We don’t want to be in a war over trade: Art Laffer

We don’t want to be in a war over trade: Art Laffer


10,300 IS YOUR PRICE. AGAIN HAVE TO REMIND YOU, VERY SOON, WE’LL BE TAKING YOU TO A PODIUM WHERE WE WILL HAVE PRESIDENT TRUMP AND EMMANUEL MACRON HOLDING THAT JOINT PRESS CONFERENCE, OKAY? I WANT TO BRING IN ART LAFFER, FORMER REAGAN ECONOMIC ADVISOR. ART, BIG PICTURE NOW, WE HAD LOTS OF DEVELOPMENTS THIS MORNING ON THE CHINA TRADE DEAL TALKS, ALL REST OF IT, IS IT OKAY TO BE OPTIMISTIC AT THIS POINT FROM WHAT WE HAVE HEARD ABOUT CHINA TRADE TALKS? ARE YOU OPTIMISTIC?>>YES. I AM OPTIMISTIC. I BELIEVE VERY MUCH IN THE PRESIDENT. I BELIEVE HE IS A GREAT NEGOTIATOR. AND HE DOES ALL OF THESE THINGS ALL OF THE TIME WHICH KEEP ME OFF-GUARD, OFF BALANCE, ET CETERA. BOTTOM LINE I THINK HE WILL GET A GOOD TRADE DEAL WITH CHINA. I THINK WE’LL HAVE A GREAT TRADE DEAL WITH JAPAN. WHAT HE IS DOING WITH THE TRADE STUFF, WHILE IT CONFUSES ME, BAFFLES ME, TERRIFIES ME, I THINK HE WILL DO A GOOD JOB. WE’LL GET SOMETHING COMING OUT OF IT GOOD FOR THE COUNTRY, GOOD FOR CHINA TOO. STUART: HERE IS THE TAKE I’VE BEEN DELIVERING ALL MORNING WHICH IS, PRESIDENT TRUMP IS ARRANGING ONE-ON-ONE TRADE DEALS. JAPAN, GERMANY, BRITAIN. AND, THAT SEEMS TO BE LINING UP PEOPLE TO GO AGAINST CHINA, THE ROGUE TRADING STATE. IS IT THAT WHAT HE IS DOING, LINING UP ALLIES?>>I HOPE NOT. BECAUSE, YOU KNOW, I DON’T LIKE TO THINK OF CHINA AS A ROGUE TRADING STATE. CHINA HAS LOTS OF PROBLEMS IN THE TRADING STRUCTURE. THAT IS VERY TRUE, STUART. THE THINGS THAT IS THE PRESIDENT IS PROPOSING, WHAT THEY AGREED TO BEFORE, CHINA RENEGED ON WOULD HELP CHINA AS MUCH AS THE U.S. FREE TRADE IS GOOD FOR EVERYONE, NOT JUST FOR ONE PARTY OR THE OTHER. IT IS NOT I WIN, YOU LOSE, OR YOU WIN, I LOSE, IT IS A WIN-WIN OR LOSE-LOSE AND THE UNITED STATES HAS HUGE AMOUNTS TO GAIN FROM FREE TRADE WITH CHINA AND SO DOES CHINA HAVE HUGE AMOUNTS TO GAIN FROM FREE TRADE WITH THE U.S. IT’S A PERFECT MATCH MADE IN HEAVEN. IF ONLY WE HAD FREE TRADE WITH EACH OTHER. TRUMP HAS ALWAYS BEEN FREER TRADE, MY VIEW OF THE WORLD, I THINK HE WILL GET A GREAT DEAL WITH CHINA AND I THINK CHINA WILL THANK HIM IMMENSELY WHAT HE HAS DONE. STUART: THIS IS SOMETHING THAT WILL MAKE YOU HAPPY. “THE HILL” IS REPORTING THAT CHINESE AND AMERICAN NEGOTIATORS, I TAKE THAT BACK. THE FRENCH AND AMERICAN NEGOTIATORS HAVE AGREED ON SOME FORM OF COMPROMISE ON THIS FRENCH TECH TAX. IT INVOLVES TECH COMPANIES, AMERICAN TECH COMPANIES, GETTING SOME KIND OF A REFUND IF THEY OVERPAID, OVERTAXED. I DON’T WANT TO GET INTO THE WEEDS ON THIS, I’M SURE YOU ARE HAPPY TO HEAR IT, ART?