>>> OKAY.
>>> OKAY. WE ARE ABOUT TO TALK ABOUT THE
MOST IMPORTANT STORY OF THE DAY
THAT DONALD TRUMP DOESN’T WANT
US TO TALK ABOUT.
EVERY DAY THERE ARE STORIES THAT
DONALD TRUMP DOESN’T WANT US TO
TALK ABOUT, AND HE IS LUCKY
BECAUSE WE OFTEN DON’T GET TO
MANY OF THE STORIES, LIKE FOR
EXAMPLE, THE RAMPANT CORRUPTION
IN HIS CABINET FROM SCOTT PRUITT
TO WILBUR ROSS.
BUT TONIGHT THERE IS ONE STORY
ABOVE ALL OTHERS THAT IS BY FAR
THE MOST IMPORTANT STORY THAT
DONALD TRUMP DOESN’T WANT US TO
TALK ABOUT, THE BIGGEST STORY.
REMEMBER THE $19 TRILLION?
>> WE HAVE $19 TRILLION IN DEBT
GOING VERY SOON TO $21 TRILLION
BECAUSE WE MADE A BAD BUDGET
DEAL.
DEAL. NOW WE’RE GOING TO HAVE $21
TRILLION IN DEBT.
WELL DON’T HAVE ANY MONEY.
>> WE HAVE GOT A MESS IN THIS
COUNTRY.
COUNTRY. WE OWE $19 TRILLION, SOON TO BE
$21 TRILLION.
$21 TRILLION. >> WE HAVE RIGHT NOW $19
TRILLION IN DEBT.
SO I BUILT SOME OF THE GREAT
ASSETS, LOW DEBT, GREAT CASH
FLOW, AND I SAY IT FOR A
DIFFERENT REASON, BECAUSE THAT’S
THE KIND OF THINKING WE NEED IN
OUR COUNTRY NOW OR WE’RE NOT
GOING HAVE A COUNTRY LEFT.
WE’RE NOT GOING TO HAVE
LITERALLY, WE’RE NOT GOING TO
HAVE A COUNTRY LEFT.
>> I THOUGHT WE WEREN’T GOING TO
HAVE A COUNTRY LEFT IF WE DIDN’T
ARREST ENOUGH BABIES AT THE
SOUTHERN BORDERS.
SOUTHERN BORDERS. BUT OKAY.
BUT OKAY. WE’RE NOT GOING TO LITERALLY,
WE’RE NOT GOING TO HAVE A
COUNTRY LEFT BECAUSE OF THE
NATIONAL DEBT.
NATIONAL DEBT. SO TONIGHT DONALD TRUMP HAS DONE
EVERYTHING HE CAN TO MAKE SURE
THAT AS HE PUTS IT, WE ARE NOT
GOING HAVE A COUNTRY LEFT
BECAUSE AS PRESIDENT, HE HAS
PUSHED US UP TO THAT $21
TRILLION IN NATIONAL DEBT, AND
HE IS NOW ON TRACK TO REACH NEW
RECORD DEBT LEVELS WAY, WAY, WAY
ABOVE THAT.
ABOVE THAT. THE LATEST CONGRESSIONAL BUDGET
OFFICE PROJECTIONS OF THE DEBT
MADE PUBLIC TODAY FOR THE FIRST
TIME SHOW THAT DURING THE TRUMP
ADMINISTRATION, THE DEBT WILL
DRAMATICALLY INCREASE EVERY DAY,
EVERY WEEK, EVERY YEAR WITH NO
END IN SIGHT.
THE TRUMP TAX CUTS HAVE
SIGNIFICANTLY ACCELERATED WHAT
IS NOW DONALD TRUMP’S RUSH TO A
FISCAL CRISIS, MUCH WORSE THAN
ANYTHING HE ENCOUNTERED IN HIS
ATLANTIC CITY CASINO
BANKRUPTCIES.
BANKRUPTCIES. THE TRUMP TARIFFS ARE DOING
THEIR PART TOO.
THEY ARE ALREADY COSTING JOBS IN
THE UNITED STATES, EVEN THOUGH
DONALD TRUMP BELIEVED THAT THE
TARIFFS WOULD SAVE JOBS.
THE TRUMP TARIFFS HAVE ACTUALLY
CREATED AN INCENTIVE FOR
AMERICAN MANUFACTURERS LIKE
HARLEY-DAVIDSON TO MOVE
PRODUCTION TO FOREIGN COUNTRIES
BECAUSE THE EUROPEAN UNION HAS
ANNOUNCED RETALIATORY TARIFFS
AGAINST THE TRUMP TARIFFS ON
PRODUCTS SOLD IN EUROPE THAT ARE
MADE IN THE USA.
NO SURPRISE THAT THEY WERE GOING
TO DO THAT.
AND SO HARLEY-DAVIDSON QUITE
LOGICALLY CANNOT CONTINUE TO
SELL HARLEY-DAVIDSONS MADE IN
THE USA IN EUROPE THANKS TO
DONALD TRUMP.
