1 00:00:02,480 --> 00:00:06,760 Speaker 1: Live from our nation's capital. This is Bloomberg Sound on 2 00:00:07,880 --> 00:00:10,959 Speaker 1: the fundamentals are there for inflation? I think for a 3 00:00:11,119 --> 00:00:15,040 Speaker 1: why we don't necessarily need free money and zero interest 4 00:00:15,120 --> 00:00:17,720 Speaker 1: rates forever. Washington at this point doesn't want to add 5 00:00:17,760 --> 00:00:22,880 Speaker 1: regulation to bitcoin. Bloomberg Sound on the insiders, the influencers, 6 00:00:22,960 --> 00:00:26,200 Speaker 1: the inside. Let's look at the student loan debt, which 7 00:00:26,280 --> 00:00:29,680 Speaker 1: is absolutely staggering. In my view, you can't spend enough 8 00:00:29,800 --> 00:00:34,040 Speaker 1: on infrastructure given the size of fiscal stimulus we've already seen. 9 00:00:34,280 --> 00:00:36,440 Speaker 1: This seems like a drop in the buck. X Schloomberg 10 00:00:36,560 --> 00:00:42,199 Speaker 1: Sound on with Joe Matthew on Bloomberg Radio. Thanks for 11 00:00:42,280 --> 00:00:45,960 Speaker 1: joining us this Wednesday. It made it through the second quarter, 12 00:00:47,200 --> 00:00:50,920 Speaker 1: which was the worst on record for bitcoin, add down 13 00:00:51,000 --> 00:00:54,800 Speaker 1: some from its peak in April, and Washington is still 14 00:00:54,840 --> 00:00:57,440 Speaker 1: trying to figure this out. With a crypto hearing today 15 00:00:57,480 --> 00:01:01,520 Speaker 1: in the U. S House titled America on Fire? Will 16 00:01:01,640 --> 00:01:07,000 Speaker 1: the crypto frenzy lead to financial independence and early retirement 17 00:01:07,720 --> 00:01:11,280 Speaker 1: or financial ruin? Talk about the way forward for crypto, 18 00:01:11,319 --> 00:01:13,759 Speaker 1: whether the government is about to get involved with tech. 19 00:01:13,840 --> 00:01:18,360 Speaker 1: Futurist Kathy Hacklehof founded the Futures Intelligence Group. Later the 20 00:01:18,400 --> 00:01:22,200 Speaker 1: weight of inflation on the job market with surging prices 21 00:01:22,280 --> 00:01:25,640 Speaker 1: eating into wage games, and a smart piece today from 22 00:01:25,640 --> 00:01:29,319 Speaker 1: Bloomberg's Kazya Dmitrieva, who will talk to you about it 23 00:01:29,360 --> 00:01:33,080 Speaker 1: straight ahead. Crypto goes to Washington and no one seems 24 00:01:33,080 --> 00:01:36,280 Speaker 1: to agree on what to do with it. Hearing today 25 00:01:36,480 --> 00:01:41,399 Speaker 1: by the House Subcommittee on Oversight and Investigations with a 26 00:01:41,480 --> 00:01:46,000 Speaker 1: menacing sounding title America on fire. It's not as dramatic 27 00:01:46,040 --> 00:01:49,480 Speaker 1: as it sounds. Fire in this case, they say stands 28 00:01:49,520 --> 00:01:52,560 Speaker 1: for financial independence, rich, higher early. It sounds happy when 29 00:01:52,560 --> 00:01:56,320 Speaker 1: you say it. Congressman Al Green of California chairs the subcommittee. 30 00:01:56,360 --> 00:01:59,680 Speaker 1: He opened with some big questions today. Should there be 31 00:02:00,080 --> 00:02:04,960 Speaker 1: rader federal oversight and rating agencies to evaluate the risk 32 00:02:05,440 --> 00:02:09,040 Speaker 1: and performance of these digital assets. Congressman Green is a 33 00:02:09,040 --> 00:02:10,960 Speaker 1: bit of a skeptic, pointing later to the OH seven 34 00:02:11,000 --> 00:02:14,280 Speaker 1: financial crash and consumers who could be at risk. The 35 00:02:14,280 --> 00:02:16,839 Speaker 1: committee is ranking member, though Congressman Tom Emmer, a fan 36 00:02:16,880 --> 00:02:21,160 Speaker 1: of crypto, says we must first define the currencies or 37 00:02:21,240 --> 00:02:26,760 Speaker 1: the coins themselves. Questions like what digital assets are a security, 38 00:02:27,160 --> 00:02:32,040 Speaker 1: what digital assets are a commodity, what digital assets are currency? 39 00:02:32,720 --> 00:02:35,960 Speaker 1: Answering these questions will keep innovation. But how do you 40 00:02:36,000 --> 00:02:40,000 Speaker 1: define those when many lawmakers don't fully understand cryptocurrencies or 41 00:02:40,320 --> 00:02:45,880 Speaker 1: blockchain technology to begin with, Well, in Washington, you invite experts. 42 00:02:45,960 --> 00:02:48,400 Speaker 1: Today they called several before the committee, and we've called 43 00:02:48,400 --> 00:02:52,360 Speaker 1: one to tech futurist Kathy Hackle, CEO, founder of the 44 00:02:52,400 --> 00:02:55,600 Speaker 1: Futures Intelligence Group, joins us now on Bloomberg Radio. Welcome, Kathy, 45 00:02:55,680 --> 00:02:58,640 Speaker 1: good to have you, happy to be here. The headline 46 00:02:58,720 --> 00:03:02,200 Speaker 1: question lawmakers and witness as we're trying to answer today 47 00:03:02,400 --> 00:03:06,040 Speaker 1: is will the crypto frenzy lead to financial independence and 48 00:03:06,200 --> 00:03:11,240 Speaker 1: early retirement or financial ruin? Is there an actual answer? 49 00:03:12,120 --> 00:03:14,560 Speaker 1: And I wonder why would it be different for crypto 50 00:03:14,600 --> 00:03:18,440 Speaker 1: than any other investment. That's a great question, I think. 51 00:03:18,600 --> 00:03:20,760 Speaker 1: I think it's too early to tell. But if you 52 00:03:20,880 --> 00:03:24,080 Speaker 1: look at the younger generations like millennials and Gen z 53 00:03:24,200 --> 00:03:26,720 Speaker 1: and where they're starting to put their money, they're really 54 00:03:26,760 --> 00:03:31,280 Speaker 1: thinking about cryptocurrency as an investment and for the retirement portfolio. Right. 55 00:03:31,280 --> 00:03:33,280 Speaker 1: I think there was a statistic that said that half 56 00:03:33,280 --> 00:03:38,160 Speaker 1: of millennial millionaires have of their wealth in cryptocurrency. Uh, 57 00:03:38,200 --> 00:03:39,800 Speaker 1: And you know, I think half a third of them. 58 00:03:39,960 --> 00:03:42,320 Speaker 1: Third of them owned n FPS, So I think that 59 00:03:42,400 --> 00:03:44,600 Speaker 1: it's you know, if you look at the younger generation 60 00:03:44,720 --> 00:03:47,960 Speaker 1: kind of there, you know, their their use of digital currencies, 61 00:03:48,120 --> 00:03:51,160 Speaker 1: whether it is in game or digital currencies on the blockchain, 62 00:03:51,440 --> 00:03:53,760 Speaker 1: it's something that's accelerating that I don't think it's slowing 63 00:03:53,760 --> 00:03:56,440 Speaker 1: down necessarily. So, you know, does it lead to early 64 00:03:56,520 --> 00:03:59,400 Speaker 1: retirement to ruin? I think it's early to say, um, 65 00:03:59,600 --> 00:04:02,440 Speaker 1: you know, I think the advice for everyone is everyone 66 00:04:02,480 --> 00:04:04,520 Speaker 1: tells you any X people will tell you is you know, 67 00:04:04,640 --> 00:04:06,560 Speaker 1: don't don't put anything in it that you don't. You 68 00:04:06,600 --> 00:04:08,720 Speaker 1: know that you're not you know that you that you 69 00:04:08,720 --> 00:04:11,240 Speaker 1: will be scared to lose. That's what young people say 70 00:04:11,240 --> 00:04:13,760 Speaker 1: about banks, though, Cathy, that's kind of the point, right, 71 00:04:14,000 --> 00:04:16,480 Speaker 1: young people grew up, We'll say young people millennials grew 72 00:04:16,520 --> 00:04:19,840 Speaker 1: up gen Z grew up with banks as bad guys 73 00:04:20,560 --> 00:04:23,640 Speaker 1: and saw their parents lose money in two thousand seven. 