ONE OF THE MAIN ARGUMENTS FOR
GIANT TAX CUTS FOR THE WEALTHY UNDER THE TRUMP TAX
PLAN AND THE REPUBLICAN TAX PLAN WAS HEY, IF WE GIVE THESE
MASSIVE CORPORATIONS A MAX OF TAX CUT AND IT IS LIKELY THAT
THEY WILL CREATE MORE JOBS AND COMPANIES LIKE
HARLEY-DAVIDSON WERE VERY MUCH IN FAVOR OF THOSE TAX CUTS
SO WHAT HAPPENED? DID HARLEY-DAVIDSON CREATE NEW
JOBS? NO. WE HAVE TO BRING JOBS BACK IN
THAILAND, THEY ARE NOT STRONG ENOUGH. THE TRUMPET ABOUT THE? I KNOW HE WANTS TO BRING
JOBS BACK TO CHINA, HE LITERALLY TWEETED
THAT BECAUSE OF A CORRUPT BUSINESS DEAL HE HAS WITH ZTE,
SO MAYBE HE IS THRILLED THEY’RE BRINGING JOBS TO
THAILAND RATHER THAN THE US. I DON’T THINK ANYONE WHO
IS PAYING ATTENTION IS SURPRISED BY THIS WHICH IS ONE
OF THE REASONS WHY THE TAX PLAN HAD SUCH A LOW APPROVAL
RATING BUT IT DOES NOT MATTER. WHEN IT COMES TO TRUMP SPACE,
THEY WILL STILL SUPPORT IT. THEY WILL STILL SUPPORT THE
REPUBLICANS THAT VOTED IN FAVOR OF THESE TAX CUTS. BY THE WAY, TAX CUTS HAPPENED. LOOPHOLES CLOSING DID NOT
HAPPEN. THOSE LOOPHOLES ARE STILL THERE
AND THEY ARE STILL TAKING ADVANTAGE OF THEM. LET ME GIVE YOU MORE DETAILS
INTO WHAT HARLEY-DAVIDSON IS CURRENTLY DOING. SOME OF THE JOBS WENT OTHER
PLACES THAT’S WHY THERE IS A NET LOSS OF 350 JOBS. PEOPLE KEEP TALKING ABOUT HOW
THE ECONOMY IS BOOMING UNDER TRUMPET AND IT DRIVES ME CRAZY. YES, THE UNEMPLOYMENT RATE IS
LOW, BUT WE NEVER TALK ABOUT THE QUALITY OF THOSE JOBS. WE NEVER HAVE DISCUSSIONS ABOUT
UNDEREMPLOYMENT OR ABOUT HOW AMERICANS HAVE MORE DEBT
TODAY THAN THEY DID BEFORE 2008. WE NEVER TALK ABOUT THAT BUT
THAN THE OTHER ISSUE IS LOOK AT THE STOCK MARKET, IT IS
DOING SO WELL. NO, THE STOCK MARKET IS DOING
WELL BECAUSE HOMEBOYS ARE JUST INVESTING INTO THEIR OWN
COMPANIES, BUYING THEIR OWN STOCKS WITH THE MASSIVE TAX CUTS
THAT THEY RECEIVED. IF YOU DON’T KNOW THE
INNER WORKINGS OF A STOCK BUYBACK, LET ME BREAK IT DOWN
FOR YOU SUPER SIMPLY. THE COMPANY NOW HAS A TON OF
EXTRA CASH BECAUSE THEY GOT THIS TAX CUT. FOR A LOT OF THEM IT’S BILLIONS
OF DOLLARS. ONE THING THEY COULD DO WITH
THAT IS REINVEST THE MONEY AND CREATE NEW PLANTS IN
AMERICA. THEY HAVE CHOSEN LARGELY TO NOT
DO THAT. ANOTHER THING THEY COULD DO IS
GIVE INCREASED WAGES TO THEIR WORKERS. THEY COULD EVEN CUT PRICES FOR
YOU GUYS. THEY HAVE CHART CHOSEN LARGELY
TO NOT DO THAT. A COUPLE OF MARKETING PLACE,
WE’RE GIVING $1000 BONUSES, NOT THE MOST OF OUR
EMPLOYEES AND A VERY FEW NUMBER OF COMPANIES AND ACTUALLY, WE
ARE GOING TO MARK THOSE DOWN. BUT IT WAS A SHINY OBJECT IN
THE PRESS FELL FOR IT HOOK, LINE, AND SINKER. OVERALL, DIDN’T NOTICEABLY MOVE
UP WAGES? NO, DID NOT. WHAT DID THEY DO? EXACTLY WHAT WE PREDICTED ON THE
