:56:46,000
Speaker 1: thing is, it's been two and a half years since

1080
00:56:46,080 --> 00:56:50,040
Speaker 1: airlines canceled flights without refunds during COVID. Where are the results?

1081
00:56:50,320 --> 00:56:51,759
Speaker 1: Why does it take two and a half years to

1082
00:56:51,920 --> 00:56:55,799
Speaker 1: investigate and get refunds? And where are the results? Where

1083
00:56:55,840 --> 00:56:59,040
Speaker 1: are the refunds? In fact, sixty two percent of complaints

1084
00:56:59,200 --> 00:57:02,040
Speaker 1: are for domestic carriers, the big guys in the United

1085
00:57:02,160 --> 00:57:05,440
Speaker 1: the Deltas, the American Air and Budajets has an issued

1086
00:57:05,440 --> 00:57:09,319
Speaker 1: a single enforcement order against a domestic trunk line this year.

1087
00:57:10,440 --> 00:57:15,799
Speaker 1: More broadly, and over time, enforcement has gotten worse. So

1088
00:57:15,960 --> 00:57:19,240
Speaker 1: here's a chart of fines of enforcement orders by the

1089
00:57:19,280 --> 00:57:22,680
Speaker 1: Department of Transportation, and what you can see is that

1090
00:57:22,840 --> 00:57:26,960
Speaker 1: enforcement against airlines has collapsed. During the Bush and Obama administrations,

1091
00:57:27,000 --> 00:57:28,960
Speaker 1: the DOT issued dozens of orders a year. It was

1092
00:57:28,960 --> 00:57:31,040
Speaker 1: still fairly fairly weak, but there were dozens of them.

1093
00:57:31,320 --> 00:57:34,800
Speaker 1: Trump's Secretary of Transportation, Elaine Chow in twenty twenty her

1094
00:57:34,840 --> 00:57:38,600
Speaker 1: final year, issued just six aviation enforcement orders. This goes

1095
00:57:38,640 --> 00:57:40,960
Speaker 1: up to twenty nineteen that chart, but it got worse

1096
00:57:41,000 --> 00:57:44,760
Speaker 1: in twenty twenty to six. How many did Secretary Bootajedge

1097
00:57:44,800 --> 00:57:47,960
Speaker 1: issue in twenty twenty one. I mean, this is a

1098
00:57:48,040 --> 00:57:53,280
Speaker 1: bad year for airlines, he issued just four, and this year,

1099
00:57:53,600 --> 00:57:57,880
Speaker 1: with record cancelations and just a total mess at the airports,

1100
00:57:58,040 --> 00:58:03,640
Speaker 1: he's issued three. So sexually, bododhast is just not regulating

1101
00:58:03,920 --> 00:58:08,080
Speaker 1: the industry and it shows. In fact, six years ago,

1102
00:58:08,400 --> 00:58:10,880
Speaker 1: Congress passed the law saying and this is like really

1103
00:58:11,000 --> 00:58:14,080
Speaker 1: really easy kind of regulation. Right, they passed the law

1104
00:58:14,080 --> 00:58:16,920
Speaker 1: saying that regulators should force the airlines to let children,

1105
00:58:17,120 --> 00:58:20,160
Speaker 1: even very young children, babies almost sit with their parents

1106
00:58:20,480 --> 00:58:24,040
Speaker 1: without charging those parents of fee. Right, you get to

1107
00:58:24,080 --> 00:58:26,720
Speaker 1: sit with your family if you are a young child.

1108
00:58:28,080 --> 00:58:30,800
Speaker 1: The lane child didn't promalgate the rules she should have.

1109
00:58:30,960 --> 00:58:35,040
Speaker 1: Congress said you should do this didn't. Last Friday, Buddha

1110
00:58:35,080 --> 00:58:38,760
Speaker 1: Jedge said that he would encourage the airlines to seek

1111
00:58:38,840 --> 00:58:43,440
Speaker 1: families together voluntarily without charging a fee. But of course

1112
00:58:45,120 --> 00:58:46,880
Speaker 1: we know that means it's not going to happen, because

1113
00:58:46,880 --> 00:58:49,360
Speaker 1: if there's one thing that you know about airlines, it's

1114
00:58:49,400 --> 00:58:54,400
Speaker 1: that airlines will love fees. Now, okay, so we have

1115
00:58:54,520 --> 00:58:58,800
Speaker 1: a consumer protection regime and a regulator that won't enforce it,

1116
00:58:58,840 --> 00:59:01,600
Speaker 1: and the DOT is the only regulator that has authority

1117
00:59:02,000 --> 00:59:06,920
Speaker 1: to actually enforce consumer protection laws against airlines. Well, so

1118
00:59:07,040 --> 00:59:09,320
Speaker 1: One obvious solution is to take power out of the

1119
00:59:09,320 --> 00:59:12,120
Speaker 1: hands of the Department of Transportation and Secretary Bootage and

1120
00:59:12,200 --> 00:59:15,880
Speaker 1: let airline customers and state officials themselves sue the airlines

1121
00:59:16,080 --> 00:59:18,240
Speaker 1: for violating consumer protection rules. There's a lot of state

1122
00:59:18,280 --> 00:59:20,760
Speaker 1: attorney generals, Phil Wiser in Colorado, for example, that would

1123
00:59:20,760 --> 00:59:22,600
Speaker 1: do that. New York pass a bill of rights for

1124
00:59:22,640 --> 00:59:25,000
Speaker 1: airline passengers. That was you know, the court said, oh,

1125
00:59:25,480 --> 00:59:28,240
Speaker 1: DOT is the only one that actually gets to regulate

1126
00:59:28,320 --> 00:59:30,840
Speaker 1: the airlines, not the states. So just change the rule

1127
00:59:30,880 --> 00:59:36,040
Speaker 1: to let other people actually regulate the airlines. But that

1128
00:59:36,120 --> 00:59:38,840
Speaker 1: would help, It would go a long way, but it

1129
00:59:38,840 --> 00:59:44,480
Speaker 1: wouldn't address part of the structural problem because Secretary Bootage is,

1130
00:59:44,520 --> 00:59:47,680
Speaker 1: to be fair to him, didn't cause the crisis in airlines.

1131
00:59:47,840 --> 00:59:51,479
Speaker 1: The problem is fundamental. And here's what I mean. Okay,

1132
00:59:51,520 --> 00:59:55,439
Speaker 1: so airlines offer bad service and since roughly twenty eleven

1133
00:59:55,560 --> 00:59:58,560
Speaker 1: or so, higher and higher prices. But they've also been

1134
00:59:58,600 --> 01:00:02,640
Speaker 1: increasingly cutting off routes to smaller cities like Olympia, Washington, Salem, Oregon,

1135
01:00:02,800 --> 01:00:05,919
Speaker 1: even mid sized cities like Pittsburgh and Saint Louis. It's

1136
01:00:05,960 --> 01:00:11,040
Speaker 1: not even a terrifically profitable industry. It's been very profitable,

1137
01:00:11,320 --> 01:00:14,600
Speaker 1: you know this year and you know twenty nineteen or so,

1138
01:00:15,240 --> 01:00:20,920
Speaker 1: but structurally it tends to go into bankruptcies or into losses.