74 00:04:23,680 --> 00:04:27,720 Speaker 1: They remember the housing downturn, they remember the collateral damage, 75 00:04:27,760 --> 00:04:30,799 Speaker 1: and isn't that how we got here? In part? Yeah, 76 00:04:31,040 --> 00:04:33,400 Speaker 1: it means I think the younger generations see, you know, 77 00:04:33,520 --> 00:04:37,800 Speaker 1: the traditional financial institutions as something that you know that 78 00:04:37,880 --> 00:04:40,280 Speaker 1: their parents do. They you know, they have a certain 79 00:04:40,480 --> 00:04:43,200 Speaker 1: like you said, a certain degree of lack of trust 80 00:04:43,320 --> 00:04:45,960 Speaker 1: in the you know, in the traditional financial markets. So 81 00:04:45,960 --> 00:04:49,159 Speaker 1: they're looking at alternative ways to invest their money. And 82 00:04:49,200 --> 00:04:51,839 Speaker 1: this is definitely no cryptocurrency and n f t s 83 00:04:51,880 --> 00:04:54,080 Speaker 1: and everything you know that comes with it. It is 84 00:04:54,120 --> 00:04:56,280 Speaker 1: definitely one of the avenues they're looking at. A lot 85 00:04:56,279 --> 00:04:58,839 Speaker 1: of talk about volatility. One of the witnesses in the 86 00:04:58,920 --> 00:05:02,920 Speaker 1: hearing today, ever too, from the Congressional Research Service, this 87 00:05:03,000 --> 00:05:08,599 Speaker 1: is not coin based talking, says, yeah, cryptos volatile, So 88 00:05:08,640 --> 00:05:12,760 Speaker 1: what volatility is not unique to the crypto markets. Last April, 89 00:05:12,800 --> 00:05:16,640 Speaker 1: the crude oil market went negative, and in February natural 90 00:05:16,680 --> 00:05:20,320 Speaker 1: gas markets were incredibly volatile due to to winter storm Ury. 91 00:05:20,839 --> 00:05:23,479 Speaker 1: And there are products that are offered on CTC regulated 92 00:05:23,480 --> 00:05:26,920 Speaker 1: exchanges that are available to retail customers that are based 93 00:05:26,960 --> 00:05:31,120 Speaker 1: on market volatility. But Kathy, we also heard from Representative 94 00:05:31,160 --> 00:05:36,400 Speaker 1: Brad Sherman, congressman, Democratic congressman from California. Maybe he sounds 95 00:05:36,400 --> 00:05:38,880 Speaker 1: a little bit more like the millennial's parents. Here. If 96 00:05:38,960 --> 00:05:43,120 Speaker 1: one person makes a million dollars and retires at age 97 00:05:42,360 --> 00:05:47,880 Speaker 1: forty and nine, lose a hundred thousand dollars, uh coin 98 00:05:47,960 --> 00:05:51,839 Speaker 1: base makes money. The one millionaire goes on TV and 99 00:05:51,880 --> 00:05:55,080 Speaker 1: says how wonderful it is, and nine others do not 100 00:05:55,240 --> 00:05:59,120 Speaker 1: retire in dignity, but instead become eligible for medicaid. So, 101 00:05:59,240 --> 00:06:02,120 Speaker 1: Kathy Hackle, I guess the point is here those who 102 00:06:02,160 --> 00:06:05,440 Speaker 1: are skeptical, skeptical about crypto see a lot of the 103 00:06:05,480 --> 00:06:08,440 Speaker 1: same problems here that you know, young people do in banks. 104 00:06:08,480 --> 00:06:11,360 Speaker 1: It's it's not all rosy. There's an anonymous portion of 105 00:06:11,400 --> 00:06:14,320 Speaker 1: this that we heard a lot about terrorists and drug 106 00:06:14,400 --> 00:06:18,320 Speaker 1: dealers using cryptocurrency. I get a sense that this is 107 00:06:18,360 --> 00:06:21,760 Speaker 1: going to be a very long conversation. Does this actually 108 00:06:21,960 --> 00:06:27,039 Speaker 1: end in more regulation? It definitely is a long conversation. 109 00:06:27,200 --> 00:06:29,720 Speaker 1: I think, you know, I believe there will eventually be 110 00:06:29,880 --> 00:06:33,040 Speaker 1: some type of regulation that might be needed for the market. Um. 111 00:06:33,080 --> 00:06:34,520 Speaker 1: I do. Look, you know, I do a lot of 112 00:06:34,560 --> 00:06:38,039 Speaker 1: work around unpungible token and that part of the crypto space, 113 00:06:38,160 --> 00:06:41,080 Speaker 1: which you know in some way helps with you know, 114 00:06:41,120 --> 00:06:43,880 Speaker 1: authenticity and being able to track the nowhere you know, 115 00:06:44,279 --> 00:06:47,080 Speaker 1: who owns what, et cetera. So, um, that's part of 116 00:06:47,080 --> 00:06:49,680 Speaker 1: the non fungible token space. I think is really exciting 117 00:06:50,160 --> 00:06:55,240 Speaker 1: and does help in some ways with the idea of provenance, authenticity, ownership. Uh. 118 00:06:55,360 --> 00:06:57,240 Speaker 1: And that's really you know, once you get more into 119 00:06:57,279 --> 00:07:00,359 Speaker 1: the conversations around the metaverse and the business, you know, 120 00:07:00,360 --> 00:07:02,120 Speaker 1: the future of the Internet and everything, that's where it 121 00:07:02,120 --> 00:07:05,040 Speaker 1: gets really exciting. So it's it's a conversation. I think 122 00:07:05,080 --> 00:07:07,880 Speaker 1: we'll keep going. I think people on Capitol Hill, you know, 123 00:07:08,040 --> 00:07:11,600 Speaker 1: need to you know, need to better educate themselves on cryptocurrency, 124 00:07:12,000 --> 00:07:15,280 Speaker 1: on blockchain, on n f t s and understand, you know, 125 00:07:15,280 --> 00:07:17,960 Speaker 1: where the market's going, UM, you know, to better understand 126 00:07:18,040 --> 00:07:20,800 Speaker 1: if there is regulation, what makes sense, right, because there 127 00:07:20,880 --> 00:07:23,720 Speaker 1: is a lot of opportunities that is coming from this, 128 00:07:23,800 --> 00:07:26,000 Speaker 1: you know, Web three, you know, future of the internet, 129 00:07:26,120 --> 00:07:28,320 Speaker 1: UM industry as well, So you don't you know, you 130 00:07:28,320 --> 00:07:31,520 Speaker 1: don't want to be accelerate innovation where it is happening, 131 00:07:31,600 --> 00:07:34,400 Speaker 1: but you know there there probably will be some market corrections. 132 00:07:35,480 --> 00:07:38,640 Speaker 1: We heard as well today from Peter van Walkenberg, is 133 00:07:38,680 --> 00:07:41,440 Speaker 1: director of research at Coin Center, one of the witnesses, 134 00:07:42,440 --> 00:07:45,280 Speaker 1: and he was pushing back on lawmakers calling for regulation. 135 00:07:45,440 --> 00:07:48,400 Speaker 1: His point was cryptos already regulated. Here's what he said. 136 00:07:48,680 --> 00:07:51,360 Speaker 1: The on ramps and off ramps where people buy and 137 00:07:51,400 --> 00:07:56,080 Speaker 1: sell bitcoins for dollars and safe keep them are heavily regulated. 138 00:07:56,920 --> 00:07:59,560 Speaker 1: They are state licensed money transmitters or else they are 139 00:07:59,640 --> 00:08:04,960 Speaker 1: chartered banks and trust companies. Before offering any services to Americans, 140 00:08:05,000 --> 00:08:09,559 Speaker 1: they must prove minimum capital requirements, post bonds and open 141 00:08:09,600 --> 00:08:13,520 Speaker 1: their doors to yearly examinations. So is this about the 142 00:08:13,560 --> 00:08:17,760 Speaker 1: trading platforms? Then? Should trading platforms be regulated or more 143 00:08:17,840 --> 00:08:22,840 Speaker 1: than Peter was just saying? And is that the target 144 00:08:22,920 --> 00:08:25,400 Speaker 1: that regulators should take as opposed as opposed to the 145 00:08:25,400 --> 00:08:30,400 Speaker 1: currencies themselves? Yeah, I mean that's I don't know if 146 00:08:30,440 --> 00:08:32,240 Speaker 1: I have the answer for that, because if I did, 147 00:08:32,320 --> 00:08:34,760 Speaker 1: you know, that would be that would be wonderful. But 148 00:08:34,800 --> 00:08:38,080 Speaker 1: what I would say is, you know, it doesn't hurt 149 00:08:38,200 --> 00:08:40,800 Speaker 1: for Capital Hill to take a closer look at some 150 00:08:40,880 --> 00:08:43,440 Speaker 1: of the platforms and some of the practices and everything 151 00:08:43,440 --> 00:08:46,600 Speaker 1: that's going on. I think it helps educate lawmakers. Um. 152 00:08:46,640 --> 00:08:49,520 Speaker 1: But you know, there is really the solution, you know, 153 00:08:49,960 --> 00:08:54,040 Speaker 1: regulation in its broadest form probably not. Um. You know, 154 00:08:54,360 --> 00:08:55,960 Speaker 1: Also if you start to look at the you know, 155 00:08:56,000 --> 00:08:58,160 Speaker 1: at the you know, at the alt coins and a 156 00:08:58,240 --> 00:09:00,240 Speaker 1: lot of things that are happening there and how valid Kyle, 157 00:09:00,559 --> 00:09:03,280 Speaker 1: you know, bitcoin is, I mean, there are reasons to 158 00:09:03,320 --> 00:09:05,440 Speaker 1: start to look at these and try to make more 159 00:09:05,480 --> 00:09:08,600 Speaker 1: formed decisions. Um. You know, I do believe that there 160 00:09:08,679 --> 00:09:11,600 Speaker 1: there's a push to create a financial Innovation Caucus on 161 00:09:11,600 --> 00:09:15,000 Speaker 1: the Hill as well related to cryptocurrency. So, you know, 162 00:09:15,360 --> 00:09:18,040 Speaker 1: things like that I think are on the horizon and 163 00:09:18,080 --> 00:09:21,040 Speaker 1: should benefit lawmakers and educating themselves. I'm gonna have to 164 00:09:21,120 --> 00:09:22,840 Speaker 1: have you go up there and give them a class 165 00:09:22,880 --> 00:09:24,600 Speaker 1: based on some of the stuff that I heard today. 