Episode 4137： This CR Will Be Mike Johnson's McCarthy Moment
Episode Stats
Summary
On today's show, we discuss the latest budget showdown in Congress, and how Speaker of the House Mike Johnson is trying to get a deal on a short-term spending bill that funds the government until March 14th. We also discuss the impact of the CR, and whether or not it can pass the House.
Transcript
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It's not an omnibus. It's not a long-term deal on the budget. What is it?
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Well, it's an 85-day bill with a whole pile of policies that have nothing to do with general government operations, Katie.
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Usually, speakers have two paths. They could do a long-term omnibus spending bill,
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which funds government for the entirety of the fiscal year, so until September 30th of next year.
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And that could hold, because it's so long, traditionally that could hold a lot more policies
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because people just feel like it's a longer-term bill.
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They're already taking a tough vote, just toss a bunch of stuff in.
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Here in this instance, Mike Johnson did an 85-day, a three-month CR until March 14th,
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so less than three months, bill, and he also loaded it up with a bunch of stuff.
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And I hate to say this because, you know, I don't hate to say it. It's reality.
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Elon Musk has been going on a tear on his platform X over the entirety of the day
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and saying that anybody who votes for this thing should be primaried and should be out of Congress.
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Now, it is a pretty big bill, and it is a very bold, let's call it bold, move by Mike Johnson
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to put all these policies in a bill, everything from health care policy to transferring land for a new stadium in D.C.
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I mean, you could take your pick of a million different policies that people would find objectionable in this thing.
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And I don't know if this could get through the House of Representatives right now or even the Senate.
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It's a big question. And remember, Katie, the government shuts down on Friday night.
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Today's Wednesday. I mean, you don't have a lot of time to work with here.
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This is where we saw Kevin McCarthy really struggle back when he was Speaker,
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before he was ousted by Matt Gaetz and a handful of others.
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And this is the issue of working with Democrats.
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And Speaker Mike Johnson says the reality, which is they have almost,
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they have a majority that is so, so slim that they have no choice but to work with Democrats,
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I was just around a bunch of House Republicans and asked a bunch of them that very question,
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which I think is pretty revealing about how frustrated many of them are
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with the way that this particular budget negotiation went.
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What's interesting about Mike Johnson is that, you know,
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he was among that group of Freedom Caucus Republicans who voted no on all these CRs
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for a good part of his career, became the Speaker of the House,
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and then all of a sudden realized why they happened.
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And he keeps saying every time we get to one of these deadlines
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that this is the last time we're going to do this.
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And then once we clear the deck, then we'll be able to start from scratch.
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His pitch now to his House Republican colleagues is let's just get all this done,
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let's clear the deck right now, and then we'll start fresh in the new year.
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Everything will come out of the Appropriations Committees.
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He keeps promising that that's the future, but he's yet to deliver on that promise.
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So, you know, the margins are going to be tight here.
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I think most people are reasonably confident that they're going to get it passed,
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even if it comes under suspension, which means it requires two-thirds majority
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But there could be a political consequence to Speaker Johnson that we have yet to calculate.
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well, yes, the Elon Musks and the Vivek Ramaswamis of the world are out on X.
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I think Donald Trump Jr. even came out on X and complained about the CR.
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And there is no one who moves the Republican Party quicker than the president-elect.
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And one of the things that Mike Johnson has done very well
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during the short period of time that he's been Speaker
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is develop and cultivate that relationship with Donald Trump.
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And that is part of the reason that he has been able to hold on to that job.
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And if he forces this CR down their throats and survives,
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it's going to be because he's convinced Donald Trump
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that it's going to be better for his presidency long term.
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I think this and the confirmation battles are going to be really indicative
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of what it's going to be like during a Donald Trump administration.
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Pray for our enemies, because we're going medieval on these people.
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Here's the time I got a free shot at all these networks lying about the people.
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I know you try to do everything in the world to stop that,
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And where do people like that go to share the big line?
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I wish in my soul, I wish that any of these people had a conscience.
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Ask yourself, what is my task and what is my purpose?
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If that answer is to save my country, this country will be saved.
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Okay, Wednesday, 18 December in the year of our Lord, 2024.
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Jake Sherman, who is on top of everything that happened before President Trump.
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Do we have the true social from President Trump?
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Dave Brat's going to join us for the next hour.
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Tom Emers, remember the way this town works, you have both Democrats and Republicans have
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Those are the heavy pair of hands that are supposed to get votes in shape.
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And once they say, hey, we got the votes, and they cut the deals, the basic to-ing and
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fro-ing or the basic thrust and parry of the deals that get cut to get people in line
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to vote, the big overall deals will have to be cut by, you know, the majority leader
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Here, Tom Emers, they asked him today, right before he left the air, hey, when's this thing,
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when's this thing, when are you going to be ready for a vote?
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Jim Jordan, I want to report that Jim Jordan, and this is pretty extraordinary because Jordan's
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always been pretty consistent about having Mike Johnson's back.
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So it's extraordinary to have leadership on something that's important, not back to play.
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Vivek Ramaswamy came out with a blistering tweet.
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This is after Johnson used him as a human shield during the Fox interview.
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So I said, well, I talked to Vivek last night at midnight.
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Vivek was, you know, understands we have one-third of one-ninth of one-hundredth of the government.
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Vivek then came out and said, no, he's a hard no.
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Elon has been a no all day and is repeating that.
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And then right after Jake Sherman said that, maybe because Jake Sherman did say that live
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on MSNBC, so you never know what President Trump is watching during the day, President Trump
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Vance and Trump, the statement you were reading before.
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It's very long, so stop me when you want me to.