1139
01:00:20,920 --> 01:00:25,160
Speaker 1: It's swings. It's a very swingy industry. Delta's profit margins

1140
01:00:25,200 --> 01:00:28,280
Speaker 1: this quarter were lower than they were in the same

1141
01:00:28,360 --> 01:00:31,440
Speaker 1: quarter in twenty nineteen, and that's with incredible demand and

1142
01:00:31,440 --> 01:00:34,240
Speaker 1: pricing power. So it's like, it's weird. You got this

1143
01:00:34,360 --> 01:00:37,920
Speaker 1: industry that's very monopolistic and charges high prices in bad service,

1144
01:00:37,920 --> 01:00:40,800
Speaker 1: but it's also not profitable. And to understand why, we

1145
01:00:40,880 --> 01:00:43,400
Speaker 1: have to go back to changes in the industry that

1146
01:00:43,480 --> 01:00:46,880
Speaker 1: were put forward in the nineteen seventies. So at the time,

1147
01:00:47,560 --> 01:00:51,320
Speaker 1: right from the beginning of really commercial aviation in the

1148
01:00:51,400 --> 01:00:55,200
Speaker 1: nineteen thirties, when it started the nineteen twenties, it really

1149
01:00:55,240 --> 01:00:58,760
Speaker 1: got regulated. In nineteen thirties, a government agency called the

1150
01:00:58,800 --> 01:01:02,200
Speaker 1: Civil Aeronautics Board just regulated the industry and set routes

1151
01:01:02,240 --> 01:01:04,680
Speaker 1: and prices. If an airline wanted to fly a profitable

1152
01:01:04,760 --> 01:01:06,880
Speaker 1: route from say, New York to Los Angeles, then it

1153
01:01:06,920 --> 01:01:09,800
Speaker 1: also had to fly a less profitable route from say

1154
01:01:10,080 --> 01:01:13,520
Speaker 1: Tampa to Denver. This was a method of ensuring that

1155
01:01:13,560 --> 01:01:16,160
Speaker 1: there was cross subsidization, and there was you know, there

1156
01:01:16,160 --> 01:01:18,440
Speaker 1: were a lot of subsidies as well, but the basic

1157
01:01:18,480 --> 01:01:20,760
Speaker 1: goal was to make sure that Americans, no matter where

1158
01:01:20,760 --> 01:01:25,960
Speaker 1: they were, had roughly equal access to air transportation. We

1159
01:01:26,040 --> 01:01:28,960
Speaker 1: saw the airlines as a national resource and we regulated

1160
01:01:29,000 --> 01:01:31,520
Speaker 1: them that way. Now, the reason that you have to

1161
01:01:31,560 --> 01:01:34,080
Speaker 1: have these kind of cross subsidies has to do with

1162
01:01:34,160 --> 01:01:37,360
Speaker 1: the economics and the physics of flight, and this broadly

1163
01:01:37,400 --> 01:01:42,520
Speaker 1: applies to most transportation industries like shipping and railroads and whatnot. Okay,

1164
01:01:42,560 --> 01:01:45,439
Speaker 1: so for flight, it's cost lest to take off and land.

1165
01:01:45,480 --> 01:01:47,520
Speaker 1: That's when you use a lot of the fuel. So

1166
01:01:47,640 --> 01:01:52,160
Speaker 1: airlines prefer to fly longer routes over shorter ones because

1167
01:01:52,200 --> 01:01:53,720
Speaker 1: once you get up in the air, you don't use

1168
01:01:53,760 --> 01:01:57,600
Speaker 1: that much fuel. Also, it's cheaper to serve a busy

1169
01:01:57,640 --> 01:01:59,680
Speaker 1: airport than an empty one because you can use the

1170
01:01:59,720 --> 01:02:04,200
Speaker 1: same equipment and the cost is spread across more flights.

1171
01:02:04,200 --> 01:02:06,520
Speaker 1: So everyone in the industry naturally wants to serve long

1172
01:02:06,560 --> 01:02:09,600
Speaker 1: flights because that's what the physics of flight dictate, and

1173
01:02:09,960 --> 01:02:13,360
Speaker 1: they want to do it between big cities because that's

1174
01:02:13,640 --> 01:02:17,000
Speaker 1: you know, it's there's economies of scale and using airports

1175
01:02:17,040 --> 01:02:21,280
Speaker 1: and spreading a lot of flights over an airports, over

1176
01:02:21,320 --> 01:02:23,840
Speaker 1: a busy airport rather than a not busy one. They

1177
01:02:23,880 --> 01:02:26,520
Speaker 1: don't want to do short haul flights, and they don't

1178
01:02:26,560 --> 01:02:29,720
Speaker 1: want to fly to smaller or regional cities. And the

1179
01:02:29,800 --> 01:02:34,200
Speaker 1: result is, absent any public regulation, anyone you know saying,

1180
01:02:34,720 --> 01:02:37,520
Speaker 1: you know, here's where you guys gotta gotta fly, there's

1181
01:02:37,560 --> 01:02:41,400
Speaker 1: a collective action problem. Airlines will just cut flights to

1182
01:02:41,480 --> 01:02:44,960
Speaker 1: smaller cities, and they'll all pile into the popular routes.

1183
01:02:45,360 --> 01:02:47,120
Speaker 1: And if a bunch of airlines are all trying to

1184
01:02:47,120 --> 01:02:49,800
Speaker 1: compete on, say the New York to LA route, they

1185
01:02:49,880 --> 01:02:53,160
Speaker 1: will every airline will be willing to cut prices to

1186
01:02:53,280 --> 01:02:57,080
Speaker 1: nearly nothing simply to capture an additional customer, since the

1187
01:02:57,120 --> 01:02:59,440
Speaker 1: plane is already budgeted to fly the route, and an

1188
01:02:59,480 --> 01:03:03,240
Speaker 1: additional customer marginal customer, doesn't really cost anything. But the

1189
01:03:03,320 --> 01:03:05,840
Speaker 1: net effect of this is if everybody is trying to

1190
01:03:06,080 --> 01:03:09,800
Speaker 1: pile into these to the most popular routes, is that

1191
01:03:09,840 --> 01:03:14,560
Speaker 1: the industry becomes structurally unprofitable. Airlines go bankrupt, and then

1192
01:03:14,880 --> 01:03:18,760
Speaker 1: there's consolidation. This is because you have a collective action problem.

1193
01:03:18,840 --> 01:03:21,400
Speaker 1: There's no one saying you take that route, We'll take

1194
01:03:21,440 --> 01:03:23,800
Speaker 1: this route, and we'll make sure that the industry can

1195
01:03:24,560 --> 01:03:29,000
Speaker 1: can cover its cost of capital. So that was what

1196
01:03:29,080 --> 01:03:32,840
Speaker 1: the CAAB was designed to prevent. It said, we're going

1197
01:03:32,920 --> 01:03:35,720
Speaker 1: to make sure that we have an air grid that

1198
01:03:37,040 --> 01:03:39,920
Speaker 1: lets people from all over the country get access on

1199
01:03:40,040 --> 01:03:42,560
Speaker 1: roughly equal terms. We're going to make sure that short

1200
01:03:42,600 --> 01:03:45,240
Speaker 1: haul flights are not way more expensive than long haul flights.