166 00:09:24,600 --> 00:09:28,920 Speaker 1: But climate change is also a big part of this conversation, Kathy. 167 00:09:28,960 --> 00:09:32,080 Speaker 1: It did come up today. We heard from Elon Musk 168 00:09:32,200 --> 00:09:34,840 Speaker 1: on this My god, what a twenty four hours that was. 169 00:09:35,400 --> 00:09:38,360 Speaker 1: How much of an issue will climate change be for 170 00:09:38,440 --> 00:09:41,560 Speaker 1: the crypto community? As we talk about climate change in 171 00:09:41,600 --> 00:09:45,160 Speaker 1: the infrastructure bill here in Washington and so many policy 172 00:09:45,200 --> 00:09:50,640 Speaker 1: decisions that are surrounded by that. It's definitely a big 173 00:09:50,679 --> 00:09:53,200 Speaker 1: conversation being had in the crypto community, and I do 174 00:09:53,320 --> 00:09:56,480 Speaker 1: think that there's goodwill in the crypto community to change things. 175 00:09:57,000 --> 00:09:59,400 Speaker 1: You have companies, for example, like the ri Network that 176 00:09:59,520 --> 00:10:02,600 Speaker 1: launched to a they're trying to be carbon negative, you know, 177 00:10:02,679 --> 00:10:05,320 Speaker 1: trying to view mint n fcs in a sustainable way. 178 00:10:05,880 --> 00:10:08,640 Speaker 1: So you already have kind of more companies trying to 179 00:10:08,800 --> 00:10:12,160 Speaker 1: upset their carbon footprint. Uh, when when they're launching nfcs. 180 00:10:12,480 --> 00:10:14,920 Speaker 1: You know, there's also the conversation around what's called the 181 00:10:15,000 --> 00:10:18,240 Speaker 1: Layer two protocol for theory um and how that might 182 00:10:18,280 --> 00:10:20,240 Speaker 1: help with some of the you know, some of the 183 00:10:20,280 --> 00:10:23,000 Speaker 1: gas prices and the environmental impact. So I do think 184 00:10:23,040 --> 00:10:24,960 Speaker 1: that there is goodwill and there's a lot of energy, 185 00:10:25,040 --> 00:10:27,040 Speaker 1: and a lot of people are trying to work, uh 186 00:10:27,120 --> 00:10:29,760 Speaker 1: to solve some of these climate issues. It is still 187 00:10:29,800 --> 00:10:31,680 Speaker 1: a point of contention. It is still a point of 188 00:10:31,679 --> 00:10:34,040 Speaker 1: conversations not a lot of people are having. I do 189 00:10:34,120 --> 00:10:36,160 Speaker 1: you know, from an NSP perspective, because that's where I 190 00:10:36,160 --> 00:10:37,679 Speaker 1: do a lot of my work, I would say that 191 00:10:37,720 --> 00:10:39,959 Speaker 1: not all n fc s are created equal and that 192 00:10:40,160 --> 00:10:42,439 Speaker 1: all of them have the same kind of carbon footprints. 193 00:10:43,440 --> 00:10:46,800 Speaker 1: You're a futurist tech future. How much is the future 194 00:10:46,920 --> 00:10:50,280 Speaker 1: of the American financial system dependent upon figuring out crypto? 195 00:10:51,880 --> 00:10:53,880 Speaker 1: I think that, you know, the US needs to figure 196 00:10:53,920 --> 00:10:57,480 Speaker 1: out digital currencies and with that, you know, blockchain, cryptocurrencies 197 00:10:57,480 --> 00:10:59,400 Speaker 1: and f t s. H it is, it is in 198 00:10:59,440 --> 00:11:01,320 Speaker 1: some ways part of the future, especially if you look at, 199 00:11:01,360 --> 00:11:04,080 Speaker 1: like I said, millennials and Jensee and jen Alpha and 200 00:11:04,160 --> 00:11:06,480 Speaker 1: kind of how how they just use digital currency in 201 00:11:06,520 --> 00:11:09,680 Speaker 1: a very natural way in game. Those currencies, like I said, 202 00:11:09,679 --> 00:11:12,959 Speaker 1: are not on the blockchain, but eventually they graduate into 203 00:11:13,080 --> 00:11:15,560 Speaker 1: wanting to invest in digital currencies on the blockchain, and 204 00:11:15,640 --> 00:11:18,800 Speaker 1: I do not see that flowing down. What a great title, 205 00:11:18,840 --> 00:11:20,600 Speaker 1: Tech Futurist. I don't know how you came up with 206 00:11:21,160 --> 00:11:24,840 Speaker 1: CEO as well of the Futures Intelligence Group, Kathy Hackle, 207 00:11:25,520 --> 00:11:28,600 Speaker 1: many thanks for talking with us today on Bloomberg Sound On, 208 00:11:28,679 --> 00:11:32,839 Speaker 1: Come back and see us. This is Bloomberg So No 209 00:11:33,440 --> 00:11:39,680 Speaker 1: with Joe Matthew on Bloomberg Radio. The headline on the 210 00:11:39,679 --> 00:11:44,920 Speaker 1: Bloomberg terminal, inflation eats at surging US pay with Biden 211 00:11:45,040 --> 00:11:49,080 Speaker 1: plans at stake got my attention this morning. A smart 212 00:11:49,120 --> 00:11:52,560 Speaker 1: take by Bloomberg's Coachya Dmitrieva here in Washington with so 213 00:11:52,559 --> 00:11:57,480 Speaker 1: many questions about a worker shortage and rising prices happening 214 00:11:57,559 --> 00:12:00,640 Speaker 1: all at once. Kazya, thanks so much for joining us today. 215 00:12:01,360 --> 00:12:05,439 Speaker 1: Yeah for sure. For the Dallas FED President Roger Kaplan 216 00:12:05,679 --> 00:12:09,440 Speaker 1: spoke about the struggle that employers are experiencing in filling 217 00:12:09,520 --> 00:12:14,800 Speaker 1: jobs in an exclusive interview today with Bloomberg News. Interesting 218 00:12:14,840 --> 00:12:17,600 Speaker 1: listening to him speak about this time in history. That's 219 00:12:17,600 --> 00:12:21,160 Speaker 1: what we're hearing. A cross the board can find workers, 220 00:12:21,200 --> 00:12:23,800 Speaker 1: can find workers at the twelve or fifteen dollars an hour, 221 00:12:23,960 --> 00:12:27,240 Speaker 1: can't find mid skille workers. General shortage of workers to 222 00:12:27,240 --> 00:12:29,560 Speaker 1: the point where many of the contexts I talked to 223 00:12:29,920 --> 00:12:34,760 Speaker 1: are cutting back operating hours, cutting back production runs. Uh, 224 00:12:34,880 --> 00:12:38,120 Speaker 1: they're trying to increase comp they're offering bonuses, they're doing 225 00:12:38,160 --> 00:12:41,200 Speaker 1: all sorts of things, but there's a lack of supply, 226 00:12:41,360 --> 00:12:44,199 Speaker 1: and Kachi, as you right, that's why many companies from FedEx, 227 00:12:44,320 --> 00:12:47,240 Speaker 1: the Darden, restaurants you can add McDonald's or many others 228 00:12:47,240 --> 00:12:51,320 Speaker 1: are hiking wages to attract talent. So, Kachi, how much 229 00:12:51,360 --> 00:12:54,160 Speaker 1: are they hiking and is it actually more than inflation 230 00:12:54,280 --> 00:12:58,960 Speaker 1: right now? Yeah, that's a great question. And in fact, 231 00:12:59,040 --> 00:13:01,920 Speaker 1: they're they're hiking a lot more than even fifteen dollars 232 00:13:01,920 --> 00:13:05,320 Speaker 1: an hour. I spoke with the Paychecks CEO who said 233 00:13:05,360 --> 00:13:07,680 Speaker 1: that even in his own company, this is a company 234 00:13:07,720 --> 00:13:12,280 Speaker 1: that offers financial and payroll advice and services for companies, 235 00:13:12,360 --> 00:13:15,680 Speaker 1: even at his company, they're starting at around eighteen dollars 236 00:13:15,720 --> 00:13:18,439 Speaker 1: an hour now, and fifteen was sort of a conversation 237 00:13:18,480 --> 00:13:21,120 Speaker 1: they had months ago. And now that's sort of not 238 00:13:21,200 --> 00:13:25,320 Speaker 1: even enough to entice workers to come in and it's 239 00:13:25,320 --> 00:13:29,520 Speaker 1: really across the market and across industries. I think the 240 00:13:29,559 --> 00:13:31,839 Speaker 1: biggest ones right now are the ones that we're seeing 241 00:13:31,880 --> 00:13:35,960 Speaker 1: in demand, so restaurants, hotels, anything to do with retail, 242 00:13:36,440 --> 00:13:39,719 Speaker 1: anything that's reopening after this uh sixteen months or so 243 00:13:39,760 --> 00:13:43,240 Speaker 1: that we've been completely shuttered and there just aren't enough workers. 