Trump Taps Elon Musk and Vivek for DOGE!!! [Government Efficiency]
FULL TRANSCRIPT
wow so Donald Trump just announced that
VI and Elon Musk are going to be on the
department of governmental efficiency
Department I don't in other words Doge
uh Donald Trump calls this the Manhattan
Project of our age which is a throwback
to the development of the atomic bomb
remember the two bombs that were dropped
on Japan Hiroshima and Nagasaki this
this is basically Donald Trump saying
this is a
groundbreaking Century blockbusting
change of government function now
personally I get it we all look we're
like ah government really
efficient I'm going to separate
government efficiencies and
inefficiencies and our opinions about
government efficiencies and what we
think about uh you know uh the DMV and
all that for a moment and and I'm going
to go from a different angle I'm going
to go from the onist angle just for a
moment let's say if we have a$ 6.5
trillion budget as Donald Trump has
referenced here over 10 years that means
our government is spending $60
trillion let's now say that Viv and Elon
recommend which they can recommend a lot
of things and they probably will that
doesn't mean that Donald Trump is going
to implement all of those things it's
just sort of advisory role it's a title
it gets you you know reputation within
the white house within government it's
cool but let's say they're able to
eliminate 10% I think they'll probably
try to recommend a whole lot more
they'll probably over the next 10 years
out of a 60 and a half and the budget
will go up too right at the end of 10
years you'll probably be at like a
hundred trillion dollar total budget
which is crazy for 10 years crazy to
think about that uh that's 6 and a half
per year times 10 with a lot of growth
it just keeps going so think about that
for a moment let's say they eliminate
10% of that total just to make it easy
10
Trill not all of that is going to be
labor usually our payroll costs when we
think about Contracting are going to be
about 50% for labor 50% for material
this is how you know I'm in real estate
okay how much is that paint paint job
going to
cost 3,000 bucks in paint call it 3K in
labor add some Biden inflation in there
all right maybe 4K labor all right fine
so in that case you're talking about
cutting $5 trillion of
labor now the velocity of money not of
savings not of stock Investments but the
velocity of money of income that people
receive assuming let's say everybody
that is getting cut works and
unfortunately lives paycheck to
paycheck that means 50% or5 trillion
getting cut over a 10year period times a
velocity of money of four means we are
cutting about $2 trillion 5 Time 4
that's because every dollar somebody
earns and spends is worth about five to
$45 of GDP in the economy right you
spend a dollar you spend it on a hot dog
that person goes and buys the material
that person hires people they spend
money right that's the velocity cycle
anyway if again 10 100 trillion over 10
years you cut half of it uh or half of
10% of it that's 5 Trill velocity of
money times 4 that means cutting the
effective GDP impact of about 20
trillion over a 10-year period that is
the equivalent of cutting one full year
of GDP out of the economy now the thesis
is if the government runs leaner and
this is where it gets confusing and then
I got to go bowling you can actually
step out for a second if you don't mind
here Lauren you want to come on
out all
right take a look by the way at this
awesome wrap we've got here we got the
beautiful beautiful matte black wrap uh
look at this it is so
sweet love this really like this a lot
but anyway think about this oh it's so
awesome uh Lauren would you mind paying
the little terminal here so think about
this for a moment
if you cut one year of GDP out you're
guaranteeing a recession unless of
course you offset that via a lot of tax
cuts because now the government needs to
take in less money and why did that open
I don't know why that open oh it's like
it's got like the little Auto sensor
that thinks I wanted open okay Elon
anyway if you can now offset that by
collect ing that much less money in
taxes and people spend the money that
they're saving in taxes then you can
keep the economy going
so it could work and my whole point of
this is to say there are two things you
have to consider here it's not just
cutting but it's what happens after
those cuts are you cutting and then
reducing your taxes or are you taking
that money and then just paying off
government debt now I'm not saying
paying off government debt is a bad idea
you could do that but that would be a
lot more recessionary than cutting taxes
so best case scenario you if you cut you
cut you lower taxes now businesses are
hopefully incentivized to hire people
who are late off because cutting $5
trillion of Labor over 10 years is going
to affect a lot of jobs I mean think
about it
10% of potential federal government
workers that's a lot I mean we've
already heard they might consider
getting rid of the Department of
Education Donald Trump's fluctuated on
this one because he's had some ideas
around okay well if we get rid of the
Department of Education some states are
still going to need help some states are
better at education than others
California by the way highest tax rates
next to Manhattan in the country yet
we're in the bottom 20% of schools
schools need a lot of help uh that's why
when I ran for governor I ran on the
idea of uh you know the premise the plan
of what we call F fut schools trade
schools Tech skills a lot of financial
education our school
anyway so what ends up coming out of
this plan is going to be or this sort of
Doge if you will is going to be really
interesting because it needs to be
comprehensive it's not just all right
kill the FBI and kill the doe fine who's
going to pick it up how are we going to
establish something better you can't
just as they said with Healthcare you
can't just repeal you have to repeal and
replace so how are you going to do that
with the doe do you then just provide
more funding to the States but then are
states just taking that money and then
hiring the same government workers that
you had hired and then you really didn't
save any money because now you're
potentially at a federal level giving
more of that money to States and it's
still in the hands of government really
you really haven't changed anything so
there are a lot of questions here but I
will say if there's anybody who knows
how to cut it's Elon Musk because we saw
what he did at Twitter everybody said
Twitter was going to die and crash he
cut 80% of the staff yeah he had to hire
some people back which it's a little
embarrassing but but gr schema thinks he
did it he pulled it off so good for him
like awesome he is he was he riding a
ship but the platform is pretty dang
good I mean obviously it's tilted a
little to the right but dang it's it's a
pretty good platform I like it and and I
support it where I pay for the little
yellow check mark like 1,000 or 1100
bucks or whatever it is a month mostly
just because I want to support Elon I
want to be there for this cause I'm a
fan of free speech I'm a
Believer and then VI you know he took
real vant public and uh I think he's a
great salesperson I'm not the biggest
fan of you know how they they uh I can't
remember what the drug was but we did a
whole video breaking down how they
basically took a drug that was a failure
repackaged the marketing they kind of
knew it was going to S fail uh and and
ipoed it uh and then a lot of people
cost a lot of money in that so I'm not
wasn't the biggest fan of that we have a
separate video on that but I think he's
a very intelligent person obviously
speaks very eloquently and I I think him
and Elon
together I think they're going to do
great work and I'm really excited to see
what the recommendation is but not just
where the cuts and that's the hard part
about this you can't just come in and
say cut cut cut cut cut you got to also
say all right are we now going to offset
that by lowering taxes grants to state
governments where's that the devil's
going to be in the details on this one
but very interesting so I have to say
like if I had to put a little emotion on
this I'd say um you know feeling
optimistic and kind of excited to see
what happens I'll I'll put it that way
anyway uh if any of this gets you
excited uh make sure you sign up for the
free Alpha report meet kevin.com Alpha
every morning at 6:15 in the morning in
your text in your email we'll see you
there tomorrow at 6:15 that'll be after
CPI comes out so it'll be entertaining
see you bye
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