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from time to time. david, great to see you, rich. great to see you as well. so, david, we just had a four year test drive of

progressive democrat policies. i mean, of course, we elected biden, who claimed to be a centrist for all of his life, but the policies were clearly on the left the economy, the border, public safety, foreign policy issues. it was a disaster. the test drive crashed big time, both with the economy and even. i mean, you think of the peaceful time during the trump administration. that wasn't coincidental. that had a lot to do with his leadership, donald trump's leadership and the wars that ensued during the biden administration. so. so where do democrats go from here? >> where do they go from here? probably not far from where they are they stick to it doesn't work pretty fit look at the split in the democrat party the elitists are too old to stand charge much longer. much longer than nancy pelosi joe manchin of fake being a centrist left. what are they left with? is aoc, hakeem jeffries, the squad members, who really are

the center, the heart of their party? are they going to change? no. bernie sanders walk up the stage he did his job, got his nose under the tent and now as he said his policies his thoughts are now mainstream in the democrat party. hilary clinton recognized a large part of her basement she ran against trump was socialist. the democrats are stuck there for some time. it also means a significant resistance they are going to continue not just against trump really against the country. they are complaints about billionaires. they have their own billionaire and so many others. there were more billionaires supporting kamala harris and supporting trump. >> i had a list of 88 prime wall street players that were supporting harrison. so they are not going anywhere. part of that money griffiths acquired the power to help to build the next big.

>> you said it was the old school for you are right we had joe manchin and we were going to run the soundbite but we won't. i do want to run the sound bite of a younger democrat who is thinking of actually moving to the republican side if democrats do not get off this progressive. run this steven smith soundbite if you have it there. >> i voted democrat up got it sy something right now, i do not like the fact that i did. nobody is above the law you go out and you parted your son i'm no longer interested in nor do i believe any of us should be interested in listening to a bunch of fear mongering to tell us who we should vote for. what tells us why we should vote for you? if donald trump, jd vance our host of other public and candidates coming down the pike, that's the kind of message they are going to put forth, i am down for it. i'm open minded. >> you have a rookie like john fetterman who said i am not

rooting against donald trump. it's not just the old old-timers who want to change the progressive policy. i read the party is not going to change. it's not going to need to new lose another national election or to it you want to look at someone who gets it i think it's jon fetterman pre-speak with a clear and authentic voice. be a little funny and brash. do not just distance your self from the left, and announce them when they are ridiculous, wrong or more which he she has done or the last year. that's a workable model for the party. >> jon fetterman has changed from the way he was before the stroke. like the stroke really shook him up for. >> psp high on politicians is that the best year this past year. >> included key sort of lead the party be at the front of the spear of changing their policy? >> i think is going to be a loner. going to continue to be a loner because of forces that make the democrat party fall to the left

are far too strong. >> david want to switch to save the public safety side of the national debate which i think democrats are losing big time. we see with our eyes what is happening. the most recent example the barbaric attack of the woman in the sub- white she was burned to death by a guy who was sitting there watching her burn and and was kicked out during the trump administration came back probably during a bite and we do not know that as a fact. he is not been convicted yet. but the amazing thing is the reaction of governor hochul. after the actual attack and i said for and putting up her ex- post is now in custody for the horrific incident on the train the brand-new security cameras helped law enforcement to get the suspect. she has no bragging rights for

not preventing what happened here. it is all about prevention. we have to prevent attacks on innocent people. not just react after it has happened. >> kathy kamala's more tone deaf on illegal information then cuomo western covid. kathy hop hopeful's and other working families party candidate much like letitia james who was her biggest first success on the state. >> working families for those is a far left outfit. >> is by their policies of the communist party in new york and they are operating in about 24 states right now. i've been tracking them for a long time. when you look at what kathy hopeful did, she is trying to take credit for something that she caused that deal with the mta, the state who governs it and the city falls under the governor. she is responsible she and her office is responsible.