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The most foolish and inept thing ever done by congressional Republicans was allowing our
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In 2025, it was a mistake and is now something that must be addressed.
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Meanwhile, Congress is considering a spending bill that would give sweetheart provisions for
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The bill would make it easier to hide the records of the corrupt January 6th committee,
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which accomplished nothing for the American people and hid security failures that happened
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This bill would also give Congress a pay increase while many Americans are struggling this Christmas.
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Increasing the debt ceiling is not great, but we'd rather do it on Biden's watch.
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If Democrats won't cooperate on the debt ceiling now, what makes anyone think they would do
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Let's have this debate now, and we should pass a streamlined spending bill that doesn't
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give Chuck Schumer and the Democrats everything they want.
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Republicans want to support our farmers, pay for disaster relief, and set our country up for
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The only way to do that is with a temporary funding bill without Democrat giveaways combined
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If Democrats threaten to shut down the government unless we give them everything they want, then
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It is Schumer and Biden who are holding up aid to our farmers and disaster relief.
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In all caps, this chaos would not be happening if we had a real president.
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I think the deal expires the 3rd of January, and I believe the debt ceiling comes in sometime
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Of course, there's a lot you can do with it between now and then.
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That's going to add an interesting explosive element into this.
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Oh, by the way, oh, by the way, what about the debt ceiling?
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So your assessment, Natalie, you've spent the day going and last night going through this.
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What is what's your assessment of what this was?
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Not that all of this is particularly relevant, because I don't think this is if it comes to
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the floor now, it's going to come with all Democrat votes and a handful of Republicans.
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And then that means that we get a crappy CR, but we end the speakership of Johnson.
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Well, I would go back to four years ago, because just yesterday was the four year anniversary
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of the infamous Four Seasons press conference with Rudy and everyone who stood up there.
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And today, of course, December 18th is the four year anniversary of the notorious December
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18th meeting that I think NPR was like, this is the meeting that all the Trump people came
00:10:14.140
We're fighting against the same people and the same forces.
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Because I think you're also seeing coming from Speaker Johnson right now, the same political
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lack of courage and just fundamental getting played by the Democrats that you saw from
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This is a Mike Pence moment for Speaker Johnson with what he did with this bill.
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Did he did he include just some bad elements in quote unquote his negotiations?
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Because you shouldn't have needed a negotiation.
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You got the votes to pass as just the Republicans or I'm hearing that, you know, Jeffries and
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these guys wrote huge parts of the fifteen hundred pages and they just they just plug
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Well, I don't know about you, but I do think we were both on the rooftop of the Willard on
00:11:01.220
And last time I checked, we won in a historic landslide victory.
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So I don't understand why Speaker Johnson is negotiating from a point of loss.
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So I don't understand why we have to cede ground to Democrats a to begin with.
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But when you look at the provisions, it's almost like the reverse engineer of every
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single vertical that we've been highlighting on the show in terms of the ways that they
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want to come after and kneecap President Trump's second term should be third term agenda,
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particularly on the pandemic and public health front, the lockdowns, the mandates, all that
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stuff. But even the marginal victories that Congress was going to be able to gloat about,
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which, again, no thanks to them, thanks to the work of people like Mike Benz, the censorship
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stuff, the Global Engagement Center, they're working to extend that for a year.
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I don't understand how you can even make any case for that, let alone when you drill down
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and to think more importantly, what's not included there.
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And what do I mean by that? For all the pork that they managed to put in there to help
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Senate Democrats, you know what word is only in?
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What is it? One thousand five hundred forty seven pages, just four times border.
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And by the way, all the mentions were not let's secure the border.
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It was just, you know, a passing tacit reference.
00:12:21.880
And I love all the people who are talking really tough right now about how they're not going
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But not one person wanted their pork, right, or their special cutout, their special privilege,
00:12:31.280
their special interest to be something related to the border.
00:12:33.960
This, of course, coming on the heels of the NDAA, which we were focusing on yesterday,
00:12:38.020
how Section 2890 of that, it wasn't Joe Biden who allowed or okayed the sale, the auctioning
00:12:45.880
It was House Republicans who voted to give Joe Biden's Pentagon, the radical open borders
00:12:50.960
people up there and at DHS, the ability to decide what to do with those outstanding unallocated
00:12:57.960
Does it concern you as a younger person in Ben's that one of the things we've talked about
00:13:02.820
is the suppression of of people on the right and things like the Global Engagement Center
00:13:07.940
being at the nexus of that, that his staff, which are younger policy people, could be so
00:13:14.660
clueless to either let the Democrats negotiate that or just cut and paste from what Hakeem
00:13:19.020
Jeffries. And I mean, if you want to set off people on our side of the football and particularly
00:13:24.580
the smart, you know, the Darren Beatys, the Mike Benz, the Natalie Winters, the Raheem
00:13:28.520
Kassams, it's to add to extend it for a year or the name we was extend the pandemic.
00:13:37.140
And by the way, it's not like this was even hidden or, you know, sub point B in the they
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created a whole Section 301 Global Engagement Center extension, right?
00:13:46.000
It's so in your face. I don't know how dumb they think that we are. But I think this goes
00:13:50.300
back to something that we've also been honing in on, which is the idea of triaging the 2024
00:13:54.380
loss from the vantage point of Democrats. And Joy Reid has the huge segment two nights
00:13:59.080
ago. Americans have always believed conspiracy theories. Misinformation is spreading. And
00:14:03.520
then the corollary to that is, oh, so we need to clamp down and continue censoring shows
00:14:07.640
like this, go after independent media. So they're giving them a handout, enabling them to do
00:14:12.040
that. And for the first year of President Trump's presidency, it's like when I saw it,
00:14:15.800
it's like insanity. You don't realize if they understand. They're actively being sued by
00:14:20.300
conservative outlets. It's incredible. It's incredible. In fact, this goes beyond controlled
00:14:27.200
opposition. This goes almost to collaboration. That's what's so over the top. Of course.
