Skip to main content

tv   MSNBC Live With Stephanie Ruhle  MSNBC  October 31, 2017 6:00am-7:00am PDT

6:00 am
>> wow. the book is "win bigly," persuasion in a world where facts don't matter. it's out now. scott adam, thank you so much for being on the show. >> thank you so much. >> congratulations on the book. and that does it for us this morning. stephanie ruhle picks up the coverage right now. >> thanks, mika, hi there. i'm stephanie ruhle. this morning, we think facts do matter, distance and distract. the white house downplaying any connection the indicted former members of their team have to the president. >> today's announcement has nothing to do with the president. >> trump reportedly fuming over it with an administration already in gridlock. will these arrests stop the white house from getting anything done? >> it is very distracting to the president, while at the same time, trying to carry the weight of what being president of the united states means. >> the president prepares to announce his nominee for what many consider to be the second most powerful person in washington. the fed chair and the stock market is tum belling after
6:01 am
republicans float the idea of a phased-in corporate tax cut. and the head of fema testifies on the hurricane response as the fbi is reportedly looking into how teeny tiny white fish energy secured that now canceled $300 million contract in puerto rico. we begin on this holiday morning with president trump and his administration trying to get back on track after monday's indictments. despite the fact that two former campaign officials are now under house arrest and a third is cooperating with the feds. the word from the white house is that it is business as usual. are we buying it? let's foond out. i have a great team here. starting with nbc's peter a lexen der live at the white house. peter, take us inside. let's go behind those closed doors. what is the conversation among the president and his top officialings? sarah huckabee sanders can say
6:02 am
look away, all she wants. you and i know that's not the case. >> the bottom line is we're having the veil pulled back by the chief of staff john kelly in a new interview with fox news overnight describing the president in terms of this russia investigation as being very distracted. he said of course he would be very distracted if he were being investigated for something. he says russia is a topic they have multiple conversations about each day. generally in the morning before they get to the business of the day. we are hearing from the president himself on twert thit this morning. some of his tweets during the course of the day. he writes, the fake news is working overtime as paul manafort's lawyer said, there was no collusion and events mentioned took place long before he came to the campaign. few people knew the young low level volunteer named george who has already proven to be a dili, check the dems. it was president trump himself who in march of last year was amok those who certainly knew george papadopoulos, that
6:03 am
volunteer low level campaign foreign policy adviser as he describes it. the president at the time praising him as an excellent guy. the president also today -- there's the picture from actually that month. you see jeff sessions was in the room then. the senator who was advising the president, the senator from alabama, now attorney general, the president there as well, a long side papadopoulos. tweeting where his priorities will be going forward in advance of this asia trip. saying, i hope people will focus on our massive tax cuts for business jobs and the middle class in addition to democrat corruption. we've been hearing reports. first by "the washington post." that the president was seething. that he was fuming. exasperated. filled with angst and anger. as he watched the indictment coverage play out yesterday on television. his attorney here at the white house, ty cobb, responding to those reports, gave nbc news the following statement. he says, throughout the day the
6:04 am
president spoke to his attorneys multiple times in response to press inquiries and questions about the process but never revealed any angst or anger. the president was focused on diplomatic preparations ahead of his trip to asia. he wanted the country to understand he's fully committed to continuing his course with the special counsel which is one of full cooperation. so that's just a sort of simple look at where the president stands right now. it's no surprise he'd be watching tv and fuming certainly on the issue of russia. it was striking that the chief of staff was so open about the fact that it's been very distracting to the president and it's something they talk about each morning multiple times, stephanie. >> president trump, you said it, in his tweet, called george papadopoulos a liar. he lied to the fbi. that's how they got him to cooperate. i want to get my panel in here. nbc national political reporter john van allen, nbc legal analyst danny cevvalos.