>> rich, having said that you've got to give it some. >> first hats off to dave he lost a piece of equipment didn't bat an eyelash? it's not an eyelash. i've been in the business a long time you done well. it's not just governor hochul ddal [was so busy on this lame brain a prosecution of donald trump on going after daniel penny talked about the subway crime here's a guy who steps up. a former marine steps up does the right thing all d.a. bread can do is try to prosecute the guy. thank god the jury was not of like mind. he has got the d.a.'s got to take some blame for this very. >> of daniel penny had punch someone in the head, ran and left he would've been fine. it's because of his race and he stepped in and did the right thing. i do not care what the statistics if one person is burned alive on the subway that has an effect on everyone because you're thinking about it when you read this way you

should not have to do that. quick statistics are cooked once we get. quick sets of the going to used to reassure people this is honestly much more stark and real for people. and also the way to prevent these things from happening, don't have built illegal immigrants on the streets. do not let low-level offenders go up or do not let minor disorder go. lock it down in that sense. it is less likely something like this happens but that was the rudy giuliani approach has it been trashed. quickly wake up this morning and find out these commutations by the biden administration -- mckay was lee biden is not competent enough to get these things. somebody in his administration is trying to what is at 37 of the commutations involved violent criminals the worse of the worst. what is that about? >> it's about an agenda of the in the biden administration part he is not in charge of this. the pardon process always has a lot of players in it for any president. the review by the justice

department. but this is an agenda that they need to drive forward. it's not just about the contradictions in 1993 joe biden, the crime bill in where he is today this is an agenda. if you look at the people he is either commuting or pardoning the first 39, 1499 commutations, look for who is in there. ask use ask yourself as anyone who is competent sit there? no matter what they had belief in it that input from a proper justice department would you commute or pardoning someone for instance kidnapped and murdered a 12-year-old? would you have someone who targeted someone a first responder and planned the murder of a military of the service member? this is something that's gone much deeper and wider it is why when biden was not able to run the white house as president of the united states, the committee within have been running this. therefore there agenda. >> the thing that really

politically i do not understand what we found out the pandering to particular groups don't work. you are saying is trying to apologize for supporting the anti-crime bill that many people in the black community, the latino community objected to. but pandering does not work. that is why the open border actually drove latinos into the republican arms they were there waiting for them. pandering does not work. thank god americans don't. practice beyond pandering women ideological bent for they do not care about blacks they do not care about latinos they do not care about the four poor rita johnson in chicago as a social he doesn't care about the constituents. he wants to follow the rule which is how your remake america. you have a balkanization of the country from all over the world that is one part of it you don't care whether criminals come in with economic migrants or otherwise because it allows you to change and rebuild america. that is what their goal is.

>> who dedicated his last book rules for radical got to get the stupid there was a debate who founded the national review and ronald reagan treaty. he thought panama would break the rules. that's exactly what happened because donald trump thanks he would. if we have candidate the 51st state it's the most successful foreign policy since james k polk. i don't think were taking back the panama canal prove my get low thesis is how trump works a witness with foreign actors all altering his first term. when he cut off aid to central american countries are going to collapse is going to be terrible they cut off her one day they went on along with his immigration plan that is what he

wanted for this is a way for him to work others and get to the negotiations he wanted. >> david you know a little bit about panama. the fact is the president saying itthat it is hours it will be forever. i love the american flag he put on his posting. can we show that again and the canal he has an american flag what is it basically say like it or not there it is? it's american property. >> quincy is a real estate guy i cannot find were france and paid us back the 40 million when they failed to do the canal so maybe put a lien on the canal. i agree with the riches appointed this is a negotiation. there is another issue down there the darian gap. if you want to negotiate and you want to negotiate in panama you need some leverage and use all available tools. >> the biggest issue that goes on state is china. china has been bribing the panda minium officials for years too. >> think twice about that now

too. exactly we do not want china to get a hole of our panama canal the canal that we built. at any rate that's great stuff. [laughter] rich lowry david webb merry christmas. >> coming up how should elon musk go about cutting spending in the state. art laffer the man who knows a lot about taxes, spending a deficit as well but he joins us next. (♪) car, this isn't the way home. that's right james, it isn't. car, where are we going? we're here. (♪) surprise!!! the future isn't scary. not investing in it is. car, were you in on this? nothing gets by you james. nasdaq-100 innovators. one etf.