1201
01:03:45,280 --> 01:03:47,400
Speaker 1: And we're going to make sure that regional cities get

1202
01:03:47,440 --> 01:03:51,200
Speaker 1: some air capacity as well as popular cities. And we're

1203
01:03:51,200 --> 01:03:54,040
Speaker 1: also going to make sure that the airline industry doesn't

1204
01:03:54,040 --> 01:03:57,560
Speaker 1: go into these boom and bust cycles by regulating prices.

1205
01:03:57,880 --> 01:03:59,280
Speaker 1: There were a lot of problems with it too, but

1206
01:03:59,320 --> 01:04:02,080
Speaker 1: that's basically it did, and it worked okay. So when

1207
01:04:02,080 --> 01:04:05,000
Speaker 1: we deregulated airlines in nineteen seventy eight, and there were

1208
01:04:05,040 --> 01:04:07,600
Speaker 1: some good reasons to do that, their technology had changed,

1209
01:04:07,640 --> 01:04:10,320
Speaker 1: the old regulatory model was kind of outdated. But when

1210
01:04:10,320 --> 01:04:12,120
Speaker 1: we just got rid of all the public rules and

1211
01:04:12,200 --> 01:04:15,520
Speaker 1: let airlines charge whatever they wanted and fly wherever they wanted,

1212
01:04:15,880 --> 01:04:20,320
Speaker 1: what happened is exactly the ruinous competition scenario that I

1213
01:04:20,360 --> 01:04:22,960
Speaker 1: outlined earlier. Service to small cities ended. They just stopped

1214
01:04:22,960 --> 01:04:27,000
Speaker 1: flying to a bunch of places and trunk routes. Routes

1215
01:04:28,480 --> 01:04:31,240
Speaker 1: went way down in price to consumers. So, you know,

1216
01:04:31,480 --> 01:04:33,080
Speaker 1: LA to New York dropped a lot in price, and

1217
01:04:33,160 --> 01:04:36,840
Speaker 1: so people thought, oh well, especially in powerful people in

1218
01:04:36,960 --> 01:04:40,840
Speaker 1: powerful areas, right the DC, New York LA, they were like, oh,

1219
01:04:40,880 --> 01:04:44,760
Speaker 1: this is great because prices went way down. But in

1220
01:04:44,800 --> 01:04:46,840
Speaker 1: the rest of the country it was it was a

1221
01:04:46,880 --> 01:04:49,200
Speaker 1: different it was a different story. A lot of places lost,

1222
01:04:50,280 --> 01:04:53,360
Speaker 1: lost routes, and a lot of cities are having travel

1223
01:04:53,440 --> 01:04:57,320
Speaker 1: economically because it's just really hard to get there. Also,

1224
01:04:57,480 --> 01:05:01,600
Speaker 1: the Department of Transportation saw promoting the financial health of

1225
01:05:01,680 --> 01:05:05,520
Speaker 1: airlines as its charter, so it didn't really protect consumers

1226
01:05:05,640 --> 01:05:09,080
Speaker 1: for fear of harming the airlines financially and that's one

1227
01:05:09,080 --> 01:05:11,240
Speaker 1: of the reasons of Secretary Boota Jedge, though you know,

1228
01:05:11,320 --> 01:05:15,120
Speaker 1: he's not being a particularly assertive you know, no Secretary

1229
01:05:15,120 --> 01:05:18,280
Speaker 1: of Treasury has been particularly assertive against the industry since

1230
01:05:18,360 --> 01:05:22,080
Speaker 1: nineteen seventy eight, because the DOT wants the airlines to

1231
01:05:22,160 --> 01:05:26,080
Speaker 1: be financially healthy, and they feel like if you're too,

1232
01:05:26,120 --> 01:05:29,560
Speaker 1: if you get forced the airlines to treat consumers well,

1233
01:05:29,920 --> 01:05:32,200
Speaker 1: then it will harm their financial health and lead to

1234
01:05:32,280 --> 01:05:36,480
Speaker 1: more bankruptcy. So there's a structural problem there. Okay, so

1235
01:05:37,520 --> 01:05:40,600
Speaker 1: dot didn't really protect consumers. You had this, you know,

1236
01:05:40,760 --> 01:05:43,680
Speaker 1: lots of expansion into trunk routes, killing of smaller routes.

1237
01:05:44,520 --> 01:05:47,840
Speaker 1: Then came waves of bankruptcies because they were did they

1238
01:05:47,840 --> 01:05:51,680
Speaker 1: were charging fares that were that were too low. And

1239
01:05:51,720 --> 01:05:58,360
Speaker 1: then consolidation and that led to price regulation, but this

1240
01:05:58,480 --> 01:06:02,680
Speaker 1: time it was private price regulation through monopoly. So you

1241
01:06:02,720 --> 01:06:06,920
Speaker 1: have an oligopolistic industry. Don't have new entrants, And it's

1242
01:06:06,960 --> 01:06:11,160
Speaker 1: the CEOs of Delta and American Air and United and

1243
01:06:11,240 --> 01:06:14,600
Speaker 1: Southwest that are determining which cities get access to the

1244
01:06:14,640 --> 01:06:18,080
Speaker 1: air grid and which ones don't. And they're also determining

1245
01:06:18,360 --> 01:06:21,840
Speaker 1: the terms and services by which people have to pay.

1246
01:06:22,600 --> 01:06:26,920
Speaker 1: And you know they above them is Wall Street, and

1247
01:06:26,960 --> 01:06:30,000
Speaker 1: Wall Street will punish airlines that don't charge baggage fees

1248
01:06:30,360 --> 01:06:33,640
Speaker 1: or that are not engaged in certain forms of withholding

1249
01:06:33,680 --> 01:06:36,840
Speaker 1: capacity from the market. So there is a regulatory scheme.

1250
01:06:37,040 --> 01:06:41,840
Speaker 1: It's just a regulatory scheme that doesn't treat customers particularly well,

1251
01:06:41,880 --> 01:06:44,760
Speaker 1: and that ends up hindering the ability of lots of

1252
01:06:44,760 --> 01:06:46,960
Speaker 1: communities all over the country to get access to the

1253
01:06:47,000 --> 01:06:50,160
Speaker 1: air grid, and this is a foolish way to run

1254
01:06:50,200 --> 01:06:54,040
Speaker 1: a national resource. And fundamentally, that is what airlines are.

