My favorite nerd and well Steve Moore, economic advisor to the Trump administration. But I have to ask this, this was Steve, because you and I we go way back. We go way back. I know you're a free market guy. What are your thoughts about these tariffs?
Manny? Hi, how are you?
I'm good. I'm jumping right in. I've got stuff to talk about. I want to make sure you get it.
All in your waste one minute, no pleasantries anyway, It's great to be to you. It's been a while, so listen. I you've known me a long time. I'm a free trade guy. I don't like tariffs, but Trump, you know, he has all sorts of different trumps tarriffs out there. I do believe we should get tough with China because China is a notomy in the United States, and they are a threat to the United States, and they don't play by the rules. So I think we should get
very tough with China. I don't quite understand the thing with Canada. I mean, day practically out of the fifty first state already. Yeah, yeah, and you know, like Canada and Mexico are two most important allies in the world, no question about it. And I've always been a believer that we should have a unified kind of Canada, United States, Mexico free trade zone that would make North America the dominant continent, which we are well on the world to becoming.
So that's it. Look, I think the markets are very frazzled by what Trump is doing. Keeps talking about terrorist day after day. I think what we should be concentrating on the tax bill, making sure that we're not going to have the biggest tax increase in history in January, and less about terrorists. That's my take.
Well, let me ask you this because I've sort of maintained this and one thing I have learned. I mean, Steve, I told somebody this the other day. I've had my own show since two thousand and five, right, so I've lived through multiple administrations. I have never in my career had to try and consume, digest, sort out, and then communicate about so much as I.
Have in the first six weeks of the Trump administration.
Yeah, No, I feel the same way. You're right, It's just he the man does not slow down, and his every day it's like five or six new major initiatives. He wants to make his place in history's thinking about his legacy, and you know, he understands that he only has four years and actually probably realistically two years and two years from now many will be talking about the next election. Yeah. So so he's he's secretariat out of the gate, and I think most of the stuff he's
doing is very positive. I love Doge, I love the you know, yeah, I hate the idea of you know, men playing women's sports and that kind of thing. So he's hitting all the right buttons. But I think the Caras thing is hurting him right now. Man, he because the market is worried, you know, the latest report on the GVH in the case, we're going to be of a negative quarter, you know, which is worrisome. So let's be totally attentive of growing the economy and getting a placient under control.
Well, let me ask.
You this, going back to the thing I just said about this, it's just coming out so fast and curious. I have speculated on the show that Donald Trump's view of tariffs is using it as leverage, right, using it as as a sledgehammer in order to force people to the table to have negotiations. Do you think that he've used it as a tool or it ends in and of itself.
Well, I think a little bit of both. I mean, you're clearly right that he does use tariffs as a negotiating tool, and he's very effectively. I mean, that's what got the NATO companies in Europe to pay their NATO does That's why did you remember when Columbia said, well, we're not going to take back these Yeah, and sure enough a week later they said, okay, we'll take them. Even can even Mexico has started to get tough for some of the drug warlords that are importing this poison
into our society. So, yes, he's and instantly I want to make sure your listeners understand this. The only country that could get away with this is the United States because we're the country, we're the hub of the world economy of every country needs to meet with us and then to trade with us. And so when Trump takes away that carrot, for example, China would go into a great depression if they couldn't sell things to us.
Right, So now we see that there are special dispensations being carved out for car makers. I heard today we're talking about special dispensations for certain agriculture products. So in my mind, that says he doesn't believe that this is an ends unto itself, right, because if you believe that tariffs were the way to actually fund the government, as he's kind of indicated in the past.
Then you wouldn't back down. But the reality is is he is aware of.
Especially in the car manufacturer, saying look, we're going to have to shut down plants. I think that probably had an impact on him, but to me, it indicates that this is more of a negotiating tactic and a tool. One of the things I thought was interesting about.
That speech the other night Steve was that he.
Was very clear and saying, look, they have tariffs against so many of our products, and we really just want to.
Be treated fairly.
How accurate in your estimation is that in terms of are we over tariffed by other countries in compared to what we care of other countries.