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that is what we had the best job numbers ever. because of what we did with regulation. we cut taxes more than any president in history we cut regulations more than any president in history. we want our federal workers to get back to the office in person or be terminated from the job immediately. [cheering] we will create the new department of government efficiency headed by elon musk. elon has done an amazing job. isn't it nice to have smart people that we can rely on? don't we want that? it's a great job for. >> joining us now is art laffer

former reagan economist amanda gives advice to virtually every president since then that will listen to them has a sense to listen to him. art, great to hear you also co-author of the trump economic miracle the title i'm sure donald trump appreciated. read to see you. these are grand plans and irishman would say they are grand uplands. the question is can they pull it off what you think? >> 's should be able to elon musk is amazing. vivek ramaswamy is great. what they need to focus on most of all is they need to focus on incentives. they need to make it rewarding for government employees to right size the department or agency. right now they have all the incentives in the world to expand way beyond what is necessary because that is the only reward they don't get any punishment for making inefficient department they do get rewards by having a larger and larger and bigger department. but they also need to do is make sure they put in a reward system

for department employees that make the department more efficient, more productive, save money on all of that. the need to focus on the incentive structures. there's a lot of departments if you just look at site let's get rid of them. that is great. but to make sure it lasts you need those incentives and that's where they need to be. >> you mention one and by the way, dear old bob bartley is smiling down on us right now because the first thing you told me when i was working with the late editor of the wall street journal, he said david only two words modern economics matter is incentives matter. incentives matter. he had it, you sina maybe gettin extra bonus, for good tips, will can incentives, could lead to a major downsizing. there trying to save $2 trillion from the budget. >> just make the incentives correctly will do it by itself may not do it into minutes, but it will do it by itself and if you make them reported by

contracting the size of department of agency, or even eliminating at committed a big bonus system there for the people of made it happen, there is no way they would avoid it just put in the private incentives would be in a company at division is not preferable you need to shrink that once, when profitable and you need to ecstatic of the sinking is true for this and i was the first chief economist as you may remember, the office of punishment budget when it was foreign in 1970 with george scholz have the right hand person you know looking at this think of the incentives are all screwed up the budget this white we have there is an outlandish and efficient program because incentives and, and bank, you will see the thing go quickly and will be really great to see and will have as much effect as cutting tax rates and producing the other side of the equation. >> it is amazing that if the age of 14, you could become chief economist back in 1970, that is just extraordinary. but what is also extraordinary

is how quickly, biden has grown the baseline of the budget in just four years, it has gone from in 2019, it was for trillion or 440 billion and now it is 6.75 billion, more than $2 trillion increase in the base were not just talking about these temporary pandemic programs, we are talking but the inflation reduction act and the chips acted all of these other things, enemy, that is the evil cancer of the growth in government. >> yes, they just cannot keep their hands off the economy they just have to metal and everything they see. the chips acted silly should not have ever been . and all of these things but again if you will do these programs, to make them sellable to make them work him you need to tie the government spending reductions with tax cuts pretty is mega sleep that you have the carrot and the stick, and the carrot is that he will pay a lot less in taxes and now i would strongly recommend cutting payroll taxes

is one of the items there in exchange for reducing government spending. the mean that is one that would be very very good time the bills together. and you look at it, it is just common sense and good nature, that allows them really come to guess. i ask you what more on the earlier discussion you had, the panama canal and meghan and buckley debate which was a delicious debate it was really wonderful. but he said it best when he said, you know, we stole the panama canal fair and square. sam and trump appears right in line. >> will let me ask about another institution, that a lot of people if not get rid of at least like to change it and downsize it enormously that is the federal reserve. they have gotten so many things wrong, for so long and just recently, just last week, they lower the interest rate in the same time the ten year treasury