00:14:32.180
This bill has many bad things, not just the mess. Opposition would be doing a heavy lift
00:14:36.440
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We're heading out to AmFest. Make sure you go to AmFest.com. If you haven't gotten a ticket and
00:16:33.340
you're in the general Phoenix area or Arizona or New Mexico, Southern California, love to have
00:16:38.740
you out there. We're looking forward to a big turnout of the Warren Posse. We're going to be doing,
00:16:43.600
I don't know, 10 hours of shows live. We'll have Natalie be out there, Grace Chung, Mo, the whole
00:16:48.980
crew, Jane Zirkle, and others. And we'll have posts on everybody else, tons of contributors. The
00:16:55.920
ones that are not going in the administration will be with us. It's going to be a great time. 25%
00:17:00.980
off the ticket if you include Warren. AmFest.com slash Warren. Also, home title lock. Make sure
00:17:09.280
with this financial hate. When the president throws in, hey, let's get the debt ceiling in
00:17:13.640
the CR. I can tell you that if President Trump wants the debt ceiling inside the CR this time,
00:17:23.500
we're going to have a government closed down Saturday morning, folks. That's just not going
00:17:27.120
to happen, I don't think. That will be a wild one. Might happen at some point in time, but
00:17:33.880
won't happen in the 24, 48 hours. This may be a DOA's. I'm sure Johnson's right now figuring
00:17:39.500
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they got a home lucky enough to have a condo. Maybe, maybe give us a Christmas, a stocking
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stuffer. How about that? That's a conversation piece. As Natalie Winters laughs.
00:18:04.640
Speaker Johnson might be out of a job. Who knows? He's going to come for your mortgage.
00:18:08.680
Come for your house. You've got a couple of things to read. There's some, there's some
00:18:14.040
good things, Jake Sherman and others. Right now we're trying to ascertain folks what's
00:18:18.960
happening up there in the Capitol because as we said, hey, the German government, the French
00:18:24.400
government, the British government not too long ago, the Canadian government here in the
00:18:29.060
last 48 hours. A lot of these governments are blowing up because of finances. I would
00:18:35.500
actually say Biden was the same thing because of inflation. So you get six or seven of the
00:18:39.240
big ones. And right now the Johnson speakership hangs in a thread because of a, and here's
00:18:47.340
what I don't get, Natalie. You're going to read this. I don't understand how he told Vivek,
00:18:53.300
went on Fox, told Vivek and Elon last night, midnight, brags, we're on a, we're on a tech
00:18:58.420
stream together. And, um, and he says, uh, and they didn't know any of the details of
00:19:04.020
this. Vivek puts out this brutal tweet later that goes through in pretty good detail of
00:19:10.020
some of the basic problems with this. So that he cleared and tell them also, everybody's
00:19:13.840
telling me, Hey, well, you can't jump out there, Steve. You can't get out in front of this
00:19:16.620
because president Trump really loves this guy and supports him. I go, well, Hey, president
00:19:21.220
Trump doesn't support this or he hasn't been read in properly. Then all of a sudden you
00:19:24.800
got Trump dropping a bomb on this guy's head. So you should have told me that before I hosted
00:19:29.920
war room yesterday. No, no, just go for it. We can go out on the limb. You're, you're,
00:19:34.360
you're a new generation. What do you got? Some, uh, Jake Sherman and others. Yes. Let's
00:19:38.480
read. So Jake Sherman just read about 20 minutes ago. The house Republican leadership is
00:19:42.340
also a bit of a mess at the moment. No one knows what Johnson is going to do. The leadership
00:19:47.080
thought his CR was a step or many steps too far to begin with. And I just want to tell
00:19:52.500
a brief anecdote to the audience. You know, I usually peddle in cold hard facts with my
00:19:56.520
reporting, but I was on a walk on the Hill in Washington DC today. And I actually ran into
00:20:02.400
a member who we have on the show quite frequently. You're a walker. You walk all over 30,000 steps
00:20:07.220
a day, 30,000 steps a day, 10,000, 30,000 steps a day. Wow.
00:20:12.340
Well, I listened to MSNBC and stack headlines for citizen free press. I not neurodivergent
00:20:20.120
at all, but very interesting because a Democrat member of Congress, as I was walking with this
00:20:26.920
Republican member of Congress, I didn't know his name. They all, there's a certain physiognomy.
00:20:30.220
They're kind of hard to tell. So I looked it up after, but I literally couldn't tell who
00:20:33.080
it was. He comes over and he goes, this is a direct quote. Yeah, yeah, yeah. Ha ha.
00:20:39.240
I'll vote however you want, but don't come for my pay.
00:20:44.260
He wanted the pay. Is he want, is that interpreted? He wanted the pay increase?
00:20:48.460
Interpret that how you will. I think given the pay increase, the first since 2000, I swear.
00:20:53.520
Wow. Don't come. Wow. I was like, well, you certainly, sir, don't watch the war room. You
00:20:58.240
don't know who I am. You didn't say off the record. But that shows you the problem in this town.
