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tv   The Kudlow Report  CNBC  February 27, 2014 7:00pm-8:01pm EST

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don't forget, salesforce if it comes down, it's an opportunity. but workday up 10%, it goes highe crisis and catastrophe continues to build in the ukraine. armed men took over the parliament. russian troops run emergency drills. what is putin's game? we're going to get a report from moscow in a few moments. as bad as the ukraine story is, the economy is too tiny to have real impact on the rest of the world. hence, we had a new record close for the s&p 500. don't think for one minute janet yellen is going to stop tapering bond buys. profits are the key. as i've been telling you many
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months, bitcoin is not money. it was a bad day for reckless folks that invented it. can't say i didn't warn you. we have breaking news. a brand new time magazine cover story written by steve bril that says president barack obama considered scrapping the entire obama care website just a few weeks after it was launched. we'll have bril on the show later on. all those stories and much more coming up on the kudlow report beginning right now. good evening everyone. i'm larry kudlow. this is the kudlow report. we're live here 4:00 pacific. the stocks closed at an all thyme low today. good evening robert.
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>> hi larry. we finally made it. closing highs across the board for the s&p 500, russell 2000 and mid cap. stocks slowly climbed higher as janet yellen in the senate. they're monitoring closely in case there's a fundamental problem. those were soothing words in the congress. she's got the wise grandma college professor way. the question was differential. jcpenney was up big time, loss not as bad as expected. the company said store sales would increase 3 to 4%. chicko closed the bottom. back to ukraine.
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russia is getting more addre aggressi aggressive. good evening jim. >> the main flash point strategic because of the black sea base there. after scuffles with proe and antirussian protestors outside the parliament, this building was seized this morning by armed men with rpg's, ak 47's and sniper rifles. they raised the russian flag over the building where it's flyifly ing tonight. police surrounded the building. on his first day as official interim president, he warned russia any troop movements outside the black sea fleet base would be seen by eye crane as act of aggression. long lines of personnel carriers
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and troops on the road to the crimea town near the base. all of this making for a tense standoff. worse larry, it's the kind of cocktail in the past and other former soviet republics led to military intervention. back to you. >> many thanks to jim. despite the fact ukraine is fall ago part, u.s. stocks performed well today. the question is whether the mess in ukraine will have effect on the u.s. or markets. now the center for transatlantic relations and dan goldman, director of financial markets. don, let me begin with you. i'm trying to fig your out putin's game here. he has not said a public word so far as i know. all of a sudden masked gunmen
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show up and take over. what's his game? >> he's a 5-year-old boy who's toy has been taken from him. he's having a tantrum. the commission collapsed in the last two weeks. they're playing ing number of g. some are dangerous and some are reckless. he's sending jets in the air, having military exercises. >> at the moment, i want to get to dave goldman on the economics in a minute. at the moment don, he's not willing to come out with public statements. it seems like he's not making a move. he's -- i don't know m must be uncertain now what to do. >> i think you're right. he's testing the west too. there are three fronts. eastern ukraine heavily ethnic
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russian, kiev himself where he lost the game for now and the crimea where they have a naval base. i think that's where the action will be. if he decides to attach crimea, what is the west going to do? you mentioned correctly today what's going on. it's heavily ethnic russian. if he decides they're going to have a referendum which will say we're going away from ukraine, he's essentially telling the west, what are you going to do about it? we don't have counter pressure to bring to bear on that issue in that place. >> oii want to get to president barack obama 's red lines. my friend david, it's a huge mess. you call it hopeless but not serious. what do you mean by that? >> the market cap on the market exchange is smaller than the disney. it's a fifth the size of turkey.