1255
01:06:54,080 --> 01:06:56,919
Speaker 1: That is what our airline industry has always been. It's

1256
01:06:56,960 --> 01:07:00,240
Speaker 1: been taxpayer subsidized since the very beginning, whether through mail

1257
01:07:00,320 --> 01:07:03,720
Speaker 1: contracts in the early days, through public money used to

1258
01:07:03,720 --> 01:07:09,320
Speaker 1: build airports, through defense R and D to improve civilian aeronautics,

1259
01:07:09,440 --> 01:07:12,120
Speaker 1: or through direct subsidies after nine to eleven and in

1260
01:07:12,520 --> 01:07:15,560
Speaker 1: twenty twenty during COVID, and it is a good choice

1261
01:07:15,960 --> 01:07:20,320
Speaker 1: to subsidize this industry. We've decided that we want a

1262
01:07:20,440 --> 01:07:24,040
Speaker 1: national air system because being able to fly places is great,

1263
01:07:24,840 --> 01:07:28,000
Speaker 1: and it requires a lot of public infrastructure and rules

1264
01:07:28,280 --> 01:07:30,720
Speaker 1: to make that happen. It's a good thing that we

1265
01:07:30,840 --> 01:07:34,360
Speaker 1: have in air travel system. But these days we do

1266
01:07:34,480 --> 01:07:38,000
Speaker 1: not regulate airlines as the national resource that they are.

1267
01:07:38,400 --> 01:07:41,760
Speaker 1: Unless there's a crisis, you know, then post you know,

1268
01:07:41,800 --> 01:07:44,040
Speaker 1: ex post facto, we'll dump a bunch of money in

1269
01:07:44,120 --> 01:07:47,760
Speaker 1: and put some maybe terms on the airlines which they

1270
01:07:47,760 --> 01:07:51,440
Speaker 1: don't really have to adhere to because then you know,

1271
01:07:51,440 --> 01:07:54,520
Speaker 1: then they're like, oh, we're actually private, we're private companies.

1272
01:07:54,560 --> 01:07:58,960
Speaker 1: We have no public obligations. You know, if it's not

1273
01:07:59,000 --> 01:08:01,680
Speaker 1: a crisis, we sort of let the system flounder. That's

1274
01:08:02,680 --> 01:08:05,760
Speaker 1: that's what we've been doing since nineteen seventy eight. So

1275
01:08:06,160 --> 01:08:08,480
Speaker 1: we can blame airline CEOs if we want, and they

1276
01:08:08,520 --> 01:08:12,560
Speaker 1: deserve a lot of blame. We can blame poor regulators,

1277
01:08:12,600 --> 01:08:17,200
Speaker 1: and that's a fair thing to do. But the reality

1278
01:08:17,600 --> 01:08:20,320
Speaker 1: is that the problem of a dysfunctional airline system is

1279
01:08:20,360 --> 01:08:23,679
Speaker 1: going to continue until we set public rules in place

1280
01:08:23,960 --> 01:08:26,439
Speaker 1: on where airlines need to fly and what they can

1281
01:08:26,520 --> 01:08:28,160
Speaker 1: charge it. It doesn't have to be the same thing

1282
01:08:28,240 --> 01:08:32,800
Speaker 1: as it was in the nineteen seventies, and before we

1283
01:08:32,840 --> 01:08:35,880
Speaker 1: can do it differently. We have lots of new great technology.

1284
01:08:36,479 --> 01:08:43,480
Speaker 1: We can have more competitive dynamics, but ultimately the fundamentals

1285
01:08:43,520 --> 01:08:47,160
Speaker 1: of the system, the physics of flight and the economics

1286
01:08:47,240 --> 01:08:51,759
Speaker 1: of regional inequality that an unregulated or a system regulated

1287
01:08:51,840 --> 01:08:55,920
Speaker 1: by private actors brings to bear. It's going to do

1288
01:08:56,080 --> 01:08:59,479
Speaker 1: bad things until we solve the collective action problem through

1289
01:08:59,479 --> 01:09:02,920
Speaker 1: our government. Now you may not trust the government. I

1290
01:09:02,920 --> 01:09:07,080
Speaker 1: don't trust the government, and this is for good reason.

1291
01:09:07,120 --> 01:09:09,720
Speaker 1: But the problem is we don't really have an alternative

1292
01:09:09,880 --> 01:09:14,599
Speaker 1: because either we govern through our public institutions or airline

1293
01:09:14,640 --> 01:09:17,240
Speaker 1: CEOs and Wall Street will keep doing so, and they

1294
01:09:17,280 --> 01:09:20,000
Speaker 1: won't do a particularly good job of it. There are

1295
01:09:20,040 --> 01:09:22,639
Speaker 1: lots of people whose flights have been canceled that can

1296
01:09:22,800 --> 01:09:25,880
Speaker 1: attest to that. Thanks for watching this Big breakdown on

1297
01:09:25,920 --> 01:09:28,120
Speaker 1: the Breaking Points channel. If you'd like to know more

1298
01:09:28,160 --> 01:09:30,720
Speaker 1: about big business and how our economy really works, you'd

1299
01:09:30,760 --> 01:09:33,320
Speaker 1: sign up below for my market power focused newsletter Big

1300
01:09:33,720 --> 01:09:36,559
Speaker 1: In the description, also, why don't you put in the

1301
01:09:36,600 --> 01:09:39,080
Speaker 1: comments you know your experiences with flying this summer. I

1302
01:09:39,120 --> 01:09:42,200
Speaker 1: read the comments and I love hearing your feedback, good

1303
01:09:42,240 --> 01:09:45,280
Speaker 1: or bad, So go ahead and do that. And yeah,

1304
01:09:46,240 --> 01:09:48,640
Speaker 1: it's been really fun to talk to you guys and

1305
01:09:48,760 --> 01:09:51,720
Speaker 1: learn with you. But if you want to know more,

1306
01:09:51,800 --> 01:09:53,759
Speaker 1: sign up for my newsletter. It's also in the description,

1307
01:09:54,040 --> 01:09:59,080
Speaker 1: and have a good one. Hey there, my name is

1308
01:09:59,120 --> 01:10:01,120
Speaker 1: James Lee. Welcome to an another segment of fifty one

1309
01:10:01,240 --> 01:10:04,240
Speaker 1: forty nine on Breaking Points. Today, I want to talk

1310
01:10:04,320 --> 01:10:08,559
Speaker 1: about the airline industry, specifically some of the less talked

1311
01:10:08,600 --> 01:10:12,160
Speaker 1: about causes of the chaos that is air travel right now,

1312
01:10:12,640 --> 01:10:15,439
Speaker 1: if you've traveled in the past three to six months,

1313
01:10:15,479 --> 01:10:18,000
Speaker 1: you'll know exactly what I'm referring to, or if you haven't,

1314
01:10:18,720 --> 01:10:21,960
Speaker 1: you'll have most likely heard of horror stories from friends

1315
01:10:22,000 --> 01:10:26,800
Speaker 1: and family, or seen something in the news. Fasten your seatbelts,

1316
01:10:26,920 --> 01:10:32,880
Speaker 1: there's traveled turbulence ahead. Another day, another slew of flight cancelations.

