larry: hello, folks. welcome to kudlow, i'm l arry kudlow. so historic day as president

trump's election was certified by congress. vice president kamala harris had the great pleasure of presiding over her own defeat. also mr. trump come out fu force in support of one big beautiful bill, which he renamed one big powerful bill. power is an important analogue to mr. trump. in a moment we hear from senator ted cruz. then house ways and means chair jason smith but first one big beautiful bill, the subject of the riff. a big moment today, perhap two. first certainly, congress certified president-elect trump's eel open victory,ta. mr. trump create could a working class coalition, hispanic-americans could

black americans, asian-americans, muslim mu-americans, young people, union members women. that could well change face of american politics for at least a generation, mr. trump turned the g.o.p. into the party of working folks, he will promote america first policies be they lower taxes, reciprocal fair trade tariffs, border closing, unleashing energy, minimizing red tape business regulations and he brought in the doge brothers, elon musk and vivek ramaswamy. who will weaken the over extended power of the unelected federal bureaucracy. as well as chopping down the tom tomorrow -- federal budget, and america first overseas to restore american authority, respect with peace through strength, and a clear focus on direct american interest. again, all of this to help

the middle class reignite apply collar boom, restore or judeo-christian culture, that traditional values and restore public safety for families, kids, schools, businesses and cities, only 4 vice presidents presiding over election certification had great pleasure of announcing their own defeat. but there is a big 6 th 6 thought. -- second thought, president trump announced his support for one big powerful bill to full pill his election mandate and hit the ground running, i have been unsparing in my advocacy of one budget reconciliation bill that include tax cuts and border security, and energy deregulation and strengthening defense unite after night -- night after night, g guest after

guest have heard me promote one big beautiful bill, let's get middle class b blue collar boom working right away, inspire confidence that promises made will be promises kept, the awareness of a razor thin republican house majority, shows almost certain one bite out of the fiscal apple will be all the new administration expect. so. things look bigger. they look better. they look brighter. for a new golden era that will make america great again. that is my riff. all right. joining me nowrnlg to -- now to riff along sierkd side, great senator ted cruz. i want to know about senate, got to get on board, lin

lindsey graham, said himself. in november he posted onx, he was in favor of one big bill, now he changed his mind. i know that senator ted cruz will go with president trump for one big bill. is that right, you leading the senate, sir? >> well, listen, i think that pre procedural question of whether one or two bill is less consequential than the point we have to get it done, we have a task in front of us that we must accomplish, president trump at end of the day will have flex flexibility to decide whether he wants it in one or multiple. i will say one bill, politically will prove harder to get done, if you have a giant bill, particularly in the house with a small majority, that can be very difficult to get the votes to pass it we saw

that just recently with the continuing resolution right before the holidays that was a train wreck over in the house, that got a little bit big, and became a problem, this is talking about being the omnibus of all omnibuses that can pose real problems for passing a bill, i think logic behind two bills start with a simple bill that funds border security. and that addresses energy and unleashes american energy. both of those are desperate needs, they can be done on reconciliation, they are relatively simple and state -- straight forward and they would be quite easy to unify republicans and get out same page, which would mean, we would start the first couple of months with a big win delivering on major elements of the president's policy. >> senator, senator, you are just so disappointing on

this. i can't believe i'm hears this. from my friend senator ted cruz, you have to have certainty on the economy, with respect to not only tax cuts for 15% for corporations, but also small businesses, 100% expensing which is running out. individual middle class families need help, you have to tell them they are getting extensions. you leave it toward the end of the year, let me take your political point, i disagree with you on almost every point. i love it in good fun. >> this never happened. larry: i know, this is first. this great day for firsts. you take a look at the cr, look at that. which was a fiasco. okay. that should be a leading indicate or of how hard it is to getting any through house at all.