DONALD TRUMP. SO THEY WILL MAKE THEM IN SOME
OTHER COUNTRY.
OTHER COUNTRY. AND THEN SELL THEM IN EUROPE.
THE TRUMP RESPONSE TO THAT, OF
COURSE, IS A SERIES OF ANGRY AND
UTTERLY INCOHERENT AND
ECONOMICALLY ILLITERATE TWEETS.
THE HARLEY-DAVIDSON STORY HAS
BEEN A BAD ONE FOR PRESIDENT
TRUMP, BUT AT LEAST, AT LEAST NO
ONE’S TALKING ABOUT THE NATIONAL
DEBT.
DEBT. JOINING US NOW TO TALK ABOUT THE
NATIONAL DEBT, RON KLAIN, THE
FORMER CHIEF OF STAFF TO VPTS
JOE BIDEN AND AL GORE AND FORMER
SENIOR AIDE TO OBAMA AND DAVID
CORN, WASHINGTON BUREAU CHIEF
FOR MOTHER JONES AND THE
CO-AUTHOR OF THE BEST-SELLING
BOOK "RUSSIAN ROULETTE."
HE IS ALSO AN MSNBC POLITICAL
ANALYST.
ANALYST. RON, IT’S NOT EASY EVERY DAY TO
PICK WHAT’S THE BIGGEST STORY
THAT DONALD TRUMP DOESN’T WANT
US TO TALK ABOUT.
BUT THE NATIONAL DEBT IS IT.
AND IT IS GOING TO BE
FASCINATING TO TRY TO SEE HOW
THE REPUBLICAN PARTY TURNS
AROUND, AS IT HAS ON RUSSIA AND
SO MANY THINGS AND DECIDES THAT
DEBT IS GOOD, A HIGHER AND
HIGHER NATIONAL DEBT IS A GOOD
THING BECAUSE THAT SEEMS TO BE
THE ONLY WAY FOR DONALD TRUMP TO
ADDRESS IT.
ADDRESS IT. BECAUSE THERE IS NOTHING THEY’RE
GOING TO DO TO BRING IT DOWN.
>> YEAH.
>> YEAH. I MEAN, THEY’RE NOT ONLY NOT
GOING TO BRING IT DOWN, AS YOU
SAID, LAWRENCE, THEY’RE
SKYROCKETING IT UP.
THIS IS THE STORY OF A PROMISE
BROKEN AND AN ODD PROMISE KEPT
TRUMP PROMISE HEAD WOULD GET RID
OF ALL THE NATIONAL DEBT, TOTAL,
WIPE IT OUT WHILE HE WAS
PRESIDENT.
PRESIDENT. INSTEAD HE IS GOING TO RAISE TO
IT A RECORD LEVEL.
THAT’S A BIG PROMISE BROKEN.
THE PROMISE HE HAS KEPT IS HE
SAID HIS DEFICIT WOULD BE
NOWHERE NEAR OBAMA’S DEFICIT OF
$400 MILLION.
$400 MILLION. HE HAS KEPT THAT PROMISE.
THEY’RE GOING RUN A TRILLION
DOLLAR DEFICIT THIS YEAR.
THAT’S NOWHERE NEAR WHAT OBAMA
DID IN HIS LAST YEAR.
I AGREE.
I AGREE. THEY’RE GOING HAVE TO TURN AND
RUN.
RUN. BUT IN THE END, RIGHT, THE BILL
WILL COME DUE.
AND THE HORRIBLE THING ABOUT
THIS IS JUST LAST WEEK, THE
HOUSE OF REPRESENTATIVES, THE
REPUBLICAN HOUSE PASSED A
SO-CALLED FARM BILL THAT CUT
FOOD STAMPS, BECAUSE WE DON’T
HAVE ENOUGH MONEY TO PUT FOOD ON
THE TABLE OF THE PEOPLE IN THIS
COUNTRY WHO LACK IT.
BUT WE HAD A TRILLION DOLLARS
FOR TAX CUTS THAT ARE RUNG UP
THE FEDERAL DEBT.
THAT’S JUST A HORRIBLE SET OF
CHOICE.
CHOICE. >> AND DAVID, THE LARGEST
FOREIGN HOLDER OF OUR NATIONAL
DEBT, WHICH YOU CAN HOLD SIMPLY
BY BUYING TREASURY BONDS IS OF
COURSE CHINA.
COURSE CHINA. SO THIS -- AS THIS DEBT GOES UP,
AS IT BECOMES MORE BURDENSOME
HERE IN THE UNITED STATES, CHINA
GAINS MORE AND MORE LEVERAGE AND
CONTROL OVER THE PRESIDENT.
>> THIS IS DONALD TRUMP’S BIG
CON.
CON. YOU PLAYED IT OVER AND OVER
AGAIN.
AGAIN. HE MADE A PROMISE, AND HE CAUGHT
THE HEADLINES.
THE HEADLINES. HE WILL GET RID OF THE DEBT AND
HAVE SMALLER DEFICITS.
WELL, YOU KNOW, THE BILL WILL
COME DUE.