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per capita income is little higher than egypt. miserably poor left over of soviet republic. they'll have a chaotic mess for a longtime. let me give you the words of the prime minister. we are a team of people with a suicide wish. welcome to [ bleep ]. to get $35 billion, they're going to have to accept massive subsidy cuts. people earn $3,000 a year on average. >> like greece. >> more like egypt. >> maybe less than egypt. it's close. let me ask you this, will the u.s.a and i.m.f. bail them out? you've got a battle. i want to ask the same strategic question of don jenson. the european yuan yon and oichlt
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-- union had a chance to pulle them out. will they take the risk to get the ukraine in the western fold? >> i don't think it will happen. putin fumbled and we will fumble. that problem is a retractable mess. the costs are so high we won't be able to come up with it. >> there's no risk of contagious among the markets. without systemic risks, our investors should not be worried? >> absolutely not. russian debt holders will take a hit. don't buy russian bank stocks. ukrainian bonds are so low, no one can burrow begins to them. tragedy for ukrainians. our stock markets will ignore it completely as they did today. >> on the first day, they have basically ignored it. don, let me come back the to you.
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i think the potential is actually shifted in the last few days. the potential of a split has gone from the east versus the west. a lot of easterners are unhappy. there's not a lot of sign they're going to split apart to the south to crimea. the potential of crimea breaking off and being a rugssian protector is high. one point about the economy. half of pipeline gas goes through ukraine to europe. russians could easily play games with gas prices and shutting off the gas entirely. it's happened twice in six years. >> with respect to ukraine shutting off natural gas to ukraine. >> those shipments go to europe. all they have to do is turn off
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the gas at their end. europe at least during the cold weather will have a lot of problems with heating. >> russians need that money though. i very much doubt the russians do that for a long time. that would be shooting themselves in the foot. russians are going to let the ukrainians stew in their own juice, encourage chaos. you won't get tanks. you may get russian tourists with heavy duffle bags. >> i know it's down, how far is russian currency going to go? >> maybe another 10% down side. russia has foreign reserves. russia is not a financial problem in itself. it's simply a week economy. >> turkey survives this without contagi contagion? >> they have no contagion except
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for the turks. i think that's a 1% chance. >> i think i'm beginning to understand after listening to both of you. the crimea is going to be the key. the fleet is there. the politics are there. they're really part of the russian, old russian soviet empire. watching crimea, this is why the parliamentary take over was interesting to me. is that the key, keep your eye on crimea? >> for now it is. russians are hyping the crisis to provide a pretext to go in if they want to. >> thanks don jenson and david goldman. thanks very much. don't say i didn't warn you. i'm serious. this has been a bad day for a lot of bit john coin investors. morgan brennan will join us later with the latest on the story. we'll look at the record closing eye for stocks. it's not janet yellen pulling back on the taper. i don't know why people don't get that.
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at least that's going to be my focus. meanwhile as always, don't forget free market capitalism is the boast prosperity. you've got to have a monday tooir system. b bitcoin is not a monetary system. wooirl have more on that disaster. stay with us. i'm kudlow. [ male announcer ] these days, a small business can save by sharing. like carpools... polly wants to know if we can pick her up. yeah, we can make room. yeah.
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i hate to say i told you so, but unfortunately i was right about bitcoin. listen to what i said exactly a month ago. >> it's not a real median of exchange. it's not backed by gold or commodities or even the u.s. government. i don't have a problem with people investing in bitcoin. my problem is it's not money. ordinary people should not be fooled into thinking it's money. it has no value. >> i've got more to say. let's get updated on the news surrounding it. morgan brennan joins us now to give the latest. good evening. >> good evening larry. it's been a tough week starting with the fact the currency most popular online exchanges disappeared this week. the website went blank monday after bankruptcy rumors
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surfaced. the company had been bitcoin's biggest exchange until earlier this month closed all exchanges. $400 million is said to have been lost. so federal prosecutors in new york are now reportedly investing. of course it's also fuelling the already heated debate about the unregulated currency and it's future. among the most vocal against it, now the west virginia senator joe man chin. when asked about bitcoin testifying before the economy today, janet yellen gave a different take. >> to the best of my knowledge there's no intersection in any way between bitcoin and banks the federal reserve has the ability to supervise and regulate. so the federal reserve simply
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does not have authority to su r supervise or regulate bitcoin in any way. >> yellen noted because there's no central issuer or operator, bitcoin is going to be hard to regulate. we're going to have to see how this plays out. >> this is my point. one of my points what mrs. yellen said. feds don't have the authority to regulate it. more importantly there's no central issuer. money has to have a central authority. that's the way it works. there's no network operations therefore it's not -- let me emphasize, it's not a payment system. i don't care. people can trade whatever assets they want to trade. that's none of my business. i'm a free market guy. money is different. money runs through central banks and operates payment systems. this is not and never has been a reliable miedium of exchange.