1317
01:10:32,960 --> 01:10:35,519
Speaker 1: A lot of people will have to decide drive will fly.

1318
01:10:35,880 --> 01:10:38,360
Speaker 1: I mean, who doesn't know someone who's flight wasn't canceled.

1319
01:10:38,840 --> 01:10:42,280
Speaker 1: Since Memorial Day in the US alone, over two hundred

1320
01:10:42,360 --> 01:10:46,880
Speaker 1: thousand flights have been delayed twenty four thousand canceled, impacting

1321
01:10:47,000 --> 01:10:52,280
Speaker 1: nearly two point four million passengers, roughly the population of Houston.

1322
01:10:52,960 --> 01:10:56,519
Speaker 1: That's up from pre pandemic levels. While the airlines are

1323
01:10:56,520 --> 01:11:00,919
Speaker 1: flying up to twenty five percent less than twenty nineteen

1324
01:11:01,439 --> 01:11:05,760
Speaker 1: and charging forty five percent more for airfare. For sure,

1325
01:11:05,840 --> 01:11:09,760
Speaker 1: those are some alarming statistics for an ailing industry. Right,

1326
01:11:09,840 --> 01:11:12,719
Speaker 1: flights are now more expensive than they were in the past,

1327
01:11:13,000 --> 01:11:16,400
Speaker 1: but the service has been more unreliable than ever, leaving

1328
01:11:16,479 --> 01:11:22,400
Speaker 1: passengers frustrated inconvenience and sometimes stranded without much recourse. What

1329
01:11:22,560 --> 01:11:26,240
Speaker 1: started as a summer of so called revenge travel after

1330
01:11:26,320 --> 01:11:30,280
Speaker 1: two years of the pandemic has turned in to travel Hell.

1331
01:11:30,760 --> 01:11:34,200
Speaker 1: I'm extremely frustrated and disappointed. They got a few people

1332
01:11:34,240 --> 01:11:36,599
Speaker 1: on board and then all of a sudden cancel the fly.

1333
01:11:36,880 --> 01:11:39,320
Speaker 1: I can't even get home. No, I don't know how

1334
01:11:39,320 --> 01:11:42,840
Speaker 1: I'm going to get home. Airline analyst Henry Harteveldt found

1335
01:11:42,960 --> 01:11:46,960
Speaker 1: seventy four percent who flew or planned to fly said

1336
01:11:47,000 --> 01:11:52,120
Speaker 1: they regret their decision. If something goes wrong, stay call.

1337
01:11:52,160 --> 01:11:56,080
Speaker 1: But unfortunately, what you need to presume with your summer

1338
01:11:56,120 --> 01:11:59,639
Speaker 1: trip is something will go wrong, and if it doesn't,

1339
01:11:59,800 --> 01:12:03,280
Speaker 1: be grateful and maybe buy a lottery ticket. Be grateful

1340
01:12:03,320 --> 01:12:06,559
Speaker 1: and buy a lottery ticket. That's what air travel has become.

1341
01:12:06,640 --> 01:12:10,000
Speaker 1: It's already lost all the glitz and glamour and now

1342
01:12:10,760 --> 01:12:13,920
Speaker 1: just arriving at your destination on time as akin to

1343
01:12:14,120 --> 01:12:17,640
Speaker 1: winning the lottery, which is fine. But the thing is

1344
01:12:17,800 --> 01:12:22,040
Speaker 1: it's not necessarily the expectation of the general public nor

1345
01:12:22,200 --> 01:12:27,000
Speaker 1: our government. Here is Transportation Secretary Pete Bootage on his

1346
01:12:27,120 --> 01:12:31,040
Speaker 1: expectation of the airline industry. Mister Secretary, when is this

1347
01:12:31,120 --> 01:12:33,839
Speaker 1: going to get better? When can people make an airline

1348
01:12:33,880 --> 01:12:36,880
Speaker 1: reservation and have a pretty good feeling about actually being

1349
01:12:36,920 --> 01:12:38,880
Speaker 1: on that flight? Well, I expect the airlines to be

1350
01:12:38,920 --> 01:12:41,640
Speaker 1: working right now to address these issues. Look, some of

1351
01:12:41,640 --> 01:12:44,200
Speaker 1: these things we know were long term. The pipeline of

1352
01:12:44,360 --> 01:12:48,200
Speaker 1: talent development for pilots, but a realistic schedule and good

1353
01:12:48,280 --> 01:12:51,280
Speaker 1: customer service. That's something that should be delivered right away.

1354
01:12:51,360 --> 01:12:53,800
Speaker 1: And it's a responsibility that the airlines have. A lot

1355
01:12:53,840 --> 01:12:58,200
Speaker 1: of people, including me, are expecting to get to loved

1356
01:12:58,240 --> 01:13:01,679
Speaker 1: ones over this holiday week, and we need a system

1357
01:13:01,680 --> 01:13:04,479
Speaker 1: that is resilient enough to get them there, plus good

1358
01:13:04,479 --> 01:13:07,320
Speaker 1: customer service when an issue does come up. And we're

1359
01:13:07,360 --> 01:13:11,640
Speaker 1: talking to the airlines every day about their responsibility to

1360
01:13:11,680 --> 01:13:15,240
Speaker 1: make sure that they can accommodate any issues that weather

1361
01:13:15,680 --> 01:13:18,360
Speaker 1: or other curveballs might throw at them. What he's describing

1362
01:13:18,360 --> 01:13:22,040
Speaker 1: as an airline industry that resembles a public utility, for example,

1363
01:13:22,160 --> 01:13:26,840
Speaker 1: fire departments, law enforcement, roads, city drainage systems, and other

1364
01:13:26,960 --> 01:13:32,880
Speaker 1: public infrastructure. Basically baseline commodities or services that are provided

1365
01:13:32,920 --> 01:13:37,519
Speaker 1: to the public without necessarily a consideration of profit. Now

1366
01:13:37,520 --> 01:13:39,280
Speaker 1: we know that not to be the case with airlines,

1367
01:13:39,439 --> 01:13:43,360
Speaker 1: and news coverage of the recent airline industry woes have

1368
01:13:43,479 --> 01:13:46,360
Speaker 1: focused a lot on things like pilot shortages, lack of

1369
01:13:46,360 --> 01:13:51,360
Speaker 1: available crew members, increased demand for air travel, scheduling, mishaps, weather,

1370
01:13:51,400 --> 01:13:54,439
Speaker 1: and of course placing blame on the Buddhage Edge and

1371
01:13:54,560 --> 01:13:59,519
Speaker 1: Biden administration. But I think those are actually just symptoms

1372
01:13:59,560 --> 01:14:02,800
Speaker 1: of a much larger disease, and the coverage fails to

1373
01:14:02,840 --> 01:14:05,400
Speaker 1: address what I think is the fundamental gap between what

1374
01:14:05,439 --> 01:14:09,000
Speaker 1: we expect airlines to do versus what they are actually

1375
01:14:09,160 --> 01:14:12,400
Speaker 1: optimized to do. Let me explain. We know that all

1376
01:14:12,400 --> 01:14:15,800
Speaker 1: major US airlines are publicly traded companies. The executives care

1377
01:14:15,880 --> 01:14:19,240
Speaker 1: a lot about their stock price, what Wall Street analysts

1378
01:14:19,240 --> 01:14:21,840
Speaker 1: think their stock price should be, their earnings, et cetera.

