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CKE Restaurants CEO Andy Puzder, NextGeneration.TV Correspondent Michelle Fields and Cato Economist Dan Mitchell on the impact of the sequestration cu...
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Want to make of all of this.
A Dan Mitchell.
And to show fields.
Andy you know you can cry wolf so many times before I don't know you wanna see a wolves so far no wolf what happened.
-- so far not not that we've been able to see -- I did fly in from Australia New Zealand on a business trip on Saturday.
They customs official got up and said because of sequestration it was gonna take two hours for domestic travelers three hours for international travelers.
They didn't have over time they'd never employees.
I got through and less than an hour I've never gotten through customs that fails before China I think I think government workers will work harder than they did before.
American business workers have been doing that but since 2008 households have been tightening up since 2008 that you can't -- future spending.
2% you shouldn't be running a company and if you can't reduce government spending without cutting essential services to present.
You shouldn't be running the country so they're there's a lot of room for cutting besides people but we absolutely.
Have to have to ensure our safety our prosperity.
Wanna sell the -- we got from a number of Democrats today it was just you way.
The cuts are going to be days in -- slow and grinding process that we were told last week was going to be immediate sweetening.
I don't that was then this is now so take it at their word that this is coming.
But in the scheme of things I think they doth protest too much.
Exactly but in 1980 I we had our first sequestered every month that the world is going to at.
We'll -- we survived that we are going to survive that's.
First spending fifteen billion dollars more than we were last year and what -- -- 'cause that are going to be implemented this year about 42 billing and that's -- three point spot 3.5 trillion dollar budgets -- asking politicians to deal.
It basically cut a little more than a penny out of every dollar that they spent I feel like they can do that -- I feel like they should be able to -- that.
You know I always hear from some of these civilian defense contracts is -- will be affected Canada to buy some of these.
Cuts that are going to come -- defense and I take no light of their predicament and I do say that in the -- -- -- we have to look for the country.
We have to look at the percentages -- spending -- we have to look at 85 billion.
In a three point eight trillion dollar budget and a sixteen.
And a half plus trillion dollar debt and to say in the scheme of things you cannot say cuts of that magnitude.
Are really of any appreciable managed to do a fraction of the damage that was forecast that we -- It.
If you're a defense contractor.
And -- you're getting 50% of the sequester and you're only 20% of the budget.
And military salaries are being held harmless.
Then yes the concentrated cots and if you contractors and consultants.
And civilian personnel my -- -- -- pleasant but the broader point that you just made is that.
We have government growing too fast a federal government that's too vague.
We have is all this keynesian rhetoric coming out of the White House about -- we need more government spending do.
To give us jobs -- that's exactly the same argument -- used in 2009.
They were wrong then about the job creating impact of more government spending.
And there are wrong today about the suppose -- job killing impact.
Of less government spending we reduce government spending as a -- GDP under both Reagan and Clinton and we got much much better performance then.
Then we have had under the bush Obama big government years.
Any obviously Republicans if this stays the same in other words we're we don't have really any noticeable disruptions.
There -- gonna say well obviously we can afford to cut.
Don't believe these hysterical claims.
Flip it around though any good side to first -- we have it could sort of be like the climate change votes if it's hot climate change it's called -- climate change.
You know if it's your mother in -- climate change it on to say good that you could -- anything to do it.
And then there's no way to.
It's it's it's -- come out ahead of what do you -- -- -- Well I'll tell -- that the president is running the country it's it's like running a business.
If your board of directors -- if you you have to make cuts you have to make cuts.
And you should be able to make them without cutting any essential services particularly when the cuts are this lawless half a percent of GDP we can we can do this.
If the president will lead if the government if the government will go forward in and a.
Active -- anyway hazards they wanted to go -- I'm sort of my friend but the president is saying these cuts are draconian and and and and really cuts of the core.
Armageddon like.
Then.
Does he really -- appetite for the type of substantial things we need to see done.
As far as as -- continue -- look resolution -- by the end of this month and more substantial cuts down the road in future months.
Clearly he doesn't have the stomach port but I think the American people know these are not draconian cuts.
These are not severe cuts they know we have a spending problem when you when you spend more G rated by definition have a spending problem.
And they realize this press they're making a bigger deal out of this than it -- this is government by crisis it's it's running a business like crisis and you can't.
Yeah we need to come down we need leadership we need some rational thought going forward and we can't address these problems they just it just has to be done.
In a way where you're not creating a crisis every time something doesn't go your way.
-- Neon -- millions of Americans have been dealing with this economy for years now having to manage and reduce their -- -- You don't see people in DC talking about this apocalypse happening or.
That and that and that there's going to be food contaminate -- in creating this crisis.
It's not -- pill.
The jobs of government workers on the line and when -- welfare state is that might be minimized the little bit.
That they go crazy so I think Americans are very -- like how out of highlights how out of touch and they -- a bunch of spoiled brats in the beltway.
That they feel like they should not have to -- the realities of the economy well every penny out acted.
That's a very good point in one I -- and on review Indian Americans are getting used to not only an -- ago votes are really -- wallop but.
I don't revert to 90% working Americans -- -- what was taken out of rates at about 2%.
On which is.
A lot more than the cuts the government asked to make right now Americans are adjusting and making those adjustments.
-- -- -- -- -- We should be not just trending.
The federal government and that's all the sequester raises -- off a finger and now.
We we have a live -- gangrene and to save the body to save the economy.
We need to pare back government substantially the sequester a just a tiny start but here's the good news.
This is the first real political victory that we have had over Obama since he took office he had all those big expansions of government -- first two years.
Then at best -- bottom to a stalemate the next two years.
He -- got the fiscal -- tax increase of the very end of a second term.
But the sequester as a big defeat from a policy and a political perspective.
For the president we should enjoy this.
Build upon it and do everything we kinda shrink government to allow faster private sector growth.
We shall see guys thank you in the meets on very good seeing -- wall.
