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July 29, 2022 - Sean Hannity Show
33:24
Numbers Don't Lie - July 28th, Hour 2
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And if the technical definition is two quarters of contraction, you're saying that's not a recession?
That's not the take.
No.
That's not the technical definition.
In terms of the technical definition, it's not a recession.
The technical definition considers a much broader spectrum of data points.
What is exactly the White House's definition of a recession?
Again, we don't, I'm not going to define it from here.
I don't think we're going to, God willing, I don't think we're going to see a recession.
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Two big stories we're following today.
One just totally, completely embarrassing and humiliating to the country in the readout of the call that Joe Biden had with President Qi of China.
Those who play with fire will only get burnt.
Chinese state media quoting Qi telling Biden, we hope the U.S. side can see this clearly.
And they've been saber-rattling in light of the fact that Nancy Pelosi, they're very angry that she's going to visit our ally.
That would be Taiwan.
Now, when they tried to push back when former Secretary of State Mike Pompeo was going there, he said, too bad, I'm going.
He went.
I interviewed him while he was there.
Then, of course, the economic disaster that we now have been talking a lot about.
We are now officially in the middle of a recession.
And in spite of the administration trying to change the very definition of a recession, as GDP growth contracted again this second quarter, like it did in the first quarter, but they're still trying to say that it's not a recession.
Right.
And certainly in terms of the technical definition, it's not a recession.
The technical definition considers a much broader spectrum of data points.
You're splitting hairs.
I mean, if the technical definition is two quarters of contraction, you're saying that's not a recession?
That's not the take.
No.
That's not the technical definition.
So two consecutive quarters of negative growth suggests, obviously, momentum in a certain direction.
But is that the definition of a recession?
Because the White House is playing along that line.
It's more so a rule of thumb.
It is not the technical definition.
So Biden citing the unemployment number and comparing investing money is proof we're not in a recession.
Doesn't sound like a recession to me.
Excuse me.
It's a recession.
Listen.
We have a record job market of record unemployment of 3.6% today.
We've created 9 million new jobs so far just to become president.
Business are investing in America at record rates.
That doesn't sound like a recession to me.
The problem with what he just said there is we have not gotten all the jobs back, pre-pandemic jobs that we've had.
And number two, we are in a recession and they're just outright lying to us.
And I said this yesterday.
My kids, they might do something wrong when they were young and I might get annoyed by it.
But then, you know, they'd have a cookie all over their face and I'd say, well, I told you not to eat the cookies.
I didn't eat the cookies.
They get in a lot more trouble for lying.
I used to tell them, stop insulting my intelligence, and you're not good at it.
So stop trying.
This is what Newt Gingrich's book is all about.
We're going to be doing a series of very specific issue-oriented strategy sessions right here on this program on how Republicans win.
How do they win in the Senate in these very in these bellwether states?
How do they take over the House?
What are the issues that will matter most to you, the American people?
And it's all part of his new book, Defeating Big Government Socialism, really timely.
If you're in Woodstock, by the way, on Friday, he's going to be signing books at Foxtel Bookshop in Woodstock.
I know the area well.
Mr. Speaker, welcome back to the program.
That's great to be with you, and I couldn't help but smile.
Given your years in Atlanta, you know virtually every part of Atlanta well, and I'm sure the folks at Foxtel are delighted to get that shout out from you because you're sort of a local son.
Well, I was sort of like the local adopted son.
And unfortunately, I worry more about Georgia than I have in past years in terms of electorally.
Let me first get your reaction to President Qi.
Then we'll go to the economic numbers that we got today.
We knew that this was going to happen.
They're trying to redefine recession.
But this saber-rattling of China is real.
I mean, you have high-ranking officials saying they're going to reunify with Taiwan very soon.
That means they're going to take over a sovereign nation that we have an alliance with.
Well, look, I mean, the goal has been ever since 1949 to have the Chinese communists recapture what used to be called Formosa, now Taiwan.
And we had a deliberate strategic ambiguity to save face, where basically we said you cannot attack the island.
And at the same time, we're not going to recognize them as a free and independent country, but you have to let them alone.
And in that framework, Taiwan became 24 million people with free elections, free news media.
They produce about 65% of the advanced chip manufacturing in the entire world.
And, you know, they're really an important player.
At the same time, I think a lot of us, I count me in this.
And as you know, Claire Christensen and I wrote a book on Trump versus China and looked at Xi in some great detail.
I think all of us thought back in the 90s when I became the highest-ranking American ever to visit Taiwan.
We thought that if the Chinese communists could take over Hong Kong and let it alone, they were talking at the time about two systems in one country.
