You're watching...
Former CarMax CEO Austin Ligon on what is needed to boost economic and job growth.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
President Obama's second term in the White House will likely be just as challenging as his first now we've got a business leader who says it's clear.
The country is better off than it was four years ago so what needs to be done to keep the economic recovery while tentative.
On a stronger and right track joining us now -- Lincoln he's CarMax co-founder.
And former CEO.
It's it's a point of view certainly but not everybody shares but we wanna hear why you believe it Austin four years later you feel we're better off.
What do we need to do to have more -- behind that.
Yeah well -- I think we clearly are better off because.
Remember we were we -- collapse four years ago but.
That's passed this now let's talk about the future of -- -- that's -- entrepreneurs like to talk about -- I think first thing we have to do I -- -- Wilbur Ross we need to come to an agreement avoid the festival fiscal cliff do some version of Simpson Bowles and and get that behind us so that we make sure that the nervousness that's out there goes away and I think we'll get that done I I do think that.
Boehner is is -- -- -- President Obama knows this needs to get done so I think it'll happen the second thing.
Is I I think we need to get immigration.
Reform done I think the Republicans got a very strong message yesterday.
Which is.
We can't really survive as a as a party.
If if we don't.
Start to attract more Hispanics.
And more Asians into our fold.
And I think part of that is getting immigration reform done and oh by the way.
What you do that you get people back into the system paying Social Security taxes -- are doing that now and that helps on I think the most important thing is.
To really gets an infrastructure work going.
I think that'll help the economy helped give it some of the extra boost you know the auto industry's going great guns -- housing is coming back.
But we still need something else to keep it going and and Europe is going the wrong direction so we're gonna have to put this -- -- ourselves.
And I think -- infrastructure it's expenditure on what highways and bridges.
I'd like to see New York seriously consider some sort of title barrier system the way the Dutch did after the great storm of the 1950.
Look -- you know that that has been talked about and they say what would cost billions of dollars conversely would -- billions object of millions of jobs we would hope.
Just a still very long tail when it comes to doing something like that I would I would say though they probably put something like that on the back burner because it's one of these seven the year storms but Austin.
You talk about an opportunity for real manufacturing -- that stemmed from natural gas.
How do you see that coalescing and really happening.
Well I think one of the things that both parties believed in their heart of hearts.
Is that actually whoever won this election.
Over that four year period is going to be very lucky because we have one of the great opportunities.
In a modern history of our nation.
With all of the natural gas that we discovered and the ability to start to put that in place Wilbur Ross was exactly right when he called the transformative.
It cannot only.
Make -- a net energy exporter but I can also it can transform.
Our highway industry -- -- talk to Ryder trucks.
CEO little earlier I have writer Lisa I've got like I would -- -- idea I like the idea of converting over a period of time.
With with some government guidance so that industry knows how long is this gonna take an -- forward the entire truck fleet in the United States to natural gas pocket money that would drive that would drive -- -- -- -- manufacturing -- on the outside prevent.
Well what I want to also -- it's related to the storm because you're -- real expert in this.
Lot of cars were flooded when the floods recede.
People couldn't shine up those cars.
Maybe get the engines to work and then they try and resell them.
Have you seen that happening before what can people do to protect themselves from -- salt water engine drenched car being sold to them like nothing ever happened.
Well look you I think you talk to me that maybe.
Some years ago when I was still CarMax and I'll put in a -- -- -- business CarMax guarantees they never sell flood damaged cars.
And anyone that ever gets through they take it back and and give a full refund so.
What you want to do is go to a reliable dealer and a you you need to look out for those cars but I think from the economic point of view.
Because their -- and there's not a big supply of used cars out there this has got to be great for the manufacturers is gotta give a real shot in the arm.
You'll probably have I -- nobody has an exact count now but there were half a million cars destroyed in Katrina.
Or or damage sufficiently that they essentially work.
Effectively scrap and I think you're gonna have more than that here.
And the industry is is ready to produce those but it it's got -- -- profitably so.
I think I think that in the short term this is gonna hurt the economy actually over the medium term this -- gotta be a big boost for the auto industry can -- industry.
But and you do I will say.
You over the next year you need to be very suspicious.
About late model cars because effectively -- -- car has been seriously flooded.
There is no way to restore it to this sort of condition you want.
It may be drivable but it'll never be reliable in the way that you want so you wanna avoid those cars.
And and the new Lockhart facts and some -- the other systems out there will help with that but.
-- an honest dealer like CarMax or or well established done.
Franchised dealer is gotta be your best bad in terms of not getting shady deal.
Optimism for Maria launcher for door and some real advice from a car -- thank you so much Austin.
Thanks a lot list and -- -- -- we'll have you back for sure CarMax co-founder and former CEO be careful David late models especially around our area.