anything. at all. big, medium or small. you only will get one bite out of this house apple. trust me, this is what the mike johnson is telling people, a common sense position further more. you yourself along with president trump, promised me a middle class boom. that was the genesis of this whole victory, economy number one. followed by immigration, and i'm all for closing the border. you have to deedo it get it done, you know these bills almost written already. for heaven's sakes, you won't get, what are we expecting -- i don't want to use names, i had so many calls. you are not getting some in january or it will take forever, you also that is where it may as well throw tax cuts in there, you can get been april or may call it 1 100 days or of what call it trump promised kept,

that is what you want senator cruz i am crushed you are coming out on wrong sthside of this historical divide. >> there is a first, where we're having some disagreement on tactics we agree on the objective, we want a big bold dramatic tax cut. that spurs major economic growth, we want the border secure, and want american energy unleashed. what is the best way to do it? i am indifferent, one or two bills whoever gets job done that is what i support if president decides as days and weeks go on he's to stick with one bill, that is his prerogative. larry: he -- >> i am making a point. larry: she he said that is truth social. >> i understand, that larry, but i also understand seeing legislation move initially

people thought that cr would fly through then the conditit was too big it had to get simpler, a strange lesson too take from that, instead of one big recon bill, see wee should tshould take a recon bill it should be easier, i y yet -- question the political logic there the statement, one bite, makes no sense, we have two years with house of representatives, democrats managed to do multiple re reconciliations, i do not believe they are more capable than the republicans. we would be foolish if we didn't accomplishing the maximum amount possible, in terms of timing, look, this tax bill will take time, i was here, i was involved in

the 2017 tax cut, you were as well. it took many months, because there are trade offs. larry: you all waited, you never should have waited. senator you never should have waited. i was not in the government thin, you never should have waited. >> president trump white house waited. >> i'm -- no. i'm kle chclean on that one, but that was a mistake. just like ronald reagan. >> the white house's decision. larry: ronald reagan waited for his tax cuts to kick in for two years, i tell you, you wait until back end of the year, you may not get it so you play russian roulette with a 5 billion dollar tax hike, and if you get it a doug flutie hail mary touchdown pass will not have a economic impact in 2026. the election. >> i am 100% with you we

should pass quickly, my point is this is too complicated there are too many differences of opinions and too main memb-- many trade offs, between c-corps and s -corps and families and child credits. larry: all i want to do is e econome-- extend it then add. >> i'm just telling. >> just a couple things. >> 2/3 of house of representatives was not here in 2017, i spend hundreds of hours helping to negotiate that bill, i agree we need to move, move quick as possible. i am just telling the issues are complicated enough and you know, old line that the try to coral republicans on one page that is like

herding cats, that is not fair to the cats, republicans are harder, everyone who said we'll get to to february and have a fact bill that is whistling dixie, i don't know what they are smoking, it is not happening, we should movic expeditiously. it w will take time. larry: i would use your own arguments senator, cruz, i would use your very arguments to say, you are supporting a one big beautiful bill tragedy, that is all one bill. you are one of the smartest people i know you can piece this together, so much has already been done. jason smith is coming on, so much has been done already, i don't want to waste all of this valuable minutes on that. i am hoping that you will be open to rethinking your position.

because this is -- >> i am open to whatever means gets the job done. larry: this is first time i have seen you on wrong side of a a key issue. >> and larry, you will hold this conversation if 5 months from now, the one beautiful bill craters because there is too much in it, you will remember this. and play it back. larry: in 5 months, i will be happy we'll exhault in blue collar bill. moving on president biden taking out 600 million acres offshore atlantic and pacific for leasing or drilling or fracking and stopping any in the alaska, and using some piece of legislation that dates back

to 1950 this is -- sort of last gasp of all this climate socialism and nonsense and direct slap in the case to president trump. you coming from texas, you have to have some thoughts on this. >> look, i have to say this is infuriating, i am 54 years, i have never seen an out going president behave with such utter contism for -- contempt for american people, voters and democracy the way that joe biden and kamala harris are doing, they know there was a clear mandate in enough, and they know that voters top change course, joe biden is like a bitter old man, saying screw the voters, i'll stick with you terrible policies and trying to tie the hands of incoming administration 625 million acres sit off limits for offshore drilling, i hope and expect trump will reverse it on day one, and

biden trying to auction off pieces of border wall for $5 a section to get rid of them to get arrest taxpayer dollars and pardoning or commuting d death sentence for dlir 37 of 40 prisoners on death row. and signing contract with unions saying you can stay home, you don't have to go to work or show up at federal offices, they are sitting there they are bitter, they are angry, they are in denial about the election. and frankly they have contempt for the voters who say wement to change direction, joe biden and democrats want to keep on same failed path that voters rejected. >> i afry agree with that, we're back in the saddle now. legally, your you are a