1379
01:14:22,439 --> 01:14:25,680
Speaker 1: And doing things like stock buybacks, cost cutting, implementing all

1380
01:14:25,760 --> 01:14:29,639
Speaker 1: kinds of ancillary fees to optimize revenue with the hope

1381
01:14:29,640 --> 01:14:33,240
Speaker 1: of getting that analyst consensus to recommend a by rating

1382
01:14:33,360 --> 01:14:36,400
Speaker 1: so they can increase shareholder returns. So much so that

1383
01:14:36,560 --> 01:14:39,800
Speaker 1: modern US airlines have been financially engineered to the point

1384
01:14:39,800 --> 01:14:43,719
Speaker 1: where they no longer function primarily as a transportation company,

1385
01:14:43,960 --> 01:14:48,880
Speaker 1: but rather a financial institution. Much ask for a minute

1386
01:14:48,920 --> 01:14:51,160
Speaker 1: of your time to tell you about a special promotion

1387
01:14:51,439 --> 01:14:55,360
Speaker 1: being offered in this like American Airlines at USA Race

1388
01:14:55,760 --> 01:14:59,400
Speaker 1: have merged for the world's largeist airline with the world

1389
01:14:59,479 --> 01:15:04,040
Speaker 1: Largeist the Fire Program. The Senate time offer is for

1390
01:15:04,320 --> 01:15:07,320
Speaker 1: fifty thousand bonus miles with a new advantage eighty eight

1391
01:15:07,320 --> 01:15:10,240
Speaker 1: to rith MasterCard. How many of you have heard that

1392
01:15:10,280 --> 01:15:12,880
Speaker 1: pitch on a recent flight, Sign up for our credit

1393
01:15:12,920 --> 01:15:17,000
Speaker 1: card and get fifty sixty thousand bonus miles. Don't miss out.

1394
01:15:17,320 --> 01:15:20,120
Speaker 1: Blah blah blah. I mean, you're crammed into a metal tube.

1395
01:15:20,120 --> 01:15:23,479
Speaker 1: Nowhere to run, nowhere to hide. Nearly every single flight

1396
01:15:24,120 --> 01:15:27,000
Speaker 1: and airline from American and United all the way to

1397
01:15:27,200 --> 01:15:30,599
Speaker 1: Spirit and Allegiant, they're just they're shoving credit card offers

1398
01:15:30,920 --> 01:15:34,720
Speaker 1: down your throat. But the question is why. Well, it

1399
01:15:34,760 --> 01:15:38,400
Speaker 1: all started with the advent of the frequent flyer program. Well,

1400
01:15:38,400 --> 01:15:41,639
Speaker 1: airlines had already started tracking the activity of individual flyers.

1401
01:15:41,960 --> 01:15:45,600
Speaker 1: Formal frequent flyer programs became technically and legally possible with

1402
01:15:45,680 --> 01:15:49,240
Speaker 1: the deregulation of the American airline industry in nineteen seventy eight.

1403
01:15:49,640 --> 01:15:51,919
Speaker 1: The first program was set up by a small airline

1404
01:15:51,960 --> 01:15:55,320
Speaker 1: called Texas International, which later merged with Continental, but the

1405
01:15:55,320 --> 01:15:58,480
Speaker 1: first major long haul airline to do so with American airlines.

1406
01:15:58,479 --> 01:16:02,840
Speaker 1: In nineteen eighty one, American partnered with Hertz and Holland

1407
01:16:02,880 --> 01:16:05,639
Speaker 1: America to allow its members to earn points when renting

1408
01:16:05,720 --> 01:16:08,400
Speaker 1: cars are booking cruises. But the concept of earning points

1409
01:16:08,400 --> 01:16:12,240
Speaker 1: with partners was not what was revolutionary about this. Rather,

1410
01:16:12,600 --> 01:16:15,879
Speaker 1: it was the behind the scenes mechanics that made that possible.

1411
01:16:16,080 --> 01:16:19,839
Speaker 1: That's right. There's nothing really inherently sinister about an airline

1412
01:16:19,880 --> 01:16:23,599
Speaker 1: loyalty or frequent flyer program. It helps build customer loyalty

1413
01:16:23,680 --> 01:16:27,320
Speaker 1: in a more or less commoditized industry. But what started

1414
01:16:27,320 --> 01:16:30,480
Speaker 1: out as something pretty innocent, which is just rewarding customers

1415
01:16:30,800 --> 01:16:33,880
Speaker 1: with free flights for flying with them more frequently, has

1416
01:16:34,000 --> 01:16:38,520
Speaker 1: now turned into a financial juggernaut bigger than the airline itself,

1417
01:16:39,040 --> 01:16:43,160
Speaker 1: which is the establishment of miles or loyalty points as

1418
01:16:43,160 --> 01:16:46,519
Speaker 1: an actual form of currency that can be exchanged by

1419
01:16:46,600 --> 01:16:50,479
Speaker 1: multiple parties. Here's how it works. Let's sake United Airlines

1420
01:16:50,479 --> 01:16:53,559
Speaker 1: and their Mileage Plus program as an example. This visual,

1421
01:16:53,640 --> 01:16:56,280
Speaker 1: which shows how the cash flows in and out of

1422
01:16:56,400 --> 01:16:59,800
Speaker 1: the airline, the frequent flyer program, and its third party

1423
01:16:59,800 --> 01:17:03,479
Speaker 1: par partners, is taken directly from their investors' presentation. So

1424
01:17:03,680 --> 01:17:07,200
Speaker 1: you have United on top, the carrier operating the flights,

1425
01:17:07,439 --> 01:17:11,280
Speaker 1: but below is an entity known as Mileage Plus that

1426
01:17:11,360 --> 01:17:14,120
Speaker 1: more or less acts as a bank managing the currency

1427
01:17:14,120 --> 01:17:17,880
Speaker 1: of United's frequent flyer program. When you fly United, you

1428
01:17:17,920 --> 01:17:20,559
Speaker 1: are awarded miles based on your ticket, the price, the

1429
01:17:20,560 --> 01:17:24,479
Speaker 1: fair class, etc. And the way United actually comes up

1430
01:17:24,520 --> 01:17:27,200
Speaker 1: with the miles to give you is by purchasing them

1431
01:17:27,280 --> 01:17:30,120
Speaker 1: from Mileage Plus, once again the entity that kind of

1432
01:17:30,160 --> 01:17:33,040
Speaker 1: acts as a central bank for these quote unquote miles.