244 00:13:43,240 --> 00:13:46,040 Speaker 1: So demand is increasing. Workers aren't getting in the door. 245 00:13:46,559 --> 00:13:50,240 Speaker 1: So of course you're seeing restaurants limiting hours, limiting seeding, 246 00:13:50,559 --> 00:13:54,320 Speaker 1: UM stores kind of closing certain hours because they can't 247 00:13:54,480 --> 00:13:57,960 Speaker 1: they just don't have the people to serve customers. UM. 248 00:13:58,080 --> 00:14:00,640 Speaker 1: And it's really a mix of fact or is everything 249 00:14:00,720 --> 00:14:04,200 Speaker 1: from those higher unemployment benefits that are being cut off 250 00:14:04,520 --> 00:14:09,840 Speaker 1: in September, to child's care issues, to parental care issues. 251 00:14:10,200 --> 00:14:12,199 Speaker 1: I mean, you name it. There's so much going on 252 00:14:13,000 --> 00:14:15,559 Speaker 1: in terms of churn in the labor market that that's 253 00:14:15,640 --> 00:14:20,280 Speaker 1: resulting in this picture we have now. Shortage is slow production. 254 00:14:20,680 --> 00:14:22,880 Speaker 1: You can be of You can have a computer chip 255 00:14:22,960 --> 00:14:26,400 Speaker 1: shortage that, in the case of today, slows production at forward. 256 00:14:26,520 --> 00:14:29,479 Speaker 1: You can have a labor shortage that, as you're suggesting, 257 00:14:29,520 --> 00:14:33,600 Speaker 1: slows production any number of companies in any number of industries. 258 00:14:33,640 --> 00:14:38,640 Speaker 1: Does that mean wages will keep rising. This is uh, 259 00:14:38,680 --> 00:14:41,000 Speaker 1: this is sort of the the idea, yes, that wages 260 00:14:41,000 --> 00:14:44,760 Speaker 1: will continue rising until those supply constraints ease up. Um. 261 00:14:44,800 --> 00:14:48,160 Speaker 1: The economists I'm speaking to our seeing that probably in 262 00:14:48,240 --> 00:14:51,840 Speaker 1: September October when some of the workers start re entering 263 00:14:52,040 --> 00:14:55,080 Speaker 1: the labor force and some of these issues get kind 264 00:14:55,120 --> 00:14:58,800 Speaker 1: of smoothed out. As I say that people will for example, 265 00:14:59,120 --> 00:15:01,400 Speaker 1: um be able to send kids to school, they can 266 00:15:01,400 --> 00:15:04,280 Speaker 1: return to the labor market, they can sort of locate 267 00:15:04,320 --> 00:15:06,280 Speaker 1: the industries they want to be based in now and 268 00:15:06,320 --> 00:15:09,280 Speaker 1: then rejoined that labor market. At that point in time, 269 00:15:09,800 --> 00:15:12,720 Speaker 1: that those wage pressures might start to cool down. But 270 00:15:13,640 --> 00:15:16,360 Speaker 1: right now, it's sort of anyone's guess. Um. You know, 271 00:15:16,440 --> 00:15:18,800 Speaker 1: it depends on your situation whether you're winning or not, 272 00:15:18,880 --> 00:15:22,400 Speaker 1: because your wages might be rising. You're starting wages rising, 273 00:15:22,440 --> 00:15:24,320 Speaker 1: but then you're going to the grocery store and you're 274 00:15:24,360 --> 00:15:29,320 Speaker 1: paying so much more for basics, you know, meat, milk, cheese, 275 00:15:29,320 --> 00:15:32,360 Speaker 1: are going to rent a car and then you're refueling 276 00:15:32,400 --> 00:15:34,600 Speaker 1: that car. All of these things are going up in price. 277 00:15:34,640 --> 00:15:37,840 Speaker 1: So as one economists I spoke was said, James Knightley 278 00:15:37,840 --> 00:15:39,960 Speaker 1: at I m G. You just said, you basically are 279 00:15:40,080 --> 00:15:42,200 Speaker 1: ending up just treading water at this point in time, 280 00:15:42,720 --> 00:15:44,440 Speaker 1: and that's what we don't want. You point to the 281 00:15:44,440 --> 00:15:46,600 Speaker 1: bage book, the most recent bage book from the FED. 282 00:15:47,160 --> 00:15:49,880 Speaker 1: I couldn't get over this. Some hourly workers in the 283 00:15:49,920 --> 00:15:57,520 Speaker 1: Boston area recently saw pay rise thirty That's not sustainable, 284 00:15:57,600 --> 00:16:01,680 Speaker 1: is it? Yeah? Yeah, there's the base book is really 285 00:16:01,680 --> 00:16:05,520 Speaker 1: fun for those anecdotes, you know, but there, yeah they are. Sorry, 286 00:16:05,560 --> 00:16:08,760 Speaker 1: I highly suggest that, um for some afternoon reading. But 287 00:16:09,080 --> 00:16:11,600 Speaker 1: those kinds of genes are are in Boston. We had 288 00:16:11,600 --> 00:16:15,440 Speaker 1: some anecdotes from New York. We had everything from manufacturing 289 00:16:15,680 --> 00:16:20,320 Speaker 1: to again restaurants and retail, these sorts of anecdotes of companies. 290 00:16:20,400 --> 00:16:25,200 Speaker 1: Um as Chaplin just explained the kinds of extent uh 291 00:16:25,240 --> 00:16:28,520 Speaker 1: that that companies have to go to to attract workers 292 00:16:28,640 --> 00:16:32,120 Speaker 1: right now. Um, and it really is uh, it really 293 00:16:32,200 --> 00:16:35,880 Speaker 1: is hard to to overstate that right now. UM. Is 294 00:16:35,880 --> 00:16:41,280 Speaker 1: it sustainable? Uh? Right now? Sure? Right now, companies that 295 00:16:41,480 --> 00:16:44,360 Speaker 1: uh you know might have uh lingering kind of p 296 00:16:44,480 --> 00:16:47,320 Speaker 1: p P payments or the remnants of that, they might 297 00:16:47,360 --> 00:16:51,360 Speaker 1: have high demand um right now from customers. But over 298 00:16:51,440 --> 00:16:54,120 Speaker 1: time that does start to eat at your bottom line. Right. 299 00:16:54,400 --> 00:16:57,520 Speaker 1: FedEx said that they said they're able to keep it 300 00:16:57,600 --> 00:17:02,280 Speaker 1: sustained by increasing prices, and that means increases price, increased 301 00:17:02,280 --> 00:17:04,920 Speaker 1: pricing for you and me when we send packages. So 302 00:17:05,000 --> 00:17:06,920 Speaker 1: we'll see how sustainable it is into the fall, but 303 00:17:07,200 --> 00:17:10,240 Speaker 1: so far we are going to just continue to see 304 00:17:10,280 --> 00:17:13,359 Speaker 1: those kinds of inflationary pressures. Well, if it continues in 305 00:17:13,359 --> 00:17:15,760 Speaker 1: this direction, as you point out, they could in fact 306 00:17:15,800 --> 00:17:18,480 Speaker 1: have a real impact on plans at the White House 307 00:17:18,520 --> 00:17:25,000 Speaker 1: Economic Policy and this whole conversation around infrastructure really smart stuff. 308 00:17:25,040 --> 00:17:27,159 Speaker 1: If you haven't read the story, find it on the 309 00:17:27,280 --> 00:17:29,439 Speaker 1: Terminal Coach. It's great to have you with us on 310 00:17:29,480 --> 00:17:33,680 Speaker 1: Bloomberg sound On. Great work here and thanks for the insights. 311 00:17:33,680 --> 00:17:36,000 Speaker 1: Come see us again. Thanks for joining us today on 312 00:17:36,000 --> 00:17:40,399 Speaker 1: Bloomberg sound On. Eric Adams may have said it best 313 00:17:40,640 --> 00:17:44,520 Speaker 1: last week. Please do not judge me on success based 314 00:17:44,520 --> 00:17:55,040 Speaker 1: on the outcome of the selection. My success is the journey. 