JOHN BATCHELOR SHOW
Co-host: Larry Kudlow, The Kudlow Report, CNBC; and Cumulus Media radio
Tuesday 20 Feb 2013 / Hour 1, Block A: Larry Kudlow, in re: the sequester: will the US grind to a halt? No – it's chump change. The idea htat a small spending cut will cause this is dumb.
Tuesday 20 Feb 2013 / Hour 1, Block B: Gregory Zuckerman,
Special Writer, Wall Street Journal, and author, The Greatest Trade Ever: The Behind-the-Scenes Story of How John Paulson Defied Wall Street and Made Financial History, in re:
Tuesday 20 Feb 2013 / Hour 1, Block C: . John H. Cochrane, Grumpy Economist, Hoover Institution, Cato, and Chicago Booth School, in re: What's Holding Back the US Economy? Growth is the most important thing - a new normal of very slow growth is dangerous, Not one thing; comes from the sum of many little things. Paul Krugman thinks all we need to do is borrow money and pour it back in. The rest of us taxes, regulation, economic sectors dysfunctional and need to be cleaned out: health care, financial mkts (Dodd-Frank), EPA, and so forth. The Fed is like oil in the car – they can mess things up but really can't make it l log forward. Financial side of the Fed is a different story. When it comes time to raise rates, then we'll see some real issues involving the Fed. Three-and-a-half-trillion dollars will do more than fix potholes. Growth is not abt housing – need high tech, bz investment, R&D, new processes, new products, for long-run growth. Horrendous inefficiencies in health care – the market, itself, is very protected, monopolistic. Researcher tried to get prices on hip replacement: most refused, but actual numbers vary by a factor of ten. Eighteen per cent of our economy is for health care - and it isn’t working. Where's the Southwest Airlines of healthcare? If we had a clear, simple, stable tax codes, things'd be a lot cleaner.
Tuesday 20 Feb 2013 / Hour 1, Block D: Larry Kudlow, in re: Erskine Bowles said the public will weigh in on sequester when the lines extend at the airports. Kudlow says: TSA is a classic case of waste, fraud and bureaucracy. Bowles used to have a decent tax reform plan; he said none of that on CNBC today – no growth message, whatsoever. $4.91 bil budget at NASA; the sequestration is $______. LK: Whole agencies cd be cut – Commerce, Education, chunks of Interior shd be turned over to states; Agriculture, with subsidies from the turn of the previous century. It's not 1996 any more; we're in a spending crisis.