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people may have lost a cool $400 million. imagine paying bitcoin in a supermarket. you'd have to change prices every 20 to 30 seconds. there's no value to it. moneyless of money. you have to believe that it's money. it's a psychology. nobody believes bitjoin is money. i hope people get that through their thick skulls. those of you in doing tal media, trade it. you're not close to money unless you want to back it with gold. you want to back it with cold come talk to me. that i would be favorable. tweet me. i'm happy to talk about gold backing. other than that, forget about it. morgan brennan, pardon my rant. thank you for your work. now block buster news story. a news story just out says
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president barack obama considered scrapping the entire health care.com website just after it launched. that's right, scrapping it. this story was written for time magazine. he's about to tell us about it. stay with us. obama almost scrapped the whole website. all-you-can-eat is a hotel policy that allows you to eat all that you can. the hotel gym is short for gymnasium. the hotel pool is usually filled with water. and the best dot com for booking hotels, is hotels.com. it's on the internet, but you probably knew that. or maybe not, i don't really know you. bellman: welcome back, captain obvious. captain obvious: yes i am. all those words are spelled correctly. when i first felt the diabetic nerve pain, of course i had no idea what it was. i felt like my feet were going to sleep. it progressed from there to burning like i was walking on hot coals...
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the brand new time magazine cover story, block buster from stephen bril. he reports president barack obama actually considered pushing the pause button on
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obama care and scrapping the entire obama care website just a few days after the disastrous launch. steve bril joins us now on the phone. with us on set, dr. scott gotly from the american enterprise institute. it's been a while. you're a good reporter. you blew my socks when i saw this before the show went on. >> how are you doing? >> i'm great buddy. good to hear you. tell me briefly what you've learned obama might have closed this down right away. . it was beginning october 17th which is about two weeks after the launch. the day the government shutdown ended meaning all attention was going to be on the failed website for the first time. the president asked his chief of staff to go find as many experts as he could who could come in and make an assessment as to
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whether they should scrap the whole thing and start over again. that's what happened. they brought in a guy who had been responsible for twitter's website and twitter's entire technology and who saved it in the early days. they brought in a bunch of people in silicon valley. ironically people from their own campaign that ran the technology, powered analytics that did them so much good. >> that's a lot of heavy lumber you're describing. >> those are geniuses. they saved the thing. >> so why didn't they just say close it down? >> because what they said instead was that the site had been so badly planned and had so many obvious mistakes that there was so much low hanging fruit that they thought in ten weeks
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they could completely fix the site that took the government contractors two and a half years and $300 billion to build. they said oh we can fix this. it's an commerce site. we know how to do this. they did it by working 18-19 hours a day through the thanksgiving weekend right up to christmas eve. they got it done. >> the back end to decide is still busted. the payments end and the connection between the website and insurance companies is still not built and not working. >> that's not fixed. that's of no consequence to people enrolling. it forces the insurance companies. it's not a consequence to people enrolling. it forces the insurance companies to have to do billing and the tallying of who's in and who's out using a bunch of spread sheets instead of doing it the way they had planned. they'll get to that. it's ridiculous it's going to
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take them so long. in materials of getting people to enroll, the site is fixed. >> let me go to dr. scott gotly. what do you think? >> that's a consequence to people. the fact the back end isn't built is a consequence to consumers. they may not be enrolled in plans they think they're enrolled in. the government shutdown was over the president's refusal to delay obama care. it turns out obama care didn't work. we didn't know at the time the president was refusing to delay. he was desperate for a delay. >> he was considering it big type. >> he considered after the fact after they launched the thing. they realized it didn't work. people knew this thing didn't work beforehand. this was engineered from the white house. >> everything you said is wrong. i know you have a political position to defend which i don't which is ironic of course the obama care plan came out of the american enterprise institute. >> that's wrong. we'll leave that for another day steve. the domestic policy council was