COME DUE. BUT WE’RE LIVING IN A TIME NOW
WHERE THERE WILL BE NO
ACKNOWLEDGMENT OF THAT.
TRUMP WILL NEVER ACKNOWLEDGE THE
REAL NUMBERS.
REAL NUMBERS. THE REPUBLICANS WILL NEVER
ACKNOWLEDGE THE REAL NUMBERS.
WHERE ARE THE BOB DOLES OF THE
WORLD?
WORLD? THEY’VE GONE AWAY.
NO REPUBLICAN CARES ABOUT THE
DEFICIT ANYMORE.
DEFICIT ANYMORE. AND EVEN NOW, THE HOUSE
REPUBLICANS HAVE SAID THAT COME
THE FALL, THEY ARE GOING TO PASS
OR TRY TO PASS ANOTHER TAX BILL
THAT WOULD MAKE PERMANENT SOME
OF THE TAX CUTS IN THE PREVIOUS
TAX BILL, AND THAT WOULD EVEN
EXPLODE THE DEFICIT AND THE DEBT
MUCH MORE THAN IN THE NUMBERS
THAT CAME OUT TODAY.
SO THEY ARE NOT DOING ANYTHING
EXCEPT COMPLAINING ABOUT
SPENDING, BECAUSE THAT’S THE
WHOLE GOAL HERE.
THEY’RE GOING TO USE THIS DEBT
TO SAY, WELL, WE CAN’T SPEND
MONEY ON THE FOOD STAMPS THAT
YOU JUST MENTIONED.
WE’RE GOING HAVE TO SQUEEZE
MEDICARE AND SOCIAL SECURITY
BECAUSE WE’RE GOING TO HAVE TO
BE PAYING FOR SERVICING THE
DEBT.
DEBT. >> AND ANYONE UP THERE HOZWHO HA
HAD CREDIT CARD DEBT, THIS
BEHAVES LIKE CREDIT CARD DEBT.
IT’S THE MOST EXPENSIVE KIND OF
DEBT YOU CAN ENCOUNTER.
AS THIS DEBT GOES UP, THE
INTEREST ON THE DEBT GOES UP
DRAMATICALLY.
DRAMATICALLY. AND, RON, THAT INTEREST ON THE
DEBT EATS UP IN THE BUDGET EVERY
YEAR.
YEAR. NO ONE MENTIONS IT, BUT IT IS
ONE OF THE LARGEST PIECE OF THE
BUDGET, GETTING BIGGER AND
BIGGER EVERY YEAR.
AND IT’S ON TRACK TO BECOME THE
LARGEST SPENDING ITEM IN THE
BUDGET, DWARFING ALL OF THE
DISCRETIONARY SPENDING IN THE
BUDGET.
BUDGET. AND WHAT THAT MEANS IS IT WIPES
OUT THAT SPENDING ON EDUCATION,
ON ALL SORTS OF PROBLEMS, ALL
SORTS OF ISSUES OUT THERE THAT
ALL HAVE TO GO INTO BASICALLY
ZERO SPENDING MODES JUST IN
ORDER TO PAY YOUR DEBT.
>> YEAH.
>> YEAH. IT SEEMS LIKE TRUMP IS RUNNING A
CONTEST BETWEEN TRYING TO RUN UP
THE PENTAGON BUDGET AND RUN UP
THE DEBT TO SEE WHICH NUMBER CAN
BE LARGER IN OUR BUDGET.
INTEREST PAYMENTS ON THE DEBT OR
INCREASINGLY LARGE PAYMENTS TO
THE PENTAGON.
THE PENTAGON. BUT LOOK, LAWRENCE, I THINK THE
SCARIEST THING OF ALL IS WE’RE
SEEING THESE KINDS OF NUMBERS AT
A TIME OF RELATIVE PROSPERITY.
SOONER OR LATER, THE BUSINESS
CYCLE WILL TURN.
AND IF TRUMP KEEPS PRESSING
THESE TARIFFS, IT WILL TURN
SOONER RATHER THAN LATER.
AND THAT MEANS THAT THE DEFICIT
WILL JUST EXPLODE EVEN MORE.
WE’LL SEE THE TRUMP RECESSION.
IT WILL COME.
AND THEN THESE NUMBERS WILL LOOK
WORSE AND WORSE AND WORSE.
AND THE GOVERNMENT WILL BE OUT
OF DRY FISCAL POWDER TO TRY TO
STIMULATE THE ECONOMY OR DO
SOMETHING ABOUT IT.
TONIGHT’S NEWS IS BAD.
BUT THE FUTURE NEWS IS EVEN
WORSE.
WORSE. >> IT’S A VERY DIFFICULT SUBJECT
TO RUN CAMPAIGNS ON BECAUSE THE
PUBLIC DOES NOT EASILY GRASP IT.
AND IT DOESN’T HAVE ANY OF THE
EXCITEMENT OF SOME OF THE OTHER
THINGS THAT COME OUT IN THE
COURSE OF A DAY, ESPECIALLY THE