315 00:17:55,880 --> 00:17:58,760 Speaker 1: This has been an amazing journey. That journey just got 316 00:17:58,800 --> 00:18:02,720 Speaker 1: even more amazing after the city's elections board issued a 317 00:18:02,760 --> 00:18:06,399 Speaker 1: new vote tally included sample ballot images. Right around this 318 00:18:06,440 --> 00:18:10,440 Speaker 1: time yesterday, a hundred thirty five thousand test ballots used 319 00:18:10,440 --> 00:18:13,399 Speaker 1: to test New York's new ranked choice voting system, and 320 00:18:13,480 --> 00:18:15,200 Speaker 1: so it was back to the drawing board by the 321 00:18:15,280 --> 00:18:17,760 Speaker 1: end of the night, just to screw up though nothing 322 00:18:17,800 --> 00:18:21,879 Speaker 1: to do with ranked choice voting, though we should note 323 00:18:21,880 --> 00:18:26,159 Speaker 1: the Adams campaign has filed a lawsuit over this already 324 00:18:26,800 --> 00:18:30,840 Speaker 1: to quote have a judge oversee and review ballots unquote, 325 00:18:30,880 --> 00:18:34,119 Speaker 1: inviting the other campaigns to join the effort and joining 326 00:18:34,200 --> 00:18:38,400 Speaker 1: us now for perspective is former Manhattan Deputy Borough President 327 00:18:38,720 --> 00:18:41,359 Speaker 1: Rose perre lewis, chief operating officer at n y use 328 00:18:41,440 --> 00:18:44,320 Speaker 1: mc Silver Institute, a board member on the Committee for 329 00:18:44,440 --> 00:18:48,520 Speaker 1: Ranked Choice Voting. Rose, welcome. We're also joined by Bloomberg 330 00:18:48,560 --> 00:18:52,440 Speaker 1: Politics contributor Jeanie she and Zano Rose. You're a big 331 00:18:52,480 --> 00:18:54,840 Speaker 1: proponent of ranked choice voting. Are you worried this could 332 00:18:54,840 --> 00:18:58,960 Speaker 1: give people the wrong idea? Uh? First off, did even 333 00:18:59,040 --> 00:19:03,480 Speaker 1: thank you so for having me on the show. I'm 334 00:19:03,560 --> 00:19:07,760 Speaker 1: so excited that New York City, the largest city to 335 00:19:07,880 --> 00:19:12,600 Speaker 1: implement ranked choice voting, has been uh successful. And keep 336 00:19:12,600 --> 00:19:18,359 Speaker 1: in mind in upwards of seventy of New Yorkers boarded 337 00:19:18,480 --> 00:19:22,159 Speaker 1: in support of ranked choice voting. And I think you 338 00:19:22,240 --> 00:19:25,040 Speaker 1: were right to say at the top of the show, 339 00:19:25,800 --> 00:19:31,560 Speaker 1: Uh that the issue that really that we're has been 340 00:19:31,560 --> 00:19:34,200 Speaker 1: the focus of so much discussion over the last couple 341 00:19:34,200 --> 00:19:37,800 Speaker 1: of days, has really been UH, the human error that 342 00:19:37,960 --> 00:19:41,280 Speaker 1: hurt that happened at the Board of Election, and it's 343 00:19:41,320 --> 00:19:45,119 Speaker 1: really not about our CV. I think also keep in 344 00:19:45,160 --> 00:19:48,040 Speaker 1: mind for those who are just tuning into this for 345 00:19:48,080 --> 00:19:52,040 Speaker 1: the first time, is that it's not unusual for lawsuits 346 00:19:52,080 --> 00:19:57,560 Speaker 1: to be filed in elections and UM in terms of 347 00:19:57,600 --> 00:20:01,199 Speaker 1: the timeline that we're looking at in of accounting of 348 00:20:01,240 --> 00:20:04,600 Speaker 1: the APPID day that valids the time to cure and 349 00:20:04,640 --> 00:20:09,840 Speaker 1: we'll when we'll get the official verified numbers is identical 350 00:20:10,080 --> 00:20:13,800 Speaker 1: to what it would have been under the previous system 351 00:20:13,920 --> 00:20:17,800 Speaker 1: that we used for our elections. So I think this 352 00:20:17,920 --> 00:20:21,760 Speaker 1: is a moment where we call for the reforms. And 353 00:20:21,920 --> 00:20:27,400 Speaker 1: I just saw on social media that our majority leader Senate, 354 00:20:27,480 --> 00:20:30,960 Speaker 1: the New York State Senate Andreas Stewart cousin, will be 355 00:20:31,080 --> 00:20:35,480 Speaker 1: holding hearing UH to talk about what measures and reforms 356 00:20:35,840 --> 00:20:38,040 Speaker 1: UM should be happening in terms of the New York 357 00:20:38,119 --> 00:20:41,800 Speaker 1: City Board of Elections. So, Genie, I'm glad you're with 358 00:20:41,880 --> 00:20:45,400 Speaker 1: us today. Everything Rose just said is true, but sometimes 359 00:20:45,480 --> 00:20:50,440 Speaker 1: in politics, in fact, a lot of times perception becomes reality. 360 00:20:50,480 --> 00:20:54,080 Speaker 1: Is is there a concern that this could be confused 361 00:20:54,080 --> 00:20:57,679 Speaker 1: with problems involving ranked choice voting. I think there is, 362 00:20:57,720 --> 00:21:00,040 Speaker 1: and that's why conversations like this are so important. And 363 00:21:00,240 --> 00:21:02,479 Speaker 1: I think you at the top and Rose just right 364 00:21:02,480 --> 00:21:05,400 Speaker 1: now said accurately, so this wasn't a problem with ranked 365 00:21:05,440 --> 00:21:08,239 Speaker 1: choice voting. And I have to say, I'm, you know, 366 00:21:08,400 --> 00:21:11,440 Speaker 1: one of the people who has been concerned about the system, 367 00:21:11,480 --> 00:21:15,560 Speaker 1: because I thought the confusion would be with voters. You know, 368 00:21:15,960 --> 00:21:17,840 Speaker 1: looking at the history of the New York City Board 369 00:21:17,840 --> 00:21:20,760 Speaker 1: of Elections, UM, it is not surprising that in this 370 00:21:20,800 --> 00:21:23,080 Speaker 1: case the problem was not with voters as far as 371 00:21:23,080 --> 00:21:25,920 Speaker 1: we know, but with the New York City Board of Elections. 372 00:21:26,160 --> 00:21:29,480 Speaker 1: But to your point, the perception out there can be 373 00:21:29,520 --> 00:21:31,520 Speaker 1: that the confusion was with ranked choice voting. So I 374 00:21:31,520 --> 00:21:34,000 Speaker 1: think it's very important that that story be told. Also, 375 00:21:34,080 --> 00:21:36,400 Speaker 1: as a fellow New Yorker like Rose, I have to say, 376 00:21:36,760 --> 00:21:39,720 Speaker 1: Andrew's storic cousins is, you know, one of the people 377 00:21:39,760 --> 00:21:42,879 Speaker 1: from my area, and she is an incredible leader. And 378 00:21:43,000 --> 00:21:46,720 Speaker 1: this is a long time coming. New York State has 379 00:21:46,840 --> 00:21:50,040 Speaker 1: antiquated voting laws that have nothing to do with ranked 380 00:21:50,080 --> 00:21:54,359 Speaker 1: choice voting going back decades, which have successfully made it 381 00:21:54,440 --> 00:21:56,880 Speaker 1: so that many people who want to vote cannot, So 382 00:21:56,960 --> 00:21:59,880 Speaker 1: these changes are necessary. And my hope is that at 383 00:21:59,880 --> 00:22:02,560 Speaker 1: the back of this we see the changes necessary New 384 00:22:02,640 --> 00:22:04,560 Speaker 1: York State. We talk a lot about states like Texas 385 00:22:04,640 --> 00:22:06,920 Speaker 1: and Florida in terms of voting. New York State has 386 00:22:07,000 --> 00:22:09,879 Speaker 1: long been in need of many reforms that have nothing 387 00:22:09,880 --> 00:22:13,040 Speaker 1: to do with rank choice voting. Well, there's a lot here, Rose, 388 00:22:13,200 --> 00:22:15,720 Speaker 1: and it's it's prompted a big conversation or shine to 389 00:22:15,800 --> 00:22:18,320 Speaker 1: light maybe on an on an old conversation about what 390 00:22:18,359 --> 00:22:20,560 Speaker 1: to do with the Board of Elections. And I wonder 391 00:22:20,600 --> 00:22:27,320 Speaker 1: what you would do. Well, I would certainly, UM, there's 392 00:22:27,320 --> 00:22:30,640 Speaker 1: a lot that has been proposed in terms of reforms. 