INFORMATION ASSOCIATION.
JACKIE: MADISON ALWORTH, THANK
YOU.
PRESIDENT BIDEN SAYS THAT
ECONOMIC POLICIES ARE HELPING TO
EASE INFLATIONS SO ARE AMERICANS
FEELING THAT RELIEF OR ARE THEY
STILL FEELING THE PINCH.
TO KING’S VIEW ASSET MANAGEMENT
CIO SCOTT MARTIN AND DEMOCRATIC
STRATEGIST LAURA FINK.
LAURA, I WANT TO START WITH YOU
BECAUSE CPI HAS COME DOWN AND
IT’S OFF THE PEAK BUT STILL AT
40-YEAR HIGHS AND AMERICANS ARE
STRUGGLING AND THEY SAID AS THEY
EXITED THE POLLS THAT FOOD COSTS
ARE ONE OF THE TOP -- TOP ISSUES
RIGHT NOW AND THIS IS ALL GOING
ON A LITTLE BIT LONGER THAN
EVERYBODY EXPECTED.
YOU HAD A FED AND AN
ADMINISTRATION THAT SAID IT WAS
TRANSITORY.
IT HASN’T BEEN TRANSITORY.
THEY ARE SAYING WE WILL SEE SOME
RELIEF, WE HAVEN’T REALLY SEEN
THE RELIEF YET AND THE PRESIDENT
SAYS THAT EVERYTHING IS FINE.
I MEAN, IS HE BEING A LITTLE
TONE DEAF HERE?
>> I THINK HE EXPRESSED EMPATHY
IN OTHER PARTS OF THAT SIDE OF
REMARKS THAT JUST DIDN’T GET
CLIPPED BUT I DO THINK THERE’S A
LOT OF EMPATHY BUT UNFORTUNATELY
THE ECONOMY IS KIND OF WORKING
OUT.
YOU ARE NOT GOING TO SEE RESULTS
RIGHT AWAY.
WE ARE SEEING INDICATORS THAT
YOU’RE SUGGESTING WHERE
INFLATION IS COMING DOWN, GAS
PRICES ARE COMING DOWN.
WE ARE SEEING THAT WE ARE
PERFORMING WELL ESPECIALLY IN
THE CONTEXT THAT THIS IS A
GLOBAL CRISIS.
YOU ARE NOT SEEING INFLATION
NUMBERS LOOKING GREAT IN JUST
ABOUT ANY OTHER COUNTRY.
SO PRESIDENT BIDEN REALIZES THAT
THIS IS IMPROVING AND IT IS
HELPING AND CONSUMERS KNOW THAT.
40% OF CONSUMERS, OF VOTERS THAT
LOOKED AT JOE BIDEN AND SAID YOU
KNOW I MAY NOT BE SATISFIED WITH
HIM BUT I’M GOING TO VOTE FOR
HIM OR VOTE FOR DEMOCRATS
ANYWAY.
THAT’S A SIGN THAT THEY
UNDERSTAND THAT THIS ECONOMY MAY
NOT BE SOMETHING THAT THEY ARE
HAPPY WITH NOW BUT THEY -- THEY
TRUST THAT IT’S GOING TO GET
BETTER.
SO I SEE THAT ACROSS -- ACROSS
THE COUNTRY AND I THINK YOU SEE
THAT WITH THE FED’S NUMBERS, I
THINK YOU SEE THAT WITH THE
IMPROVING NUMBERS, THE JOBS
NUMBERS THAT HAVEN’T BEEN
MENTION AND THE GOLDILOCKSES
ECONOMY IS ON TRACK BUT IT IS
HARD --
>> GOLDILOCKSES.
JACKIE: SCOTT, I’M GOING TO TAKE
YOU TAKE A LITTLE STAB.
