Trump has rearranged the world order of trade.

0:00 Speaker 1 Sunday Morning. With us today is John Hartley, an economist specializing in finance and economics and a member of the Hoover Institute. Uh and one of the leading economists in the country. Uh. Well, John, uh tell us, Uh, how do you feel after this trip President Trump has taken uh all the things that Congress has done in the last few days,

0:24 which is I guess they didn’t pass the bill. Give us your feeling and give us an update for the American people.

0:33 Speaker 2 Well, John, thanks so much for having me on. It’s an honor, honored to be here. Uh. One, you know, we’re in a very interesting time. You know, there’s a lot going on. Uh there’s uh, you know, just just past one hundred days into President Trump’s second administration, and you know we’ve got lost going on with respect to terrorists. Uh. Yeah,

0:54 there’s watch some negotiations going on. Uh.

0:58 Speaker 2 You know, a lot of promise with some of these earlier deals like with China and the UK that have been announced. That’s caused the big market rally. And you know, that’s sort of a lot of uncertainty that was going on in the past month during April, and then there’s been lots of deregulation going on in the background. That’s

1:17 been great. And now we’ve got a big tax bill that’s being negotiated in Congress, and just today, you know, there’s been a bit of a stall and they’re going to renegotiate next week. There’s a lot of big issues on the table. You know, there’s things like the salt how much should the salt can be expanded by it’s

1:36 currently being expanded from ten thousand to thirty thousand. There’s been a lot of discussion on the part of conservatives, folks like Chip Boy, that want the Medicaid cuts to happen more quickly. That’s kind of what installed the build today.

1:51 I’m a big fan of making the corporate tax divisions, which were a big part of the first Trump tax cuts in twenty seventeen, making those permanent. To the twenty one percent corpor rate that was made permanent in twenty seventeen, I used to be at thirty five percent before. It was the highest in the OECD before the first Trump

2:10 tax bill that the Texas and jobs out of twenty seventeen. But what’s happened is a lot of the full expensing provisions, those parts have actually gradually been phased out now and now we have to make them when the bill currently will reinstate them until twenty twenty nine, and expand it to structures not just R and D and equipment. It’s

2:32 important that we get full expensing because it creates a bigger incentive on the part of corporations to buy things like property plan equipment that stimulates the economy. But I think it’s really important that we make those things permanent and not just kick them to twenty twenty nine when say Democrats might be in power again. So we got

2:53 lucky that when the last tax bill was passed, they were you know a lot of these things were being phased out now and fortunately only you know, Republicans won the White House in both houses of Congress, so so now we can we can actually pass these things. But the most pro growth pro uh appro you know, economy

3:11 sorts of things in the bill are these sorts of corporate provisions. There’s lots of nice things, uh I think that are for redistributive tools. You have things like tax on tips and things like that. You know, should there be a deduction on tips and things like that, and those are important too, and those are local promises. But

3:27 in my mind too, it’s really important that we focused on keeping you know, the US, uh, the exceptional economy in the world, and I think those corporate tax provisions do that understood.

3:40 Speaker 1 Uh, And UH, when do you expect the Congress went away on Friday? When are you supposed to come back?

3:51 Speaker 2 Well, they’re coming back Monday. And that’s uh Jodie Ironton, he’s the UH budget committee share and UH. The essentially this is all going down on on on the on the budget committees, and they’re uh, they’re trying to advanced legislation in the House. We’re going through this whole process called reconciliation. It’s very complicated. You’ve got to pass a

4:15 bill and the both the House and the Senate, and you’ve got to shore follow these rules and uh, it’s very complicated. But they’re going to come back early next week and the negotiations are are going to restart then.

4:25 And so I think there’s a lot of prompts. I think there’s something we’ll get through. Uh. Andre’s a question of what are the things they’re going to compromise on. What’s it going to look like. I think it will still be something like a you know, a big beautiful bill is uh, as the President likes to call it.

4:39 But but yeah, there’s uh it’s very important that it gets done. Uh.

4:43 Speaker 2 It’s very important for economic growth, which in the US has been you know, it’s been much better than many other countries. A lot of other countries haven’t seen uh, their GDP per capita rise at all, Like I think Western Europe or Canada, their GDP per capita has been flat for like fIF in years. In the you ask

5:01 the one place where it’s still growing, uh, and we’ve got to make sure that that keeps happening. So I think, uh, I think the position to do this, there’s a lot of great things in there already. Now it’s just sort of working around the corners and we’ll see what gets done.

5:14 Speaker 1 Okay, well, let’s uh, let’s tune in again next week and see what the what the heck is going on? And I just I think the markets and think the country. I think that people are really want to move on and get this done, don’t you think so?

5:32 Speaker 2 Absolutely? Absolutely? And you know there’s been a lot of people who I think I’ve had mixed feelings maybe about the terrorists, and obviously there’s sort of a redistribute development there as well, you know, trying to help those that have uh, you know, falling behind those the rought bell and so forth. There’s you know, who’ve been in the

5:49 manufacturing industry and so forth. But I think you know, for all that, all the more reason why uh you know, corporate tax bill, why uh you know, deregulation, why why do you things are so important to keep the the overall economy humming? And uh, yeah, I fully agree that it couldn’t come sooner. And there’s lots of other bits

6:09 you sort of had to actually pay for it. You know, there’s a lot that’s been focused on eliminating, say the clean energy tax credits that were in the Biden bill. Uh, there’s UV tax credits that are being eliminated. But you know, it’s interesting because there’s a lot of elements of that original Biden bill, some infrastructure bits and so forth, that

6:30 actually go into the middle of the country and and uh in a lot of Republican districts, and those people don’t want to actually cut some of those things. So it’s definitely a massive negotiation. There’s lots of things that are trying to be inserted into this and uh, you know, we’re going to see what happens in the coming weeks.

6:46 But I think being laser focused on on on growth and certainly you know, following through on the sort of key local promises that I think important as well in the political sense, but making sure that the key pro growth provisions are in there, Uh so we can keep the US economy an exceptional one.

7:04 Speaker 1 Thank you so much for coming on. And just somebody just texted me a little while ago says that you have a special project and you’re trying to save the Pope’s original church in Chicago.

7:16 Speaker 2 That’s right, that’s right. Uh, you know there’s myself and several other friends, uh abandoned together and and so you know Popolio you grew up in in Chicago, Uh in South Do you.

7:29 Speaker 1 Have a website for that that you’re raising money?

7:32 Speaker 2 Yeah, there’s a go fundme Actually.

7:34 Speaker 1 Well tell us about to go fund me.

7:37 Speaker 2 Well, you know, we’re raising money to you know, to look to potentially buy Popolio’s childhood home and potentially his childhood perish as well. Both of these have fallen into hands out outside the church. And uh, right now, we’re just seeing how much money you can raise. Everyone’s so excited about Popolio. I mean, I’m very excited. It’s amazing

7:59 an American hope’mportant.

8:02 Speaker 1 Give us, we’re running out of time. Give us the fun, give us the fund me page.

8:07 Speaker 2 Oh, the go fund me page. If you search go fundme, and if you search this Poplio’s Childhood Home and Childhood a Church, you will find it. It’s it’s called make Poplio’s Childhood Home a museum in sacred space and revitalized Popolio’s Childhood Catholic Church.

8:29 Speaker 1 Thank you so much, and good luck, and thank you for all the good things you do.

8:34 Speaker 2 Thank you John and a big fan of your show and all your great work and your family. Thank you so much for having me