YOUNG TURKS THAT THEY WOULD DO. 280 INVESTIGATES HAS BEEN ALL
OVER THE STORY AND THEY REPORTED AHEAD OF TIME AND DURING THAT
THE COMPANIES DID NOT PLAN TO DO ANYTHING BUT PREDOMINANTLY USE
THE STOCK BUYBACK. WHAT HAPPENS THERE? THEY HAVE THIS BAD MONEY. THEY DID NOT REINVEST OR GIVE IT
TO YOU. THEY SAY I WILL USE THE MONEY TO
BUY BACK MY OWN STOCK SO IT IS TRADING AT, LET’S MAKE UP
NUMBERS. IT IS TRADING AT $10. I AM GOING TO BUY IT AND, WHEN
I BUY IT I INCREASED THE DEMAND FOR IT SO THE PRICE IS
GOING TO GO UP. IT IS NOW $12. THE COMPANY OWNS MORE OF ITS OWN
STOCK BUT WAIT A MINUTE, WHY ARE THEY DOING THAT? REINVESTING COULD ACTUALLY GROW
YOUR COMPANY. WHY DID YOU ACTUALLY DO THIS
FINANCIAL TRICK INSIDE? BECAUSE THE EXECUTIVES
OWN A LOT OF STOCK SO WHEN THE STOCK PRICE GOES FROM 10 TO 12,
THEY JUST MADE A KILLING. ALL THEIR OPTIONS AND
BONUSES WENT UP BY 20% SO SOME OF THE WORKERS DID GET
THE MONEY. IT WAS THE EXECUTIVES AT THE
VERY, VERY TOP. BECAUSE THE MONEY THAT THEY
ALREADY HAD AND RIGGING PAID IN THE FORM OF BONUSES FOR
INSTANCE WAS NOT ENOUGH. THERE SET GIANT SALARIES WEREN’T
ENOUGH. THEY HAD TO THE STOCK BUYBACKS
AND ALSO, JUST GOING BACK TO MY POINT ABOUT HOW THE
ECONOMY, IT IS ALL A LIE. IS NOT REALLY DOING AS WELL AS
PEOPLE THINK IT IS OR AT LEAST THAT PEOPLE OF BEEN
TRICKED INTO THINKING IT IS. ANOTHER ISSUE IS WHAT NAOMI
PRINCE TALKED ABOUT OUR SHOWS. THEY DO STOCK BUYBACKS WITH THIS
CHEAP MONEY THAT THE FED KEEPS PRINTING OUT FOR THEM. THEY ARE SUPPOSED ALONE THAT
MONEY TO SMALL BUSINESSES BUT THAT IS NOT WITH THE BANKS
DO. THEY SPEND MORE OF THEIR STOCK. IT IS HAPPENING LEFT AND RIGHT. NO ONE IS HONEST ABOUT IT. I SAW THIS SEGMENT WITH
STEPHANIE RULE WHERE SHE IS TALKING ABOUT WE HAVE TO CALL IT
LIKE IT IS, THE ECONOMY IS DOING WONDERFULLY UNDER TRUMPET
.RU NOTHING ATTENTION? BY THE WAY, ONE OTHER PART THAT
IS IMPORTANT IS WHEN THEY DO THE STOCK BUYBACKS AND STOCK
GOES UP, IT IS ARTIFICIAL. IT IS NOT GOING UP BECAUSE
THEY’RE SELLING MORE PRODUCTS OR THAT THEY EVEN HAVE
A HIGHER PROFIT MARGIN. IT IS ONLY GOING BACK UP
BECAUSE THEY ARE BUYING MORE OF THEIR OWN STOCK AND WHAT
HAPPENS WHEN YOU ARTIFICIALLY INFLATE THE MARKET? IT CRASHES. SO ONE FINAL KNOW HERE IN
HARLEY-DAVIDSON. THIS IS THE COMPANY THAT THEY
MOST TO BRAG ABOUT. AN AMERICAN COMPANY. PAUL RYAN, EVEN WHEN THEY
ANNOUNCED IT, THE TAX CUTS FOR THE RICH SAID: WRONG. THEY JUST GOT ON A MOTORCYCLE
AND DROVE THOSE RIGHT TO THAILAND. THOSE JOBS ARE GONE BUT
THAILAND, CONGRATULATIONS, YOU ARE GOING TO GET MORE JOBS
AND EXECUTIVES. CONGRATULATIONS, YOU’RE GOING TO
MAKE A LOT MORE MONEY, THE REST OF US GET NOTHING. ALL RIGHT. WE HAVE TO TAKE ONE MORE BREAK.