6:05 am
brendan gary lee, contributor to the columnist. we've got a full house because this is a big day. john, let's start with you. even if the president is not in immediate legal jeopardy, you write, just as we've heard, this could end up being a big distraction. how big? what are you watching for? >> it certainly could actually become the major focus of all the questions not only for the white house but for members of his party. i think there's an intense effort by republicans on capitol hill right now to try to get a tax reform package done before this all spills into next year. i think after robert mueller's revelations yesterday, everybody expects him to do more. this wasn't a one-off. this look, like the beginning of a long process. so the president's going to talk about being focused on issues. his white house staff is going to talk about that. ultimately, this president is distracted even when robert mueller isn't indicting his former aides or announcing the
6:06 am
convictions of a former aide. this is going to be a struggle for the president and a test of his ability to be disciplined going forward. >> all right, brendan greely, the manafort and gates indictment does not mention the president, or his campaign. the papadopoulos plea agreement does, among other things, say he was contacted by a russian national because he was part of the trump campaign. he was offered dirt on hillary clinton. he spent months trying to set up a meeting. so what? if that meeting didn't happen, what does that mean to this administration? >> i mean, i think, for me, most important thing for the administration right now is how will congress continues to be to be willfully ignorant about everything that they're reading. my favorite quote of the day questioned was paul ryan, saying you want me to comment on that? i didn't read it. i can't comment -- >> how could he not read it? what else could paul ryan be doing yesterday that's more paramount than this? >> one of the things you learn as a reporter is the different creative ways people tell you i
6:07 am
don't wish to comment on this. it is becoming increasingly clear that paul ryan will do -- will forgive almost anything to get this tax cut package passed. aside from the logic of the tax cuts, at what price are we going to move this forward? >> let's be honest if he doesn't get this tax policy through, then what, he's just proven to stand up for a president over and over without doing his homework? >> i mean, look, for him, that's all -- that's all paul ryan, republican, cares about, not the -- >> but did paul ryan not exist before donald trump did? is he not worried about his legacy? >> i think paul ryan thinks the only legacy he'll have is a tax reform. he's a particular kind of conservative. i want to point something out which seems to be missed. which is if president trump is genuinely innocent of all the charges, if this is the utter nothing burger. if i'm accusing you of genocide of penguins in antarctica, right, most people will laugh that off. in fact, it plays into the president -- might play into the
6:08 am
president's hands -- >> or i'd show my hand -- >> -- is going to uncover nothing. or you show your hand. why is the president so nervous? why is his tells, like in poker, always so obvious? he says things like, i'm, like, a smart guy, you know? when he -- when there's potentially something to hide, he's going to deny and he's going to fulminate. the real question here is not about manafort, it's about papadopoulos. how did he appear as a foreign campaign senior spoil advispoli out of nowhere? >> it was amazing, like me being on my high school student council makes me qualified to be part of the administration. i want to share what he said to colleagues on the "today" show this morning. >> george was never a person who was part of a team who was interacting with senior management on a regular basis.
6:09 am
i don't recall having much interaction with him throughout the campaign. he would have potentially been talking to somebody else on the campaign. as the campaign manager, when we were in the middle of an intense primary fight with cruz and kasich, you know, my day to day operation was not interacting with a low level volunteer. >> okay, we keep hearing he's a low level guy. corey lewandowski, you may not remember e-mailing back and forth, but if you did, i have a feeling mueller has a record of it and he'll share that with you. what do you make of this corey lewandowski, he was junior, don't know him, george who. we kind of got the same message from sarah huckabee sanders. >> the president too, if somebody in his orbit gets in trouble, he's never heard of him. mention ee eed papadopoulos on twitter today. this is like you and one of your producers. it's difficult to plead. i don't know if lewandowski was
6:10 am
close to papadopoulos. they do very different things. obviously from the plea agreement that papadopoulos signed, he was communicating with higher level people on the campaign. these guys know who he was. pictures of him at the table with trump. it will be difficult to convince the american public this person has absolutely nothing to do with the campaign. the idea of a volunteer, that just means that somebody who didn't need to be paid. >> sort of like john kelly last night. sarah huckabee sanders said you should never question a four star general. john kelly said on another network last night that paul manafort barely knew the president. paul manafort has known president trump for years. he has an apartment in trump tower. he could go up and borrow a cup of sugar. so that is just untrue. he probably doesn't. danny, wasn't to ask you our legal eagle here, we learned mueller initially wanted the plea agreement for papadopoulos to stay sealed because he was
6:11 am
acting, a pro-cooperator. i don't even know what that means. >> proactive cooperation is making things happen for the prosecution in the here and now. it can be wearing a wire. it can be setting up meetings. monitoring e-mails. text messages. things like that. it depends on the context. but it's critically important to keep that information secret because obviously if you know your co-conspirator's indicted, you're not going to meet him for lunch. so that is why a prosecutor will try and keep things sealed, keep things secret, as long as they can, because it only assists their investigation. that way, they get their cooperators in line and they can pro actively go out and create evidence. instead of just find it. >> credit to them. nobody heard of this guy, george, basically from our side of the table until yesterday. they do -- mueller does run somewhat of a tight ship.