>>I’M DELIGHTED. THIS IS THE TYPE OF STUFF THAT TRUMP IS GREAT AT. YOU KNOW, CAN YOU IMAGINE ANY OTHER PRESIDENT DOING THAT, CHALLENGING DOMESTIC AUTHORITY OF TAXATION IN A COUNTRY WITH THAT TYPE OF THING? TRUMP DID IT, GOT IT BACK. GOT IT WHERE IT SHOULD BE. THAT IS WHAT YOU WANT FROM A GOOD PRESIDENT, A GOOD CEO OF THE UNITED STATES. HE IS DOING JOBS GREAT. HE DOES — ALL THE TIME BUT IT COMES OUT PRETTY WELL IN THE END. ALL THIS STUFF — STUART: WHAT DO YOU MEAN HE SCARES YOU?>>WHEN I HEAR HIM SAY, GET THEM, WE’LL KNOCK — IT SCARES ME. TRADE IS NOT SOMETHING YOU WANT TO BE IN A WAR ABOUT. TRADE IS GOOD FOR EVERYONE. WHEN HE DOES THE NEGOTIATIONS AND ALL THAT STUFF, I HAVE NO IDEA WHAT HIS FALLBACK POSITION IS OR WHAT HE WILL ULTIMATELY END UP WITH. IT SCARES ME LIKE EVERYONE ELSE. WHEN THE MARKETS COLLAPSE BY 622 POINTS IN ONE DAY, STUART THAT IS TERRIFYING. STUART: THE PRESIDENT IS PILING ON THE PRESSURE, PILING ON PRESSURE TO XI XINPING. AND XI XINPING, THE CHINESE LEADER, HE HAS TO LOOK OVER HIS SHOULDER, HE MUST BE HORRIFIED WHAT HE SAW IN HONG KONG OVER THE WEEKEND. SHOTS FIRED, POLICE DREW THEIR GUNS WITH LIVE AMMUNITION, WATER CANNON. IT WAS A RIOT. NOW ISN’T THAT, PUTS, ISN’T THAT PUTTING PRESSURE ON XI XINPING TO BE NICE TO TRUMP? I MEAN HE HAS GOT TO SETTLE HONG KONG SOMEHOW OR ANOTHER. WHY NOT NICE TO TRUMP IN THE MEANTIME?>>YOU SHOULD BE NICE TO TRUMP ALL THE TIME, NOT JUST BECAUSE YOU HAVE PRESSURE ON YOU. THREATENING SOMEONE, OFTEN DOESN’T MAKE IT WORK OUT WELL. YOU KNOW, WHENEVER YOU HAVE, WHENEVER FIGHT BOTH ALWAYS LOSE. YOU MAY LOSE LESS THAN THE GUY YOU BEAT UP THERE IS NO UPSIDE TO FIGHTING N THIS THING WE NEED AGREEMENTS THERE, THAT GET RID OF ALL INEXITS THERE THAT DON’T HELP CHINA. CHINA STEALING INTELLECTUAL PROPERTY IS NOT GOOD FOR CHINA, IT IS NOT GOOD FOR THE U.S., IT IS NOT GOOD FOR ANYONE AND THEY STEAL OFF EACH OTHER BY THE WAY, JUST SO YOU KNOW IT. IT IS NOT DISCRIMINATORY AGAINST THE USA. STOP IT ALREADY. DON’T MAKE THESE TRANSFERS, DO IT RIGHT. EVERY CHINESE PERSON IN THE NEGOTIATION KNOWS THE U.S. POSITION