Yes, there's no doubt about that. We're the low tariff country in the world. We have the lowest terrorists and by the way, we're advantaged by that because you know, it means that when we buy things from Mexico, or coffee from Brazil or whatever it is, we don't pay a huge price for it. But it would be ideal if Trump could force these other countries, which I think he will do, to lower their terrorists, because that way
we're all better off. And the point is that all these kinds, well, if you're going to raise your terrorists on us, we're going to raise our terrorists on you. That doesn't work for them because we don't. If we can't trade with Mexico, it hurt us. But if Mexico can't trade with us, their economy collapses, so they can't win a tip for tat war. I just want to go back to this point though, that we need to
focus on getting the economy back on his feet. You know, we've inherited a complete mess from Biden, and to start with terrorists, I think is a mistake. What I would do, and I've advised President Trump to do this. Do that. Get our tax cut done. Is it was a huge success. It's not a tax cut for the rich. It's a tax cut for every small business in Colorado. Every single family in Colorado get a tax cup from that bill.
And so get that made prominent and then you know, get the economy will start to rev up, and then you can talk about terrorists, but now is not a good time to do it because it's thrown the global financial markets into a kind of pandemonium.
But is there any way to do it when it won't have that effect? Because I got to tell you, Steve.
I look back to the Reagan administration and I was just a kid, okay, during the first Reagan administration, and I know that the actions that were taken by the FED to contract the amount of money in the economy.
We took a hit.
And to your point, we're looking at maybe having a negative quarter. I think we're going to see a recession. I not a huge one, not as wrong.
I hope so too.
But I think it's going to be like the Reagan recession was a sharp v recession.
Down quick, up quick, you know. And I think if all of.
This stuff is allowed to sort of settle in, then perhaps that what that's what happened. But I do believe a lot of the steps are taking will unleash the economy on the other side in the same way that it did in the nineteen eighties.
Yeah, I agree with that, and I think if we go back to nineteen eighty one, eighty two, you know, when Reagan came in. You know, the economy was really in the tank back then. I mean we had eleven percent inflation and you know, the mortgage interest rate went up to eighteen percent. Remember that. It was a disaster. And Trump, I mean Reagan had to It was shocked therapy, right, it's chemot therapy that we had to apply to the economy because it was in such a lousy shape and
it was so danger of dying. And we had a tough time. The first year of Trump's Reagan's administration was not good. It was a tough, very tough times. I remember that. And then once we once we took the medicine boyd, economy just boomed under A. Rigan. And I think that's exactly what would happen under Trump. But except people have short memories. Now, yeah, I don't think they can tolerate six months of negative, negative growth.
Well, I do think it's going to be really hard.
And then the temptation comes from politicians in office to want to quote, do something you know inevitably backfires.
That's when you want to run for the fire escape when they say do something, yeah, yeah, because most of the time what they do is wrong. But uh, the tax cut has got to get done. I know I want Johnny one note on that, but we cannot We cannot afford the failure is not an option on this. And if it doesn't get done quickly, I think that there's gonna be more panic on Wall Street that this
isn't going to happen, and that would be a disaster. So, mister President, I know you're listening to Mandy Show, Please please stop with the Paris Let's get the tax cut done. Then when we do that, And oh, by the way, I love what I haven't talked to you for a while, so I love with what Dilon is doing with it. Yeah,
I think it's fantastic. I mean, and I don't understand why all the Democrats, and you've got a lot of Democrats there in Colorado, why are they against those those just telling us where the waste and inefficiency and the duplication of Frado. If you're a good government person, you should want to see that happen.
Well, I got to tell you, I said this the other day.
I believe that Trump two point zero, which is why where I'm calling this, you know a term, Trump two point zero has broken the Democratic Party. Steve and It was evidenced in the fact that they sat there the other night during that speech and could not even get up to clap for a little boy with brain cancer who's made an honorary member of the Secret Service.
And he has broken the party.
He has broken them in such a way that they have positioned themselves as anti whatever he says.
Right, So to your point, it's.
Like, of course everybody should be for a more efficient government, but Trump, so they are anti and it's just put them in a really untenable situation I think going forward.
Yeah, and that makes them look I mean, when I first arrived in Washington thirty years ago, we used to work with Democrats all the time, you know. And I'm not a row v Republican. I mean, Republicans can be as bad as Democrats. And yet now, you know, excuse me,
I agree with you. I think the performance of those Democrats was just a disaster for their party and it was embarrassing frankly that you know, it's basically become the party of AOC and Elizabeth Warren and crazy people, and so I don't I don't think it's healthy for the country. I want. I want a vibrant Democratic party where we can have real debates about issues, not just left wing tripes that comes out of the Democrats today. And so
I mean, look, Bill Clinton was a Democrat. We the pardon of one Bill Clint was president, remember that.
Oh yeah, those were the healthy on days of balanced budgets.
You know.
Trump did have one passing line about balanced budget and I got a little tingle.
