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Sen. John McCain, (R-Ariz.), on ending government subsidies in the energy industry, making cuts to defense spending, and reducing the number of tax de...
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As claimant is of the concordia summit today New York City where early as she talked to Senator John McCain about the biggest headwinds.
Facing the USA today -- -- looking -- to this list.
Well I can you imagine.
He came loaded for bear for this interview wait to hear what he has to say.
Not just about how we get rid of a whole bunch of tax deductions I mean all of them except -- which to you'll -- just a minute.
But also.
Which industries are mature enough that we should just rip the rug out from under them and stop giving them money and all kinds of tax breaks.
John McCain speaking very candidly with me but I first asked him about different.
Kinds of government strategies.
-- government works best with business here's what Senator McCain have things.
I don't believe.
Investment in mature industries because then you're picking winners and losers and obviously in the case of cylinder and many others we predicted losers.
But there's so -- there so we need -- technologies.
That we have that have been developed.
With government funding whether -- -- GPS and whether that overall Internet policies but that was some research and develop an area and then handed over to.
The private sector that's where the debate I think takes place congress so what you're saying is.
Overall it's better to instead of going into very young industries and and saying here.
Let's help this company up without one it's actually helping them.
The concept the idea that only that but research and development and one of the reasons why -- I think most of us have supported research and development whether.
What -- area -- sector of our economy.
-- Citi has proven to be incredibly inefficient.
Many of our National Laboratories have produced incredible.
New technologies.
Both in defence and non defence but when you have a mature technologies such as solar panels and say okay.
This company deserves a billion dollars.
That's not the role of government in my view provide incentives provide tax breaks if you want to.
But just to give -- money.
That's not the right answer in my own that the Obama administration has given certain incentives and certain tax breaks but.
At this administration's on both sides of the aisle have -- heavy into a very mature industry here -- -- -- that's the oil industry.
-- at some point should we be in an effort to bringing down our national -- looking at those kinds of -- business I've listened to my mind there's up to me to get -- get rid of all of.
-- get rid mom's the one I hated and disliked the most for years what's happening at that was when the great response in American history.
So yes we ought to I think the oil industry gas and oil industry is doing pretty well.
So I would subsidize.
At all no of course not why shouldn't I think they heard.
And I think that this whole issue of natural gas fracking is going to over time if we do it right can make America energy independent between 1020 years.
Our second quarter GDP numbers came and it was revised lower to an annualized rate of one point 3% from a previous one point 7%.
From your perspective.
What do we need to do to -- carry out this problem of growth.
First -- why should they always have to revised lower.
We need to in my view unburdened.
Small and large businesses from regulation from.
You know certainty that they have right now and I'll have Republicans blame for this of this quote fiscal cliff let's look at this thinking all -- uncertainties.
Not the kind of we're facing right now when you're looking at tax cuts and debt limit the sequestration.
A whole.
Panoply.
Disasters that lie ahead unless we -- I haven't seen anything.
Quite like this as far as order of magnitude.
Is concerned and of course we have as dysfunctional.
One -- Republicans Democrats president but vote but it's dysfunctional so the year the business person out there.
Anyone invest money if they even have to parent accountant to handle obamacare and all of new regulations that are coming them.
Or even hire additional people.
And so we have to give them an environment of certainty and that means among other things a tax code.
As to -- your home loan mortgage and and charitable deductions upset and they -- And the rest of it it is you do away list can go every cry it's too bad.
No more exactly how many Americans have you -- and American that would support that kind of simplification of the tax I've met a lot of lobbyists who wouldn't.
Oh yeah that's that's an example slightly but I -- let me just quickly get your thought on defense spending we are heading towards fiscal Clinton defends his facing.
Billions and billions in cuts over ten years if the economy and jobs yes.
Could sit here and say that there's no where defense could cut.
Or are their places to do something nice actually here and say that there's lots of places could be cut you have to take in the context they're already cutting -- 460 billion dollars.
That is in the works this is another 400.
Eighty whatever it is.
And you don't -- take my word -- -- the secretary of defense and our uniform -- say it is that puts our national security in jeopardy.
We have to cut defense of one of the great outrageous frankly is a cost overruns associated with the F 35.
Aircraft.
But it's -- -- -- with a scalp on how with a -- -- and that's the key to and so.
I'm very worried I am very concerned and fact the Pentagon.
Hasn't even planned for these cuts yet and the obviously the defense industries that are.
But yes we need to have more reductions -- and defense spending -- and much more savings.
But I can also tell you there's some of the problems like health care costs out there that is heating up more and more of our defense budget.
Senator John McCain talking about cutting the defense budget with a scalpel but not on meat -- but once again -- -- stresses he says get rid of all tax deductions that are hundreds of them.
And just leave the mortgage deduction.
And the charitable deduction.