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more involved in the architect of this website and overseeing it than has been reported. >> that's like larry and me being involved in the architecture of the website. we don't know anything. >> steve, in all honesty, i've had left of center people come out on with scott and agree he's a man of facts and analysis. he's not going to give you the political. >> i didn't hear any in that last comment. >> i want to go beyond this and ask you, here's the president looking at this disaster, calling in all these high powered experts. okay, i get that. why didn't he put somebody in charge? remember this debate about who is in charge and finally they figured out who to put somebody. the chief of staff or somebody at hhs. throw these dumb contractors out. why didn't he take steps immediately to let the public know that this stuff was going on? >> because i think it's fair to
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say when it comes to governing, this white house is very involved in policy and policy debates and not very much involved at all in the nuts and bolts of governing. it's almost as if that's for lesser people to worry about that stuff. >> go ahead steve. >> you made the comment the fact the back end of this isn't built out, that will have no effect for consumers. do you think that's true? >> i assure you we would have heard on this program, fox and every else. i would have heard it as a result of the piece i wrote last year. if thousands of people were showing up now at drugstores or doctors's offices with the problem that they thought they enrolled in insurance but there's no record of it, we would have heard of it. >> remember the administration has the plans to effectively grandfather people for a month or two. we have had stories of people
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showing up at doctors's offices and stories. >> we've heard stories. i've had that to happen to me a year ago when i showed up at cvs. what i'm saying is it's not a small problem. it's a legitimate criticism for sure. it's not the issue going to affect consumers either in the ability to enroll or ability to get their insurance coverage signed up for. >> all right. we'll see. any ways, steve, great story. we appreciate your time. >> thank you. >> look forward to getting you on the set with me and we can talk more. folks, stick around. we've got more to talk about. we're going to talk politics. the fallout from obama care is ruining the president's numbers. he's going on negative coattails of democrats running for november. this is the new york tiles poll. wait until you see the latest polls. we have that and much more. scott is going to stay with us.
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to nbcuniversal's coveragens of the biggest loser olympic winter games ever, with the most coverage of the most events on every device. and the most hours of streaming video on the nbc sports live extra app, including the x1 platform from xfinity. comcast was honored to bring every minute of every medal of nbcuniversal's coverage to every screen. so what's next? rio 2016. welcome to what's next. comcast nbcuniversal. welcome back to the kudlow report. i'm morgan brennan. a chain has started charging customers extra to cover costs related to obama care.
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at least eight dock side restaurants are tacking on 8% to checks. the sign on the door says costs related to obama care could cost them to shut down restaurants. it expects to bring in $167,000 a year, a third of additional cost to provide full time workers with health insurance. larry, back to you. >> we appreciate that. a new new york times poll says president barack obama 's approval is down to 41%. i believe that's the second lowest ever. 51% disapproval. clearly obama care is killing them. i think his negative coattails are going to drag the democrats down in november. 6% say the law is working well. that's all you got out of that. here now is former obama campaign aid, terry jeffrey, editor and chief, dr. scott gotley with us. let me finish off the 6% in the
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cbs poll, new york times. not exactly a far right gang. is obama care working well? 6%. now good things but changes needed, 50%. people think you know, you could tweak this and salvage it. however 42% wanted an entire repeal. now, oii want to go to you on ts because you're in the repeal camp. i suggest republicans adopt a three year moratorium. stop the mandates, stop everything. stop the madness as i call it. that allows you to do both. you might wind up repealing it. after three years you might keep a couple things like the pre-existing conditions and so forth. wouldn't that be a good strategy rather than have to choose? those numbers are close, 50 and
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42. >> i think for the sake of the country we need to get rid of obama care. politically i think you're right obama care is the center of the election. this poll showed 64% of the people said they would not vote for someone that had a different position on obama care than they did. most importantly you had 42% say they'd vote for the republican house candidate, 39 for the democratic house candidate. that's a generic poll. go to october 2010, this same poll just before the election when republicans took over the house, democrats had a 43%. republicans are in a strong place to win the election in the house this fall than they were in the tea party election. that's because of obama care. they need to keep obama care at the sent over what they're doing. >> it's not over until it's over. one has to be suspect.