6:12 am
if republicans continued to ignore this noise, what could the consequences for them be, truly? >> i hate to say this, but if they continue to ignore the noise and if the president pardons manafort, papadopoulos and everywhere else, this is going to go away for him. what we learn from president trump is he believes truth is what you can get away with. >> truth is what you can get away with? >> to donald trump, truth is what you can get away with and what he's learning and hearing from people like paul ryan and others is we will let you get away with it because we want this to go away so we can get tax reform. >> i agree with brendan. one of the things that made my head explode over the course of the campaign. >> that's a bad look. >> exactly. digging into the numbers about tax reform and shadow banking. every once in a while, he would tell this whopper of a lie. all of us in the newsroom would go, that's not true. we're going to figure out if it's not true. we'd go, it's not true, we got
6:13 am
him. then it would not matter at all. >> you would see schwartzman, a titan of industry, sit next to president trump in the white house as the president would spout lies about the economy. it doesn't matter. >> i remember interviews with senior campaign advisers about economics during the campaign. i remember being on the phone thinking, you guys are just make things up. and it didn't matter. >> i believe brendan is referring to an act known as the full ma nunchen. acording to political, mueller's team said that papadopoulos' plea was only a small part of a larger-scale investigation. yet sarah huckabee sanders repeat lid was saying at the podium yesterday this thing is coming to a close, it's almost over. >> that's not likely. just based open the fact that we know or it's pretty obvious papadopoulos is going to be cooperate, that's why the investigation was kept secret. also we're probably going to see -- my prediction is we're going to see manafort and gates
6:14 am
possibly come to the table about an agreement. the sentencing potential for their charges, particularly the money laundering conspiracy, is so high, it's going to be close to the statutory maximum of 20 years. the only thing that can drag that down to a reasonable level is substantial assistance with the government. so they have a tremendous incentive to come forward and cooperate and that means giving other people up, up the chain of command. ideally, the biggest fish they can think of. >> okay, john, danny's talking about what could drag down manafort's sentence. let's talk about who this could be dragging in. and how about wilbert ross? are we going to hear his name? he owns a big stake of the bank of cypress. the bank of cyprus, where we know at this point, according to the document, where some of this money was laundered through. that board had five russians
6:15 am
that yes, wilbert ross was helpful in pushing them often the board, but wilbert ross also sat on the board of this bank while they sold one of their units to russians associated directly with the kremlin. >> i think close observers of this case and obviously stephanie you're one of them will be surprised if robert mueller is not looking at the relationship between will better ross and that bank and the relationship between wilber ross and paul manafort. we've already seen he's going towards financial transactions with this indictment yesterday. that basically alleges a scheme to launder money and hide profits from ukrainian politicians from the u.s. government. i think those financial transactions are something they'll be looked at. in terms of sessions, obviously, will have to recuse himself from this particular case because of his role in the campaign. it would also be surprising if the special counsel didn't look in that direction too. >> the only thing i want to see
6:16 am
is paul manafort's 800 grand of men's wear and his $655,000 lawn mowing bill. that must be some nice piece of property. we're going to take a break. a lot more to cover coming up as nbc news was first to report last night facebook now claims, listen to this, 126 million americans, or as they like to call them, their community, saw russianbacked content on their feeds in 2016. it's no doubt going to be a talker in today's series of congressional hearings with social media giants facebook, google and twitter. we're going to go live to the hill next. i've always wanted to create those experiences for others. with my advisor's help along the way, it's finally my turn to be the host. when you have the right financial advisor, life can be brilliant.
6:17 am
ameriprise i knew at that exact moment, whatever it takes, wherever i have to go...i'm beating this. my main focus was to find a team of doctors that work together. when a patient comes to ctca, they're meeting a team of physicians that specialize in the management of cancer. breast cancer treatment is continuing to evolve. and i would say that ctca is definitely on the cusp of those changes. patients can be overwhelmed ... we really focus on taking the time with each individual patient so they can choose the treatment appropriate for them. the care that ctca brings is the kind of care i've wanted for my patients. being able to spend time with them, have a whole team to look after them is fantastic.
6:18 am
i empower women with choices. it's not just picking a surgeon. it's picking the care team, and feeling secure where you are. surround yourself with the team of breast cancer experts at cancer treatment centers of america. visit when this guy got a flat tire in the middle of the night, so he got home safe. yeah, my dad says our insurance doesn't have that. what?! you can leave worry behind when liberty stands with you™. liberty mutual insurance.
