powell admitted to congress and it continued to say it was transitory or temporary joining me the bahnsenup founder and managing partner david bahnsen, it's always a pleasure, thank you very much for joining us this weekend. your thoughts on what you heard on jay powell do you agree the inflationary numbers that were seen are temporary? >> the problem, there is nuances, there is commodity prices that i think is definitely transitory, we already saw lumber go way way up and it's dropped 65%. there's different stories to confuse the broader narrative what i believe has systemic inflation is housing prices and i don't see that as a good thing. a lot of people like it that it keeps going higher and higher but the portability is a big problem, overall, i believe excessive government spending is this inflationary in the story in japan over 30 years, i think chairman powell is stuck talking about a different thing at once and the whole story is good very confused and the government has a right side of spending. maria: what does all this mean in terms of policy do you think the federal reserve is

i want to bring in from the bahnsen group, david bahnsen.. we love the value of our homes inflate. what about the whole inflation story vis-a-vis businesses? >> well, this is the category of quote, unquote inflation that causes so many problems in the economy when central bankers confuse it it for negative inflation. growth is not inflation. prosperity is not inflation. nor is it the cause of inflation. and that is largely what the phillips curve model of the 1970s was based on. the idea if workers get paid more money that is inflationary. as you point out there is all kinds of circumstances that could lead to higher prices that are not inflationary. i think it is incumbent of those of us on the political right to understand this better but it is also incouple bent upon people who work in economics who get to get this down, growth is a good thing. charles: let's stay then on this inflation topic and i'm asking you when will it end, mostly so i don't have to say the word transitory anymore? [laughter]. when will it all be over? >> i think it

joining me now the bahnsen group managing partner, david bahnsen.e diligence that it takes for a chinese company to list versus an american company and does the mercurial actions of china knows government pose a constant threat? one day they're okay, the next day they're not? >> i'm fully capitalist, i support people making decision not to invest in insanity. make a responsible decision to know what they own and what the risks are, avoid these things that ought to be avoided. in this case didi clearly did not have the affectionate relationship with the chinese communist party that was necessary to avoid this but american investors know that, or certainly can know that, if they're doing due diligence. most people own international stocks through an intermediary. most people are using a fund or a money manager, what not. i think it is incumbent upon the fund manager to know what they're buying, why they're buying it. and those risks that you referred to, people can make the decision to proceed if they want. people have made a lot of money off of aliba

i want to bring in bahnsen group managing partner david bahnsen. talk about this for a moment because, look we know jay powell doesn't want to make any adjustment, right? if he could have it his way leave rates accommodation forever. we have some social yo economic goals or woke goals if you want, that have nothing to do with traditional fed policy. having said that, having said that, i think he does buy some time with this reaction to the delta variant. are you concerned? >> well it is not that i'm concerned. it is more just assessing the reality of the situation. i think you're right, he is not in any rush to be peeling away accommodation. i don't think it is true, charles he would keep it there forever. i think he would keep rates very low and monetary policy biased toward the accommodation side for a very long time. remember the person who wrote the most interesting critique of qe3 back when bernie sanders did it, say how will we get off of this when we started was who? jay powell. i think he understands the reality of getting a market dependen

charles: david bahnsen has been buying them for about a year. you know him.oth you guys are brilliant. by the way crude oil up almost 2%, breaking through 75. that is a huge breakout right there. jeff, always appreciate your knowledge. talk to you again real soon i hope. >> my pleasure. charles: hey, democrats are closing in on a deal to unlock massive infrastructure but a lot more than that. they're going for this human thing, right? i wouldn't call it human infrastructure, but whatever you call it the price tag could be as high as $4 trillion. we're talking about a whole lot more money gushing into the economy t might feel good initially but what happens after that? we'll be right back. ♪ ♪. charles: president biden keeps pushing for a massive at least 4 trillion-dollar spending bill americans are facing higher prices at register. edward lawrence is live at the white house with the very latest. edward. reporter: year-over-year as you said, charles the inflation, consumer indebts coming in hotter than they expected here. we're talking about 5.4% year-over-ye

david bahnsen joins me now. i want to start inflation. worried about it, are you? you agree with the fed it is transitory. >> i'm very worried. it is not about inflation. what the bond market is telling us we're in for a long period of low growth. this excessive government spending is not inflationary. it is like japan. it is really disinflationary over time because it contradicts productivity growth. that is what i think our economy most needs. the ppi was mostly from energy related, very low prices a year ago. it has pushed things higher. there are pockets of inflationary pressures that concern me but the big term issue, i want to focus on is getting economic growth for the next five and 10 years. stuart: how do we do that? >> well i mean the playbook in history is very clear. you need rest regulation and taxation of the economy but i don't say that politically. i say that as an economist. economics are incentives. you need to have incentives for productive growth. but all that we get in our economy is investment that comes from savings

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