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Unleash Prosperity Hotline
Issue #1202
02/13/2025
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1) The Inflation Dragon Rears Its Ugly Head Again
We hate to say we told you so, but yesterday's inflation report was worse than the common headline that the rate nudged up to 3%. The media buried the lede. The headline should have been that for the month, prices were up on an annualized basis by closer to 6%.
For the past three months, on the heels of the last Fed rate cut, it's up 4.5%. So much for the Biden narrative that he left Trump a strong economy, when the government is on a path to another $2 trillion overspending deficit.
That's a long way from the Fed's 2% target.
We saw this coming from a mile away by monitoring the CRB commodities index. Here it is again, over the past six months.
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Trump and investors want another Fed rate cut, but we are highly skeptical. How can the Fed pump more money into the economy when inflation is running double its target?
Trump's growth agenda is over the long term deflationary not inflationary. But nothing could more abruptly end the magic carpet ride he's on right now with voters, than rising prices.
Cut taxes and spending as quickly as possible.
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2) We Won't Be Fooled Again
The House Budget Committee will mark up a budget resolution ([link removed]) today that includes the Trump tax cut extension. This is in sharp contrast to the Senate version that includes zero tax cuts under that body's dangerous plan to scrap the Trump "one big beautiful bill" strategy and punt the tax issue until later in the year.
Kudos to House Republicans for moving quickly on tax cuts. But they are foolishly tethering themselves to an absurdly wrong Congressional Budget Office score that says making the Trump tax cuts permanent will cost more than $4 trillion. These are the same math geniuses who told us in 2017 that the Trump tax cuts would COST $2 trillion, when by the end of 2024, revenues are HIGHER than if we hadn't passed the tax cut at all.
Time for the GOP to start singing the lyric from the classic '60s song by The Who: "We won't get fooled again." Or maybe it should be "We won't be FOOLS again."
We are told there is no law forcing Republicans to use the crooked scores of the CBO. It's time to use real-world scoring that takes account of the explosive growth of the economy from Trump's lower taxes and aggressive deregulation agenda.
And if anything needs to be paid for, repeal every word of the Biden Inflation Acceleration Act boondoggle - which needs to be restored to reflect its rapidly escalating costs, which Cato now pegs ([link removed]) at up to $4.6 trillion.
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3) Money Laundering Scheme of the Century
While we are on the topic of cutting the $7 trillion budget, our jaws are still fallen to the floor on the audacity of this Biden money-laundering scam, reported by the New York Post. It reinforces what we have said for four years, which is that all of Biden’s trillions of dollars of “stimulus” bills were really designed to “stimulate” the bank accounts of the shadow government of progressive groups and climate fanatics.
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EPA Administrator Lee Zeldin announced Wednesday that he’s found $20 billion in taxpayer money that the Biden administration “parked” at a financial institution — in an apparent effort to hide the dollars. “This scheme was the first of its kind in EPA history, and it was purposefully designed to obligate all of the money in a rush job with reduced oversight.”
Incidentally, $20 billion is like 200 Heritage Foundations! Claw this money back, Mr. President.
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4) JD Vance Takes Down the Globalists
This week, Vice President JD Vance told the CEOs and heads of state at the French-hosted summit on Artificial Intelligence that proposed regulations on it "could kill a transformative industry." He heroically defended America's tech prowess against the marauders in Europe and China.
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We were thrilled that the Trump administration chose not to sign the summit's final statement that supported more regulation of AI and even convinced Britain to join us in saying "no."
Vance also took direct aim at the EU's new Digital Service Act, by declaring it could lead to "authoritarian censorship".
Matt Taibbi, a former editor of The Rolling Stone who exposed Biden's White House efforts to censor COVID news, told a Congressional committee yesterday ([link removed]) : "The EU's new Digital Services Act is the most comprehensive censorship law ever instituted in a democratic society."
It would require online platforms to monitor, moderate, and remove content European bureaucrats deem hate speech, disinformation, and other forms of "harmful" content.
Fortunately, free speech has a new powerful ally in the White House.
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5) Magatte Wade Drops Truth Bomb on Top House Judiciary Democrat Jamie Raskin
My name is Magatte Wade. I'm a Senegalese-American entrepreneur. I've been living in the US since 1998, and I became a US citizen in 2018. I'm also an author of The Heart of a Cheetah, a book that talks about African entrepreneurship and prosperity.
Mr. Raskin, your words earlier really, really worried me, and I will tell you why. When you say we are here... to talk about Mr. Elon Musk and all the 'unconstitutional' things that he's doing, and you said we shouldn't be here to talk about regulation or anything like that. First of all, I want to say, then why did you have me here? As an entrepreneur, my time is valuable....
My continent, Africa, is the poorest region in the world today because it happens to be the most overregulated region in the world... if you need and want to wait until this country becomes like most African countries, I don't know. I love this country and I don't want to see it go down there. Also, just so you know, what does overregulation mean for regular people? It means death, death, literally. People are packing themselves into little fishermen's boats, trying to leave nations that are overregulated.
Watch the video by clicking below:
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6) Cutting the Fat
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