cover the market in general, it was raising interest rates because the market in general percent that we still have inflation of the banks will lend out money, they want to make sure that they get back, with a profit and that is why the market that i think understands what is going on a lot better than the federal survey so why can't we just turn the federal reserve into some kind of currency board, something that does not set the rates officially because they do allow lousy job at it. >> yes, that's correct and if you know from 1913, when we put in the federal reserve to the present, the price level of the united states has risen 33 baltimore little bit of a 3.2 percent per home how to, that is the average prior to have centuries prior to 1913, there was absolutely no general inflation for the whole time in the price to go up and down and interest rates that, but no generalized inflation at all. that's what we need to do get a currency border get some way of privatizing the fed, just the

way it was prior to the federal reserve board when it came into existence. and it still works. >> extending this 2017, tax cuts immediately and do not wait until they expire because one thing you need to get money in people's pockets but more than that, if they expire, we have a tax hike on 65 percent of americans. they will lose the 2026, midterms right quickly. >> let's hope they do not that's what reagan did but lower inflation but we get more jobs out and what could be better than a win win win win win and that would be perfect. >> okay you are a win-win as well it's way to see you have a wonderful merry christmas and happy new hard, thank you and coming up house republicans need to get on the same page that art leffler is on past trump tax cuts without elaine going to be talking about the political reality of all this with congresswoman claudia went kudlow continues.

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>> the republicans will really govern, then they all need to become a team, they all need to agree after they're done fighting the conference, they will all vote and anybody confusing the president will personally campaign the district, that's what reagan did, when reagan asked the tax cuts, that is the part of president trump's first two years, getting no later than july 4th and earlier is better no later than july 4th a tax-cut deregulation bill to get the grossman tuning up congresswoman claudia tenney, to talk about news idea of getting it done right away from the key of course claudia can the republicans get together long enough, to do this because i know that there —-dash they want to put other things besides the tax cuts and regulatory cuts first. claudia: has a right hip, by

newt gingrich went he didn't for the good is what he said just before it and he said, there are some people to get up and say we are voting no so what does the bill say yes so we cannot have that. look, we had a must almost 25 — 30 member majority may pass the tax cuts and don't think 12 or 13 members did not vote for it but we do not have the kind of luxury this time we really have to stick together as a team and honestly, i know that is tough to do that people will have to you know compromise on some things and just really important think about how muscle, said my favorite what about legislating is a look of their what no such thing as solutions only trade-offs need to set something with that prior guest, is an amazing guy, he just said you know you have to talk incentives incentives and that is with us tax-cut jobs act has to be about the renewal what we did in the president trump which is sent us off on the wonderful you know growth in our economy in the

highest revenues brought it and imagine tax cuts in bringing the highest revenue to our country. now we have to focus on cutting spending obviously getting inflation down, but all of this has to be done and i think in a very, one big piece because you're not going to get a couple of bytes to the apple and you will people bought and you have to have the border security and you need to have the tax cuts and those same things and i think that's will get us across the line but it will be very hard work. president trump will have to get very involved. >> and what about going and getting us involved as new said ronald reagan didn't campaigning for it in the districts of people who are reticent like chip roy and others. it would be really in your face, but if nobody does that better than donald trump. claudia: snow is really good at it and you just cannot take a look, you have to make compromises. i would love love if we could do it completely clean non-

reconciliation tax-cut deal. remember, we have kept 60 posted which we do not have with very little room to work with reconciliation. >> i see couple of possibilities one thing could avoid the static analysis, that would require because they think that you have to pay for tax cuts even though you do not have to do that. talk about that in the second but the other possibility is you know that there is one new york senator who is now leading the senate for the next few weeks. and he would love to see changes with the solvent deduction and maybe that could be part of the deal. there could be deals made with the democrats. claudia: what we do hope that did not happen last time they did not help us at all and so again, very near neural threshold knows members and narrow margin been so critical, that we get done because we need to growth in exactly what you just said, the cbo and the tax

foundation of the all used to refer to a static scoring and cost but actually dynamic scoring shows the growth in the economy, now the economy grows how we saw the revenues come back and personal incomes going upper middle and lower class families going up into big interior time during president trump prior to the last eight years. >> more revenue coming in and as a matter of fact from its music to my ears which he said because we already set up a full screen the latinos revenues command since 2017, look at this 48 percent increase in revenue, that way about the rise of inflation is that it was just be of inflation no no no, that is about twice the size of inflation in terms of percentage. so the more economic activity you do the heart of the people are, paying taxes more money comes as revenue.