IS RIGHT. THEY KNOW THAT. THEY JUST WORRY ABOUT THE POLITICAL BACKLASH IN CHINA BUT THEY KNOW IT IS GOOD FOR CHINA, GOOD FOR CHINESE GROWTH. WE HAVE BEEN CHINA’S FRIEND SINCE THE VERY BEGINNING. I WAS THE FIRST AMERICAN IN MODERN TIMES TO GO TO CHINA. I WENT IN 1970 WITH GEORGE SCHULTZ AND JOHN ERHLICHMAN. I WAS PREPARED TO HATE CHINA. I FELL IN LOVE WITH CHINA. CHINA IS A PER PARTNER GOING FORWARD. STUART: I DID NOT KNOW THAT.>>WHAT A FREE-TRADE AGREEMENT WOULD BE FOR THE US AND GET THEM OUT OF THE E.U. AND GET THEM TO GROWTH AND PROSPERITY. STUART: HOLD ON. I DIDN’T KNOW YOU HAD BEEN IN CHINA 1970, BECAUSE AT THAT TIME, VIRTUALLY NO WERNER WENT THERE. IT WAS THE END OF CHINA’S CULTURAL REVOLUTION. WHAT WAS CHINA LIKE BACK THEN.>>CHINA WAS THE POOREST PLACE ON EARTH. I WENT ON AIR FORCE TWO WITH GEORGE SCHULTZ AND JOHN ERHLICHMAN. I WAS A STAFFER. TODD HOLLAND WAS THE ADVANCE MAN AND THE JANET WHO WAS THE SECRETARY THERE WE WENT THERE I GOT ALL THE BRIEFINGS ABOUT CHINA THERE. I TURNED FROM BEING VERY HOSTILE TO CHINA TO BEING REALLY PRO-CHINA. I WAS IN THE FIRST ONE. IT WAS VERY EXCITING. I WAS DOMESTIC HEAD IN THE WHITE HOUSE AT THAT TIME FOR CHINA. AND CHINA’S A NATURAL ALLY OF OURS. IN THE BOXER REBELLION WE WERE VERY MUCH ON CHINA. ALL OF THIS STUFF, WE HAVE A GREAT RELATIONSHIP WITH CHINA. IT IS THE PERFECT MATCH. TRUMP IS GOING TO BRING IT TO FRUITION. I THINK IT WILL BE THE BIGGEST BOON FOR THE U.S. AND CHINA IMAGINABLE. I DON’T SEE ANY REASON WHY CHINA AND U.S. CAN’T MARCH ARM IN ARM TOGETHER TO MAKE FOR A BETTER WORLD RATHER THAN FIGHT EACH OTHER. FIGHTING EACH OTHER DOESN’T PAY OFF IN THE LONG RUN. WE NEED TO BE PARTNERS. HUH? STUART: LET’S TALK THE MARKET FOR A SECOND, OKAY?>>YES. STUART: IT SEEMS TO ME THAT THIS QUESTION OF THE INVERTED YIELD CURVE NOT THAT IMPORTANT AT THIS MOMENT. TALK OF TAX CUTS WAY DOWN THE ROAD. NOT THAT IMPORTANT AT THIS MOMENT. THE BALL OF WAX, THE ONLY GAME IN TOWN THIS, IS MY OPINION, I WANT TO HEAR WHAT YOU GOT TO SAY, THE ONLY GAME IN TOWN FOR THIS STOCK MARKET AT THIS POINT IS CHINA TRADE. WHAT DO YOU SAY?