And we thought that would be a signal that they could at least have a conversation with Taiwan.
And of course, as a totalitarian dictatorship, the Chinese communists just couldn't help themselves.
So they crushed freedom in Hong Kong.
They crushed free enterprise.
They guaranteed that nobody in Taiwan wants to voluntarily become part of that kind of dictatorship.
And that was, I think, a huge change in the whole environment in which we're operating.
Now, I believe, and I want to say this absolutely unequivocally, once it became public that Speaker Pelosi was going to go to Taiwan, she could not back down.
And whatever the American government has been saying or the Defense Department has been saying is just nonsense.
I mean, you cannot embolden Xi Jinping, the Secretary General of the Communist Party, by letting him think that he can bully us and bluff us.
And I think that, you know, they have to go through with this.
I personally believe that there will be some effort by the Chinese Communists to make noise, but I don't think they're, in fact, going to do anything that matters.
We were faced with the same problem in 97 when I went because I was scheduled to give speeches in Beijing and Shanghai.
And when they learned that I was going to go to Taiwan, they went crazy.
And finally, Gardner Peckham, who was my national security advisor, said to him, and I actually heard him on the phone say, look, the Chinese dictatorship does not tell the American Speaker of the House what his travel plans are.
And he said, if you are sufficiently upset about Newt going to Taiwan, we have an easy solution.
We'll skip China.
We'll just go to Taiwan.
Well, at that point, they suddenly said, well, whoa, whoa, whoa, no, we're not happy, but we do want you to come and give these speeches and so forth and so on.
And the only concession they asked for was that I had to go to Taiwan through Japan.
I couldn't fly direct from Beijing to Taipei.
But that's all.
Well, I think we're in the same thing here.
They would like to run a bluff.
They would like to bluster and be noisy.
And they would like to see a government as weak as the Biden administration back down.
But that would be a catastrophe.
If you allow the Chinese communists to think they can bully you, you are just going to embolden them.
You see, now there's no option for Nancy Pelosi.
She announced the trip, and then the Biden administration tried to pull her back.
But if she doesn't go now, you're exactly right.
It'll embolden the communist Chinese even further.
I did a report last night on television, and others are starting now to cover it as well.
And we've been doing other reports on this, is the massive land purchasing that's going on by the communist Chinese.
They're buying farms.
They're buying ranches.
They're buying many of them in close proximity to military installations, very key ones.
And we're allowing that to happen.
Why would we ever allow them to buy land in our country?
Well, because I think we have not yet come to grips with the fact that they are our mortal competitor, that they have a long-range plan to defeat us, and that we've got to get to be as tough and as smart as they are.
There are bills being introduced that would force the sale of that land and would block the Chinese communists from buying land in the U.S.
And some of that land, as you know, is very close to American military installations, including our ICBM bases in the upper Midwest.
So, I mean, it is crazy to allow them to do that.
And I think you're going to see the Congress, certainly I think when Kevin McCarthy becomes Speaker, you're going to see a bill come through that will eliminate the ability of the Chinese communists to buy land in the U.S. Quick break.
More with Newt Gingrich, who's with us his new book, by the way, Amazon.com, Hannity.com, Bookstores Everywhere, Defeating Big Government Socialism.
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Well, you've come to the right place.
All right, more with New Kingrich's book, Defeating Big Government Socialism.
By the way, if you're in Woodstock in Georgia, this Friday, 4 o'clock, he will be doing a book signing at Foxtail Bookshop in Woodstock.
Let me go to the issue of the economy now for the better part of a week in anticipation of, well, consumer confidence numbers, 75 full basis points of an interest rate hike by the Fed yesterday.
That's the second month in a row that we've had such a large increase, the first time since Volcker did it in the early 80s.
Add to that, you know, record high inflation, record high gas prices.
We're paying still double what we were paying under Donald Trump, and that's including the drop in price due to the band-aid solution of releasing the strategic petroleum reserves.
By the way, some of which they gave to China, which is unbelievable to me.
And they're talking about lifting tariffs to China.
So I guess my question to you is: now that we are in a recession, every definition of every economist I've ever known is two consecutive quarters of negative growth.
That equals a recession.
We got the numbers today.
We are officially in a recession, but they're denying it.
The fact that they cite unemployment numbers that are somewhat irrelevant because we still haven't gotten back to the employment level pre-pandemic.
So it seems like it's a meaningless number to me.
Look, this is a Biden administration which told us that the withdrawal from Afghanistan was a great success, that everything went perfectly.
This is a Biden administration which tells us that the southern border is under control.
This is a Biden administration which wants us to believe that we don't have skyrocketing murder rates.