00:21:04.460
What about the, what about hiding the pay cut? I mean, the pay raise, wouldn't you be
00:21:08.320
out front and say, Hey, we got to do this. We haven't had a coal increase in 10 years
00:21:12.480
and we need, or 12 years, however long we need it. You can at least, I think if there's
00:21:15.920
any time in American history where you can message it, now would be the time given inflation
00:21:19.920
and Bidenomics. But I do like the Freudian slip because they deserve a pay cut. That's
00:21:24.160
frankly what they, they need. Um, but no, but that shows you the mindset. I mean, I, I, my
00:21:28.380
jaw dropped. I couldn't believe that a Democrat member of Congress said do not come for my
00:21:34.020
pay. Um, but I, I want to drill down because I do think it is important to get granular
00:21:38.440
on just some of the absurdities contained in it, because I think that's where we're able
00:21:43.280
to mount such strong opposition. So in title six, they have a whole section called the pandemic
00:21:48.820
and all hazards preparedness and response act quite a mouthful. But what it does is essentially
00:21:55.920
reform the public health services act to broaden out the scope and purview, particularly of
00:22:03.060
the CDC. It used to be more so over just influenza and pandemic influenza, but they rewrote that
00:22:10.220
act to make it so the CDC's control, they could extend their tentacles to all pathogens of pandemic
00:22:16.840
causing potential. Now, the other thing that I think was really, really concerning, they added
00:22:21.920
an entire section. So this was not a revision. They inserted this assessing current and potential
00:22:27.480
health security threats from natural disasters with respect to public health and medical preparedness
00:22:32.180
and response. And as someone who has always kind of paid close attention to the vernacular that the
00:22:36.920
WHO's and the UN's of the world use where they try to make, whether it's, you know, racism or climate
00:22:41.800
change, whatever it may be, a sort of public health disaster, a natural disaster that opens the
00:22:47.420
floodgates for something like that to potentially hamstring President Trump. It also extends this
00:22:52.960
act to 2026, which was essentially the act that we had during COVID. So it allows for masks and vaccine
00:22:58.920
mandates. It allows for vaccine passports. It allows for gain of function research. It allows for the
00:23:04.300
hospital bonuses when they incorrectly mark deaths as, you know, a COVID, whatever. It also created
00:23:09.300
BARDA, which was the entity that was funding all the mRNA and gain of function research. And to that point,
00:23:15.180
because, you know, apparently we just have, what, trillions of dollars to waste, the CR omnibus,
00:23:21.380
whatever you want to call it, also mandates that we have to at all times have 12 biocontainment
00:23:26.900
laboratories active. And if there's not, we have to build the outstanding ones. And they have to be
00:23:32.000
biosafety level two or three for, quote, rapid response to biological agents, including emerging
00:23:39.180
infectious diseases. But to me, the most concerning part about that bill text is that it was
00:23:44.940
going to be used to, quote, support information sharing between and the dissemination of findings
00:23:51.180
to researchers and other relevant individuals. With, to me, the buried lead being there, being
00:23:57.520
that opens up the floodgates. You can still send share pathogens, you know, data bank collections,
00:24:02.500
whatever, with the Chinese Communist Party, with countries that are explicitly hostile to us.
00:24:07.220
And to talk about enemies, we'll go with the enemy within. And that is the way that it's
00:24:12.280
section 605. It's subheaded the treatment of electronic services provided for House offices,
00:24:18.120
which it's sort of vaguely construed. It's hard to understand or discern what exactly
00:24:23.480
they're saying. But from minds smarter than my own, the stipulation suggests that the office of the
00:24:30.620
chief administrator and House office general counsel has to, A, proactively inform any member of
00:24:38.440
Congress who's potentially being investigated or if there's records requests on them. And they actually
00:24:44.280
So this would limit, this would limit Cash Patel from, from pursuing Cheney and other people?
00:24:49.360
That's the opening bid. But the worst part is that they put motions to quash or modify.
00:24:54.220
And this is where it gets a little gray, but essentially it suggests that if the House office
00:25:00.220
administrator, it's a girl named Catherine, and I won't guess what her politics are, but you can
00:25:06.280
probably guess where she lands, thinks that whatever documents they may be turning over
00:25:11.240
are disingenuous or disadvantageous, whatever, to whoever is under investigation, Liz Cheney or
00:25:18.320
otherwise. And it refers to past, current, and former investigations that they can modify those
00:25:24.760
subpoenas. And I would just say, we're very ideologically consistent here in the war room,
00:25:29.300
but that's quite interesting stipulation to be pushing the same day that what they're pushing
00:25:33.140
out the Matt Gaetz ethics report. What, um, are you shocked about process here? This is clearly
00:25:41.600
either Hakeem Jeffries gave him a big section of this and, or this has been negotiated for weeks
00:25:46.980
and weeks and weeks. This is not something they brewed up in the last 72 hours. No, no, definitely not.
00:25:52.800
It's 1,547 pages. The CR text itself is about eight pages. The, uh, overarching kind of like guidebook,
00:26:01.320
the, the title summaries for the rest of the stuff they put in is longer than the actual CR text
00:26:06.780
itself. Um, this is, you know, I love the, they accuse us of, you know, waging retribution warfare
00:26:11.780
against, you know, the enemy within this is retribution against the American people for electing
00:26:16.640
Donald J. Trump. I mean, it's very clear what they're doing. Your point is, Hey, we just had a
00:26:21.080
definitive verdict from the jury of, of the American people. And here they put all of this in
00:26:25.640
with a bunch of these, uh, uh, gimmicks to, to really chop. I think gimmicks is too nice to
00:26:32.540
you for mystic. You're talking about the potential with, we all know what they're doing with bird
00:26:36.980
flu right now under what they've put in there. You could see a COVID 2.0 and I'm not just talking
00:26:42.940
because they got the gain of function research stuff coming out of the bird flu out of California
00:26:46.220
right now. And president Trump would be totally kneecapped, walked in, right? Totally hamstrings.