6:19 am
6:20 am
welcome back. in just a few hours, representatives from facebook, google and twitter will all answer questions as part of the first of three separate hearings on capitol hill. the focus, how russia used social media to interfere in last year's presidential election. nbc's jolene kent is following from capitol hill. jo, even before hearings began, you have startling new numbers about how widespread -- i mean, a third of americans saw content on social media outlets that was brought to us by russia? >> stef, that's absolutely right, it's 126 million americans. that may have actually been exposed to russian-backed content. this is coming from information we've obtained about facebook's testimony that will be delivered
6:21 am
later today. 80,000 posts were generated by about 120 fake russia-backed pages. what's interesting about this particular number, it started by only being exposed to 29 million americans but thanks to likes and shares and follows, this ended up becoming 126 million americans on facebook. that's about half of the american electorate. that's eligible to vote. twitter of course also, telling us they are preparing to tell congress their own massive numbers. we're talking about 37,000 russia-linked accounts that were tweeting 1.4 million times. what's different about twitter is these were automated accounts. these are the bots we've been reporting on here on msnbc. those tweets were seen 288 million times. so we're seeing a huge growth in numbers that we haven't seen before. this is a long way from what mark zuckerberg said back last november when he said it seemed to be kind of crazy that facebook or social media would have any influence on the
6:22 am
election. >> crazy that he would say something like that. who are we going to hear from today from these companies? when we heard from sheryl sandburg a couple weeks ago in that interview, she was talking about the facebook community, her high school reunion, targeted ads. baloney, 126 million people, 80,000 posts? this is serious business. >> that's right, facebook twitter and google are deploying their top legal minds to answer these questions from the senate judiciary subcommittee this afternoon at 2:30. what we expect to hear from them is very similar to what we've been reporting from our sources, is these massive numbers. they plan to say that these numbers actually pale in comparison to the wider number of tweets and facebook posts you saw during the election. they're also going to be saying they've been hiring thousands of people at facebook. they've been suspending accounts from the internet research agency that has been linked to russia. they're going to be showing us
6:23 am
and telling us more about what they're planning to do going forward. but i know for a fact that senators here on capitol hill are very interested in knowing how to also prevent this from happening again. what would be put into place in 2018 and 2020 to make sure this doesn't happen or at least stem the bleeding here, stef. >> these companies could look like very different businesses in a few years. joe, thank you so much. important story. up next, there is no denying, it has been a brutal hurricane season. and in about 30 minutes, fema's top dog will appear on capitol hill answering to criticisms of the federal response to the storms, especially relief efforts in puerto rico, where 70% of the island is still in the dark. paying less for my medicare? i'm open to that. lower premiums? extra benefits?
6:24 am
it's open enrollment. time to open the laptop... ...and compare medicare health plans. why? because plans change, so can your health needs. so, be open-minded. look at everything-like prescription drug plans... and medicare advantage plans from private insurers. use the tools at or call 1-800-medicare. open to something better? start today. ♪ you know what's difficult? adulting... hi, guys. i'm back. time to slay! no,i have a long time girlfriend. you know what's easy? building your website with godaddy. get your domain today and get a free trial of gocentral. build a better website in under an hour.
6:25 am
6:26 am
what is an answer and how can you measure the value of one?
