INFLATION IS EASING UP A LITTLE
BIT.
JACKIE: NEW DATA SHOWING SIGNS
OF USING INFLATION AT THE WHITE
HOUSE IS PUSHING FOR SPENDING
ON COVID FUNDING DURING THIS
LAME-DUCK CONGRESS, SPENDING IS
THE HEAD WIND OF THE INFLATION
FIGHT.
JOINING ME AS CHIEF BUDGET
OFFICE ECONOMIST UNDER TRUMP
AND YOUNG AMERICANS FOR LIBERTY
SENIOR FELLOW, VANCE BEGIN.
THANKS FOR JOINING US.
THE FEELING IS INFLATION
NUMBERS ARE COMING, NOT AS
AGGRESSIVE AS ONCE THOUGHT BUT
THE LONGER THIS TAKES THE MORE
IT HURTS THE AMERICAN CONSUMER.
IT IS NOT NECESSARILY A GOOD
THING OVERALL BUT AMERICANS ARE
IN MORE DEBT THAN THEY’VE EVER
BEEN BEFORE.
ACCORDING TO THE NEW YORK FED
IN 2,022, SIXTEEN.
$5 TRILLION IN HOUSEHOLD DEBT AND CREDIT CARD BALANCES THE
AND CREDIT CARD BALANCES THE
LARGEST WE’VE SEEN IN 20 YEARS.
>> THERE ARE A LOT OF WAYS TO
SPIN THIS.
THE BIDEN ADMIN ATTRITION WILL SPIN THIS AS GOOD NEWS THAT
SPIN THIS AS GOOD NEWS THAT
INFLATION IS UP 8%, BUT THIS IS
REDUCING THE PURCHASING POWER
OF HARD-WORKING AMERICANS
ACROSS THE COUNTRY, PUTTING US
FURTHER INTO DEBT.
WE’VE GOT TO TURN TO CUTTING
THE BALANCE SHEET BY THE
FEDERAL RESERVE AND PROGROWTH
POLICIES ALLOWING HARD-WORKING
AMERICANS TO GET THEIR FEEDBACK
ON AFFORDING GOODS AND SERVICES
AROUND THEM AND TO THRIVE.
JACKIE: PRESIDENT BIDEN AFTER
THE MIDTERM SPEAKING LAST
WEDNESDAY, DOUBLING DOWN ON
POLICIES HE HAS IN PLACE.
>> EXACTLY RIGHT.
THE THINGS WE’VE SEEN THE LAST
TWO YEARS, 20 YEAR HIGH IN
MORTGAGE RATES.
IF YOU HAVE MILLIONS OF PEOPLE
ON THE LABOR FORCE COMPARED TO
RIGHT BEFORE THE PANDEMIC THESE
ARE NOT GOOD SIGNS FOR THE
ECONOMY AND IF YOU LOOK AT
THIRD-QUARTER GDP NUMBERS,
EXCLUDE NET EXPERTS, WE HAVE 3
QUARTERS OF DECLINING ECONOMIC
OUTPUT, WHEN YOU LOOK AT THE
DOMESTIC ECONOMY THIS IS NOT A
GOOD SIGN AND UNFORTUNATE THEY
CONTINUE THESE FAILED POLICIES
OF THE PAST WHEN THEY SHOULD GO
IN AND DIFFERENT DIRECTION.
JACKIE: WHAT TO EXPECT IN 2023?
MANY CEOs ARE EXPECTING A
RECESSION THAT MAY NOT BE AS
DEEP, SLOWING GROWTH, GDP
NUMBERS WE’VE SEEN ALREADY.
I KNOW YOU ARE NOT A STOCK
MARKET EXPERT BUT I SEE PEOPLE
POURING MONEY BACK INTO IT, I
DON’T SEE THE SAME PICTURE.
>> THEY ARE BUYING SOME ON THE
DIP.
INFLATION LOOKS LOWER THAN
EXPECTED, THE FEDERAL RESERVE
WON’T HAVE TO BE AS AGGRESSIVE
WITH MORE PROFITABILITY TO BUY
MORE STOCKS.
THEY HAVE TO CUT THEIR BALANCE
SHEET, INFLATION IS MODERATED
AND STILL HOT.
THAT’S NOT A GOOD SIGN. THERE’S MORE INFLATIONARY
THERE’S MORE INFLATIONARY
PRESSURE WITH FOOD AND ENERGY,
IT IS 6%, THERE’S A LOT OF
UNDERLYING INFLATIONARY
PRESSURE, THE FED HAS TO DO
MORE, FOR PROGROWTH POLICIES.
WE’VE GOT TO TURN IN A DIFFERENT DIRECTION BEFORE WE
DIFFERENT DIRECTION BEFORE WE
GO INTO RECESSION.
JACKIE: THE HOPE WAS WE WERE
ONE SEAT AWAY, SOME OF THIS