00:26:50.900
How this shows you, this is why Johnson's got to go obviously in his, in the, in the
00:26:55.600
team, uh, his internal team. Uh, hopefully Jim Jordan and others will step up because
00:27:00.800
we got to get a grip on this thing. Now I, I think the recommendation is, is pull it, but
00:27:05.520
if president Trump said now include the debt ceiling, you know, we're going to have a whole
00:27:09.140
discussion of that, but I would just give them a two or three liner, figure out and just
00:27:13.080
tell the farmers, Hey, you're going to have to hang on for another 30 days or 60 days.
00:27:17.300
And, uh, in the same with the, the, the relief, I think the relief, they got enough cash. I
00:27:21.540
understand in FEMA, it's just a fact that Biden is holding it back and will not give it. This
00:27:27.260
is where I think you got to start playing hard ball with these guys are absolute total mess.
00:27:31.720
They've had forever to work on this and, and drop this at the last second. I happen to think
00:27:37.180
we're pretty odds on that the government's going to at least close down, which I hate. I'm
00:27:40.640
all for closing it down. And when president Trump shows back up, let's pass it the first
00:27:44.560
day and open the government back up in the afternoon of his, uh, of his inauguration,
00:27:48.760
uh, amfest.com promo code war room, 25% off. We're heading out there tomorrow. We'll be
00:27:54.620
live at amfest morning and afternoon show Thursday morning. Don't sit in the front row for your
00:28:00.300
speeches unless you want to have a microphone. I'll be doing, I guess, Don jr. Tucker myself
00:28:05.500
tomorrow night. Uh, I believe is the rumors is the, is it been announced that the president
00:28:09.800
coming? Yeah. And so is Speaker Johnson. So that'll be interesting. We'll see what's
00:28:14.200
the overrunner of that. Okay. Short commercial break. Philip Patrick Birchgold next in the
00:28:17.860
war room. Are you tired of progressive corporations that continue to further alienate conservative
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00:29:51.840
Okay. Government gangsters. Cash, we haven't had time today and we're not. Hopefully we'll do
00:29:59.140
it tomorrow. They're in full meltdown on Liz Cheney. They're in full meltdown on the end
00:30:02.480
of democracy. This is all they're covering. We are trying to stick with the important stuff
00:30:07.760
right now, which is, I don't know, keeping the government open. I'm all for letting it
00:30:12.300
ride, baby. You know, you're still going to get the social security checks, all the important
00:30:15.760
stuff you're going to get, but just let it just let it go. And right now we just got
00:30:21.780
can you. So no more votes today, right? It's been reported. I'm getting congratulations from
00:30:28.360
different people at senior levels. I guess maybe the word is out on something else, but
00:30:32.220
no votes today. So they pulled no more votes. At least they pulled it for today. Yes. That
00:30:36.720
means, you know, unless they voted tomorrow morning early and get a Senate, there's not
00:30:41.560
I think this thing's going to shut down. So there I think some people are going to be
00:30:44.640
here for Christmas. I don't think this thing's going away anytime soon. We'll drill more into
00:30:50.140
that into the next hour. Dave Brat's going to join us live. I want to go now to Philip
00:30:54.620
Patrick of Birch Gold. Philip, the president just tossed kind of a, I don't know, kind of
00:30:59.640
a bombshell into this. He wants to deal with the debt ceiling now in a CR. What is your
00:31:06.120
thought? You had the Federal Reserve did another cut. We advised Powell on War Room not to do
00:31:14.380
that. I think he also implied no cuts for next year or maybe nothing for 2025. I don't
00:31:20.540
know if that's the chop block Trump. Markets are in total turbulence. I think it's seven
00:31:25.100
or eight days in a row, which is, I think, a record from, you know, 30 or 40 years ago
00:31:29.340
for the Dow without with even a dead cat bounce. It's probably a pretty good time, Philip, besides
00:31:36.240
the macro you're going to give us. I think the audience for Christmas and for ease of mind,
00:31:41.740
just contact Birch Gold and talk to Philip and the team about various alternatives. And
00:31:46.960
quite frankly, why gold has been a hedge against financial times of financial turbulence for
00:31:53.120
five to 10,000 years. I mean, gold's been on a roll like nobody's business for the last
00:31:57.420
couple of years, but that's traditionally, as you know, Philip, gold doesn't really traditionally
00:32:01.300
move like that. It's a, it's a store of value instead of like a hot running stock, but it's
00:32:07.340
performed like a hot running stock. Your thoughts as we sit here on this Wednesday afternoon in mid
00:32:13.200
December, close to the end of the year, Philip Patrick. It's, it's, it's interesting times to
00:32:19.940
say the least. As you say, gold is, is on a tear. It has been for the last number of years, certainly
00:32:25.560
through Biden's administration, but really started to change at the turn of the century. The gold since
00:32:31.160
the turn of the century has outperformed a lot of other asset classes and it's tied into money
00:32:36.220
supply, right? We've seen what the administration has done over the last four years, but we started
00:32:41.580
massively increasing the money supply towards the turn of the century. There is a direct
00:32:46.400
correlation between growth in the money supply and growth in precious metals. Put that into the
00:32:51.520
context of the last four and eight years or four years really respectively. And I think it tells you
00:32:57.180
where things are heading. Things are, as you say, shaking up in the economy. The Federal Reserve cut
00:33:02.980
interest rates today. Yet, despite that, they released a new dot plot forecast suggesting higher
00:33:09.540
for longer. The interesting part was the neutral interest rate or R star rate, which in 2023 was
00:33:17.140
one and a half percent. They've now moved it to three percent for the foreseeable future. It's going to be
00:33:23.000
working against Trump's economic plan. Ultimately, he's a supply side guy. He's looking to grow the
00:33:29.160
economy next year. That's going to make it a little bit tougher. It also is going to put a highlight
00:33:35.500
on deficits and, of course, debt service, which is already at unmanageable levels in a higher interest
00:33:43.440
rate environment. That's going to become more urgent for the administration to try and deal with. So just
00:33:48.900
more and more problems for President Trump to be dealing with come January 20th.