6:27 am
today trusted answers from trusted sources are rare and precious commodities. they're out there but finding them on your own has never been harder. it's why at thomson reuters we provide you with the intelligence, technology, and human expertise you need to find trusted answers. the answer company. thomson reuters. welcome back. i'm stephanie ruhle. time now for your morning primer. everything you need to know to start your day. we begin with news that u.s. special forces have captured a key militant in the attack on u.s. military in benghazi. u.s. ambassador christopher stevens tleend other americans were killed in that 2012 attack. a federal judge on monday blocked trump's ban on transgender people serving in u.s. military. the judge ruled that the ban would cause injury to
6:28 am
transgender military service members for the inheritent inequality they impose. closing arguments could come as soon as tomorrow in the bribery trial of democratic senator robert menendez. a federal judge again refused to declare a mistrial. a new question being raised after the u.s. coast guard said monday that the two hawaiian women lost at sea for five months had an emergency beacon that they never activated. the women also said their boat was hit by a storm in early may but the national weather service records show no storms in the area at that time. mm, questions are going to keep being asked. and smile. the white house released new official portraits of president trump and vice president pence. the next time you go to any federal office, these faces are going to be smiling right back at you. here's somebody who won't be smiling today. the senate. they want answers following the federal government's response to this year's hurricane season. in about 30 minutes from now,
6:29 am
fema administrator brock long will face serious questions from the senate homeland security and government affairs committee, as roughly 70% of puerto rico is still without power more than a month after hurricane maria. at the same time, the island's governor has moved to cancel the $300 million no bid contract to white fish energy to restore power. let's go live to a man who has been on this story. gabe gutierrez who is in san juan. gabe, what are we expecting to hear at this hearing first of all? >> hi there, stephanie. as you mentioned, some serious questions for the fema administrator. 41 days aft effort hurricane maria. about 70% of puerto rico is still without power. now, last week, i know you spoke with a smokesman from whitefish energy. since then, the government of puerto rico asked the power authority to cancel this contract. they need to go through several logistics to officially capsule
6:30 am
the contract. i asked him some more questions about how he managed to land this contract. he once again insisted that he had no help from anyone in the trump administration but he said he was actually first in contact with officials here in puerto rico through a social networking site, take a listen. >> i found them on linked in. >> you used linked in to get a $300 million contract? >> linked in's going to love this but yeah. >> so that is raising a lot of questions about the process after when he came to the island, then who exactly helped him get this contract help says he first reached out to prep, the power authority here in the days following hurricane irma and stayed in contact with them, came down here six days after hurricane maria. i want to make this point quickly. now that they are scrapping the contract with whitefish energy on the island, they're having to find other alternatives. i know cobra, which is based in oklahoma, they have their own
6:31 am
$200 million contract. they're looking at other companies. they're looking at mutual aid now from several states like new york and florida. also, the governor here in puerto rico, ricardo rissollo, blasting the army corps of engineers. escalating his criticism, saying there are only seven big grades here from the army corps here in puerto rico. he blames a lack of urgency. he is basically saying that they have not kept their promise. he said that they didn't -- puerto rico didn't necessarily feel the need to get mutual aid programs weeks ago because it was promised by the army corps that would be a more robust response. according to the governor at least, he says it's just not happening. he says he has a goal of restoring power to 95% of the island by mid-december. >> that wasn't the argument he made about mutual aid 40 days ago, gabe, thank you so much. you're all over this story. i want to bring someone else who's on it, "wall street
6:32 am
journal" andrew scuria. let's start there. 40 days ago, the governor of puerto rico could have gone with a mutual aid protocol and we could have seen florida power and light, states like new york, but they didn't. the argument at the time was they didn't have the money and they didn't have the phone communications so they could reach out. we know that's not true. we know according to official documents prep had 500 million bucks. so they would have had the $300 million for this kind of restoration deal and they also know that fema would pay for it and, second, based on documents, they communicated with whitefish energy over the phone. so how does the governor make the argument now, he wants to use the mutual utility protocol and didn't 40 days ago. because a cynic or critic might say maybe you didn't want their help because you wanted to go with your own homeboys. >> right, the plot thickens now. now you have federal investigators getting involved. we don't know exactly what they're looking for. think it's an educated guess to surmise they're trying toing if
6:33 am
ur out if there was any sort of them on the scale in white fish's favor, whether there was any kind of improper or outside influence on prep procurement department which doesn't exactly have a great reputation for doing business in a clean way. there have been fuel purchasing skabdle ans dating back -- decades back to the '70s. i talked to the executive director of prep on friday and he told me these mutual aid agreements, they rejected them or chose to go in another direction, including the time of mobilization. but what some of these utilities have said subsequent to that has kind of called that reasoning into question. and then of course two days later the executive director had to back off his defense of their selection of whitefish because the governor chose to cancel the contract in an effort to quell this, you know, kind of growing political firestorm over it. >> can the governor continue to sort of blame prepa, a contract this big? how could the governor himself not have seen this contract or at the very least signed off on it? to say it was those guys over
6:34 am