constitutional scholar, a law in 1953 that biden is relying on, how do you get around that? can you? >> i have not done the spacive legal analysis on that statute, this is a presidential declaration, i'll give you a basic principle of c constitutional law, anything that president declares, the next president has power to undeclare, i am certain trump's legal team is engaged in that legal analysis, but this is -- this is a little bit like you know, somebody buying a business in foreclosure, then ownl owner of business looting the place on the way out, ripping up carpets and spray painting the walmart walls

because they are bitter, like if i can't have it i don't want anyone to have it. that is what joe biden is doe doe, doing to the american people, there is a disrip for voters and hutzpah of it biden and kamala spent last 4 years strustrutting like peacocks, they say to voters, to hell with you. larry: they have done all along. i have a minute. this hideous evil terrorist attack in new orleans, it brings back the issue of terrorism at home and some people are critical of the fbi and other agentses for not having any advance warning for not handle ing it well you have to a quick thought? >> a serious problem under joe biden, fbi focused on politics, on going after

his political enemies and being woke into on d.e.i. on everything but actually doing their job n, that is stopping terrorists, going after bad guys, f under trump department of justice and fbi they will restore their i integrity -- i have said wire at highest risk at major terrorist attack. any time since 9/11. larry: j thank you senator ted cruz, one big beautiful senator ted cruz, we appreciate it very much. >> all right. larry: coming on cu kudlow, how is house preparing to help president trump pass one big beautiful bill. we ask house, ways and means

chair jason smith, you can catch kudlow mont monday-friday at 4 p.m. on fabulous fox business, if you can't get us at 4, text your favorite 9-year-old and she will show you how to dvr the show and you will never miss one big beautiful bill. i'm kudlow, ain't it great. oh yeah. consolidate bad debt and save money for your next goal. take a swing at your kitchen reno... meant that literally. or design your actual dream wedding. all your ambitions. all in one app. sofi personal loans. low fixed rates. borrow up to 100 k. no fees required. go to sofi.com to view your rate. sofi. get your money right.

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larry: mr. trump's truths social post. last evening, members of congress are getting to work on one bill, one powerful bill, that will bring our country back. and make it greater than ever before, we must secure our border, unleash american energy, and renew the trump tax cuts. which were the largest in history. but we will make them even better. that was from his post last night. all right, joining us now, someone who has a lot to say about this, house, ways and means chair, jason smith from great state of missouri, i have a conversation with our great friend senator cruz, who keeps talking about two bills. and so we went back and forth on two bills.

i know you have been in favor of one. you know i have advocates one bill night after night for several weeks now. where do things stand after the republican conference saturday and so forth and so on, where do things stand? are we still talking one big beautiful bill. >> speaker has been clear, we're doing one bill that is best and quickest approach to deliver on the priorities of president trump and 77 million americans that sent him to washington. one big beautiful bill. is the best way to approach it. the speaker, myself, we know the dynamic of house more than any senator. esissue is we have smallest majority in the history of our nation. it is essential that we don't make any mess ups and do the right approach, one

big beautiful bill is the right approach. larry: you made a point weeks earlier with us, the last 25 years you never had 2 or three reconciliation bills, you just said, looking at this cr battle in the house and speaker ship battle. i don't see how anyone could think you could get one beatout -- one bite will be hard enough, you have said you have been working on this tax bill for a year. >> that is right, larry. we have been working on this bill for over a year, it is simple. the president was very clear during the campaign when he expected congress to deliver on. he wants p perm perm than -- to address no tax on tipped employees, he's to address tax relief for seniors, he's to make sure

that we incentivize manufacturing and production here in the united states these are things that the ways and means committee has been working on for some time according to constitution, all t -- tax policy has to originate in house of representatives, we can pass tax bill get it to senate, get it done, by mem memorial day we could have it signed in to law if senate does not slowdown the process. larry: it wo would show mr. trump and g.o.p. promises made, promises kept, it would have an economic booster, the blue collar boom would start this string. i don't top waiting in next year or take a risk. i don't think that people understand how important the economics are. much less the legislative issues. >> laye -- larry,

certainty for 37 million small businesses that don't know what their tax code will look like next year, there are 30 million small businesses that if 199-aic pea expires at end of this year, they face tax rate almost 43% that is 20 percentage points than that of companies in communist china, they are looking at how they will invest in their businesses, how they will grow. who they will hire or not hire or layoff. let's give them certainty now, don't wait until december of this year to address the problem. when we pass the original trump tax cuts, it was in 2017, a few days before christmas, then, 10 1/2 months later house republicans lost majority. let's get job done.