1433
01:17:33,400 --> 01:17:36,160
Speaker 1: When you have accrude enough miles to redeem for a

1434
01:17:36,200 --> 01:17:38,880
Speaker 1: free flight, you go to your Mileage Plus account and

1435
01:17:39,360 --> 01:17:41,240
Speaker 1: say I would like to take this flight which costs

1436
01:17:41,240 --> 01:17:44,519
Speaker 1: me twenty thousand miles for example, and Mileage Plus will

1437
01:17:44,560 --> 01:17:47,920
Speaker 1: then coordinate with United the carrier, to redeem those miles

1438
01:17:47,920 --> 01:17:50,600
Speaker 1: in exchange for a seat on the flight. That's the

1439
01:17:50,600 --> 01:17:53,360
Speaker 1: most basic example of how a frequent flyer program works,

1440
01:17:53,800 --> 01:17:56,839
Speaker 1: and it's not really all that critical since this purchasing

1441
01:17:56,840 --> 01:18:00,280
Speaker 1: and redemption of miles is between United and Mileage Plus,

1442
01:18:00,320 --> 01:18:03,439
Speaker 1: so it's all internal. Where this starts to get lucrative

1443
01:18:03,479 --> 01:18:06,679
Speaker 1: for the airlines is when third parties are involved. Going

1444
01:18:06,720 --> 01:18:08,800
Speaker 1: back to the credit card offers we talked about before

1445
01:18:08,840 --> 01:18:11,720
Speaker 1: with the big bonuses for signing up. If you sign

1446
01:18:11,840 --> 01:18:13,920
Speaker 1: up for one of these cards, in order for the

1447
01:18:13,960 --> 01:18:17,200
Speaker 1: credit card companies to award you the miles, they actually

1448
01:18:17,240 --> 01:18:21,080
Speaker 1: have to first purchase those miles from United Mileage Plus,

1449
01:18:21,600 --> 01:18:23,840
Speaker 1: and this next slide we can see an example of

1450
01:18:24,000 --> 01:18:26,960
Speaker 1: just how profitable selling miles to third parties can be.

1451
01:18:27,439 --> 01:18:30,240
Speaker 1: In the first example, a customer generates fifteen thousand miles

1452
01:18:30,240 --> 01:18:33,120
Speaker 1: from spending with a third party partner. Once again, the

1453
01:18:33,160 --> 01:18:36,439
Speaker 1: third party has to buy these miles first from mileage

1454
01:18:36,479 --> 01:18:39,280
Speaker 1: Plus to then give to you, in this case at

1455
01:18:39,280 --> 01:18:41,880
Speaker 1: the cost of two cents per mile, which generates three

1456
01:18:41,960 --> 01:18:45,240
Speaker 1: hundred dollars in revenue for Mileage Plus. Then when the

1457
01:18:45,320 --> 01:18:50,240
Speaker 1: customer redeems these fifteen thousand miles, mileage Plus pays United

1458
01:18:50,360 --> 01:18:52,840
Speaker 1: one hundred and fifty dollars and keeps the other one

1459
01:18:52,880 --> 01:18:56,400
Speaker 1: hundred fifty dollars as profit. Now United doesn't state that

1460
01:18:56,439 --> 01:18:58,639
Speaker 1: the sales rate is two cents per mile for all

1461
01:18:58,680 --> 01:19:02,719
Speaker 1: third party mileage sales, but according to reporting from Forbes,

1462
01:19:02,760 --> 01:19:05,880
Speaker 1: it's likely that the average sales rate is in this range,

1463
01:19:05,920 --> 01:19:08,559
Speaker 1: and you could see in the footnote the Mileage Plus

1464
01:19:08,600 --> 01:19:11,120
Speaker 1: program pays United a fixed rate of one cent per

1465
01:19:11,160 --> 01:19:15,800
Speaker 1: mile for redemptions, so United generally collects two cents of

1466
01:19:15,880 --> 01:19:19,120
Speaker 1: revenue per mile from those third party credit card providers

1467
01:19:19,120 --> 01:19:21,120
Speaker 1: and things like that that we just talked about. But

1468
01:19:21,200 --> 01:19:23,519
Speaker 1: then just pays the one cent per mile for a

1469
01:19:23,560 --> 01:19:27,639
Speaker 1: fifty percent profit. That's quite a lucrative business. So United

1470
01:19:27,640 --> 01:19:30,040
Speaker 1: in Mileage Plus, along with all the other airlines and

1471
01:19:30,080 --> 01:19:34,120
Speaker 1: their loyalty programs, are acting basically like central banks who

1472
01:19:34,280 --> 01:19:38,240
Speaker 1: mint and manage a tradable virtual currency aka these miles

1473
01:19:38,520 --> 01:19:41,880
Speaker 1: that have real cash value. And they can actually manipulate

1474
01:19:41,920 --> 01:19:45,120
Speaker 1: the real value of this currency because they control the

1475
01:19:45,160 --> 01:19:48,760
Speaker 1: supply basically how many miles or points are in circulation

1476
01:19:48,800 --> 01:19:52,919
Speaker 1: at any given time, and also the demand what goods

1477
01:19:52,920 --> 01:19:56,080
Speaker 1: and services they can be spent on. Now, Historically, airlines

1478
01:19:56,080 --> 01:19:58,839
Speaker 1: have been pretty secretive about how much their loyalty programs

1479
01:19:58,840 --> 01:20:02,120
Speaker 1: are worth and how much revenue they generate. That is

1480
01:20:02,240 --> 01:20:05,479
Speaker 1: until the coronavirus pandemic hit and they needed to apply

1481
01:20:05,600 --> 01:20:08,400
Speaker 1: for loans through the Cares Act, upon which many airlines

1482
01:20:08,439 --> 01:20:12,080
Speaker 1: offered up their loyalty programs as collateral. Taking a look

1483
01:20:12,120 --> 01:20:14,720
Speaker 1: at this chart compiled by the Wall Street Journal, for

1484
01:20:14,880 --> 01:20:18,719
Speaker 1: some of America's largest airlines, their loyalty programs are worth

1485
01:20:18,880 --> 01:20:22,439
Speaker 1: more than the airline itself. For example, the estimated fare

1486
01:20:22,520 --> 01:20:26,840
Speaker 1: equity value of American Airlines's advantage program is more than

1487
01:20:26,920 --> 01:20:30,439
Speaker 1: thirty billion dollars, but the market cap of American Airlines

1488
01:20:30,439 --> 01:20:32,719
Speaker 1: as a whole is only about eight to nine billion dollars,

1489
01:20:32,800 --> 01:20:36,639
Speaker 1: which means that the core airline theoretically is worth something

1490
01:20:36,800 --> 01:20:40,920
Speaker 1: like negative twenty billion dollars. Similarly, Delta's equity value is

1491
01:20:40,920 --> 01:20:44,599
Speaker 1: worth roughly equivalent to its Skymiles program, meaning that its

1492
01:20:44,640 --> 01:20:48,839
Speaker 1: airline business isn't worth much of anything, and United, similar

1493
01:20:48,880 --> 01:20:52,920
Speaker 1: to American, has an airline business with a negative valuation

1494
01:20:53,080 --> 01:20:56,880
Speaker 1: as well. You can see how for airlines, operating flights

1495
01:20:56,920 --> 01:21:01,200
Speaker 1: is quickly becoming secondary to their banking business. It's almost

1496
01:21:01,280 --> 01:21:04,479
Speaker 1: like the airline exists to service their loyalty program and

1497
01:21:04,520 --> 01:21:07,559
Speaker 1: not the other way around. And I just want to say,

1498
01:21:07,560 --> 01:21:10,040
Speaker 1: for the business people out there who are watching this,

1499
01:21:10,120 --> 01:21:13,519
Speaker 1: I just need a caveat by saying that there is

1500
01:21:13,520 --> 01:21:16,040
Speaker 1: an argument to be made that the market cap as

1501
01:21:16,040 --> 01:21:19,879
Speaker 1: a metric is flawed or even meaningless, But in this instance,

1502
01:21:20,120 --> 01:21:23,679
Speaker 1: I think it shows us directionally the relative value of

1503
01:21:23,840 --> 01:21:28,000
Speaker 1: their business units. To that point, let's examine some raw numbers.

