Jason Hartman talks with David Stockman, former budget director for President Reagan, former US Representative for the 95th Congress, former partner at The Blackstone Group and author of the new book Peak Trump: The Undrainable Swamp and the Fantasy of MAGA. The two discuss Reagan’s failure to curtail spending like he’d originally wanted, the difficulty Trump is having actually “draining the swamp”, the impact of increasing debt on inflation and whether it’s sustainable.
[4:27] Reagan got very little in way of his proposed spending cuts, but got a much bigger tax reduction than proposed, then defense spending exploded
[8:08] Trump’s problem was that he recognized the economy was failing but didn’t have a program to address it
[13:13] Does our escalating deficit mean inflation is on the horizon?
[17:34] Is our private debt really that bad?
[21:20] How investors should position themselves for the next few years
[24:08] We’ve learned in the last decade that Central Banks can’t cause inflation on a worldwide basis