there? can he really make that argument? will anyone buy it? >> prepa is a very politicized agency. it was depoliticized somewhat under mr. rosio's predecessor and he had a board that was a bit more to his liking -- >> so this is his board. the director and the board of prepa, the governor himself fired the previous board and hired this team, this team who he's pointing the finger at. >> that's correct, the executive director of prepa said after the hurricane, it was an emergency situation, he needed someone to get here quickly and that may well be the case. however, a couple things we now know about the contract. there was an original version signed on september 26 a few days after maria made landfall, then an amended version almost three weeks later. it was this amended version that had some of the rather objectionable provisions in there. >> whose name is on it? >> ramos' name is on the
6:35 am
amendment and it's just someone from prepa's procurement department whose name is on the original. it was the second one that had provisions saying profit and cost elements in the contract couldn't be audited. i would question that. some people in puerto rico have told me a first year law student would take a look at a provision like that and question it. >> then what is the governor's argument at this point not to privatize prepa? the power grid is 90% of the governor's problem? why not push it off on someone else in i mean, when his father was the governor back in the '90s, they privatized the local phone authority and that worked. so with the exception of it being a power struggle, power, no pun intended, wihy not say let's privatize it? >> the oversight board has been making. they're on the hill saying if fema put a lot of money into rebuilding the grid into something better than it was and simply handing it back to the government, as a public monopoly, that would have been a
6:36 am
disservice to the american taxpayer. you have the governor who wants to maintain local control. that's very important. puerto ricans lost a lot of what democratic power they do have when the board was installed last year. so they're very sensitive to losing yet more autonomy and now there's talk congress might amend the terms of the law they passed last year to kind of govern puerto rico's financial rehabilitation. if they were to do that and amend that law, known by the accra known promica, it's hard to see how they would get more autonomy. it's probably going to get less autonomy and become a ward of the united states government. >> they continue to lose more and more people day in, day out, moving to places like florida, new york and texas, while the island still suffers. thank you so much. great, great reporting. we are staying on this story. i can bet you that. up next, trump calls it rocket fuel for the economy. the party has demanded it for
6:37 am
years. and tomorrow finally the day we're going to see the plan the house republicans to overhaul the tax code. it is a her coolian effort. why do republicans think they can get this thing done by turkey day? tries to get in my way? watch me. ♪ i've tried lots of things for my joint pain. now? watch me. ♪ think i'd give up showing these guys how it's done? please. real people with active psoriatic arthritis are changing the way they fight it... they're moving forward with cosentyx®. it's a different kind of targeted biologic. it's proven to help people find less joint pain and clearer skin. don't use if you are allergic to cosentyx. before starting cosentyx you should be checked for tuberculosis. an increased risk of infections and lowered ability to fight them may occur. tell your doctor if you have an infection or symptoms of an infection. or if you have received a vaccine, or plan to. if you have inflammatory bowel disease tell your doctor
6:38 am
if symptoms develop or worsen. serious allergic reactions may occur. with less joint pain, watch me. for less joint pain and clearer skin, ask your rheumatologist about cosentyx.
6:39 am
i trained as hard as i could to stay alive. i have more than 30 pieces of shrapnel still in my leg. but i still push myself to the limit. if it weren't for my tempur-pedic, i wouldn't be able to sleep on my left side at all. ♪ the tempur-pedic veteran's day savings event is here, and now is the time to take advantage of this incredible offer. save up to $500 instantly on select tempur-pedic adjustable mattress sets. find your exclusive retailer today at
6:40 am
let's talk money, power politics. speaker paul ryan will visit the white house today to meet with president trump where they're expected to discuss tax reform details of the long awaited
6:41 am
republican tax reform plan scheduled to be unveiled tomorrow. and i want to bring my panel back. we know that the russian commotion is a distraction but let's get to tax reform. where's this thing actually going? because it's not tax reform. it's a tax cut. we're not going to really get rid of lots of loopholes. we're going to hook some groups up. >> well, it's actually worse than that because essentially it's a budgeting process. in which they have to make sure that this is a revenue neutral deal because the only way they can get the reform that they seek is if the cbo scores it as budget neutral. so it's forcing them to do things, we think, so it's been reported, that they should not do. like reducing tax deductibilities for 401ks. i would say as a dyedservative e
6:42 am
proposed fourth bracket, so we've heard for millionaires, is a terrible idea, if you believe in the power of supply side tax reform. so is the question is are we really getting any genuine pro-growth tax reform at all, because the republicans have sacrificed the possibility of a bipartisan deal. >> i feel like what's really going on right now is that paul ryan knows that if he never gets a tax cut passed and signed by a president, he never existed. my frustration -- >> if the tree falls in the forest. >> yeah, my frustration with the whole process is republicans have been talking about tax reform, getting rid of loopholes, cutting spending in the tax cut code for 15 years. paul o'neill when he showed up as treasury secretary in 2001 said i want to do reform, i want to cut deductions, they never do it. paul ryan has been talking about potentially cutting these deductions in the future -- >> but if a tree falls in the
6:43 am
forest and kills a bunch of villagers, isn't that worse? >> well, no. of course. i mean, my bigger question, maybe it's to brett, is what are the big problems right now in the economy. and is this tax cut reform, whatever you want to cull all is this addressing the problems? i don't see how it is. >> look, you want to do a number of things. you want to reduce complexity in the tax code. so many people spend so many needless hours and needless money dealing with their -- >> okay, but we're not reducing -- >> you want a pro-growth one that a tracts growth to the united states. having a corporate tax cut phased in over five years is not going to attract that. >> you're keeping all the loopholes that exist, so companies that have tax lawyers and consultants and shelters are still going to have all those loopholes but their base is going to be lower so you drop it to 25% and you still have the loopholes? they're going to pay even less.