now. larry: well you know, look, president trump said, i mean in his post, he said to me. i can divulge it now weeks ago he told leaders at army navy game he wants one big beautiful bill, this is what he wants, he won the presidential election, down that senators should go against his wishes that ised about politics, you it bad economics as well. last one, you are in touch with senator mike crapo, a brilliant fellow. can you work together to get something out. 90 or 100 days? >> absolutely, i was talking with senator crapo just a few hours ago, we're in constant communication, we can deliver this is not that difficult. we want permanent expires pro provisions of trump

tax cuts and modification to improve on no tax on tips, manufacturing in united states, they are things that we can deliver on and we're ready? terrific stuff, congressman jason smith, i wish you all of the luck in the world. happy new year, thank you for coming on the show again, appreciate it. >> thank you, larry, happy new year. always great to be with you. larry: coming up. one reasons we need to trump tax cuts right away, is inflation, still kind of sticky. and i want to get our next gift steve moore -- guest steve moore and david malpass to weigh in on nippon and u.s. steel, the logic of denying nippon. i think it would be an in investment that would make america great, perhaps not. one big beautiful bill, steve moore and david malpass, i'm kudlow, we'll

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larry: a big beautiful bill or not, joining us david malpass, and steve moore. unlunleashe. >> i don't know if you heard it or not, steve moore, but ted cruz, argued with me for three bills, you can't get it done in one bill. and it is not important we'll get to taxes when we can, i do not agree with that with all respect to ted cruz, i don't understand it. >> well, i want to tell your viewers a quick story about 2017, you hinted at this in the show. do you remember december 22, 2017, you and i got an emergency call from mitch mcconnell saying we don't have enough votes for our tax bill, we had to pound on

doors of 5 or 6 republican senators to persuade them. and so my point, we came within an eyelash was not getting that historic tax bill done. don't want to live through that again, i think did jason say he thought we could do that by memorial day? i'll take it, we'll have the tax bill signed. larry: the whole thing. >> a big thing. the whole thing. the thing, if here is why it is important to do it quickly. the taxes will go up by several trillion dollars at stroke of midnight if we don't do this time is of the essence. larry: a key aspect of this bill for large and small businesses is immediate o

100% expense write-off for machinery and equipment, been coming down. that will run out, i think fact that there is no advancement in capital spending and manufacturing is in some part uncertainty about extending that bill, but also the fact that those write-offs may not exist any more. >> that is right, larry. so, we know that the tax bill is critical for investment. and critical for growth. critical for small businesses, i think economics are clear. steve gave a story from 2017, i will give you from 1981, reagan phased in the tax cut. it was a pretty intense recession. so we know what hatches when do you it -- happens when you do it wrong, what will

happen is house will have one bill that is what happened in 1985, with the big tax reform acts of 'quick, it started in the house, was there gucci gulch every lo lobbyist got provisions then to senate it got torn apart. the risk is to find a way to work with the sincors or -- sense to senators to get it done fast, it is clear. larry: rosty won that. >> no, remember it was bob packwood. larry: yes. >> high anyway, steve moore, i t to raise another issue. >> it was -- okay david let me, we coach we don't have too much time, second issue.

nippon steam and u.s. style, joe biden has ruled ge against the it. thbiden saying we can't have a deal because of national security, mr. trump also opposes it, but particularly on biden -- i codon't understand it seems that nippon steel would save u.s. steel, they will close down and layoff workers big time without that investment from nippon steam. style. steel. joe biden has memory problems he thinks we're living in 19 35 not 2025. they are a check again china this is point, i love talking about this your show, i know that donald trump watches for president, we want japan to have this

take control of this st steel, they will remanage it but the jobs will stay in pennsylvania, if we don't do the deal, the best winner will be china who is trying to takeover the whole steel industry in the world, this is good for jobs, good for workers, good for investors, it is good for america. and donald j. trump who you have been alongside him more than i, he is greatest negotiator, i am donald trump to come in negotiate a good deal, and let's get it done. larry: david malpass, what do you think about nippon-u.s. steel story. >> president biden made wrong decisions at i've each time they are presented, you think afghanistan, ukraine and israel, and last week wrong decisions on offshore drilling social security