in a tried to explain this to some of your republican politics, that believe that you have to have these pay for said tax cuts actually cost money they come out with these figures that are crazy like it's going to cost $4 trillion to extend the tax cuts, when effectively make money with these tax rate reductions. >> exactly remember what happened out. claudia: imagine we have the pandemic coming in as we were filling this explosive growth and actually no inflation in a very low rates and incomes going up more economic activity money coming in from the repatriation money that was a big part of the tax cuts last time. and hundreds of billions of dollars from overseas, were held in overseas accounts and all this and into the treasury then we had the pandemic and the democrats spent this money on subsidies, not on incentives so when you talk about what the tax-cut cost the incentives not subsidies. maybe i can edit which last

guest was talking about. you have him incentives because you know just imagine this all of the money that we put into the screen energy vehicle, they should be a choice we should not be subsidizing those things and i will tell you what can you imagine if one we founded and actually founded in new york state oil and gas in every actually give standard oil on the people who originally started to produce natural gas and oil, we built the gas stations for them that with wealth it was a market economy. >> you know when he comes down to coming comes down to trust in the american people and trust and ingenuity of entrepreneurs and trust that the free market system works that works a lot better than government industrial policy. claudia: free markets, choices and incentives not subsidies. >> its way to see you claudia tenney never wonderful christmas

and we appreciate you. claudia: semper fi to you as well having very very merry christmas my dear friend. wanted me to say that. >> thank you very much claudia tenney, republican congresswoman from the great state of new york and joe biden and meanwhile is trying to walk block ability and drilling on his way out of office so how can donald trump untangle this war continuing more, on fossil fuels and joining me now is dan brouillette former energy secretary always great to see you. and some people say well, it will be easy for donald trump he just induce the executive orders that would for example pause elegy exports etc. and is it that simple or is biden doing something right now more tv yes that would find the creation more natural gas. dan: was great to see if this part of the answer no question about that and think president trump will do exactly what he

did first term that is very simply defined as a point common sense to policy here in the united states and yes the pause will make an immediate difference printed to get some of our nice of the doe report they came out a week or so ago, that suggested that perhaps we've reached peak natural gas use around the world and therefore that will be awash gas we don't need more simply incorrect and demand is going up in japan demand is going up in your. in the business judgment here that i think president trump will apply is demands should be met with u.s. l and g natural gas. >> is clean and cheap and plentiful in the united states and which would make a lot of america in the country as a whole, mortgage and the bottom line is that you're absolutely right the whole world will need a lot more energy as we go to ayotte, because of the data centers etc. you won't get from wind mills and solar energy

writing you just cannot. dan: you want and as we talk about last time the reason is simple, wind mills solar have a capacity factor about 30 — 35 percent about 30 percent efficient and so whatever you see is the cost of solar the cost of went today coming should multiply that by at least three because if you want your like talked about 24 hours a day, seven days a week 355 days a year from expensive battery storage were going to have to have some other alternative another windmill or a solar panel and something that you can play somewhere else to catch the door guess what, will be back and got power up with natural gas which is the logical thing to do and think what you will see that the president no many chris wright and others and dunkelberg pursue is he coming to office on january 20th. >> we should mention that concerning an wind and dirty which a lot of people evincing green folks evincing that is the solution and in 2023 correct me if i am wrong, we had more

windmills up and we got fewer energy as a whole from the wind mill production of energy correct. dan: that's correct because energy source the wind and solar come the just not dense forms unlike nuclear power for instance which has a 90 percent capacity factor pretty soon not as dense and i'm going to get as much energy out of them is with mother sources. >> nuclear energy, without fill people are absolutely adamant against any kind of fossil fuels including natural gas, would nuclear enough to fill the void with the new energy we will need. dan: no question, not only fill the board but exceed the void. it is perhaps the most dense one of energy that we know if here on earth and is clean and available. so we should pursue it. >> wanted switch to ev mandates we only have 30 seconds with the bottom line is asked trump begins to and these ev mandates that force the car companies to put more money into something

