tv Cavuto on Business FOX News February 11, 2017 7:30am-8:01am PST
>> trump had a warm phone call with china and now golf with the prime minister of japan. i think up 15%-- >> do you understand that, john? >> thank you for joining us. charles in for neil. >> we're going to be announcing something, i would say over the next two or three weeks that will be phenomenal in terms of text. >> i'll let him make that news. >> what will echo what you've been doing? >> we're going in the direction in a good way. for businesses that want to know, this is going to happen this year, this is important. the president and lawmaker who will spearhead any tax cut bill, both saying it's coming. hello, everyone, i'm charles payne in for neil cavuto. the same week president trump and g.o.p. lawmakers promised tax cuts will happen soon, intel ceo saying trump's lower
tax agenda is a big reason why his company is investing $7 billion in the new arizona factory. trading around 10,000 jobs inside and outside intel. more proof that we need tax cuts now. charles gasperino, gerri willis, ben stein, kennedy is off this week. all right, charlie, do we need tax reform right now? >> i would say the sooner the better, particularly on corporate tax reform, which will, i think, be the immediate boost to jobs, although i like a tax cut and i think the more i spend and the more people like you spend and, definitely, the more ben spends, the better the economy. because he spends a lot. he's got a lot of money. when people with a lot of money spend a lot of money, that infuses the economy and i think we need corporate tax cutsment here is where the rubber meets the road. the president's going to have a plan and they're going to have a plan and then there's a competing plan called the infrastructure spending bill. and the wall. and how much of a tax cut can
we have if we do both at the same time? now, it may be the point where they do the tax cuts first and leave the wall second which may-- ments it's not just that though. >> if you could do the tax cuts first, you could probably see a very significant tax cut in corporate side. >> we know, ger ri, they talked about the tax cut coming it sparked the next leg of this rally. >> that's right. >> and wall street is clamoring for. >> wall street wants it and main street of america wants it and taxes combined with watson, the computer, to come up with advice on taxes. that's how complicated the tax code is, it takes artificial intelligence to make it happen. >> ben stein, to charlie's point, a lot of infighting among republicans, what should come first and how much should debt matter. should we be focused on sparking the economy. of course, there's keeping the promises that president trump
made on the campaign trail. how do you see it playing out? >> well, i see it all as kind of la la land. i mean, not to have an ad for the movie. but i see it as fantasy land. we're running to deficit. not as big as a few years ago, but we're virtually 20 trillion dollars in debt. how can we possibly rationalize add to go that debt and heading toward inevitable bankruptcy for this country. by the way, i think, yes, the corporate tax cut should be corporate tax should be cut, and maybe abolished and the taxes should just be applied to the owners of the company. but, the idea that this country can afford a gigantic tax cut is unfortunately just not true. we are running in enormous deficits and we don't have the money to have enormous tax cuts. it would be nice if we did, but nice if i owned a gold cadillac. it just isn't-- (laughter) >> here is the thing, ben, i heard you had them in every
other color. maybe the gold one is coming. gerri, supply side says you lower the taxes, reinrig -- reinvigorate the company and-- >> every time you lower taxes, revenues go up to the treasury and you combine that with the other part of the equation, stop feeding the beast that's growing the last 16 years. the problem is as government grows, the economy's potential slows. so stop taking money out of corporations. stop taking out of the consumer, let them feel better and companies feel better and you're getting the evidence when you're hearing from intel what they'll do because of that tax policy. >> adam, one thing we agree on, the evidence is clear, individuals and businesses hoarded money. no one wanted to spend what they had left because of the onerous tax codes and high levels of taxation.
>> i know we have many of these corporations had huge cash balances, that's true. but we're in-- what is it? what year of expansion are we in? seven years? it's not true there wasn't investment going on. the real issue here in my opinion, charlie picked on the wall and one other thing. >> infrastructure. >> infrastructure that the president wants to pay for. he also has said no cuts to medicare, no cuts to medicaid, no cuts to social security, and so, charles, i know you're in the host's chair today, but you've been an eloquent voice for a balanced budget for years now. the republicans in congress are not going to go along with it. it's going to be a huge political fight. >> i agree with that and i think that ben hit it on the head. the deficits are the deficits. they're there, and we have a tremendous amount of debt to pay off. the trump and congress are going to have to make a-- some sort of deal here. we're not going to get a 15% corporate tax cut. >> more like 20 to 25%.
