♪.
ASHLEY: WELL AS PROMISED AND
ADVERTISED, JOINING US NOW,
LARRY KUDLOW, WHITE HOUSE TOP
ECONOMIC GUY.
THAT’S HIS TITLE.
LARRY, PRESIDENT TRUMP SAYS
THERE WILL BE A NEW PAYMENT OF
1200 BUCKS OR AT LEAST SOMETHING
LIKE THAT.
IS THIS GOING TO HAPPEN BEFORE
THE ELECTION?
HOW VITAL IS IT TO GET MORE
MONEY OUT TO THE PEOPLE THAT
NEED IT AT THIS STAGE OF THE
RECOVERY?
>> WELL I THINK IT IS CERTAINLY
ON THE TABLE AND I THINK IT
COULD BE VERY IMPORTANT.
WE’RE LOOKING AT A LOT OF
DIFFERENT OPTIONS.
IT IS ALL PREADDITIONAL.
THE PRESIDENT SAID HE WANTS IT
TO BE SMART AND EFFECTIVE.
MY GUESS IT HAS TO BE MORE
TARGETED THAN THE PRIOR APPROACH
TO THE DIRECT CHECKS.
IT IS NOT THE ONLY POLICY.
I MEAN, YOU KNOW, WE MAY EXTEND,
ALREADY AN EXTENSION OF THE PPP
WHICH WAS SO IMPORTANT TO THESE
SUCCESSFUL JOBS NUMBERS.
WE’RE LOOKING AT A PAYROLL TAX
HOLIDAY FOR THE WORKFORCE.
WE MAY LOOK AT CAP GAINS.
WE MAY LOOK AT BUSINESS
DEDUCTIONS FOR RESTAURANTS,
VARIOUS ENTERTAINMENT, BASEBALL
GAMES, SIGHTSEEING AND TOURISM.
WE CERTAINLY WANT TO RESTRICT
SOME COVID-19 LIABILITY FOR
BUSINESSES.
SO IT IS A LARGE-SCALE PACKAGE
AND DIRECT CHECKS ARE PROBABLY
GOING TO BE PART OF IT AS FAR AS
THE PRESIDENT IS CONCERNED RIGHT
NOW.
SUSAN: YOU KNOW, THE PRESIDENT
POINTED OUT, IN THE LAST TWO
MONTHS, WE HAVE 7.5 MILLION JOBS
CREATED.
THAT IS VERY IMPRESSIVE.
WHERE DOES THAT PUT US IN THE
RECOVERY THOUGH?
>> LOOK A LOT OF PEOPLE THOUGHT
WE WOULD HAVE AS MANY AS
30 MILLION JOBS LOST WE NEVER
REALLY GOT HIGHER THAN 20,
21 MILLION.
RIGHT NOW WE’VE CUT THAT DOWN TO
A LITTLE LESS THAN 15 MILLION.
SO, WE PROBABLY COVERED AT LEAST
HALF OF THE EXPECTATIONS.
WE HAVE MORE WORK TO DO.
I GET THAT.
THERE IS STILL A LOT OF
HARDSHIP.
THERE IS STILL A LOT OF
HEARTBREAK OUT THERE.
I UNDERSTAND THAT.
BUT AGAIN I THINK, ALMOST EIGHT
MILLION JOBS IN THE LAST TWO
MONTHS.
IT IS PRETTY MUCH SPREAD ACROSS
THE BOARD.
I WATTS LOOKING AT THE DIFFERENT
COHORT GROUPS.
AFRICAN-AMERICAN JOBS UP 400,000
IN JUNE.
THAT IS AFTER PLUS 300,000 IN
MAY.
HISPANICS UP 1.5 MILLION.
THAT IS A HUGE NUMBER.
AND ANOTHER MAJORITY GROUP, THAT
IS TO SAY, WOMEN, THEY JUMPED IN
THEIR JOBS BY THREE MILLION IN
THE MONTH OF JUNE.
THOSE ARE VERY, VERY BIG
NUMBERS.
I THINK THERE IS A LOT OF
MOMENTUM HERE.
I UNDERSTAND, YOU HAVE GOT YOUR
HOT SPOTS IN THE SOUTHWEST.
IT IS NOT A SECOND ROUND, A
CONTINUATION OF THE EXISTING
VIRUS THAT MOVED SOUTH AND WEST.
WE’RE ON IT.
WE’RE SENDING TEAMS DOWN THERE
TO MONITOR THAT.
WE ARE EMPHASIZING AS THE
PRESIDENT DID THIS MORNING AND
YESTERDAY, WE ARE EMPHASIZING
THE BEST PRACTICES.
THE MASKS WORK IN THESE HOT SPOT
AREAS.
YOU GOT TO HAVE A LOT OF
TESTING.
YOU HAVE GOT TO KEEP UP THE
SOCIAL DISTANCING.
YOU HAVE GOT TO HAVE PERSONAL
HYGIENE.
THOSE ARE EFFECTIVE MITIGATIONS
THAT HELP THE REST OF THE
COUNTRY.