393 00:22:30,760 --> 00:22:34,680 Speaker 1: To remember, keep in mind that this is really, UM 394 00:22:35,560 --> 00:22:40,000 Speaker 1: a state level issue. And so I think the first 395 00:22:40,040 --> 00:22:42,639 Speaker 1: thing to do with the Board of Elections is to 396 00:22:42,760 --> 00:22:47,280 Speaker 1: take politics out of the Board of Elections. UH. As 397 00:22:47,359 --> 00:22:52,280 Speaker 1: you know, UM, the commissioners for the b OE are 398 00:22:52,320 --> 00:22:57,520 Speaker 1: appointed by the Republican and Democratic county leaders UM in 399 00:22:57,680 --> 00:23:01,440 Speaker 1: each of the boroughs, and UM there have been many 400 00:23:01,520 --> 00:23:06,639 Speaker 1: proposals and and and calls for reform that wanted to 401 00:23:06,680 --> 00:23:09,640 Speaker 1: take not only the politics, but make sure that there's 402 00:23:09,680 --> 00:23:15,600 Speaker 1: the adequate funding and UH staff that is independent affiliation 403 00:23:15,720 --> 00:23:21,320 Speaker 1: with party, so that we have people who are skilled, trained, 404 00:23:21,400 --> 00:23:25,800 Speaker 1: have enough resources UH to do the work that's necessary 405 00:23:25,880 --> 00:23:29,560 Speaker 1: to execute our elections. And I just want to also 406 00:23:29,680 --> 00:23:35,080 Speaker 1: point out that to clarify that the issues again regarding 407 00:23:35,520 --> 00:23:40,520 Speaker 1: the tabulation is not with the software or the scanners 408 00:23:40,560 --> 00:23:44,160 Speaker 1: that were used. This again was a human error. Were 409 00:23:44,160 --> 00:23:50,600 Speaker 1: a junior staffer UH inadvertently mixed UH test ballots with 410 00:23:50,720 --> 00:23:55,359 Speaker 1: the actual ballots and at rents the Vote NYC Common 411 00:23:55,440 --> 00:23:59,720 Speaker 1: Cause New York. We had urged the Board of Elections 412 00:24:00,119 --> 00:24:06,920 Speaker 1: to not reveal um Rose. Pierre Lewis, chief operating officer 413 00:24:07,080 --> 00:24:09,480 Speaker 1: at the McSilver Institute, board member for the Committee for 414 00:24:09,560 --> 00:24:13,240 Speaker 1: Rank Choice Voting. We thank you you're listening to Bloomberg 415 00:24:13,320 --> 00:24:19,320 Speaker 1: you sound on with Joe Matthew on Bloomberg Radio. Thanks 416 00:24:19,320 --> 00:24:22,160 Speaker 1: for spending part of your Wednesday with us on Bloomberg 417 00:24:22,240 --> 00:24:25,320 Speaker 1: sound Off. The second half ends with the S and 418 00:24:25,400 --> 00:24:27,560 Speaker 1: P five hundred at a record as you just heard, 419 00:24:27,760 --> 00:24:32,080 Speaker 1: Charlie inflation on the rise and a stubborn labor shortage. 420 00:24:33,160 --> 00:24:36,280 Speaker 1: I'm Joe Matthew and Washington along with Bloomberg Politics contributor 421 00:24:36,400 --> 00:24:38,680 Speaker 1: Jeanie she and Zano. And we're joined now by someone 422 00:24:38,720 --> 00:24:41,879 Speaker 1: at the center of the debate over economic policy on 423 00:24:42,040 --> 00:24:45,240 Speaker 1: Capitol Hill. That's Congressman Don Buyer of Virginia, who chairs 424 00:24:45,280 --> 00:24:48,639 Speaker 1: the House Joint Economic Committee. Congressman, welcome to back to 425 00:24:48,680 --> 00:24:51,240 Speaker 1: Bloomberg Radio. Thank you, Joe very much. It's good to 426 00:24:51,280 --> 00:24:53,320 Speaker 1: be with you. Well, it's great to have you as 427 00:24:53,480 --> 00:24:55,720 Speaker 1: we take a look at the job market. Just to 428 00:24:55,760 --> 00:24:57,960 Speaker 1: start off, you're on a new fact sheet from your 429 00:24:58,040 --> 00:25:02,640 Speaker 1: office and the Joint Economic Committee. It talks about unemployment 430 00:25:02,880 --> 00:25:07,280 Speaker 1: insurance as a stabilizer of consumption, a key driver of 431 00:25:07,359 --> 00:25:10,080 Speaker 1: economic growth, and it brings us so what you could 432 00:25:10,119 --> 00:25:13,560 Speaker 1: argue was part of the grand debate here in Washington, 433 00:25:13,640 --> 00:25:15,959 Speaker 1: and that's why people are not coming back to work now. 434 00:25:16,000 --> 00:25:18,240 Speaker 1: If you ask some they'll talk about fear of COVID. 435 00:25:18,280 --> 00:25:21,480 Speaker 1: If you ask others, they'll talk about a lack of childcare. 436 00:25:22,000 --> 00:25:24,400 Speaker 1: If you ask a lot of Republicans, Congressman, they'll say 437 00:25:24,440 --> 00:25:27,399 Speaker 1: it's because unemployment insurance is making them richer than they 438 00:25:27,440 --> 00:25:31,240 Speaker 1: already were. Is that true? Well, you know, the purl 439 00:25:31,280 --> 00:25:33,840 Speaker 1: of data or plural of anecdote, is that data. I 440 00:25:33,840 --> 00:25:36,800 Speaker 1: saw a great survey today of the thousands of people 441 00:25:36,800 --> 00:25:40,040 Speaker 1: that showed that. You know, as you said that the 442 00:25:40,040 --> 00:25:43,240 Speaker 1: two biggest drivers were lack of childcare. Actually the number 443 00:25:43,240 --> 00:25:47,879 Speaker 1: one was still afraid of COVID was childcare all the 444 00:25:47,880 --> 00:25:50,919 Speaker 1: way down. Like fifth said they were going to come 445 00:25:50,920 --> 00:25:53,600 Speaker 1: back because they're making more with the three. But we 446 00:25:53,680 --> 00:25:57,480 Speaker 1: did interesting studies comparing the states with the governors have 447 00:25:57,560 --> 00:26:01,320 Speaker 1: cut off that three already South go to South Carolina 448 00:26:01,400 --> 00:26:03,680 Speaker 1: and the states that have kept it in place, and 449 00:26:04,200 --> 00:26:08,200 Speaker 1: on average, the states that have kept the place have 450 00:26:08,320 --> 00:26:12,360 Speaker 1: had faster growth and a faster return of labor force participation. 451 00:26:12,680 --> 00:26:16,040 Speaker 1: So it's clearly notwith driving it in any cases. Secretary 452 00:26:16,080 --> 00:26:19,479 Speaker 1: Yellen says has gone in sixty days anyway, and everyone 453 00:26:19,480 --> 00:26:22,080 Speaker 1: will be back on that level playing field. We're joined 454 00:26:22,119 --> 00:26:24,159 Speaker 1: as well by Genie she and Zano. Congressman. You have 455 00:26:24,200 --> 00:26:27,840 Speaker 1: a question, yeah, Representative Buyer, as chair of the Joint 456 00:26:27,880 --> 00:26:31,480 Speaker 1: Economic Committee on Infrastructure, I wanted to get your reaction 457 00:26:31,680 --> 00:26:35,320 Speaker 1: to the idea that the President pulled back from that 458 00:26:35,400 --> 00:26:38,440 Speaker 1: the two infrastructure bills would be tied over the weekend. 459 00:26:38,560 --> 00:26:41,280 Speaker 1: And then of course we've also heard from the Speaker 460 00:26:41,320 --> 00:26:44,040 Speaker 1: of the House that they would move together. Do you 461 00:26:44,119 --> 00:26:47,359 Speaker 1: think that's going to present any problems keeping Democrats in 462 00:26:47,400 --> 00:26:51,960 Speaker 1: the House together on these two bills. It is a balance. UM. 463 00:26:52,000 --> 00:26:54,600 Speaker 1: But I think you know what Joe Biden has done 464 00:26:54,600 --> 00:26:58,119 Speaker 1: with this infrastructure UM bill, the bipartisan piece is a 465 00:26:58,160 --> 00:27:02,159 Speaker 1: really major accomplishment. He's the big infrastructure bill in a generation, 466 00:27:02,640 --> 00:27:05,159 Speaker 1: and we all wanted to pass and we'd love to 467 00:27:05,200 --> 00:27:07,879 Speaker 1: keep it in the bipartisan nature and get Republicans to 468 00:27:07,920 --> 00:27:11,080 Speaker 1: support it. But once we do that, UM, as I 469 00:27:11,080 --> 00:27:14,120 Speaker 1: think Joe Biden has said, UM, we'd love to move 470 00:27:14,160 --> 00:27:17,080 Speaker 1: on to the American Family Plan, which would be investments 471 00:27:17,080 --> 00:27:19,720 Speaker 1: in children, the child tax credit, permanent things like that, 472 00:27:20,080 --> 00:27:23,440 Speaker 1: paid family medical leave, and we don't expect that, sadly, 473 00:27:23,600 --> 00:27:26,359 Speaker 1: to be bipartisan. If we're gonna get that done, we're 474 00:27:26,400 --> 00:27:28,040 Speaker 1: probably gonna have to get it done on so called 475 00:27:28,040 --> 00:27:31,840 Speaker 1: reconciliation fifty votes in the Senate. UM. You know, I 476 00:27:31,880 --> 00:27:35,320 Speaker 1: know Speaker Pelosi wants to tie them together, but it 477 00:27:35,400 --> 00:27:38,000 Speaker 1: looked like President Biden says no one at a time, 478 00:27:38,680 --> 00:27:41,480 Speaker 1: and UM, maybe if even have to happen the same day, 479 00:27:41,920 --> 00:27:45,600 Speaker 1: he's interested in not linking them. By the way, I 480 00:27:45,600 --> 00:27:47,520 Speaker 1: think it's in the long run, even the middle run, 481 00:27:47,560 --> 00:27:50,280 Speaker 1: it's gonna be tough for Republicans to say, we just 482 00:27:50,400 --> 00:27:52,920 Speaker 1: lifted half of the children in poverty out of poverty 483 00:27:53,280 --> 00:27:55,600 Speaker 1: with the American Rescue Plan. Do we really want to 484 00:27:55,640 --> 00:27:57,240 Speaker 1: put them back into poverty at the end of the 485 00:27:57,320 --> 00:27:59,920 Speaker 1: year when it expires. I don't think so. I think 486 