>> try 25. if, if we build a wall, which is going to cost $26 billion. and we do massive infrastructure, which can be $500 billion or more. that's the trade-off. >> and we won't cut entitlements. there's going to be-- i think the stock market's getting ahead of itself. i want massive tax cuts, i'm unlike ben, i think even individual tax cuts are good, but the congress is not going to go along with blowing up the deficit. >> we started the show with kevin brady and talking about a border adjustment tax, i think that's dead on arrival. the bottom line, i think the g.o.p. will go along with the president, even if it's not part of their core orthodoxy. these are promises made and the president continues to tell us it's going to happen and i believe it's going to happen. >> here is what's going on. what he's doing, he's applying-- >> next year-- >> i think he's trying to break them. he's trying to get them to do his bidding because guess what? he won't get them to-- >> and american public's
bidding who voted on november 8th. >> do you remember what bob ruben told bill clinton when he wanted to raise taxes. if you raise taxes and don't apply to the deficit, the bond market will go nuts and interest rates spike. and bill clinton said do a bunch of bond traders control the economy? they do. >> it's ruben the old treasury secretary. >> if trump does everything, yields are going to spike and hurt the economy. >> i don't know that the viewers care about bond traders. >> what about interest rates when they can't borrow? >> we have to decide who are the drivers of this country, and the economy. it is not these people in d.c., it is the everyday worker, it is the businesses out there that work their tail off. it's about time-- who doe manned their entitlements. >> and entitlements are government programs and we have
to-- we have to change the trajectory somehow, some way, we've got to start. >> let me bring ben back in, ben, there's talk about knew creative ways, we have prime minister from japan who says, listen, i'll invest in this infrastructure project and help america create 700,000 jobs. you've got talk of public-private partnerships. we understand the economic challenges here. i think that the american economy has been in such a rut it needs a jolt. i cannot believe that president trump won't follow through on this, whether economists like yourself agree or not? >> i'm sure the republican congress will give him the tax cuts and i'm sure that my granddaughter, beautiful granddaughter cocoa is going to face an america that's defacto or some kind of hidden bankruptcy and i don't like the idea of a great country like america going bankrupt and especially don't like the idea of cutting tax on rich people, if rich people are rich, they don't need more money.
if they're already rich, they don't need more money. >> we got the 20 trillion in debt with high taxes, it's about time-- we got 20 trillion in debt with higher taxes and ridiculous regulations. it's about time we change the trajectory at this point in time and put it back in our hands. here is what i agree-- i wish it to be done, but can't. >> here is where you've got to agree with ben. we can't do everything he wants. yes, i hate to say it, a bunch of bond traders do control the economy. if bond yields spike dramatically we're going to snuff out any recovery, it's not going to be worth it. >> i don't think so. i think there can be a lot of economic growth that comes about because of lower taxes. my point earlier is that donald trump wants these tax cuts, he's pushing for them. he's getting pushed back from republicans and that's what's going on. he's trying to use the bully pulpit. >> he's getting pushed back? >> he is. >> there won't be a border adjustment.
it's a regressive tax. >> and going after the gangs, and you'll make the decision. >> today forbes on fox, major u.s. tech companies saying that u.s. president trump's order would hurt. and democrats are accusing the president of going over the line by bashing nordstrom for discontinuing ivanka's line. e? uhhh- and i was wondering if your brokerage offers some sort of guarantee? guarantee? where we can get our fees and commissions back if we're not happy. so can you offer me what schwab is offering? what's with all the questions? ask your broker if they're offering $6.95 online equity trades and a satisfaction guarantee. if you don't like their answer, ask again at schwab.
mr. trump is hosting tjapan's leader after meeting yesterday. and melania, the first lady touring gardens in delray beach, florida with the wife of the japanese prime minister. the gardensen inspired by japanese designs, the visit marking mrs. trump's first hosting of another world leader's spouse. they'll visit a museum in delray beach. now, back to cavuto on business. >> we have child in america should be able to play outside without fear, walk home without danger and attend a school without being worried about drugs or gangs or violence. it's time to dismantle the gangs, terrorizing our citizens. >> president trump adding gang busting to his agenda this week. the commander-in-chief signed
an executive order aimed at combatting gangs in u.s. cities targeting international gangs operating in u.s. cities. obviously when you have peace and tranquility, and that's for key areas left behind. >> fbi said 30,000 gangs across the country, 1.4 million in the gangs, are you ready for this? 40% of them are 18 years and younger, and of the population cities, with 250,000 people or more, 100% of them have gang activity. you have got to change this and it's good to see somebody speaking up big time and it's coming from the bully pulpit and i hope he follows through and i hope people follow through with him. it's got to be done. charles: there's a cultural aspect to it. these kids don't have fathers. adam, some blame democratic policies for this over the last
several years that have allowed disintegration of the black family in the absence of fathers. that's going to be key. you being have all the law enforcement you want if a kid doesn't have anyone to look up to except the gang leader, it's hard to turn away and accept that. >> that's absolute right. i don't know if the politics or ideology of that is right your statement is 100% right. everything the president said was completely unobjectionable in that clip we played and he should use his bully pulpit that way. i don't think it will make a difference. the fbi and local forces have been working on this issue for years. these are difficult problems, good for him for raising it, i've got no problem with that. >> i agree with adam in this sense that mostly crime is a local law enforcement issue. you know, there are a few cases where the federal government comes in and takes over, but it's very rare. >> a lot of our crime is driven by the drug trade.