PEOPLE WERE PUTTING OTHER ISSUES
LIKE ABORTION AHEAD OF THE
ECONOMY EVEN THOUGH THEY SAID
THAT THE ECONOMIC ENVIRONMENT,
YOU KNOW, THEY ARE STRUGGLING IN
IT RIGHT NOW AND HAVING SAID
THAT WE DO KNOW THAT THE FED
WILL HAVE TO KEEP RAISING
INTEREST RATES TO COOL DOWN THE
ECONOMY AND THE JOBS NUMBERS
DON’T SHOW IT YET, SCOTT, I
IMAGINE AT CERTAIN POINT THERE
WILL BE A TIPPING POINT HEARING
FROM COMPANIES AND META AND
THAT’S ARE LAYING PEOPLE OFF IN
DROVES AND JAROME POWELL TOLD US
AMERICAN WILLS HAVE TO LOSE
THEIR JOB HERE.
>> I THINK WE INSULTED
GOLDILOCKSES OR AT LEAST LAURA
DID BUT THIS SEEMS LIKE ANYTHING
LIKE A GOLDILOCKSES ECONOMY.
WE ARE BARELY GROWING, WE HAVE
INFLATION OUT OF CONTROL.
JOBS ARE STILL STRONG BUT IT’S
STARTING TO TAIL OFF.
DOESN’T MAKE ANY SENSE.
GOING FORWARD ALSO TOO WITH
RESPECT TO THE FED, THEY HAVE
MORE RATE HIKES BEHIND THEM AND
THEY NEED TO TAKE THE BRAKE AND
THAT SHOULD BRING INFLATION
DOWN.
THAT’S NOT GOING TO HELP GROWTH
AT ALL AND THEREFORE PUT US INTO
ANOTHER RECESSION.
JACKIE: LAURA, I LIKE THE
ANALOGY THAT YOU MAKE THAT WHEN
YOU TRY TO INITIATE CHANGE IT
TAKES A WHILE LIKE GOING TO THE
GYM AND TRYING TO SEE RESULTS
WITH YOUR WORKOUTS, BUT HAVING
SAID THAT AMERICANS HAVE BEEN
GOING THIS FOR WELL OVER A YEAR,
APPROACHING TWO YEARS NOW AND
GETTING TO THE POINT THAT PEOPLE
HAVE TO MAKE HARD DECISIONS.
I UNDERSTAND THAT YOUR SIDE SAYS
IT’S GOING TO TAKE MORE TIME BUT
HOW MUCH MORE TIME CAN WE GIVE
IT BEFORE PEOPLE REACH A
BREAKING POINT?
>> I JUST WANT TO BE CLEAR.
IT’S NOT JUST MY SIDE, IT’S VAST
MAJORITY OF ECONOMISTS THAT ARE
LOOKING AT THIS.
WHEN ONE OF THE THINGS THAT YOU
SEE WITH REPUBLICANS, MY
COLLEAGUE, EVERYONE, NOT
OFFERING UP AN ALTERNATIVE THEY
KNOW THAT THIS IS SORT OF THE
RIGHT DIRECTION THAT THIS IS
INCREDIBLY TOUGH AND DURABLE
PROBLEM WITH THE A GLOBAL
PANDEMIC, IT’S GOING TO BE HARD
TO RECOVER.
WE HAVE TO RECOGNIZE THE SCALE
OF THE PROBLEM WHILE HAVING
EMPATHY FOR THE VOTERS AND
WORKERS THAT ARE COMING TO THE
TABLE AND TRYING TO GET THE
FOOD.
JACKIE: I’M NOT SURE WHICH
ECONOMISTS YOU SPEAK TO.
WE SPEAK TO A LOT OF ECONOMISTS,
SCOTT, WE HEAR FROM A LOT OF
CEO’S WHO HAVE BASICALLY SAID
THAT THERE WILL BE A RECESSION
IN 2023.
>> I’M HAPPY TO SPEAK TO THAT.
JACKIE: LAST WORD, SCOTT.
>> THEY DON’T ADMIT THEY HAD A
RECESSION THERE’S ANOTHER ONE
COMING AND ALSO, LOOK, OUT OF
CONTROL SPENDING WILD
REGULATIONS IS NOT A WAY TO
BRING DOWN INFLATION.
WE ARE SEEING A LOT OF THE
INFLATION COME THROUGH BASICALLY
THE BOTTOM LINE AND HAVING A
STANCE LIKE THAT GOING FORWARD
TOO AS HE HAS THAT’S NOT GOING
TO HELP PRICE PRESSURES ANYWHERE
LET ALONE SMALL BUSINESSES THAT