00:28:00,200 --> 00:28:02,720 Speaker 1: we even Republicans have to join us at that. Congressman, 487 00:28:02,720 --> 00:28:05,280 Speaker 1: what are you telling your Republican colleagues when it comes 488 00:28:05,280 --> 00:28:09,160 Speaker 1: to human infrastructure, the childcare component, the elder care component, 489 00:28:09,520 --> 00:28:14,000 Speaker 1: potentially expanding healthcare benefits as part of what would be 490 00:28:14,080 --> 00:28:20,159 Speaker 1: that other infrastructure bill through reconciliation. These conversations, I I 491 00:28:20,240 --> 00:28:23,000 Speaker 1: know in public don't go very far, but what are 492 00:28:23,000 --> 00:28:25,560 Speaker 1: the back room conversations, like are you are you actually 493 00:28:25,560 --> 00:28:29,080 Speaker 1: going to your colleagues to try to convince them of this? Yeah, 494 00:28:29,240 --> 00:28:30,919 Speaker 1: very much, And I think Joe, the first thing we 495 00:28:30,960 --> 00:28:33,520 Speaker 1: do is is maybe stop using the word infrastructure and 496 00:28:33,520 --> 00:28:36,439 Speaker 1: start using the word investment, because what we want. You know, 497 00:28:36,480 --> 00:28:39,120 Speaker 1: we we struggled to this last decade with you know, 498 00:28:39,120 --> 00:28:41,920 Speaker 1: one and a half growth and we all love to 499 00:28:41,920 --> 00:28:45,520 Speaker 1: see four for an afercent growth um. But to do that, 500 00:28:45,760 --> 00:28:47,480 Speaker 1: we have to build the bridges and the roads, and 501 00:28:47,520 --> 00:28:50,040 Speaker 1: the and the broadband. But we also have to make 502 00:28:50,080 --> 00:28:52,640 Speaker 1: sure that the kids are ready to work, and that 503 00:28:52,720 --> 00:28:54,560 Speaker 1: moms are ready to get out of the house and 504 00:28:54,600 --> 00:28:57,240 Speaker 1: back into the labor force, and that people are paid 505 00:28:57,360 --> 00:29:01,360 Speaker 1: enough money to make it valuable too to spend whole careers. 506 00:29:01,400 --> 00:29:04,040 Speaker 1: That investment in human capital is what's going to give 507 00:29:04,080 --> 00:29:10,440 Speaker 1: us the greatest long term growth prospects. And Representative I 508 00:29:10,480 --> 00:29:12,720 Speaker 1: wanted to just ask you, because we're just hearing now 509 00:29:12,800 --> 00:29:15,640 Speaker 1: that that they passed it in the House, the bill 510 00:29:15,720 --> 00:29:19,360 Speaker 1: to create the Committee to investigate the riot? Are you 511 00:29:19,440 --> 00:29:21,840 Speaker 1: at all concerned that that is going to be seen 512 00:29:21,960 --> 00:29:26,600 Speaker 1: as a partisan exercise given it was to and my 513 00:29:26,680 --> 00:29:29,400 Speaker 1: understanding just two members of that of the House GOP 514 00:29:29,600 --> 00:29:32,480 Speaker 1: joined Democrats in that vote. Yeah, I think we're going 515 00:29:32,520 --> 00:29:35,560 Speaker 1: to do our best, Gene not to make it partisan. 516 00:29:35,920 --> 00:29:38,880 Speaker 1: You know, we we had a perfectly bipartisan bill that 517 00:29:38,880 --> 00:29:41,000 Speaker 1: we first passed out of the House and sent to 518 00:29:41,040 --> 00:29:44,440 Speaker 1: the Senate when it was equal membership Demotcrats and Republicans 519 00:29:44,840 --> 00:29:46,680 Speaker 1: um it was going to be happened this year. We 520 00:29:46,680 --> 00:29:50,120 Speaker 1: were only going to focus on January six. We did 521 00:29:50,160 --> 00:29:52,360 Speaker 1: not want it to be just a chance to beat 522 00:29:52,440 --> 00:29:54,560 Speaker 1: up Donald Trump, but rather be get to the heart 523 00:29:54,560 --> 00:29:57,520 Speaker 1: of what happened on January six that got rejected by 524 00:29:57,520 --> 00:30:00,880 Speaker 1: the Senate sadly, so this was our only fallback because 525 00:30:00,920 --> 00:30:05,560 Speaker 1: we don't want something as historic and important and tragic 526 00:30:05,600 --> 00:30:08,280 Speaker 1: as January six to go by without an't even looking 527 00:30:08,320 --> 00:30:10,840 Speaker 1: at what happened and why it happened, and uh, you know, 528 00:30:10,880 --> 00:30:13,680 Speaker 1: as as nasty. Blosi said, I think right now it's 529 00:30:13,680 --> 00:30:17,240 Speaker 1: gonna be eight eight Democrats and seven Republicans. And I 530 00:30:17,280 --> 00:30:19,400 Speaker 1: know my Democratic brands are not going to try to 531 00:30:19,400 --> 00:30:22,520 Speaker 1: make this like Benghazi too. We just want to get 532 00:30:22,520 --> 00:30:24,400 Speaker 1: to the heart of it, not to be a partisan 533 00:30:24,440 --> 00:30:27,720 Speaker 1: beat up the other side. Congressman Don Buyer of Virginia, 534 00:30:27,800 --> 00:30:30,160 Speaker 1: Chair of the House Joint Economic Committee, thanks so much 535 00:30:30,200 --> 00:30:33,240 Speaker 1: for being with us today. I'm Joe Matthew. This is Bloomberg. 536 00:30:35,400 --> 00:30:41,080 Speaker 1: This he is breaking new loose from Bloomberg. Updates from 537 00:30:41,080 --> 00:30:44,320 Speaker 1: New York Brooklyn Borough President Eric Adams lead in the 538 00:30:44,360 --> 00:30:48,480 Speaker 1: New York City mayoral primary. In the latest updates from 539 00:30:48,480 --> 00:30:51,200 Speaker 1: the New York City Board of Elections, he's still in 540 00:30:51,240 --> 00:30:54,840 Speaker 1: the lead thirty one eight percent of the votes excluding 541 00:30:54,880 --> 00:30:59,880 Speaker 1: absentee ballots. That's compared to just over for Katherine Garcia, 542 00:31:00,200 --> 00:31:05,520 Speaker 1: just over for a civil rights lawyer Mile Wiley. This 543 00:31:05,600 --> 00:31:08,080 Speaker 1: is just coming into our newsroom, and we're joined quickly 544 00:31:08,120 --> 00:31:11,400 Speaker 1: by Henry Goldman, New York City Hall reporter on the line. 545 00:31:11,480 --> 00:31:15,560 Speaker 1: Right now, Henry, we finally got new new numbers today. 546 00:31:17,240 --> 00:31:21,320 Speaker 1: That's true, and it shows a very similar outcome to 547 00:31:21,680 --> 00:31:27,520 Speaker 1: the big mistake that was made yesterday. Very close race 548 00:31:27,680 --> 00:31:33,600 Speaker 1: as it unfolds now with the absentee ballots still outstanding. 549 00:31:34,760 --> 00:31:38,840 Speaker 1: So this doesn't change a lot for what we had yesterday. Well, 550 00:31:38,840 --> 00:31:42,720 Speaker 1: it changes because now these numbers presumably are correct and 551 00:31:42,760 --> 00:31:46,560 Speaker 1: the other ones weren't. But in terms of the finding, 552 00:31:47,440 --> 00:31:51,440 Speaker 1: the spread between the two top candidates, Eric Adams and 553 00:31:51,560 --> 00:31:57,760 Speaker 1: Katherine Garcia is two point two percentage points. It's very close, 554 00:31:57,840 --> 00:32:01,200 Speaker 1: with a hundred and thou and nets and teeth ballos 555 00:32:01,760 --> 00:32:07,720 Speaker 1: remaining to be counted under a ranked choice algorithm. So 556 00:32:07,760 --> 00:32:12,000 Speaker 1: it's a very close race right now is uncertain. We 557 00:32:12,040 --> 00:32:15,800 Speaker 1: mentioned earlier that the Adams campaign has filed a lawsuit 558 00:32:15,920 --> 00:32:18,560 Speaker 1: over this. Uh, what can you tell us about that 559 00:32:18,640 --> 00:32:23,440 Speaker 1: and how might that impact the process from here? Well, 560 00:32:23,480 --> 00:32:26,080 Speaker 1: I haven't really read the lawsuit, but I don't think 561 00:32:26,120 --> 00:32:31,560 Speaker 1: the lawsuit is going to be determinative here. This supprocess 562 00:32:31,640 --> 00:32:35,600 Speaker 1: that's going to unfold. The votes will be counted, and 563 00:32:36,360 --> 00:32:43,360 Speaker 1: the proof will be in the final alley. Never a 564 00:32:43,400 --> 00:32:46,200 Speaker 1: dull moment here. We appreciate your jumping on the line 565 00:32:46,200 --> 00:32:49,800 Speaker 1: with us. Henry Goldman, New York City Hall reporter, Genie 566 00:32:49,840 --> 00:32:53,040 Speaker 1: She and Zano is with us still and boy, there's 567 00:32:54,360 --> 00:32:57,640 Speaker 1: there's a different outcome here at every turn. It seems, Genie, 568 00:32:57,680 --> 00:32:59,920 Speaker 1: we talked about this with regard to ranked choice of 569 00:33:00,040 --> 00:33:04,120 Speaker 1: voting versus human error. But it's nice to have real 570 00:33:04,240 --> 00:33:06,959 Speaker 1: numbers here. And I suspect the Adams campaign is pleased. 