>>I THINK IT IS VERY MUCH CHINA TRADE. I WOULDN’T SAY THE ONLY GAME IN TOWN. POWELL SHOULD LOWER THE DISCOUNT RATE QUITE SUBSTANTIALLY. THE FIVE-YEAR YIELD IS BELOW THE DISCOUNT RATE OR RIGHT EVEN WIT. THAT JUST MAKES NO SENSE. FOR THE LAST 10 YEARS, THE FIVE-YEAR HAS BEEN WAY ABOVE THE DISCOUNT RATE. XI NEEDS TO MOVE THE DISCOUNT RATE TO KEEP REGULAR SLOPED YIELD CURVE. THAT IS WHAT NEEDS TO BE DONE. YOU’RE RIGHT, CHINA IS MUCH MORE IMPORTANT THAN THAT. JAPAN’S A BIG DEAL TOO, STUART. BUT AGAIN, CHINA IS MUCH MORE IMPORTANT THAN JAPAN. THOSE TWO OTHER ONES ARE NOT SMALL. IF WE DO A GOOD DEAL WITH CHINA, WE GET THE DISCOUNT RATE DOWN, IF WE GET THE DEAL WITH JAPAN, THIS PLACE IS OFF TO THE MOON. STUART: THE U.S. –>>WE’LL HAVE THE BEST 10-YEAR FUTURE IMAGINABLE. I’M VERY EXCITED ABOUT THE U.S. PROSPECTS. WE’RE THE ONLY COUNTRY NOW DOING WELL BECAUSE OF OUR TAX BILL. REMEMBER, HOW WE TALKED ABOUT ABOUT THE TAX BILL ON THIS SHOW. IF IT WEREN’T FOR THAT TAX BILL, STUART, WE WOULD BE IN THE SINKHOLE JUST LIKE EUROPE, JUST LIKE THE REST OF THE WORLD IS. WE’RE NOT BECAUSE OF THAT TAX BILL. TRUMP HAS DONE A GREAT JOB ON THIS ECONOMY. STUART: I CAN’T BELIEVE WHAT IS HAPPENING IN EUROPE, ACTUALLY. THEY’RE PRINTING MONEY LIKE GOING OUT OF STYLE. NEGATIVE INTEREST RATES. YOU HAVE BEEN TOO LONG AWAY FROM EUROPE. I LIVED IN GERMANY AS A KID. I WENT TO SCHOOL AT THE UNIVERSITY OF MUNICH. EUROPEANS HAVE NOTHING BUT WAYS OF CREATING DESTRUCTION OF GOOD THINGS. STUART: YOU WENT TO SCHOOL IN GERMANY.>>THE EU WAS SUCH A MISTAKE. STUART: YOU WENT TO SCHOOL IN GERMANY?>>I WENT TO UNIVERSITY OF MUNICH WHEN I WAS A KID. STUART: WHEN YOU WERE A KID, WHAT WAS THAT, ’50s OR ’60s?>>1920s. I GOT THE ALUMNI AWARD FROM UNIVERSITY OF MUNICH, FROM THE MAYOR OF MUNICH. I LOVED THE PLACE. I LOVED IT. BUT EUROPEANS DON’T LOOK THE WAY WE DO TO THE FUTURE. THEY DON’T SMILE AND BEAM AND LOVE THINGS. THEY LOOK FOR THE DARK SIDE. YOU KNOW, THIS STUFF IS STUFF FOR OPTIMISM. STUART: DO YOU THINK THEY WILL EVER CUT TAXES IN GERMANY?>>WHEN GERHARD, HE DID IT. IF IF YOU SAW WHAT HE DID. I WROTE A PAPER, IF YOU LOOK AT GERMANY, YOU LOOK AT GOVERNMENT SPENDING AS SHARE OF GDP RISING AND GERMAN GROWTH RATES STOPPED. THEY HAVE DESTROYED ALL THEIR FUTURE IN GERMANY. THEY WERE THE ONES THAT DEVELOPED THE — IF YOU REMEMBER. THEY HAVE DESTROYED IT AS WELL. THEY GAVE BIRTH TO IT AND KILLED IT. IT IS REALLY SAD WHAT THE GERMANS HAVE DONE TO THEMSELVES, THE REST OF THE EU THE REST OF THE EU IS NO GREAT SHAKES. STUART: THIS IS TRUE.>>GREAT TIN WILL BE GREAT BECAUSE YOU’RE GETTING OUT OF IT. YOU WILL DO A FREE STRAYED —