And the great problem they have, of course, is they can say that we don't have any inflation, but everybody who's listening to them is going to the gas station and filling up their car and thinking, this is crazy.
Or they're going to the grocery store and realizing they can't buy the food they used to buy because they can't afford it.
So they have this problem that the American people who live in the real world increasingly understand these people are just liars.
They're just, you know, they're out of touch with reality.
You could be generous and say they're not lying.
They're just out of touch with reality and are crazy.
But I think it's more accurate that they're methodically trying to lie.
This is a recession.
We'll see if the continued interest rates make it a deeper recession.
And frankly, this brand new, and here's another good example of how they lie.
They have a brand new bill that they agreed to, which I think was a total betrayal of Mitch McConnell and the Republicans, who had agreed to help them pass the bill on rebuilding our chip-making infrastructure with the understanding that they were not going to bring up a tax increase.
And literally within hours, they had hoodwinked the Senate Republicans.
They're now proposing a tax increase with Mansion's support.
And they're calling it the anti-inflation bill.
That's just plain a lie.
I mean, if you raise taxes on businesses, you're going to raise what they charge the customer.
If you have the other increases that are in that bill, you're going to put more money into the economy.
This is a pro-inflation, anti-jobs proposal.
And they can't describe it honestly because the country would think they were crazy.
You know, I can't say it any better.
All right, now to the last question, and we only have about 90 seconds.
And that is, translate all of this, all of this failure.
I can't name a single policy that is successful.
And what does it mean for 2022 in the midterms, especially in the Senate?
Because Georgia is a tough state now for Republicans to win.
North Carolina, we got $50 million thrown at Ronald Johnson.
Look, I don't agree.
I think what's going to happen is people are going to look at their wallet.
They're going to look at the gas pump.
They're going to look at the grocery store.
They're going to look at the murder rate.
They're going to walk in and they're going to say, I don't want any more of this.
And I think, for example, when you realize that Federman, the Democrat in Pennsylvania, took down the American flag to put up the marijuana flag, how much more proof do you need this guy's nuts and is a radical?
When you realize that Warnock in Georgia voted for every single thing Biden wanted, and I think that all Herschel Walker has to do, I say this to every Republican candidate, the bigger the election, the more likely you are to win.
The smaller the election, the more likely you are to have trouble.
And I think, you know, if it's the Warnock Biden ticket that is killing you at the gas pump and the Warnock Biden ticket that's allowing murderers back on the street, et cetera, then we're going to win almost everywhere.
I've been through a couple of these.
1980, we'd pick up 12 Senate seats, one control of the Senate for the first time since 1954, as you remember because you were there.
1994, we picked up 53 House seats.
We beat people nobody thought we could beat.
And I think we're in a similar cycle, moving in a direction, despite every effort of left-wing pollsters to pretend that it's not true.
I think the underlying tide is huge.
Will you please make sure that every single person running for office this year reads your book?
It's called Defeating Big Government Socialism.
If they would just follow your mantra that you just laid out, they'll win.
I agree.
But not everybody's following it.
And as simple as it is, they need to listen.
It's called Defeating Big Government Socialism.
Don't forget he's going to, Newt will be doing a book signing this Friday, 4 p.m.
Foxtail Bookshop.
It's in Woodstock, Georgia, if you're anywhere near the area or you want to drive to go see him.
Anyway, Mr. Speaker, we appreciate you being with us.
We will go over this often throughout the campaign, and thanks for being on board.
Good.
Take care.
Quick break right back.
Your calls on the other side.
Straight ahead.
He gives you the latest breaking news when he hits the air.
This is the Sean Hannity Show.
All right, 25 now to the top of the hour.
A lot of news breaking today.
You know, this denial that the Biden administration is living in is unreal.
This readout with the conversation with President Xi basically threatening Joe Biden, and we're taking that from him.
Donald Trump wouldn't have taken that from President Chi, I promise you.
Unbelievable.
I know about conversations because I had high-level sources that told me what those conversations were like.
Not very different from the conversation he had with the Taliban, which is why the Taliban didn't move an inch or kill a single American for 18 months.
The last 18 months, Trump was president.
It's unbelievable.
And then, you know, being told over and over again today, and this has got to be confusing for many people.
Oh, this is not a recession.
It is the very definition of a recession.
Two quarters of two consecutive quarters of negative economic growth.
That is a recession.
And for them to just lie to you about it, it's unbelievable.
I went through this list earlier.
Yeah, I never had any business dealings with my zero experience, son Hunter.
We never one time, ever.
talked about his foreign business dealings.