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republicans in my humble opinion should have taken the senate back in 2010 and 2012. they didn't for whatever reason. there's a bunch of reasons. you've got to have economic growth platform, jobs platform to go with obama care. there's splits on immigration, same sex marriage and legalization of pot. sometimes the government doesn't side with the gop. >> as long as the president barack obama approval ratings are low now, the leader of the republican party, john boehner only 35% among republicans. this is the first time in modern history 60% of voters want to kick out the congress person representing them. with did overwhelmingly republican congress, that doesn't bode well for republicans either.
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has the publicity around obama care hurt the president? i agree where that. >> it hasn't hurt him. it's killed him. >> his approval rating matters less because he doesn't have to run for re-election again. >> i understand. that he cast a shadow. i want to ask you scott about the restaurant tax. i'm sure this is going to get around in campaigns. do you expect more or less from this? >> i think you'll see more businesses do this. this is a case in florida a business has to roll out coverage to about 500 employees on staff. >> gators dockside. >> i've got a picture of it. the chicken sandwich $8.99. chili cheese doing $6.99. there's a buck and a half sales
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tax. 20 cents aca surcharge. is it more or less? >> they interviewed this guy. didn't seem like he was trying to make a political statement. seemed like a business man trying to find a way to bake costs into the total bill. you'll probably see more businesses to do this. some to make a political statement, some just business. >> terry jeffrey, when are the ads going to run on this? we're going to get to scott on this story. irs is getting ready to punish everybody who hasn't signed up. i don't think that's going to last. i think obama will extend the march 31st deadline. i think he's going to renew the cancelled policies. numbers are going to be so lousy it will be another extension. people are sick of extensions. no one knows the rules of the road here. >> i think that's the pattern we've seen larry. what the president tried to do, every time the public was going to try to pay cost for obama
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care except when he said shut the whole thing down, he delayed it. he doesn't want the political costs of the costs that obama care is going to impose on people's everyday lives. if push comes to shove, they don't care about congress legislating it. they'll do what they can to impact the average person of obama care between now and november. >> mark, why don't the democrats, the endangered democrats -- at least half a dozen of them -- why don't they take my idea or something similar and stop this thing? go to a moratorium. stop the madness, stop the mandates, stop the dates that people -- stop the irs that may take their money. they may give money and wind uptau uptaking it back. there may be disagreement. if i were an endangered democrat, and there may be up to
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a dozen, i would want to stop this right away. >> if you were concerned about your own self-preservation many the senate or house. democrats have understood health care reform has been a democratic priority several decades. they have a long view of this. they see millions are signing up for obama care. over time millions more will. as american citizens see neighbors, kids, cousins signing up for and saving money on obama care, they realize that public opinion hasn't congealed just yet. >> signups are more expensive. here's the system -- i know geniuses were involved in this. nobody understands this system. >> i want to ask mark a quick question. after the president had a showdown with the republicans over a delay in obama care, do you think it's credible the president would have delayed implementation of obama care and suspended the website? >> i don't understand the the question. do i think he would have
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suspended -- >> they just had a showdown with republicans over shutting down the government. >> no, they didn't have a showdown with the republicans. ted cruz single handedly hijacked the a jogenda and went against his party. >> mark, this is not a trick question. steve brill distinguished reporter in my opinion. he wrote a cover story for thyme and said two weeks into it, the president was seriously considering a total suspension of the website. they wound up bringing in experts, okay, and allegedly fixed it. i don't think it's fixed. that's the question scott is asking you. it's -- do you think he would have seriously suspended the website and would that have been a good idea for obama? >> if the president thought that obama care website rollout was
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going to be as disastrous as it turned out to be -- it turned out to be disastrous. he absolutely not just for political reasons but also for political reasons but for pub link policy would have suspended it. he wouldn't have gone out two or three days before and likened the obama care rollout to liking tickets on airfare.com. >> tell me. there was a weird obama provado sort of like when bush had mission accomplished. they're not politically equal. why would obama had gone out and made fun of this like he did and knew it was a disaster? >> there was a disconnect in the early day between what they knew and what was going on at cms. the facts are facts. the president clearly didn't seem to know. the white house -- we know the