Dereck Turner

28 thoughts on “We don’t want to be in a war over trade: Art Laffer

  1. Wally Wally says:

    CHINA LOSSES EVERY DAY WITHOUT DEAL WITH USA

  2. The Naked Truth says:

    They are both on the same side.

  3. Guitar says:

    All trade is war. Get over it.

  4. JAY JAY says:

    All signs are that the Chinese are happy to press forward through the 2020 election, hoping that Trump isn’t reelected and that they might get more favorable terms out of a Democratic replacement. They even responded by recently upping their own tariffs, despite Trump pulling back on some extremely punitive ones that were set to begin next week. Even Trump’s trade advisers seem to recognize that the Chinese have time and politics on their side — along with an unforeseen level of resolve.  But if there is one unifying theme of the Trump presidency, it is ego. And although the trade war sinking the economy could doom Trump’s reelection bid, so, too, could an embarrassing retreat from the trade war that Trump has said is so necessary, and that has already carried significant costs.  Good luck sir, you are going to need it.

  5. Justin Johnson says:

    No Deal with Communists… 100% tariffs. Quit making China great!

  6. Ri4ver · H says:

    LOL, Good for China…

  7. Justin Johnson says:

    Art, you’re a wimp

  8. Cory Nelson says:

    Both DEM'S, Rep's, and all Government's, are both from the same wing of the eagle and if u can't see that you are spiritually Blind and not awake!! Trade wars lead to world wars!! And this is all about Agenda 21, depopulation of the world to many people sucking the systems Dry, and food shortages!!

  9. WasatchMan says:

    We don't want to be taken advantage of China either. Trade war seems better.

  10. Flak Lognon says:

    Win-Win or Lose – Lose are the only choice in this, unless you like eating cardboard. lets talk about whats going on to fix ip protection and if we could make it better good idea ;p

  11. Noneshere says:

    Eat sh!t Chump…Your first round of lies & deception is your last.

  12. A2theE2 says:

    Hey art, but its ok for the USA to be at war for israel in the ME. Goy have to do what the beast master says huh?

  13. Doug Shaw says:

    What 'war'? Calm down, hotpants! My guess is your mommy still buys your clothes for you! Grownups know better than you, and you just have to be still. Who would you rather have negotiate the price you pay to keep your job: Don Trump, or ANYONE ELSE YOU CAN NAME?

  14. Bong Bong says:

    Art laugher got owned by Peter Shiff. Don't believe this fool.

  15. rudai123 says:

    Everyone loses in a trade war.

  16. Mar Lewin says:

    China has benefitted because of our foolish trade policies; time to reverse course.

  17. x x says:

    So much for being easy to win.

  18. Trang Doan says:

    Rich Chinese people in China dont consume "Made in China" agriculture products or processed foods which are often not good for human health.

  19. Adorable Deplorable says:

    Stock Market isn't the end all, be all of the U.S economy. TRUMP'S tweets aren't at all causing the uncertainties. It's the endless fearmongering by the propaganda media and Democrats……🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸🇺🇸

  20. Douglas Casey says:

    One thing for sure. China needs the American consumer. That alone gives Trump the advantage over China.

  21. Wolf Hound Dog says:

    Why only Ireland out aswell this guy doesnt make any sense china is America best friend apparently to ARTY FARTY

  22. KarL E says:

    TRUMP AT HIS BEST

  23. Tony Walls says:

    It's a win/winning situation. They may get a win, we are winning still

  24. TheJinashura says:

    So we either get screwed with trade or fight and possibly lose. Sorry, I pick fight.

  25. William Bailey says:

    Markets collapse 623 points. Lol. 1.5 % is not a collapse. What a tool. Back up today by the way.

  26. Tony Cooper says:

    Free trade with China won't help America very much. The social credit system in China rewards people for buying made in China items. So why buy American when it hurts their social credit score?

  27. Low IQ Goy says:

    Free Trade is not good for US industry. It had destroyed every great American Company. Art Laffer is a sell out. International Capitalists don't care about quality of life only profit. International Capitalism and Communism are two sides of the same coin. Don't be fooled.

  28. Ann Smith says:

    this guy is happy to sell out our countrey

Leave a Reply

Your email address will not be published. Required fields are marked *