Well, sorry, we now know that Biden met with at least 14, and there are pictures of some of them, of Hunter Biden's business associates while he was vice president in the Obama White House, which means he lied repeatedly.
We also know a smoking gun email proves that Tony Bobolinski was dead on accurate when he said that the big guy was Joe Biden and he sat in meetings with Joe and Hunter talking about foreign business dealings.
In other words, he'd be a real whistleblower if anybody in government ever cared to go after a Democrat.
It's pretty unbelievable.
One of Hunter's former business partners referring to Joe as the big guy in a panic message the same day the Post broke the story of the laptop from hell left behind by the president's son.
The message, James Gillier, a former British special forces officer with ties to the UK intelligence services, reassured an unidentified person that the revelations about Biden's apparent involvement in his son's foreign deals would not be damaging regardless of the outcome of the 2020 presidential election.
Unbelievable.
Well, that would be called evidence, but of course they deny that.
They deny.
I've never talked.
Maorkis last week saying, oh, no, no, the border's secure.
It's not secure.
It's anything but secure.
We'll never impose a vaccine mandate.
They imposed it.
You know, the Taliban isn't killing people in Afghanistan.
They were.
The withdrawal is a success, a success, a disaster.
You know, denying that they're limiting oil production, that this outright lie about it, denying that there's a supply chain crisis, claiming they averted it when it's still going on today, denying inflation.
It's only transitory.
I think we've hit our peak.
December, this past December, Joe Biden said about inflation.
Not transitory.
And it wasn't over.
Didn't peak in December.
Denying that, you know, everyone predicted a winter surge of COVID.
They didn't even have tests available.
Never mind monoclonal antibodies enough for everybody that needed them.
Denied the Russian invasion of Ukraine was imminent.
No one knows what Putin's going to do.
He was building up his forces forever.
It was obvious what was going to happen.
Embarrassing us repeatedly on the world stage, denying that he was ever alerted about the baby formula shortage when we have evidence he was, denying the mass of spending caused inflation, and now denying we're in a recession.
He's in a state of denial.
I don't even think he knows that today happens to be Thursday.
That's my opinion.
All right, let's go to Mario is in New Jersey.
Mario, what's going on, sir?
How are you?
Glad you called.
Hey, hey, how are you, Sean?
I'm a big good friend.
Sean, listen to your show all the time.
I appreciate it.
You know, looking at this recession number, I mean, that's my business.
That's what I do.
And it's sad.
It really is sad that they're promoting this as a non-issue.
Now, you know, the definition of recession, pure and simple, is a contraction of two consecutive quarters.
It's a slowdown in industrial production in the country.
But this has been brought on, Sean, from years and years of unintended consequences.
For the first part, let's talk about the federal policy of the Federal Reserve of quantitative easing.
You know, that started at the end of the last great recession we had.
And the Fed, for the listeners, quantitative easing was the Fed going out and buying agency bonds and basically supporting low interest rates in the economy.
So you had low mortgage rates, low car rates.
And when you look at GDP, that's all tied.
Housing starts, autos, inventories, and capital spending.
By the way, and I think you'd agree with me that housing is about to get crushed next.
We're beginning to see the early signs of it.
Well, it's a bubble, without a doubt.
I mean, when you have, I mean, 30-year interest rates on mortgages just a year ago were below 3%.
So what it did is it cheapened the value of the currency.
You know, when you have low interest rates, that's the first problem.
The second problem is all the stimulus that the government's done.
I mean, Sean, when you look at M2 money supplies going back pre-pandemic, it was at a $14 trillion level.
And that's the highest it's ever been since the Great Recession.
So they pumped in stimulus all this time.
So now the Federal Reserve is looking at inflation numbers, but what they don't understand is like we're still sitting at $21 trillion.
We're now at $21 trillion post-pandemic of M2 money supplies.
So as you can see, the value of our currency has cheapened significantly over the years.
So now we're at this, we're between a rock and a hard place because you have skyrocketing costs of durable goods.
Consumer confidence is cratering right now.
That's why the administration's poll numbers are weak.
So when you have $7 trillion slushing around the economy, and I really like to know where that $7 trillion went, I mean, you know, unintended consequences.
Again, the PPP loans, how much of that was really necessary.
Every point you're making is dead on accurate.
Here's the bottom line, though.
There are things that they could do.
Now, I have Biden.
I'm sorry.
I have Manchin on tape.
I have Obama on tape all saying, you don't raise taxes during a recession.
And guess what?
We're doing the same thing.
You know, right now they're making the same mistake.
I can't even believe Manchin went along with this monstrosity.
They're raising taxes.
Well, corporations, as you know, don't pay taxes.
Here's the problem we have is now the housing market's going to get hit and it's going to get hit hard.