trust of fund draining, i -- i worked on cfius in 1986 then in 2017 it was updated, national security is at the core but it d does not mean japan is the violate or, steve is right, china is the one to watch, that is how we should use cfius not this way. larry: you know, president trump is against the the deal but, i see the d deal as america first, nippon's strengthening u.s. steel, honda came in look at what they have done, they are biggest american manufacturer or toyota. you know ne in terms of domestic content, they are attracting foreign vis

investment to make america stronger, i appreciate you know david malpass, why should joe biden change now, he has done everything wrong toup to now. >> growth is important. and growth is important, and biden has been bad on that. larry: growth is important. david malpass and steve moore thank you. >> now we'll change gears, we love growth. we have liz peek, fox news contributor and welcome back emil emily compagno. emily, can i raise this guy judge juan merchan. who wants to sentence the sitting president-elect just certified today, he has a gag order on him, he will sentence him to call him a

felon, not giving him prison time. i think this is violates every legal thing and keeps going with weaponization and lawfare, i don't know, you -- what do you think? this is insane story. >> you are not wrong. this is unconstitutional. on so many levels, and semblance of judicial objective ity we could have afforded judge merchan flew out w window. thatand we know that vast majority of americans thought this particular trial was lawfare and politically motivated, as he writes in his opinions the fact it is up holding law and preserving people's faith in v criminal justice system, it could not be further from that. for him to require -- this

is why in part it is unconstitutional of underlying charge, it could have been one of anything they00ed ought, the fact that he continues to state in his opinions it is only about election integrity, gain, reveals that he is so partisan, and this so political it is just for the sound bite of him saying, this a convicted felon. larry: i am he did it now because he -- wants to beat the appeal. merchan did that, the gag order, i don't mean to point at you liz, that is rude. the gag order is still in place, trump is the president, certified today and the gag order is in place. >> he was on truth social, going i can't talk about blah, blah, blah and high he talks about it. how could that be right. it is an outrageous thing, if you ask 99 percent of country, they have no idea

what he did wrong, they think what he did wrong of payoff stormy dan i yems that is not a crime anywhere, this is manufactured thing that reminds me of making mill foy financial instruments during financial crisis, 39 misdemeanor to 39 felonies, it is ridiculous. larry: like magic. liz, i know you are very interested in c congestion pricing decision, soy that inch in new york -- everyone in new york will pay higher prices, all businesses below 60 street will suffer are here is governor kathy hochul at it again. >> it is staggering. connected to this case a little bit, they are doing everything possible to make new york city as unattractive as possible to businesses, residents and commerce in general.

why when you have a city that is losing businesses and residents, we're the number one state in terms of the losing people, and losing city why would you make it more expensive to be here and harder to be here and risk area, that is what this judge is doing. >> emily, can trump somehow over turn it? ccongestion pricing in new york, another tax a payoff to a lot of union and union boxes in new york it will not help the subways. >> the federal remedy would be the court system, that has can supersede any state law, but at the end of the day, i think that reality is that i don't know why, but the voters here in new york, myself included, have failed to remove the individuals that keep passing these decisions. >> it has to happen. >> against the the will of of the us, the

congestion prices is hard to over state. >> -- di liz peek and emily compagno thank you very much. fabulous stuff, thank you. >> coming up charlie gasparino, he writes joe biden has a fiscal time bomb, and optimistic kudlow las has the story all wrong, charlie coming back right here. (vo) memory and thinking issues keep piling up? it may seem like normal aging but could be due to a buildup of amyloid plaques in the brain. the sooner you talk to your doctor,

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larry: we're here with great charlie g gasparino. wall street is worried about a fiscal time bomb, i think they are reading president trump wroaj. wrong. but biden and kamala harris and janet yellen, 1.9 trillion deficit and rolling over deficit with short-term debt, we were just talking. media does not appreciate this, we upgraded our economic team. so greatly, it is light years ahead of this, if you' evidence, read my column in

post, how do you in a economic expansion, how do you get two trillion dollar deficit and spend in just couple mo months 30% of your basketball, and how do you do something so reckless, sell trillions of dollars of short-term debt to paper over deficit so you don't spike the 10 year, now traders are looking at, that trump will be faced with an issue. if i were he, who i am, i am a now body, you got the line into him, i would pound the table about vivek and elon and doge. larry: that is important, i think he will. >> that could put a tap, this is as you bond market a lot is about impression and expectations, if the bond market sents that trump does give a you know what about deficit, he will put a tap on that rise in the yield. larry: use lo elon musk

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