THE NUMBERS ARE STILL IN THE
AGGREGATE, VERY LOW,
PARTICULARLY FATALITIES FOR
EXAMPLE.
LET’S DO IT AGAIN IN THESE HOT
SPOTS AND BASICALLY WE CAN
CONQUER THEM.
ASHLEY: BUT DO THOSE MITIGATIONS
THOSE, PAUSES, IF YOU LIKE IN
THE REOPENING PHASES ESPECIALLY
IN THE SOUTHWEST, DOES THAT DO
ANYTHING TO THE V-SHAPED
RECOVERY, LARRY?
DOES THAT KIND OF DRAG IT OUT A
LITTLE BIT?
>> I DON’T KNOW.
AT THE MOMENT THE ANSWER IS NO
BUT THE NEXT COUPLE WEEKS WILL
BE VERY INSTRUCTIVE.
WE ARE SECURING AND MONITORING
EVERY NUMBER.
PARTICULARLY REAL TIME, HIGH
FREQUENCY NUMBERS TO SEE.
WE’RE LOOKING AT IT VERY, VERY
CAREFUL.
HATE TO MAKE PREDICTIONS ON
THAT.
I WILL SAY THIS, SO FAR, YOU
KNOW, REALLY ALMOST DAILY THINGS LIKE THE APPLE MOBILITY.
LIKE THE APPLE MOBILITY.
ASHLEY: INDEX, I, I SAW THE DAL
LEX TEXAS, MANUFACTURING, HOT
SPOT, THAT HAS DONE EXTREMELY
WELL UNTIL THE END OF JUNE.
WE’RE LOOKING AT BETTER
TRUCKING, BETTER HOUSING.
RETAIL SALES ARE SOARING.
WE’LL TRY TO FOLLOW EVERYTHING.
WE SENT TEAMS DOWN TO THE HOT
SPOTS IN FLORIDA, ARIZONA,
TEXAS, CALIFORNIA, AND A FEW
OTHER PLACES.
THE NEXT FEW WEEKS WILL TELL
THAT STORY AND WE’LL BE WATCHING
CAREFULLY.
ASHLEY: WE SPOKE TO AN ECONOMIST
EARLIER THIS MORNING, LARRY, WHO
SAYS GETTING BACK TO FULL
EMPLOYMENT IS JUST NOT GOING TO
BE POSSIBLE BECAUSE SOME
INDUSTRIES HAVE BEEN PERMANENTLY
CONTRACTED.
DO YOU AGREE WITH THAT AND,
THERE IS OBVIOUSLY IF THAT IS
TRUE, THERE IS NOTHING YOU CAN
DO ABOUT IT?
>> I’M NOT SURE WHAT THAT MEANS,
PERMANENTLY CONTRACTED.
AMERICA, WITH ITS FREE MARKET
ECONOMY, REMEMBER PRESIDENT
TRUMP CYCLED POLICIES OF LOW
TAXES, MAJOR REDUCTIONS IN
BURDENSOME REGULATIONS, OPENING
UP ENERGY AND BETTER TRADE
DEALS, MORE RECIPROCAL TRADE
DEALS.
LET’S NOT FORGET, USMCA WENT
INTO EFFECT YESTERDAY.
THAT WILL BE HUGELY POSITIVE FOR
THE U.S. ECONOMY.
YOU KNOW THESE PRIVATE SECTOR
COMPANIES ARE THE MOST
INNOVATIVE, INVENTIVE
ENTREPRENEURIAL PEOPLE.
WE WORK WITH THEM CONSTANTLY TO
DEAL WITH THE PANDEMIC.
WE HAVE, YOU KNOW, SHARED THIS
WITH THE PRIVATE SECTOR PEOPLE.
SO, I THINK THAT PEOPLE WHO ARE,
SOMEHOW THE ECONOMY IS GOING TO
STOP AND DIE, AS LONG AS WE KEEP
A FREE ECONOMY GOING, AS LONG AS
WE KEEP TO OUR RIGHT POLICIES, I
MEAN, I’M HEARING OTHER PEOPLE
ON THE OTHER SIDE OF THE AISLE
TALK ABOUT MAJOR TAX INCREASES
TO ROLL BACK THE TRUMP TAX CUTS.
ASHLEY: RIGHT.
>> TO ROLL BACK THE REGULATIONS
FOR A GOVERNMENT TAKEOVER OF
HEALTH CARE, FOR A
"GREEN NEW DEAL" THAT WILL
ABSOLUTELY DESTROY CONSUMERS AND
TRAVELING AND OUR LEADERSHIP IN
NATURAL GAS AND OIL, I MEAN
THERE ARE NUTTY THINGS OUT
THERE, IF THEY COME INTO PLACE,
IT IS GOING TO BE DISASTER FOR
THE STOCK MARKET AND THE
ECONOMY.
SO IF YOU LET THE ECONOMY STAY
FREE, AND YOU KEEP INCENTIVIZING
WORK AND INVESTMENT AND RISK,
THEN THESE INDUSTRIES WILL COME
BACK AND THERE WILL BE NEW
INDUSTRIES, ASHLEY, NEITHER OF
US CAN EVEN PREDICT RIGHT NOW.