And new home construction will stop.
It'll come to a screeching halt.
Sale of existing homes will plummet.
Values will plummet in the process.
And anybody that has that 3% mortgage, 30-year fixed rate mortgage, is never going to give it up to move to another, a bigger home, a different home, another neighborhood.
So everybody's going to be locked in for many, many years to come.
So I don't see an easy fix here at all.
And the so-called soft landing that they always talk about with a recession, I don't see any possibility because the one major thing that they could do that their climate alarmist cultism will never allow them to do is to go back to energy independence.
They'll never do it.
Well, there's a reason why they won't do that because it's like you said, they have a wing of the party that they're kind of leaning towards.
It is the party.
It's the whole party.
Sean, though, if you look at energy prices as a whole right now, I would say 60% of that cost has to do with inflation because it's a trickle down, as they like to use the term, trickle-down economics, where when you're paying more for gas, you're paying more for logistics, you're paying more for energy that's being consumed by the corporations and the businesses that provide us the vegetables, the fruits, and the meats that we need.
So it's all going to be passed on to the consumer.
But the sad part about it is, Sean, if I could just make this last point.
You know, people like myself, like you, that we're comfortable in our lifestyles.
This recession is currently right now in a mild stage.
You know, losing less than 1% is not big.
It's going to stand to be seen what's going to happen in the future.
But you know who I feel for right now?
I feel for those American peoples that are making $50,000 a year.
They're struggling to decide whether they put a decent meal on the table for their kids or they're eating cereal for dinner.
And that's the sad part when a guy that's working hard to support his family is put in that position.
And for the government to come out, the president to come out and say, he hears your pain.
He sits across.
He remembers sitting hearing his dad talk?
That's all nonsense at the end of the day.
They're out of touch.
We need leadership today.
We're not going to have it.
And let me just conclude this by saying this.
Killing the poor.
It's killing the middle class.
It's killing older people.
It's killing people on fixed incomes.
I think everyone gets the picture.
Thank you, Mario in New Jersey.
Appreciate it.
Quick break, more phone calls coming up.
800-941.
Sean, if you want to be a part of the program.
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We'll continue.
Final hour roundup is next.
You do not want to miss it.
And stay tuned for the final hour free-for-all on the Sean Hannity Show.
All right, let's get back to our phones.
800-941, Sean is our number.
Matt in California.
Matt, how are you?
Good.
How you doing, Sean?
Good, sir.
What's going on?
Well, yeah, I'm a contractor here, and I just wanted to give you that perspective that, you know, I think the biggest thing that we were running up against, and I don't hear it being talked about by politicians, and if Trump gets a nomination, I hope he starts talking about it, is we don't have enough skilled workers to accommodate all the positions we need to fill.
And then when you start looking at, okay, the available workers that we do have, are they strong enough physically of age, mentally, you know, proficient?
And do they not have a problem with drugs or alcohol?
When you start eliminating all those factors, you're left with very few people that are qualified to show up to work, that are responsible, honorable, do what they're told, can take directions, that are going to do all these jobs.
Let me tell you something that you're probably not going to like to hear, but I'll just tell you the truth because that's my job, is this probably isn't going to be as big a problem in the very near future.
Because, look, I have so many friends in the construction business.
They're going to be, you know, they're going to be exceptions.
Florida is going to do fare much better than New York and California.
So will Tennessee.
So will the Carolinas.
So will Texas.
But then so will Alabama and states like that.
Others are not going to fare as well.
And what you're going to, because all these other states are having a mass migration to their states.
But for all the people that couldn't get a contractor, their contractor is going to be readily available in short order because new home construction is going to end.
And corporations aren't going to spend money on construction either.
And sale of pre-existing homes is going to end.
So there's going to be, they're going to get what Lawrence Summers says they need, which is a very high unemployment number to cool down the inflation issue in the country.
But they're still missing the boat when it comes to energy.
You get the last word.
I'm going to say this though, Sean.
I mean, you're still going to have people that need, you know, termite work and repair work.
You want smart political talk without the meltdowns?
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I'm Carol Markowitz.
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I'm Ben Ferguson.
And I'm Ted Cruz.
Three times a week, we do our podcast, Verdict with Ted Cruz.
Nationwide, we have millions of listeners.
Every Monday, Wednesday, and Friday, we break down the news and bring you behind the scenes inside the White House, inside the Senate, inside the United States Supreme Court.
And we cover the stories that you're not getting anywhere else.
We arm you with the facts to be able to know and advocate for the truth with your friends and family.
So down with Verdict with Ted Cruz Now, wherever you get your podcasts.
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