6:44 am
>> the brackets are the simplicity part of doing your taxes. if you want to simplify it, i agree with stef. i also feel like we're right now awash in capital. capital is desperately looking for viable things to invest in and get a return in. the problem with the american economy, and there are several now, is not that we don't have investment capital. we've got it to spare. there's, you know, trillions of dollars in surplus reserves in the fed because banks can't think of things they want to lend money to. they're parking it in the fed for barely any return. we've got a tax cut right now that's designed to get people to save more money so they can invest it. that's not a problem we need to solve. the problem we need to solve is how do we spend on infrastructure which has a long-term effect on growth. how do we make sure that wages rise which has a long-term effect on demand. and so these are problems that are massive that i don't see any of this process addressing at all. >> okay, well, put tax reform aside. one thing that is working, the
6:45 am
president talking up the economy is actually working. right. it's not just the stock market. we're starting to see business sentiment translate into business investment. so the president -- >> by the way, is going to lead to a rise in -- gradual rise in rates. >> yes. >> which will encourage -- which is the reason for tax reform as rates go up, but go ahead. >> so the president talks a good game. you're actually starting to see the game follow. >> yeah, i was -- you and i have talked about this for six months now. we saw the spike in sentiment. both consumer sentiment and business sentiment right after the election. i kept saying that's great they feel better but i don't see if in the numbers. it feels like one of the things trump has done is if you constantly say things are going to get better, there's a 50% chance you might end up being right. the thing i can't figure out, i wish i could figure this out, is, is his confidence creating business confidence that is creating investment or is the investment a response to more demand, slightly higher wages? >> look, i mean, i don't think
6:46 am
it's simply a matter of donald trump talking up the economy. there is a sentiment. when you talk to people out there that the burden of regulation is less -- >> for sure. >> if you were talking to small or medium sized businesses during the obama economy, they would say we're being crushed by regulationings that you have never heard of. and now you see -- you see various agencies basically taking their foot off the regulatory pedal. that is part of the reason why the economy is doing relatively well. >> all right, before we go, how about somebody some of our audience has never heard of, jerome powell, is he getting the fed chair gig? >> all reporting for people who are well sourced says that it is. also, it makes the most sense. which is -- >> it makes the most sense why, because president trump, his number one goal is to wipe out anything obama? >> it allows him to negate an obama choice while not making any waves and just sort of moving slowly forward and powell is not known as a dove, it's not that he sort of prominently wants to keep rates low, it's he's been willing to go with the consensus of the board that
6:47 am
janet yellen has been push, which is let's hang out, let's wait to see if wages rise. he allows hill s him to step o while doing nothing. >> look, the last thing you need at the fed is a controversial pick that's going to blow up in your face. with a theory. you want a conservative fed chair. >> and if you're president trump, you don't want anyone who knew obama. we're going to take a break. they're made in the usa. conversation with the ceo of randolph engineering, the new england company that made aviators a must have across america. how they have stayed add float without charging you an arm and a leg. making it right here in the usa. what powers the digital world. communication.
6:48 am
that's why a cutting edge university counts on centurylink to keep their global campus connected. and why a pro football team chose us to deliver fiber-enabled broadband to more than 65,000 fans. and why a leading car brand counts on us to keep their dealer network streamlined and nimble. businesses count on communication, and communication counts on centurylink.
6:49 am
6:50 am
6:51 am
you'dreamt about it, it, maybe you should just go ahead and do it. we're legalzoom, and we've helped over a million people just like you start their own businesses. legalzoom. legal help is here. welcome back. i'm stephanie ruhle. tomorrow, house republicans are set to unveil their long-awaited tax plan. a plan they hope will bring jobs back to the usa. as part of our made in the u.s. series, we have been looking at companies that do just that. like massachusetts-based randolph engineering, a company that has embodied the made in america mission for decades.