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white house was involved in a jude dating and overseeing this. the domestic council was heavily involved. why they weren't participating with the president i don't know. >> i've got 25 seconds for you. does the republican party just do obama care or do they need other issues to win the senate in 2014 this november? real fast. >> look, we know that they're not going to get legislation that's good through the harry reid signed by the president. they need to stick by principles, don't abandoned core. >> what principles? >> we can't. >> we know what they're against. what are they for? >> freedom. >> we'll have you back. go read the new york times. i've got to get out of here's. we appreciate it. steve brill before that. big day for new fed chair
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janet yellen. did she say anything about finally getting the fed back to a clear rules based monetary policy? did she give false hope about slowing the taper? we're going to talk about that next with the house of financial services committee. when you order the works you want everything. an expert ford technician knows your car's health depends on a full, complete checkup. the works. because when it comes to feeling safe behind the wheel, going the distance and saving at the pump you want it all. get our multi-point inspection with a a synthetic blend oil change, tire rotation, brake inspection and more for $29.95 or less. get a complete vehicle checkup. only at your ford dealer.
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i have always been in favor of a predictable monetary policy that responds in a systematic way to shifts in economic availab variables. these are unusual times in which monetary policy for quite a long time has not been able to do what a rule like the taylor rule would have prescribed. >> all right. that of course is fed chair janet yellen testifying earlier this month. she won't commit to a rules based policy. i think that would help businesses and consumers and economic growth. let's ask the man leading the push, house representative chairman, republican from texas. as always, mr. chairman, welcome
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back. we're a little pressed for time. we had a breaking news story. i have two big questions for you. one is the rules based policy. one came from various sources. you are pressing for a rules based policy to create certainty. i think you're using john taylor's rule. y yellen, what's up with her? why won't she go there? >> i don't know. earlier in her academic career she favored the other policy. she doesn't seem to embrace it now. she says these are unusual times. the financial crisis occurred in 2008. it's now 2014. her predecessor muzing about the word taper caused markets to swoon. this is not a good thing.
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this is not healthy for the economy. if you do any any retro analysis, look at 1984 to 2003 functionally in retrospect it created stability and economic growth. i think as our economy undertakes the oversite project of the fed, the data i've seernseen, we have a rule based policy. you have stable economic growth and more positive economic growth. this is something is the fed needs to do. ? this is out of the dr. john taylor. >> absolutely. >> a great friend of ours and of the show. this is out of his playbook. they basically used the taylor rule as you noted for 20 years. it worked out pretty darn good. it's hard for me. look, i know she's a very, very smart professional columnist. we're five years after the financial meltdown. so at what point does
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unconventional get thrown out the window. taylor's rule would have put the funds rate at target one and a quarter percent now. >> i thought it was one and a half. >> i could be wrong. >> i don't know. it's disappointing larry. you know, you fear that undiscretionary power among the federal reserve, the public deserves to know what is the formula? what are the variables? how are the variables weighed so they can make decisions? it casts so much uncertainty. we know that this quantitative easing is so artificial. you know, it's kind of like walking a tight rope. fire on one side, ice on the other. chances of keeping on the tight rope and making it to the other side without damage to the
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economy is not good. we hope as we carry hearings on in the house financial committee, we can shed light on this, promote more economic growth. >> i hope you do. i know the consumer protection thing was reformed on the house. i'm sorry we don't have time to go through that. it deserves the accountability you and others want to have. it's sitting there spending the fed's money. always great to see you jim. i apologize for running short on time. >> thanks larry. >> thanks for your time. folks, s&p 500 closed at an all time high today. check your 401k. i think you'll be happy. all that and more. stay with us.