>> i agree and you can do stuff to protect our borders and prevent drugs from coming in and this is a local enforcement issue. >> not much. >> here is the thing, in new york city, we saw spikes in crimes when they got rid of stop and frisk. the thing is it's controversial and a.c.l.u. hates stop and frisk, but it works. charles: it doesn't work. >> it doesn't work? >> it doesn't work for the average black kid who is not in a gang, who is smart, bright, and is already a victim and then he walks in the street and stopped because he's got a hood on he feels like the world hates him. on paper you think it works, but you've crushed the hope the kid had. >> does it work in terms of decreasing crimes in the community and i think it does based on-- >> i'm hoping that-- >> i'm going to agree with you on this one. charles: i'm hoping ultimately, you've got to get crime down because there's no hope without that, but you also have to do it in a way where it's not treating someone for something
that everything's-- someone's got to balance in there. >> i take your point, and you make it eloquently. trump elevated it, he says the nation has to bring this to a grinding halt. >> what can he do? he can't do anything. >> hold on a second, go back to you on this, ben, you've talked about this a lot longer than a lot of other people. i do believe that adam doesn't think that the wall is stopping drugs and all of these things. that's the epicenter of all of this stuff. that's where the majority of the big money comes from and the big violence comes from. >> we've been fighting it for years. >> well, drugs-- >> ben. >> drugs are a huge, huge parts of the problem a, an enormous part of the problem. it would be a miracle to keep drugs out of the country. i think it's going to take a spiritual miracle to keep people from stop needing these drugs. president clinton had an idea to pay 50,000 for law
enforcement. and paid for a great many more police officers. let's go all of those things. whatever is going on, we have a civil war raging in american cities, it's an outrage, it's terrorism, it's got to stop. charles: i agree. >> you have to give them hope. charles: thank you very much, guys. health and human services tom price finally sworn in. does this mean obamacare is on its way out?
in. is obamacare out? the top concern for american families. the reason why gerri says repeal and replace. >> it's got to be a top priority. individual families are playing more and more of their money out in health care costs. it's not going to be easy. tom price is going to come in health and human services and start executing that executive order from the president. that's going to happen first and knock out some of the supports of obamacare and we are going to get a bill and that's going to contain repeal and some parts of replace. charles: there's confidence he can get it done and he's a smart guy. is it so overwhelming put it on the back burner? >> we shouldn't put it on the back burner. but the real issue, the americans, the number one issue is the economy and i think if they get bogged down in this thing and let me tell you, obamacare, unscrambling this
thing is going to be difficult and not only that, the pre-existing conditions thing, trump wants to keep this. it's going to be very hard. repeal and replace, at some time get the economy going. >> and a lot of people say it's an economic issue. used to work 40 hours and now 30 hours. the businesses stopped hiring, particularly small businesses. >> well, coverage down, costs up, that does not work economically. you've got to change to something market-based. you've got to do something about what you can buy across state lines. i don't see the logic not being able to. you shouldn't have a 70-year-old woman having to pay for pregnancy care and that's what's in there right now. charles: ben, it's a daunting task and this is what got-- helped get donald trump elected. those premiums skyrocketing on the eve of the election. >> it's an unbelievably daunting task. it's a daunting task to bend the health care curve.
back in the nixon days before any of you were born, we have a simple idea we sent up to congress, just people find cannot afford to pay premiums for private health care insurance and give them money to pay for it. i don't see why we don't start with that with a basis of the policy. charles: that sounds like something you might agree with, adam. >> he will with -- well, it's a fine idea, but with the exception of charlie, i think you're living in distorted reality land. members of congress know they don't want to yank the health care from all the people who are getting it from the affordable health care act. and i think you said it at the top of the show, charles, this isn't happening anytime soon despite what president trump said in the election and afterwards. charles: and it is going to happen and-- >> maybe yes and maybe no. >> i remember the nixon election and i'm old. charles: i reads about it.
[laughter]. charles: 40% of people under 30 are getting help with their rent, mom and dad. and how to play your old way. . >> of od employees, ...who make sure the millions of products we ship arrive without damages. because od employees treat customer service... ...like our most important delivery. od. helping the world keep promises.
>> stocks that help pay your bills. >> visa, amazingly earnings up 25%, revenues up 25%, for that size company that's gargantuan. >> had a great earnings report, adam, what did you think? >> i like that, i hadn't thought of that, i think it's a very good idea. >> what do you like? >> igf, a basket of global infrastructure stocks, this is going to happen no matter what. charles: you're jumping on the trump train. >> i'm trying to help people, charles, you know that. charles: ben you like that one? >> i like it fine, but i want people to save something. invest in something. charles: i've got you. what do you think? >> i'm not going to give you an index, american telephone and telegraph, at&t, i think it's a remarkably well-run company and pays a superb dividend.
it's so rare to see a dividend like this in today's world. you've got to think about it. charles: i love it, love any company that's been around a hundred years and i love dave asman. he's next. david: protests continuing and tech firms applauding the court decision to suspend president trump's immigration order which temporarily restricts immigrants from seven middle east countries. more than a hundred major u.s. tech giants came out denouncing the president's order saying it would hurt their business bus some here say, they're looking after their own self-interests and not america's interest. who has it right? hi, i'm david asman. welcome to forbes on fox. and steve forbes, elizabeth macdonald, don, bruce, mike, who has it right here? >> the tech companies are looking out for their own self-interest.