that they get less money from, because people do not want ev's as a role, that is trying to do that they there demanding our companies increase ev sales by 20 percent even though the sales have gone down, 44 percent and it is totally against their nature and with that would be based on the profit motive and might that send all of the car manufacturers in europe come into the united states come over the can get a return on their back. dan: very well put david, the mandate simply do not work in the consumers must have a decision to make the walk into an auto dealership are not looking for ev's exclusively, they want choices that's really where the government and the energy policy here in the united states should providing consumer choice, the make the decision that the market decide and everybody would be better. david: in germany alone, the ev

sales in 2023, they dropped 60 percent, just in germany about 68 percent of these mandates will kill them. and they are supposed to pay a fine of 15 percent, that that pass on to the consumer who already do not want to buy ev's. it is quite a dilemma for the euro's but maybe it will all them to what donald trump wants to do is great to see you dan brouillette and merry christmas and thank you and coming up, are we seeing a more broad societal shift, back towards faith and religion we will talk about that when my buddy bill mcgurn, coming up next. car, this isn't the way home. that's right james, it isn't. car, where are we going? we're here. (♪) surprise!!! the future isn't scary. not investing in it is. car, were you in on this? nothing gets by you james. nasdaq-100 innovators. one etf.

before investing, carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com

trump: i am not supposed to behd to be here. and i will tell you, i stand before you in this arena only by the grace of the almighty. david: giving with the approach of christmas, were we all witnesses, to a miracle that played a role in donald trump's election in joining me now is bill mcgurn wall street journal columnist and fox news contributor we speak and we would do something christmasy and i think that it is fair game bill, i want to put up on the

screen, a picture of three men who had a significant role, templated world history in one of forces john paul ii, who was a great pope and i think the greatest hope in my lifetime and ronald reagan, one of the greatest presidents in my lifetime and donald trump and all three men, skirted death by millimeters when they were shot by an assassin. just by millimeters and they went on at least john paul ii ronald reagan did to have a huge influence on the more prosperous peaceful planet earth. and donald trump may have a chance to prove himself. is it too much by the went ronald reagan said something similar to what donald trump did in his diary after he was shot, he said whatever happens now, i own my life and try to serve him in every way i can and is it too much to think that god had an influence and these men living out their lives and their second

term so to speak. bill: not at all and i think if you survive something like that, you have to believe that it is providential. and even scared for a reason and purpose i think it donald trump believes it. i don't know exactly what he believes that would not be surprised that we don't blame him. this is good have a reason as any and as you point out, two other guys have had that reagan and really did some fantastic things after that scare. david: there is another quote, and it is attributed to albert i'm side and i don't know if he said this but people writing is a no he did not say this is attributed but he said i'm to report there only two ways to live your life, one way is as if there are no miracles and the other way as if everything that happens to you as a miracle. in a second way, i would love to believe that einstein believed that at the end of his life rather than the chaos theory, would you?

bill: i think people who believe that i think take more the way life in a sense of purpose. there's also a sense when things go wrong, the suffering that has a purpose, that it is not just gratuitous enough that universe hurting you, that there is something in some reason for it and it will make you better. david: in the life of faith in this country because faith has a life of its own of the life of faith in this country was so instrumental in forming the country and seeing it through really tough times like this civil war etc. and presidents have talked about it. he was announced on his never coming back and i would think not so and i know they have statistics to back it up but at the same time you see a lot of conversions happening and you see these faith-based books movies are very popular right now. and you do see it kind of revival may be of any revival but see it right? bill: especially day, we are both catholics and you see

revival among the young who want more traditional practices in a really appeals to them and they are not holdovers from the regime they want one think the people are looking for general meetings and something more real in their lives because it's very hard to live with that. and something stupid or material. david: is a desire for something more to fill the void, that material gifts, do not provided by the way, your godfather to a conference regarding jimmy — a billionaire who do not have to be in prison where he's been for fort half years and a wonderful man. and i know as his godfather, you helped him convert to the catholicism and we all need to say a prayer for jim ely and he is still in prison, but he has help in his faith in his think is eternal. we need to leave it at that and

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