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Wall Street Journal’s Steve Moore, Economic Policy Institute’s Christina Dorsey and Cumberland Advisors’ David Kotok on the budget negotiations.
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-- -- -- -- we start tonight with the budget preview buy this time tomorrow will now Paul Ryan's plan -- is said.
To balance the budget in ten years and chances of its passing -- a little slim to be fair but is it even a realistic target.
All star money power failure to -- and -- Dorsey with the Economic Policy Institute David -- attack.
Is co-founder and chief investment officer where Cumberland advisors and Steve Moore is here with the Wall Street Journal Steve I'll go to you first.
What do you think we're gonna hear tomorrow and it is it a good starting point.
Yeah I look I don't think is gonna be significantly different from.
The budgets that Paul Ryan has passed over the last couple years more so I think that's actually want to appoint Steve what's the point of -- and seen is that things -- having gone through.
Well because the problem has been as you know -- -- -- Paul Ryan in the house Republicans have done their job they passed a budget out of the house that's they're constitutional responsibility.
As you've mentioned many times on your show it's been four years since the senate passed a budget so.
This puts more.
Up pressure I think on the on the satirist.
As you know the -- controlled by the Democrats to come up with their budget blueprint so we can start negotiating.
Christian you agree with that.
Well the senate is going to be releasing there -- budget.
Are starting on Wednesday as well so we're gonna see an opportunity for just what Steve wants to occur to occur but -- as your original question Melissa.
Is there -- high and budget feasible practical or or or are necessary.
You know the answer to all of the above is is no -- -- saying warmed over policies that we had a national referendum on.
Just a few months ago and to repackage that again.
Shows that he's either willfully stubborn or just stuck completely contemptuous of the American people.
David do you agree with that.
And at no I don't Melissa and you just have a perfect example of polarization -- work only the debate is here.
Instead of Washington.
And it's on your show the fact of the matter is we've got two sides they're busy fighting out the congressional election next year.
To see if the Democrats can get the House of Representatives.
In 2000 -- fifteen and the Republicans have realized that they cannot be obstructionists.
That sense of what is -- -- -- India and people do in the meantime provide a feeling you're right a lot of people on our audience are saying the same thing we've heard this I'd say this in this sides say this.
In the meantime they're not getting anything done in Washington so what's the take -- having -- what's the -- -- for the market what do you do.
Not.
My clients of people like talk to give speeches to all over the country you're disgusted with both parties -- like to throw them both -- start all over and don't know what to do about it meanwhile the Fed is the game in town.
And that gives an upward bias to markets in spite of watching it.
Not because of it.
-- I disagree with that I don't look David I talk to investors all the time till.
They believe it's very very important for this country and our financial future that we do something about balancing this budget Apollo Ryan I don't agree with everything -- policy budget -- -- but he has a document that in ten years will balance the budget I will -- Christian I got state dinner -- the -- isn't going to be able to get a budget basket they haven't done that in four years and they don't have the votes to get anything through dishonest so.
Look one priority is his -- their constitutional responsibility the other half that that's up and that's on the part of some point it's simply -- truth.
Chris what is out.
What about the idea that you know Republicans have already -- tax increases to the table we've gone down that road now we're at the point we -- -- see some serious.
Reform of Medicare in entitlement spending.
Well let's see we did have an election on that and that was actually -- Americans don't want reform of Medicare and an entitlement.
Well yes -- we already have savings to Medicare on the order of 700 plus billion dollars that are part of the Affordable Care Act but Paul Ryan actually wants -- Repeal the Affordable Care Act the -- The savings that have been cooked into it you know the -- -- We heard a good is that we're gonna and I -- picking -- -- you saying that the affordable care at this gonna save money.
At least one million more people not get it's gonna explode the costs of health care system come -- -- -- -- yeah increasing honest.
Then then tell Paul Ryan that because he's bookings 700 billion dollars in savings from Medicare expansion of -- from Medicare spending he's booking that into his own budget.
Additionally -- yeah yeah yeah.
-- deal well as a discussion.
David.
Because that's of these two I -- you are really debating is how are we ever going to get our books in order here in this country does it matter to the market and -- Americans are.
I think I think.
I think the market's best opinion is a divided government a pox on both their houses last week I spent 101000.
Air miles in the United States I gave a bunch of speeches and had meetings.
And every time that I said to the audience we should throw -- -- out and start over I got a rousing applause.
Both sides are faulted.
We haven't had any budget predict prediction that has a long term trend come within hundreds of billions any time in the last year's.
And nobody believes -- -- and nobody believes watching didn't it.
Arguments on either side there's no credibility left in my view okay.
I'm gonna make that the last -- access -- go to one of the other we have about just open up a host an important thank you so my top three year phenomenon that develops.