00:33:53.600
I gave the speech on Sunday night about talking about the bond market and how of all the problems
00:34:01.860
he has in crises, he's stepping into the beginning stage, the kinetic part of the third world war.
00:34:07.600
He's working on plans to seal the border and begin to commence the mass deportations of 12 to 15
00:34:13.380
million folks. But it's really that third, the economy, the debt ceiling, all of it for the bond
00:34:18.660
market. The bond market has been a little choppy. This is what my concern is, is that
00:34:22.840
it's turfed out the government of France. It's essentially turfed out the government of
00:34:27.160
Germany. It turfed out a while ago, the government of England is crushing the current government.
00:34:33.140
It's just turfed out the Canadians. It turfed out Biden, you know, because of the inflation.
00:34:40.960
Give me your sense of the bond market, how are they responding, particularly to President Trump's
00:34:45.260
plan? Because all you hear, and this is why I didn't like the rate cut, you hear people always
00:34:48.720
plan so inflationary. What's he want to do on tariffs is inflationary. What's he wants to do
00:34:53.180
on sending the migrants, the illegal migrants home is inflationary. What's your sense of the bond
00:34:59.180
market right now? It's interesting. And I think this is the thing to watch. Look, I believe in
00:35:05.560
Trump's economic plan because supply side growth boom is literally the only way out of it. We're at a
00:35:11.700
point where austerity is not going to do it. Now, Trump's plan focuses on deregulation, innovation,
00:35:18.100
productivity, growth. The problem is there's not something you can legislate, right? The best you
00:35:23.100
can do is create the conditions, create a healthy economic environment. And that's not cheap to do,
00:35:29.120
right? It's going to involve some spending. But here's the issue as I see it. And this is,
00:35:33.840
I think, the battle that President Trump is facing. The U.S. today is about 25 percent of the
00:35:39.540
world's GDP, right? Yet, by the way, nothing to sneeze at with the world's largest economy,
00:35:44.920
yet we already have 60 percent of the world's capital investment, right? What that means is
00:35:50.160
the world is already heavily invested in American economic growth. Here's the problem. Trump's
00:35:57.680
economic plan is a huge gamble, right? The one thing we know about borrowing to boost the economy
00:36:02.580
is creditors don't care how you spend that money, whether it's building bridges or wasting it on
00:36:08.700
hydrogen factories in the Nevada desert. They're going to want their money back. The big question
00:36:14.980
is, are investors going to continue to pay the bill? Are they going to line up and finance Trump's
00:36:21.400
economic agenda? Early signs are concerning. PIMCO, obviously, I think now the second largest bond
00:36:28.880
manager in the world, they've said they're concerned about the sustainability longer term of the United
00:36:34.760
States, citing inflation and just general fiscal sustainability. Now, Trump has a plan for fiscal
00:36:42.160
sustainability. But as you and I know, it's a long term plan. So the question is, in the meantime,
00:36:47.860
are they going to start taking those trillions of dollars and looking for opportunities elsewhere?
00:36:53.880
If they do, there's not much President Trump can do about it. Debt costs will skyrocket and it'll
00:37:00.560
force the position. So there's a big gamble here. There isn't a better man to have at the plate than
00:37:06.760
President Trump. But people have to understand the task in front of him. Yes. This is why I say the
00:37:13.460
bond market is everything. There was a discussion last week, Zero Hedge picked it up and other people
00:37:19.600
that if you look 400 days in the future, which would be the anniversary of the first year of President
00:37:25.580
Trump's second term, his third victory, but second term, and that traditionally is one in second
00:37:30.980
terms, when people get most of their work done, there'll be $40 trillion face amount on the balance
00:37:37.620
sheet. And that is, you know, at that time, increasing by a trillion dollars every 100 days.
00:37:47.240
It's not sustainable at all. And that's what I'm trying to stress. The gamble here is significant,
00:37:56.700
right? We're hoping that GDP growth will outpace debt growth. But that's a tough task. Since the
00:38:02.480
1970s, debt has averaged 8.5% of growth a year. GDP has averaged 3%, right? Like I said, we're already
00:38:10.960
a mature economy. It's going to be a tough thing. I'm very excited for Trump's plan. Tax cuts will help
00:38:18.540
to boost the economy. But we're going to have to make up for that loss in revenue. I think Doge can
00:38:24.060
do it. I think tariffs can do it. But they're not going to stop deficit spending. We need to spend
00:38:29.400
more productively. And we need to start seeing the effects of that spending quickly. But it's a tough,
00:38:35.020
tough, tough task. Look, I have a lot of faith in President Trump. But I'm diversifying
00:38:40.780
myself. I have faith in the American people. The American economy is my big concern today.
00:38:46.920
PIMCO are diversifying, and I'm diversifying as well. And I think everybody else should be looking
00:38:52.360
at it. It doesn't mean we're betting against the U.S. We're just being prudent and making sure we're
00:38:57.940
hedging those bets. Well, somebody else is diversifying. They had a story in Zero Hedge about
00:39:06.220
Goldman Sachs has now come out and has said, and I'm not, I don't quite totally understand the
00:39:11.700
calculation. But their reporting is that the Chinese, the Central Bank of China and the Chinese
00:39:18.020
government may have purchased three times more of gold than has been calculated. And you and I talk
00:39:24.540
about record purchases from India, from Russia, from the Saudis, from sub-Saharan Africa, and from the
00:39:31.560
Chinese particularly. Do you have any insights on that? Is that close to being true?