1504
01:21:28,040 --> 01:21:31,880
Speaker 1: This is an analysis from Forbes magazine. American Airlines own

1505
01:21:32,000 --> 01:21:34,960
Speaker 1: filing showed that the airlines have been losing money from

1506
01:21:35,000 --> 01:21:39,160
Speaker 1: its passenger operations even before the coronavirus pandemic. In the

1507
01:21:39,200 --> 01:21:41,800
Speaker 1: table on your screen, you'll notice that in every quarter

1508
01:21:41,840 --> 01:21:44,800
Speaker 1: other than Q two twenty nineteen, the first row of

1509
01:21:44,840 --> 01:21:48,519
Speaker 1: the table, passenger revenue per available seat mile is lower

1510
01:21:48,520 --> 01:21:51,880
Speaker 1: than the second row operating costs per available seat mile,

1511
01:21:52,200 --> 01:21:56,400
Speaker 1: meaning that on average, the airline is losing money flying airplanes. However,

1512
01:21:56,439 --> 01:21:59,559
Speaker 1: this next table shows that by generating billions of dollars

1513
01:21:59,600 --> 01:22:02,759
Speaker 1: in oil revenue, American Airlines has been able to report

1514
01:22:02,840 --> 01:22:06,120
Speaker 1: billions per year in profit. You'll notice in this table

1515
01:22:06,120 --> 01:22:08,840
Speaker 1: that the loyalty revenue is greater than the total income,

1516
01:22:08,880 --> 01:22:12,120
Speaker 1: which means that they are losing money in their airline operations,

1517
01:22:12,120 --> 01:22:15,360
Speaker 1: but making up for that with what I call their

1518
01:22:15,400 --> 01:22:18,920
Speaker 1: banking business of selling and redeeming miles. So what's the

1519
01:22:18,920 --> 01:22:23,120
Speaker 1: big takeaway here? Airlines are banks, so what Well, it

1520
01:22:23,160 --> 01:22:27,200
Speaker 1: all comes down to incentives. If operating flights are quickly

1521
01:22:27,240 --> 01:22:30,800
Speaker 1: becoming a secondary source of revenue for many major airlines,

1522
01:22:31,040 --> 01:22:34,439
Speaker 1: if it's the loyalty program itself that's bringing in all

1523
01:22:34,439 --> 01:22:37,200
Speaker 1: the money and not the actual business of flying airplanes,

1524
01:22:37,760 --> 01:22:42,680
Speaker 1: then what incentivizes an airline to improve their operations? What

1525
01:22:42,840 --> 01:22:47,200
Speaker 1: incentivizes them to be resilient or accommodating or provide good

1526
01:22:47,280 --> 01:22:52,080
Speaker 1: customer service. The answer is, unfortunately, in a monopolistic commodity

1527
01:22:52,120 --> 01:22:57,240
Speaker 1: industry like the airline business, there aren't really any incentives.

1528
01:22:57,400 --> 01:23:00,400
Speaker 1: I mean, as long as planes aren't regularly falling out

1529
01:23:00,400 --> 01:23:03,160
Speaker 1: of the sky. The airline business as a whole actually

1530
01:23:03,160 --> 01:23:05,960
Speaker 1: has a lot of leeway and needs to be just

1531
01:23:06,400 --> 01:23:09,280
Speaker 1: good enough for their miles to be valuable enough to

1532
01:23:09,320 --> 01:23:12,200
Speaker 1: sell to credit card companies and other third party partners.

1533
01:23:12,240 --> 01:23:16,000
Speaker 1: So yeah, a few delays and cancelations this summer won't

1534
01:23:16,040 --> 01:23:19,599
Speaker 1: really hurt them in the long run, because operating flights

1535
01:23:19,840 --> 01:23:23,360
Speaker 1: isn't how they actually make their money. In order to

1536
01:23:23,520 --> 01:23:28,080
Speaker 1: radically improve the situation permanently, if we expect airlines to

1537
01:23:28,160 --> 01:23:31,600
Speaker 1: behave as a public utility, to be a former transportation

1538
01:23:31,680 --> 01:23:33,760
Speaker 1: that gets us safely from point A to point B

1539
01:23:33,920 --> 01:23:38,640
Speaker 1: on a reasonably reliable schedule, then they must be regulated

1540
01:23:38,680 --> 01:23:42,320
Speaker 1: as such. We need rules like how many pilots need

1541
01:23:42,360 --> 01:23:45,000
Speaker 1: to be staffed per number of scheduled flights, more adequate

1542
01:23:45,479 --> 01:23:50,400
Speaker 1: passenger compensation rights if something goes wrong, more stringent maintenance

1543
01:23:50,439 --> 01:23:54,040
Speaker 1: and safety regulations, etc. Etc. What I'm saying is we

1544
01:23:54,120 --> 01:23:57,840
Speaker 1: can't expect airlines to be publicly traded, profit driven and

1545
01:23:57,920 --> 01:24:03,240
Speaker 1: shareholder beholden corporations and prioritize anything else other than making

1546
01:24:03,280 --> 01:24:06,599
Speaker 1: as much money as possible. Thank you so much for listening.

1547
01:24:06,640 --> 01:24:09,759
Speaker 1: I hope you enjoyed today's discussion about the airline industry

1548
01:24:09,760 --> 01:24:12,600
Speaker 1: and found it helpful. If you liked this video and

1549
01:24:12,600 --> 01:24:15,800
Speaker 1: found it interesting and want more videos like this, please

1550
01:24:15,880 --> 01:24:17,800
Speaker 1: check out my channel fifty one to forty nine with

1551
01:24:17,880 --> 01:24:20,479
Speaker 1: James Lee, where I released weekly videos relating to the

1552
01:24:20,560 --> 01:24:23,920
Speaker 1: intersection of business, politics, and society. The link will be

1553
01:24:23,960 --> 01:24:27,479
Speaker 1: in the description below. Of course, subscribe to Breaking Points

1554
01:24:27,560 --> 01:24:30,040
Speaker 1: and thank you so much for your time today.