ASHLEY: I THINK YOU’RE RIGHT.
JUST CHANGING TOPICS HERE,
LARRY, I WANT TO TALK ABOUT
CHINA.
SECRETARY OF STATE POMPEO SAYING
THEY WANT TO RESTRICT NOW SOME
EXPORTS TO HONG KONG, CALLING
HONG KONG NO LONGER AUTONOMOUS
FROM BEIJING.
DO WE HAVE ANOTHER CONFRONTATION
FACING US WITH CHINA?
>> WELL LOOK, SECRETARY POMPEO
IS RIGHT.
NATIONAL SECURITY DIRECTOR
O’BRIEN MADE THE SAME REMARKS.
THE PRESIDENT’S MADE THE SAME
REMARKS.
WE ARE VERY UNHAPPY WITH CHINA
AND YES, THERE ARE GOING TO BE
EXPORT RESTRICTIONS,
PARTICULARLY WITH RESPECT TO
MILITARY, NATIONAL SECURITY, AND
SOME SENSITIVE LIE TECHNOLOGY.
BECAUSE THAT STUFF IS GOING TO
LEAK RIGHT INTO COMMUNIST CHINA
ON THE MAINLAND, TAKEOVER OF
HONG KONG.
SO WE’RE VERY UNHAPPY WITH THEM.
WE’RE VERY UNHAPPY WITH CHINA’S
HACKING INTO OUR GOVERNMENT AND
TO OUR PRIVATE CORPORATIONS.
THEY ARE NOT SECURE.
THAT’S WHY WE’RE KEEPING HUAWEI
AND OTHER CHINESE PHONE
COMPANIES OUT OF OUR EFFORTS FOR
5G, WHICH I MIGHT ADD ARE
ROARING AHEAD WITH TREMENDOUS
ADVANCES IN SPECTRUM AND
SOFTWARE.
YEAH IT IS A BIG PROBLEM.
WE’RE NOT IN A GOOD MOOD ABOUT
CHINA.
THE PRESIDENT SAID THAT
REPEATEDLY.
ASHLEY: IF YOU’RE NOT IN A GOOD
MOOD, DOES THAT SPILL OVER TO
THE TRADE DEAL IN GENERAL?
>> WE’LL I’M IN A GOOD MOOD,
ASHLEY.
I JUST WANT TO EMPHASIZE THAT.
IT IS THE CHINA PROBLEM WE DON’T
LIKE.
WILL IT SPILL OVER?
AT THE MOMENT, AT THE MOMENT WE
ARE ENGAGED ON THE TRADE DEAL
PHASE ONE.
AMBASSADOR LIGHTHIZER HAS BEEN
REPORTING RECENTLY AS YESTERDAY.
ECONOMICS TEAM MET OVER AN HOUR
WITH THE PRESIDENT.
THE TRADE DEAL IS PROCEEDING.
THIS IS KIND OF A COMPLEX
RELATIONSHIP, YOU KNOW?
IT OPERATES IN MANY DIFFERENT
LEVELS AND MANY DIFFERENT
TRACKS.
TRADE IS WORKING RIGHT NOW.
WE WILL SEE IF THEY HOLD TO
THEIR PROMISES.
CERTAINLY HOPE THEY DO.
OTHER ASPECTS, YOU KNOW, THE
CHINA VIRUS, AND THE LACK OF
TRANSPARENCY AND REPORTING, VERY
BAD.
THE HONG KONG STORY VERY BAD.
THE HUMAN RIGHTS UYGHUR STORY,
VERY BAD.
LOOK AT IT, TAKING HONG KONG’S
FREEDOM AWAY IS A GLOBAL EVENT.
IT IS SENDING A MESSAGE THAT
CHINA CANNOT BE TRUSTED.
THAT CHINA WILL NEVER BE A FREE
COUNTRY.
IT MOVES IN EXACTLY THE WRONG
DIRECTION.
AND YOU KNOW, WE’RE GOING TO
HAVE A G7 MEETING LATER IN THE
SUMMER HERE IN WASHINGTON, D.C.,
AND THE CHINA STORY IS GOING TO
BE FRONT AND CENTER, NOT JUST
US.
EUROPEANS ARE DISPLEASED.
CANADIANS ARE DISPLEASED.
INDIANS AND JAPANESE ARE VERY
DISPLEASED.
SO WE’LL BE TALKING ABOUT THAT
FOR QUITE SOME TIME.
ASHLEY: ALL RIGHT.
I WILL LEAVE IT THERE I BELIEVE
YOU.
I THINK YOU ARE IN A GOOD MOOD.
YOU HAVE TO BE IN A GOOD MOOD
AFTER THAT JUNE JOBS REPORT.
>> JULY 4TH WEEKEND, ASHLEY.
LET’S CELEBRATE AMERICA.
LET’S CELEBRATE THE GREATEST
COUNTRY IN THE HISTORY OF
HISTORY.
ASHLEY: AMEN TO.
THAT I’M RIGHT THERE WITH YOU.
LARRY KUDLOW, WHITE HOUSE CHIEF