571 00:33:07,800 --> 00:33:10,280 Speaker 1: They should be very pleased. And I just go back 572 00:33:10,320 --> 00:33:13,840 Speaker 1: to yesterday. Imagine the candidate Eric Adams having to point 573 00:33:13,880 --> 00:33:16,640 Speaker 1: out that you have now included about a hundred twenty 574 00:33:16,720 --> 00:33:19,040 Speaker 1: five thousand votes that weren't there the first night. So, 575 00:33:19,320 --> 00:33:23,120 Speaker 1: I mean, these these campaigns have got to be frustrated, 576 00:33:23,400 --> 00:33:25,239 Speaker 1: and the Board of Elections in New York City has 577 00:33:25,280 --> 00:33:29,360 Speaker 1: a lot to answer for. At this point, I'm Joe 578 00:33:29,440 --> 00:33:33,040 Speaker 1: Matthew in Washington, joined by Genie She and Zano, Bloomberg 579 00:33:33,080 --> 00:33:35,440 Speaker 1: Politics contributor. How long are we gonna wait? Do you 580 00:33:35,520 --> 00:33:38,320 Speaker 1: do you have a sense, Genie, before this is actually done, 581 00:33:38,360 --> 00:33:41,560 Speaker 1: before the absentee ballots are in and we have real numbers. 582 00:33:42,360 --> 00:33:45,080 Speaker 1: I think it's probably going to shouldn't only be a 583 00:33:45,160 --> 00:33:47,840 Speaker 1: few days if a week maybe And and and if 584 00:33:47,880 --> 00:33:49,600 Speaker 1: we still let Henry on the line, I'd love to 585 00:33:49,640 --> 00:33:52,479 Speaker 1: ask him. But with the lawsuits that you mentioned that 586 00:33:52,520 --> 00:33:55,720 Speaker 1: are coming down the pike, it could drag this thing out. 587 00:33:56,080 --> 00:33:58,200 Speaker 1: And of course, if you look at it realistically, they 588 00:33:58,240 --> 00:34:00,840 Speaker 1: only have about a hundred thousand plus or my absentee 589 00:34:00,840 --> 00:34:04,440 Speaker 1: ballots to add, so it's highly unlikely if Eric Adams 590 00:34:04,520 --> 00:34:07,440 Speaker 1: lead holds that it would be changed over, but of 591 00:34:07,480 --> 00:34:11,960 Speaker 1: course it could happen statistically. So again I feel for 592 00:34:12,040 --> 00:34:14,799 Speaker 1: these campaigns and these candidates, and I go back to 593 00:34:14,880 --> 00:34:16,840 Speaker 1: my old question, is this any way to run a 594 00:34:16,880 --> 00:34:22,440 Speaker 1: democratic election? Most people think not, Genie she Inzana Bloomberg 595 00:34:22,480 --> 00:34:25,359 Speaker 1: Politics contributor thinks as ever, and look forward to having 596 00:34:25,360 --> 00:34:28,879 Speaker 1: it back for your insights on Bloomberg Sound on. As 597 00:34:28,880 --> 00:34:32,000 Speaker 1: we turn to our last story of this hour, and 598 00:34:32,040 --> 00:34:34,160 Speaker 1: it was one that broke a short time ago, We've 599 00:34:34,160 --> 00:34:37,600 Speaker 1: had a lot of breaking news today. Donald Rumsfeld has died, 600 00:34:38,080 --> 00:34:42,839 Speaker 1: the former defense secretary, a former captain of industry was 601 00:34:43,760 --> 00:34:46,680 Speaker 1: as you know, you go to war with the army 602 00:34:46,719 --> 00:34:50,200 Speaker 1: you have, not the rmy you might want or wish 603 00:34:50,280 --> 00:34:53,439 Speaker 1: to have at a later time. We're joined to talk 604 00:34:53,480 --> 00:34:55,400 Speaker 1: about it quickly with someone who spent a lot of 605 00:34:55,440 --> 00:34:58,719 Speaker 1: time around Don Rumsfeld as both a journalist and as 606 00:34:58,760 --> 00:35:02,560 Speaker 1: a member of the George W. Bush administration. That would 607 00:35:02,560 --> 00:35:06,239 Speaker 1: be Adam Bellmer, former ABC News Washington senior producer and 608 00:35:06,280 --> 00:35:09,440 Speaker 1: former Deputy Director of White House Communications. Adam, thanks for 609 00:35:09,480 --> 00:35:12,480 Speaker 1: being here on Bloomberg Radio. Good to be here, Joe. 610 00:35:13,280 --> 00:35:17,280 Speaker 1: This is a very controversial individual. When you go back 611 00:35:18,080 --> 00:35:21,759 Speaker 1: to that cut from you go to war with the 612 00:35:21,880 --> 00:35:25,840 Speaker 1: army you have, and consider the period of time that 613 00:35:25,880 --> 00:35:29,400 Speaker 1: we were in this is quite an eighty eight years, 614 00:35:29,440 --> 00:35:33,719 Speaker 1: going from corporate America through government, through a series of administrations. 615 00:35:33,960 --> 00:35:38,800 Speaker 1: And I wonder what your thoughts are on this news today. Well, indeed, 616 00:35:38,840 --> 00:35:44,200 Speaker 1: he was a powerful character in everyone's lives. Five years 617 00:35:44,239 --> 00:35:49,000 Speaker 1: a wartime Secretary of Defense after after September eleventh, two 618 00:35:49,040 --> 00:35:51,440 Speaker 1: thousand one. Joe, and you're right. He lived a unique 619 00:35:51,480 --> 00:35:54,240 Speaker 1: American life. He went to Princeton and served in the Navy. 620 00:35:54,600 --> 00:35:58,120 Speaker 1: He served in Congress, he was White House Chief of 621 00:35:58,160 --> 00:36:03,120 Speaker 1: Staff and most noted and twenty feet United States Secretary 622 00:36:03,120 --> 00:36:06,080 Speaker 1: of defense. And every time I saw that man, when 623 00:36:06,080 --> 00:36:08,120 Speaker 1: I covered him and when I saw him otherwise, he 624 00:36:08,280 --> 00:36:13,080 Speaker 1: was a powerful and much heated human and he just 625 00:36:13,280 --> 00:36:15,680 Speaker 1: lit up every room he was in. Or if he 626 00:36:15,719 --> 00:36:17,480 Speaker 1: didn't want you there, he let you know, Joe, and 627 00:36:17,520 --> 00:36:23,960 Speaker 1: you got out. Uh. You remember the anniversary of the 628 00:36:24,040 --> 00:36:29,120 Speaker 1: attack on the Pentagon. You were with Don Rumsfeld that day. Yeah, 629 00:36:29,160 --> 00:36:33,080 Speaker 1: it was one year after. And the perseverance from the 630 00:36:33,160 --> 00:36:36,160 Speaker 1: second that the attack happened that Don RUMs felt possessed 631 00:36:36,160 --> 00:36:40,440 Speaker 1: and demonstrated for everybody who was watching, and the response 632 00:36:40,560 --> 00:36:44,080 Speaker 1: to that terrible attack and what was at the time 633 00:36:44,120 --> 00:36:48,279 Speaker 1: called the Global War on Terror culminated one year later 634 00:36:48,320 --> 00:36:51,439 Speaker 1: with a d O D a Pentagon fully restored under 635 00:36:51,520 --> 00:36:54,680 Speaker 1: his watch, and it was something that really said a 636 00:36:54,719 --> 00:36:58,480 Speaker 1: lot about Don rumsfelt Joe Matthew. He embraced the media. 637 00:36:58,560 --> 00:37:01,720 Speaker 1: He was a superlative municator, and he brought into cameras 638 00:37:01,719 --> 00:37:04,799 Speaker 1: and he showed the world that they were back at 639 00:37:05,080 --> 00:37:08,920 Speaker 1: full staff at the Pentagon one year after none level. 640 00:37:09,120 --> 00:37:11,239 Speaker 1: He also had some tough things to answer to in 641 00:37:11,239 --> 00:37:13,680 Speaker 1: our remaining thirty seconds at him. He will remain a 642 00:37:13,719 --> 00:37:17,480 Speaker 1: controversial figure in American government. That was a period of 643 00:37:17,520 --> 00:37:20,120 Speaker 1: time where I think a lot of Americans look back 644 00:37:20,160 --> 00:37:25,160 Speaker 1: and say, from torture to the grade Donald rum stuff. 645 00:37:25,239 --> 00:37:28,520 Speaker 1: Leg A views a checkered one, but he will be Indeed, 646 00:37:28,880 --> 00:37:32,759 Speaker 1: he runs the advocacy content Kitchen now media production firm 647 00:37:32,800 --> 00:37:36,200 Speaker 1: Adam Belmar many thanks for shedding some light on this story. 648 00:37:36,320 --> 00:37:41,480 Speaker 1: John Rumsfeld, I'm Joe Matthew will meet you back here tomorrow. 649 00:37:42,200 --> 00:37:43,000 Speaker 1: This is Bloomberg