6:52 am
you keep seeing their sunglasses on tom cruise and john hamm as part of the outfit accompanying those in missions. when randolph started, you estimate 90% of the eyewear was made in the u.s. and today only 3% is made here. why did it all go overseas? and what motivated you to stay? >> great question. in the '70s, 90% of the frames were manufactured here in the u.s. and then in the '80s, similar to the textile straindustry, we std to see the manufacturing companies go offshore. the reason was for better margins, fixed costs and better
6:53 am
margins. >> why wouldn't you go overseas then? >> manufacturing was my father's american dream. it was in our roots, it is in our dna. sure, it's not easy. we have our challenges, but it was his dream to have a manufacturing facility here in the u.s. >> well, president trump is bringing a major push to bring jobs back to the u.s., manufacturing ones, do you think he is impacting companies on the fence for outsourcing? you are one of the few that manufacture here. >> well, i hope so. you know, there's a growing movement of bringing jobs back into the u.s. it's not easy. and i think we're going to need a lot of help incentives to encourage companies to bring manufacturing back to the u.s. it's -- we have one of the highest corporate tax rates in the world. and we need some incentives because jobs is the engine of
6:54 am
our economy. >> jobs is indeed the engine of our economy. get that guy's sunglasses. support local businesses. all right. at the top of the hour, my colleague hallie jackson will speak to the republican members of congress about the mueller investigation. yesterday's indictments and what it means to the party and congressional investigations moving forward. but as we head to break, white house chief of staff john kelly is under serious fire this morning for comments he made on fox news, not just a lie about paul manpoafortmanafort's relat with the president, but statements he made about the civil war, defending confederate statues and how it all relates to the political divisions we are seeing today across america. please listen to this. >> robert e. lee was an honorable man. he was a man that gave up his country to fight for his state, which in 150 years ago was more important than country, it was
6:55 am
always loyalty to state first back in those days. now it is different today. but the lack of the ability to compromise led to the civil war. i switched to geico and got more. more savings on car insurance? yeah bro-fessor, and more. like renters insurance. more ways to save. nice, bro-tato chip. that's not all, bro-tein shake. geico has motorcycle and rv insurance, too. oh, that's a lot more. oh yeah, i'm all about more, teddy brosevelt. geico. expect great savings and a whole lot more.
6:56 am
hi, i'm the internet! you know what's dtj! get a job!ting... hi, guys. i'm back. time to slay! heals, heals, heals! yes! youuuu! no, i have a long time girlfriend. mom! i need my macaroni!!! you know what's easy? building your website with godaddy. pick a domain name. choose a design.
6:57 am
you can build a website in under an hour. yeah! whoo! yes! get your domain today and get a free trial of gocentral. build a better website in under an hour.
6:58 am
before we go, it is halloween, my favorite holiday, and i want to talk about some amazing costumes. five children had their halloween dreams come true. architects and engineers from the jacksonville, florida,
6:59 am
engineering and architecture firm rs&h constructed over-the-top costumes for children in wheelchair. they are part of the independent resource center serving disabled people across florida. they got to picnic they wanted to be. just look at the incredible results. look at that. olaf from "frozen," we have a tractor there. amazing. amazing. mickey. i absolutely love it. happy halloween, everybody. that wraps us up this hour. i'm stephanie ruhle back at 11:00 with my favorite ghoulish friend, ali velshi. and now hallie jackson. see you in an hour. this morning, we are talking about the downplaying, deflecting, distancing and dodging around what could be the tip of the iceberg regarding the special counsel. there are two big questions, paul manafort and rickgates.
7:00 am
now they are waking up under house arrest facing decades in prison. so will they flip to get themselves a deal? and second, what about george papadopoulos? this guy, the one-time adviser cooperating with the investigation for months. so what has he been telling the special counsel and about whom? we know what team trump is saying about him, he's just a coffee boy, right? no, that's not right and we'll tell you why you should know papadopoulos' name. and we have more news on what is happening on the hill, as the biggest names on sites you use every day, google, facebook, twitter, talk to lawmakers about how russia used their platforms to meddle in the election. and why are we showing this to you? this is where the head of fema is walking in to get tough questions about what the government is doing to help puerto rico get the lights back on. we have a lot to cover over the next 60 minutes. i want to start over at the white house with kristen welker. because this is where the story is getting driven from today, kristen. the


1 Favorite

info Stream Only

Uploaded by TV Archive on