I was all excited. But I'll believe it when I see it. Let me ask you. Let me ask you.
Your perception, because you were also on the economic advisory team for the first Trump one point oh, and now you are working with this on Trump two point oh. How is Trump different between those two terms.
Oh that's a great question. So, by the way, I'll just tell you one quick story. You know, I have a book out right now without the laugher, called the Trump Economic Miracle. And we went to see Trump about eight months ago or so to show them the book and show them the graphs and stuff in there. And and he loves to look at pictures. You don't like to read. But anyway, so we we show them all a bunch of the graphs showing how well much better of the account has drawn when he was president. Than
when Baden was president. And then when he got the enemy said what are you guys going to call this book? And I said, well, miss president, we're going to call it Trump two point oh. And he said, now I like that. I said, call it a Trump Econack miracle. So but here's where I think he's different, and I get asked that question a lot. First of all, he's much more confident. He's he's he knows where the men's room.
In other words, when you're first elected, it takes six months just to figure out, you know, how everything operates, you know.
And he was under attacked from he was under attack from the moment he got elected.
And that's the other thing that I think is so interesting because there's a new poll out. He has a fifty four percent approval rating now and that's gigantic for Trump. In the first term, he never has anywhere near fifty percent, and now he's fifty four or thirty four, which is you know, plus twenty. And so I found it to be really interesting when Trump won in twenty sixteen, I think the country was fearful. They were afraid of what he was going to do. And I have nieces who
wouldn't even talk to me. They were so angry and so nervous about it. I think now the country is they're not fearful, they're hopeful. They're hopeful of what he's going to do to make America great again. So I think that's the key difference. And he's matured. I mean, he knows exactly what to do, and he knows the clock is sticking. Yeah, got him that quickly. If he wants to save the country.
Well, I said this to someone the other day. It's like the people who are assuming that they're dealing with the same Donald Trump. Because I do think in the first term, to your point about that learning curve, it felt much more like he was just kind of throwing stuff against the wall in some.
Respects and seeing if it sticks. Right.
But I from the moment he has taken office, I likened it to the first You know, series of plays in any NFL game have already been written by the coach before the game starts on offense, right, you have that first set of plays. He's got the first set of plays, and he has I think it feels like a clear plan. I would like to be more privy
to the details of the clear plan. If I'm honest, right, I'd like to know what he's thinking that we're not hearing yet, because I see what I what, I what I you know, conjure up to be what could be a master plan going forward when it comes to relations with Ukraine and China and everything else. But I'd like to hear a clear macro view of what he is trying to accomplish other than we're going to make America
great again. I need I just want a little more meat on those bones, if you know what I mean.
Yeah, well he's going to I mean, if you look at the big four issues tax policy, obviously he's got that picture right, you know. I like the idea he not only wants to make the tax cuts from the first term permanent, but he also wants to go to a fifteen percent rate for companies that invest in the United States. He wants no tax on tips.
You know, well, I mean, I mean, Steve, he's only doing that, no tax on tips for his billionaire friends. I mean, obviously, obviously it's so clear.
Yeah, well, you know, my first job, I don't know if I ever told you this was parking towers when I was seventeen and eighteen years old, and i made all my money on tips. And I'm going to tell you a little secret because I know this TV this radio show is off the record. But I didn't claim the tip. Funny my taxes.
You know what.
Here's my shock face, see Moore, Yeah, here's my Why do you think when I pay with a credit card in a restaurant, I tip in cash?
Why do you think I do that?
Still More? That's so interesting. You know that you're about the third person who's told me that in the last few weeks that if you if you, if you've tipped in cash, then yeah, because that's the thing. You know. I would walk away sometimes some nice with like forty bucks in my pocket and tips. Yeah, and that was back when forty dollars there was a lot of money.
Yeah, that's cute. Now now I'm talking about forty dollars tips.
Had I had a big cookie jar, you know, with all sort you know, my mom was like, what are you gonna do with all that money? There? You go? Yeah?
Did you have went down her and said, you know what I'm not doing, mom, I'm not paying taxes on it. That's what I talked to stay More. We're at a time. I know we can't be I know, I know it's lies. I got to get you. I say this every time, but you are hard to pin down. Mister. You're a busy person. Yeah, all right, we'll talk to you.
You're always at the top of my list.
You now you're just blowing smoke up.
My cha Zoo America great again?
Yes, right again again? All right, Steve, I'll talk to you. Sue, my friend, I have a good one.
That's Steven Moore, part of Trump's economic team and honestly one of my favorite people.