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let me talk to you about retirement. a 401(k) is the most sound way to go. let's talk asset allocation. sure. you seem knowledgeable, professional. would you trust me as your financial advisor? i would. i would indeed. well, let's be clear here. i'm actually a dj. [ dance music plays ] [laughs] no way! i have no financial experience at all. that really is you? if they're not a cfp pro, you just don't know. find a certified financial planner professional
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happy 401k. s&p 500 and russell 2000 both. it's a tough sale. let's ask experts. the ceo of the american bankers association, frank. the former oklahoma governor. and trend macro chief investment officer. we're going to divide heavy lifting. first off governor, thank you for coming on. we had dave frank on the committee, big bang tax in there. who better than the head to
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comment on it. >> not happy. i mean the reality is, larry, what dave camp is doing -- he's a bright wonderful person. he's following along what the diminishing panel i was on and obviously the simpson bowles panel. both came together and recommended fundamental tax reform with growth. we lowered to 27 and got rid of reductions and credits. what he's done is not similar. to go after the lending side of the equation in over ten years and take nearly a trillion of lending out of the economy. how does that help anybody? >> they're looking for revenues. as a follow up on that, you've got i think something of a g hall against banks coming in this administration. we don't have time to go into that. you've got stiff capital requirements but also stiff liquidity requirements.
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that's a new thing. is that or are those policies putting a crunch on lending? has it stopped the kind of lending we might have normally seen? >> today unlike some cases before '08 you've got to have assets to borrow money. that's a good thing. there's more capital and equity in the united states. it's an industry. we want to make loans, but obviously the economy is very slow. there are a lot of people uncertain because of regulatory burdens in their own businesses because of obviously the cost of obama care. people are holding back. as you said many times, 2% growth rate is not satisfactory. we have to do something about it. the big problem for banks is 11,000 pages of proposed and final rules in dot frank. >> that's what i think. dan luskin we busted through a record today.
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i don't have a lot of time. people say because yellen is not going to taper bond buying down. i think that's crap myself. what's your take on the market? >> you said it already. market is all time highs because earnings are all time highs. as far as yellen, how the market can say she's not going to taper, i don't know. she says over and over she's going to. plab the market does know something. yellen is not following through on what she says. you were talking about rules base ded. the taylor rule is the yellen rule she came up with in 2009 saying the fund should be 6.5%. remember how much taylor hate had the? her version of the taylor rule, the yellen rule, says the funds rate should be 2% and balance sheet should be lick inquiry da liquidated. she was chairman of the sub
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economy in 2012. we're eight basis points from there. we have the rules. we have to follow them. >> i think rules would be helpful. that's quick picking on banks. i'm sorry we're short on time. breaking news tonight. that's it for this evening's show. thanks for watching. we need more bank loans. i think we're going to get more profits too. i think that's going to boost the stock market. profits are the mother's milk of stocks. you can bank on it. we'll see you tomorrow night. ♪ ♪ and there's nothing really good around ♪ ♪ turn around ♪ every now and then i get a little bit tired ♪ ♪ of living off the taste of the air ♪ ♪ turn around, barry ♪ finally, i have a manly chocolatey snack ♪ ♪ and fiber so my wife won't give me any more flack ♪ ♪ i finally found the right snack ♪ ♪ like carpools... polly wants to know if we can pick her up. yeah, we can make room. yeah.
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