00:39:37.700
Yeah, China are purchasing huge amount. Unofficial purchases, though, not by the People's Bank of
00:39:44.900
China. The thing about China, they have government entities and they purchase through. But understanding
00:39:51.340
what's happening coming out of China is tough to do. Something else that's very specific about the
00:39:56.660
Chinese, they don't allow any exporting of domestically mined gold. So they have their
00:40:01.640
national interests at heart. But we're seeing central governments around the world setting
00:40:07.560
records for gold buying. You mentioned India, but there are others as well. The BRICS have been driving
00:40:13.680
gold buying in an attempt to de-dollarize. Look, at the end of the day, when you have a debt problem on a
00:40:20.080
global scale, gold is what central banks turn to, to shore up balance sheets. And they're doing it
00:40:31.060
Do you see other, I mean, the Canada got blown up last night, England about a year ago. The French,
00:40:37.980
they just put a new moderate in. Germany is called for early elections. You could argue the US,
00:40:44.880
your sense. Other governments are going to fall because of their mishandling of their own
00:40:55.060
We're saying the same issue repeat itself around the world. And I think it's well-timed that we're
00:41:00.840
coming out with the sixth installment of the end of the Dollar Empire series, which talks about modern
00:41:07.200
monetary theory, which I think largely is responsible for the problems we're seeing around the globe.
00:41:12.840
But the situation we're in, it reminds me of a quote I saw from Henry Kissinger. It said,
00:41:18.180
I think Trump may be one of those figures in history who appears from time to time to mark the
00:41:24.600
end of an era and to force it to give up its old pretenses. And I think what's clear is the 80-year
00:41:30.880
post-war era of debt-fueled prosperity is over. Trump is the herald. He's ushering in a new age,
00:41:38.040
and we're going to have to see how it shapes out. But I think we'll continue to see volatility.
00:41:42.940
We'll see squeezes on other foreign governments. It's going to get interesting next year. I just hope
00:41:48.340
we come out of it unscathed or intact, I should say.
00:41:52.020
How do people get our new combined work, the modern monetary theory, the idea that broke the world?
00:41:59.940
Very simple. Birchgold.com forward slash Bannon. Birchgold.com forward slash Bannon. They can get
00:42:09.000
the first five in the series. The sixth, I think, will be ready early next week. So Birchgold.com
00:42:16.460
forward slash Bannon. That'll get them access to the end of the dollar series, as well as information
00:42:22.000
on how and why to invest in precious metals. We also have a guide on how to invest in precious
00:42:28.760
metals under a Trump administration, which really talks about the challenges that President Trump's
00:42:34.080
facing in his second term. So Birchgold.com forward slash Bannon. That simple.
00:42:41.100
Remember, if you've got a phone, it's Bannon. Text Bannon at 989898. You get all about the IRAs,
00:42:46.520
401ks, all the information, totally free from the team at Birchgold, and now more than ever,
00:42:53.000
particularly if we add the debt ceiling in there.
00:42:54.600
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00:44:25.380
Okay, we're jumping out of here. You've got to say goodbye. We're going to see you later. We're heading out to AmFest
00:44:31.140
with a whole crew of folks. It's exciting. Any closing thoughts? I'm going to be here for the first
00:44:35.240
part of the next show because I've got to pivot. It's the 80th anniversary of the beginning of the
00:44:40.280
Battle of the Bulge. Patrick O'Donnell is going to join me. Also, Tej Gill. And we're going to talk
00:44:45.780
about Ukraine. Got to talk about my favorite topic, Ukraine. Just absolute mess over there. Just very,
00:44:50.840
very, very bad. And Ben Harnwell's got some great reporting from Rome. Any closing observations? I guess
00:44:56.520
we live to fight another day on this. My closing observation is that you don't call them Polly
00:45:00.360
Pockets anymore. I did. I did. I think I did today a couple of times. I did. It slipped out. I
00:45:05.620
shouldn't. There's no need to make this personal, although I do quickly. It's just this has to
00:45:10.920
change. We can't because these are the easy ones. This is so easy. This is a baby stop. This is the
00:45:16.000
opening act. Opening. But even opening act sometimes. Right. This should be. This is the crew coming to make
00:45:21.580
sure the sound system works. Exactly. This is so easy. And folks, the like even throwing the debt
00:45:26.960
ceiling in there, the debt ceiling is that's complicated. Right. So and that's just one
00:45:33.220
complication of 100. I spent a lot of time in New York over the weekend with a lot of finance people
00:45:38.040
kind of walking through how everything has to converge. President Trump can do this. He's unleashed
00:45:43.520
the animal spirit. You see the people much more saying, yes, this economy is coming back. But
00:45:48.300
we have big structural issues. And of course, capital markets that the bond market where
00:45:54.320
we're going to finance all this could turn against us. So President Trump's got his work.
00:45:58.400
The only guy in the world can pull this off is Donald Trump. So we got to have his back
00:46:02.920
just that it's going to this one's easy. Johnson blew it. It's just disgraceful.
00:46:07.300
The pay raise to cap it off. Unbelievable. Natalie Winters. Thank you so much. We'll we'll see
00:46:12.820
you. We're going to be live at AmFest tomorrow. AmFest.com. Put in War Room and you get
00:46:17.840
a 25 percent discount. Anybody in the area, come on down. We're going to absolute, absolute
00:46:22.220
blast. The cash Patel cash is getting rave reviews on Capitol Hill today. We haven't shown
00:46:29.420
you, but CNN and particularly MSNBC, they're not covering what we're covering at all. They're
00:46:35.660
literally talking about Liz Cheney, President Trump, you know, Latimer came out with a with
00:46:40.920
a criminal referral, I guess, over to the FBI for her for activities on the J6 committee
00:46:45.360
and and and other things going on. This is the new fascism, the rise of the new fascism,
00:46:51.100
et cetera, et cetera, et cetera. They're they're maniacally focused on that.
00:46:55.220
Cash Patel's movie, because they're all over cash now, is going to the FBI.
00:46:59.780
Government gangsters go to warroom.film. Very proud that we're going to be making some
00:47:04.120
announcements over the Christmas holidays, I believe, about a much more aggressive program
00:47:09.180
on both our books, which we're really excited how great the publishing arm has gone and
00:47:14.020
and also films with Cash Patel's warroom.film. Go there today, download it, share it, talk
00:47:21.980
about it over the holidays. You really walk through Cash's thinking when he talks about
00:47:27.340
the deep state in the administrative state. And he is, but Senator Tuberville told us today,
00:47:32.360
Pete Hex has been great in the room. Pam Bondi's been great in the room. Bobby Kennedy's been
00:47:37.840
great in the room. Cash Patel's been great in the room and the others that they've seen. They're
00:47:42.080
coming very well prepared and kind of on point. Mike Lindell joins us. Mike, we're running up now
00:47:48.180
to the Christmas holidays. People want to know what can they do to get their gifts from my pillow,
00:47:56.520
sir? Well, first of all, everybody, I'm going to miss you at AmFest because I've been here
00:48:01.340
busiest time of the year and and but I'm there in spirit. And this is the last night you
00:48:07.700
guys. There is a shipping option available. You can still get them, but they have to be
00:48:12.340
ordered now. You can still get them by Christmas. So I would do that for the warroom posse. And
00:48:17.840
so check it out. There's different shipping options available. And if you want them two
00:48:22.400
day or whatever, it's different, different pay things. And once we still have the free
00:48:26.580
shipping available, but that will not get you there by Christmas. That's it. And the order
00:48:30.880
is over 75. So there's a lot of different options available. One thing I did do is I put
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left everything on sale for you that was exclusive to the warroom posse. This is a once a year
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exclusive. We're doing keys of dream sheets, 69.98, 70, 98, 98 for the king. We have all
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the other sizes, all the colors. This is the, this is my favorite product. This is you. You've
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never slept on sheets like this. They make the best gifts ever to promo code war room. Go
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to the website, you guys, and go down to you. See our great leader, Steve there, click on
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them. And here it is. All of the specials are still up. Get yourself a Christmas present,
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a bed, a new bed, 50% off, $100, 50% off plus another $100 for the warroom posse. A mattress
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topper, you know, you're going to need great rest over, over the, over the next few weeks and
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going in, feeling great going into the new year, but all the sleepwear that came in up
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to 80% off. These are war room exclusives. They're all still up there. And we still remember
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we still have that there. It's at least one shipping option to get there by Christmas.
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So take advantage of that tonight. This is it. You guys, 800-873-1062 and tell them that
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you got promo code war room. My operators love the war room posse. I've been spending the last
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four days here in Minnesota. I'm going to spend the rest of the week here. And you guys
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made it possible that we're getting through the biggest attack that a company could ever
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take this year. And we thank the war room posse. So it's a win, win, win, Steve. And, and
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you guys, but Christmas guarantee goes to March 1st of 2025. So get those presents now.
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Fantastic. Mike, we'll see you tomorrow morning. We'll be live from Amfest and you'll be on the
00:50:18.440
factory floor. So we'll, we'll, we'll hook you in and you'll get to meet all the posse
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Warpath.coffee. Go check that. Tej Gill. Tej Gill will be up in the next segment. The
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coffee best ever made. Also Sacred Human Health. Got my grass fed beef livers. So much more.
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Just go to the site Warpath or SacredHumanHealth.com. Go check that out today.
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Got immunity products. You've got, you've got the grass fed beef liver, magnesium, D3, all
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of it. Also, don't forget, particularly for the holiday season, National Pulse. Go to
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NationalPulse.com. Rahim and the team putting up great news 24-7. Kind of the, it's a war room
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posse's site. Plus the, the long term followers of Rahim Kassam, which are many. His, his amazing
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analysis and reporting. Rahim's going to be in Amfest with us. He'll be on the show all three
00:51:21.440
days that we're out there. Look forward to it. Next, we're going to take a short commercial break.
00:51:25.820
Stick around. I've got Patrick K. O'Donnell. Patrick K. O'Donnell. He of the, being a combat historian,
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I wanted to make sure that we kicked off really the commemoration of the Battle of
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the Bulge. Kind of walk you through it. He'll join us. Taze Gill is going to give you his
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sense of that battle. And then I got Ben Harnwell. I got to talk about the Ukraine. A lot
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of, a lot of stuff going on in Ukraine. Particularly people are trying to get, they're trying to
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get President Trump and trying to suck him in the things that we don't want to get sucked
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into. You're going to see it all about these security guarantees, more money, all of it
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in the Ukraine. Short commercial break. Also, Dave Bratt is going to join me. From the Book
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of Revelations, when the man comes around, he's going to take us out for this hour. Back in a moment.
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sacredhumanhealth.com. And cheers to your health.
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700,000 Americans every year. Yes, heart disease is the number one killer every year, year in and year
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